Business Plan for the Sharks Warehouse - Research Paper Example

Business plan Introduction The shark’s warehouse in Carmel, Monterey County, California in the United s will serve as a big business in attracting venue hiring and as a restaurant to the surroundings. The warehouse intends to attract regular loyal customers in the county by providing warehouse services at affordable prices. The warehouse also intends to build a strong market position that provides a competitive advantage in the area. The products of the warehouse will be offered to a wide range of customers including the local and national talents that would require the warehouse to host their shows. The warehouse will be needed for comedies, late night partnerships with palladium artists; it will also be open for dance and band shows and cabaret style opportunities to both talents. The region Carmel also referred to as Carmel by the sea is a city found in the Monterey County in California in the United States, whichwas founded in the year 1902 and incorporated in 1916. The city is widely known for its natural scenery and the great artistic history. The city has a great artistic value from the early decades and even got its name from the poets and writers in Carmel. The city has widely been dominated by artists over the decade and the city is widely known for the dog friendly environment, restaurants, numerous hotels, and retail establishments that attract guests with dogs to the region. The country is located on the pacific coast where it is about 350 miles to the north of Los Angeles, and 190 kilometers to the south of San Francisco. According to the United States census in the year 2010, the city was reported to have a population of approximately 3,722. The population density of the city had 3,455.5 people located per square mile. According to the races in the region, the whites took the larger portion of 93.1% of 3464 people, the African American took a portion of 0.3% with 11 people, the Native American were 8 of them with a 0.2, Asians were 111 people at 3%, the Pacific Islander took a 1.2% with 45 people, 1.2% came from other races in the town while the Latino or the Hispanic took a 6.8% with a population of 174 persons. From the census, it reviewed that all the people lived in their households and non-at noon- institutionalized quarters. The population at Carmel was spread out with 10.2% of 381 people were under the age of 18 years, 114 people were of the age between 18 to 24, 544 people of the age between 25 to 44, 1355 people were of the age between 45 and 64 while above 65 years of age there were 1328 people. The city of Carmel has several protected marine areas including the Carmel Bay. Point Lobos and the Carmel Pinnacles. The city original planning was highly influenced by maintaining its coastal beauty and retain the original features of the white sand beaches. The city at the modern day hosts regular delegations both from within the United States and around the world with many people interested to know how the city has been able to retain its homogeneous originality. From the demographics of the city, it is good to see that from its historical component and attraction, it will be essential to build the warehouse, as it will be a worthwhile investment that will derive adequate returns for the owners. Swot analysis of the Carmel city Strengths Great infrastructure Wide attraction areas Weaknesses Have a small population Opportunities Wide number of delegations in the Carmel city. Has great history in arts. Attracts local and national talents Threats Competition from rivals The products and services of the warehouse. The warehouse intends to provide a wide range of rentals including concert, church and off-hour rentals. For some of the renters, they will require sound equipment has to use for their business like the church. The warehouse intends to attract both local and national talents that will perform in the city where they could be having comedies, or dance and band shows. Apart from the shows in the warehouse, there will also be a back bar that will provide cold drinks among other drinks and ready food. The bar events will include happy hour bingos, the karaoke, D j nights and late night dances so as to attract a wide range of people to the warehouse, fundraising and private events will all be around the city of Carmel. Objectives of the warehouse. The first component of the Warehouse will be to conduct a feasibility study on the best location in which to establish the warehouse to have a big customer base and thus high revenues. The second goal will be to have an operations and management team of the restaurant that will be the driver in achieving the goals and objectives of the restaurant. The third goal will be to have a marketing strategy that will help the warehouse create a competitive advantage with other restaurants in the region. This objective will be aimed at differentiating the products of the warehouse to its competitors by having a well-balanced pricing strategy of different services to come on top. Innovation will be key at this level in coming up with new ideas that will have a market niche. The fourth goal is the business plan estimate or the budgeting for both investment and operating costs that will ensure efficient use of the available resources of the warehouse. It is also at this level to estimate the potential risk that would arise from the establishment of the warehouse. The cahsflows statements should also cover a period of time and in our case a period of one year. The mission statement of the warehouse. The warehouse aims at providing quality services to all clients at competitive prices that meets the demands of both low, middle and high-income local and national clients. This mission statement shows that the warehouse is not discriminatory in any way and that it appreciates any customer that would be interested with the services of the warehouse at any given point. The warehouse summary Three partners whose main goal is to make profits will manage the warehouse. At the commencement, they will contribute equal amounts to finance all requirements of the warehouse and it any one point where the amount is not enough, they will have to approach a bank for the startup finance. The warehouse aims to build a strong market relation in the city of Carmel and create a competitive advantage by attracting a large number of customers. The projected cash budget for the company. PROJECTED CASH BUDGET FIRST QUARTER SECOND QUARTER THIRD QUARTER FOURTH QUARTER ITEMS         PREMIUM REVENUE 5000.00 12000.00 11000.00 22000.00 CONCERT REVENUE 1800.00 3000.00 2500.00 7500.00 CHURCH REVENUE 2700.00 8100.00 10800.00 21600.00 TOTAL REVENUE 11000.00 27975.00 32175.00 66850.00 ADDITIONAL REVENUE: BACK LINE AND BAR 5407.00 14599.00 17982.00 37879.50 TOTAL REVE FOR THE WAREHOUSE 16407.00 42574.00 50157.00 104729.50 FIXED EXPENSES 43437.34 38001.20 38546.87 53165.37 OTHER FEES 2556.10 7893.95 11045.85 23740.85 NET PROFIT BEFORE TAX -29586.44 -3321.15 564.28 27823.28 The table above gives a summary of the projected cahsflows that the warehouse would be expecting in the next 13 months. The quarters are on between June to August 2014, September to November 2014, December 2014to February 2015, March to June 2015 covering more months. The revenues of the warehouse will arise from the premium revenues of the concert rentals, the revenue arising from the sales of tickets to various audiences, church rentals, and off-hour rentals within the warehouse. There will also be revenues that will come from the sales of soft drinks, beer, and wines from the back club bar within the warehouse surroundings. The costs of the warehouse will include fixed expenses in the payment of the employees, marketing, communication, internet fees, legal expenses, general supplies among others that will be required by the warehouse to ensure that it is running smoothly at all times. From the table, it can be clearly seen that the warehouse will take a period of six months to break even where the first two quarters will experience losses. At the end of the fourth quarter, the results of the investment will be attractive with the business experiencing profits showing that it is worthwhile to undertake the investment for the business. The innovative marketing strategies that would be worthwhile to the branding of the warehouse would include; with the great advancement of technology, the warehouse can utilize in creating wide networks throughout the United States and thus be in a position to attract both local and national talents and in that creating a wide customer network to the warehouse. Through the internet, the warehouse will utilize social sites and Facebook, YouTube channels to show the videos on performances of the warehouse, they can also create a website that will provide a wide range of information about the services of the warehouse and different prices that are charged on the rentals of the warehouse. The company by creating a competitive advantage will need to have an aggressive marketing team that sells the brand name of the warehouse in the United States. By doing this, they will require to be provided with all the information that would be necessary in achieving the objectives of the warehouse. The warehouse will also have to invest in the brand where it will have innovative products that are more attractive to the loyal customers on need with the products of the warehouse. Innovative products will involve the design of the venue where it can provide more space. They can also have the best talents locally and nationally who will attract a wide audience to the warehouse. The operations manager of the warehouse will have some of the following responsibilities; he will be having a main duty of ensuring that all the employees within the warehouse are allocated specific duties, they are time keepers and the deliver their various duties on time. He will also have to ensure that all the machinery of the warehouse are operating and in case of any breakage, he reports to the senior management for repair. At one point or another, he will have a chance to negotiate with various clients on various needs to have customer satisfaction on the services offered by the warehouse. The operations manager will also be responsible of preparing a timetable for the employees, and providing supervisory duty. Works Cited thecrocodile.com. History: Since 1991, music fans far and wide have recognized the Crocodile as Seattle’s best live music venue. 2014. 29 April 2014. . Read More