Market Research Report
Based on the parameters below, we project this business would break even in 2.2 years with a net present value of $217,766.
Net Cash Flow over 5 years
|Year 0||Year 1||Year 2||Year 3||Year 4||Year 5|
|Net Operating Profits||$32,876||$49,314||$65,752||$68,688||$71,754|
|Net Cash Flow||-$73,313||$32,876||$49,314||$65,752||$68,688||$287,017|
Startup costs are estimated as the larger of PYE and median income multiplied by the cost of living in the city. The positive cash flows in years 1 to 5 are estimated from the PYE. The first year is discounted by 50%, the second year is discounted by 75%, the fourth through tenth years are inflated according to a growth rate estimated from the GDP growth rate of the state. The profit margin is defaulted 10%. In year 5 a “terminal value” equal to the year 5 net operating income times three is added. The hurdle rate is defaulted to 15%. All values are net of taxes.
How is this opportunity calculated?
The following ten market factors are the most important determinants used to calculate the need for businesses of this type in Pompano Beach.
- median income
- gross rent
- population density
- November temperature
- July temperature
- May temperature
- household size
- February temperature
- median resident age
Suppliers & Service Providers Contact List
Thousands of commercial properties for sale!
Find the right commercial property for your business here.
Thousands of properties to choose from.
Free help for entrepreneurs
Our professionals can help you get your business going.
We can help with your business plan! We have expertise and datasets.
Get a great business loan today!
Get a business loan that suits your needs.
Get the business loan you need and want.
About Pompano Beach and its Consumers
Pompano Beach is a city in Broward County, Florida, United States, along the coast of the Atlantic Ocean just to the north of Fort Lauderdale. The nearby Hillsboro Inlet forms part of the Atlantic Intracoastal Waterway. As of the 2010 census the city's population was 99,845,with an estimated population of 102,984 as of 2012. It is part of the Miami Metropolitan Area, which was home to 5,564,635 people at the 2010 census. Pompano Beach is currently in the middle of a redevelopment process to revitalize its beachfront and historic downtown.The city has also been listed as one of the top real estate markets, being featured in CNN, Money and the Wall Street Journal as one of the country's top vacation home markets. Pompano Beach Airpark, located within the city, is the home of the Goodyear Blimp Spirit of Innovation. According to the United States Census Bureau, the city has a total area of 25.4 square miles (65.8 km2), of which 24.0 square miles (62.2 km2) is land and 1.4 square miles (3.6 km2), or 5.54%, is water.
Pompano Beach is a city in Broward County, Florida, United States, along the coast of the Atlantic Ocean just to the north of Fort Lauderdale. The nearby Hillsboro Inlet forms part of the Atlantic Intracoastal Waterway. As of the 2010 census the city's population was 99,845,with an estimated population of 102,984 as of 2012. It is part of the Miami Metropolitan Area, which was home to 5,564,635...description source
Population Population (2012) 102,984 Population Density 4,290 ppl/sq mi Population Growth Rate 3.1% Median Income $34,560 Median Age 42.7 Unemployment 6.2% Family Household Percent 53.5% Avg. Household Size 2.3 Avg. House Price $153,700 Foreign Born 27.6% Married 36.3% Cost of Living 58.5%
Demographics White 50.6% Hispanic / Latino 17.5% Black / African American 28.2% Asian 1.3% Native American 0.2%
Market & Regulatory Conditions For Florida
Third parties rate Florida's business and regulatory conditions according to their own methods. We report them here for informational purposes.
Small-Business Friendliness Overall small business friendliness C Ease of starting a small business C Cost of hiring a new employee C Overall regulatory friendliness B- Friendliness of health and safety regulations C+ Friendliness of employment, labor, and hiring regulations B- Friendliness of tax code B+ Friendliness of licensing regulations C+ Friendliness of environmental regulations C+ Friendliness of zoning regulations C+ Publicity of training programs C Publicity of networking programs C+ Current economic health of small business 34th/50 Change in revenue over past 12 months 35th/50 Forecast of small business's future economic health 23th/50Source: Thumbtack.com (2012)
Business Friendliness Overall Business Friendliness 20th/50 Cost of Doing Business 37th/50 Economy 11th/50 Infrastructure 27th/50 Workforce 3th/50 Quality of life 28th/50 Technology and innovation 12th/50 Business friendliness 35th/50 Education 38th/50 Cost of living 31th/50 Access to capital 7th/50Source: CNBC (2014)
Tax Friendliness Florida Corporate Tax Rate 6.0% Avg Local Corporate Tax Rate in Florida 0.6% Avg Combined Corporate Tax Rate 6.6% Overall tax friendliness 5th/50 Corporate tax rank 14th/50 Individual income tax rank 1th/50 Sales tax rank 12th/50 Unemployment insurance tax rank 3th/50 Property tax rank 16th/50Source: Tax Foundation (2015)
Resources to Get Started
Now that you have a potential location and idea for your business, here is a list of helpful resources you may need to get started.