Sauna Business Plan [Sample Template]

A sauna business is a business that involves providing sauna facilities for individuals seeking relaxation, detoxification, and health benefits.

Typically, saunas offer heated rooms where patrons can sweat out toxins and unwind. Sauna businesses may operate standalone facilities, spas, or fitness centers.

According to industry reports, the sauna market has seen significant growth in recent years, driven by increasing awareness of wellness practices and the rising demand for stress relief.

Statistics indicate that the global sauna market was valued at around $4.9 billion in 2020 and is projected to reach approximately $7.7 billion by 2027, with a compound annual growth rate (CAGR) of over 6%.

Steps on How to Write a Sauna Business Plan

1. Executive Summary

Queen Care® Sauna Spa, Inc. is a premier sauna spa located in the vibrant city of Los Angeles, California. Established with a vision to provide top-quality relaxation and wellness services, Queen Care® offers a range of sauna experiences tailored to meet the diverse needs of its clientele.

Our spa features state-of-the-art facilities including traditional dry saunas, steam saunas, and innovative infrared saunas, ensuring a holistic wellness journey for every guest.

At Queen Care®, we prioritize customer satisfaction and well-being. Our team of skilled therapists and wellness experts are committed to delivering personalized experiences that promote relaxation, detoxification, and rejuvenation.

In addition to sauna sessions, we offer complimentary services such as massage therapy, aromatherapy, and yoga classes, further enhancing the overall wellness journey for our patrons.

Queen Care® Sauna Spa, Inc. is dedicated to upholding the highest standards of quality, professionalism, and customer service.

Through strategic marketing initiatives, community engagement, and continuous innovation, we aim to establish Queen Care® as the premier choice for sauna and wellness services in Los Angeles, setting new benchmarks for excellence in the industry.

2. Company Profile

a. Our Products and Services

Sauna Experiences: Queen Care® Sauna Spa, Inc. offers a variety of sauna experiences designed to cater to different preferences and health goals. Our offerings include traditional dry saunas, steam saunas, and cutting-edge infrared saunas, each providing unique benefits such as relaxation, detoxification, improved circulation, and stress relief.

Massage Therapy: Enhance your wellness journey with our expert massage therapy services. Our licensed massage therapists specialize in a range of techniques including Swedish massage, deep tissue massage, hot stone therapy, and aromatherapy massage, tailored to address specific needs and promote overall relaxation and rejuvenation.

Aromatherapy: Immerse yourself in the healing power of aromatherapy with our carefully curated selection of essential oils.

Whether you seek relaxation, stress relief, or mental clarity, our aromatherapy offerings can be customized to complement your sauna experience and enhance your sense of well-being.

Yoga Classes: Elevate your mind-body connection with our yoga classes conducted in a serene and supportive environment.

Led by experienced instructors, our yoga sessions cater to all skill levels and focus on promoting flexibility, strength, balance, and inner peace, complementing your sauna experience for a comprehensive wellness regimen.

Wellness Packages: Discover the ultimate relaxation and rejuvenation with our curated wellness packages. Designed to offer a holistic approach to well-being, our packages combine sauna sessions, massage therapy, aromatherapy, and yoga classes, providing a comprehensive and personalized wellness experience tailored to your individual needs and preferences.

b. Nature of the Business

Queen Care® Sauna Spa, Inc. operates a premium wellness business.

c. The Industry

Queen Care® Sauna Spa, Inc. will operate in the wellness and spa industry.

d. Mission Statement

At Queen Care® Sauna Spa, Inc., our mission is to provide an unparalleled sanctuary for relaxation, rejuvenation, and holistic wellness.

We are committed to offering top-quality sauna experiences and complementary services that promote physical, mental, and emotional well-being.

With a focus on customer satisfaction and personalized care, we strive to create a nurturing environment where every guest can escape the stresses of daily life and embark on a transformative wellness journey.

e. Vision Statement

Our vision at Queen Care® Sauna Spa, Inc. is to become the premier destination for wellness enthusiasts in Los Angeles and beyond.

We aspire to set new standards of excellence in the sauna and spa industry by continually innovating, expanding our offerings, and exceeding the expectations of our guests.

Through strategic growth, community engagement, and a relentless dedication to quality and customer service, we aim to inspire individuals to prioritize their health and well-being, empowering them to lead happier, healthier lives.

f. Our Tagline (Slogan)

“Relax, Rejuvenate, Reignite: Experience Wellness Royalty at Queen Care® Sauna Spa”

g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)

Queen Care® Sauna Spa Company, Inc. will be formed as a Limited Liability Company (LLC).

h. Our Organizational Structure

• Chief Executive Officer (Owner)
• Sauna Specialists
• Massage Therapist
• Marketing Coordinator
• Client Services Manager
• Sanitation Specialist
• Receptionist/Administrative Assistant.

i. Ownership/Shareholder Structure and Board Members

• Sophia Nelson (Owner and Chairman/Chief Executive Officer) 52 Percent Shares
• Natalia Jason (Board Member) 18 Percent Shares
• Brampton Boston (Board Member) 10 Percent Shares
• Steve George (Board Member) 10 Percent Shares
• Rita Smith (Board Member and Secretary) 10 Percent Shares.

3. SWOT Analysis

a. Strength

• Situated in the vibrant city of Los Angeles, Queen Care® Sauna Spa benefits from high foot traffic and accessibility, attracting a diverse clientele.
• The spa has modern and well-equipped sauna rooms, massage therapy suites, and yoga studios, providing guests with a luxurious and immersive wellness experience.
• Queen Care® employs skilled therapists, wellness experts, and experienced instructors who deliver personalized services and foster a welcoming atmosphere for guests.
• The spa offers a wide range of services, including various sauna experiences, massage therapy, aromatherapy, yoga classes, and wellness packages, catering to diverse customer preferences and needs.
• With its regal branding and commitment to excellence, Queen Care® has established itself as a trusted name in the wellness industry, garnering positive reviews and customer loyalty.

b. Weakness

• Maintaining premium facilities and employing skilled staff can result in elevated operational expenses, potentially impacting profitability.
• The spa may experience fluctuations in demand throughout the year, with peak seasons coinciding with holidays and special events, necessitating effective marketing strategies to mitigate slow periods.
• Despite its prime location, Queen Care® may face competition from other wellness establishments in the area, requiring targeted marketing efforts to expand its customer base.

c. Opportunities

• There is an opportunity to expand Queen Care®’s reach by opening additional locations in key metropolitan areas or by introducing mobile spa services to cater to a broader customer demographic.
• The spa can explore new service offerings or partnerships to diversify its revenue streams and attract a wider range of customers, such as wellness retreats, corporate wellness programs, or collaborations with local health and fitness organizations.
• Investing in digital marketing strategies, social media engagement, and online booking platforms can help Queen Care® reach and engage with a larger audience, driving customer acquisition and retention.

i. How Big is the Industry?

The sauna industry is small since it is a niche idea in the wellness and spa industry.

ii. Is the Industry Growing or Declining?

The sauna industry is experiencing steady growth globally, driven by increasing awareness of wellness practices and the rising demand for stress relief.

According to reports, the global sauna market was valued at around $4.9 billion in 2020 and is projected to reach approximately $7.7 billion by 2027, with a compound annual growth rate (CAGR) of over 6%. This growth reflects sustained interest in sauna experiences and their associated health benefits.

iii. What are the Future Trends in the Industry?

The sauna industry is poised to witness several key trends shaping its future landscape. Firstly, there is a growing demand for innovative sauna technologies, particularly infrared saunas, which offer gentler heat and deeper penetration, attracting health-conscious consumers seeking detoxification and relaxation.

Additionally, customization and personalization are emerging as prominent trends, with saunas being tailored to individual preferences, such as adjustable temperatures, chromotherapy lighting, and integrated entertainment systems.

Furthermore, sustainability and eco-friendliness are becoming increasingly important considerations in sauna design and operation.

Manufacturers and spa owners are incorporating sustainable materials, energy-efficient systems, and eco-friendly practices to reduce environmental impact and appeal to environmentally conscious consumers.

Moreover, the integration of technology into the sauna experience, such as mobile apps for booking appointments, controlling sauna settings remotely, and accessing wellness content, is expected to enhance convenience and connectivity for users.

Lastly, wellness tourism is driving growth in the sauna industry, with travelers seeking immersive wellness experiences during their vacations.

Sauna facilities are being integrated into hotels, resorts, and wellness retreats, offering guests an opportunity to unwind, rejuvenate, and detoxify while away from home.

This trend aligns with the broader movement towards wellness travel, as more individuals prioritize health and self-care in their leisure activities, indicating promising prospects for the sauna industry in the years ahead.

iv. Are There Existing Niches in the Industry?

No, there are no existing niches when it comes to the sauna spa business.

v. Can You Sell a Franchise of Your Business in the Future?

Queen Care® Sauna Spa Company, Inc. will sell franchises soon.

d. Threats

• Economic downturns or fluctuations in consumer spending habits may impact discretionary spending on wellness services, potentially affecting Queen Care®’s revenue and profitability.
• Changes in health and safety regulations or licensing requirements may necessitate additional compliance measures or operational adjustments, increasing administrative burdens and costs.
• Intense competition from other wellness spas, fitness centers, and alternative wellness practices in the market poses a threat to Queen Care®’s market share and profitability, requiring continuous differentiation and innovation to stay ahead.

i. Who are the Major Competitors?

• Almost Heaven Saunas
• Therasauna
• Radiant Saunas
• Hanko Saunas
• Great Saunas
• Saunas com
• Cedarbrook Sauna & Steam
• USA Health and Wellness
• Lux Saunas
• Sunray Saunas
• Golden Designs
• Finnleo Sauna & Steam
• Sunlighten Saunas
• Almost Heaven Saunas
• Health Mate Sauna
• SaunaSpace
• Clearlight Saunas
• Heavenly Heat Saunas
• Dynamic Saunas
• JNH Lifestyles.

ii. Is There a Franchise for the Sauna Spa business? 

No, there are no franchise opportunities for the sauna spa business.

iii. Are There Policies, Regulations, or Zoning Laws Affecting Sauna Spa Business?

Yes, there are regulations, licensing requirements, and zoning laws that apply to sauna businesses in the United States. However, these regulations can vary significantly from state to state and even within counties. It’s important to research and understand the specific regulations that apply to your location.

Depending on your state, you may need to obtain specific licenses or certifications to provide sauna services. Some states might require that only licensed professionals perform sauna treatments, while others may allow non-licensed professionals to offer these services under certain conditions.

Sauna involves the use of chemicals, and ensuring the health and safety of your clients is paramount. Some states have specific regulations related to the use of whitening agents, infection control procedures, and equipment sanitation.

Zoning laws regulate the types of businesses that can operate in specific areas. Make sure your chosen location is properly zoned for the type of business you plan to operate.

Some states have regulations regarding how sauna services can be advertised, particularly if claims about results are made. Ensure your marketing materials comply with any applicable regulations.

Occupational Safety and Health Administration (OSHA) Compliance regulations may apply if your business involves exposure to chemicals or if you have employees. Compliance with OSHA standards ensures a safe and healthy workplace.

4. Marketing Plan

a. Who is Your Target Audience?

i. Age Range: Our target audience primarily consists of adults aged 25 to 65 years old. This demographic segment typically seeks relaxation, stress relief, and wellness solutions, making them ideal candidates for our sauna and spa services.

ii. Level of Education: While our services are accessible to individuals of all education levels, our target audience may include those with higher levels of education, such as college graduates and professionals. These individuals often value self-care and prioritize their health and well-being.

iii. Income Level: Our target audience generally falls into the middle to upper-middle-income brackets, with disposable income to spend on premium wellness experiences. They appreciate the luxury and quality of our services and are willing to invest in their health and relaxation.

iv. Ethnicity: Queen Care® Sauna Spa welcomes individuals from diverse ethnic backgrounds. While our services cater to a broad clientele, we may particularly appeal to individuals within the local Los Angeles community, which boasts a rich cultural tapestry.

v. Language: Our services are offered in English, accommodating a wide range of English-speaking customers. Additionally, we may provide multilingual support or materials to cater to non-English-speaking clients as needed.

vi. Geographical Location: Our primary geographical focus is on residents and visitors in the Los Angeles metropolitan area. Located in a bustling urban center, we attract locals and tourists alike seeking a premium wellness experience in the heart of the city.

vii. Lifestyle: Our target audience leads busy and active lifestyles but recognizes the importance of self-care and relaxation.

They may be professionals, entrepreneurs, or individuals balancing work and family responsibilities, seeking moments of tranquillity and rejuvenation amidst their hectic schedules.

b. Advertising and Promotion Strategies

• Build Relationships with players in the wellness and spa industry.
• Deliberately Brand All Our Official Cars.
• Develop Your Business Directory Profiles
• Tap Into Text Marketing
• Make Use of Billboards.
• Share Your Events in Local Groups and Pages.
• Turn Your Social Media Channels into a Resource

i. Traditional Marketing Strategies

• Marketing through Direct Mail.
• Print Media Marketing – Newspapers & Magazines.
• Broadcast Marketing -Television & Radio Channels.
• Out-of-Home” marketing (OOH marketing) – Public Transits like Buses and Trains, Billboards, Street shows, and Cabs.
• Leverage direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.

ii. Digital Marketing Strategies

• Social Media Marketing Platforms.
• Influencer Marketing.
• Email Marketing.
• Content Marketing.
• Search Engine Optimization (SEO) Marketing.
• Affiliate Marketing
• Mobile Marketing.

iii. Social Media Marketing Plan

• Start using chatbots.
• Create a personalized experience for our customers.
• Create an efficient content marketing strategy.
• Create a community for our target market and potential target market.
• Gear up our profiles with a diverse content strategy.
• Use brand advocates.
• Create profiles on the relevant social media channels.
• Run cross-channel campaigns.

c. Pricing Strategy

At Queen Care® Sauna Spa, our pricing strategy is designed to offer value and accessibility while reflecting the premium quality of our services.

We utilize a tiered pricing model, with options ranging from single-session rates to bundled packages, catering to diverse customer preferences and budgets.

Please note that we also may offer special promotions, discounts for loyalty program members, and seasonal packages to incentivize repeat business and attract new clientele. Our transparent pricing ensures clarity and fairness, fostering trust and satisfaction among our valued customers.

5. Sales and Distribution Plan

a. Sales Channels

Queen Care® Sauna Spa employs a multichannel approach to maximize accessibility and convenience for our customers.

Our primary sales channels include our physical spa location in Los Angeles, where clients can directly book appointments and purchase services.

Additionally, we offer online booking through our website, providing a seamless and user-friendly experience for scheduling appointments and purchasing gift cards or packages.

Furthermore, we may partner with local hotels, resorts, and wellness organizations to expand our reach and offer our services to their guests.

This multichannel strategy ensures that customers can easily access and engage with our premium sauna and spa offerings.

b. Inventory Strategy

At Queen Care® Sauna Spa, our inventory strategy focuses on maintaining optimal levels of sauna and spa supplies to meet customer demand while minimizing excess stock. We conduct regular assessments of usage patterns and trends to forecast demand accurately.

This enables us to procure essential items such as sauna accessories, massage oils, aromatherapy products, and linens in advance, ensuring seamless operations and exceptional customer experiences.

We prioritize sourcing high-quality, sustainable products to align with our wellness and environmental responsibility commitment.

Through efficient inventory management and strategic partnerships with suppliers, we strive to uphold our standards of excellence and customer satisfaction.

c. Payment Options for Customers

• Bank Transfers
• Cash
• Credit card
• Debit card
• Mobile payment apps (e.g., PayPal, Venmo)
• Online payment gateways (e.g., Stripe, Square)
• Gift cards or vouchers.

d. Return Policy, Incentives and Guarantees

At Queen Care® Sauna Spa Company, Inc., we prioritize client satisfaction and offer a comprehensive return policy, incentives, and guarantees.

Return Policy:

At Queen Care® Sauna Spa, we stand behind the quality of our services and products. Our return policy allows customers to request a refund or exchange within 30 days of purchase for unused services or unopened products.

We understand that individual preferences may vary, and we aim to ensure complete satisfaction with every visit. Customers can present their receipt or proof of purchase to initiate the return process, and our dedicated staff will assist with prompt and courteous service.

Incentives:

To show appreciation for our loyal customers, Queen Care® Sauna Spa offers a range of incentives and rewards. Our loyalty program rewards frequent visitors with exclusive discounts, special promotions, and complimentary services based on their spending and engagement with us.

Additionally, we may periodically offer referral bonuses to customers who refer friends and family to our spa. These incentives not only foster customer loyalty but also encourage word-of-mouth marketing, driving growth and enhancing the overall customer experience.

Guarantees:

At Queen Care® Sauna Spa, we guarantee exceptional service and satisfaction with every visit. If for any reason a customer is dissatisfied with their experience, we promise to address their concerns promptly and courteously.

Our team is committed to ensuring that each guest leaves feeling relaxed, rejuvenated, and valued. Furthermore, we guarantee the quality and effectiveness of our products, offering replacements or refunds for any items that fail to meet our stringent standards.

e. Customer Support Strategy

At Queen Care® Sauna Spa Company, Inc., our customer support strategy revolves around delivering exceptional service and personalized care. We prioritize clear communication and responsiveness to address client inquiries and concerns promptly.

Our knowledgeable staff is trained to provide expert advice and guidance, ensuring clients feel informed and comfortable throughout their journey.

We offer flexible scheduling options and strive to accommodate individual preferences. We will maintain open channels for feedback and actively seek to improve our services based on client input.

Our commitment to attentive customer support fosters trust and loyalty, enriching the overall client experience at our clinic.

6. Operational Plan

Queen Care® Sauna Spa’s operational plan centers on delivering exceptional wellness experiences while maintaining efficient and seamless operations. We prioritize staff training to ensure expertise in sauna therapies, massage techniques, and customer service.

Our facility is meticulously maintained to uphold cleanliness and safety standards, providing a serene environment for relaxation.

Appointment scheduling and inventory management are streamlined through digital systems, optimizing resource allocation and customer convenience. We will also foster partnerships with local suppliers for sustainable product sourcing.

Continuous improvement drives our operational strategy, as we regularly solicit feedback from customers and staff to refine processes and elevate the Queen Care® experience.

a. What Happens During a Typical Day at a Sauna Spa Business?

A typical day at a sauna spa begins with staff preparing the facility, and ensuring the cleanliness and functionality of sauna rooms, massage areas, and amenities. As clients arrive, they are greeted warmly, and appointments are managed efficiently to minimize wait times.

Guests are guided through their chosen sauna experiences, whether traditional dry sauna, steam sauna, or infrared sauna, with knowledgeable staff on hand to address questions and concerns.

Concurrently, massage therapists administer treatments tailored to individual needs, providing relaxation and relief from tension.

Throughout the day, the atmosphere is one of tranquillity and rejuvenation, with clients departing feeling refreshed, revitalized, and satisfied with their wellness journey at the sauna spa.

b. Production Process

There is no production process.

c. Service Procedure

At Queen Care® Sauna Spa, our service procedure is meticulously designed to ensure each guest receives an exceptional and personalized wellness experience. Upon arrival, clients are warmly greeted by our attentive staff and guided through a seamless check-in process.

We take the time to understand their preferences, needs, and any specific concerns they may have, laying the foundation for a tailored and fulfilling experience.

Following check-in, clients are escorted to their designated treatment areas, where they can relax and unwind in our luxurious sauna facilities.

Whether they opt for a traditional dry sauna, steam sauna, or infrared sauna, our knowledgeable staff are on hand to provide guidance and answer any questions, ensuring a comfortable and enjoyable experience.

Clients can also enhance their sauna session with optional add-ons such as aromatherapy or chromotherapy for a deeper sense of relaxation and rejuvenation.

After their sauna session, clients may indulge in additional wellness treatments, such as massage therapy or yoga classes.

Our skilled therapists and instructors provide personalized attention, catering to individual preferences and addressing specific areas of concern.

Whether seeking stress relief, muscle relaxation, or improved flexibility, clients can expect expert care and attention to detail throughout their time at Queen Care® Sauna Spa.

As clients conclude their visit, they are invited to provide feedback on their experience, ensuring that we continuously refine and improve our service offerings.

d. The Supply Chain

Queen Care® Sauna Spa’s supply chain is carefully managed to ensure the seamless procurement and delivery of high-quality products and materials essential for our operations.

We maintain strategic partnerships with trusted suppliers, prioritizing those who offer sustainable and eco-friendly options.

Our procurement process is streamlined, utilizing digital systems to monitor inventory levels and place orders efficiently. We prioritize timely delivery to maintain optimal stock levels and minimize disruptions to our services.

Additionally, rigorous quality control measures are implemented to uphold our standards of excellence, ensuring that only the finest products are utilized in our sauna spa experiences.

e. Sources of Income

At Queen Care® Sauna Spa, our primary sources of income include revenue from sauna sessions, massage therapy treatments, yoga classes, and the sale of wellness products such as aromatherapy oils and skincare items.

We will also generate income through the sale of gift cards, memberships, and special packages. These diverse streams of revenue contribute to our financial stability and support our commitment to providing exceptional wellness experiences to our clientele.

7. Financial Plan

a. Amount Needed to Start Your Sauna Spa?

Queen Care® Sauna Spa Company, Inc. would need an estimate of $350,000 to successfully set up our sauna spa in the United States of America. Please note that this amount includes the salaries of all our staff for the first month of operation.

b. What are the Costs Involved?

• Business Registration Fees – $750.
• Legal expenses for obtaining licenses and permits – $3,300.
• Marketing, Branding, and Promotions – $3,000.
• Business Consultant Fee – $4,500.
• Insurance – $4,400.
• Rent/Lease – $75,000.
• Other start-up expenses including, commercial satellite TV subscriptions, stationery ($500), and phone and utility deposits ($1,800).
• Operational Cost (salaries of employees, payments of bills et al) – $80,000
• Store Equipment (cash register, security, ventilation, signage) – $1,750
• Equipment and Supplies – $75,500
• Website: $700
• Opening party: $5,000
• Miscellaneous: $5,000

c. Do You Need to Build a Facility? If YES, How Much Will It Cost?

Queen Care® Sauna Spa Company, Inc. will not build a new facility for our sauna spa; we intend to start with a long-term lease and after 8 years, we will start the process of owning (acquiring) our shop facility in a centralized location in the city.

d. What are the Ongoing Expenses for Running a Sauna Spa?

• Rent or Mortgage Payments
• Utilities (electricity, water, gas)
• Sauna Maintenance and Repairs
• Employee Wages and Benefits
• Cleaning Supplies and Services
• Marketing and Advertising Costs
• Insurance Premiums (liability, property, etc.)
• Inventory (towels, robes, sauna accessories)
• Software and Technology (booking systems, point-of-sale)
• Professional Fees (legal, accounting, consulting).

e. What is the Average Salary of your Staff?

• Chief Executive Officer – $68,000 Per Year
• Sauna Specialist – $50,000 Per Year
• Massage Therapist – $46,000 Per Year
• Marketing Coordinator – $46,000 Per Year
• Client Services Manager – $45,000 Per Year
• Sanitation Specialist – $40,000 Per Year
• Receptionist/Administrative Assistant – $36,000 Per Year

f. How Do You Get Funding to Start a Sauna Spa Business?

• Raising money from personal savings and sale of personal stocks and properties
• Raising money from investors and business partners
• Sell shares to interested investors
• Applying for a loan from your bank/banks
• Pitching your business idea and applying for business grants and seed funding from, the government, donor organizations, and angel investors
• Source for soft loans from your family members and friends.

8. Financial Projection

a. How Much Should You Charge for your Product/Service?

Single Session:

• Traditional Sauna: $20 – $40 per session
• Infrared Sauna: $30 – $60 per session

Package Deals:

• 5-session package: $80 – $150
• 10-session package: $150 – $250

Monthly Memberships:

• Basic membership (1 session per week): $50 – $100 per month
• Premium membership (unlimited sessions): $100 – $200 per month

Additional Services:

• Add-ons (e.g., aromatherapy, chromotherapy): $5 – $20
• Wellness services (e.g., massages, yoga classes): $50 – $150 per session.

b. Sales Forecast?

• First Fiscal Year (FY1): $450,000
• Second Fiscal Year (FY2): $660,000
• Third Fiscal Year (FY3): $750,000

Based on market research and industry trends, we anticipate steady growth in revenue over the first three years of operations.

With an initial investment in equipment, marketing, and personnel, we aim to achieve profitability by the end of the second year.

Our financial projections are conservative yet realistic, reflecting our commitment to sustainable growth and long-term success.

c. Estimated Profit You Will Make a Year?

• First Fiscal Year (FY1) (Profit After Tax): 20%
• Second Fiscal Year (FY2) (Profit After Tax): 25%
• Third Fiscal Year (FY3) (Profit After Tax): 30%

d. Profit Margin of a Sauna Spa Product/Service

The ideal profit margin we hope to make at Queen Care® Sauna Spa Company, Inc. will be between 20 and 30 percent depending on the packaging size.

9. Growth Plan

a. How do you intend to grow and expand? By opening more retail outlets/offices or selling a Franchise?

Queen Care® Sauna Spa Company, Inc. will grow our sauna spa business by first opening other centers in key cities in the United States of America within the first five years of establishing the business and then will start selling franchises from the sixth year.

b. Where do you intend to expand to and why? (Geographical Locations)

Queen Care® Sauna Spa Company, Inc. plans to expand to the following cities.

• New York City, New York
• Chicago, Illinois
• Houston, Texas
• Detroit, Michigan
• Philadelphia, Pennsylvania
• Atlanta, Georgia
• Memphis, Tennessee
• Los Angeles, California
• Washington, D.C.
• Dallas, Texas.

Queen Care® Sauna Spa Company, Inc. will expand to the cities listed above due to the high demand for sauna services in urban areas with health-conscious populations.

These cities offer diverse demographics and strong spa and wellness cultures, providing ample opportunities for growth and market penetration.

10. Exit Plan

As part of our exit plan at Queen Care® Sauna Spa, we have devised a strategy for family succession to ensure the smooth transition of ownership and management.

Firstly, we will identify and groom a qualified family member who demonstrates the necessary leadership skills, passion for the business, and understanding of our values and mission.

This individual will undergo comprehensive training and mentorship to prepare them for their future role as the successor.

Secondly, we will establish a clear timeline and succession plan outlining the steps and responsibilities involved in the transition process.

This includes defining the roles and responsibilities of the successor, outlining decision-making processes, and ensuring continuity of operations during the transition period.

We will also engage legal and financial advisors to facilitate the transfer of ownership and address any legal or financial considerations.

Finally, we will implement a phased approach to the transition, gradually transferring ownership and management responsibilities to the successor while providing ongoing support and guidance as needed.