Business Plan

Executive Summary

 Opportunity/Problem

Millions of Americans sit every day to get an expresso coffee. People who didn't dream of spending more
als 50 cents on cappuccino, mocha latte or vanilla ice mixed drinks a couple of years ago will happily be
paying $3 to 5 now!

The company of specialty coffee expands at a healthy pace. In the last 20 years, amid war and recession,
there has never been a single year in which coffee specialties have not increased. Double-digit growth has
taken several years. Moreover, during this period, no coffeehouse chains have collapsed, although the list
of victims is very long in other sectors.

 Solution

There is a niche that has yet to be filled for a high-volume, high-quality coffeehouse with a cozy,
welcoming atmosphere. This need is fulfilled by Dark Roast Java and this niche fills. In an advanced
world, we deliver high quality goods. Moreover, our high-profile Pleasantville location offers a mixed
customer base which retains high business standards every season, all days, each day of the week.

 Market

Given the economic recession in recent years, the specialty coffee industry has become a bright spot.
While literally hundreds of companies in many categories face weak profits, negative balance sheets, and
even bankruptcies, coffee chains continue to display strong growth.

It's obvious that America's passion for good coffee persists in good times and poor.

Pleasantville: The Perfect Launch Market

 By launching Dark Roast Java on the Pleasantville market, we optimize our potential for success
due to a variety of factors:
 The very wealthy urban community
 Tourist activity during the year
 The ever-changing high-level student population
 Excellent car and pedestrian traffic from our place
 Low Advertising Expense
 Large number of special local activities
 Prime location of the building

Dark Roast Java is located in what is probably one of the best locations for a coffeehouse in Pleasantville,
in the heart of the tourist and business district, next to fine dining and shopping, next to the historic
Egyptian Theater and just a few steps from the busiest intersection of the city.
Dark Roast Java Coffee has all the ingredients needed for immediate success.

 Competition

The specialty coffee retail company as we know it today started in 1982 after Howard Schultz bought the
Starbucks brand and began to grow the current Starbucks chain. Starbucks sold only whole bean coffee
until he transformed the company.

Coffeehouses in America have been around since the 1600's, and the coffeehouse idea is over 400 years
old. In the United States, as recently as the 1970s, coffeehouses were predominantly independent
enterprises, usually with an eclectic bohemian style.

Why Us?

Our mission is to be the cafeteria of choice for the local Pleasantville community, downtown business
staff, city-visitors and students by offering a higher standard of service than any other competitor. As a
result, we plan to build coffeehouses that will rapidly achieve profitability and retain an attractive rate of
return (20 per cent or more annually) for our investors.

We also want to make our commitment to the well-being of the local community by promoting charitable
and public initiatives. We will help farmers who grow our coffee by using Fair Trade, Sustainable
Production and Organic goods wherever possible.

 Expectations

Forecast

The company expects the Dark Roast Java idea to be rapidly adopted in Pleasantville, with sales of
$750,000 + in the first fiscal year, increasing to more than $1,000,000 + in the third year. We will be able
to start providing investors with dividends by year 4

Financial Highlights by Year

Chart visualizing the data for Financial Highlights by Year

Financing Needed

We will get investors to put in $250,000 to get us up and running.

 Opportunity, Problem & Solution

Problem worth Solving

Thanks largely to Starbucks; the coffeehouse has been a familiar characteristic of American life
in the last 20 years. Millions of Americans pause every day for an espresso-based coffee cup.
People who would not have dreamed of spending more than 50 cents on a cup of coffee a few
years ago are now able to pay $3 to $5 for their cappuccino, mocha latte or vanilla ice blended
drink.

The specialty coffee company is rising at a healthy rate. In the last 20 years, amid the war and
recession, there has not been a single year in which specialty coffee revenues have not increased.
In several years, the growth was in double digits.

Moreover, no chains of coffeehouses have collapsed during this period, although the list of losses
in other industries is very long. Starbucks, Coffee Bean, Peet's, Diedrich's and other big chains
sell average quality drinks in establishments of the same standardized style look. Indeed,
Starbucks and The Coffee Bean are sometimes referred to as "fast food" coffeehouses because of
their "cookie cutter" style. Now that American coffee tastes have widened and evolved, many are
calling for more from their coffeehouse.

This is our Solution

Dark Roast Java opens the first coffeehouse in downtown Pleasantville. Dark Roast Java offers
residents and tourists a whole new kind of coffeehouse – one that offers a distinctly tasty coffee
drink and a cozy, upscale atmosphere where you can socialize, relax or work.

Variety: No other coffeehouse in the region can supply the variety of coffee beverages, tea ,
cocoa, juice, smoothies and other items produced by Dark Roast Java.

Location: Dark Roast Java is located in the main part of downtown Pleasantville, in the heart of
the shopping and entertainment district. Dark Roast Java locations are planned for high volume
during the year, with sales and income to match.

Expansion: Assuming this store is successful, it will be the first in a chain of Dark Roast Java
coffeehouses located in markets with similar demographic profiles, strong store traffic, year-
round visitor activity and a large student population.

 Target Market

Market Size & Segments: Market Segmentation

The client base of Dark Roast Java in Pleasantville consists of five target groups.

 Influent local people

 Tourists
 Local Businessmen
 Students
 Travelers passing through

Both of these categories are potentially powerful consumer segments. The advantage of this
customer mix is that it helps to sustain consistent company for the entire year

 Our Advantages
 Our strategic advantage compared to the other coffee houses in the Pleasantville area
comprises the following:
 A much higher quality, better tasting coffee product.
 Our new location can be considered to be the best on the market in the heart of
downtown Pleasantville's shopping , dining, entertainment and cultural district, next to
the historic Egyptian Theatre.
 The atmosphere is superior to all the other coffeehouses in the "Cote d'Azur" region. It
features stained glass decorations, art glasswork, Mediterranean Riviera furnishings and
outdoor dining.
 The only coffeehouse downtown to provide regular weekend evening entertainment.

The keys to our success will be:

 Superior-tasting commodity backed by a special store of quality

 A soothing, high-quality interior design

 Prime site selection with a strong affluent community, year-round visitor activity, heavy

foot traffic on site, a diverse student population and a concentration of local businesses

 A sector that exposes Dark Roast Java to high-profile 'trend-setters' and 'key influencers'

 Continuous, aggressive ads

 Highly educated, polite workers

 Multiple revenue sources, including gift pieces, gift baskets and coffee gift / frequency

cards, in addition to coffee, cookie, chocolate , tea, juice , water and soft drinks

 A creative website with online sales capabilities

  Industry Analysis: SWOT ANALYSIS

STREGNTH: The latest developments in the coffee industry in America suggest that the numerous new
malls, hotels, airports and regional expansions, as well as theme parks and sports activities stadiums, all
offer neighborhood restaurant operators the chance to reach new markets or pursue franchise
opportunities.

WEAKNESSES: In view of the fact that opposition exists all over the Americas, restaurateurs looking to
expand in this market must take measures to improve their manufacturers with robust product
differentiation and invest in low-priced innovations that cater to new customers.

In order to cope with this over-saturation, coffee operators are advised to concentrate their energies on
building a robust business and their unique role. Strategic advertising, both physical and digital, will help
draw new consumers, and that is the latest trend in the U.S.

• Opportunity: We are aware of the fast-growing patronage of local and intercontinental cuisine in the
US, and this trend is not going to decline any time soon, and the masses of entrepreneurs are exploiting
this.

THREAT: Our pricing device is going to be focused entirely on what's available in the Canada market,
we're not going to pay more, and we're not going to charge less than what our opponents charge for each
meal. Be that as it may, we have made plans in the area to provide reductions as soon as possible and also
to reward our loyal clients, particularly when they come in as a group. We are aware that contracts are in
place to provide nearby and intercontinental food for operations that are equipped by government,
corporate groups or global communities; we will ensure that we abide by the bidding pricing template as
we bid for such contracts.