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Business Plan for a Startup Business

The business plan consists of a narrative and several financial worksheets. The narrative template is the body of the business plan. It contains more than 150 questions divided into several sections. Work through the sections in any order that you like, except for the Executive Summary, which should be done last. Skip any questions that do not apply to your type of business. When you are finished writing your first draft, you’ll have a collection of small essays on the various topics of the business plan. Then you’ll want to edit them into a smooth-flowing narrative.

The real value of creating a business plan is not in having the finished product in hand; rather, the value lies in the process of researching and thinking about your business in a systematic way. The act of planning helps you to think things through thoroughly, study and research if you are not sure of the facts, and look at your ideas critically. It takes time now, but avoids costly, perhaps disastrous, mistakes later.

This business plan is a generic model suitable for all types of businesses. However, you should modify it to suit your particular circumstances. Before you begin, review the section titled Refining the Plan, found at the end. It suggests emphasizing certain areas depending upon your type of business (manufacturing, retail, service, etc.). It also has tips for fine-tuning your plan to make an effective presentation to investors or bankers. If this is why you’re creating your plan, pay particular attention to your writing style. You will be judged by the quality and appearance of your work as well as by your ideas.

It typically takes several weeks to complete a good plan. Most of that time is spent in research and re-thinking your ideas and assumptions. But then, that’s the value of the process. So make time to do the job properly. Those who do never regret the effort. And finally, be sure to keep detailed notes on your sources of information and on the assumptions underlying your financial data.

If you need assistance with your business plan, contact the SCORE office in your area to set up a business counseling appointment with a SCORE volunteer or send your plan for review to a SCORE counselor at www.score.org. Call 1-800-634-0245 to get the contact information for the SCORE office closest to you.

Business Plan

OWNERS

Sadie’s

Hwy 73

Greenwood, WI 544437

715-267-7575

I.  Table of Contents

I. Table of Contents 3

II. Executive Summary 4

III. General Company Description 5

IV. Products and Services 7

V. Marketing Plan 8

VI. Operational Plan 17

VII. Management and Organization 21

VIII. Personal Financial Statement 22

IX. Startup Expenses and Capitalization 23

X. Financial Plan 24

XI. Appendices 27

XII. Refining the Plan 28

II.  Executive Summary

Sadie’s Supper Club is a place where family and friends come together. Sadie’s is family-oriented and welcomes everyone. The products that are served are homemade food that isn’t a strain on any budget. Sadie’s Supper Club does not have a defined customer target market. Sadie’s is open to the public, and surrounding areas. Sadie’s Supper Club will bring in people from other towns and help Greenwood flourish. The owner is Kristen Eskildsen. She received a marketing certificate from Northcentral Technical College, and major in Business Management at Mid-State Technical College. She brings year of experience and knowledge of the area to Sadie’s Supper Club.

Sadie’s Supper Club will build a solid foundation in Greenwood. Greenwood is missing a family, supper club. Sadie’s will be an escape for people but close enough to have a small town feel. The owners feel that a supper club is badly needed in this town. Greenwood has lost one of its prized possessions and they need it back. Sadie’s Supper Club will prosper and help the community all while providing a service for families and friends around area.

Sadie’s Supper Club will be applying for a loan around $300,000. This would cover exterior updates, and a new roof. There would also be landscaping and work on renewing the volleyball nets. In the interior we would paint and redo the kitchen. This money would cover new light fixtures, and any other renovations that need to be made. The money would cover the cost of new equipment, and an edition to the kitchen. These changes will help the appearance and make people want to see what is on the inside. Sadie’s Supper Club has potential and just needs a chance to make a difference.

III.  General Company Description

Sadie’s Supper Club is a startup business, and has not started operation up to this date. This business will start around May 2017, this will give the owner enough time to raise a correct amount of funds and present their plan to investors. They should also present their plan to advisors and people that they look up to. Owners would also present it to their family members, they would give a real opinion on what they thought, and bring up any issues that could cause problems for the restaurant.

Our mission statement is “A Place where friends, family, and food come together”

The starting goal is to have a profit. This would be our goal for the first four months. The owners need to be making enough money to be covering their expenses. After the first four months, the second goal is to get good reviews on our customer service. Owners want people to feel welcome when they are served, and not like a bother. The employees will be the best, and the customers will expect nothing less. After the first year the third goal would be to earn enough profits where the owners are making a profit. At least two years in, they need to be making substantial money where they have extra money when the expenses are paid. After the owners reach these three goals, their business should continue to flourish and provide a place where everybody can come together.

Business owners think customer service is the most important aspect of business. If you don’t treat your customers well, you will lose your business. One example of this is when the owner/manager doesn’t bother to show up, and expects his employees to run the business for him. Business owners should never want their employees to feel like they have to make up for the owner. They will be there, and everyone should the business together.

Business owners will market their products to whoever wants them. They need to have a wide range of customers so that the business will flourish. The customers served are the people who come to the restaurant. It is a sit down place, and the restaurant does not offer deliveries. Business owners are selling products to consumers but also presenting a service to the community. This would help bring in people from around the area, and promote what Greenwood, Wisconsin has to offer.

The industry is definitely a growth industry. Owners would like to see more people every night, and gain a larger profit every month. The long term goal is to be a successful business with opportunities to grow, and expand. Business owners should become financially comfortable, and can cover any unexpected costs. The most important goal to business owners is to have a business where were making money, but also provide a well loved service. They should want to be more than a supper club, be a place where people come together to have a good time.

At Sadie’s Supper Club our strongest strengths are personality and leadership. This company will succeed because of the employees and the drive behind the whole company. Every one at Sadie’s Supper Club will feel welcome and at peace when they are there. The major competitive strengths are the location and how the owner’s know about the community and what it needs. The owner has had experience in this field for over four years. The owner has also received a marketing certificate in Marketing from NTC. They know what you need to make a business successful. They will be there everyday to help out, and will do anything that will benefit the business. The owners will also benefit the community and get them involved in the restaurant. Sadie’s Supper Club would bring people in from the surrounding area, and will make Greenwood, WI flourish.

This company will be a sole proprietorship. The owners are in charge of the day-to-day tasks, and do not have to consult with anyone else on the issue. They would be the person to ask, and the one to solve all the problems. This company is best suited for a sole proprietorship.

IV.  Products and Services

Sadie’s Supper Club will have a slight advantage because of the location and the food served there. One of the best advantages the company has is the building. This building is furnished and is in good shape. It could use some work but can bring in a good profit. One disadvantage is the small community pay checks. Many in this area are short on cash, so eating out will be limited.

V.  Marketing Plan

Market research - Why?

Sadie’s Supper Club will be based in a small town in Wisconsin, because of this we need to research about the percentage of people that go out to eat, and the number of competiting restaurants in the area. Primary research could help our business earn a large profit. Sadie’s Supper Club is interested in the competitors and the number of restaurants that are successful in their first year of business. The company does not want to open a restaurant and have it fail. Using secondary data we could determine if we would be successful or not. Primary and secondary data are important to Sadie’s Supper Club because they do not want to fail when it was preventable.

Market research - How?

http://www.city-data.com/city/Greenwood-Wisconsin.html

http://www.greenwoodwi.com/demographics.php

Economics

·  What is the total size of your market?

o  Currently there are 11,919 restaurants in Wisconsin. Restaurants employ 272, 900 people in Wisconsin.

·  What percent share of the market will you have?

o  Sadie’s Supper Club will not have a large share of the market. We are not a corporation so we will have one building. Although we are a sole-proprietorship we will be a fierce competitor in the area.

·  Current demand in target market.

o  The demand for restaurants is growing. In 2011 the industry’s sales exceeded $ 600 billion. There is a 6.8% growth in the industry expected or 18,500 more jobs.

·  Trends in target market—growth trends, trends in consumer preferences, and trends in product development.

o  The restaurant industry is looking forward to a large growth in product development. It is estimated in 2012 that the restaurant industry is going to shoot forward in profit growth and overall business. This would prove beneficial for the company.

·  Growth potential and opportunity for a business of your size.

o  The growth potential for Sadie’s Supper Club is unlikely. We will not expand to a second location, although we can make sure every night we have a sufficient amount of people. We will have opportunities for growth in the number of people we seat every night and weekend. This growth will be necessary for the continuation of the business.

·  Some barriers facing Sadie’s Supper Club are high capital costs, high production costs, high marketing costs, training and skills, and unique technology and patents.

·  Sadie’s Supper Club will overcome high capital buy having suffiencent funds. The company will overcome high production costs and high marketing costs by finding efficient ways to produce the food. Sadie’s Supper Club will overcome training and skills by training within the company and finding people with the best skills. Our company will overcome unique technology because they will be up to date, and make sure all of the equipment is energy efficient.

·  How could the following affect your company?

o  Change in technology

§  Sadie’s Supper Club will have to update in technology even year or so. The company needs to have the best equipment, and make sure all of the existing equipment is energy efficient.

o  Change in government regulations

§  Sadie’s Supper Club will have to change to abide by government regulations. They will also have to make modifications to keep the business open.

o  Change in the economy

§  A change in the economy could affect the number of people coming out to eat. This could affect the company and cause a loss in profits.

o  Change in your industry

§  Sadie’s Supper Club would not be affected by a change in the industry. If so, the change would have to be great, and require things to change.

Product

Sadie’s Supper Club offers many choices to pick from. See our menu in the appendix.

Features and Benefits

At Sadie’s Supper Club one of our features is we only use high quality ingredients. The benefit of this is that it tastes good, and is good for you. Another feature at Sadie’s is the wide variety of food to choose from. The benefit of this is we can cater to a large group of different tastes. We offer spicy burgers, to smothered steaks. The only disadvantage of the menu is it’s hard to decide what you want.

Customers

·  Age

o  3- 95. Sadie’s Supper Club is a family based company. They want to make people feel as comfortable as they are as home. They welcome everyone, and strive to have a warm, friendly environment.

·  Gender

o  At Sadie’s Supper Club gender doesn’t matter. We do not have a selected target market. There are about 506 males and 540 females in Greenwood.