Strokes Golf Club

Business Plan
 Confidentiality Agreement

The undersigned reader of Strokes Golf Clubs (Strokes or the Company) Business Plan hereby
acknowledges that the information provided is completely confidential and therefore the reader agrees not to
disclose anything found in the business plan without the express written consent of Strokes Golf Club.

It is also acknowledged by the reader that the information to be furnished in this business plan is in all aspects
confidential in nature, other than information that is in the public domain through other means and that any
disclosure or use of the same by the reader may cause serious harm and or damage to Strokes Golf Club.

Upon request this business plan document will be immediately returned to Strokes Golf Club.

This is a business plan. It does not imply an offer of any securities.

Applicable Law

This contract shall be governed by the laws in the state of New York.

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Strokes Golf Club | Business Plan Page 2

 Overview

With a state-of-the-art facility, immersive gameplay, numerous food and drink options, and
a refreshing twist on a nostalgic childhood favorite, Strokes Golf Club is looking to become
the next most-visit nightlife destination. Located in the up-and-coming Sunset Park
neighborhood, Strokes provides a truly unique minigolf experience by catering to adults
looking for lighthearted competition mixed with a nightlife atmosphere, including DJs,
multiple bars, and numerous food options. With its broad appeal and easy gameplay,
Strokes is destined to become one of the favorite nightlife destinations in NYC for couples,
small groups, or large events and corporate outings.

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 Table of Contents

Executive Summary ............................................................................................................... 5

Product Summary................................................................................................................................. 5
Market Summary ................................................................................................................................. 5
Three Year Objectives........................................................................................................................... 6
Keys to Success .................................................................................................................................... 6
Financing Summary .............................................................................................................................. 6

Strokes Golf Club Immersive Adult Minigolf Experience ...................................................... 7

Industry Overview ............................................................................................................... 10

Market Needs .................................................................................................................................... 14

Strategy & Implementation Summary .................................................................................. 15

Management Team ............................................................................................................................ 15
SWOT Analysis ................................................................................................................................... 16

Competitive Comparison ..................................................................................................... 17

Marketing Plan .................................................................................................................... 19

Financial Forecasts .............................................................................................................. 20

Use of Funds ...................................................................................................................................... 20
Financial Highlights ............................................................................................................................ 20
Financial Indicators ............................................................................................................................ 21
Revenue Forecast ............................................................................................................................... 22
Projected Profit and Loss .................................................................................................................... 23
Projected Cash Flow ........................................................................................................................... 24
Projected Balance Sheet ..................................................................................................................... 25
Sensitivity Analysis ............................................................................................................................. 25
Break-Even Analysis ........................................................................................................................... 26

Appendix............................................................................................................................. 27

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Executive Summary
Strokes Golf Club is an innovative nightlife experience that taps into the nostalgic experience of playing
miniature golf (minigolf or putt-putt) and combining it with numerous cocktail bars and a rotating mix
of food trucks to provide a fully immersive adult night life experience. Locating in the up-and-coming
neighborhood of Sunset Park in Brooklyn, Strokes will create an industrial amusement that will be sure
to attract Brooklyn locals and adults from all over NYC with the venues unparalleled amenities. With
multiple offerings, Strokes will be the perfect place for a date night, group outing, corporate event, or
any type of celebration.

Product Summary

Strokes Golf Club is an innovative take on putt-putt that combines the casual competitiveness and
enjoyment of minigolf with a captivating nightlife experience (DJs, food, and alcohol are abundant) to
mesmerize customers so they will keep coming back whether with friends, dates, or coworkers.

Strokes will be offering the following amenities that will provide a truly unique experience for all guests:

Four ever-changing relics of architectural ruin that have been converted into minigolf courses
Six bespoke virtual reality (VR) experiences
Four cocktail bars including a show-stopping floating bar
A rotating array of NYCs best food trucks
A proprietary Strokes scorecard app
Nightly DJs who keep the party going
Partnerships with multiple ride services and public transportation making getting there easy

Market Summary

Strokes Golf Club is going to be a part of the more than $26 billion adult nightlife industry in a growing
focused on providing alternative experiences like recreational activities, art lessons, puzzle games, and
other interactive events mixed with food and alcohol. As more and more adults, particularly millennials,
are seeking ways to stay active, interact with friends, while broadening their horizons, people are moving
away from the loud and wild ambience of a traditional nightclub. Instead consumers are looking for bars
that feature more than just alcohol, such as ones that include vintage video games (boozecades) or they
visit wine, beer, and food festivals or larger venues/clubs that have social games, such as vintage bowling,
ping pong, or bocce in addition to alcohol. This shift highlights the potential for Strokes to grow
meaningfully within a subsection of the nightlife industry that is well positioned for growth.

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Three Year Objectives

Strokes Golf Club has identified the following three year objectives:

Complete the build-out of the facility with all bars and transit partnerships in place
Maintain success and growth with event and large group bookings
Explore options to expand facility and expand offerings outside of minigolf
Reach critical consumer base to justify opening a permanent on-site cafeteria/food option

Keys to Success

Strokes Golf Club has identified the following keys to success:

A marketing plan that attracts customers to Sunset Park and a venue that has an all-
encompassing nightlife experience
Stickiness with customers through high-touch service and high-quality offerings that encourages
loyalty and repeat visits
Unique offering that caters to all demographics and can be an attract group outing as well as
small-group/couple location

Financing Summary

Strokes Golf Club is seeking to raise $4,300,000 that will be used to build out their facility, mobile app, and
fuel marketing initiatives that will be necessary to reach a broad audience throughout NYC.

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Strokes Golf Club Immersive Adult Minigolf Experience

The Strokes Golf Club venue is unlike anything else in the market right now. Strokes as an innovative take
on the enjoyable yet competitive game of minigolf. Taking place in a fully renovated building in Sunset
Park, Brooklyn, Strokes is creating a complete industrial amusement park complete with an immersive
minigolf experience, glamorous bars and cabanas for relaxing and socializing, numerous food options from
a rotating array of NYCs best food trucks, and nightly DJs to complete the nightlife atmosphere.

Location

As part of Strokes immersive experience, they needed to find a space large enough to house all the
amenities, courses, and bars the management team had envisioned without being too far away from the
homes/offices of their core demographic. While a difficult task, Strokes found the perfect location in
Sunset Park in Brooklyn, thereby keeping rent costs manageable and being close enough to the Companys
core demographic.

As detailed in the graphic below, Strokes found a 17,500 total SF property that can be expanded to more
than 30,000 SF. The location is easily accessible from major highways, public transportation, and the
subway and has all the prerequisite building features for Strokes including high ceilings, significant power
infrastructure, and rooftop seating available.

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The following graphics further illustrate the multiple transportation options to the new Strokes property
as well the numerous expansion opportunities in the surrounding neighborhood. Strokes will provide
consistent traffic with recurring customers thereby encouraging additional businesses to establish a
footprint in the area.

Minigolf Experience

Strokes Golf Club will offer a full immersive minigolf experience with multiple courses ranging in difficult
and atmosphere. Strokes will initially be offering four minigolf course options and more than six
immersive virtual reality experiences to create a one of a kind interactive gameplay offering. Customers
will be able to pick the best course for their group, whether its a couple on a date or a large group outing,
Strokes will be able to cater to any type of customer. Furthermore, Strokes plans to constantly update
their minigolf courses to ensure each recurring visit provides a fresh adventure.

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Food and Drink Offerings

Strokes is focused on creating a nightlife experience and with that they are making sure to offer world-
class cocktail bars and rotating variety of food options that will have customers staying on site longer and
coming back for more. Strokes will be acquiring their liquor license by site launch and will have four
cocktail bars spread throughout the facility including a jaw-dropping floating bar sure to be a main
gathering location in-between games of minigolf. Strokes will also be utilizing an open tab model allowing
customers unlimited drink at various levels of alcohol based on pre-priced per hour packages.

In addition to drink options, Strokes has formed a relationship with several the best food trucks in NYC,
who will be providing an ever-changing selection of food options in lieu of a permanent kitchen. By
creating a partnership with local food trucks, Strokes ensures profitability and can test what types of food
work best for its customers before exploring opening an on-site cafeteria or permanent kitchen.

Atmosphere and Other Offerings

What will truly make Strokes unique is that in addition to their creative minigolf experience and food and
drink options is that the facility will be truly immersive. That means that when customers are not golfing,
they will be transported to a glamorous jungle with cabanas, lush foliage, and unparalleled hospitality not
found anywhere else in NYC. Strokes will have two rooftop terraces, each with their own curated
atmosphere, to cater to each customers desires.

Additionally, to complete the atmosphere, Strokes will have nightly featured DJs who will create music
experiences complimentary to the venues atmosphere. This experience will be further augmented by a
branded scorecard app that allows customers to track their minigolf games, browse menus, and access
other convenient information all within their phone.

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Industry Overview

Strokes will be competing in the $26 billion adult nightlife industry as part of a growing subsection focused
on alternative experiences like recreational activities, art lessons, puzzle games, and other interactive
events mixed with food and alcohol. As more and more adults, particularly millennials, look for fun and
engaging activities that are not as loud and wild as the traditional nightclub but still offer the chance to
meet people and drink, the subsection of the nightlife industry that Strokes will be competing in is poised
for strong growth in the next five years. While the overall nightlife industry is projected to grow in the
United States by more than 2% over the next five years, the bar and nightclub scene is suffering major
losses in favor of more experiential activities, such as Strokes.

Favorable Macroeconomic Trends

The U.S. nightlife industry in 2017 is best characterized by a continual shift away from traditional
nightclubs with more consumers opting to stay at home or explore alternative activities. As the consumer
trends continue to shift, the overall industry demand is still largely impacted by macroeconomic factors
such as disposable income and unemployment rates. From an economic standpoint, the United States
market continues to add jobs, see strong disposable income and low unemployment rates, all of which
ultimately adds to the increased demand for recreational activities given the extra income.

The adult recreational and nightlife industry, including alternative experiences, is dependent on the rise
in disposable income within the United States. As per capita disposable income has risen since the
recession, consumers have felt the freedom to go out and socialize more often and spent more during
each activity. Additionally, as national unemployment rates have fallen since the recession, consumers,
particularly millennials, are less focused on saving money and more concerned with new experiences.

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While the unemployment rate is nearing an historic low and the per capita disposable income is stable for
the foreseeable future, many researchers and businesses believe that the millennial generation, the
largest in the United States at 80 million, is finally looking to explore nightlife activities. This recent wave
of renewed desire to go out rather than stay at home will provide a meaningful lift for the overall nightlife
industry and providing an outsized benefit to alternative experiences, a favorite amongst millennials.

Nightlife Industry Trends

Over the past ten years, bars and nightclubs have been a part of a seismic shift in the way people interact,
socialize, and spend money. This shift has caused one in six U.S. neighborhood bars to close between 2004
and 2014 with closures at a peak of six per day in 2014. Although there are 334 new bars opening each
month, that's far fewer than the 609 that are closing at the same time. There are now 17% fewer bars, a
decline of 10,000 over the past ten years.

The number of nightclubs is also on the decline. Per the Nightlife Association, approximately 6,500 U.S.
nightclubs have either cut back their hours or closed shop within the first year of operation. While there
is significant risk in opening a new nightclub or bar, the ones that survive and find a core customer
demographic have outperformed the industry average by a meaningful amount. Last years total
Restaurant and Bar (Drinking Establishments) Industry Sales accounted for $710 billion with 970,000
locations. Per the Restaurant Industry Association and Dun & Bradstreet, nightclubs generated
approximately $26 billion in combined annual sales revenue.

Per Technomics BarTAB (Trends in Adult Beverage) report, the 2013 Top 100 Nightclub & Bar venues
generated $1.5 billion in total revenue. More than two-thirds (68.2%) of operators surveyed experienced
revenue growth in 2012, and nearly two-thirds of them (31.4%) reported revenue growth of more than
10%. Once again, the top nightclub and bar venues outperformed the industry overall. The bar and
nightclub segment grew 3.9% in 2012. Projected sales of alcoholic beverages at bars and restaurants are
expected to rise 2.7% in 2015, with wine projected to be the top growth driver, followed by spirits and
beer, per Technomic's recent BarTAB Report. The beer category will see 2.3% growth, as domestic beers
lose share to craft brews, cider and imports, said Technomic Director of Research Eric Schmidt. The
industry is projected to continue experiencing competition from non-industry establishments such as
restaurants as well as from people opting to drink at home.

Within the nightclub industry, there is meaningful geographic diversification despite a slight concentration
in well-known hotbeds of adult nightlife. Vegas is a major hub of nightclubs based on revenue for "Large
Box Clubs." Of the Top 100, the top 3 nightclubs are in Las Vegas, NV and make $60-70mm each; the No.
1-ranked Marquee Nightclub & Dayclub in Las Vegas generated record-breaking annual revenues greater
than $80 million; the 4th made $45-60mm in 2011 and is in Miami. The next four nightclubs made
revenues of $35-45mm each and three are in Las Vegas. The following six nightclubs made revenues of
$15-10mm each and three are in Las Vegas. The next 35 venues #23 thru #57 had revenues of $10-5mm
each; and the remaining venues reported revenues less than $5mm each which includes "small box clubs."
One quarter of the list 25 venues are in California, with 15 in the Los Angeles area, seven in San

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Diego, two in San Francisco and one in Sacramento. Las Vegas contributes 22 venues, with eight of the
top 10 venues located in Las Vegas. Lastly, ten are in the five boroughs of New York City.

The last major trend driving the nightlife industry is the change in millennial mindset that encourages
them to stay at home, use technology, or attend alternative events instead of going to a bar or to a
nightclub, which used to be some of the most popular young adult activities no more than ten years ago.
The rise in the stay-at-home culture, or what is being called home-tainment, prefers to skip going out to
drink and stays in to drink instead. A recent survey from wine app Vivino found that almost half (47%) of
Millennials and 61% of GenX and Boomers would rather drink wine at home than at social gatherings,
restaurants, or wineries. The survey found that only 3% named bars as their favorite place to drink wine.
Another survey from yPulse found that almost 3 in 4 (73%) of 18-33-year-olds agreed they would rather
stay in on the weekends than go out at night.

While these shifts in consumer preference might drive further industry consolidation, it has been very
beneficial to Strokes subsection, which focuses on experiential activities. When 20-30-somethings do go
out, they want more of an experience than a bar can provide. They are adventure-seekers and thrive off
the momentum of living for authentic experiences. They want social experiences that are share-worthy
on social media rather than going to the same bar every weekend. They prefer to spend their money on
unforgettable experiences. They want to attend events that can't be confused with any other weekend.

When young adults do go out to drink, they frequent bars that feature more than just alcohol, such as
ones that include vintage video games (boozecades) or they visit wine, beer and food festivals or larger
venues that have social games, such as vintage bowling, ping pong, or bocce. They are the foodie
generation, so they also want a variety of unique and adventurous food options beyond standard bar fare
that is also worthy as foodporn. It's all about social experiences that include some combination of
drinking, foodie and social gaming options.

Target Neighborhood Growth Trends

While the nightlife industry is currently going through change, one thing that has remained consistent is
that millennials and the younger generation still go out and socialize just now its in a different way. Given
this trend and increased dependence within the nightlife industry on the millennial generation, it is
important to understand neighborhood trends near Strokes initial property in Sunset Park, Brooklyn and
other New York City boroughs.

Home to nearly 2.6 million residents, Brooklyn is the most populous borough in New York City. Particularly
over the last decade, the borough has become host to a thriving cultural scene and growing innovation
economy. Per the 2016 NYCEDC Report, Brooklyn private sector jobs grew 29.3%, a city record,
unemployment is down to 6.1% after a recession high of 9.9%, and the number of residents with a
Bachelors Degree is up 77% since 2004. Mayor de Blasio has been building on this success, recognizing
that Brooklyns strength lies within the diversity and vibrancy of its neighborhoods. Innovation lies at the
core of Brooklyns economy, with 20.1% of the Citys patents being granted to Brooklyn-based businesses.

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Over the past ten years, Brooklyns population grew 5.0% between 2004 and 2014 to 2.6 million people.
While Brooklyns population declined in the wake of the recession, it has since recovered to be above pre-
recession levels. From 2010 to 2014, the boroughs population grew by 4.5%, more than the population
growth of New York City (3.7%). Additionally, as Brooklyns population has grown, their private sector
employment has grown to 531,800, which is the highest-level outside of Manhattan and represents 15.5%
of New York Citys total private employment. Between 2004 and 2014, private sector employment in
Brooklyn increased by 29.3%, far more than any other borough, with the fastest growth in Arts,
Entertainment, and Recreation (116.6%), and Accommodation and Food Services (115.1%).

While Brooklyn is growing at a meaningful rate, the community of Sunset Park is also poised for
exponential growth due to recent investments from the city into increasing accessibility and job growth
in the area with the aid of numerous public works projects. One of these major projects is the Brooklyn
Queens Connector, a light rail connecting Sunset Park with Astoria, Queens, which will strengthen these
neighborhoods access to business centers within and outside of Brooklyn. This is a corridor where
approximately 700,000 people currently live and work, including 405,000 residents and 296,000 workers,
and is the future home of Strokes Golf Club.

On the map below, Sunset Park is the seventh community:

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Market Needs

While the change in consumer preference continues to shift and the nightlife industry continues to adapt,
there are still a few unfulfilled needs in the market. Consumers continue to make the increasingly difficult
choice of staying in, either alone or with friends, or going out, again either alone, with friends, or in a
larger group. Historically the choice was not as difficult because the options of entertainment at home
were more limited. Now consumers are typically overwhelmed with options and many gravitate towards
staying in rather than going out, unless there is a unique or compelling opportunity that cannot be
recreated at home. Additionally, once consumers do go out, they tend to go to new and unique locations
that offer experiences in addition to food and drink. The issue with many of these places is that unlike
going to a bar, these experiences require a level of understanding, physicality, and patience necessary for
the consumer to enjoy the activity, particularly those that revolve around sports (e.g. ping pong). These
two main problems continue to plague this growing industry yet Strokes can provide a solution that has
been summarized below.

1. Problem: Millennials are not spending money going to nightclubs or bars at the same rate and the
same dollar amount as prior generations
Solution: Strokes provides a unique and exciting experiential nightlife activity that perfectly
serves the rising demand for alternative nightlife options and will capture a meaningful wallet
share from millennials

2. Problem: Existing alternative nightlife activities tend to either be complicated to learn or more
physically demanding than many consumers want
Solution: Unlike ping pong, escape rooms, or adult rec sport leagues, Strokes focuses on minigolf
which is easy to learn, easy to play, and requires very little rules to be competitive

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Strategy & Implementation Summary

The strategy for Strokes Golf Club is to enter the market as a fully immersive nightlife experience. Once
the facility is built-out, Strokes will focus extensively on marketing within local neighborhoods and the
greater NYC market. As detailed above, there are numerous positive trends in the area that will validate
Strokes market adoption plans especially given their target demographic. With a sizable marketing and
advertising budget, including opening parties, Strokes will be able to attract a meaningful number of
initial customers and then will be able to reengage those customers to become repeat visitors through
targeted advertising, promotions, and through attracting large groups (corporate, family, etc.).

Management Team

Jonathan Yang

Founder and CEO

Mr. Yang is the current founder and CEO of Strokes Golf Club. With an extensive background in
architectural design, Mr. Yang brings extensive design experience and an eye for creating memorable
experiences to the Strokes project, ensuring it will be a captivating and visually stunning atmosphere.

Mr. Yang began his career as a project manager and lead designer with Landmark Realty, where he
oversaw renovations, managed contractor relationships, and assisted in the acquisition of more than
twenty residential properties for the development firm. After Landmark Realty, Mr. Yang worked at LDJ
Productions and then New Amsterdam Design Associates as an Architectural Designer. At both firms Mr.
Yang was responsible for surveying, schematic design, budgeting, contract negotiations, and rendering for
various projects including New York Fashion Week, renovating pre-war multi-unit residential buildings,
pop-up food halls, and cafes. During this time, Mr. Yang developed a robust understanding of end-to-end
project management, financial modeling, and administration for architectural and development projects
that is directly applicable to the success of Strokes Golf Club. Mr. Yangs most recent job was as a Project
Architect with Blair+Mui, Dowd Architects where Mr. Yang worked with large institutional clientele,
including universities such as CUNY and Northwestern University Medical School, on research based
design processes with a heavy focus on occupied phase renovations.

Mr. Yang has a Bachelor of Fine Arts and Bachelor of Sociology from DePaul University in Chicago, IL.
Additionally, Mr. Yang received a Master of Architecture from Columbia University GSAPP.

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SWOT Analysis

Strengths

Unique offering, minigolf, that has a broad appeal and is easy for play
Large facility in an up-and-coming neighborhood with dedicated transportation options
Multiple opportunities for growth including additional offerings, new types of entertainment,
expansion of on-site food options, and large group services

Weaknesses

Significant investment in marketing will be necessary to attract the number of customers needed
to recoup sizable upfront development and build-out costs
Variety of offerings and customer experience will need to be routinely adjusted to encourage
repeat customers and avoid the threat of becoming a one-and-done activity

Opportunities

Very strong demographic trends in the facilitys neighborhood and adjacent neighborhoods that
provides a sizable pool of potential customers that Strokes Golf Club can target with marketing
Strokes product offering and amenities is the type of business that can attract a recurring
customer base that is loyal and willing to spend on ancillary offerings, thereby increasing profit

Threats

Nightlife offerings tend to be susceptible to trends making it difficult to predict long-term growth
and leaving the business vulnerable to market fluctuations
Limited barriers to entry in the market make the threat from new competition or imitators high
making it very important to attract a high number of recurring customers
Adult minigolf market has not been proven to work in the marketplace yet which allows Strokes
to have first-mover advantage but also bear the risk of consumer education/adoption

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Competitive Comparison

While Strokes will be competing within the highly competitive and fragmented nightlife industry in NYC,
the Company does not have any direct competitors in the minigolf or adult golf nightlife niche. While this
does provide Strokes with a first-mover advantage, there are competitors in adjacent markets, such as
shuffleboard or ping pong, that will be formidable competitors as each look to capture market share in
the alternative adult nightlife ecosystem.

Royal Palms Shuffleboard Club

Royal Palms Shuffleboard is an alternative adult nightlife experience centered the easy to learn game of
shuffleboard. Located in Brooklyn, Royal Palms gained initial support through a successful Kickstarter campaign
and used the proceeds to renovate an older truck repair shop to create an inviting location filled with 10
shuffleboard lanes, multiple seating areas, live band, and a rotating food truck bay. Royal Palms caters to large
groups and other events (private and corporate) and has an open tab bar model, like Strokes. Additionally,
Royal Palms has several leagues, tournaments, and rankings, which encourages friendly competition and drives
increased revenue on typical off-nights where more casual consumers would not be present.

SPiN

Like Royal Palms and Strokes, SPiN is an adult nightlife experience centered around an easy to learn sport,
in this case its ping pong. With seven locations around the world from NYC to Dubai, SPiN is a social club
that offers amateurs and competitors the opportunity to play ping pong while socializing, eating at the
full-service restaurant, relaxing in the lounge, or playing in tournaments. SPiN is also now expanding into
offering a digital platform that has rankings, match player options, upcoming events, and a newly
launched VR experience. SPiN also offers lessons, a league, has a strong celebrity following, and is heavily
invested in corporate events, making them another direct competitor to Strokes.

Barcade

Barcade is a third type of alternative adult nightlife not too dissimilar from Strokes, Royal Palms, or SPiN
but is differentiated by focusing on classic video games and arcade activities as opposed to sports. Barcade
offers a full-service bar with an extensive beer offering and more than thirty classic arcade games. Barcade
offers a more individual nightlife experience than Strokes or the other competitors but is still competing
within the space by focusing on combining alcohol, interactive gaming, and a level of socializing that is not
traditionally seen at a nightclub or bar.

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Traditional Golf and Minigolf Options

While Strokes is combining minigolf and a nightlife into one unique experience, they still compete
indirectly with the numerous golfing ranges and minigolf options, all family friendly, available throughout
NYC. As detailed in the map below, there are several unique golfing options popping up throughout NYC
including sprawling minigolf locations, digitally enhanced driving ranges, and other innovative takes on
the traditional golf outing. Because Strokes will be combining a traditionally family friendly activity,
minigolf, with a nightlife atmosphere, they are operating in a different competitive set because consumers
looking for minigolf will want to go with their family and consumers looking for a driving range will not be
able to practice their golfing skills at Strokes. For these reasons, while Strokes is technically a competitor
because they are a recreational golfing experience, they provide a different combination of amenities,
even though some driving ranges are exploring dining and alcohol options (e.g. Topgolf).

Competitive edge and advantage

Strokes Golf Clubs unique take on the growing alternative adult nightlife experience will allow the
Company to compete directly against existing players such as Royal Palms, SPiN, and other companies in
the place. Where Strokes will succeed is that minigolf has a much broader appeal than shuffleboard or
ping pong and it is an activity with a very small learning curve, making it enjoyable for a larger base on
potential customers.

In addition to greater consumer appeal, Strokes is well-positioned given their multiple atmospheres and
gaming styles that allows for unique experiences each time a customer returns to Strokes, something truly
differentiated from competitors in the space. For all these reasons and more, Strokes is well-positioned
compared to local competitors and will be able take aspects of the existing companies, such as
tournaments/leagues, to make Strokes even more successful.

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Marketing Plan

Like other new nightlife locations or activities, Strokes will focus on targeted digital and print marketing,
multiple advertising campaigns, promotional launch events, and strategic partnerships. Once Strokes
has attracted enough customers and provided them with an unforgettable experience, organic word-of-
mouth advertising will begin to augment Strokes traditional marketing efforts, creating a compounding
effect that will propel the Company to strong and sustainable growth.

Digital and Print Marketing

Strokes will develop a robust digital marketing campaign across social media and other digital
publications/blogs specific to their core demographic (young working adults across NYC and the
surrounding area). With a unique offering, Strokes will be able to gain meaningful momentum through
social media, providing the Company with user demographic information and contact information for
retargeting and promotional messages. Additionally, by working with key online and print publications
and blogs specific to NYC and its numerous neighborhoods, Strokes will be able to develop a strong local
presence that will be crucial for recurring customer growth.

Launch Parties

After leasehold improvements and all design work is complete, Strokes will be holding multiple launch
parties as promotion events to entice potential customers to try out all the offerings Strokes will be
providing daily. By hosting multiple launch parties, Strokes will bypass many potential customers initial
reservations around the concept and allow them to experience the event without hesitation.

Strategic Partners

Relationships will be formed with multiple organizations in the NYC area including large corporations, golf
clubs, social groups, and other partners that will provide Strokes with a stable and reliable customer base
that will ultimately lead to repeat customers and an increased potential for large group events.

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Financial Forecasts

Use of Funds

Financial Highlights

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 Projected Operating Highlights By Year ($000) Projected Revenues By Year ($000)
30000 30000
Revenue
25000 25000

20000 20000
Gross Margin
15000 15000

10000 EBITDA 10000

5000 5000
Net Profit
0 0
Year 1 Year 2 Year 3 Year 4 Year 5 Year 1 Year 2 Year 3 Year 4 Year 5

Projected Cash Flow By Year ($000) Projected Net Income By Year ($000)
50000 14000
45000
12000
40000
35000 10000
Net Cash Flow
30000 8000
25000
20000 6000
15000 Cash Balance 4000
10000
2000
5000
0 0
Year 1 Year 2 Year 3 Year 4 Year 5 Year 1 Year 2 Year 3 Year 4 Year 5

Financial Indicators

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 Financial Indicators
80%
Gross Margin
70%

60%

50% Net Profit Margin

40%

30% EBITDA to Revenue

20%

10% Return on Assets

0%
Year 1 Year 2 Year 3

Revenue Forecast

Strokes Golf Club | Business Plan Page 22

Projected Profit and Loss

Revenue By Year ('000s)

30000

25000

20000

15000

10000

5000

0
Year 1 Year 2 Year 3 Year 4 Year 5

Year 1 Revenue Monthly

1,400,000
1,200,000
1,000,000
800,000
600,000
400,000
200,000
-
Month 12
Month 1

Month 2

Month 3

Month 4

Month 5

Month 6

Month 7

Month 8

Month 9

Month 10

Month 11

Strokes Golf Club | Business Plan Page 23

Projected Cash Flow

Year 1 Cash
9,000,000

8,000,000

7,000,000

6,000,000

5,000,000

4,000,000 Net Cash Flows

Cash Balance
3,000,000

2,000,000

1,000,000

-
Month 1

Month 2

Month 3

Month 4

Month 5

Month 6

Month 7

Month 8

Month 9

Month 10

Month 11

Month 12

Strokes Golf Club | Business Plan Page 24

Projected Balance Sheet

Sensitivity Analysis

Strokes Golf Club | Business Plan Page 25

Break-Even Analysis

Breakeven Analysis

$3,000,000

$2,500,000
COST-VOLUME-PROFIT

$2,000,000

$1,500,000

$1,000,000

$500,000

$0
0

10000

12500

15000

17500

20000

22500

25000

27500

30000

32500

35000

37500

40000
2500

5000

7500

NET UNITS

Strokes Golf Club | Business Plan Page 26

Appendix

Strokes Golf Club | Business Plan Page 27

Strokes Golf Club | Business Plan Page 28