6.1 KiB
This business plan outlines the acquisition of a flagship Kv2 Audio VHD (Very High Definition) system.
This configuration is designed for high-impact electronic music events, outdoor festivals, and large-scale premium corporate AV. With 12 double-18" subwoofers, this system is capable
of delivering extreme sound pressure levels (SPL) while maintaining the audiophile clarity Kv2 is famous for.
1. Executive Summary
Objective: To acquire a turnkey high-performance audio system capable of covering audiences of 2,000–5,000 people with distinct "club-like" pressure and fidelity. Total Estimated Investment: $230,000 – $260,000 Primary Target Market: Electronic Music Festivals, High-End Touring DJs, Large Nightclub Installs, and Boutique Production Rental.
2. Equipment Configuration & Capital Expenditure (CapEx)
The VHD system is unique because it requires specific proprietary amplification/control units to function.
The "Main" System Ratio: For electronic music, a ratio of 1 Top to 3 Subs is aggressive and desirable.
- Tops: 4x VHD2.0 (Long throw mid/highs)
- Subs: 12x VHD2.18J (The dual 18" low frequency units)
- Monitors: A "Texas Headphones" style DJ booth (2x EX12 Tops + 2x EX2.5 MkII Subs).
| Item | Qty | Unit Estimate ($) | Total Estimate ($) | Notes |
|---|---|---|---|---|
| Main PA Tops | ||||
| VHD2.0 Mid/High Cabinet | 4 | $9,500 | $38,000 | 2 per side (Main L/R) |
| VHD2000 Amp/Controller | 4 | $7,000 | $28,000 | 1 amp per top |
| Main PA Subs | ||||
| VHD2.18J Dual 18" Sub | 12 | $6,500 | $78,000 | 6 per side |
| VHD3200 Amp/Controller | 6 | $6,000 | $36,000 | 1 amp drives 2 subs |
| DJ Monitoring | ||||
| EX12 Active Top | 2 | $3,200 | $6,400 | High output active top |
| EX2.5 MkII Active Sub | 2 | $4,500 | $9,000 | High output active sub |
| Infrastructure | ||||
| Cabling (EP6 Heavy Duty) | 1 | $8,000 | $8,000 | VHD requires specific heavy gauge cable |
| Power Distro (3-Phase) | 1 | $5,000 | $5,000 | Amps require significant current |
| Cases & Rigging | 1 | $15,000 | $15,000 | Touring grade protection |
| Total CapEx | $223,400 | (Excluding tax/shipping) |
3. Market Analysis & Strategy
The Competitive Advantage
Unlike competitors using Line Arrays (L-Acoustics, d&b), the Kv2 VHD is a Point Source system.
- Setup Time: A VHD stack can be set up by 2 people in 20 minutes. Line arrays require fly-bars, motors, and complex angle calculations.
- Sound Quality: Electronic music purists prefer point source for its immediate transient response and lack of comb filtering.
- Throw: One VHD2.0 cabinet can throw intelligible audio over 300 ft.
Rental Rates (Revenue Model)
Industry standard rental rates are typically 3% to 5% of the equipment value per show day.
- Full System Rate (Festival Package): $6,500 – $8,500 per day
- Split System Rate (2 Smaller Rooms): $3,500 per room/day
- Dry Hire (B2B cross-rental): $4,000 per day
4. Financial Projections (ROI)
Assumptions:
- Average Rental Rate: $5,500 (blended rate allowing for discounts/packages)
- Crew/Logistics Cost per show: -$1,500 (trucking and system tech)
- Net Profit per Show: $4,000
Utilization Strategy: We aim for 4 major deployments per month (weekends).
Monthly Revenue Calculation: [ \text{Monthly Net} = 4 \text{ shows} \times $4,000 = $16,000 ]
Break-Even Analysis: [ \text{Break Even Point} = \frac{\text{Total CapEx}}{\text{Net Profit per Show}} ]
[ \frac{225,000}{4,000} \approx 56.25 \text{ Shows} ]
At 4 shows a month, the system pays for itself in roughly 14 months.
5. Operational Logistics
- Power Requirements: The VHD3200 amps are hungry. You will need a dedicated 3
- phase power distro (likely 60A or 100A 3-phase) to run 12 subs and tops without tripping breakers on bass drops.
- Transport: This system will not fit in a cargo van. The VHD2.18J is massive (approx 3.5 ft wide). You will need a 16ft or 24ft Box Truck with a lift gate.
- Weight: A VHD2.18J weighs nearly 200 lbs. Everything must be on wheels.
6. Risk Assessment
- Rider Acceptability: Kv2 is a boutique brand. Some touring engineers for pop/rock acts may demand L-Acoustics or d&b exclusively.
- Mitigation: Market heavily to the Electronic/Techno/House scenes where Kv2 is considered "God-tier" audio.
- Scalability: Unlike line arrays, you cannot simply "add more boxes" to widen coverage indefinitely due to comb filtering.
- Mitigation: This system is designed for focused, long-throw energy. It is perfect for dance floors, not wide, dispersed crowds.
7. Conclusion
Purchasing 12 VHD2.18J units creates a "Bass-First" system that outperforms almost any line array of equivalent cost in terms of raw visceral impact. By targeting the niche electronic music market, this asset can command premium rental rates with lower setup labor costs than traditional arrays.