1. Sparkys HookahLoungeVincent WintersBeatriz GradoAurora DeanJoshua SwiftBrenda Mendez

2. Mission StatementSparkys Hookah Lounge intends to provide an environment conducive to student life.We will provide customers with a high quality hookah experience, one tailored to fit theneeds of the students we target. Partaking in hookah will help students relax and take abreak from their rigorous academic routines. As students ourselves we will be best suitedto accomplish these goals. We will out rank our competitors in the mind of ourconsumers because of our stress free atmosphere coupled with a high quality productand lower prices; three things most important to a student. We will always treat oneanother, our employees, and our customers with respect. 3. Organizational ChartSparkysHookahCurrentInvestorsBrendaMendezJoshuaSwiftBeatrizGradoVincentWintersAuroraDean 4. LocationMill Avenue, ASUsLease (2,240 sq.ft.)$24,000 per year. 5. What sets us apart?Student run businessWorks with ASUs eventsSun Devil atmosphere 6. Market AnalysisCustomer Base:-14,293 ASU students between ages 18-25 whom usetobacco-38.9% of Tempe residents are young professionals-Growth of 3% per yearCompetition Analysis-4 local hookah lounges-Minimum 25% market share-Local smoke shopsTrends-Overall 400% industry growth-5 openings per month-Tobacco to beverages 2:1 7. Market AnalysisCustomer BaseAgeDemographic18-25otherage70%=47,64530%=20419Sparkys25%Red Sea25%SaharaNights25%HookahMania25%Market ShareCompetition Analysis Trends0 1 2TobaccoBeveragesSales TrendsSalesTrends 8. MarketingBuzz Marketing-Word of mouth-Facebook-Twitter-Foursquare-Flyers-Insider (couponbook) 9. Like our Facebook Page 10. Management Plan2013 Hours of operation and first years schedule:Mon Tue Wed Thu Fri Sat SunHours ofOperation12pm-12am12pm-12am12pm-12am12pm-12am12pm-1am12pm-1am12pm-9pmMon Tue Wed Thu Fri Sat SunBeatriz 12pm-10pm12pm-10pm12pm-10pm12pm-10pmAurora 2pm-12am2pm-12am2pm-12am2pm-1am12pm-9pmBrenda 12pm-10pm12pm-10pm12pm-10pm12pm-10pmJeff 2pm-12am2pm-12am2pm-1am12pm-9pmJosh 2pm-12am2pm-12am2pm-12am2pm-12amVincent 12pm-10pm1pm-1am2pm-1am12pm-9pm 11. Labor Budget 12. Preparation ProcessRefill Clean-upPrepare hookah Self-Serve DrinksTake orderClean-upSelf-serve drinks 13. Sales ProjectionsEven given conservative estimates Sparkys Hookah Lounge projected sales will return profit in the first operating year.Key Drivers Proximity to campus Differentiation by students for studentsAssumptions Smoking ban will drive upsales in 2014 Brand recognition, Y2Risks ASU attracting non-smokersto TempeDollars, HookahInitial, $432,000.00Dollars, HookahRefills, $144,000.00Dollars, Drinks, $345,600.00Dollars, Jukebox, $259,200.00First Year SalesTotal Revenue- $1,180,800.00Column2HookahInitial$432,000.0037%Column2HookahRefill$144,000.0012%Column2Drinks$345,600.0029%Column2Jukebox$259,200.0022%First Year SalesTotal Revenue-$1,180,800.00 14. Product Cost & Mark-Up PercentageCosts SellingPriceMark-Up %HookahInitial$1.17 $15.00HookahRefill$1.17 $5.00Soda $0.73 $2.00Song $0.48 $1.50$10Low-QualityLow- PriceSparkysHookahHigh-QualityAffordablePrice$20PremiumQualityHigh-PriceContribution Margin is well over 1Setting Our PriceCost Vs. Selling Price 15. Break Even AnalysisSales Projection, 403200Break EvenPoint , 59050050000100000150000200000250000300000350000400000450000#ofUnitsBreak Even Point Vs. Demand ForecastSalesProjection, $1,180,800.00Break EvenPoint, $174,932.40$-$200,000.00$400,000.00$600,000.00$800,000.00$1,000,000.00$1,200,000.00$1,400,000.00Salesin$Break Even Point Vs. Demand ForecastSurpassing Break Even Point early onOur Huge profit margin gives us hugeflexibility in pricingOur sales estimate is modest 16. Investing in SparkysWe have 12,000 between the 6 of usWe represent 75% ownership of companyWe need 30,310.70 to open SparkysWe need 18,310.70 from you today!You have opportunity to buy a portion of the 25%ownership in Sparkys that is available 17. Start-Up BudgetItem Unit Cost # of Units Total CostCoals $1.35 231 $311.04Hookah mouth pieces $5.00 277 $1,383.00Shisha $9.99 93 $923.08Straws $14.23 12 $172.80Lids/Cups $109.00 15 $155.20Soda $69.83 55 $3,801.60Soda Machine $1,295.00 1 $1,295.00Tables $83.00 9 $747.00Chairs $41.00 36 $1,476.00Large Hookah $98.99 15 $1,484.85Register $267.13 1 $267.13Jukebox $3,375.00 1 $3,375.00Rent $4,000.00 2 $4,000.00Salary $10.00 960 $9,600.00Office Supplies $19.00 1 $19.00Advertisement $1,000.00 1 $1,000.00Utilities $300.00 1 $300.00Total $30,310.70 18. Balance Sheet 19. Income Statement 20. Statement of Cash Flow 21. Join our Team of Investors! 22. Sparkys on the News! 23. Questions?