By integrating tourism and sport into Scandinavia's first whitewater park, we aim at delivering a sustainable ROIC above 15 %. The market size is 530 000 while break-even is only 6 000 annual guests.
The team has specific competences and long experience of whitewater activities, tourism business and tourism marketing.
To attract as many people to the campaign as possible, we set valuation at 1.66 M € and sell 64% of shares. The founders will, however, keep the majority of votes.
We plan to build a chain of parks where current investors will also become owners of each future park.
The problem this product solves
Whitewater rafting and kayaking is very popular all over the world, but there are few suitable places in Sweden, far outside cities and without any amenities. Also, offering whitewater activities is demanding. The natural rivers have uncertain water levels, very short season, and there are often bad roads and other circumstances making logistics hard, creating a need for several employees. It is like imagining downhill skiing without lifts, no prepared slopes, no artificial snow or service buildings. Only a forest and rocks. The solution is a whitewater park.
How the product solves it
We take the river to the city
Falun Whitewater Park is as big change for whitewater activities as ski resorts have been for downhill skiing.
In a lovely park in central Falun we will build an artificial river. The water is pumped to a low cost, and creates easy whitewater in a loop of 175 meters. There's a lift back to the start, taking only 35 seconds. The service buildings are like those for a swim pool.
This makes whitewater activities accessible to everyone, and makes operating the business a dream. We can serve the market efficiently, almost all year.
In Falun Whitewater Park everyone can enjoy a safe river trip. It's clean, convenient and time efficient. The river is never dry or flooded - it's always perfect! Trip's complexity can be changed instantly by adjusting the flow. It makes it great for many different user groups. A lift makes more runs easy. Service buildings with cafeteria and changing rooms like in a swim pool, makes every visit comfortable. All equipment is included.
Operational costs are low and the activities are self-instructive and enjoyable for many hours and for repeated visits. The park is designed to continuously welcome many guests.
Product use cases
Falun Whitewater Park welcomes all kinds of people, from young to old, for whitewater activities. Rafting will be offered, as well as paddling in inflatable kayaks, and swimming in whitewater. All equipment, like boats, paddles and wet suits is included. Guests can arrive in wedding dress, quickly change into a wetsuit, enjoy whitewater for a couple of hours and leave, again dressed for success.
Guests need no previous experience for a visit - normally the difficulty level is very easy. With higher water flow, the park will be a paradise for those who want to paddle on a higher level.
Bo-Marcus Lidström CEO
Bo-Marcus Lidström (born in Gällivare -68) is the founder of Falun Whitewater Park and CEO. He is president of Falu Canoe & Kayak Club and has more than 30 years of experience of whitewater business and of the kayak sport, both as athlete as well as coach for top athletes. ... See more
Bo-Marcus Lidström (born in Gällivare -68) is the founder of Falun Whitewater Park and CEO. He is president of Falu Canoe & Kayak Club and has more than 30 years of experience of whitewater business and of the kayak sport, both as athlete as well as coach for top athletes. He is several time Swedish champion in the Olympic sport canoe slalom. Bo-Marcus moved to Falun in 1999 and has since then developed the local club from barely existing to Sweden’s biggest. Through the sport he has long experience of leadership, accounting, employer responsibilities, and organizer of many events and activities of the kind FWP will have. He studied Medicine at the University of Uppsala and is a chief physician at the hospital in Falun. firstname.lastname@example.org Tfn: +46 (0) 70 604 83 31 See less
Benny Nyberg Chief Marketing Officer
Benny Nyberg, is born -56 and has more than 30 years of experience in the tourism business. He was in charge for communication and marketing when Skara Sommarland was established. He has been marketing chief and entertainment chief at Liseberg, Tourist chief for Borås city, marketing chief for Göteborg & ... See more
Benny Nyberg, is born -56 and has more than 30 years of experience in the tourism business. He was in charge for communication and marketing when Skara Sommarland was established. He has been marketing chief and entertainment chief at Liseberg, Tourist chief for Borås city, marketing chief for Göteborg & Co, Gothia Cup, and more. Benny has a long experience of own companies and have been consultant to many others. Tel: +46(0)734 - 28 19 48 email@example.com See less
Pär Allansson Board member
Pär Allansson. CEO and owner of Främby Udde Resort. Investor and partner. There are many cooperation areas between Främby Udde Resort and Falun Whitewater Park. Pär has a long experience of tourism, and much knowledge to share. Tel. +46(0)73 - 511 84 99 firstname.lastname@example.org
Isak Öhrström Board member
Isak Öhrström, born 1990, and has paddled in whitewater since a very early age. He is member of the Swedish Olympic Committee's Top and Talent program as professional canoe slalom athlete. He competed in the Olympic games in Rio 2016. Isak is studying Civil Engineering at the University of Uppsala. ... See more
Isak Öhrström, born 1990, and has paddled in whitewater since a very early age. He is member of the Swedish Olympic Committee's Top and Talent program as professional canoe slalom athlete. He competed in the Olympic games in Rio 2016. Isak is studying Civil Engineering at the University of Uppsala. He has deep knowledge in several whitewater disciplines and a broad international network in the sport. See less
Mats Magnusson Board member
Mats Magnusson has been in the marketing business since 1984 and been marketing officer in the Almedahl Group. Through his enterprise Marknadsträdet AB, Mats works with competence development, marketing research and customer relationships.
The catchment area is within 3h drive, reaching 3.4 million people. Dalarna is Swedens 4th largest tourist region with 663 000 guest nights June to August.
A comparison has been made with whitewater rafting on a natural river, far outside cities in the north of Sweden. Comparing the number of guests with that regions population, says the market is 530 000 annual guests, a market size of 32 million €. Put another way, there are room for several whitewater parks in the region. Break-even is 6 000 guests, and our target is 29 000 guests the 5th season.
The attractions around Falun are cultural like the copper mine and the property of the painter Carl Larson, with 200 000, respectively 50 000 guests annually. Leksand Sommarland, an amusement park with traditional water activities, has 100 000 guests during 80 days.
Falun is 1h closer to Stockholm, has much larger population close, and don't compete directly with other amusement parks as Leksand does. Our break-even is 6 % of Leksands visitors, with three times longer season.
Whitewater rafting exists on a natural river 1h drive west of Falun, but the conditions are uncertain and with a short season.
Unique differentiator from competitors
Falun Whitewater Park has always perfect whitewater - never drought or flood. Therefore, guests can book in advance. The park is in the city, with easy access for many and with excellent and convinient service. The time from arrival to getting on the water will be short. Since the river is super safe, people can get on themselves. Guests can therefore also drop in anytime.
With a lift from finish back to the start, there's no time consuming transports along a river. This makes the capacity for guests huge, with small additional costs. Our season is much longer than others.
Company revenue streams
The revenue comes mainly from guests with no previous experience, enjoying easy water activities, perfectly fitting conferences and schools. During vacation, we target families.
From start, the cafeteria and sport store should add 8 respectively 2 % to the revenue. We will become the prime outlet for whitewater gear in Scandinavia. From start, accommodation will add 5 % of revenue, with its 18 beds; planned to become 45 beds.
Sport create additional revenue. From start there will be significant revenue from existing paddlers for recreation and performance training. This market is expected to grow at least 4 times only locally.
Falun Whitewater Park will become a well-known landmark with easy access from all directions. The season is at least 10 months. Accomodation has a strong market all year.
Marketing will be intense in cooperation with partners making conferences and events. Schools will be targeted similar to a nearby ski resort with 170 000 children annually. Our target for the first season is 1000 school children. The canoe club has annually activities for 400 school children, through our established network.
Thanks to low operational costs, guests can drop in any time without need of pre-booking.
- Accepted detail plan, done of the municipality for allowing the park to be built
- Detailed design
- Permission for camping
- Accepted building permissions
- Contract for the ground
- Geotechnical investigation for the ground has been performed
- Detailed cost estimations
Next key objectives
- Complete funding - December 2016
- Start construction - March 2017
- Finished construction - January 2018
- Start of water filling - February 2018
- First whitewater in the course - March 2018
- First paying users - March 2018
- Official Opening - 5th of May 2018
The CEO has invested 70 000 € besides work, for cost efficient projecting and full responsibility for success in all aspects.
CEO and team members have visited very many parks all over the world. We have measured, paddled and photographed them. We have interviewed managers and employeees, asking: what would you change if you had the chance to rebuild the park? It has given invaluable information, which has been used in our planning process.
The Canoe Federation and Falun Municipality has financed a feasibility study (30 000 €) from a company which has designed several parks in many countries.
- Främby Udde Resort is a partner offering fantastic accommodation and conferences close to Falun Whitewater Park. Their long experience of tourism business will be helpful, while there also will be well-defined cooperation in operations and marketing.
- Falun Canoe & Kayak Club, Swedens biggest, has built up an existing market and will guarantee that revenue from the paddle market and sport store will come instantly.
- Faluns Muncipality will have a sponsorship through the arena, creating mutual marketing and activities for school children.
Use of funds
- To build Falun Whitewater Park (91 %)
- Buying equipment for operation (1%)
- Cash for initial operations (8 %)
The funds will be mainly used for the construction costs and cash for initial operations and marketing.
The long term use of FWP:s capital, will give investors a ROIC above 15 %, and will be invested into additional parks, further increasing the value of the investment. An investor in FWP will therefore be a part owner of each additional park.
Falun Whitewater Park won first prize as Best Investment Opportunity at the Nordic Tourism Investment Forum 2012. Grand Hotel, Stockholm. This gave us a strong indication of proof of concept. Since then the political process for building permissions has been 100 % successful.
The park has received impressive publicity during the planning process - in newspapers all over Sweden, as well as TV-coverage like this. You can find one of the most liked, shared and seen reportage by following this link:
To mitigate the risk of overestimating the market, capital costs are hold down in several ways. The whitewater channel will be built in stages, the land will be leased as well as some buildings, while other buildings come as shareholder contributions. Thus, the number of guests for break-even is kept down to a fraction of any market estimation. Cooperation with an existing rafting company and paddling organisations gives instant access to their existing markets and networks. To avoid construction costs surprises, prefab with exact costs will be used to a large extent, and a geotechnical investigation has been performed.