Ethnic Food Restaurant Business Plan

Zara Restaurant and Lounge

Company Summary

The Design
Zara Restaurant & Lounge is unique to Midtown Atlanta. The restaurant features 3 venues in
one (a concept called ‘Multi-Branding' ): A Tapas Lounge, Cosmopolitan Bar, and Full Service
Dining. This concept offers customers variety, offering multiple dining and entertainment options
within a single establishment. The spatial and menu divisions will broaden our appeal
and provide our customers with a different experience on each visit.

The atmosphere caters to a young but mature adult crowd. This is not a family dining
establishment. Total space requirements are 3,000 square feet. In total, the restaurant will
provide seating for 110 patrons. Where possible, consideration will be given to incorporate a
dining patio. Zoning, parking, and accessibility issues will be reviewed as key criteria. We will
draw on our Advisory Board as part of the site selection and lease negotiation.

The Menu
Zara is focused on servicing Atlanta's growing demand for an ethnic eating experience. For
lack of a better term we are launching a ‘multi-ethnic' cuisine restaurant - a restaurant concept
that responds to Atlanta's need for selection and choice. Zara is a complimentary mingling of
international cuisine on a single menu. The Midtown demographics fit this concept perfectly.

The Management
Our management team has over 48 years combined experience in food, restaurant and hotel,
business management, finance, and marketing arenas.

Services

Zara Restaurant & Lounge will feature international dishes, an eclectic ambiance, and superior
service. Our food will be of the finest quality and prepared with exotic flare. Customer
satisfaction is the driving force behind our success. We will change our menu every  4 months,
but maintain the 'favorites' for loyal patrons. Portions will be modestly sized, garnished with
stunning presentation.

Our wine list will be modest and primarily focused on wines from California, Spain, Portugal,
and Argentina. Approximately 25% will be available exclusively by the glass, and the remaining
labels will be available by the bottle. We will also feature a moderate international beer
selection on tap and in bottles. The Zara bar features a comprehensive selection of local and
international spirits.

The kitchen staff will have the best in culinary education and work experience. Their creative
talents will complement one another. The lounge and restaurant staff will offer the finest
service in an electric atmosphere and offer customers an extraordinary dining experience.

Zara Menus
Zara's varied international menu will feature Thai, Chinese, Spanish, and
other regional flavors. The menu flows together to create complementary elements. Normal
dining will have a reduced Tapas, Appetizer and Entrée selection, while the Fusion Dim Sum
menu will have special items featured only for after-hours dining. The final menu will be defined
by the Executive Chef and paired with the wine menu. We have carefully selected a
premium wine, beer, and alcohol listing, from which we will choose a modest rotating selection.
Zara's marketing will focus on our exotic foods, but our hours, target market, and location will
produce significant alcoholic drinks sales. Tapas, in particular, are small dishes meant for
sharing while drinking sangria, wine, or other mixed drinks, and the Tapas menu will play up
this idea with drink suggestions.

The list below offers a small selection of our opening menu offerings:

Zara Tapas

 Shrimp Baskets w/ sweet & sour peanut coulis Minced curry beef/chicken w/ onions in
roti wrap (or spring roll)
 Mixed Seafood Ceviche w/ couscous siding
 Bamboo Chicken Satay w/ kaffir lime and Sesame marmalade

Zara Appetizers

 Bread basket served with Olive oil, Black Pepper, and Goat Cheese dip
 Blue Crab Fritters with Mango-Tamarind sauce
 Crab Cake medallions w/ Shrimp & Lobster ‘Zara'

Salads

 Mixed Greens with Spanish sherry wine vinaigrette

 Asian Pear and Endive Salad with Blue Cheese & Walnuts

Entrees

 Tequila Scallops w/ a Spanish sherry reduction

 Thai Red Chili rubbed shrimp
 Voodoo Prince Curry Chicken and Bock Chow w/sticky rice in Banana Leaf
 Herb Roasted Chicken with ‘Zara' Coo-Chee (House) spices

Desserts

 Chocolate Chunk Bread Pudding w/ Bourbon Cherry sauce

 Zara Chocolate Explosion – Milk, Dark and White chocolate
 Zara Fruit Plate

Specialty Drinks & Coffees ($3.5 - 9.5)

A key source of revenue for the restaurant will be alcohol and bar sales. The restaurant will
feature exotic drinks on a separate menu. Alcoholic drink specials will be featured, as well as a
large non-alcoholic selection. After-hours bar service will feature selections of non-alcoholic
drinks to increase bar sales during lunch and after regulatory hours. Bar pricing is competitive;
prices range from $3.50 to 6.95. Non-alcoholic drinks will be in the higher price bracket due to
preparation requirements. Prices will range from $4.75 to 9.50

The Design
Zara Restaurant & Lounge is unique to Midtown Atlanta. The restaurant features 3 venues in one (a concept called
‘Multi-Branding'): A Tapas Lounge, Cosmopolitan Bar, and Full Service Dining. This concept offers customers variety,
offering multiple dining and entertainment options within a single establishment. The spatial and menu divisions will
broaden our appeal and provide our customers with a different experience on each visit.

The atmosphere caters to a young but mature adult crowd. This is not a family dining establishment. Total space
requirements are 3,000 square feet. In total, the restaurant will provide seating for 110 patrons. Where possible,
consideration will be given to incorporate a dining patio. Zoning, parking, and accessibility issues will be reviewed as
key criteria. We will draw on our Advisory Board as part of the site selection and lease negotiation.

Start-up Summary
We are currently negotiating a restaurant space of 3,000 sq. ft. in Midtown Atlanta, Georgia, and will open Zara in
October of this year.

Our start-up costs are mostly expensed equipment, furniture, painting, reconstruction, rent, start-up labor, liquor
license, and legal and consulting costs associated with opening our restaurant. At the start of business, $97,000 will
be allocated for business operations reserve. This is a solid start-up forecast based on our market analysis and our
knowledge and experience in the industry.

We will purchase the following $73,311 worth of current assets during start-up :

 Fixtures and Lighting: $32,250

 Bar Equipment: $26,183
 Sound and Televisions: $8,378
 Office Equipment (2 Computers, Fax, Printer, Safe): $6,500

Long-term Assets in the amount of $65,000 include all kitchen equipment.

We have budgeted for the services for a premier Restaurant Consultant familiar with the Atlanta Market. This is
especially key during the site selection and start-up stage. This company will have an integral role in validating the
final restaurant location and personnel selection, and participate on the Zara Advisory Board.

The two owners are personally committing $110,000 of capital, plus a $300,000 SBA 7(A) loan guaranty. In addition,
we have obtained a $130,000 grant from the city towards restoration of our historical building, as part of the city's
Midtown revitalization program, contingent upon locating in the proposed space. We are seeking $200,000 of equity
investment to fully fund Zara's startup costs.

Location & Operations

Restaurant Location
Midtown Atlanta is the location selected for the Zara concept. The outlook for the future of Atlanta's Midtown district is
exceptionally positive and the most progressive development area in the city. Developers are infusing over $50 billion
in Commercial, Residential, and Retail development. Zara's will benefit from Atlanta's desire to revamp the Midtown
district with a $130,000 renovation grant for restoring and renovating the 100 year old property we plan to lease.

The market has been carefully selected and tested for the necessary demographics and retail traffic necessary to
meet the goals laid down for profitability. The busy Midtown commercial/residential location has been chosen based
upon a successful demographic model and a traffic count of more than 33,000 cars daily.

Restaurant Design
Single-Level Design Concept: The total space requirement is 3,000 square feet. The restaurant will feature a
comfortable and open concept design. The central dining area will allocate 76 seats, the lounge 22 seats, and the
dining bar with 12 seats. In total, the restaurant will provide seating for 110 patrons. Where possible, consideration
will be given to incorporate a dining patio. Zoning, parking, and accessibility issues will be reviewed as part of this
analysis.

Optional Patio: During the busy summer months customers can also sit outside on our patio and we will offer a
special summer menu, featuring lighter fare, exotic drinks, as well as non-alcoholic offerings. The patio setting will be
a fun and casual atmosphere for the summer crowd.
Operating Criteria
The restaurant will be located in Midtown Atlanta. The restaurant will service lunch, dinner, and after-hours dining
during the week and weekends. The restaurant will operate during peak service time to take advantage of street
traffic, and after-hour patronage from the entertainment facilities in the area. Service will be available during the
following hours:

Lunch:   Monday to Saturday, 11 a.m. - 2:30 p.m.

Dinner:  Monday to Saturday, 5:30 p.m. - 12 midnight

Sundays - Market brunch takeout only.

Financial Aspects
Start-up
Requirements
Start-up Expenses
PROJECT MANAGEMENT $0
Restaurant Consultant (4 months) $15,911
DESIGN $0
Architectural Design $2,195
Structural & Plumbing Design $1,368
Mechanical & Electrical Design $2,155
Graphic Design $1,185
Electrical & Structural Engineering Fees $2,592
Design Consultants (Kitchen, Interior & Dining) $9,119
Engineer & Architect Fees $7,040
CONSTRUCTION $0
Plumbing $33,244
HVAC (Air Return, Air Ducts, etc.) $19,250
Electrical $7,964
Disposal & Demolition $4,122
Structural Construction (4 Months General
$52,099
Labour)
Facade (Exterior Construction) $3,092
Plaster (Dry Wall) $2,061
Mill & Metal Work $8,244
Interior Finishes (2500 - 3000 sq. ft.) $14,538
Flooring $14,622
Fire Alarm System $3,092
Security & Phone System $4,615
EQUIPMENT $0
Liquor Control System - Lease $0
Stools, Chairs, Tables, Uniforms $38,025
POS (Point of Sale System) - Lease $0
Glassware, Flatware, Smallware (Bar & Lounge) $3,298
Glassware, Flatware, Smallware & Supplies
$8,298
(FOH)
Dishwasher, Ice & Glasswasher - Lease $0
Kitchen Equipment Freight Fees $2,389
FF&E Taxes (Taxes on Purchase) $7,988
OPERATIONAL $0
Capitalized Legal Fees (LLC, Investor
$7,080
Agreements)
Software: Restaurant/Inventory $5,500
Software: Cost Control $6,000
Impact, Tap & Permit Fees $3,115
Business License & Temp Certificate of Occ. $1,615
Liquor Licenses $4,615
Utilities, Disposal, Tax & Insurance $9,275
Security Deposits (Phone/Elec/Gas/Water) $6,250
Initial Lease Deposits $6,250
Bank & Loan Closing Costs $6,250
Web Site Construction $5,800
Initial Marketing, Training & PR $19,550
Research & Development $3,050
Start-Up Salary (Mngt & Chefs) $58,050
Recruiting (Staff) $14,550
Inspections $750
Initial Cleaning Services $1,000
Total Start-up Expenses $427,209
Start-up Assets
Cash Required $97,099
Start-up Inventory $27,500
Other Current Assets $73,311
Long-term Assets $65,000
Total Assets $262,910
Total Requirements $690,119

Start-up Funding
Start-up Expenses to Fund $427,209
Start-up Assets to Fund $262,910
Total Funding Required $690,119
Assets
Non-cash Assets from Start-up $165,811
Cash Requirements from Start-up $97,099
Additional Cash Raised $49,881
Cash Balance on Starting Date $146,980
Total Assets $312,791
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $300,000
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-
$0
free)
Total Liabilities $300,000
Capital
Planned Investment
Zander Hunte $60,000
Peter Smith $50,000
Investor 1 $40,000
Investor 2 $40,000
Investor 3 $40,000
Investor 4 $40,000
Investor 5 $40,000
Midtown Revitalization Grant $130,000
Additional Investment Requirement $0
Total Planned Investment $440,000
Loss at Start-up (Start-up Expenses) ($427,209)
Total Capital $12,791
Total Capital and Liabilities $312,791
Total Funding $740,000

http://www.bplans.com/ethnic_food_restaurant_business_plan/company_summary_fc.php