annual report
2012–2013
flyer enterprises
28%
Seniors
$1.2 of
11%
Freshmen
annual revenue
185
million
employees
27%
Juniors
34%
Sophomores
one
of the fastest growing
student-run businesses
in the country
Our program is comparable to Harvard, Stanford, Princeton, Georgetown & Loyola
2 | Flyer Enterprises
402
1990
10 divisions
active alumni
founded in
32 majors Dietetics Theatre Entrepreneurship Engineering Marketing Computer Science Psychology Graphic Design
&
more
2012– 2013 annual report | 3
4 | Flyer Enterprises
table of contents
10
letter from our chief executive officer
14
coffee divisions
18
dining services joint ventures
22
retail division
26
culinary divisions
30
FE storage
32
FE IT group
34
letter from the president of corporate development
36
letter from our chief financial officer
39
our teams
40
financial statements
42
locations map
2012– 2013 annual report | 5
6 | Flyer Enterprises
let us introduce ourselves
Flyer Enterprises is one of the largest and most established student-run businesses in the nation. At the University of Dayton, Flyer Enterprises now employs over 185 undergraduate and graduate students throughout ten separate operating divisions— all of which are continuing to experience steady growth including our newest division opening in October 2013. Flyer Enterprises has come a long way since our start in 1990, now generating annual revenues of $1.2 million and still growing! With our business comparable to programs at Harvard, Stanford, Georgetown, Princeton and Loyola, we strive to give our student employees, whether a sales associate or the CEO, unparalleled, hands-on learning opportunities. At FE, we live by four beliefs: Ethics, Accountability, Passion and Purpose. We strive for every employee to be held to a high standard of personal accountability in making ethical decisions in and out of work. This allows us to gain the experience to find our passion and purpose in life. We employ only the best leaders and team players on campus to make Flyer Enterprises the best it can be.
2012– 2013 annual report | 7
how we
operate
The heart of Flyer Enterprises’ success lies within the 185 employees who are top students at the University of Dayton. We develop our employees and business through an experiential education model encompassing a range of skill sets from financial management, information technology, and operations management to marketing, graphic design, human resources, and much more.
through a hands-on learning experience and have the ability to be involved with whatever their passion is. From there, our executives make it a priority to work personally with all of our managers and sales associates. For example, our CFO is a leader to the financial managers and assistants and our CIO empowers the IT Group while they improve technical and functional support across the company.
We are committed to helping one another apply classroom knowledge to our work experience that will ultimately help us find our purpose in life. We believe that no dream is too far to be reached as long as we stay fully committed and engaged in our work.
In addition to our CFO and CIO, we have seven other executives who can act as mentors to our employees. The President of Business Development leads all corporate and divisional marketing strategies and works with our new venture coordinators to continue the growth of FE. The President of Corporate Development leads HR within the company and ensures that all employees leave with an enjoyable and worthwhile experience. Lastly, the divisional presidents of Coffee, Culinary, Dining Services Joint Ventures and Retail work with their managers and sales associates to produce results within the divisions that advance the long-term vision of FE.
Students in FE executive and manager positions are able to act as mentors to our sales associates by helping them develop the essential skills that help to establish success within the company. Our team of FE employees is unique in that we come together for one reason: to act with integrity while working to better our experiential learning opportunities. FE’s CEO sets the overall vision that we strive to achieve as well as lead a team of eight executives, ensuring each of their employees are being challenged
8 | Flyer Enterprises
By offering students the opportunity to apply classroom business, communication, and leader-
ship lessons to practical daily work experience, Flyer Enterprises serves the University community while acting as a learning laboratory for tomorrow’s top professionals.
Vice President of IT Marketing
Vice President of Systems Operations
2012– 2013 annual report | 9
letter from the
chief executive officer This was a monumental year for Flyer Enterprises thanks to a focus on strengthening our foundation while simultaneously igniting massive external growth. We made great strides enhancing operations and expense control at every division, while our supporting IT and accounting functions made larger impacts on the company through innovative process improvements. Despite struggles in sales, greater control of expenses elevated FE to increase our company-wide profits over 30% from last year! While our operating divisions worked hard on increasing profits, our corporate office was busy advancing FE with various innovations of its own. Two executive positions, President of Business Development and President of Corporate Development, were restructured so that each had a narrow focus, which allowed us to create the FE Games and the new FE Beliefs. Creation of the leadership development packet led to an all-time high in employee development, as well as doubled records from previous years in management applications and in the enrollment of both leadership development programs. At the same time, we were able to roll out a brand new FE Placement Series consisting of events and initiatives to get FE employees placed into internships or jobs. Through the Placement Series we established the first FE Development Day, launched a brochure campaign, and held networking events with Fortune 100 companies exclusively for our employees.
10 | Flyer Enterprises
As if that wasn’t enough, we also climbed to new heights outside the company. In June 2012, the executive team traveled to Loyola University in Chicago to consult their recently established student-run business, Loyola Limited. The next month, Georgetown’s The Corp visited FE to continue benchmarking off of The Chill for a new business they eventually opened later in 2012. Finally, Ohio University students visited FE in October for help with creating a new studentrun business which, with FE’s advice, opened at OU later in 2013. However, our external reach wasn’t limited to our peers as we created a partnership early in 2012 with Chaminade Julienne High School in Dayton, Ohio. With this relationship, FE focused on giving back by having two of our executives teach a class focused on business careers and student run business opportunities for the CJ High School students. Perhaps the two largest accomplishments for FE this year came in the form of physical creations. First was the acquisition of a new corporate office located in Miriam Hall 306. This location allowed for all of our offices to be centralized in one place bringing FE Corporate, FE IT and The Blend Express all together with more space for employee interaction. Finally, and most notably, FE officially announced its tenth division in March 2012 when our Board of Directors approved our acquisition of The Jury Box in Keller Hall. This not only marks the movement into double digit divisions, but also signifies FE’s maturity
• Increase
company-wide profits by 30% • Cut company expenses by 9.79% • Created new IT Group focus • Redefined the internal accounting process • Executive Team Refocus • FE Beliefs • FE Games • Employee Development Records
as an organization. The Jury Box was FE’s largest investment to date and was completely pursued by a coordinated effort of our employees rather than an external proposal. In conclusion, 2012–2013 has certainly been one of FE’s most memorable years. We found ways to reaf-
firm the way we operate, as well as found new ways to bring innovation across the company. Without a doubt, 2012–2013 marks a year that future FE employees can look back on as a decisive turning point toward what FE can become.
FE Love Forever,
LDP I – 61 students LDP II – 30 students Manager Applications – 52 candidates • Placement
Series
Development Day Brochures Networking Events
Jury Box Creation • New Corporate Office • Loyola Limited Consulting • Helped start OU SRB • Helped start CHILL at Georgetown • Chaminade Julienne Partnership • The
Sean Holdmeyer
2012– 2013 annual report | 11
12 | Flyer Enterprises
DIVISIONS
2012– 2013 annual report | 13
14 | Flyer Enterprises
coffee divisions
2012– 2013 annual report | 15
Still tucked cozily in the basement of Roesch, The Blend continues to provide tasty beverages and convenient alternative for the studious. As delicious options continue to be featured, more people make a point to stop through to get the great Blend experience.
coffee divisions The fiscal year of 2012– 2013 was an exciting, challenging, and rewarding year for both The Blend and The Blend Express. Each division experienced progress despite facing difficult challenges throughout the year. Before the fiscal year began we decided to re-evaluate each division’s vendors, product offerings, and marketing efforts. As a result of the analysis, we determined that we should re-launch the majority of our product lines and strive to become more financially driven, with the ultimate goal of providing our customers with exceptional service and the best coffee products available. Additionally, we sought to increase employee engagement and satisfaction by creating different positions and roles based on employee interests and amplified managerial mentorship. The management team did an exceptional job in uniting both divisions, harnessing employee talent, and creating a new brand for Coffee.
16 | Flyer Enterprises
At the onset of the fiscal year, Coffee’s management team was informed that The Blend would be facing a substantial barrier with looming renovations to the University’s Roesch Library. The Blend Express employees knew that it would be a challenging year due to increased activities in Miriam Hall’s atrium which required the division to decrease its hours of operation. Both divisions saw a change in customer traffic which lowered our sales volume 17%. Knowing that our sales volume would be decrease throughout, the year we worked extremely hard to increase our sales per transaction as well as focus on continuing operational improvements. At the end of the fiscal year, the Coffee divisions turned in one of their best financial performances with a combined net income of $38,315. Moving forward, the Coffee divisions are in a great position for continued success.
Mark Becker President of Coffee Divisions
The coffee divisions offer a variety of flavors to please any person’s preference.
The Blend sales associate hands over an expertly crafted Blendie to a delighted customer.
2012– 2013 annual report | 17
18 | Flyer Enterprises
dining services joint ventures
2012– 2013 annual report | 19
Stu’s Landing continues to be a hot spot for tired, hungry students at the top of the hill. This friendly employee sends a happy customer along their way.
dining services joint ventures The fiscal year of 2012– 2013 was one of the best times to be a member of the three Dining Services Joint Ventures (DSJV) divisions. Not only did the divisions experience great operational and marketing developments, but the employees also developed great personal and professional traits that will guide them to success. Each employee’s drive to think innovatively about their respective division’s growth was remarkable. Along with all of our success this year, the three DSJV divisions became closer as a unit. The Chill experienced many operational changes this year. The inventory storage area was reorganized multiple times throughout the year to successfully utilize more space. With the change in storage we now have a better understanding of our inventory. Also, we exploited some of the new space for “The CHILL Zone,” which became an interactive
20 | Flyer Enterprises
employee-based section in our back room for employees to read important notices, take part in our incentive programs, and better understand the store happenings. Due to their hard-working marketing team, The Galley has become a regular destination for organizations to gather and promote their group. Almost every week a different organization came forward with the hopes of receiving the benefits of featured at The Galley. In addition, a new tradition was started called “The Galley Challenge” which spurred an average weekend increase in sales by 31% October and November. In terms of philanthropy, The Galley exceeded expectations by donating $290 to The Boys and Girls Club of Dayton and $271 to Children’s Miracle Network. Stuart’s Landing more efficiently operated the store through analyzing data and sell new products. The general management team maximized the use of product data to make better use of our inventory and ordering systems. This led to a decrease in expenses of almost $40,000 relative to the previous fiscal year. Director of HR Samantha Costa made
sure the employees were getting the most out of their FE experience; at any given time, 95% of the employ-
ees were involved in some way within the division.
Cameron Legan President of Dining Services Joint Ventures
Whether students need to a pick-meup after a hard workout or to relax after a friendly game of basketball, The CHILL’s refreshing indulgences always satisfy. Often, students come into the RecPlex specifically enjoy frozen yogurt and smoothies that can’t be found elsewhere on campus!
Among the variety of food and treats The Galley offers are piping hot pretzels! Students consistently frequent The Galley to get the uniquely offered hot foods, snacks, and delicious ice cream.
2012– 2013 annual report | 21
22 | Flyer Enterprises
retail division
2012– 2013 annual report | 23
retail division Flyer Spirit experienced many changes over the course of the 2012–2013 fiscal year. One of the biggest changes was the implementation of a new managerial organizational structure. By adding four additional managers we could dedicate resources to areas we wanted to improve and better focus on the main areas within the store. The newly designated areas are Custom Clothing, Finance, Human Resources, Marketing, Inventory and Web. Another large area of change for Flyer Spirit was its inventory process. We implemented an inventory system that allows for the store to see in real time what is located in our storage facility and what is located at the store itself. This system also alerts when items need to be reordered or need to be brought to the store. With this new inventory process, we were able to decrease our inventory
24 | Flyer Enterprises
holding costs by 43% in just a few months. We accomplished this largely through our successful Black Friday door busters, a largely promoted clearance sale, and through collaboration with the University of Dayton Bookstore over the course of the year. Flyer Spirit has made several significant changes in one short year and it’s exciting to see how these improvements will lead the division to further success!
Rachel Nickolas President of Retail Division
Flyer Spirit takes pride in the open environment, clean display, and friendly atmosphere of the store. With a wide variety of merchandise, Flyer Spirit manages to run efficiently while maintaining a professional layout.
Collaborating with different brandname vendors has allowed for popular items to become a staple in the store.
Flyer Spirit enjoys seeing customers ranging from prospective students, current students, alumni, and various family members.
2012– 2013 annual report | 25
26 | Flyer Enterprises
culinary divisions
2012– 2013 annual report | 27
Delectable delights dominate the FE ArtStreet Café menu.
culinary divisions This year at the Culinary Divisions was one for the record books. Going into the 2012–2013 fiscal year, no one envisioned such great success at ArtStreet Café and FE Catering. Since its inception in 2004, ArtStreet Café has seen inconsistent periods of success. Now, for the second year in a row, we were able to break numerous records. With the help of our Entertainment Coordinator and Director of Marketing, Annie Boone and Kristen Rice, the Café was able to beat sales projections for the year. Annie captured the attention of more student organizations than ever as well as tranformed events like Thursday Night Live, Rocktoberfest, and the Album Release Party into newfound traditions that students will enjoy attending for years to come. As a result of Kristen’s strong focus on social media marketing and customer entertainment, she and Annie were able to make the Café a true destination for the entire campus.
28 | Flyer Enterprises
In addition to our strong marketing efforts, Financial Manager Matt Borchers worked in cooperation with General Manager, Richard Bogusz and Director of HR Kimberly Boland to decrease overall expenses by 5.3%. With a focus on controlling payroll, selling and general administrative expenses, and cost of goods sold, ArtStreet saw a 20% increase in profits which produced the most successful year in the Café’s history. None of this would have been possible without the help of a fantastic group of sales associates.
I have strong confidence in FEC as it continues to develop as a business. Going forward, plans include restructuring the organizational model to increase culture and decrease payroll expenses, as well as an increased attempt at focusing our marketing efforts to student organizations.
FE Catering (FEC) was a true success story this year.
Our Director of Marketing, Lauren Kauffman, was pursuant to find the balance between marketing to student organizations and marketing to campus departments. She was also successful in securing wins such as daily coffee to the River Institute and increased awareness among Greek Life. Parallel to Lauren’s efforts, our Director of Operations, Matt McNeill, reduced overall expenses by 43% by partnering with ArtStreet Cafe to create an integrated inventory system. The combined efforts of Lauren, Matt, and our team of sales associates, Patrick Fahey and Jimmy Stevenson produced the most profitable year since the division opened in 2009 with a profit increase of 177%.
Jason Eidam President of Culinary Divisions
ArtStreet’s fresh and contemporary design offers a hip and welcome spot for students to hang out, eat, and study. The variety of different sandwiches, chips, and beverages encourage students to not only visit, but return again and again for a great experience.
2012– 2013 annual report | 29
An FE Storage employee shares a laugh as the labeling, stacking, and organizing commences for the end of the school year.
President of Business Development The 2012–2013 year was an exciting time for Flyer Enterprises and an exciting opportunity as the President of Business Development. Now in its second year of operation, the FE Storage program began to see the benefits of the strong marketing and brand awareness efforts from members of the storage team. The division was able to increase sales by 20.5% from our 2012 fiscal year while contributing $2249 to the bottom line of FE’s income statement. The firm also continued to search for new opportunities to grow and new ways to provide students with hands-on business experience. In the early fall of 2012, FE was presented with a unique business opportunity to acquire one of the dining services operations located in the Law School, the law school. A new venture coordination team was assembled and the members then made fiscal forecasting
30 | Flyer Enterprises
statements for the operation as well as perform market research to understand the customer environment in this location. After detailed analysis reports were conducted and formalized into a business plan, we were able to present our findings to the Board of Directors to gain approval for the construction. To our excitement, we were granted approval to move forward and the new health friendly venture will become Flyer Enterprises tenth and first fully funded division, The Jury Box. The construction for the project is currently underway with a projected open date of October 17, 2013. In the coming years, the President of Business Development will continue to oversee FE storage while the President of Culinary will oversee The Jury Box.
Jeff Haberman President of Business Development
FE Storage employees maneuver boxes of a student’s belongings.
2012– 2013 annual report | 31
Working on marketing the employee experience through the website.
FE IT group The Flyer Enterprises Information Technology group has taken great strides in adding value and being an integral part of the FE corporate support functions. This past year the group focused solely on providing solutions to enhance company-wide operations, marketing, and HR goals. Thomas Leslie, IT Marketing Director, successfully led corporate managers in marketing the FE employee experience, while the divisional managers continued to market their products and services to the University. This was accomplished by providing innovative web solutions as well as a social media content management system. Simultaneously Jon Keller, IT Database Administrator, focused on improving operational and HR decisionmaking through data collection and manipulation. The company operations initiative was supported through
32 | Flyer Enterprises
the collection of quality data by upgrading the three independent division’s point-of-sale hardware. Jon developed an HR application to manage data about potential, current, and future employees. Moving into the 2013–2014 fiscal year, FE IT group will be reevaluating the company-wide vision and adjusting to meet the needs of the next executive and management team. The goals of improving marketing and operations will be met by matching information technology with the needs of the business.
Bridget Liddell Chief Information Officer
FE IT is an essential vertebrae in Flyer Enterprises’ backbone. With the constant drive for improvement and innovation, two FE employees are hard at work to increase FE’s productivity and effectiveness.
2012– 2013 annual report | 33
letter from the
president of corporate development The President of Corporate Development position was realigned this year to focus solely on internal factors: employee development, career opportunities, HR, and corporate administration. Flyer Enterprises continues to attract the talented and ambitious leaders of UD’s campus. Consistently through the 2012– 2013 year, FE had a potential applicant pool of over 300 students. Outreach to align our employees with opportunities post-graduation continued throughout the school year by marketing to our FE alumni and companies through networking and a brochure. These efforts increased our internship and job placement while bridging new relationships with companies and individuals. To coincide with this effort we introduced FE Development Day, which focused on the development of professional skills including resumes, interviewing, and networking.
diverse from raising money for charity to selling products, and the trophy was passed between the champion divisions. The FE Beliefs were introduced to guide our employees through their FE experience. The four Beliefs of Flyer Enterprises are: Passion, Purpose, Accountability, and Ethics. These beliefs provide guidance in the expectations of our organization. Finally, the Leadership Development Program is a packet of activities and ideas to direct leadership development consistently and progressively through the organization. The packet is entirely voluntary and is completed by an employee working closely with their managers and executives to increase their exposure to the business, discover and develop personal skills, and familiarize themselves with opportunities that align with their strengths and passions. Applications for management and executive positions increased dramatically with our focus on leadership development at every level. Flyer Enterprises ended the 2012–2013 fiscal year well-organized and in a position to excel with passionate and talented employees ready to face the continued challenges and opportunities FE presents.
FE kicked off newly internal initiatives including the FE Games, FE Beliefs, and the Leadership Development Program. The FE Games is a company-wide challenge allowing each division to compete as a team in a monthly challenge. Challenges were
Sarah Hemler President of Corporate Development 34 | Flyer Enterprises
Employees ranging from freshmen to seniors absorb the business advice provided by UD’s Career Services.
Employees stay engaged at Development Day, an event designed to guide, shape, and direct their actions after graduation
2012– 2013 annual report | 35
letter from the
chief financial officer Despite enduring many challenges throughout the 2012–2013 fiscal year, FE had one of the most successful years in company history. Revenues were down over $100,000 from 2011–2012 with almost every division being affected by a decrease in sales volume; however, each division produced a positive net income and FE profits grew by 15% before major equipment acquisitions. This was largely due to increased profits at FE’s oldest division, The Blend, as well as a complete turnaround at FE Catering and FE Storage. The Coffee Divisions continued to be a cornerstone for FE financially as this year’s operational changes have set the divisions up for financial success in future years. ArtStreet Café built on last year’s growth and saw a $5,000 increase in operational income. Despite spending $3,000 on equipment improvements, the Café only saw a $500 decline in net income after distributions. The Dining Services Joint Venture divisions were hit the hardest by declining sales, but worked diligently to cut expenses and still brought FE a large bottom line contribution. Arriving only $250 away from breaking even last year, FE Storage exceeded expectations and turned a positive profit of $2,249. FE Catering saw the 36 | Flyer Enterprises
largest turnaround in the company with a net loss last year of close to $5,000 and a net profit this year of over $5,000. This was a result of a larger partnership with ArtStreet Café. The divisions designed an integrated inventory system, improving FE Catering’s margins. FE Corporate continued last year’s progress by cutting corporate operational expenses as much as possible while still operating efficiently. The accounting team fully utilized the University’s accounting system which made it possible to provide their division’s monthly financial performance in a timely manner, allowing management to make prompt business decisions. This financial transparency was a large contributor to the company’s ability to turn record breaking profits at many of our divisions.
Flyer Enterprises is in a great position moving into the 2013–2014 fiscal year as operational efficiencies continue keeping costs down while improving marketing efforts will help increase sales at all of our divisions.
Kerri Roper Chief Financial Officer
what is yet to come During the Fall semester of 2012, FE was approached by the University of Dayton School of Law who hoped we would be able to expand on currently unmet food service needs at Keller Hall. As a result of our strong Dining Services Joint Ventures relationship, we approached them to see what the possibilities were for FE to acquire the operation. With the approval from the Dining Services staff, we compiled a new business plan detailing our observations and analysis of a new Jury Box venture.
our company’s top-line revenue. Also, employees will be able to learn new skills including working with new vendors and building professional relationships with Law School faculty and staff. Lastly, we are able to employ more qualified applicants who express sincere interest in becoming a part of our business. The Jury Box was formalized as the tenth division of Flyer Enterprises following approval from our Board of Directors. The division will have a grand opening on October 17, 2013.
Under the direction of Jeff Haberman, President of Business Development, a team of new venture coordinators was assembled from across the company to provide holistic insights on whether Flyer Enterprises first fully funded division was designed to sustain long-term financial success. The new venture team was exposed to hands-on learning opportunities in market research, new product development, operational analysis, and strategic positioning. Opening The Jury Box allows FE the opportunity to further expand our Culinary business and grow
2012– 2013 annual report | 37
38 | Flyer Enterprises
our teams corporate support
executive team Sean Holdmeyer Kerri Roper Bridget Liddell Sarah Hemler Jeff Haberman Mark Becker Cameron Legan Rachel Nickolas Jason Eidam
Chief Executive Officer Chief Financial Officer Chief Information Officer President of Corporate Development President of Business Development President of Coffee Divisions President of Dining Services Joint Ventures President of Retail President of Culinary Divisions
board of directors Raymond Lane Dr. Paul Bobrowski William Fischer Dr. Deborah Bickford Janet Leonard Ken Soucy Paula Smith Robert Chelle Dr. Rebecca Wells Dinah Robinson Art Santoianni Hussien Saleh Matt Gordon
Chairman of the Board, Executive in Residence Dean of the School of Business Administration Associate Vice President for Student Development Associate Provost for Academic Affairs and Learning Initiatives Senior Academic Advisor Director of Purchasing and Business Services Director of Dining Services Director of Crotty Center for Entrepreneurial Leadership Associate Professor of Marketing and Flyer Enterprises’ Marketing Advisor Associate Director of Financial Aid and Office of Student Success School of Business Administration Information Technology Director Student Government Association Business Senator President of FE Alumni Association
All members of the University of Dayton community
Katherine Fennessy Karli Tomaselli Phil DiPasquale Hannah Viertel
Director of Marketing Communications Corporate Graphic Designer Corporate Accountant Corporate Accountant
management teams coffee divisions Daniel Dusina Jon Thompson Sarah Peck Cole Eisses Alexandra Loprena Claire Georges
General Manager of The Blend Financial Manager of The Blend General Manager of The Blend Express Financial Manager of The Blend Express Director of Human Resources Director of Marketing
culinary divisions Richard Bogusz General Manager of ArtStreet Café Kim Boland Director of Human Resources of ArtStreet Café Kristen Rice Director of Marketing of ArtStreet Café Matthew Borchers Financial Manager of ArtStreet Café Annie Boone Entertainment Coordinator of ArtStreet Café Lauren Kauffman Director of Marketing of FE Catering Matthew McNeill Director of Operations of FE Catering FE storage
Nick Fister
General Manager
FE IT support group Jon Keller Thomas Leslie Noelle Rogers
Database Administrator Network and Web Architect IT Specialist
dining services joint ventures Andrew Hastings General Manager of the Galley Colleen Santella Director of Human Resources of the Galley Ashlee Anderson Director of Marketing of the Galley Tim Schaefer General Manager of the Chill Alex Schatzman Director of Human Resources of the Chill Mark Suman Director of Marketing of the Chill Victoria Redden General Manager of Stuart’s Landing Samantha Costa Director of Human Resources of Stuart’s Landing Jackie French Director of Marketing of Stuart’s Landing retail division Keri Crist-Wagner Ben Heigel Ali Casey Dave Piero Cameron Gray Charlie Hallihan
Full-Time Store Manager Director of Merchandising Director of Operations MOD Finance MOD Inventory MOD Custom Imprinting
2012– 2013 annual report | 39
corporate
operational revenue
Total Revenue: Costs of Goods Sold: Gross Profit:
payroll expenses
Staff Pay Staff Benefits 2. Total Payroll Expenses
$154,458 $80,883 $189,801 $21,251 $175,536 $113,855 $296,290 $6,417 $65,399 $38,917 $83,198 $6,703 $56,839 $40,385 $121,700 - $89,059 $41,966 $106,603 $14,548 $118,698 $73,470 $174,590 $6,417
$0 $31,372 $1,069,863 $0 $0 $413,140 $656,724 $0 $31,3729
$39,943 $33,811 $63,668 $6,286 $47,072 $36,035 $52,699 $672 $9,621 $52,833 $342,641 $870 $729 $1,406 $186 $1,038 $625 $1,163 $86 $212 $2,620 $8,935 $40,814 $34,540 $65,074 $6,472 $48,110 $36,660 $53,862 $758 $9,833 $55,453 $351,576
operational expenses
Utilities Dues, Licenses, and Memberships Repair and Maintenance Contract Services Total Operational Expenses
- - $275 $994 $461 - $154 $1,269 $614
- $288 $1,817 $1,866 $3,971
- - - $439 $439
$2,738 $124 $4,045 $1,353 $8,260
- $124 $3,438 $1,801 $5,363
- $111 $3,250 - $3,361
- - - - - - $2,516 $1,267 $2,516 $1,267
- $17 $525 $141 $682
$2,738 $939 $14,529 $9,537 $27,743
general & administrative expenses
Advertising & Printing $335 $29 $584 $507 $199 $243 $141 $37 - $1,365 $3,439 Uniforms - - - - $453 - - $250 - $581 $1,284 Office Supplies $89 $29 $394 - $154 $308 $471 - - $703 $2,149 General Supplies $1,894 $385 $415 $91 $974 $1,103 $173 - - $225 $5,259 General IT Supplies $773 $521 $1,144 - - $463 $60 - $153 - $3,114 Telephone $324 $324 $702 - $328 $524 $822 - - $911 $3,935 Insurance $35 $21 $753 - - - $116 - - - $925 Charitable Contributions $327 $233 $1,117 - $314 - $44 - - - $2,035 Disposables/Inv. Loss - - - - $11,584 $3,266 $867 - - - $15,717 Rent $1,800 - - - - - - - - - $1,800 $6,454 $1,484 $5,868 $1,275 $3,283 $2,205 $5,241 - - ($6,668) $19,142 Share of Admin and Corp. 3. 4. Misc. Expenses $297 $101 $1,207 $31 $159 $42 $248 $607 $36 $6,053 $8,781 Total General & Admin Expenses $12,328 $3,127 $12,185 $1,903 $17,447 $8,153 $8,183 $894 $189 $3,170 $67,580 Total Expenses $54,411 $38,281 $81,231 $8,814 $73,818 $50,176 $65,406 $4,168 $11,290 $59,306 $446,899
operational income
Operational Income Less: Distributions 5. 6.
$34,648 -
$3,686 -
$25,373 $12,940
$5,734 -
$44,880 $29,172
$23,294 $15,141
$109,185 $98,266
$2,249 ($11,290) ($27,934) - - -
$209,824 $155,520
net income before
Net Income Before Major Equipment Acquisitions
$34,648 -
$3,686 -
Final Net Income
$34,648
$3,686
$12,433 $5,734 $15,708 $8,153 $10,918 $2,249 ($11,290) ($27,934) $54,305 - - - - - $8,9478 - $12,029 $3,0827 $2,249 ($20,236) ($27,934)
$42,276
Beginning Retained Earnings Net Income from 2012 Ending Retained Earnings
$340,477 $42,276 $382,753
40 | Flyer Enterprises
$9,351
$5,734
$15,708
$8,153
$10,918
notes to the financial statements 1. Flyer Enterprises’ fiscal year: July 1, 2012 to June 30, 2013. 2. Staff Benefits—The University of Dayton collects a 2% employee benefit charge for regular student labor and a 4% charge for work study student labor. These changes are to cover student employee’s workers compensation coverage and a composite charge on student’s wages subject to social security. 3. Share of Admin.—The University of Dayton charges 2.3% of expenses for Flyer Enterprises using the University’s payroll, purchasing, accounts payable, and bursar ad accounting offices. 4. Share of Corp.—The divisions that are not participants in a joint venture are charged 2% of expected revenues to the Flyer Enterprises Corporate account to assist in covering corporate-wide expenses. 5. ArtStreet Café was funded through a contract with the University of Dayton. Flyer Enterprises was given a $290,000 line of credit from the University to design the venture, cover startup expenses and make capital purchases associated with the development of the Café. In return, Flyer Enterprises distributes 51% of positive cash flow annually to the University and does not pay any rent or utilities to the University of Dayton. 6. The Galley, Stuart’s Landing, and The CHILLare joint ventures with Dining Services. Dining Services provides all capital and technological investments and accounting responsibilities. Flyer Enterprises is responsible for all daily operational decisions and employee development. Per contractual agreements with Dining Services, Flyer Enterprises retains 35% of The Galley’s operational income, 10% of Stuart’s Landing operational income, and 35% of The CHILL’s operational income. The remainder of the operational income for each division is distributed to Dining Services. 7. Art Street Cafe replaced a fridge door for $3,082. 8. FE IT purchased Point of Sales Hardware for $8,947. 9. Corporate revenue includes $30,000 SBA Grant, Alumni Donations, and Interest gained.
income statement
revenue for the year ending june 30, 2013
1
18.28%
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2.05% 14.87%
16.90% 0.62%
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2012– 2013 annual report | 41
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42 | Flyer Enterprises
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Visit us at one of our locations or check out our website! www.flyerenterprises.com www.flyerenterprises.com
designed by photography by
written and edited by
Sabrina Smyth
Adrienne Lowry Megan VanDusan Sabrina Smyth Karli Tomaselli Jason Eidam Brett Johns Megan VanDusan Sarah Hemler Sean Holdmeyer Jeff Haberman Kerri Roper Rachel Nickolas Cameron Legan Bridget Liddell Mark Becker Tom Leslie John Clarke Kathy Kargl
2012– 2013 annual report | 43
The mission of FE is to create a competitive advantage for our employees by providing experiential education through the operation of profitable, ethically-focused businesses that serve the needs of our stakeholders.
44 | Flyer Enterprises