1.

Executive Summary
JJB is a pastries start-up shop located in Kigali city. JJB offers freshly baked products such as
breads, cakes, cookies, cupcakes and pastries, as well as sandwiches, soups and salads along
with beverages. With the opening of the restaurant, we will be able to offer a full---fledged
menu catering with a variety of cuisines through the day. Jib expects to catch interests in regular
loyal customers based on our products.

Objectives
1.
2.
3.
4.
5.

To establish a dine --in and a takeout restaurant.

To develop a strong presence in the community needed to support sales goals.
To develop a full menu by the end of the last quarter.
To expand production to increase corporate customer sales.
Job creation and careers for stakeholders

Mission

To provide our customers with grandmas recipes with a modern twist to satisfy the taste
buds of the previous, current and the future generations with a dash of excellence, a
pinch of quality and a scoop of creativity by a team of passionate individuals.

Key to success
Keys to success will include:
Provide highest quality products with customer service
Competitive pricing
Management: products delivered on time, professional customer service,

proper business managements.

Constant evaluation of strengths and weaknesses with adjustments made as
warranted

2. Company Summary
2.1.

Company Ownership

JJB is a bakery and coffee shop equally owned and managed by two partners. These
partners represent Sales/Management and finance/administration areas, respectively. The
partners will provide funding from their own savings, which will cover start-up expenses
and provide a financial cushion for the first months of operation. A ten-year Small
Business Administration (SBA) loan will cover the rest of the required financing.

2.2.

Location

JJB is incorporated in Kigali City, very close to universities and businesses. This serves as one
of the best location for a bakery as it attracts a lot young college adults as well as employees

from companies around the bakery is strategically located, bringing in a lot of tourists who visit
museums or attend events at the nearby arena.
We will convert our existing location to a complete store front as we have identified a
seller for another bakery site where we plan to move our production operations. This
will be our main production unit (PU) for the bakery and for corporate customers.

3. Start-up Summary
By Poultry we mean where the laying hens will be raised plus the small house including
a small feed store, a small room for quarantine, and a toilet and washroom for staff
(8x12m)

Start up Costs
Start-up Funding
Start-up Expenses to Fund
Start-up Assets to Fund
Total Funding Required

Rwf13,090,000
Rwf 5,115,000
Rwf18,205,000

Assets
Non-cash Assets from Start-up
Cash Requirements from Start-up
Cash Balance on Starting Date
Total Assets

Rwf 3,460,000
Rwf 1,655,000
Rwf 1,655,000
Rwf 5,115,000

Liabilities and Capital

Liabilities
Long-term Liabilities
Total Liabilities
Capital
Planned Investment

Rwf14,564,000
Rwf14,564,000

Owner (20%)
Total Planned Investment

Rwf 3,641,000
Rwf 3,641,000

Loss at Start-up (Start-up

(Rwf13,090,000

Expenses)
Total Capital

)
(Rwf 9,449,000)

Total Capital and Liabilities

Total Funding

Rwf 5,115,000
Rwf 18,205,000

Funding Investment

4. Products & Services

Services
Corporate Customers:
Lunch Catering
Baked Foods
Storefront customers:
Baked Foods
Freshly prepared Sandwiches, Salads and Soups
Beverages
Special Orders

Services Description
Lunch catering for corporate customers
Special orders-Catering for parties, Wedding Cakes from funky brick

Future Services
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Products
Pizzas
Sweet Baked Goods
Breakfast Pastries
Beverages

Product Description

Pizzas (by the slice or whole): gourmet pizzas featuring different seasonal,

fresh, organic ingredients each day

Sweet Baked Goods: high quality cookies, brownies and special items available

as desserts or as treats throughout the day

Breakfast Pastries: rotating selection of traditionally crafted, freshly baked

muffins, scones, croissants and Danishes

Beverages: freshly brewed gourmet coffee and natural bottled drinks (fruit
sodas, bottled water, iced tea, coffee)

Future Products

5. Market Analysis
Market Analysis
2013

Potential Customers
sellers from Kigali
city
Neighborhood

2014

2015

2016

2017

Growth
15%

10

12

14

16

18

CAGR
15.83%

20%

15

18

22

26

31

19.90%

18.32%

25

30

36

42

49

18.32%

markets
Total

Market Segmentation
My Business will focus on its target market, Sellers from KIGALI and other sellers from
neighborhood markets, through direct selling via its various relationship and referral networks.
In addition, a certain amount of investment will be made in advertising to promote my product
awareness. Direct selling is far more effective in closing sales as well as in terms of sales and
marketing costs.
My company will use the tool of product demonstrations to close sales. Product demonstrations
are a critical step in the sales process. This is the opportunity to prove the good quality,
freshness and safety of our products, educate the potential client, and establish a relationship.

Target Market Segment/Strategy

We will cater to corporate clients within 10 mile radius so we can prepare and deliver
just in time to ensure fresh food.
We will cater to storefront and restaurant customers during normal business hours
offering breakfast, lunch and snacks. We will target employees of businesses and
students of educational centers within a 5---mile radius. We also plan to attract customers who
visit the arena nearby.
The dominant target market for JJB is a regular stream of local residents. Personal and
expedient customer service at a competitive price is key to maintaining the local market share of
this target market.
Our target customers mainly consist of the higher income consumers, and the top of the middle
class. Although this is a smaller group of consumers to appeal to, we hope to position our-self as
a business in the downtown area or along the bypass in Marion where there is easy access to our
selected consumers. We expect our customers to be of the working class, people with steady
jobs, and possibly families.
Need: There is no other bakery in Marion besides the small sections of the bigger supermarkets:
Meijer, Marsh, and Walmart. The portion of our business that will attract our customers is not

only our products, but also the experience that consumers will gain when they walk in the door.
By keeping the wide variety of available products

Market Trends
Service Business Analysis
The retail coffee industry in the U.S. has recently experienced rapid growth. The cool marine
climate in southwest Washington stimulates consumption of hot beverages throughout the year.
Coffee drinkers in the Pacific Northwest are finicky about the quality of beverages offered at the
numerous coffee bars across the region. Despite low competition in the immediate area, JJB will
position itself as a place where customers can enjoy a cup of delicious coffee with a fresh pastry
in a relaxing environment.

Competition
Competition in the local area is somewhat sparse and does not provide nearly the level
of product quality and customer service as YYC. Local customers are looking for a high
quality product. They desire a unique, classy experience.

Buying Patterns

6. Strategy & Implementation

JJB will succeed by offering consumers high quality coffee, espresso, and bakery products with
personal service at a competitive price.

SWOT Analysis
Strength:
No branded bakery food product which sells exclusively Cake and Pastry. It provides varietyof
cake , Bread, cream roal, toast, and Cake formed by different Flavour which give thecustomer
an Indian taste.
Weakness:

There is a risk in starting this business because it will be first of its kind.
Threats:
There is no direct competitor as such but we can consider local player of the particular area
asour competitors because they are selling same product with low cost. If talk
aboutInternational player Britannia also provides some same product, Britannia is also
wellrecognized brand among the customer and its sales are maximum among the various
productsin India which is a major threat.
Opportunity:
There is a large customer base, as India is having maximum number of vegetarian
peoples.Indians spend around 51% of their personal expenditure on their eating habit.

Marketing strategy
Pricing Strategy
Our overall pricing strategy will be based on competitive benchmarking. We will track our
production costs consistently on a per item basis to ensure profitability. Our competitive pricing
strategy will help make our high quality, healthy products accessible to
local residents of the Dudley community. We will also be sure to offer a range of products at
varying prices so that more people can find something they can afford

Promotion Strategy
In addition, we will also offer indirect price discounts to those living in the area. Given that
residents will be more likely to visit the Bakery Caf on weekends, we will offer special
brunch products on Saturday that will be priced more affordably, such as breakfast sandwiches
for $3.50.
In addition, the Haley House Bakery Caf will offer anyone living in the neighborhoods 02119
zip code a Haley House Zip Card. Any customer with a zip card will be able to take advantage
of monthly Dudley Appreciation Days, when the Bakery Caf will offer specials, such as a
complimentary cup of the Bakery Cafs lemonade with the purchase of lunch.

Business competitive edge

JJB's competitive edge is the relatively low level of competition in the local area in this
particular
niche.

Web Strategy
Sales Strategy
7. Management
Management Team
Austin Patterson has extensive experience in sales, marketing, and management, and was vice
president of marketing with both Jansonne & Jansonne and Burper Foods. David Fields brings
experience in the area of finance and administration, including a stint as chief financial officer
with both Flaxfield Roasters and the national coffee store chain, BuzzCups.
A management team made up of an Executive Chef and a Bakery Director will lead the Bakery
Caf. The Executive Chef will oversee operations and the training program. The Bakery
Director will oversee financial management and business development, including marketing and
sales. Jointly, they will make the many decisions necessary in running the day-to-day
operations.
The Executive Director of Haley House will oversee the Bakery management team and ensure
that all financial and programmatic targets are met. The Executive Director will hold weekly
business meetings with the management team.
The Executive Chef will be responsible for managing the kitchen. Her responsibilities include
running the caf, cooking and serving customers every day during the start-up phase; product
development, setting up and monitoring production processes; ensuring the safety and
cleanliness of the kitchen and staff; and implementing the Training Program, including lesson
and curriculum development. She will also be responsible for managing kitchen staff.
The Bakery Director will be responsible for developing the business and for the administration
of the training program. Her responsibilities include sales and marketing; financial management
including bookkeeping, accounts payable and receivable, and payroll, and preparing monthly,
quarterly, and yearly reports. She will also be responsible for the administration of the training

program, including recruiting and placing trainees and maintaining training program records
and reports.
Staff
The Sous-Chef will be responsible for the preparation of foods for the caf until business
demands that the caf hire another cook for the Sous-Chef to manage.36 The Sous-Chef will be
supervised by the Executive Chef. The Bakery Production Manager will be responsible for
managing all day-to-day workflow in the production of baked goods. The Bakery Production
Manager will be supervised by the Executive Chef. The remainder of the staff will consist of
two full-time Baker-Trainers responsible for bakery production. One of the Baker Trainers will
also be responsible for deliveries. They will be supervised by the Bakery Production Manager.
Trainees
Through the Bakery Training Program, we will provide paid part-time hands-on training in
baking and job skills to eight men and women a year facing major barriers to employment. We
will add trainees as the business grows for a total of ten trainees a year in Years 2 and 3.

Organization Structure
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Personnel Plan

As the personnel plan shows, JJB expects to make significant investments in sales, sales support,
and product development personnel.

Table 6.1: Personnel

Personnel Plan
Personnel 2001 2002 2003
Managers $100,000 $105,000 $110,250
Baristas $120,000 $126,000 $132,300
Other $0 $0 $0
Total Payroll $220,000 $231,000 $242,550
Total Headcount 8 8 8
Payroll Burden $33,000 $34,650 $36,383
Total Payroll Expenditures $253,000 $265,650 $278,933

8. Financial Plan
JJB expects to raise $110,000 of its own capital, and to borrow $100,000 guaranteed by the SBA as a ten-year loan. This
provides the bulk of the current financing required.

Break even Analysis

JJB's Break-even Analysis is based on the average of the first-year figures for total sales by units, and by operating
expenses. These are presented as per-unit revenue, per-unit cost, and fixed costs. These conservative assumptions make
for a more accurate estimate of real risk. JJB should break even by the third month of its operation as it steadily increases
its sales.

PBP
ROI
NPV
IRR
Income statement
Appendix