The Keys to Success for Elegant Dishes Restaurant - Case Study Example

Business plan: Elegant Dishes Restaurant Name Course Instructor Institution Date Executive summary Elegant Dishes Restaurant is an eating joint, located within the Australian East Resort and aimed at serving nutritious and high quality dishes and fast foods within the Australian East Coast Resort. The restaurant will specialize in both main dishes as well as fast foods (hot and cold sandwiches) alongside special recipes for indigenous Australian dishes. The restaurant hopes to provide mouthwatering and hard to find recipes at affordable prices to the various persons who frequent the resort. The keys to success for Elegant Dishes Restaurant will be quality of service and an excellent location, often accessible to numerous frequent visitors, tourists and organizational functions Contents Restaurant concept business 3 Location and description 3 Objectives mission 4 Mission statement 4 Products and services 4 Management summary 5 Management Team 6 Market analysis summary 6 Market Segmentation 7 Strategy and Implementation Summary 9 Competitive Edge 10 Sales Strategy 10 Sales Forecast 11 Personnel remuneration, salaries and wages 12 Financial Budget 13 References 16 Restaurant concept business Location and description The proposed business will be known as Elegant Dishes Restaurant located within the Australian East Resort. The main involvements of the business will be to offer a breakfast and lunch menu, fresh cold cuts, drinks, and take-out prepared dishes within the resort. Objectives mission i. To provide customers with high quality meals at reasonable prices with exemplary service ii. To be the premier destination home-style restaurant within the Australian East Coast Resort (Get the exact name of the Resort) iii. To achieve an annual revenue turnover of not less than 45% Mission statement Our mission is to provide a unique and exemplary dining experience, a similar service to a home setting. We will work hard to realize this by providing quality meals at reasonable prices and treating each of our clients with dignity and respect at all times. Products and services Elegant Dishes Restaurant will offer a breakfast and lunch menu, fresh cold cuts, drinks, and take-out prepared dishes. Breakfast will include such items as omelets, cereal, eggs, toast, yogurt, plus coffee and tea. The lunch menu will consist of various cold cut sandwiches (turkey, ham, roast beef, etc.) plus prepared salads including: Caesar Salad. Greek Salad. Watercress and Sesame Salad. Homemade Potato Salad. Italian Eggplant Salad. Maury Island Cranberry Arctic Salad. Management summary This is a constituent business within the Australian Eastern Resort and therefore the overall management of the restaurant will be under that of the resort. The employee categories will thus include including counter clerks, kitchen help, and busboys culminating into a total of twenty one employees The manager will be in attendance during normal business hours, 7 a.m. to 6 p.m. five days per week.  In addition, specific other employees will have supervisory roles for times when owner-founder is not able to be present. Management Team The management will consist of the senior restaurant manager, Ms. Jane Ericson. Ms. Ericson, who has been involved in the cooking profession all her life and has acquired a local reputation for creating inventive and tasty recipes focusing on Northwest cuisine. For the past seven years she has run a cooking class business out of her home and will have her first cookbook published next year. Desiring to have an independent business that would provide more income, Ms. Ericson attended Columbia River Community College where she obtained a BS in business in preparation for starting her own deli. Market analysis summary Elegant Dishes Restaurant will majorly focus on regular visitors, conference meeting, family functions and fan fares held in Australian East coast resort as the major clients for the business. Such like functions and people usually have a yearning for good food and a fascinating atmosphere. Major competitors within the market include: i. Pier/Village Center (mixed commercial, entertainment & residential), ii. Beach Front North (residential & entertainment), iii. Beach Front South (residential), iv. Hotel Campus (office & hotel) and v. Broadway Gateway (mixed commercial). The existences of the above enterprises have not all the same served to cool the craving desire of the city residents and visitors to have elegant dishes. Great events within Australian East coast resort have for instance attracted outside catering facilities from similar players outside the city. The increasing population within the city has also exerted pressure on existing social amenities such as eating joints, restaurant and accommodation facilities. Due to the increasing visitations and events held within the Australian East Coast Resort, a fine dining establishment like Elegant Dishes Restaurant will be a highly welcome and viable business venture. The resort in particular will have much to offer and the people that it draws expect a place where they will get the best of everything. Elegant Dishes Restaurant will thus provide a new definition in fine dining concept to the resort and its environs. The elegant resort atmosphere, our excellent dishes and our cordial staff will stand out and make a name within the city. Elegant Dishes Restaurant will thus succeed by giving people a combination of excellent and interesting food in an excellent and relaxing environment that attracts successful people that want to get a little bit more out of life than just the ordinary Market Segmentation Elegant Dishes Restaurant intends to cater to a wide group of people. We intend to make everyone feel welcome and relaxed in a cozy atmosphere alongside a variety of affordable menu. In fact the core production mission for the business will be to offer "something for everyone" on our menu. Our market therefore consists of the following groups: Business people: these refers to entrepreneurs who work all day and at times stay overnight in the city. As a result, this group of people needs a place where they can relax and use the money they have tirelessly worked to earn. In fact these will be major customers for drinks, food and tips. Family outings and happy couples: the restaurant will have within its inclusion, a provision for an intimate, romantic, sophisticated atmosphere that will make it a number one choice for couple dates. We will strive to make a name as a place where people can meet and subsequently develop networks. Family outings are often characterized by extensive fun and heavy eating. In this place, the Elegant Dishes Restaurant will provide a wide range of affordable meals to cater for such family functions. High-end Singles: We will work towards attracting such people through our decor and layout. Our exceptional menu, striking artwork, wine tasting evenings and events, excellent service and engaging clientele will offer the utmost feeling of being in "the coolest place" hence higher chances of winning such people to dine in our facility. Tourists: tourists often frequent Australian East coast resort for relaxation, drinks and accommodation. Elegant Dishes Restaurant will thus seek to attract such vacationers especially during summer months of May through September. Conferences and meetings: The resort is often chosen for such functions conferences and meetings by institutions organizations. Elegant Dishes Restaurant will thus be on the forefront, working in close proximity with the resort management to provide catering facilities in the event of such conferences or meetings held within the resort. Market segmentation for Elegant Dishes Restaurant can thus be presented as shown below: Strategy and Implementation Summary The business strategy for Elegant Dishes Restaurant will be simple, to succeed in the market by providing clients with a perfect combination of delicacies alongside a serene environment hence appealing to an extensive variety of people. Observation of high standards in both ur recipes and customer treatment will also add up to our selling point. The enterprise shall then greatly focus on increasing customer awareness on its existence within the surrounding communities and beyond by explaining to the customers our mission and what we actually do. In this case, our main marketing force will be through word of mouth. The resort already presents an appealing and entertaining environment hence the core contribution and entry strategy of Elegant Dishes Restaurant will be to provide unbeatable quality foods at exceptional prices. Competitive Edge Our competitive advantage in the market will be through the menu prices, the serene environment and the enterprise management. The proposed restaurant will adopt both a local and international menu with foods made from the freshest ingredients and produce available. The kitchen staff, under the chief chef will comprise of well trained, experienced individuals with excellent tastes for what fine dining is and requires. The resort environment and atmosphere which will be further enhanced our warm and relaxing décor to add elegance and comfort. The servers will be under instructions to offer the best service to the customers, so as to make them want to come back again and again! Sales Strategy Our sales plan is to penetrate the local market and subsequently establish and maintain a formidable position with all our clients and customer. The strategy is to attract and retain a large number customers in so as to increase revenue returns hence profit maximization. Since restaurant business is a repeat business, our sales will thus be client service. A great emphasis will thus be laid on ensuring satisfaction and comfort of all our customers happy with our food, service and entertainment options so as to increase the scope of our reputation. Our strategy in the restaurant is to have knowledgeable, experienced and diligent staff that clearly understands the food and restaurant industry. In this case, all our staff will go through a brief induction training to ensure they perfectly fit well within the Elegant Dishes Restaurant concept. Sales Forecast The following charts show sales projections for our first twelve months. Monthly restaurant gross sales are to average $68,186. That is 30 people for lunch spending approximately $15 per person, and for dinner approximately 50 people spending an average $25 per person. Catering will average $10,471/month or three parties of $3,490 each. Our total cost of goods sold is capped at 33% of total sales. We expect sales to increase 15% after Year 1. See Income Statement in the appendix for restaurant and catering sales assumptions. Sales projection by year Personnel remuneration, salaries and wages Year 1 Year 2 Year 3 General manager 36000 36000 36000 Front manager 20,160 26,880 26,880 Receptionist 10,000 12,000 14000 Waiter1 5040 5040 5040 Waiter 2 5040 5040 5040 Waiter 3 4200 4200 4200 Water 4 4200 4200 4200 Waiter 5 3864 3864 3864 Chief chef 32400 32400 32400 Cook 1 11088 11088 11088 Cook 2 11088 11088 11088 Sous chef 32400 32400 32400 Pep cook 1 9600 9600 9600 Dish washer 1 8400 8400 8400 Dish washer 2 8400 8400 8400 Prep cook 2 9600 9600 9600 Busboy 1 10560 10560 10560 Busboy 2 10560 10560 10560 Busboy 3 6000 6000 6000 Busboy 4 6000 6000 6000 Additional dish washer 8000 8000 8000 Total employees 25 Financial Budget The initial financing and capital expenditure for Elegant Dishes are as shown in the table below. The company will invest $40,000 and will seek to obtain a commercial loan worth $60,000. Besides the two sources, the business will subsequently get a loan worth $ 20,000 free of interest from the company savings kitty to be repaid within the initial year of operation. Initial expenditure Legal Requirements $1000 Stationery $600 Building Rent $2000 Equipment $6000 Others Miscellaneous Requirements $2000 Total Initial Expenditure $11600 Initial Assets Required Cash in Hand $56000 Initial Inventory 0 Other Current Assets $4000 Long term assets $48000 TOTAL ASSETS $108400 TOTAL REQUIREMENTS $120,000 INITIAL FUNDING AND CAPITAL Initial Expenses $11600 Initial assets $118400 TOTAL INITAIL FUNDING $120,000 ASSETS INITIAL NON-CASH ASSETS $52000 INITIAL CASH REQUIRED $56000 INITIAL CAHS BALANCE $56000 TOTAL ASSETS $108000 CAPITAL AND FUNDING LIABILITIES BORROWED CAPITAL $60000 INTEREST FREE LOAN $20,000 TOTAL LIABILTIES $80,000 INITIAL INVESTMENT $40,000 START UP EXPENSES $11600 TOTAL CAPITAL 28400 TOTAL CAPITAL AND LIABILITIES 108400 TOTAL FUNDING $120,000 The initial investment can thus be summarized as shown bellow References Blackwell, Edward. How to Prepare a Business Plan. London: Kogan Page, 2011. Print. COVELLO, J. A., & HAZELGREN, B. J. (2006). 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How to Write a Great Business Plan. Boston, MA: Harvard Business School Press, 2008. Print. Read More