Note: projected revenue and program costs remain rough estimates, but are intended to demonstrate the degree to which such a program will be able to sustain itself.
Annual Program Revenue:
- Revenue from semester-long programs: (60 students @ $7,500–fees include breakfast and dinner but not flights) = $450,000
- Revenue from summer programs: (50 students @ $6,000–fees include food stipend but not flights) = $300,000
Additional Revenue Considerations [not included in estimated revenue total]:
- Projected revenue from additional tuition dollars secured by recruiting students away affiliate programs for which the College sees no revenue:
- 20 semester-study students @ $6,209 = $124,180
- 10 summer-study students @ $3102 (6 credits) = $31,020
Total Estimated Revenue: $750,000
Annual Program Costs:
- Facilities Management: year-round on-site personnel for management, including the equivalent of 2 full-time employees for cleaning, food preparation, and maintenance and 2 full-time managers: $140,000
- Recruitment and Marketing: $5,000
- Summer teaching salary for faculty: $50,000
- Director stipend: 2 course releases and a 10th month salary supplement: $10,000
- CIE staff enhancement: $30,000
- Student Insurance and Study Abroad Application fee: $10,000
- Excursions (including provider fees): $55,000
- Board for students and faculty (not including personnel): $150,000
- Utilities (electricity, gas, water): $30,000
- Maintenance (including gardening): $15,000
- Property tax and waste services: $60,000
Total Estimated Program Costs: $555,000
Estimated annual profit available for re-investment, loan financing, or leasing: ~ $200,000
Initial Investment (outright purchase–lease options currently being explored):
- Property: $3,500,000
- Renovations, based on quoted price per square meter from seller: $50,000
- Inquiries have been made regarding possible leasing terms