Sales Literature2(1)(1)

Coffeehouse Business PlanThe Prince I CafeExecutive SummaryThe Prince I Cafe is a full-service cafe located opposite Zijin Canteen in Fuzhou University The restaurant features a full menu of moderately priced "comfort" food.The cafe section of The Prince I Cafe features a coffeehouse with a dessert bar and magazines.The Prince I Cafe will be owned and operated by The Prince I Cafe LLC, a limited liability corporation managed by Victoria,a student of Fuzhou University. The members of the LLC are Victoria(40%) and Mine(15%),Alice(15%),Gaby(15%) and Faye(15%).This business plan offers financial institutions an opportunity to review our vision and strategic focus. It also provides a step-by-step plan for the business start-up, establishing favorable sales numbers, gross margin, and profitability.This plan includes chapters on the company, products and services, market focus, action plans and forecasts, management team, and financial plan.Objectives1.Sales approaching and surpassing 222,000 yuan by the end of the first year.2.Targeting and maintaining a net profit of at least 10% by the second year.3.To cultivate monthly sales to reach 18,000yuan by the end of the fourth month of operation,and 2500% monthly by the end of the first year of operation.MissionLocated opposite to Zijin Canteen，The Prince I Cafe will provide accessible and affordable high quality food, coffee-based products, and entertainment to the thousands of college students.The establishment will provide a "complete, high-quality" evening experience for those searching for something that is rapidly becoming popular among college students.Patrons will also be able to dine on "comfort" food The cafe's aim is simple. It will provide a completely sophisticated, sensual, yet casual dining and/or coffeehouse experience for college students . It will be an affordable venture for patrons, one that will encourage them to return on many occasions. The menu will feature hearty fare of the type that is frequently out of the reach of the typical young professional...out of reach because time frequently prevents her/him from cooking hearty meals like those featured on our menu.Key to success:The keys to success in this business are:1.Product quality: desserts,coffee,snackes and some coffee-based beverages and so on,which possess the better quality and value than other shops ,and entertainment also is the very product in our coffee shop.We will design some little games serve for the customers as the pastime during their consumptions.2.Service: Our staff all are requested have the quality of the highest caliber. Each member ofthe staff will be courteous, efficient, and attentive.Of course,each member of the staff must smile to everyone who come in our coffee shop no matter whether they consume in our coffee shop .3.Marketing: We will need to target our customers early and often.The business we locatedit in a central and accessible location in our Fuzhou University .The coffee shop very close to the dining hall,so there are so many people will come to our shop to consume after class, lunch and supper .4.Management: We will need to have a firm grasp on food, beverage, snakes,coffee andlabor costs. The entertainment and the experience of running a coffee shop must be delivered in a fashion that will not only inspire repeat business, but encourage word-of-mouth recommendations to others. Proper inventory, employee management, and quality control is key.5.Publicity: we have four strategies about the publicity. Firstly,we will distribute largenumbers of leaflets and advertisements in the newspapers or on the radio. We being the sponsor for some student departments,they will do publicize for our coffee shop.For example ,they can make a streamer about our coffee shop ,and the streamer being hung on the wall so that the students can know our coffee shop through it.Secondly,when the customers consume products in our coffee shop to a significant extent,we can give a discount to them.Thirdly,we can offer the off-price merchandises at a fixed time everyday ,for example ,the class time.Fourthly,our coffee shop can supply some unique products to serve for our customers.Company SummaryThe Prince I Cafe is a bistro and coffeehouse facility located opposite to Zijin Canteen. The Prince I Cafe gets its name from an Korean TV drama-The Prince I Cafe.Important AssumptionsThe financial plan depends on important assumptions, most of which are shown in the following table. The key underlying assumptions are:∙We assume a slow-growth economy, without major recession.∙We assume of course that there are no unforeseen changes in technology to makeequipment immediately obsolete.We assume access to equity capital and financing sufficient to maintain our financial plan as shown in the tables.Company Locations and FacilitiesThe Prince I Cafe is a full-service coffeehouse located in the opposite of Zijin Canteen of Fuzhou university.The facility will be divided equally between the cafe function and entertainment function. The restaurant will provide approximately 20 flexible indoor seats and provide a full-service dine-in and carry-out coffee-based beverages, as well as a dessert bar.Enrollment: The Prince I Cafe should get Health and hygiene license from Fuzhou Public Health and the Business license from Fuzhou Trade and Industry Bureau and then get the Catering health permit.2.Publicity:a.giving away brochuresb.making advertisement in colleges around3.Employees: 2 full-time salaried waitresses for RMB2,500 a month, 2 barristas (chef ) for RMB 4,000 a month ,one assistant manager for RMB5,000 a month and 1 manager for RMB7,000 a month.4.Misc.Expenses and Equipment:Including:20 desks (RMB200/per)50 chairs (RMB50/per),one air conditioner (RMB4,000)one sound engineer (RMB2,000)one Coffee Grinder (RMB1,000)one Milk blister machine(RMB100)one Hongxihu Semi-automatic coffee machine(RMB550)one Lahua Semi-automatic coffee machine (doubleheaded) (RMB15,000)Music:Slow lyrical musicFor example,Fly awayJourneywalk awaytake love easyTea For TwoWhen Did You Leave HeavenReading Books: magazines about fashion,travel and geography ,daily newspapers,some famous novels,jokesFor example, VIVI,Last Whole Year,The People's DailyRed and BlackCompany OwnershipThe shop is a privately held limited liability corporation wholly owned by Victoria(40%).We have five investors and everyone invests 25000RMB, while everyone is certain to play an important role in the shop. The shop owner/general manager is Victoria.She is responsible for buying,finance, and selling managements. Mena,the manager,Faye, Gaby,and Alice are waitresses.Five people share the coffee shop, therefore,five people share the interests at the end of the year according to our stock rights.TransportationTake 48 or 96 bus to 1st living area of Fuzhou University,then go along the dorm buildings until you find 24th building.Our coffee house is on the 1st floor of it opposite Zijin Canteen.Start-up SummaryThe start-up costs for The Prince I Cafe can be found in the chart and table below.Since the business property is located in an enterprise zone, property taxes on the property are abated for the initial years covered by the business plan. The general manager will be responsiblefor maintaining insurance that will cover the loss of the building and all of its contents, as well as insurance covering business interruption and death or injury to herself andall staffs.Start-up RequirementsLegalHealth and hygiene license/Business license/Catering health permit3,000RMBStationery etc. Papers pens etc. 500RMB Brochures Menus flyers etc.1,000RMBInsuranceIncluding covering business interruption and death or injury to himself and all staffs.1,860RMB Debt Service Interests of debts 5,000RMB Licenses/Tax/Deposits Tax for every mouth 2,000RMB Employee/Payroll All staffs26,500RMB Advertising Several colleges in Shangjie area 2,000RMB Coffee house60 square meters12,000RMBProductsThe Prince I Cafe is a coffeehouse venue that sells moderately-priced food to an casual dining market. The venue features brewed coffee and beverages,ice cream,pudding, fruit smoothies and juices, and other desserts and snacks typically associated with a coffee shop. Coffee 名字Name单价:/cup 拿铁咖啡 Coffee LatteRMB12 卡布其诺咖啡 Cappuccino Coffee RMB12 蓝山咖啡 Blue Mountains Coffee RMB10 摩卡咖啡 Coffee Mocha RMB10 巴西咖啡 Brazils RMB10 意大利浓缩咖啡 Espresso RMB10 哥伦比亚咖啡Colombian Coffee RMB10 曼特宁咖啡 Mandeling CoffeeRMB10Misc. Expenses Seats tables curtain sounder 15,500RMB Equipment Coffee devices and air conditioning 16,650RMB Loans From bank100,000RMB Fitment cost Fashionable Retro Style 100,000RMB Cash Required Cash flow5,000RMBTOTAL ASSETS Five investors, everyone takes 25000RMB 125,000RMB TOTAL EXPENTS 74,310RMB TOTAL INVESTMENT180,000RMBJuice名字Name单价：/cup 橙汁Orange Juice RMB9柠檬汁Lemon Juice RMB9猕猴桃汁Kiwi Fruit Juice RMB9哈密瓜汁Cantaloupe Juice RMB9鲜奶香蕉汁Fresh Milk Banana Juice RMB9牛奶苹果汁Milk Apple Juice RMB9黄瓜美白汁Cucumber Juice RMB9番茄美容汁Honey Tomato Juice RMB9Ice Cream名字Name 单价：/cup 原味冰激凌Original Taste Ice Cream RMB6 草莓冰激凌Strawberry Ice Cream RMB6 香草冰激凌Vanilla Ice Cream RMB6 芒果冰激凌Mango Ice Cream RMB6 三色冰激凌3-color Ice Cream RMB6 巧克力冰激凌Chocolate Ice Cream RMB6Pudding名字Name 单价:/cup牛奶布丁Milk Pudding RMB8芋香布丁Taro Pudding RMB8芒果布丁Mango Pudding RMB8咖啡布丁Coffee Pudding RMB8三色布丁3-color Pudding RMB8巧克力布丁Chocolate Pudding RMB8芒果烧布丁Mango Bake Pudding RMB8Desserts名字Name 单价：/cup 原味双皮奶Stewed Milk Beancurd RMB6 红豆双皮奶Ormosia Stewed Milk Beancurd RMB6 芒果双皮奶Mango Stewed Milk Beancurd RMB6 木瓜双皮奶Papaya Stewed Milk Beancurd RMB6 西米露糖水Sago Soup RMB6 红豆椰奶西米露Red Bean and Coconut Sago Soup RMB6 椰奶香芋西米露Coconut and Taro Sago Soup RMB6名字Name 单价:/cup 玫瑰花茶Rose Tea RMB 6 茉莉花茶Jasmine Tea RMB 6 薰衣草茶Lavender Tea RMB 6 杭白菊花茶Hangzhou Chrysanthemum Tea RMB 6 新鲜水果茶Fresh Fruit Tea RMB 6RMB 6 砂糖姜汁茶Granulated Sugar and Ginger Ale Tea桂圆玫瑰茶Longan Rose Tea RMB 6Competitive ComparisonThe other shops of milky tea are near our coffee shop ,for example ,the HUAGUOCHAYUAN is the strongest competitor to our coffee shop.Although our products are not similar with each other ,the students are the service objects between our coffee shop and other milky tea shops.Our coffee shop also offer tea and milk ,so maybe we will lose some our customers because of the competition.Sales LiteratureA sample copy of a menu to be featured at The Prince I is attached in an appendix at the end of this document.Product sourceOur coffee beans come from Dalian province,and it named BADIAN coffee.Its quality is very good and its price is also reasonable which is so suitable for the students to consume.TechnologyThe Prince I Cafe logo is protected by laws. All of our menu creations will not necessarily have the same protections, however, when possible, popular "trade-names" will be protected. The business of The Prince I Cafe is not dependent upon process technology or patentable inventions.Market Analysis SummaryCoffee is a RMB 3 billion per year industry in China.Since 2011,coffee industry has welcome its period of rapid development.It has grown at a rate in excess of 20% per year in the last decade.That sustained growth is expected into this decade according the market analysis from some Chinese market experts.Coffee consumption has become a fashion among college students.More and more students choose to drink coffee as a recreation.Our coffeehouse aims at college students who is one of the main coffee consuming groups.One of the most common reasons cited by coffee workers is that college students are willing to accept new things at their age.Target Market Segment StrategyThe Prince I will appeal to college students who pursue fashion consume style,casual eating,and coffeehouse entertainment experience.The market segment is largely made up of singles between the ages of 18 and 25,couples,graduates and professional students in the university.Market NeedsOur customer's dining and entertainment needs are critical to the success of The Prince I. As a supplier of a full-service dining experience, The Prince I must appeal to those customers who regularly take advantage of our coffeehouse and/or evening entertainment scene.Our customers are well educated and interested in partaking of new experiences. Keeping the menu and the entertainment offerings "fresh" will remain a constant challenge to the business. Segments of the target market tend to dine out, visit coffee shops, and seek evening entertainment frequently. They tend to choose comfortable, affordable venues, and repeat appearances at places that offer familiar scenery with new twists.There are lots of milky tea shops in Fuzhou University,but no coffeehouse.It 's a great opportunity to dominate the coffee market.Market TrendsThere is a trend toward finding the creation of evening dining/entertainment venues. They are popular and gaining more recognition. Evidence of this is found in local news and magazine coverage. These venues are finding new homes in the campus.The market opportunity for coffee shop establishments has been motivated by milky tea shops in the campus. Students like to chat or have some meetings in the shop and they prefer to have some drinks at the same time.Market GrowthSince coffeehouse is opposite to canteen, young singles and couples are choosing to reject long commutes in favor of close to recreational venues.As college students have more spare time,they are opting for dining, coffeehouse, and entertainment venues closer to .Competitive EdgeThe coffee shop maintains a competitive edge in several significant areas:∙The facility's location puts it into close proximity to substantial populations of dining hall.∙The owners, some college students, were educated in and works professionally in Fuzhou university. They all have the work experience included a substantial period working withina casual restaurant or coffeehouse.∙The facility's construction will easily allow for flexible dining/coffeehouse/entertainmentoptions making it attractive to college students..Industry AnalysisThe milky tea shops that make up the community of establishments in the area surrounding The Prince I Cafe are quite diverse. Their concepts are usually typical drinking. However, the predominating nature of our coffee shop is casual and recreation.Sales StrategyThe category of our sales strategy is to establish and maintain a position with our whole campus: We will depend upon keeping these people happy with our food and beverage products and entertainment .Sales ForecastOur sales forecast assumes no change in cost of prices, which is a reasonable assumption for the last few years.We begin at the beginning of 2012 New year.We are expecting to increase sales from 432000RMB at the end of 2013, to 7000000RMB by the end of 2014. The growth forecast is in line with the desserts ,snacks in the area and is tied to the projected increase in population of the freshmen, and expands our selling areas around the Shangjie Area gradually.The combined sales figures (across all sale items for the restaurant and coffee shop) presume an average of 2.5 "turns" per day for a45seats coffee room with an average tab of 5RMB-10RMB. The business will be open an average of 30 days per month.The projections show increases in:Some schools will hold a feast to celebrate the Mid-autumn festival, Christmas day,Valentine's day etc.We will have some showers or performances to attract customers. Also there is a cut to impulse sales.January, based upon corporate Christmas party and New Year's Eve programming.Month salesSales ForecastSales ForecastContent First year Second year Third year Desserts 54000RMB 54300RMB 54500RMBCoffee 144000RMB 150000RMB 150000RMBDrinks 36000RMB 34500RMB 35000RMBSnacks 72000RMB 72000RMB 74000RMBTotal sales 306000RMB 3108000RMB 313500RMBTotal costs of sales 84000RMB 84000RMB 84000RMBMilestonesThe accompanying table lists important program milestones, with dates and managers in charge, and budgets for each. The milestone schedule indicates our emphasis on planning forimplementation.What the table doesn't show is the commitment behind it. Our business plan software includes complete provisions for plan-vs.-actual analysis, and we will be holding monthly follow-up meetings to discuss the variance and course corrections.MilestonesMilestone Start Date End Date Budget Leaders personnel Leasehold01/11/2012 05/11/2012 12000RMB VictoriaBuildout05/11/2012 07/11/2012 0RMB GabyEquipmentInstallationPurchasing 01/11/2012 05/11/2012 16650RMB GabyMarketing Plan 01/11/2012 07/11/2012 0RMB Victoria/Gaby/Mena/Alice/FayeInterior Design 01/11/2012 01/11/2012 0RMB Gaby05/11/2012 10/11/2012 100000RMB Alice/MenaBegin ConstructionProcessFixture/table10/11/2012 13/11/2012 15500RMB Gaby/Faye ConstructionTOTAL 144150RMBMarketing StrategyThe most important element of our marketing strategy is the delivery of a quality product. Ourfood, beverage, newspaper/magazine, and entertainment products must first sell themselves through word of mouth.Next, the packaging of The Prince I Cafe concept and external messages have to fit our positioning.We then communicate this through the free weekly media (broadcast and others),and campus newspapers.Sales ProgramsSpecific Sales Programs:1.Special Event Sales: Develop opportunities to sell to companies for private parties and specialevents. The specific responsibility is with the owner with assistance the manager on staff.Music Related Special Events: Develop relationships with associations in the area to feature rising in popularity, either through record or live performances.2.Freshmen's Week Special Events: Develop opportunities to host or cater Freshmen's Week.Positioning StatementFor our most important target market, college students who crave new dining/entertainment/coffeehouse options, The Prince I Cafe satisfies the need for a casual, all-in-one dining and entertainment experience. Unlike our key competition, The Prince I Cafe is designed to handle this need from its inception, starting with the general construction of the facility. The general food programming, coupled with the entertainment programming, will offer the customer an experience unlike anything he or she has currently available.Pricing StrategyOur food, drinks, and entertainment options are priced to give us an attractive margin while at the same time offering value to the consumer. We want repeat business. We also want the experience to remain fresh. Therein lies why the food, beverages, and musical/entertainment programming will be relatively flexible.A sample menu is included in an appendix.**Some supplemental materials are not available for this sample plan.Promotion StrategyWe will promote our company name and label almost more than the product itself, because to be successful we have to stand for brand-name integrity, excellent menu offerings, and first classentertainment and fun. Therefore, our promotion strategy includes focusing on events and messages that match:1.We do special promotion like new combination of coffee on festivals.Flyers andmagazines about our product will be available.2.Advertising placed carefully, in mostly-alternative channels like Fuzhou University V oice,university newspapers, etc.Strategic AlliancesWe depend on our alliances with personnel at Fuzhou University Voice, University Newspapers and Student Association to generate continuous leads for new sales and promotional opportunities. We need to make sure that the personnel of these allies are especially aware of our support and reciprocation.Important AssumptionsThe financial plan depends on important assumptions, most of which are shown in the following table. The key underlying assumptions are:∙We assume a slow-growth economy, without major recession.∙We assume of course that there are no unforeseen changes in technology to make equipment immediately obsolete.∙We assume access to equity capital and financing sufficient to maintain our financial plan as shown in the tables.Personnel PlanThe personnel plan calls for hiring 2 full-time salaried waitresses, 2 part-time salaried waitress,2 baristas (chef ) and 1 manager at start-up. Employee salaries are as follows:Position Salary/monthManager 7,000yuanAssistant manager 5,000yuanBaristas (Chef ) 4,000yuanWaitresses(full-time) 2,500yuanWaitresses(part-time) 1,500+yuanOrganizational StructureThe Prince I Cafe is owned by Victoria (40%) and Mine(15%),Alice(15%),Gaby(15%) and Faye(15%).Victoria who will also operate as general manager/managing partner.Gaby :the assistant manager will assist in maintaining and reviewing operations of the coffeehouse and the entertainment venue/bar.Mena:the chef will manage kitchen operations and be crucial to maintaining food inventory stability and assistance in menu development.Faye:the sous-chef/line cook will perform secondary management functions in the kitchen as well as provide assistance to the chef in main Part-time personnel will be hired to handle bartending, serving, and dishwashing functions.Alice:senior server who will be a part-time salaried employee, will provide table service .2 full-time salaried waitresses （to be hired）1 part-time salaried waitresses (Alice)Financial PlanWe want to finance growth mainly through cash flow. We recognize that this means we will have to grow more slowly than we might like.The most important indicator in our case is inventory turnover. We have to make sure that food inventory turnover stays at approximately four turns per month, or we risk loss through spoilage.We do not want to let our average collection days get above 45 under any circumstances. This could cause a serious problem with cash flow, because our working capital situation is tight. Most credit sales will be via credit and debit cards. We do have plans to initiate direct billing for law firms and other businesses conducting regular visits.We must target a net profit of 14% at the least, and hold marketing costs to no more than one to three percent of gross sales.Important AssumptionsThe financial plan depends on important assumptions, most of which are shown in the following table. The key underlying assumptions are:∙We assume a slow-growth economy, without major recession.∙We assume of course that there are no unforeseen changes in technology to makeequipment immediately obsolete.We assume access to equity capital and financing sufficient to maintain our financial plan as shown in the tables.。