How financial modeling helped a medical fitness company to successfully raise $5 Mn in Riyadh
Background and Challenge
Client’s Background:
- The Client is on of the most distinguished Real Estate Consulting Firms In the Global Market .
- The company offers various real estate services, including acquisition and disposition, auction, brokerage and transaction management, construction management, corporate, investment analysis, market research and analysis, property development and facility management, project management, relocation and capital service.
Challenges Faced by Client:
- Challenges in accessing Market Assessment: The client wanted to undertake the comprehensive market assessment and feasibility analysis on Medical Fitness Service Industry in KSA, for setting up a medical service center. Hence, they contacted Ken Research and Strategy Advisory to exercise the financial modelling for them.
- Difficulties in Curating a Financial Model: In addition, The client needed assistance on developing a financial model for their project in stringent timeline, hence they outsourced this activity to Ken Research.
Medical Fitness Service Market Industry at Glance:
- The rising number of health clubs and gyms with personal training and the latest fitness equipment is attracting consumers to health and fitness clubs.
- As part of the Vision 2030 plans, the Saudi Government launched the National Transformation Plan, which aims on encouraging the health and wellness among individuals in the country and advancing the number of physically active individuals in the Kingdom, from 13% to 40% by 2030.
Approach and Recommendations
Market Assessment Exercise for the Client
- Ken collaborated with its client to curate a detailed market assessment and feasibility check of market size for Medical Fitness Service Industry in KSA.
- Ken Research’s Team also curated a list of major players operating in medical fitness services across the country to build up a quality Ecosystem of the market.
- These discussions gave the client possible indication to get a know-how of the Medical Fitness Services Industry in KSA.
In-Depth Analysis of Financial Modelling
- The second phase of work focused on analyzing the financial modelling.
- The study included deep dive analysis on the parameters including Capital Cost Analysis, Variable Cost Analysis, DCF Modelling, Financial Ratio Analysis, Service Vendor Analysis, Financial Ratio Analysis, Break Even Point and Profitability Analysis and more to construct a quality financial model for the client.
- This helped the client to get clarity on new financial model for their operations with eminent and noteworthy Primary Research by Ken Research in short span of time duration.
GTM Strategy and Quality Recommendations
- After identifying and analyzing the financial modelling, Ken provided GTM Roadmap Strategy to the client for to mark the way forward in an attempt to increase their network reach.
- Ken Research delivered a quality recommendations to the client basis major clusters/locations and upcoming hubs for medical fitness service industry, revenue stream and more that helped the client to gain future opportunities with high profitability check.
- Sales strategies and success factors highlighting the operations to be consider were also proposed that helped the client to successfully evaluate the price plan and target opportunity in the KSA market.
Result and Conclusion – Client successfully launched Medical Fitness Service center with revenue yield of over $5 mn in first year
Quality Assessments and Strategies
Ken Research delivered detailed market assessment and GTM Strategy for Medical Fitness Center in KSA to the client, with insights provided on customer cohorts and sales strategies.
Insightful Feasibility Checks
The client has successfully able to get insights on feasibility analysis and scope for Medical Fitness Center in Riyadh which enabled them to get better clarity for market entry.
Catering the Best Services to the Client
Ken Research delivered a detailed financial model and a partner roadmap strategy and helped the client to identify a high growth and high profitability revenue model.
Business Impact
-
$5 Mn+
funding raised