new.docx

UP is planning to start its operations on January 2021. It expects to do a minimum of 6 gyms sessions in a year. The projected profit will be $101400 for one year if we meet the expectations. Based on the Research about the gym Machines in Saudi Arabia I did the budget schedule. The financial issues that are considered to be outside our control include the changes in government policies such as taxation leading to shifts in costs of operating. Also, inflation is another financial issue that can be considered to be out of control. This project competes for funds better than others because it is aimed at addressing health issues that have been of great concern in Saudi Arabia. For example, this project will assist in addressing the issues associated with obesity that has led to increased deaths from lifestyle diseases like diabetes.

UP Company’s budget

ITEM

COST

2 Cycling

$1600

2 treadmills

$ 2000

6 weight set

$ 1500

2 Wider Flex

$400

1 SCS system

$ 5000

5 Gym mattresses

$200

1 Folding wall

$ 500

Design GYM

$2000

1 Hoist Bench

$500

Water Machine

$200

Sound System

$1000

TOTAL MATERIAL COST (ONE PROJECT)

$ 13100

Contract with Company

$30000

Profit for 6 Projects in a Year

$101400

Profit for 1 Project

$16900

Monthly EXPENSES:

Salary expenses

$3000

Rented Office

$900

Transportation expenses

$300

Internet and phone

$500

TOTAL EXPENCE:

$4700