Investment project expediency:
Today there is no such a project on the southern territory of Israel. Although there is a small butterfly exposition in Netania in the park "Utopia" it is not at the level which is necessary for tourist attraction.
The project is simultaneously educational and entertaining.
The house of butterflies allows us to earn financial assets not only from sale of tickets and carrying out of lessons of wildlife, but also from realization of accompanying services to visitors (photos, video shootings, badges, tags, emblems, labels, stickers, collections of dry butterflies, thematic marks, souvenir compositions, ikebana, bansey, baseball caps, vests, handles, mugs - all it with emblems of the House of butterflies, etc.). It is necessary to organize a playground for children with mini-attractions.
The House of Butterflies represents a complex of constructions from easy modular designs, including:
• Premises for growth, reproduction and cultivation of a biological material;
• Premises for the personnel, guides and security guards;
• A main building consisting of a winter garden with tropical plants, reservoirs for exotic small fishes, open-air cages for songbirds, for flight of butterflies (not less than 100 kinds);
• Premises for a bar, cafe;
• Premises for trading souvenirs, and photo, video, etc. production;
• A premise for processing and printing of photos and video data;
• An office of the site managers;
• A cash desk and gain storage;
• Premises for the electrical workshop, the fitter workshop, the carpenter workshop;
• Premises for power and compressor installations, equipments of a micro-climate and lights control.
The land on which the House of Butterflies will be placed should be unsuitable to use for agriculture, housing and industrial building and it is desirable to be located somewhere easily accessible to potential visitors "through passage" on routes of tourist groups (park zones, recreations, campuses, markets, and so on). The land plot needed should be not less than 1-2 hectares.
List of staff of the House of Butterflies:
• The manager of object: 1 established post with the salary not less than 15000 shekels;
• The entomologist-guide: 2 posts with the salary not less than 5000 shekels everyone;
• The electrician-mechanic-welder: 1 post with the salary not less than 5000 shekels;
• The mechanic for instruments and equipment for control electronics and automatics of all kinds: 1 post with the salary not less than 5000 shekels;
• Sellers, barmen, waiters, security guards, photographers etc. - under contracts with firms-counterparts;
Sequence of actions:
• Drawing up the detailed business plan; estimation of the project financing needs;
• Research of financial assets;
• Selection of a legal firm for constant legal support to the future business;
• Consulting, marketing of the business in Israel;
• Project search abroad, acquisition of the design-budget documentation;
• Search for land and ground area registration;
• Preparation of the design and budget documentation;
• Order of modular designs;
• Selection of the general contractor and establishment of contractual relations with it;
• Installation of buildings, constructions, premises, commissioning;
• In parallel with building and design works:
- Personnel selection and training;
- Provision with technology for work with biological material;
- Purchase and cultivation of the biological material (directly ahead of object start);
- Organization of all accompanying spheres of services;
• Legal support of the project will be carried out from the first day of the work; All kinds of contracts and documents will be completed in parallel to the other activities;
• Advertising and promotion of the business.
Profitableness of business:
Within a year of work it is really possible to receive (from all kinds of services) gross revenue up to 300000 dollars at net profit up to 60000 dollars.
Thus profitability of business will be constantly within 20% .
Conclusion: the business recoupment really will come through 7,5 – 8,5 years of work which is normal for business projects of such kind.
At the planning it is necessary to remember that:
This business is unique for Israel and therefore there is no competition. Consequently, a gradual rise in prices and growth of incomes are really possible.
When competently developed, the House of Butterflies can be included in all tourist routes and will become one of sights of the state with obligatory visiting by tourist groups that also can attract financial grants from tour operators, departments on wildlife management, education establishments, culture organizations and the state.
I am personally familiar with this business and my company «IsraRiga LTD” is ready to organize it for Ashdod at the consent and financing from a city administration.
We have identified a business-niche in Israel.
Similar businesses are now thriving in Europe and USA, which clearly shows that our business idea is one of high potential.
Variants of financing of the project:
Joint-stock company creation, issue of actions, their realization;
Proceeds of credit of banks; demand lines of credit of the financial companies;
Means of investors-partners or one investor-owner of business;
The combined variants;
A finding abroad owners of similar business and opening of branch of their firm on their means.