This article is part of a seven-chapter story following Drew on their journey to start a Scuba Diving Shop. Inspired by the guide How to Start a Scuba Diving Shop: Step-by-Step Guide, the series blends practical steps with storytelling to show what starting a business really feels like.
Building a Business Plan for a Scuba Diving Shop
Where Vision Becomes Strategy
Can a single document transform scattered ideas into bankable reality?
Drew sat in his apartment at 6 AM, laptop open, facing the blinking cursor that had become both enemy and ally. His financial projections were solid, his location secured, his model defined. But lenders wouldn’t take his word for it. They wanted proof he’d thought through every angle.
They wanted a business plan.
“Think of it as your GPS for the next three years,” Elena had told him during their last call. “Even if you never show it to a banker, writing it forces you to see gaps you’d miss otherwise.”
Drew opened his browser and searched: “business plan template download.” The results overwhelmed him—dozens of options, from simple one-pagers to comprehensive 50-page documents. How could he choose the right framework?
Then he found it: a clean, universal template that seemed designed for real entrepreneurs, not MBA students.
The Universal Framework
Drew downloaded the template and opened it. The structure was straightforward, logical, and comprehensive without being intimidating:
Universal Business Plan Template
- Executive Summary – Quick overview of the business, problem solved, and goals.
- Business Description – What the business does, who it serves, unique selling point.
- Market Analysis – Industry overview, target customers, competitors, positioning.
- Business Model & Operations – How the business runs, setup (home, mobile, commercial), suppliers, systems.
- Marketing & Sales Strategy – Pricing, marketing channels, sales approach, customer experience promise.
- Management & Team – Owner’s role, partnerships, employees, advisors, outside professionals.
- Financial Plan – Startup costs, ongoing expenses, revenue streams, profit potential, cash flow basics.
- Funding Needs – Capital required, sources of funding, how funds will be used.
- Long-Term Goals & Exit Strategy – Growth plans, expansion, possible exit options.
Drew printed the template and pinned it to his wall. Nine sections. Each one a piece of the puzzle he’d been assembling for months. Time to transform research into strategy.
Section 1: The Executive Summary
“Write this last,” Elena had advised. “It’s a summary of everything else. You can’t summarize what doesn’t exist yet.”
Drew skipped to section two, but kept the executive summary structure in mind. When he returned to it, he’d need to capture his entire business concept in two compelling pages.
Section 2: Business Description
Drew began typing:
Ocean’s Edge Dive Center is a full-service scuba diving business located in Upper Key Largo, Florida. We provide scuba instruction from beginner to advanced levels, high-quality equipment sales and rentals, and guided eco-education tours that emphasize marine conservation and underwater photography.
Problem We Solve: Many dive operations focus on volume over experience, rushing customers through certifications and tours. New divers often feel intimidated or inadequately prepared. Environmental education gets overlooked in favor of entertainment.
Our Solution: Small class sizes (maximum 4 students), thorough marine biology education, and personalized attention that builds confident, environmentally conscious divers. We serve customers who value quality instruction and meaningful underwater experiences over discount prices.
Unique Selling Point: The only dive center in the Upper Keys combining professional instruction with marine conservation education, targeting customers who want to become ocean advocates, not just certified divers.
Drew read it back. Clear, specific, and differentiated. But was it compelling enough to make a lender want to keep reading?
He called Tom, the former dive shop owner, for feedback on the positioning.
“You’ve captured something important,” Tom said after Drew read the section aloud. “Most business plans sound like everyone else’s. Yours explains why someone would choose you over the shop down the road.”
Section 3: Market Analysis
This section would prove Drew understood his industry and customers. He’d done the research. Now he needed to present it convincingly.
Industry Overview: The U.S. recreational diving industry is widely estimated to be multi-billion-dollar in size, with Florida representing one of the nation’s largest markets.
The Keys draw hundreds of thousands of visitors annually, including tens of thousands of certified divers and many first-time participants seeking entry-level experiences..
Target Customers:
- Primary: Vacation divers seeking quality instruction and small group experiences (estimated 2,000 annually in our market area)
- Secondary: Local diving enthusiasts and photography groups wanting continuing education (estimated 500 annually)
- Tertiary: Corporate groups and dive clubs seeking customized programs (estimated 200 groups annually)
Competition Analysis: Six dive operations serve the Key Largo to Islamorada corridor. Most focus on high-volume operations with 8-12 person groups. Only two offer advanced photography instruction. None emphasize marine conservation education as a primary differentiator.
Market Positioning: Ocean’s Edge positions as the premium choice for quality-conscious divers willing to pay moderate premiums for superior instruction, smaller groups, and environmental education.
Drew realized he needed more specific competitor intelligence. He spent the afternoon visiting competing shops, noting their pricing, group sizes, and customer service approaches. The research confirmed his positioning: a clear gap existed for instruction-focused operations emphasizing environmental education.
Section 4: Business Model & Operations
Here Drew would demonstrate operational thinking beyond just the concept.
Business Model: Hybrid instruction center and eco-tourism operator
Revenue Streams:
- Scuba instruction (50% of revenue): Open Water through Advanced certifications
- Equipment sales and rentals (30% of revenue): Quality gear with expert fitting
- Guided eco-tours (20% of revenue): Small-group trips emphasizing marine education
Location: 2,000 sq ft commercial space in Upper Key Largo with classroom capability, retail area, and equipment storage
Key Suppliers:
- Equipment: Scubapro and Mares (established dealer relationships)
- Training materials: PADI certification agency
- Boats: Charter arrangements with local operators initially
Operational Systems:
- Scheduling: DiveCenter Pro software for bookings and certifications
- Point of sale: Square system with inventory management
- Safety protocols: Comprehensive checklists and emergency procedures
Staffing Plan: Owner-operator initially, adding part-time instructors during peak seasons
The operations section felt solid, but Drew wondered if he should include more detail about safety procedures. He made a note to expand that section after consulting with his insurance specialist.
Section 5: Marketing & Sales Strategy
This section would show Drew understood how to attract and keep customers.
Pricing Strategy:
- Open Water Certification: $450 (market average: $400)
- Advanced Open Water: $350 (market average: $300)
- Specialty courses: $250 (market average: $225)
- Guided tours: $95 per person (market average: $85)
Premium pricing justified by smaller groups, longer instruction time, and comprehensive marine education components.
Marketing Channels:
- Website with online booking and SEO optimization
- Hotel and resort partnerships for referrals
- Social media showcasing underwater photography and conservation
- Google Ads targeting diving keywords
- Local diving club presentations and partnerships
Sales Approach: Consultative selling emphasizing safety, education, and environmental responsibility rather than lowest price
Customer Experience Promise:
- Maximum 4 students per instructor (industry standard: 8)
- Marine life identification cards with every certification
- Free refresher sessions within 6 months of certification
- 100% satisfaction guarantee on instruction quality
Retention Strategy:
- Continuing education pathway from Open Water through Divemaster
- Photography workshops and specialty clinics
- Annual customer appreciation events
- Loyalty program with equipment discounts
Drew felt good about the marketing section, but realized he needed more specific metrics. How would he measure success? He added conversion rate targets and customer acquisition cost estimates.
Section 6: Management & Team
Drew struggled with this section initially. As a solo operator, did he have enough credibility?
Owner/Manager: Drew J. Tidewell brings 15 years of diving experience with advanced certifications in rescue diving, underwater photography, and marine biology. Three years of instruction experience with consistently high customer ratings.
Professional Advisory Team:
- Legal: Laura Klein, marine business specialist
- Accounting: Robert Clark
- Insurance: David Park
- Banking: Maria Santos, SBA lending experience
Staffing Plan: Initially owner-operated with part-time instructor support during peak seasons. Plan to add full-time instructor by year two based on volume growth.
Training & Development: Ongoing certification maintenance, business management courses, and industry conference participation budgeted annually.
Succession Planning: Business structure and systems designed for potential future partnership or sale after establishment phase.
The team section felt thin, but Drew realized his professional network actually provided significant expertise. He wasn’t truly alone in this venture.
Section 7: Financial Plan
Drew’s most critical section. The numbers had to add up.
Startup Costs: $125,000
- Equipment and inventory: $65,000
- Facility setup: $25,000
- Legal and permits: $10,000
- Technology and systems: $8,000
- Marketing and signage: $7,000
- Working capital reserve: $10,000
Operating Expenses: $8,200 monthly
- Rent and utilities: $4,000
- Insurance and permits: $1,500
- Equipment maintenance: $800
- Marketing: $600
- Professional services: $500
- Miscellaneous: $800
Revenue Projections:
- Year 1: $115,000 (conservative startup estimate)
- Year 2: $145,000 (established customer base)
- Year 3: $175,000 (full market penetration)
Profit Projections:
- Year 1: $16,600 (after all expenses including owner salary)
- Year 2: $46,400
- Year 3: $76,400
Cash Flow: Seasonal business requiring 6-month operating reserve for startup period and annual fluctuations.
Drew double-checked every calculation. The numbers were conservative but realistic based on his market research and competitor analysis.
Section 8: Funding Needs
Time to make the ask.
Total Capital Required: $175,000
Sources:
- Personal investment: $35,000 (20%)
- SBA loan request: $140,000 (80%)
Use of Funds:
- Startup costs: $125,000 (71%)
- Operating reserve: $50,000 (29%)
Loan Terms Sought: 10-year SBA loan at market rates with personal guarantee
Collateral: Business assets plus personal guarantee secured by personal residence
Repayment Plan: Estimated monthly payments of about $1,680 (10-year term at ~7.5%) supported by projected cash flow
Risk Mitigation: Conservative projections, experienced advisory team, comprehensive insurance coverage, and proven market demand
Drew felt confident about the funding request. The numbers supported the loan amount, and his personal investment showed commitment.
Section 9: Long-Term Goals & Exit Strategy
The final section required Drew to think beyond startup.
Growth Plans:
- Year 2: Add full-time instructor and expand specialty course offerings
- Year 3: Launch underwater photography studio services
- Year 4-5: Consider second location or boat acquisition for charter operations
Expansion Opportunities:
- Corporate team building programs
- Dive travel coordination services
- Marine education programs for schools
- Equipment maintenance services for other operators
Exit Strategy Options:
- Sale to larger dive operation seeking Keys presence
- Franchise development for model replication
- Management buyout by future partners
- Family succession (long-term consideration)
Success Metrics:
- 250–300 certifications annually by year 3
- 90%+ customer satisfaction ratings
- 25%+ repeat customer rate
- Positive cash flow in all seasons by year 2
Executive Summary: The Compelling Opening
With all sections complete, Drew returned to write his executive summary:
Executive Summary
Ocean’s Edge Dive Center addresses the gap in quality-focused scuba instruction in the Florida Keys market. Located in Upper Key Largo, we provide premium diving education, equipment, and eco-tours to customers seeking meaningful underwater experiences rather than lowest-cost options.
The Opportunity: The Florida Keys attract large, steady volumes of dive-interested visitors each year, but many operations prioritize volume over experience. Ocean’s Edge targets customers willing to pay a moderate premium for superior instruction, smaller groups, and environmental education.
Business Model: Instruction-focused operation generating revenue through scuba certifications (50%), equipment sales/rentals (30%), and guided eco-tours (20%). Premium pricing justified by maximum 4-student classes and comprehensive marine education.
Financial Projections: $125,000 startup investment generating $115,000 first-year revenue and $16,600 profit. Growth to $175,000 annual revenue and $76,400 profit by year three.
Funding Request: $140,000 SBA loan combined with $35,000 personal investment. Conservative projections support comfortable debt service with seasonal cash flow management.
Competitive Advantage: Only Upper Keys operation combining professional instruction with marine conservation education, targeting environmentally conscious divers seeking premium experiences.
Management: Owner brings 15 years diving experience and three years instruction background, supported by professional advisory team with dive industry expertise.
Success Factors: Proven market demand, differentiated positioning, conservative financial projections, and experienced guidance from successful industry operators.
The Reality Test
Drew printed his completed 15-page business plan and called Elena for a final review session.
“This looks professional and realistic,” Elena said after reading through the document. “You’ve clearly thought through the operational challenges, not just the romantic parts.”
She suggested a few refinements: More specific marketing metrics, additional detail on safety protocols, and clearer explanation of seasonal cash flow management.
“But overall, this plan would give me confidence to lend you money or partner with you. It shows you understand this is a business, not just a hobby.”
Drew made Elena’s suggested revisions, then scheduled a meeting with Maria Santos at the bank. Time to see if his plan could survive scrutiny from actual lenders.
That evening, Drew held the printed business plan in his hands. Fifteen pages that represented months of research, analysis, and honest self-assessment. The document felt substantial in a way his initial enthusiasm hadn’t.
More importantly, writing the plan had clarified his own thinking. He now understood exactly what he was building, why it would succeed, and how to measure progress. The business plan wasn’t just a document for lenders—it was his roadmap for the next three years.
Drew opened to the executive summary and read it one more time. Ocean’s Edge Dive Center no longer felt like a dream or even a goal. It felt like an inevitable outcome of careful planning and disciplined execution.
Tomorrow, he’d find out if the bank agreed.
Chapter 4 Summary: Why Written Plans Create Clarity
Drew discovered that business planning is thinking made visible. By working through each section systematically, he identified gaps in his strategy and built confidence in his approach. The finished plan became both a communication tool and an operational guide.
See the guide Drew used: How to Start a Scuba Diving Shop: Step-by-Step Guide
You’ve just finished Chapter 4. The journey continues in Chapter 5, where Drew chooses a name, forms the Scuba Diving Shop, and secures the right support in Legal Formation, and Funding.