Business plan

Business plan for making restaurant in FATA (BAJAUR)

Submitted by :
Name : shafiq ahmad
Roll no : 60
Class : M.com ( morning)
Semester : 2nd

Submitted to :
Dr. Ibn-e-Hassan sahib
 Business plan for restaurant
(1) executive summary: The ahmad brothers restaurant bajaur will be a moderately
priced 60 seat restaurant offering family style food and service. The food provide this
restaurants include local foods , foods for special program or other parties and also
make online delivery of foods. The local food include Rice, fish, haleem, kabab, tika,
and mutton karahi , chickan karahi, sajji, and other vegitables etc. And special foods
include special beryani, kabuli polao, chicken tika ,beef and roast etc . We will offer
smaller portions for a children’s menu. The restaurant will be owned and operated by
sheeno mama and shabbir ahmad as a partner . Together they have over 10 years
experience in the restaurant and catering industry.
 The to build a restaurant the land is provide by the owner which consist of one
canal. This restaurant is located in the capital of bajaur which name is khar
area.
 The decore will be feature by wood and steal chairs and a clean tables and mat
are also available for setting on lands who wish.

(a) Name of company:(ahmad brother restaurant) , address( khar bajaur), phone no

(0942)xxxxxx
(b) Name address phone no of key employess
Shabbir ahmad salarzai bajaur 0306xxxxxxx
Shafiq ahmad salarzai bajaur 0308xxxxxxx
Qasim jan khar bajaur 0307xxxxxxx
Shenoo mama khar bajaur 0307xxxxxxx

(c) The purpose of starting our business is to provide healthy foods on doorstep.
Our produt normally include local food as well as special foods for programe.
The problem of customer initially is that how they order to us for online for the
solution of we make advertise on lacal radio staion and billboards. Providing
online services is competitive advantage.
(d) The strategies for making successful our business is to retain old and attract new
customer on different ways.
(e) The CEO of our business qualified by MBA marketing and five years experience
in this field. The qualification of sheeno mama is FA but they have 10 years
experience.
(f) The financial request is that to use money very carefully and extravagantly on
things.

(2)Vision and mission statement:

 (a) Vision statement: The entrepreneur vision about company is to serve happiness to
our customers through delicious, quality meals and extraordinary restaurant experience
while working toward the greater good for our employees, community and environment.

(b)Mission statement: Our Mission is to provide fresh, healthy, nutritious and great tasting
food at reasonable prices in a clean, friendly and convenient environment and also providing
online services of home delivery of foods.

Tagline : Get the fresh, eat the Fresh

(c) The business in which we in is a restaurant and also providing of foods online on
doorstep.

1. (d) The business which make unique our business from other is service of expert
persons and providing of healthy foods. The competitive advantage of our business
is providing healthy foods in friendship environment and the only business which also
provide online services.

(3) company history: The history of our restaurant is that the first it was just an
idea. In later it is converted to physical form of a restaurant which given a name is sheeno
mama & company restaurant. The founder of this business is shafiq ahmad & co.
The financial and operational highlight of this business is the expenses which is
occure on the daily basis of cooking foods. The significant achievement of our business is that
they make his position in mind of customer on conscious level on the basis of providing fresh
food &home delivery.

(4) company products and services: The company product and

services include following.

(a) Description ; in this step we make a description about these thing.

(1) product or service featues ; The feature of our product is that it is healthy ,clean food
and environment, fresh, unique from other competitor , quality food, and providing quality
services etc.

(2) customer benefits: The benefits of our product for customer is that they are available
timely , they also make order online for foods, and receive food on doorstep.

(3) warranties or guarantees: The guarantee is available only in situation that food is dirty
or low quality ,or other possible reason.

(4) USP (unique selling proposition): what makes your restaurant unique compared to the
competition. The usp for our restaurant is include following.

 To provide online services and home delivery services.

 To make a family hall in our restaurant to provides unique services fom other.

(b) Patent or trade mark protection : the trade mark for our restaurant is ® which deffrinciate
our business from others competitor.
(c) description of production process : it includes the following step.

(1) raw material : The raw material for our restaurant includes vegetables, flour ,oil , rice ,
chicken and meat etc. which is used on daily basis on restaurants.

(2) costs : The cost which we use in daily routine in our restaurant in initial stage may 15000 to
20000 and other service charges.

(3) key suppliers : The key supplier for our business , mardan floor mills, dargai ghee mills, zia
dealer for rice , and wakeel qasab etc.

(4) Lead time: the lead time for our fullfilng stock level again is one week.

(D) future product or service offerings: For now, we will focus on selling the existing product
which we mention above. However, as we grow further, we will add new categories to our menu
, special beryani, bar BQ etc.

(5) industry profile and overview : it includes the following steps .

(a) industry analysis: . industry analysis is a market assessment tool used by businesses and
analysts to understand the competitive dynamics of an industry. Industry analysis we study
size, growth rate and sales projection etc.

(1) industry overview: Fast Food Industry in Pakistan is the 2nd largest in Pakistan. accounts for
27% of its value added production and 16% of the total employment in manufacturing
sector with an estimated 180 million con- sumers, Pakistan holds the world's eighth
largest market when it comes to fast food and food related business.

(2) significant trend : cost of food in pakistan increased 8.51 percent in april of 2019 over
the same month in the previous year. food inflation in pakistan averaged 4.67 percent from 2011
until 2019. Tables for agraph

Month(year) +/- in price Month(year) +/- in price

May (2018) +2.07 Nov +1.02
June (018) +3.23 Dec +0.05
July ( 018) +3.52 Jan +1.58
Aug +3.29 Feb +4.52
Sep +1.09 March +8.22
Oct +2.04 April +8.51

Refrence : (.( www.pakistan food inflation.pk)

 chart from above table
9

0 April
May DEC Jan
2018 2019

(3)Growth rate: The food industry of pakistan profitability and growth show consistency, The
Company has recorded average annual revenue growth of 19.9 per cent from 2010 to 2013,
with highest revenue growth of 22 per cent in 2011 over the previous year. The growth was led
by the KNORR portfolio. GP margin stood at 42 per cent, with a 3-year average of 40 per
cent. Around 2/3rd of the 200 million population is younger than 30 in Pakistan.
(https://nation.com.pk/16-Jun-2014/growth-in-food-sect)

(4) key success factors in industry: : It is the factor which make our business successful.

 The first success factor is that the restaurants are less, and there is no restaurants that
provide online food on doorstep. The other factor includes the followings.
 Quality food.
 Quality service
 Customer data. ...
 Customer feedback
 Labour balanced to demand , experience, participant management etc.

(B) outlook for future: the outlook for our restourant is fresh food , good services ,and timly
delivery etc.

(c) stage of growth ( start up ): To start our business and goes to the maturity stage we first
some expenses , asset ,loan etc. which explanation is under.

START-UP REQUIREMENTS
Start-up Expenses

Kitchen and Fixtures 50000

Furniture and Interior 80000

Legal 20000

Building 1000000

Packaging and Stationary 10000

Contingencies 20000

TOTAL START-UP EXPENSES 1180000

Start-up Assets

Cash Required 500000

TOTAL ASSETS 50,0000

Total Requirements 1680000

chart for start up

2000000

1500000

1000000

500000

0
expenses asset investment loan
(6) competitor analysis: In this step of we find that who is our
existing competior and who are potential competitor. We explain it is under.

(a) existing competitor :existing competitor means what are work in present time. So in bajaur
our big existant competitor are bilal chergha house, rahat yousaf resturant, and café the
commerce. So now

we explain the strengh ang weakness of these competitor through a metrix.

Resturants Clean Value Merchandising Online Simple Fresh Culture

services related

Bilal chargha house Yes Yes no no no no no

Rahat yousaf Yes Yes Yes no no yes Yes

resturant

Café the commerce Yes yes No no yes No yes

Sheeno mama yes yes yes yes yes yes yes

&company resturant

(b) Potential competitor: There is no potential competitor which make impact in our
business. In my mind that that there will be no potential competitor which effect our
business because the bajaur is a backword area and the people less aware from these
type of business.

(7)business strategy: It includes the following steps.

(a) desired image and position in a market ; The desired image and position of
restaurant in market is very good. Because the people all familiar with our business.
They know about our business that it is the only restaurant in the agency which make
home in quick time.
(b) company goals and objectives :

(1)operational objective: The operational objectives of our firm is to establish a presence as a

successful local fast food. And also make our product difference from other competitor to
provide among genral public .

(2) Financial : The financial objectives of our restaurant to make huge profit and expand his
business to other agencies.
(3) others : The other objective of our business to make differentiation of product. And charge
less price compare to other competitor..

swot analysis :

(1) strength

 It is the strength for our restaurant that we sell local foods.

 The other strength for our restaurant is that we make home delivery of foods.
 We also make delivery in limited time mean with in 30 minutes.

(2)weakness:

 The first weakness of restaurant is that we are hire cheap labour which is not effective
for restaurant in present as well as in future.
 our restaurant is new and not established.
 we offer a product which is already available on the market e.g chapli kabab, tika, and
mutton karahi etc.

(3)opportunity;

 The first opportunity for our products is that these are new in market and people like it.
 The other is that the product of our competitor is less effeciant.
 The other opportunity is that to make himself cost leadership in market.

(4)Thereat

 The only threat which we face is that the competitor are trying to beat him. It means that
a small mistake can also make a suffering our business in a loss.

(d)competitive strategy: competitive strategy means to make our efficient and effective in
these way. (1) cost leadership : cost leadership means to make our efficient to charge less
price in the market .

(2) differentiation: it to make or add a feature to a product which is unique from competitor.

(3) focus : in our restaurant we need to focus on the existing product to make effective.

(8)Marketing strategy: Our strategy is based on serving our markets

well. So for this purpose we make through the following steps.

(a) target market: : The target market for our business is Bajaur agency.The location for our
restaurant is khar “which is the capital bajaur agency”.

(1) problem to be solved : The problem which is specialy solved by our business is that some
people are govt employee both husband and wife. So they have a problem to cook the meal or
goes to the restaurant to take food. Now they can give order to us and we make home delivery.
The other solution is that some people make order to make food for guests.

(2) demographic profile: The demographic profile mean the study of population. The population
of bajaur is about 1.5million and our target customers are the young people and rural areas of
bajaur which is the majority of the agency.

(b) customer motivation to buy: we make motivation program for customer to make
awareness them about the products and attractive advertisement to buy our product.

(c) market size and trends: In market size and we know that our target size is large or not and
our growing or shrinking. The market where we want to start our business is large and a capital
of the agency nad population about three lack. And our business is growing at a medium speed
but not shrinking. Because our product is like by customer.

(d) advertising and promotion: To make aware peoples and promote our product we make
advertising on the following way.

(1) media used: To make advertisement we used every type of media which used literate people
and illiterate people providing in local language which is useful for both. To make advertise we
use radio channel, billboard , social media and local magazine etc.

(2)Media cost : The cost which we pay for advertisement is about 10000 to 12000 per month.

(3) plans for generating publicity : we make our restaurant publicity on the following way.

 We must make a strong public relation to aware them from its products.
 we use social media for free Public relation. e.g facebook, twitter etc.
 through good advertising promotion .
 to give a awards or other prize for customer is most useful for publicity.

(e)Pricing: our pricing strategy is to make our cost fixed for long time according to situation
and charge less cost from there competitor if possible to give or present products to a
customer at low price and which a give us a result it good profit margin. On the other hand if
our cost strategy is variable and charge high price then competitor and not sale on discount.
Then no will be purchase our product and there is no returne and no profit.

 So our pricing strategy is that to take from individually average 250 rupees which
affordable about everyone..

(f)Distribution strategy : To make a distribution of our product we use a channel of

motorcycle for home delivery. Which is drive by our worker and make safe delivery. We give
the incentives to intermediaters to sell our products and we give you 3% commission. And
we a standard sales techniques which is used by companies.

(g)Test market result : To start the business we first see that what is the customer feed back
about the products of our business. We know that on the following way.

(1) survey : To make a survey for our restaurant for finding the behave of customer the following
questions were asked. what did you like best about our food and services? does the restaurant
have a sufficient selection of healthy choices? what did you not like about our food and
services? how would you rate the cleanliness of the restaurant? etc.

(2) customer feedback on prototype and focus group : Before starting our formal business we
make a prototype all products. which we share the groups of customer which are sincere with us
. And those give us a positive feedback about our products and give suggestion to us start a
business. The focus group is a collection of people which participate in plned discussion.

(9) location and layout :

(a) location : The location for our staring business khar bajaur agency.

(1) demographic analysis of location vs target customer profile: The demographic analysis we
study people age , gender, life style income level etc. The products which we want to lunch in
that area are liked or affordable for those people or not. And target customer profiles shows that
we make segmentation of our market on the basis of target customer size.

(2) rental rates : The rental rates for our restaurant is about 20000 per month. On the other if the
tourist or other outsiders want to stay in our restaurant then we will charge them is 500 per day
individual.

(3) labor needs and supply : For our restaurant the needs initially four cooks man, one
accountant, one sweeper ,two mans for tandoor, five employee for online services , five table
man.

(4) wages rates: if we see the above the designation of the above labor the cooks wage rate is
600 per day ,and wage rate for table man 400 per day, and for online sevices employees the
wage rate 500 per day, and for tandoor man 500 per day,

(b) layout for our restaurant : The size of restaurant consist of 1 canal land. In this one canal we
want to make two 5 by 7 meter hall and 5 by 5 meter family hall, 4 by 4 store , a small shop for
merchandising and kitchen.

(10) description of management team.

(a) key managers and employes : For our restaurant the key employees and their background
is under. CEO or head of restaurant is Mr. shabbir ahmad MBA Marketing from Peshawar
IMsciences Peshawar. The sales manager shafiq ahmad M.com in progress from bzu multan,
and Mr.qasim jan is performing the work is a accountan and he is BBA from malkand university.
And sheeno mama providing services is a senior expert and permorming work is a delicious
cook man.

The CEO is a technical qualified person and have experience one year for dergai ghee
company as a sale manager.

I have past experience but with the passage of time and the consulting of CEO then I face no
issue in future.
Mr qasim jan is a two year experience is accountant for allied bank. And he is also a skillful
person. And sheeno is 12 experience is work in different restaurants and have a best skill for
cooking specially in kebab.

Resume of key manager:

Name designation qualification

Shabbir ahmad ceo MBA Marketing

Shafiq ahmad sales manager M.com

Qasim jan accountant BBA

Sheeno mama expert/ advisor FA

This is the initial stage for our restaurant and we have want to make no addition on this stage
and we no board of director but we have one advisor and other team has also the ability for
advising.

(11) plan of operation;

(a) Form of ownership: our restaurant business is sole proprietorship business of ahmad
brothers.

(b) company structure : The structure for our restaurant is under.

CEO

Accountant Sales manger advisor

Making FS
online service employees Table man

or making distributions.

(c) Decision authority: for our business the decision authority is make by CEO. But they
take advise from advisor and other key employed.