1.

Pre-Opening Budget for "The Garden Bistro"

Item Cost ($)

Lease Security Deposit 10,000
Insurance 5,000
Pre-Opening Hiring Event 2,500
Training 4,000
Initial Operating Capital 15,000
Web Development & Social Media 3,500
Business Licenses / Permits 2,000
Legal / Processing Fees 2,500
Building Improvements/Remodel 30,000
Kitchen & Cooking Equipment 40,000
Dining Room and Bar Equipment 20,000
Tables, Furniture, and Tableware 10,000
Opening Inventory 8,000
POS Systems 5,000
Signage & Advertising 3,000
Total 160,500

2. Projected Budget for "The Garden Bistro"

Assumptions: Start Date - August 2022

Category Year 1 ($) Year 2 ($)

Sales
Food 350,000 375,000
Beverage - Wine 75,000 80,000
Draft Beer 30,000 32,000
Bottled Beer 22,000 24,000
Soft Drinks 18,000 20,000
Total Gross Sales 495,000 531,000

Category Year 1 ($) Year 2 ($)

Cost of Sales
Food 105,000 112,500
Beverage - Wine 27,500 29,500
Draft Beer 12,000 12,800
Bottled Beer 8,800 9,600
Soft Drinks 4,500 5,000
Total Cost of Sales 157,800 169,400

Category Year 1 ($) Year 2 ($)

Controllable Expenses
Payroll and Benefits 180,000 185,000
Marketing and Advertising 12,000 13,000
Utilities 20,000 22,000
Operating Supplies 18,000 20,000
Repairs and Maintenance 8,000 9,000
Total Controllable Expenses 238,000 249,000

Category Year 1 ($) Year 2 ($)

Non-Controllable Expenses
Rent and Lease 60,000 62,000
Insurance 8,000 8,500
Property Taxes 6,000 6,500
Total Non-Controllable 74,000 77,000

Category Year 1 ($) Year 2 ($)

Net Income Before Taxes 25,200 35,100

Explanation and Justification:

Sales: The projected sales figures are based on market research, expected customer demand, and industry benchmarks
Cost of Sales: The cost of sales includes the direct costs associated with the food and beverage served. The percentag
Controllable Expenses: These expenses are within the control of the restaurant management and include payroll, mark
Non-Controllable Expenses: These expenses, such as rent, insurance, and property taxes, are relatively fixed and may

Overall, the projected budget aims to ensure a balance between revenue generation and cost management, leading to s
Year 3 ($)

400,000
85,000
34,000
26,000
22,000
567,000

Year 3 ($)

120,000
31,500
13,600
10,400
 5,500
180,000

Year 3 ($)

190,000
14,000
24,000
22,000
10,000
260,000

Year 3 ($)

64,000
9,000
7,000
80,000

Year 3 ($)
47,000

d, and industry benchmarks for similar restaurants. As the restaurant gains popularity and reputation, sales are expected to increa
rage served. The percentages are estimated based on standard industry ratios and are subject to change based on supplier prices a
nt and include payroll, marketing, utilities, and operating supplies. The payroll cost may increase slightly in the second and third
re relatively fixed and may have minimal fluctuations over the three years. Any significant changes in these costs would depend

st management, leading to steady and sustainable growth for "The Garden Bistro" in its first three years of operation.
on, sales are expected to increase gradually over the three years.
ange based on supplier prices and menu adjustments.
lightly in the second and third years due to annual salary increments and increased staffing needs.
es in these costs would depend on lease negotiations and external factors.

years of operation.