Business Plan for Amy (Essay Sample)

Business Plan for Amy’s Café
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Contents TOC \o "1-3" \h \z \u Executive summary PAGEREF _Toc387264778 \h 31.0 Introduction. PAGEREF _Toc387264779 \h 41.1 Capital requirements. PAGEREF _Toc387264780 \h 41.2 Description of business and strategic plan. PAGEREF _Toc387264781 \h 41.3 Financial records system. PAGEREF _Toc387264782 \h 52.0 Products/ Services. PAGEREF _Toc387264783 \h 62.1 Products and services offered. PAGEREF _Toc387264784 \h 62.2 Target market. PAGEREF _Toc387264785 \h 72.3 Industry competitors. PAGEREF _Toc387264786 \h 72.4 Location and size. PAGEREF _Toc387264787 \h 73.0 Operations. PAGEREF _Toc387264788 \h 83.1 Types of financial services needed by Amy’s PAGEREF _Toc387264789 \h 83.2 Hiring and staff requirements PAGEREF _Toc387264790 \h 83.3 Production/assets required. PAGEREF _Toc387264791 \h 94.0 Financial Management. PAGEREF _Toc387264792 \h 104.1 Year budget (Revenues and expenses) PAGEREF _Toc387264793 \h 104.2 Cash flow statement. PAGEREF _Toc387264794 \h 104.3 Income statement and balance sheets. PAGEREF _Toc387264795 \h 115.0 Concluding statements PAGEREF _Toc387264796 \h 135.1 Evaluation of risks. PAGEREF _Toc387264797 \h 136.0 References PAGEREF _Toc387264798 \h 147.0 Appendix PAGEREF _Toc387264799 \h 15
Executive summary
Amy’s Café is a restaurant chain that will roll out its operations in June 2014 with its first outlets to be located in Sydney’s central business district (CBD). Amy’s seeks to provide healthier food arrays to consumers mainly composed of professionals stationed in the CBD. It will also focus on providing supplementary services to other consumer groups and gradually roll out its operations across Sydney and eventually in other parts of Australia.
1.0 Introduction.
The purpose of this business plan is to provide the pathway to be followed in the achievement of the goals set out in its mission statement. It provides the various details pertaining to the creation of a sandwich shop chain to operate across Australia and sets out to initially focus on Sydney. In the mean-time, a 6-month delivery based trading that was conducted and this undertaking provided a lot of operational and financial data. This data will help in the creation of a strategic plan and in the getting an initial understanding of the industry.
1.1 Capital requirements.
In order to successfully roll out operations in Sydney and eventually across the whole nation, an initial capital investment of $125000 would be necessary. $ 80000 would be used in the first year and the remaining $45000 invested in the second year. Mr. Baulk would be a suitable alternative of the benefits that arise out of private funding. Private investors are usually more willing to provide funds for start-ups, like Amy’s Café, and do not require lengthy and complex business proposals. In addition, Mr. Baulk could be more flexible and provide alternative forms of assistance such as mentorship and guidance to ensure the eventual success of the business.
1.2 Description of business and strategic plan.
Amy’s Café seeks to provide a fresh vein of blood in the restaurant industry by specializing in fast unprocessed food that is free from any preservatives. This venture seeks to provide an alternative to the health-conscious group in the population. The main aim for Amy’s is to promote a healthy population by promoting its healthy food ranges to various market groups. The concept focuses on selling high-quality breakfast, lunch and snack items. Furthermore, it closely resembles the "pret a manger" concept. The concept has received tremendous accreditation as a successful business model in use in countries such as the UK and US (Daft, 2006, p.49). . In fact, successful companies such as Eat closely follow the concept in order to attain market success (Gifford, J., & McNally, 2007, p. 120).
Amy’s will focus on online marketing and operating an online system that allows customers to make reservations and also place orders. Amy’s aims to integrate the advances in technology in its major operations in order to smoothen various activities and provide customers with higher satisfaction. The focus of an online system, fast delivery network and production healthy food products without preservatives will serve as Amy’s point of difference.
Amy’s will roll out its operations in the CBD of Sydney and progressively expand to other regions of the city. The influx of highly skilled professional workers in Sydney provides a market for this café. The current of restaurant barely provide an option for healthier foods thus creating a market gap that Amy’s seeks to exploit by presenting a "pret a mnager" style of business.
1.3 Financial records system.
Every business needs to proper record and store its financial information in order to provide useful metrics that can be used to gauge the company’s financial performance and overall success. Amy’s will make use of an automated online financial records system that will allow recording of information and easy retrieval of information whenever necessary. The system will aim to provide adequate information for the generation of relevant financial reports. A qualified accountant would be procured in order to adequately manage the system.
2.0 Products/ Services.
Amy’s will set out with a predefined range of products and services and will leave room for providing other services and expansion of product ranges with time. The marketing team in place will constantly study the market in order to analyze the needs and response from the consumers.
2.1 Products and services offered.
The company will strive to provide healthy foods based on mix of local Australian cuisines in addition to other cuisines such as Italian, Mediterranean, French and Mexican delicacies. The rich array of food products will include sandwiches, hot items, ready meals, fresh juices of different flavors, salads and many others. The business will also provide teas and coffees such as traditional Brazilian coffee with rich nutritional values and more breakfast options. The foods will be provided in a clean exquisite and serene environment with proper lighting and soothing acoustic music playing in the background.
The restaurant will provide ample parking spaces with sufficient security in a number of its outlets that boast of large holding capacities. Competitive pricing stands out as a strong selling point for Amy’s products with online payments available across various financial platforms. An average meal would cost around $20 and this includes a variety of options as mentioned in the menus.
Delivering of orders received, via telephone and online ordering system, will be done at the shortest possible time. Once an order is received, the information s rapidly relayed in order to initiate prompt preparation of products matching the orders. The order delivery time from the time of placing an order depends on the specifications and distance to be covered. In fact, an average order takes about one and a half hours plus delivery. Amy’s makes use of ordering agents situated at strategic points to allow for prompt deliveries while the food is still hot.
2.2 Target market.
The target market mainly consists of the highly skilled professionals that ply their trade in Sydney’s CBD. However, the company also makes provisions for special deliveries to specified locations at an extra delivery fee of $1. In fact, the company will make a division that caters for home deliveries and opens during weekends to families and various social conventions. Amy’s will offer special discounts to students in order to attract them to buy due to the recognition of their buying potentials. The company uses social media advertising across various platforms such as Facebook and Twitter. The social media scene and online marketing have revolutionized the conduct of massive advertising by companies in a bid to drive sales higher.
2.3 Industry competitors.
The major industry competitors include Grandma’s Bar, Little Vienna, Lovebite Café, Baker Bros., Crisp, Joe Black and Marlowe’s Way.
2.4 Location and size.
The strategic location for Amy’s Café outlets will include various areas of Sydney’s CBD. The initial locations will target the areas that exhibit high concentration of individuals mainly during daytime and also at night. The streets and corners for major roads will be served by Amy’s mobile food carts that have the ability to move from one point to another with ease and respond to the needs the market (customers) accordingly. The carts will provide food products "on the go" and will mainly address the passers-by. On the other hand, the company will initially roll outlets of a size of about 70 to 100 square meters and a capacity of holding about 32 people at a time. The outlets will be dispersed according to the office densities and majorly around tall office buildings.
3.0 Operations.
3.1 Types of financial services needed by Amy’s
Amy’s will need a variety of financial services such as financial planning, auditing, accounting (both financial and management), financial reporting and financial management. In order to comprehensively conduct business, a firm needs to adequately take care of its financial services and achieve greater levels of success (Wahlen, Bradshaw, Baginski & Stickney, 2010, p.132). Amy’s will make use of the emerging business practice known as Business Process Outsourcing (BPO). BPO allows firms to hire the services of a profe...