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Sports Agency Business Plan Template

Written by Dave Lavinsky

Writing a Successful Business Plan For Your Sports Agency Business + Template

If you’re looking to start or grow a sports agency business, you need a business plan. Your plan will outline your business goals and strategies, and how you plan on achieving them. It will also detail the amount of funding you need, and if needed, present a case to investors and lenders regarding why they should invest in your business.

In this article, we’ll explain why you should invest the time and energy into creating a sports agency business plan, and provide you with a sports agency business plan template that includes an overview of what should be included in each section.

Why Write a Business Plan For a Sports Agency Business?

There are many reasons to write a business plan for a sports agency company, even if you’re not looking for funding. A business plan can help you see potential pitfalls in your business strategy, as well as identify opportunities you may not have considered. It can also help you track your progress and adjust your plans as needed.

That said, if you are looking for funding, a business plan is essential. Investors and lenders want to see that you have a solid understanding of your industry, your customers, and your competition. They also want to know that you have a realistic view of your financial situation and how much money you’ll need to get started.

How To Write a Business Plan For a Sports Agency Business

While every business plan is different, there are 10 essential components that all sports agency business plans should include:

  1. Executive Summary
  2. Company Description
  3. Industry Analysis
  4. Customer Analysis
  5. Competitor Analysis
  6. Marketing Plan
  7. Operations Plan
  8. Management Team
  9. Financial Plan
  10. Appendix

Keep in mind that you’ll need to tailor this information to your specific type of sports agency business, but these 10 components should be included in every plan.

Executive Summary

The executive summary is the first section of your business plan, but it’s often written last. This is because it provides an overview of the entire document.

In the executive summary, briefly explain what your business does, your business goals, and how you plan on achieving them. You should also include a brief overview of your financial situation, including how much money you’ll need to get started.

Company Description

The next section of your sports agency business plan is the company description, where you’ll provide an overview of your business.

Include information about your:

  • Company Overview
  • Success Factors & Accomplishments To Date
  • How & When Incorporated

With regards to the company overview, here you will document the type of sports agency company you operate. For example, a sports agency company description might look something like this:

ProEdge Sports Management is a new Sports Agency serving customers in Ames, IA. We are a local sports agency. There are no high-quality local sports agencies in the area, which positions us as a unique and much-needed service provider for athletes around Ames. Our mission is to empower athletes by offering a comprehensive suite of services aimed at enhancing their professional lives both on and off the field.

At ProEdge Sports Management, our services are crafted with the athlete’s needs in mind. We specialize in Athlete Representation and Contract Negotiation, ensuring our clients get the best possible terms in their professional engagements. We also offer Endorsement and Sponsorship Deals, connecting athletes with brands that align with their values and public image. Brand Management and Marketing are key to maintaining and elevating an athlete’s profile, and we excel in these areas. Moreover, we provide Financial and Career Planning services to help athletes secure their future beyond their active sports careers. Legal and Compliance Services round out our offerings, ensuring that our clients always operate within the bounds of regulatory requirements.

Our base in Ames, IA, positions us perfectly to serve local athletes and those from surrounding areas. Our deep understanding of the local market, combined with our wide network, allows us to offer personalized and highly effective services to our clients.

ProEdge Sports Management stands out for several reasons. Firstly, our founder brings invaluable experience from successfully running a previous sports agency. This experience is a cornerstone of our operations, ensuring we provide top-notch services to our clients. Additionally, our approach is designed to help athletes maximize their professional opportunities, maintain an impeccable public image, and secure a stable financial future. We believe these factors set us apart from the competition and are key to our success.

Since our founding on January 6, 2024, ProEdge Sports Management has made significant strides. We are structured as an S Corporation, a decision that aligns with our business goals and growth plans. Our accomplishments to date include the creation of a distinctive logo, the development of our company name, and securing a prime location for our operations. These foundational steps are just the beginning of our journey to becoming the leading sports management agency in Ames, IA.

This is just an example, but your company description should give potential investors a clear idea of who you are, what you do, and why you’re the best at what you do.

Industry Analysis

The next section of your business plan is the industry analysis. In this section, you’ll need to provide an overview of the industry you’re in, as well as any trends or changes that might impact your business.

Questions you will want to answer include:

  • What is the overall size of the sports agency industry?
  • How is the industry growing or changing?
  • What are the major trends affecting the sports agency industry?

For example, your industry analysis might look something like this:

The Sports Agency industry in the United States is a thriving sector that continues to grow year over year. With an estimated market size of $1.5 billion in 2020, the industry has seen steady growth in recent years. This growth is expected to continue, with market analysts projecting a compound annual growth rate of 4.2% from 2021 to 2026.

One of the key trends driving growth in the Sports Agency industry is the increasing demand for personalized and specialized services. As athletes seek to maximize their potential and secure lucrative contracts, they are turning to Sports Agencies for expert guidance and representation. This trend bodes well for ProEdge Sports Management, a new Sports Agency serving customers in Ames, IA. By offering tailored services and personalized attention, ProEdge Sports Management is well-positioned to capitalize on this growing demand.

Another trend in the Sports Agency industry is the rise of digital technology and social media. Athletes are leveraging these platforms to connect with fans, build their personal brand, and attract sponsorship opportunities. ProEdge Sports Management can take advantage of this trend by helping athletes navigate the digital landscape and maximize their online presence. By staying ahead of these industry trends, ProEdge Sports Management can carve out a successful niche in the competitive Sports Agency market. xx

This is just an example, but your industry analysis should give potential investors a clear idea of the overall industry, and how your company fits into that industry.

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Customer Analysis

The next section of your sports agency business plan is the customer analysis. In this section, you’ll need to provide an overview of who your target customers are and what their needs are.

Questions you will want to answer include:

  • Who are your target customers?
  • What are their needs?
  • How do they interact with your industry?
  • How do they make purchasing decisions?

You want a thorough understanding of your target customers to provide them with the best possible products and/or services. Oftentimes, you will want to include the specific demographics of your target market, such as age, gender, income, etc., but you’ll also want to highlight the psychographics, such as their interests, lifestyles, and values.

This information will help you better understand your target market and how to reach them.

For example, your customer analysis might look something like this:

We will target local high school and college athletes who aspire to take their sports careers to the next level. These young talents will benefit from our expertise in career management, contract negotiations, and personal brand development. Our services will be tailored to meet the unique needs of these emerging athletes, providing them with the necessary tools and guidance to succeed.

Additionally, we will focus on professional athletes who require comprehensive management services to enhance their careers. This group will benefit from our specialized knowledge in endorsement deals, media relations, and long-term career planning. Our goal is to help these athletes maximize their potential and achieve sustained success in their respective sports.

We will also target local businesses and organizations interested in sponsorship opportunities and promotional partnerships. By connecting these entities with our athlete clients, we will create mutually beneficial relationships that drive brand visibility and community engagement. Our approach will include customized marketing strategies to ensure effective collaborations.

Moreover, we will engage with sports fans and enthusiasts in the Ames area who seek exclusive access to events, memorabilia, and athlete interactions. By offering tailored fan experiences and exclusive content, we will build a loyal customer base that supports our athletes and elevates their public profiles. This engagement will foster a strong, supportive community around our brand.

In summary, your customer analysis should give potential investors a clear idea of who your target market is and how you reach them.

Competitor Analysis

The next section of your business plan is the competitor analysis. In this section, you’ll need to provide an overview of who your major competitors are and their strengths and weaknesses.

Questions you will want to answer include:

  • Who are your major competitors?
  • What are their strengths and weaknesses?
  • How do they compare to you?

You want to make sure that you have a clear understanding of your competition so that you can position yourself in the market. Creating a SWOT Analysis (strengths, weaknesses, opportunities, threats) for each of your major competitors helps you do this. 

For example, your competitor analysis might look something like this:

ProEdge Sports Management’s competitors include the following companies:

Iowa Ortho

Iowa Ortho offers a range of services including orthopedic surgery, sports medicine, physical therapy, and injury prevention programs. They provide a variety of treatments for athletes, including surgical and non-surgical options. Price points vary based on the complexity of the services, generally ranging from $150 for consultations to several thousand dollars for surgeries. Iowa Ortho generates substantial revenue, thanks to its comprehensive service offerings and established reputation. They have multiple locations across Iowa, including clinics in Des Moines, Ames, and Ankeny. Their primary customer segments include athletes, both amateur and professional, as well as general orthopedic patients.

Geographically, they serve the central Iowa region extensively. Key strengths include a well-established brand, a wide range of services, and a team of highly experienced physicians. Weaknesses may include higher pricing compared to smaller, more specialized clinics, which could deter cost-sensitive customers.

Capital Orthopaedics & Sports Medicine, PC

Capital Orthopaedics & Sports Medicine, PC offers sports medicine, orthopedic care, physical therapy, and rehabilitation services. They focus on providing both preventive and post-injury treatments. Pricing for their services tends to be competitive, with initial consultations starting around $200 and surgical procedures costing several thousand dollars. Capital Orthopaedics & Sports Medicine, PC reports significant revenue driven by their extensive service menu and dedicated patient care. They are based in Des Moines, with additional locations in Clive and Ankeny. Their main customer segments include youth athletes, collegiate athletes, and adult fitness enthusiasts.

They serve the Des Moines metropolitan area and surrounding regions. Key strengths include a strong focus on sports-specific care and a comprehensive rehabilitation program. However, their smaller geographic footprint compared to larger competitors may limit their reach.

Sport Club Coordinator

Sport Club Coordinator provides services geared towards managing sports clubs and teams, including organizational management, event planning, and athlete development programs. They offer consulting services to help clubs improve their operations and performance. Prices for their consulting services vary widely, generally starting at $100 per hour and going up based on the complexity of the project. Sport Club Coordinator has moderate revenue, primarily due to their niche market focus. They operate out of a single location in Ames, IA, but offer services to clubs across the state. Their main customer segments include local sports clubs, high school teams, and recreational leagues.

They serve the broader Iowa area, particularly focusing on smaller towns and communities. Key strengths include specialized knowledge in sports club management and a tailored approach to each client. Weaknesses might include a limited range of services compared to more comprehensive sports management firms.

Your competitor analysis should give potential lenders and investors a clear idea of who your major competitors are and how you compare to them.

Marketing Plan

The next section of your business plan is the marketing plan. In this section, you’ll need to provide an overview of your marketing strategy and how you plan on executing it.

Specifically, you will document your “4 Ps” as follows:

  1. Products/Services: Here is where you’ll document your product/service offerings.
  2. Price: Detail your pricing strategy here.
  3. Place: Document where customers will find you and whether you will use distribution channels (e.g., partnerships) to reach them.
  4. Promotion: Here you will document how you will reach your target customers. For instance, sports agency businesses often reach new customers via promotional tactics including advertising and online marketing.

For example, your marketing plan might look something like this:

Products, Services & Pricing

ProEdge Sports Management offers a variety of key services designed to meet the diverse needs of athletes and sports professionals. One of the core services is Athlete Representation and Contract Negotiation. This service ensures that athletes receive the best possible terms in their contracts, from salary to performance bonuses. On average, this service is priced at around $10,000 to $20,000 per contract negotiation, depending on the complexity and duration of the contract.

Endorsement and Sponsorship Deals are another essential service provided. This involves securing lucrative deals with brands and sponsors to elevate the athlete’s profile and income. The pricing for this service varies but usually falls within the range of 15% to 20% of the endorsement deal’s value. This commission-based structure aligns the agency’s interests with those of the athlete, ensuring a mutually beneficial relationship.

Brand Management and Marketing services focus on building and maintaining an athlete’s personal brand. This includes social media management, public relations, and personal branding strategies. The average cost for these services is around $5,000 to $15,000 per month, depending on the scope and scale of the marketing campaigns involved.

Financial and Career Planning is another critical service offered. This involves long-term financial planning, investment advice, and career transition strategies to ensure the athlete’s financial stability even after their sports career ends. The pricing for this service averages between $3,000 to $10,000 annually, based on the complexity of the financial planning involved.

Legal and Compliance Services provide athletes with the necessary legal support to navigate the complexities of sports law, contracts, and compliance issues. This service typically costs around $200 to $400 per hour, depending on the legal expertise required. By offering these comprehensive services, ProEdge Sports Management aims to be a one-stop solution for all athlete management needs.

Promotions Plan

To attract customers, we at ProEdge Sports Management will employ a multifaceted promotional strategy. We will utilize Online Marketing as a cornerstone of our approach. Our online marketing efforts will include a robust website, engaging social media presence, and targeted email campaigns. Additionally, we will invest in search engine optimization (SEO) to ensure we rank highly in search results related to sports management services in Ames, IA.

We will also engage in content marketing by regularly publishing blogs, articles, and video content that highlight our expertise and success stories. This content will not only drive traffic to our website but also build trust and credibility with potential clients.

Public relations will be another critical aspect of our promotional strategy. We will establish and maintain relationships with local media outlets to secure press coverage for our events and notable achievements. This will help build our brand’s visibility and reputation in the community.

Networking and partnerships will play a significant role in our promotional efforts. We will participate in local sports events, sponsor community activities, and collaborate with educational institutions to create mutually beneficial relationships. These partnerships will provide us with direct access to potential clients and valuable word-of-mouth referrals.

We will also utilize traditional advertising methods such as print ads in local newspapers, magazines, and sports event programs. Additionally, we will leverage outdoor advertising by placing billboards and signage in high-traffic areas within Ames, IA.

To further engage our target audience, we will organize workshops, seminars, and clinics. These events will allow us to showcase our expertise and provide valuable insights to athletes, coaches, and sports enthusiasts.

Finally, we will implement a referral program to incentivize our existing clients to recommend our services to others. This program will reward both the referrer and the new client, fostering a sense of community and loyalty among our clientele.

By combining these diverse promotional methods and tactics, we expect to effectively attract and retain customers in Ames, IA, and establish ProEdge Sports Management as a leading sports agency in the region.

As you can see, your marketing plan should give potential investors a clear idea of your marketing objectives, strategies, and tactics.

Operations Plan

The next section of your business plan is the operations plan. In this section, you’ll need to provide an overview of your company’s day-to-day operations and how they will be structured.

Questions you will want to answer include:

  • What are your company’s daily operations?
  • How are your company’s operations structured?

Your operations plan should be detailed and concise. You want to make sure that potential investors have a clear understanding of your company’s day-to-day operations and how they are structured.

You will also include information regarding your long-term goals for your operations and how you plan on achieving them.

For example, your operations plan might look something like this:

Key Operational Processes

To ensure the success of ProEdge Sports Management, there are several key day-to-day operational processes that we will perform:

  • Client Relationship Management
    • Maintain regular communication with clients to understand their needs and goals
    • Provide personalized career advice and development plans
    • Negotiate contracts and endorsements on behalf of clients
  • Talent Scouting and Recruitment
    • Identify and reach out to promising athletes
    • Attend local and regional sports events to scout talent
    • Build relationships with coaches, scouts, and other industry professionals
  • Marketing and Promotion
    • Develop marketing strategies to enhance client visibility
    • Manage social media accounts and create engaging content
    • Coordinate with media outlets for interviews and features
  • Financial Management
    • Manage budgets and financial planning for clients
    • Oversee client earnings and expenditures
    • Ensure timely payment of contracts and endorsements
  • Legal and Compliance
    • Ensure all contracts comply with legal and regulatory standards
    • Handle any legal issues that may arise for clients
    • Stay updated on changes in sports law and regulations
  • Training and Development
    • Coordinate with training facilities and coaches to enhance client skills
    • Develop personalized training programs for clients
    • Monitor client progress and adjust training plans as needed
  • Event Management
    • Organize and manage client appearances and events
    • Coordinate logistics for travel, accommodations, and schedules
    • Ensure events run smoothly and meet client expectations
  • Networking and Partnerships
    • Build and maintain relationships with brands, sponsors, and other stakeholders
    • Explore new partnership opportunities to benefit clients
    • Attend industry conferences and networking events

Your operations plan should give readers a clear idea of your company’s day-to-day operations, how they are structured, and your long-term goals for the company.

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Management Team

The next section of your business plan is the management team. In this section, you’ll need to provide an overview of your management team and their experience.

Questions you will want to answer include:

  • Who is on your management team?
  • What are their qualifications?
  • What is their experience?

Your management team ideally includes individuals who are experts in their respective fields. You want to make sure that lenders and investors have a clear understanding of your management team’s qualifications and experience, and feel they can execute on your plan.

For example, your management team might look something like this:

ProEdge Sports Management management team, which includes the following members, has the experience and expertise to successfully execute on our business plan:

Noah Moore, CEO

Noah Moore has an illustrious history of success in the sports management industry. Having successfully run a sports agency in the past, Noah brings a wealth of experience and a track record of achieving outstanding results. His strategic vision and ability to navigate the complexities of sports management have positioned him as a trusted leader in the field. Noah’s dedication to excellence and his innovative approach ensure that ProEdge Sports Management is well-equipped to achieve lasting success.

Your management team should give potential lenders and investors a clear idea of who is on your team and how their qualifications and experience will help your company succeed.

Financial Plan

The final core section of your business plan is the financial plan. In this section, you’ll need to provide an overview of your company’s financials.

Questions you will want to answer include:

  • What are your company’s projected revenues?
  • What are your company’s projected expenses?
  • What is your company’s projected growth rate?
  • How much funding do you need and for what purposes? 

Your financial plan should give potential investors a clear understanding of your company’s financials. While you may include a summary of this information in this section, you will include full financial statements in the appendix of your business plan.

For example, your financial plan might look something like this:

To accomplish our growth goals, ProEdge Sports Management needs $207,000 in funding. Key uses of this funding will be as follows:

Capital Investments
Location Buildout $50,000
Furniture $20,000
Equipment $15,000
Machines $10,000
Computers $5,000
Non Capital Investments
Working Capital $50,000
Initial Rent/Lease $3,000
Staff Salaries for the First 3 Months $30,000
Initial Marketing and Advertising $20,000
Supplies $2,000
Insurance $2,000

This is just an example, but your financial plan should give potential investors a clear idea of your company’s financial projections.

Below is a summary of your financial projections. If/when you change the Revenue Assumptions, Cost Assumptions, and/or Other Assumptions, the results below will change.

FY 1 FY 2 FY 3 FY 4 FY 5
Revenues $2,473,311 $2,678,176 $2,900,009 $3,140,218 $3,400,323
Direct Expenses $978,150 $1,027,982 $1,080,353 $1,135,392 $1,193,235
Gross Profit $1,495,160 $1,650,193 $1,819,656 $2,004,825 $2,207,087
Gross Profit (%) 60.5% 61.6% 62.7% 63.8% 64.9%
Other Expenses $97,085 $100,030 $103,065 $106,192 $109,414
EBITDA $1,398,075 $1,550,162 $1,716,590 $1,898,633 $2,097,673
Depreciation $20,000 $20,000 $20,000 $20,000 $20,000
Amortization $0 $0 $0 $0 $0
Interest Expense $20,700 $20,700 $20,700 $20,700 $20,700
Income Tax Expense $475,081 $528,311 $586,561 $650,276 $719,940
Net Income $882,294 $981,150 $1,089,328 $1,207,656 $1,337,032

 

Appendix

The final section of your business plan is the appendix. In this section, you’ll need to provide any additional information that was not included in the previous sections.

This may include items such as:

  • Full financial statements
  • Resumes of key management team members
  • Letters of reference
  • Articles or press releases
  • Marketing materials
  • Product information
  • Any other relevant information

By including this information in the appendix, you are allowing potential investors and lenders to learn more about your company.

Conclusion

In summary, writing a sports agency business plan is a vital step in the process of starting and/or growing your own business.

A business plan will give you a roadmap to follow. It can also help you attract investors and partners.

By following the tips outlined in this article, you can be sure that your business plan will be effective and help you achieve your goals.
 

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