Transcript
A (0:00)
All right, let's rock. Revenue business and problem.
B (0:05)
My name is Matthew. I sell premium catering experiences to private clients looking to celebrate milestone events in Sydney. Great. We do about 2.8 million this year with 40% net profit. We'd like to be at 8 million in two years.
A (0:18)
Let's go.
B (0:18)
The main constraint seasonally. So we do about 65% of our annual revenue in six months. And if I don't solve this, I either say no to demand in summer or I am overstaffed in winter.
A (0:30)
Yeah. So one thing right off the bat I will say is that this is a feature, not a bug of the industry that you're in. Right. Same thing as lawn care guys. Same thing as guys who do snow plowing. It's just a, it's a super common thing. Swimming pools sometimes obviously in the summer. So like there, there are industries that are just going to be more smoothies if you've summer versus Italian ice store. Like there's a lot. Right. That are seasonal now. Couple questions. So catering, what is your, what is your hot season again?
B (0:55)
Pretty much September through February.
A (0:58)
Okay. And so from now until September is when it's slow.
B (1:03)
Yes.
A (1:03)
So what. Why are people not celebrating from now until September? Actually, I'm not even sure it's a festive season.
B (1:09)
I think. Yeah, it's. It's not, it's not as much of a festive season. I think people don't spend as much money going through winter. I don't know if any of that has to do with.
A (1:19)
But you still have like in general east. Don't worry about the economy. They get whatever. I would just remove economy from. From lexing hunt. There's nothing you can do about it. So. Okay, so people don't do Easter, you don't do corporate events.
B (1:32)
We do do corporate. Yes. So we target corporate through winter more. So they have better lifetime value but they have lower spend per. Per event, which lowers gross profits. So we do market more or less exclusively to private.
A (1:44)
Okay. I'm just like, it actually doesn't sound like you're actually in that seasonal of a business. People have like. I mean I started with that but like catering happens year round. I mean, shoot, I cater every single week.
