[Finance] Bomber Bicycle Valet Proposal Counter Offer

[Bill Newman]

Lots of good work here.  Not sure if I get the whole picture.

The Bombers will be looking at what Bike Winnipeg is actually 
providing.  They could likely do the whole thing themselves--just take 
the Bike Valet concept and do it.   We need to provide an attractive 
package they can pay for and get the whole job done.
     In particular the status quo with price breaks scenario looks like 
they are doing a lot of work and we're just staffing the station for a 
little setup and customer service.  (Not quite like that.)  But I can't 
see them wanting to get into a deal like that. (Or was that your 
point--a throw away option to move them to the full price deal)

I assume the numbers in the spreadsheet are actual anticipated costs and 
our expected profit would be the 15% "admin fee".  That seems a little 
low for the gross profit on an operation like this.  What have you 
allowed for maintenance and equipment replacement?

I forget what our current capacity is.  What sort of capital costs are 
we looking at for some of the higher capacities?  Do we also need to 
provide a capital reserve fund (expense item) to maintain our capital 
plant in the long run?

I hope we can impress them with a professional full-meal deal that will 
enhance fan experience and provide a tidy profit for us.  We've 
certainly put a lot of effort into this project.   I think we deserve a 
return on our investment.

     --Bill

On 2014-03-20 18:57, Mark Cohoe wrote:
> Hi,
>
> Amanda and I have worked on a counter offer for bicycle valet services 
> at the 2014 Bomber games that would see us provide valet service at 
> the rate of $800/game. I'm attaching a document that outlines in-kind 
> requirements we would need from the Bombers to reach this price, plus 
> the original proposal and an updated version of the spreadsheet 
> outlining our costs (see the Rates and Bombers-500 tab on the attached 
> spreadsheet). At this time, we're just counter offering on the 
> status-quo proposal.
>
> Please take a look over this and get back to Amanda and I on 
> acceptability of this proposal. We hope to get it back to the Bombers 
> tomorrow.
>
> Here are the essential changes from the original proposal to the 
> counter proposal
>
> Here is what has changed
>
>   * We've dropped the volunteer time requirement by two as we had
>     missed including Amanda and Alyssa in staffing requirements
>   * We've dropped the coordinator time for volunteer scheduling from
>     one hour per 10 hours of scheduled volunteer time to one hour per
>     20 hours of scheduled volunteer time
>   * We've changed the volunteer stipend from an hourly rate into a
>     rate/shift, which increased the cost a bit but better reflects our
>     reality
>   * We've allowed for 65% of volunteer stipends to come through Bomber
>     bucks (that was how I got the cost down) - I think this still
>     allows room for volunteers to donate their stipend to us
>   * We've dropped $0.5/volunteer hour in volunteer appreciation that
>     would be provided in kind by the Bombers through use of the Blue
>     and Gold Club
>   * We've added an hour of Amanda's time for inventory/cleaning
>   * We've added an option for volunteer time to be provided by the Bombers
>       o They would need to provide 4 volunteers for an hour beginning
>         30 minutes prior to the end of the game
>       o This allows us to drop the number of volunteers required at
>         peak times
>       o With this option, their Bomber bucks requirement drops back to
>         the 50% of our volunteer stipend expense (vs the 65% if they
>         provide no volunteers)
>
> Mark
>
>
> _______________________________________________
> Finance mailing list
> Finance at lists.bikewinnipeg.ca
> http://lists.bikewinnipeg.ca/listinfo.cgi/finance-bikewinnipeg.ca

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://lists.bikewinnipeg.ca/pipermail/finance-bikewinnipeg.ca/attachments/20140321/048622d3/attachment-0003.htm>