Our Marquee Namely Silver Lotus is now Built although we are short of approx £50,000 to finalise some finishing touches.

Silver Lotus has enjoyed great response from all members of the public.

Marketing has started to give awareness for the next wedding season.

 

 

Luxury Marquee

The marquee is an industrial grade executive structure with 3m eaves. Clear windows. The installation will require excavation for foundations and will take 3-4 weeks to assemble.

In considering the marquee, many questions were raised and researched. Below are just the few:

  • Do we need planning permission as it’s a temporary building. Yes, for temporary structure up to 28 days a year is exempt from planning requirement. As the marquee is for 48 months, planning consent will be required.
  • Would the marquee belong to MKHA? No. we would hire the marquee as it would be cheaper than purchase for the quality we would need and by hiring, we may not have the maintenance cost.
  • How much will the Marquee cost? The cost varies vastly based on the size and quality of the structure. The typical cost to buy would be in a region of £500,000. The hire cost would be £100,000 for 4 years
  • Does it have toilets and kitchen.  We will build luxury facilities within the marquee.
  • Will the floor be uneven on the grass area.  No. a metal platform would be erected and wood on top and finishing off with carpet or another suitable flooring
  • Will the walls look like a typical marquee. No. a double skin on roof will be provided to avoid condensation and white lining throughout will be provided except windows. Additional solid walls will be built for soundproofing and the storage, Toilets, Kitchen and the meeting rooms.
  • Is there a security risk. There is an increased security risk due to the nature of the fabric but no valuable would be expected to be stored overnight.
  • How big will the marquee be. We are intending to put a marquee of 25m x 35m which is same footprint as the planned building. It will be much more spacy inside as there will not be any obstruction, offices etc in the space. After the ancillary structures are built, the open space will be 20m x 30m. This is large enough to have a standing audience of over 600 guests.
  • What are the expected challenges.  We are expecting objections by local residence as they will experience added noise and disturbances with the fact that more people would be visiting. However, we will work closely to work in harmony and have a good management plan.
  • What kind of revenue are you expecting?  As it will be luxury quality finish, we expect from £5000 for 40 weeks to £10,000 for 40 Weeks PA (200,000 to 400,000PA).We would breakeven by averaging £3000 per month over 48 month.
  • Will you need staff. Yes, in order to achieve the full potential, staff will be required to run and manage the events.
  • Will Non Veg and liquor be allowed.  Yes. The difference for the revenue stream is vast. For veg only and no alcohol venues, the expected rent would be 3000 – 4000 per day and would also have less demand. For Non-veg and alcohol, the expected rent is 8000 – 12000 per day with full audience. We could however have a managed kitchen facility to keep sections separate.
  • Do you need licence to serve alcohol.  We don’t need to but would help rent easier but will have time restrictions.
  • What will be the capacity.  Expected to be 450 – 500 from planning prospective but the accommodation is large enough to seat 600 guests.
  • Will it have sound system.  No. this will be provided by events company although we can help
  • Will it have lighting.  The marquee does not come with lighting but we will be fitting chandeliers.
  • Will. The volunteer run the events. No. dedicated paid staff will run the events
  • Do you have enough parking.  We have 98 spaces for cars and will try to increase this facility further.
  • Does it have portaloos. No. quality toilet facilities will be fitted. It is an executive marquee and also needs quality facilities
  • What if we can’t get any customers. Worst case is that we will know that having a large building is not feasible and will save us from losing large amount of money in long run by not having to build the main structure. We will also have a function place for our events for 4 years.
  • Can it be used for badminton or indoor sports. Yes.
  • Can it be rented for smaller events. Yes. Partitioning will be sought later to section out the space.
  • Will it have heating and AC. This will be hired in or purchased if depending on cost
  • How much will it cost. 160-200k. 85k marquee, 15K planning, 25k bathroom facilities, 30k Kitchen. Construction 50k (Ex VAT)
  • Do you pay monthly or all together for the marquee rental. We pay 40k with order and balance on complete erection.
  • Do you have to pay council tax. Unsure but I think not as it is a temporary building
  • How will you fund it. We will use interest free loans from community members. The outstanding will be financed by MKHA.
  • How will you decide who to pay back first. The first 30K will be kept in the bank for cashflow management. The balance will be paid to lender in a percentage manner every quarter after.
  • How long do you think it will take to bay pack the loans. Certainly, by year 5 but more likely at end of second year.
  • Does the lenders have any added benifits. Yes, they will have first refusal and a discount will be offered to the lenders based on the percentage they have lent for the project. The discount level to be decided.
  • Will there be staff during the function. Yes, there will be employed staff present when the expected guest is expected above 300. They will be to assist parking and general management.
  • Will I have chair and tables. We can arrange a local company to facilitate the requirements.
  • What happen to the funds if the planning is refused. After our appeal process, all lenders will be returned their money in full. The donations will be transferred to MKHA funds that is built up to start main Phase2 building.
  • What happens to the loan if I die within 5 years. Any outstanding loan will be paid to their estate.

Benefits of a Marquee

    • Capacity 400 to 500 people (May be more)
    • Revenue scope from 2000pw to 12000pw
    • Cost of hiring the marquee 100k + 100K
    • We can learn early on how to manage events
    • We can learn on managing higher revenue
    • The successful running of the marquee will form a part of a feasibility study of our building project financially over 3 years
    • Marquee will allow us to utilise our current underused land.
    • Our problem for large venue would be eliminated while marquee is erect
    • It will produce income generation history for any loan application in future
    • Will gain confidence in public when events are seen at the site
    • Will get the local residents used to having the hall and functions at MKHA with regards to traffic, noise, inconvenience etc
    • We would only need to generate or save approx. 3k per month over 4 years to break even. More to the point, if we can’t, raise just this small amount, then the main building is not financially sustainable.
    • We will be able to hold large fund-raising functions such as Dinner and dance, Katha etc