French Caribbean Restaurant

Sep 5, 2019 | 0 comments

Sep 5, 2019 | Miscellaneous | 0 comments

Business Plan- French Caribbean Restaurant

Introduction

In this globalized business environment, all organizations are constantly struggling to gain competitive stability within the market. In this context, the restaurant business can be sufficient to gain an effective industrial market performance. The scope of a restaurant chain in the UK market is attractive over the last years. Therefore, business entrepreneurs have planned to open a French-Caribbean Restaurant at Farnborough town, which is located in Northeast Hampshire. The Start-up managerial team has proposed the company name primarily as ‘Quagan’. Farnborough is well known for the association and support from aviation such as Royal Aircraft, Farnborough Aerodrome, and Airshow. In each year, 55% tourists increase is reported in this city, and it will be supportive for getting upward profit growth within the market. The main agenda of this company is to give a wide number of choices to consumers according to their food culture.

Figure 1: Company Logo

(According to first draft plan)

Mission statement

The concept behind the deliverance of French–Caribbean taste in the market borrowed from the distinct food culture of the consumers in the different regions. For instance, seafood is served in the Caribbean with distinct ingredients and spices. This food is a very important aspect of various family traditions as well as Caribbean culture. Also, this taste culture is comprised of indigenous, Chinese, European, African, and American influences. Therefore, business managers have selected this food culture along with existing French tradition for gaining a positive market reputation as well as growth within the industry.

Vision and objectives

The service objectives of Quagan are as follows:-

  • To create the restaurant environment, which is for handling consumer expectations
  • To increase per year sale up to 25% through word-of-mouth referrals and superior performance
  • To maintain media may be restricted from advertising some products. For example, the advertisement of large food cost under the revenue of 35%
  • To gain average sales between £1,600,000- £2,300,000 per year
  • To expand the market in other regions

Quagan will build a sufficient customer base. For that purpose, the organization has selected an excellent location through understanding the demographics at all levels. Also, an aggressive marketing program can be handled by experienced employees. These factors will be effective for gaining desired business outcome.

•Customer/Market analysis

Market research allows a company to prepare a structured agenda for the positive business approach. This task supports the organization to recognize the organizational capability as well as the viability of new service processes such s French –Caribbean restaurant service in the UK market. This research will be done through the company authorities. These factors can be cultured through understanding existing restaurant business performance within the market. Quagan will access several previous types of research regarding the UK food concept and business strategies. Quagan has done market size evaluation through segmentation targeting and positioning components. As per the current report of Guardian, immigrant communities have dramatically changed the style of capital for individuals to venture into the grocery vending business using carts as advised by Michimi & Wimberl (2010). They would aid bring healthy food to the UK. As per the report of 2013, £66.5 million of package food sales are reported, and this rate is now gradually decreased to £9.5 million in 2017. Marketers have said that people prefer restaurant foods due to the availability of wider choices as per their food culture. The immigrant restaurant companies in the UK have revealed the favorite recipe and tastes exist in subcultural lifestyles that are rooted in the level of education and personal characteristics that govern behavior. The culture influence.

Quagan is focused on following the type of Customer group

  • Cultural trend of people
  • Urban Professional
  • Tourists

These customers will be served according to their beliefs, value, and lifestyle regarding distinct food couture. Market segmentation chart is prepared according to these perspectives. This plan is mentored as per the first draft plan.

Health factors

Due to excessive use of conventional package food for a long time, people are suffering from obesity. A large number of people are experiencing several diseases. Therefore, health is also a significant factor in market segmentation for maintaining well being of the consumers. Therefore, marketers have planned to adopt the ingredients, which are suitable for maintaining good health. It will be an attractive viewpoint for the business of Quagan for getting a larger number of consumers. The growing trend of immigrant taste in the market will be a positive point for Quagan. However, after Brexit, restaurant organizations are experiencing staffing problems at the operational level. For instance, immigrant workers have low skill in the consumer taste United States (Arroyo, 2001). The Japanese culture, which will be an issue for handling product demand. Therefore, employment factors need to be taken in a sincere context.

•Strategy & Structure

Figure 2: Organisational structure of Quagan

(According to first draft plan)

A charge of £15.00 per square foot is being charged to acquiring 191,000 sq ft retail space. Therefore, all tenants will be required for incurring this cost. Following marketing strategy will flow.

Advertising

  • Brochures will be placed in the shops of Farnborough
  • The paid advertisement will be done in well-known magazines
  • Coupons will be handed out on site
  • Social media will be taken for creating a page, where customers can know the restaurant description, another consumer review, and menu choices

Public Relation

For maintaining public relations, managers have to recognize the consumers changed food trends. Survey cards will be placed on each table for collecting the following data.

  • Demographic data for target marketing efforts
  • Quality of food and services
  • Area of improvement

Website programming

  • Coupons can be downloaded from the website
  • Online product delivery is required to be handled through websites

Marketing packages

  • Wedding packages in conjunction with spa and hotel resorts
  • Catering packages will be available for local industries

•The Team/HR

Adriano Chatter will be the account manager of Quagan. He will operate the entire business under a contract of ten Years; previously he has worked in Custodian partnership food & beverages organization London. Also, the strength and performance is positive fir marinating customer relationship. In the operation team, the following staff will be involved.

  • Account manager
  • Technical adviser
  • Market Executive staff
  • Sales executive staff
  • Chefs
  • Cleaning staffs

Also, the technical team will be required for handling the online delivery process, which is a new service approach for UK residents.

•Financial Plan

Start-up business expense

Operations Estimated cost
Planning £500
Legal procedures £2,000
Advertising £7,000
Retailer involvement £10,000
Additional construction cost £29,000
Transport tax £6,000
Employee recruitment £2,000
Training £8,000
Harvesting structure management £12,000
Packaging £7,000
Marketing £11,000
Sales tax £2500
Online business management £2,000
Additional investment £1,000

Table 2: Startup business expense

(Source: Created by author)

Sales forecast

Quagan is expecting a conservative percentage increase in sales revenue annually over the next three years. With the support of additional revenue, sales will increase in 2018, 2019, and 2020.

Annual Sales Forecast 2018 2019 2020
Sales
Food production and ingredient supply Revenue £1,029,123 £1,089,849 £1,156,853
Additional Revenue £15,000 £85,000 £98,000
Total sales £1,044,123 £1,147,849 £1,254,853
Controllable cost
COGS £456,112 £458,176 £460,908
Payroll £285,986 £325,058 £333,027
Total prime cost £742,098 £783,234 £793,935
Controllable profit £302,025 £364,615 £460,918

Table 4: Sales forecast

(Source: Created by author)

Quagan financial statement

Their financial statement is based on the assets and liabilities of the business. The investors and bankers will analyze these factors before starting up this restaurant.

Sales and controllable cost January February March April May June July August September October November December
Food production £70,000 £83,000 £85,760 £70,000 £80,000 £80,000 £82,000 £79,000 £70,000 £85,000 £90,000 £84,154
Supply revenue £1,000 £1200 £1,250 £1,000 £1,000 £1,200 £1,556 £1,000 £1,000 £1,000 £1,256 £1,334
Controllable cost £61,841 £60,000 £61,847 £60,000 £61,842 £60,000 £60,000 £54,000 £59,000 £60,000 £58,000 £54,000
Total (sales +controllable) £132,841 £144,200 £148,857 £131,000 £141,000 £141,200 £143,556 £134,000 £130,000 £146,000 £149,256 £139,488
Net profit(sales-controllable) £9159 £24,200 £25,163 £11,000 £19,158 £21,200 £23,556 £26,000 £12,000 £26,000 £33,256 £31,488

Table 5: Quagan financial statement

(Source: Created by author)

Personal Assets Personal Liabilities
Building assets= £75,000 Long term bank loan= £80,000
Current cash amount=  £ 50,000 Bank loan of short duration=  £40,000
Bank balance= £60,000 Payable trades=  £24,000
investments= £35,000 Bank overdraft=  £0
Land assets=  £30,000 Tax payables=  £18,000
Stock assets= £0
Total assets =£250000 Total liabilities= £162000
Net worth £88,000

Table 6: personal assets and liabilities

(Source: Created by author)

The prediction of annual profit growth in 2018 has displayed a more tremendous opportunity to get sustainable business growth. In the competitive market, Quagan market tactics will be hopeful from the standpoint of business entrepreneurs.

Figure 3: Predicted Annual Profit

(According to first draft plan)

2018, Months Profit percentage
January 7%
February 17%
March 17%
April 8%
May 13%
June 15%
July 16%
August 19%
September 9%
October 18%
November 22%
December 22%

Table 7: Predicted Annual Profit

(Source: Created by author)

•Operations Plan

Production and strategic planning

Quagan has planned to produce their product through the support of immigrant workers, who have proper knowledge of French Caribbean taste. They will follow the traditional and self-assist way of the food production system. In this system, the traditional process includes microwaving, sterilization and pasteurization. The staff will be sincere to maintain food safety. Therefore, they will recruit experienced workers for improving the service along with the standard of food.

Financial plan and Supply chain management

For growth and cost management, financial viability is an effective factor, where Quagan should include multiple sources for food supply. They should negotiate volume discounts from the suppliers.

Food deliverance

The organization will follow Buffet services for managing the purpose of efficiency in resource management. Through the support of a few staff, consumers can choose their [8] Moreover, the place is also a market mid-point for the people from the land of the black people on their route to Barbary. Alvise da Cadmasto further describes the natives’ food by saying that the foods from the bulk. Therefore, it is useful for maintaining food deliverance within a short period.