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Jessica Symington, Jenna Jeffrey, Laura Conrad, Melissa Rodrigues, Courtney Dickson, Cara OLeary CUT ME LOOSE BUSINESS PROPOSAL

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Market Approach Marketing & Advertising Information Technology Merchandising Human Resources Financials Growth Conclusion Questions? Concerns? AGENDA

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MARKET APPROACH

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Spring Garden Road, Halifax, NS Located at the heart of Halifax 31, 545 people live within 1.5kms Average age of local residents is 37.9 years old Total daytime workforce is over 25,000 people working within 1.5kms Pedestrian traffic is estimated 6000 people/hr and 280,000 people/week. Per capita income is 45, 430 compared to Halifax which is 67, 973. Easy access via public or private transit, walking, or cycling With over 20 bus routes, 1600 parking spaces and 50 bikes racks. The Spring Garden Area also has a focus on beautification, cleanliness and safety LOCATION

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Mainly Business Men 25-55 years old Halifax population (2011) 390,328 (188,700 males) 25-55 years: 170,355 (83,905 males)~ 44.46% males Secondary Target Market Mature Male Students 20-24 years old Third largest population age group in HRM 4% of population TARGET MARKET

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MARKETING & ADVERTISING

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A electronic loyalty program Able to redeem points on services & retail purchases Linked to personal account Rewarded with money off future products and/or services Upon initial sign-up customers will receive coupons LOYALTY PROGRAM

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A marketing tool we want to implement Customers leave their business card in fishbowl Monthly drawl Winner receives 5 free haircuts to share with their co-workers and/or friends Expands customer base & loyalty FISHING FOR BUSINESS

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Plan to partner up with local charity Phoenix Youth House Hold semi-annual events where all proceeds go towards the organization Provide free services & products to the men living in the house Loose the Movember Mustache partnering with Movember Canada Men who can prove they raised money for Movember will receive a free mustache shave on December 1st CHARITABLE STRATEGY

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Radio: played daily between 8am-10am & 4pm-6pm 90.5 CBC Radio One, adult male, public/news 104.3 Q104, adult male, classic rock 92.9 Lite, adult male, light rock $850 one time fee to produce advertisement Played 1xdaily four weeks prior to opening Played 2xdaily week prior and week of opening Online: plan to get top spot on Google under Halifax Barber Shops & Nova Scotia Barber Shops Google will charge us based on amount of website visits ADVERTISEMENTS

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Flyers: downtown business district & surrounding area of Spring Garden Rd Drop off & hand out flyers to businesses Directly reach businessmen $30 for 25 colored, double sided flyers Future: partnership with Halifax Mooseheads Out of budge currently but very effective in the future ADVERTISING (CONT.)

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INFORMATION TECHNOLOGY

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Quickbooks ProAdvisor Software Appointment-Plus IT SUPPORT

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Electronic Submission of hours & services provided (Excel) Company Website: http://cutmeloose.webs.com IT SUPPORT

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MERCHANDISING

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Barbershop Special Wash, Cut & Style.. $39.00+ tax Mens Wash, Cut & Style........................$28.00 + tax Mens Wash & Cut..................................$21.00 + tax Mens Cut.............................................. $15.00 + tax Tidy Up....................................................$10.00 + tax Beard Trim.............................................. $10.00 + tax Eyebrow Trim.......................................... $10.00 + tax Ear Trim................................................... $10.00 + tax Moustache Wax...................................... $10.00 + tax Clean Neck............................................... $5.00 + tax SERVICES

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Return Policy Dissatisfied with any purchase, please contact the location directly Would be unable to accept returns for straight razors, straight razor sets, strops or safety razors. Would be able to accept returns for any shampoos, conditioners, sculpting paste, wax, gum, skincare/face care products if unopened and unused. MERCHANDISE RETURN POLICY

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Straight Razor Beginner 1.) Practice Straight Razor 2.) Pakka Wood Straight Razor 3.) Beginner Vintage Straight Razor Intermediate 1.) Custom Snake Wood Razor Strops 1.) Beginners Strop for Straight Razor Stropping and Practice 2.) Strop for Straight Razor Stropping STRAIGHT RAZORS & STROPS

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Low End Wet Shaving Starter Kit Vegan Badger Brush Wet Shaving Starter Kit Boar Brush Van Der Hagen Premium and Luxury Shave Set Luxury Line - Unscented Shave Soap Premium Line - Deluxe Shave Soap Luxury Line - Premium Badger Brush Natural Boar Shave Brush SHAVING SETS, SOAPS AND BRUSHES

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High-End Kerastase, Arbonne, Redken for Men, Nioxin, Matrix and American Crew Low-End Dove for Men, LOreal Paris Men Expert and Nivea Selling our products at a regular retail price of 10% below competitors PRODUCTS

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Identifying Type of Hair Shampoos and conditioners Identifying Type of Skin Pre-Shaving, post-shaving, skin-care and body and face wash Identifying Personal Style Hair styling KNOWING THE CUSTOMER - CREATING THE OPTIMAL APPEARANCE

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Main Product Display High-end and low-end products American Crew House shampoo/conditioner Spindle Display Straight razors, strops and soaps MERCHANDISING IN-STORE

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HUMAN RESOURCE MANAGEMENT

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Workopolis Career Beacon Kijiji Secondary Source Free Posting unless want top position Visit our website www.cutmeloose.webs.comwww.cutmeloose.webs.com TALENT RECRUITMENT One JobThree JobsFive JobsTen Jobs $325$253$255$225 One JobTwo JobsThree JobsFive Jobs $375$650$900$1,375

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Able to choose schedule to suit lifestyle Provide barber jackets (uniform) Comfortable staff room with hot beverages Located close to public transit Located in location with high population Employee incentive program: The Top Chop Consistent communication with management Access to information on the newest equipment & products RETENTION

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Manager/Head barber $32,760 $18/hourly for 35 hours/weekly 3 barbers $70,200 50% commission 10 customers daily at an average of $15 On average each barber earns $23,400 $12.86/hour plus tips PAY & BENEFITS

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Hire barbers who have completed a barber program or have completed a two-year apprenticeship In house training at Cut Me Loose Flexible hours allow the barbers to continue their education & training EMPLOYEE TRAINING

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FINANCIALS

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START UP COSTS Cost Permits and Licensing607.18 Renovations/ Rent90,500.00 Barber Shop Furniture/Supplies5,329.17 Reception Area6,013.25 Retail Store Product5,000.00 Marketing/Advertising7,540.00 Total114,989.60

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FINANCIAL PROJECTION OF AN AVERAGE YEAR Total revenue (in thousands of dollars)185.33 Cost of sales (direct expenses)40.31 Wages and benefits32.76 Purchases, materials and sub-contracts7.55 Opening Inventory5.00 Closing inventory5.00 Operating expenses (indirect expenses)117.40 Labour and commissions70.2 Depreciation1.20 Repairs and maintenance0.90 Utilities and telephone/telecommunication4.00 Rent ($16.00psf base plus $6.00 additional) @ 1000 square feet22.00 Interest and bank charges0.75 Professional and business fees1.45 Advertising and promotion1.00 Delivery, shipping and warehouse expenses1.40 Insurance0.60 Other expenses13.90 Total expenses157.71 Net profit/loss27.62

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GROWTH STRATEGY

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Product Penetration Product Development Market Development Diversification GROWTH STRATEGY

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Increase amount of chairs in shop Increase products & services Expand current location Open another location Discounts & Loyalty Program Apprenticeship Program GROWTH STRATEGY

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QUESTIONS? CONCERNS?