Questions & Answers…
1.
What is the term of the lease? How long am I
obligated?
a.
12 Months. With our rotation plan, you can
move to new sets every year.
2.
How many times do we have to rent the sets to break
even?
a.
Based on rental revenue alone, given typical rental rates charged
by courses, sets typically pay for themselves when rented twice in a month.
3.
What is the break even point IF we factor in
incremental golf rounds?
a. Using an example of 10 rental sets you’ll typically be cash positive with less than 9 incremental golf rounds per month. The matrix below has Misc. Revenue calculated as 20% of the greens fee charged. Rental club fees ramp from $30 to $45 as greens fees rise in the examples below.
