Business Plan for Opening a Restaurant

Select a small business that you visit often (e.g., coffee shop, bookstore, sporting goods store, etc.). Write a 6-8 page paper in which you:

Craft a brief (1-2 pages) strategy for a business concept that would directly compete with the small business you selected. Explain the rationale for the strategy in detail.
Determine if it would make more sense to open the new business you describe or to purchase the existing business you selected. Explain your reasoning.
Discuss the most appropriate form of ownership for your new business (assuming your current financial situation).
Outline a business plan for your business. Visit http://www.sba.gov for tools and templates.
Include at least two (2) references outside the textbook.

Your assignment must follow these formatting requirements:

Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

The specific course learning outcomes associated with this assignment are:

Analyze the nature of entrepreneurship, business ethics, and social responsibility in managing a successful small business.
Analyze a business strategy and supporting business plan for a small business concept
Describe and analyze the necessary activities and key decisions to start a small business.
Use technology and information resources to research issues in small business management.
Write clearly and concisely about small business management using proper writing mechanics.

Grading for this assignment will be based on answer quality, logic/organization of the paper, and language and writing skills.

Business Plan

The business that I choose to start is to extend the “Tim Horton” coffee shop by making a small bakery near it. This idea came into my mind from a “Tim Horton” coffee cafeteria. The people who came to a coffee cafeteria also wanted to take some snacks and some other food related material like some cake or pastry. So, if a small bakery is adjusted with the Tum Horton coffee shop, then it will result in a form of profitable business. That’s why my idea is to make a new small bakery to make the profit by using my finance in an appropriate way. In my business plan, I follow the proper business ethics, entrepreneurship and the other social responsibilities which will lead my business towards success.

If we talk about the entrepreneurship than I follow the basic rules for starting my business. The production of Food and Form is included in the top ten business in the list of business. It is not too difficult to start because it doesn’t require a lot of investment in the beginning. It can be started at the smallest level in the beginning and later will be converted to high scale business. I am going to start this restaurant at the smallest level in the beginning. After some passage of time, I will try to extend my business by adding the new items to my menu list which will increase the level of my business.

If we talk about the beginning of the bakery, then in the beginning I will start it in the main cafeteria of the Tim Horton. It will try to manage with a single helper in the beginning by completely using my own resources in cooking. For the other equipment like the sitting arrangement, I will use the cafeteria siting. As I am going to use the resource of the main cafeteria, so for this I have a deal with the owner of the cafeteria. I am going to give him as thirty percent of my profit to him as a bill.

Business Strategies

The thing that will lead the business towards the success is by making the product price low at the beginning. For making my restaurant more popular, I will use to provide some discount deals, which will help me to attract the customers because it is the business rule that the decrease in the prices of products will increase the demand of customers towards that product. I will supply some special offers for attracting the customers. This will help me to increase the sale of my products and also increase in profit.

As it is a business, so I will apply the proper business strategies on it for making it stand in a proper position in the market. First of all, the main thing is that the profit that comes from the business have to adjust in the business after getting your revenue. If the profit gained by the business is used by the owner of the business or the stakeholders then it is not possible that we get any profit from the business. The first strategy that I will apply to my business is to specify the fixed salary of the workers and for me also as a business owner. I will not make this thing that being a business owner, I will take the amount of my choice from the profit. I will specify my salary also.

The second strategy that I will apply to my business is to increase my social network. I try to make contact with the people who are already running a bakery. It will help me to know about their strategies that they are applying which will help me in running my bakery. I will try to make good relations with my customers by providing them different facilities (cake variety) of their own choice. The most important factor that can affect the environment of a bakery is the relation of the client with the businessman. So I tried to make friendly relation with my clients that they used to visit this café and bakery. (Malburg, 1997)

As I am going to start a new business, so I have to be the little bit scrappy. As in the beginning of a new business, the owner has to face some financial problem like he can have small budget or fewer resources. I also the have fewer resources and the smaller budget so, I can’t hire the big staff in the beginning. I have to manage many things by my hand. By using this I don’t have to give the big salaries to the employees, which help me save money and I will invest the same money in my bakery maintenance. With the passage of time, there are increasing and advancement in the technology. The manual system in most of the business has been replaced by the automated. So I can’t afford the software for my new business at the beginning. I have to be conscious in the beginning related to all these matters.

As it will be an entrepreneurship, so it is might possible that I will face failure or get less profit or maybe also can get profit. So for avoiding the failure, I will try to take the advice from the HR experts and the HR managers of different restaurants. Reading different books on entrepreneurship will also help me to run my business easily. As this is a business of a bakery, so there will be no HR department in the bakery. That’s why, I being the owner of the bakery perform all the duties related to HR. I plan my budget chart by myself by keeping the prices low which attracts the customers. (Kiss, Danis & Cavusgil, 2012)

Bain is a very famous man and I am very impressed with his business strategies. He said that when you are going to start a new business, it is very important that it must be a right time. You have enough money to start a new business. No matter that if you have fewer resources, but at least enough money to take a start. The quality of food provided must be good. So, I tried to make the delicious, yummy and hygienic cakes as the specialty of my bakery. If we are working in a company as an employee then there is a responsibility of a single work on you, but if we start a business then all the responsibility is on you. So, before starting this business, I was working as an employee in a company, my responsibility was less, but being a business owner, my responsibility increases and I have to become more responsible. (Kiss, Danis & Cavusgil, 2012)

Business ethics:

Business ethics are the ethics which are used to deal the ethical problems arises. It helps to maintain the environment of the office ethically. Following business ethics will be followed by me in starting my new restaurant business.

Personal ethics

There are total five business ethics that are used to provide a proper platform for behaving ethically that I am going to use in my business. This includes the correct and justice based approach in making any decision. Following personal ethics, I will try to follow and also ask my other workers to follow it.

I tried to make concern about the matters and problems of my customers related to food quality.
I tried to solve all the matters with honesty.
It is a good practice to solve the matters according to the rules and regulation so, also try to adopt this.
I don’t allow anyone to take disadvantage of linearity provided to them and even not take by myself.

Cooperate Ethics

According to the laws of business made by the US, it is important to create an environment of the corporation. It is a good practice to follow the legal rules and make the decision under the laws. Following are the corporate ethics that I will follow in my business.

I tried to make an environment of providing the customers as per according to their demand.
I tried that if any customer has any complained then it must be solved by using a cooperative way.
In my bakery, I tried to provide the order of the customers with beautiful presentation.

Social responsibility

It will be included in my social responsibilities to increase the quality of food, providing a relaxing environment to the customers. It is also included in my social responsibility to create the goodwill of the bakery. Dealing with customers and dealers ethically is also included in my social responsibilities. I will try to make my bakery more and more social by adding investors, which lead my bakery at the peak. It is also possible to make a new bakery at the right side of Tim Horton and make this bakery an extension of the coffee cafeteria.

Self-checking is also included in my social responsibility towards my business. This self-checking can be done by performing the different type of business analysis on my restaurant which tells me about the current position of my business and how I can improve my business. I also have to follow some standards like IEEE format.

SWOT analysis

The first analysis that I will perform is SWOT analysis, which helps me to check the Strength, Weaknesses, Opportunities, and Threats about my restaurants. This analysis makes me aware of the internal and external factors of my business and making me able to understand at which position my restaurant is standing in the market now. It also helps me to remove my weakness and working at the level of my competitors. (Paschalidou, Tsatiris & Kitikidou, 2016)

Market Analysis

The second most analysis is of marketing analysis, which helps me to understand the current position of public, product, place and position. It will help me to understand the quality of food provided by my restaurant, about the location of my restaurant that either it is a good location for a restaurant where many customers can come easily or it is beyond the main area. It also helps me to meet the more opportunities present in the market on the basis of another restaurant which will make promotion of my business and helps to figure out about the main and important aspect that is public that either they are satisfied by the food, environment and other factors of the restaurant or not.

Decisions

There is some decision that I have to take as an entrepreneurship. I have to invest all my profit in the well-being of my restaurant in the beginning. It will be also important for me to do some saving, so that if I have to face some loss in the future so I can tackle it easily. I have to follow the financial planning strictly. As it will be a new business, so there may be the chance of failure, but I have to work by avoiding the fear of failure. One and most important, I have to keep the product pricing low as compared to other restaurants.

Conclusion

At the end, it is concluded that for starting a new restaurant, I have to follow all the above-mentioned strategies, ethics, social responsibilities and decision in order to make my restaurant the best and successful restaurant. No doubt, I will face difficulties in the beginning of execution of this plan, but if I follow the business plan with consistency, it will surely lead my restaurant towards success.

References:

Malburg, C. (1997). Accounting for the new business. Holbrook, Mass: B. Adams.

Sathe, V., & Drucker, P. (2006). Corporate entrepreneurship. Cambridge: Cambridge University Press.

Kiss, A., Danis, W., & Cavusgil, S. (2012). International entrepreneurship research in emerging economies: A critical review and research agenda. Journal Of Business Venturing, 27(2), 266-290. http://dx.doi.org/10.1016/j.jbusvent.2011.09.004

Paschalidou, A., Tsatiris, M., & Kitikidou, K. (2016). Energy crops for biofuel production or for food? – SWOT analysis (case study: Greece). Renewable Energy, 93, 636-647. http://dx.doi.org/10.1016/j.renene.2016.03.040