new project proposal

University of Central Punjab Sheikhupura

Final Project of Business Finance

Presented ByTinkersGroup LeaderLubna ShehzadiOther MembersSaira AzamAsma TahirHumaira ShamshadShazia Akram

No TITLE1. INTRODUCTION

Business profile & category

Vision & mission

Values & slogan

Goals, objectives & ethics

2. Key stakeholder

3. Organizational hierarchy

4. Facts and figure about business in Pakistan

5. Selected area & location

6. Why this area and its geographical overview

7. Purpose

8. Differentiation/ specialty

9. Our products

10. Our deals

11. Initial investment

12. Stockholders names & their investment

TABLE OF CONTENTS

No TITLE

13. Starting infrastructure & expenses

14. Daily expense

15. Monthly expense

16. Annually expense

17. Daily revenue

18. Monthly and annually revenue

19. Our required labor

20. Our competitors and timings

21. Marketing expense

22. Promotional tools

23. Market segmentation and target market

No TITLE

24. BUSINESS ANALYSIS

Pest

SWOT (of our business and our competitors too)

PLC

BCG

Ansoff model

25. How to attract customers

26. References

27. Conclusion

CATEGORYFood restaurant

COMPANY PROFILE

This is the business which we want to establish by the investment of five partners. The category of the business is a restaurant line. It will be open from 11:00 am to 12:00 am. Currently it is going to be established in Kalma chowk. In future we will plan about its further branches.

Official Website: www.foodelicious.com.pkOfficial Email: foodelicious@hotmail.com

Foodelicious Restaurant

Vision“To provide healthy and delicious food”Mission“Team Foodelicious will create a prosperous, strong, food company by providing unique, healthy, consistent and exciting eating experiences to all our clients in the form of restaurants.We will also educate, inform and change the eating habits of all people who use us, creating happier and more stable communities.”

Hygienic foodEat, relax & enjoyMeet customer’s expectationMeet & exceed the diverse nutritional needs of our customersWork as a teamBe honest in our dealings with customers

Slogan“Every bite is delicious”

Goals

Maximize restaurant incomeAttract the customersTo be a best restaurant of LahoreOffering fairly priced food optionsProviding excellent customer servicesCreating an attractive and diverse menuHome like environmentTo provide tasty and healthy food to our customers

ObjectivesBuild an organization dedicated to excellence.Consistently deliver superior quality and value in our products and services.Maintain a commitment to innovation for continuous improvement and grow, striving always to be the leader in the market place changes.Generate consistently superior financial returns and benefits for our owner and employeesTo be the talk of the Town

Key Stake holders

Customers

Directors

Government Employees

Owners(Shareholders)

Creditors

Organizational Hierarchy

Lubna Shehzadi

CEO

Humaira Shamshad(Marketing Manager)

Saira Azam(Finance

Manager)

Asma Tahir(Admin active

Manager)

Shazia Akram(Operational

Manager)

Selected area

Kalma Chowk

Location Near Bus stand, Kalma chowk, on the road Lahore.

Presented By

Asma Tahir (S2F13MCOM0064)

Geographical overview

Purpose

The general purpose of our restaurant is to allow families and friends to go out for a good meal and have a good time. Moreover, it is to provide good

customer service and making a profit.

Differentiation / specialty

•Online delivery and order•Several deals•Economical prices•Quality•Taste•Hygienic environment

Items Price (Rs.)

Starters Drum sticks 350

Russian salad (family bowl) 400Macaroni Salad 250Cream Salad 150Foodelicious special Salad 400

Items Price (Rs.)

SoupsHot & sour 320Chicken corn soup 300Thai tomato 300Happy MenuZinger Burger 200Small Pizza 360Medium Pizza 450Large pizza with extra topping 810Hot wings 5 330Hot wings 10 650Chicken pieces 3 350

Items Price (Rs.)

History AddictionReshmi kabab 1000Mughlai kabab 800

Punjabi SawadKari pakora 250Saag with white butter 450Punjabi pulao 380Maki di Roti 50Fantasy world MenuCold coffee 200Mango pudding 250Egg pudding 350Ice tea 100Reg.Drink 50Ice cream 3 scoops 100

Items Price (Rs.)

Just wow for kidsNuggets 9 = 320Nuggets 15= 480Potato cutlets 200Chicken cutlets 310French fries 100Fingers fries 190Chocolate shake 200

Kabab ShababKandhari 280Kafta 270Labnani 350Chinese ChaskaEgg fried Rice 280Vegetable fried Rice 250Chicken fried Rice 380Foodelicious special Rice 420Chicken Manchurian 450Chicken pineapple 370Chicken black pepper 290Chicken almond sauce 350

Super Deals

Zinger+Reg Drink 260Zinger+Fries+reg Drink 300Zinger+fries+chicken piece+reg drink 400Arabian rice+drink 350Pizza s+drink 330Pizza m+drink 470Pizza l+drink 850Chicken manchorian+rice 480

Items Price (Rs.)

Special Offer

Lunch1 drum stick+1 chicken piece+1b plate rice+1 manchorian+1 reg. drink in PRs. 600Hi-teaWhatever you want from our menu only in PRs. 750 per headTiming 5:30 pm to 7:00 pm

Dinner

1 full plate Arabian rice+ 2chicken pieces+ 1 Kebab+ 1almond sauc+1reg. drinkOnly in PRs. 950

Small Regular Large

199 PKR 659 PKR 899 PKR

Pizza Mania deals

Fajita sensation

We create our home made recipe to spice up your taste buds minted chicken, onions, green peppers, jalapeno and mozzarella cheese.

Specification

Small Regular Large

199 PKR 659 PKR 899 PKR

Italian light

A tasteful combination of smoked chicken, chicken sausages, mushrooms, green peppers, tomatoes, olives and loaded with mozzarella cheese.

Specification

Small Regula

r

Large

199

PKR

659

PKR

899 PKR

Beefy Sensation

Combination of beef, onions, green peppers, Jalapeno, tomatoes and cheese for those, who love to eat beef in different taste.

Specification

Small Regula

r

Large

199

PKR

659

PKR

899 PKR

Veggie Lovers

More vegetables for vegetarians induded onions, sweet corns,mushrooms, green peppers, tomatoes, olives and mozzarella Cheese,

Specification

Small Regula

r

Large

199

PKR

659

PKR

899 PKR

Super Mix

Combination of smoked chicken, chicken sausages, pepper, beef, smoked veal, onions, mushrooms, green peppers, olives and mozzarella cheese.

Specification

Small Regula

r

Large

199

PKR

699

PKR

999 PKR

Beefy Sicilian

If you like hot beefy Siolian flavour with special marination of beef, smoked veal, jalapena, onions, onions, green peppers, mushrooms & mozzarella cheese.

Specification

Initial investmentTotal amount: 25,000,000

Stockholders and their contribution

Lubna Shehzadi

Rs.7500,000

Saira Azam

Rs.4500,000

Humaira Shamshad

Rs.50,00,000

Asma Tahir

Rs.4200,000

Shazia Akram

Rs.3800,000

Shazia Akram (S2F13MCOM0038)

Presented By

ITEM Rs.

Rent in advance 1200,000

Dining & Office Furniture 542250

Machinery & Equipment 917000

Total 2659250

Item Details Quantity Unit Price(Rs.) Total Price(Rs.)

Freezers

(12 cf)

3 25,000 75000

New Broast

Machine (15 Pound

Capacity)*

1 650000 650000

Deep Well Frier

(Single Valve With 2

Baskets)

2 40,000 80000

Hot Plate for

Burgers, Kebab,

Sandwiches

(30” x 22”)

1 33,000 33000

Details

Machinery and Equipment

Item Details Quantity Unit Price(Rs.) Total Price(Rs.)

Potato Cutter

(8mm)

1 3000 3000

Pillar (4.5 Kg

Potato Peeling

Capacity)

6000 6000

Microwave 1 10000 10000

Working Tables 2 20000 40000

Keg Racks &

Shelves

2 10000 20000

Total 15 917000

Continue…

Item Details Quantity Unit Price (Rs.) Total Price(Rs)

Dining Table –

Square

(2X2)

25 6,000 150000

Chairs (Standard

14”)

100 1,500 150000

Kitchen Cutlery Set 2 2500 5000

Dining Cutlery*

(Plate,

Fork, Knife, Spoon,

Glass)

150 150 22500

Air Conditioner

Split Units

(6 Ton)

2 31000 62000

Hot Water Geyser

Large

1 20000 20000

Halogen Lights 25 250 6250

Wall Lights (Large) 4 1500 6000

Dining Furniture & General Fixtures

Continue………

Item Details Quantity Unit Price

(Rs.)

Total Price(Rs)

Portable

Emergency Light

4 2500 10000

Generator (1.5

KVA)

1 90000 90000

Counter Chairs 2 1500 3000

Office Table &

Chair Set

1 10000 10000

Waiting Chairs

for Take

Away Customers

5 1500 7500

Total 322 168400 542250

Product Quantity (kg) Price/

kg

Total

Chicken 400 210 84,000

Cheese 25 2000 50,000

Nuggets 200 2000 200,000

Daily expense

miscellaneous

40,000

Petrol expense 80,000

Total expense 454000

Our daily expenses

Monthly expense

In the monthly expense daily expense multiple with 30. Total expense is 13,620,000; per month rent 300,000, and electricity bill 200,000, salaries are 147500. That is all monthly expense

S. no Item Total

1 Daily expense *with

454000*30

13,620,000

2 Per month rent 300,000

3 Electricity bill 200,000

4 Salaries 147500

Total expense 14,267,500

Annually expenseIn the annually expense all the monthly expense are added in starting expense that are shown in below table

S. no Item Total

1 Monthly expense*12

9541500*12

171,210,000

2 Starting expense 2659250

3 Marketing expense 500,000

Total expense 174,369,250

Daily revenue

Daily revenue is estimated with our daily deal and average cost of our expense. Our starters and Soups generate PRs. 75000/day because many people consider them necessary with every meal, History addiction, happy menu and Punjabi sawad generates 100,000 daily. Along with it, Fantasy world, Kids menu, Kabab shabab, and Chinese chaska generate approx. PRs. 123000/day.

Meanwhile, Super Deals produce 75000/day, special offers give us 150,000/day

and pizza mania generates 69800/day.Each deal cost profit is 35% of its total. Remaining 65% is deducted due to its

expense.Daily revenue is: 75000+100,000+123000+75000+150,000+69800= 592800

Monthly revenueMonthly revenue is accruing when we multiply the daily revenue with 30. (383022*30=11490660)

Classification Total

592800*30 17,784,000

Annually revenue

Annually revenue is accruing when we multiply the monthly revenue with 12.

Classification Total

17,784,000 *12 213,408,000

Our labour

Designation / Type Number Monthly Salary

(Rs.)

Total Salary

(Rs.)

General Manager 1 40000 40000

Floor Manager 1 18000 18000

Kitchen Supervisor 2 6000 12000

Shift Supervisor

(including reliever)

3 8000 24000

Cook 4 4000 16000

Servers 6 3000 18000

Take Away Order

Taker

/ Cashier

1 6000 6000

Dishwasher 2 2500 5000

Cleaner 1 2500 2500

Guard (13 Hour) 1 6000 6000

Total 22 96000 147500

Presented By

Our competitors

These are our major competitors:Fri-ChicksKFCPizza Hut

Our timings

11:00 am to 12:00 am

Marketing budget

Item Size Quantity Rate per unit

Rs.

Total

Flexes 10*8

5*2

15

40

1280

250

1280*15= 19200

250*40= 10000

Banners 10*3 20 300 6000

Pamphlets

(4color)

Two sided 3000 3 3000*3 = 9000

Newspaper &

Magazines

//Standard 6 2500 2500*6= 15000

Local Ads 10 time in day

(for a month)

1000 for one

time

30*10000

=300000

Billboards 4 25000 25000*4=

100,000

Total expenses

Miscellaneous expenses

Total marketing budget

453200

46800

500,000

MarketingMarketing expense

Promotional tools

Social media sponsorship Local ads Print Media Advertisement BillboardsBannersHoardingsPamphlets FlexesBrouchersManual PromotionsThrough SMS to anonymous peopleSpecial Offers and DiscountsRadio ads

Activities Interests Demographics1

Fast Food Students, working,

adventurous,

Energetic

Sports,

Entertainment,

Fashion, Music,

Recreation

Age:16-24

Marital Status: Single

Heavy Users

2Ambience Students, working/

Self-made,

businessmen

working on

projects

Entertainment,

Fashion, Music,

Recreation,

Socialization

Age:20-35

Marital Status: Single &

Married

Light-Medium users

Marketing Segmentation

Continue….

Activities Interests Demographics3

Status

Symbol

Students,

working,

Hanging out,

Adventurous

Sports,

Entertainment,

Music,

Recreation

Age:16-25

Marital Status: Single

Light-Medium users

4Hygiene Working,

Women/Men,

House-wives,

Shopping, club

memberships

Home,

Recreation,

Shopping,

Fashion

Age:25-45

Marital Status: Married

Light Users

TARGET MARKET

Our service will be available in Lahore at Kalma Chowk, initially. But we will expand it to different areas and cities after some time.Our target audience generally will be:

Man and women of all age mostly age above 6 to so onStudentsVisitors of nearby hospitalsCustomers of nearby marketsPassengers of Daewoo, metro and Kalma Chowk bus stand

Business Analysis

.PEST Analysis

Political: According to current situation of our country, govt. changes very rapidly and also the policies, such change in policies can influence our company in a negative as well as positive way.

Economical: Similarly economic conditions can be in our favor and against us. If there is inflation in economy then purchasing power of people will fall and our sales may decline.

Social: By giving social benefits, our brand image may increase like as our restaurant is situated in a residential area so we can provide social benefit like proper array of wastage and not to defile the area.

Technological: Technology also affects our company as now we are using latest type of ovens that have more capacity and consume less gas and time to bake the bread and bake the pizza so if a more latest technology is used by our upcoming competitor than it would have a negative effect on our cost and sale.

Presented By

Humaira Shamshad (S2F13MCOM0006)

Strength and weakness of our other competitor (KFC)

StrengthMultinational companyHave massive resourcesSatisfied customersStrong goodwillStrong network in Lahore

WeaknessFocus on elite class mostlyNot have too many dealsHigh Prices

SWOT analysis of our business

STRENGTH

We serve variety of items under single menuGood communication and friendly environmentOur location is our strengthHi-teaSpecial packagesSpecial occasional discountsFree home delivery with area of 20kmEmployment opportunities

Weakness

Lack of knowledge about customersLack of relationship building with employees, customers and suppliersLack of focus on Research &DevelopmentLack of market knowledge

Opportunities

Opportunity to open more outlets to get maximum market shareTo capture more customers by decreasing the price of our productsBy updating our restaurant By balancing our menu, customer focus and Improved delivery serviceOpportunity to be innovative

Threats

Increasing inflation rates directly affect menu pricesSupermarkets and new competitorsHealth Trend away from fried foodsChanging customer demandsHi-profile competitors

Product Life Cycle (PLC)The Product Life Cycle (PLC) is used to map the lifespan of a product. There are generally four stages in the life of a product. These four stages are 1. Introduction2. Growth3. Maturity and 4. Decline

The following graph illustrates the four stages of the PLC.

Our product life cycle is on the stage of introduction. Since we are launching a new business so, it needs to appreciate that this initial stage could require significant investment.

Boston consulting group“A portfolio-Planning method that evaluates a company’s strategic business units in terms of their market growth rate and relative market share.”

Strategic business units (SBU’s) are classified as follows:

Stars (High market share, High growth rate)Cash cows (High market share, low growth rate)Question mark (Low market share, High growth rate)Dogs (Low market share, low growth rate)

We actually don’t have any idea where we are standing in this matrix but it is a rough estimate that our growth share matrix is question mark. Our market share is low because we are new, but Insha’Allah our growth rate will be high as we differentiate from others on various grounds.

Ansoff modelThe business analyst Igor Ansoff outlined some important strategies for business growth. He identified four key approaches to grow a business. These are:

1. Market penetration2. New product development3. Market development4. Diversification

Our business main objective is to move towards growth by all means so by using Ansoff growth strategy we will expand our business.

First of all we will select market penetration side in which we will decrease the prices of our products by doing that we will collect a good sale further on, by and by we will move towards product & market development e.g. like we will move to introduce new and innovative products e.g., MughlaiKabab and Reshmi Kabab and then move towards other province of Pakistan. Finally we will plan for diversity.

So our product at present falls at market penetration strategy.

How to attract customers

We use following strategies to attract our customers:-Through marketing penetration strategyFree delivery within 20 kmThanks cards when customers are leavingStir-Fry ConceptBuy one get one freeGift hampers for those who visit for first timePlay area for childrenPromotional cupsThrough frequent advertisement

Conclusion

In last we would like to say that if we want to start a business of restaurant in the area like Kalma Chowk it’s not a bad idea. It will give us much profit as the restaurant and departmental store trend in Kalma Chowk is at peak. By good marketing strategy, proper check and balance, good administration, inexpensive rates of deals and efficient services we can compete in the market of Kalma Chowk and shake the market. As the following business plan is feasible and profitable we can apply it in real time and can avail the opportunity.

References

o http://www.businessdirectory.pk/o www.doingbusiness.org

www.lahoreindustry.comwww.pakreviews.com/list-top-quality-restaurants-pakistan

o www.mytopbusinessideas.com/pakistan/o www.pakistan33.com/2012/11/top-5-businesses-to-start-in-

pakistan.htmlo www.smeda.org/o www.mizlink-pakistan.com/Business-Plan.htmlo www.imagine-network.org/country.../pk/business-planning-starting-

upo chicks/lahore/pakistan/362.html

www.mcdonalds.com.pk/