Business plan for

Celestial Caf lounge

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GROUP MEMBERS
MONIKA.D.NANKAR

ROLL NOS 010172

MAYUR HALYALKAR

010170

DEEPAK KUVLEKAR

010178

DEEPAK PANSARE

010145

SURAJ KADAM

010119

SURAJ PAGAR

01040

010196 LILESH KOLI

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INDEX
EXECUTIVE SUMMARY VISSION MISSION,

KEY SUCCESS FACTORS, OBJECTIVES COMPANY SUMMARY

Celestial Caf lounge Celestial Caf lounge( Name):Company Ownership Start-up Summary

CELESTIAL CAF LOUNGE.

Products and Services Food and Beverage: Retail Merchandise:

ARCADE

TECHNOLOGY VENUE LAYOUT/FLOOR PLAN DESIGNS MARKETING MIX MARKET ANALYSIS SUMMARY Marketing strategy Marketing plan Management team FUNDS ARRANGEMENT MARKET SEGMENTATION TARGETED POPULATION COMPETITION AND BUYING PATTERNS VALUE PROPOSITION

Financials and Future Perspective

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About Coffee industry

Indian coffee, grown mostly in southern India under monsoon rainfall conditions, is also termed as Indian monsooned coffee". Its flavour is defined as: "The best Indian coffee reaches the flavour characteristics of Pacific coffees, but at its worst it is simply bland and uninspiring. Cafs are increasingly becoming more than places to sip coffee. People are willing to spend on luxury. India has now become one of the fastest growing coffee markets in the world. The caf industry in India is growing at the rate of 7%. Key players in Caf industry are CCD , Barista, Costa Coffee . Over 2.25 billion cups of coffee are consumed in the world every day. Over 90% of coffee production takes place in developing countries, while consumption happens mainly in the industrialized economies

Celestial Caf lounge

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Executive summary
The concept of Celestial Caf lounge is to provide an entertainment and restaurant venue in place. The establishment will provide a restaurant venue, games, a small novel and magazine sections, music CD-section, movie bank. The Celestial Caf lounge will be decorated according to its theme. We will give souvenirs to our loyal customers as in it would include those which visit more than thrice or more than that in a week so total visit in month would be15 and more. A section where we auction small art based statues. We are even giving membership for our customers Celestial caf lounge will begin from Augst 2012.The purpose of this business plan is to estimate start-up and ongoing costs; identify revenue streams; and forecast net cash flow and profits. The venue is a 6,600 square foot complex. The venue will be equipped with audio, lighting, and video systems, serving the need for a true entertainment venue.

Beverage (Coffee, Tea) Fruit juices, Fruit punches Dessert Light snacks (sandwiches, doughnuts) Pizzas, pastas,

Managing five separate revenue streams requires ramping up each one individually, ensuring that each area performs well before developing the next revenue stream. In order of importance, Food/Beverage is expected to provide the most stable revenue streams. The venue appeals to four major market segments Young Professionals College Students

Tourists and Business Travelers Senior Citizens

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The Celestial Caf lounge prime location, demographics, and minimum competition are major advantages for the success of the venture. The proposed venue will provide a local solution to the lack of social atmosphere and live entertainment venues in the region.

The purpose of this business plan is to estimate start-up and ongoing costs; identify revenue streams; and forecast net cash flow and profits. A grand opening is targeted for mid August 2012. Our targeted break-even month is August 2013.

Vision To provide best in class service to our valued customer, thus creating a benchmark in the coffee industry by introducing revolution in kinds of items provided keeping the hygiene factor in mind

To be the most preferred caf lounge. To serve best and to break our own benchmarks

Mission First and foremost to meet the financial well being of our cafeteria. To serve best coffees and offerings. The mission is to provide quality service at an affordable price. We at Celestial Caf lounge try to get you maximum worth of your visit to us. We believe that every customer comes with a belief and trust on us. Celestial Caf lounge will make it best effort to create a unique place where customers can, socialize with each other in a comfortable and relaxing environment

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KEYS TO SUCCESS
Celestial Caf lounge venue has three keys to success.

Location-- Celestial Caf lounge will be strategically located to maximize the revenue derived from the live entertainment consumer. The showcase will be in BANDRA. This is an excellent location for multi-purpose entertainment, community education, and restaurant with music playing at background. Low Operating Cost-- Celestial Caf lounge will be managed specifically to maintain targeted operating ratios that allow for maximum net profits. For initial construction and build out, Celestial Caf lounge management will keep construction costs at a minimum. The venue will be in a leased building. All operating expenses will be kept to a minimum, with cost of sales and margins reviewed on a monthly basis. Cost of sales is targeted at 40%. Wide Range of Services Celestial Caf lounge will provide entertainment, community, a fullservice restaurant, a retail merchandise area, and venue rental services. The objective will be to maximize the revenue per visitor and extend each visitor's time spent at the venue. The purpose of this business plan is to estimate start-up and ongoing costs; identify revenue streams; and forecast net cash flow and profits. The venture will be funded solely through paid-in capital provided by the owners.

Objectives
The purpose of this business plan is to estimate start-up and ongoing costs; identify revenue streams; and forecast net cash flow and profits. The venture will be funded solely through paid-in capital provided by the owners. The concept of Celestial Caf lounge is to provide an entertainment and restaurant venue. The establishment will provide a entertainment venue; a restaurant; a retail component offering artsbased statues. The objectives are to: To attract more customers To gain more loyal customers To give a good competition to their competititors 17

COMPANY SUMMARY
Celestial Caf lounge is in a start-up position, with a beginning date of August 2012. We anticipate opening our doors to the public in mid August2012. Celestial Caf lounge( Name):- Here we kept the name celestial caf lounge because in front of our caf is sea and so the theme of our caf is blue which represent water and the livings inside the water(fish). Company Ownership Established in 2011,Celestial Caf lounge is operated as a 'partnership' by 6 partners each contributing Rs.20,00,000. Celestial Caf lounge will have Rs 1,20,00,000 from partners and would take approximately Rs.80,00,000 from the bank as loan so total cost will come to Rs.2,00,00,000cr

Start-up Summary The partners has contributed Rs.20lac each. In paid-in capital for the initial development of Celestial Caf lounge. Start-up expenses include accounting; legal; consulting services; research and development; and expensed equipment. Products and Services The venue is a 6,600 square foot complex,. The venue will be equipped with audio, lighting, and video systems, serving the need for a true entertainment. The general appearance will be clean, open, and pleasing to the customer. The demographics are favorable, with minimal competition from other cafes. Celestial Caf lounge will generate sales through five revenue streams that comprise the company's products and services. The revenue streams have been developed with the goal of lengthening each customer's stay and maximizing their individual revenue contribution. The following revenue streams represent Celestial Caf lounge products and services: Food and Beverage Retail Merchandise Arcade

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Novels and magazines Movie bank

Food and Beverage:

our specialty is our food and beverage; there is no other lounge or caf which is providing the varieties and entertainment in the area with soo much facilities.

Retail Merchandise:
The venue will provide space for the retail sale of Celestial caf lounge merchandise of artfocused items. Retail display would be done in one cupboard like shelf

Arcade:
Celestial caf lounge will provide an arcade area for customer entertainment, providing several interactive skill games, such as pool tables, ping pong tables, pinball machines, darts, and video games to provide additional entertainment.

Technology
The company's cash systems will be fully automated, using a centralized software platform for processing cash and credit card purchases. Venue Layout/Floor Plan The owner will build-out an existing restaurant and , with the majority of build-out costs, totaling 50lac , applied toward removing and building several walls.

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DESIGNS

A table for two

Look of our basins

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A single person table

A table for 5people

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Novels and magazine shelf

A movie bank

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Marketing Mix Product

Beverage (Coffee, Tea) Fruit juices, Fruit punches Dessert Light snacks (sandwiches, doughnuts) Pizzas, pastas

Price
Varies for every food item

Place

Promotion
Website Print Neighborhood marketing Radio Television E-mail / news letter In- store promotion

Bandra

Market Analysis Summary The area's major industries include tourism, banks, offices. The region offers excellent transportation nearby to station. Since Bandra has a Mount Mary church palli hill and lots of shopping places so number of people visiting this area is more

Market Segmentation The venue appeals to four major market segments: Young Professionals--We appeal to single adults and young couples seeking to interact through the social arts and socializing. Young professional customers will range in age from 21 to 51. The venue will appeal to this category by switching the tempo and entertainment to be more appealing to adults as it gets later into the evening. College Students -- By creating an environment that is appealing to college students, we secure a natural progression between the high school student and the young professional. The venue is in close proximity to National College, Rizvi College of Engineering, MET , St.Andrew colleges.

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Tourists and Business TravelersMany business travelers and tourists visit the Bandra area for various purpose. We plan to reach these people through direct marketing and our promotional activities. Senior Citizens--10% of the Bandra population is represented by senior citizens. Good environment and unique taste will definitely attract them. 4.2 Targeted Population We estimate that 6% of the targeted population in the Bandra market will visit Celestial caf lounge each year. Total Population Pool in 5,60,000 lac approx. Percentage Targeted as Celestial caf lounge is more than 500 in day. Estimated Celestial caf lounge visitors 2,40,000

Competition and Buying Patterns Competition The venue's direct competition consists of four competitors. Barista Costa Nescafe Coffee caf day

Value Proposition
Celestial caf lounge will focus on offering exceptional services to its customer. To reach and maintain a unique and high quality image, the venue will provide attentive and friendly service and will invest in on-going training of its employees. Our second strategy is emphasizing entertainment. The tactics are interactive entertainment, constant sensory appeal, and unique event viewing. Finally, we will focus on our identified target markets, stressing the following concepts:

Emphasize Exceptional Service. Emphasize an Entertaining Experience. 17

Focus on Target Markets

Marketing strategy
Our marketing budget is set at 3% of our overall sales revenue. This budget will be used to reach our targeted customers through cost-effective marketing campaigns. On-going processes will be geared to promote the brand name and keep the venue at the forefront of entertainment establishment in the Bandra. Our marketing efforts will focus on the following channels for reaching new and repeat customers: Website Print Neighborhood marketing Radio Television E-mail / news letter In- store promotion

Our first three months will focus on our grand opening event. An aggressive, comprehensive marketing campaign will precede the grand opening. A radio advertising campaign will precede the event. Contests will be held on the target radio stations giving away V.I.P. passes (coupons) to the event while at the same time creating excitement about the opening. We will initiate a regular local radio, TV, and print campaign to create brand awareness.

Start-up Requirements
Legal : Gomasta License

Stationery Brochures Consultants Insurance Licenses/Tax/Deposits

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 Expensed Equipment Employee/Payroll Accounting

LICENSES
We require some licenses which are as follows Food license Approval from state government. NOC from fire department. Playing music license. Municipal council.
Environmental license.

Marketing plan
The following table details our Sales and Marketing plan for the first six months, including the venue's grand opening. We have targeted an average of 3% of sales as our on-going Sales and Marketing budget. This allocation is included into the "Sales & Marketing and Other Expenses" in the Profit and Loss table in the Financial section of this business plan. Marketing expenses during the 6 months of the project rollout are estimated at a substantially higher level and are summarized in the table below for each type of advertising. This rollout allows us to manage costs and cash flow. The timeline coincides with our sales revenue ramp-up strategy. We anticipate developing our radio advertising in end of June, prior to our grand opening in July. Website development will also begin in June, as does print advertising, followed by television advertising in June. We anticipate beginning a neighborhood marketing campaign in August, an in-store promotion campaign in September. 17

Management team Since the company is a partnership firm we the members will only manage.

Funds arrangement We will arrange our seed capital by presenting our report to MSME department of govt. and if they feel viability in project they will fund us in the form of CGSFT .i.e. credit guarantee security fund trust scheme. And for this they charge us 2% of the loaned amount as their fees + bank rate of interest.

MENU Consisting of varieties of coffee Item

Affogato Black Eye Black Tie Breve Caff Americano Caf au lait Caf Bombn Caff latte Cafe Medici Caf mlange Coffee milk Cafe mocha Cafe Zorro Ca phe sua da Cappuccino Caramel Machiatto Chai Latte

Price 35 45 65 35 40 45 50 60 75 65 65 75 55 90 75 95 75
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Chocolate Dalmatian Cinnamon Spice Mocha Cortado Decaf Dirty Chai Eiskaffee Espresso Romano Flat white Frappuccino Galo Guillermo Gingerbread Latte Greek frapp coffee Green Eye Half-caf Iced coffee Indian filter coffee Instant coffee

105 95 65 125 85 150 150 125 175 55 120 175 156 200 215 150 50 40

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SALES

EXPECTED AVERAGE SALE 100 UNITS PER DAY. AVERAGE SALE IN RS. 180/- PER UNIT.

180*100= 18,000/- RS. PER DAY.

18000*30*12= 64, 80,000/- PER YEAR.

COST
EMPLOYEES SALARY- RS.7000*8*12= RS 6, 72,000/- YEARLY. ELECT & TELE 20000*12= RS 2, 40,000/-. RENT- 55000*12= RS 6, 60,000/- YEARLY. BANK LOAN EMI- 25250*12= RS 3, 03,000/- YEARLY. RAW MATERIAL- 1, 50,000*12= RS 18, 00,000 /- YEARLY. OTHER EXPENSES -20000*12= RS. 2, 40,000/-

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