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Proposal for Jamba Juice - Essay Example

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Kirk Perron started a store in Emeryville, California in the year of 1990 with his three more friends: Joe Vergara, Kevin Peters and Linda Olds. The company was named after…
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Proposal for Jamba Juice
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Proposal for Jamba Juice Company of Company Profile Jamba Juice Company is one of the fastest growing juice companies in the United States of America. Kirk Perron started a store in Emeryville, California in the year of 1990 with his three more friends: Joe Vergara, Kevin Peters and Linda Olds. The company was named after ‘Juice Club’ at start, but after the acquisition with ‘Zuka Juice Inc’ in 1995, Juice Club was then named as ‘Jamba Juice Company’. It has now expanded into more than 25 states across the United States, and has more than 280 locations for the company and has also developed its franchises in more than 40 international stores as well. After running the successful business of only nutritious beverages that include, healthy smoothies, squeezed fruit juices and fresh blend of juices, teas and coffees and oatmeal later, Jamba Juice adopted a new line of healthy items. These include baked items and fresh salads, wraps, and sandwiches and fruit yogurts. And, now Jamba Juice is motivated to open its new store at ‘San Antonio International Airport’.
Awards and Recognition
Jamba Juice Company actively works for a nonprofit organization named “Bay Area Leadership Foundation (BALF)”. As a matter of fact, they chose Jamba Juice as a ‘Corporate Citizen of the Year’ (Globenewswire, 2015).
Jamba Juice has also got the award from “Inc. 5000” as a “Fastest Growing Private Companies” (Awards & Recognition , 2015).
New Project
Jamba Juice Company is looking forward to establish its new restaurant at ‘San Antonio International Airport’ as it has a capacity of dealing around eight million travelers in a year domestic and international (Aviation Department, 2014). Idea of expanding the business at a populous place that deals with non-stop public operations can be very effective way to conduct profitable operations. There are number of restaurants already present at San Antonio Airport, But Jamba Juice Company has a unique selling point of providing fresh and full of nourishment fruit blends.
In order to start a new restaurant, the company needs to invest in major goods; some of them are going to be their assets as they will last longer and need to spend in expenses like Deposit for building’s security. It remains as the major expense because legal fee registration and certification are legally advised; company can restate its budget in marketing expense. Since the restaurant manage day to day fruit buying, transportation cost is going to be the highest among all the operating expenses.
Jamba Juice Company at San Antonio Airport
 
Startup Cost
 
 
 
Assets
$
Chiller & freezer
8,000
Furniture & fixtures & Electronics
10,000
Equipment & Machinery
12,000
Total Fixed Assets
30,000
 
Expenses
Legal Fee for Registration
2,500
Building Security Deposit
20,000
Certification
2,000
Working Capital
8,000
Marketing
6,000
Computer & Software
2,000
Crockery
6,000
Uniforms
3,000
Business Insurance
3,000
Total Expenses
52,500
Total Startup Cost
82,500
 
Operating Cost
Monthly Rent
500
Staff Salary
5,000
Insurance Expense
200
laundry Expense
500
Utilities
1,200
Transportation Expense
1,400
Total Operating Cost
8,800
According to the table above, Jamba Juice Company has a potential to establish its store at its new location, San Antonio Airport, as the company is rising with the growth rate of 8% annually, and eligible to cover-up its startup cost in one year.
Reference List
Aviation Department. (2014). Retrieved February 13, 2015, from sanantonio.gov: https://www.sanantonio.gov/aviation
Awards & Recognition . (2015). Retrieved February 12, 2015, from communiqueconferencing.com: http://www.communiqueconferencing.com/awards.asp
Globenewswire. (2015). Jamba Juice Named Corporate CItizen of the Year by the Bay Area Leadership Foundation. Retrieved February 12, 2015, from globenewswire.com: http://globenewswire.com/news-release/2013/05/01/543342/10030812/en/Jamba-Juice-Named-Corporate-Citizen-of-the-Year-by-the-Bay-Area-Leadership-Foundation.html Read More
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