The only thing that has held Get Cycling back in the past is that, following diversification into the very successful retailing of capita lintensive disability cycles, they were not able to generate enough extra cashflow to properly support the events and programmes side of their activities.
With the new CBS being freed from that constraint, and the new share capital giving that cashflow, Get Cycling are predicting a very bright future. They are confident that the new staff appointed will help drive the marketing of these events, attract new contracts and bookings, and so grow the revenues.
Get Cycling are also projecting an increase in grant income as their new charitable status as a CBS means they will be eligible for lots more grants, enabling them to undertake projects which may not be so commercial but deliver their mission. They will have the working capital to employ a professional fundraising consultant to support them.
These together enable Get Cycling to be pretty optimistic that they will be able to trade with a healthy surplus, and that surplus means they can pay interest to investors as a thank you for letting them use invested money for three years of trading follwing the 2019 share raise, after which it will be available for withdrawal.
Get Cycling's customer base is, and will be, local authorities, primary and secondary schools, universities, corporate workplaces, community groups and disability support organisations. They operate in city centres, parks, playgrounds, classrooms, car parks, sports halls, office foyers, etc. Engagements range from a single afternoon to intense six-week regional tours of schools, workplaces and town squares. They are booked for Festivals of Cycling and have been prominent at the York Festival of Cycling for the last seven years.
For the first year of trading Get Cycling forecast sales of £228K, about what was achieved for the same operations in 2019 as measured within Get Cycling CiC. There will be big changes in this first year, but profit will be low due to the cost of new staff not yet being fully effective as they bed in. Get Cycling project steadily growing sales and profits for each subsequent year.
Please note that Get Cycling's cash reserves will more than cover the very small difference in Year One between the cash generated from trading and the 4% interest payments they need to make.