Le Sirop d’Érable
(Maple Syrup)
Sebastien Aube
Executive Summary
• Our company sells maple syrup. Our profits
increase by almost $200,000 each year. We will
use the money we made solely for the business.
In the first five years, we believe that we can
make at least $3,826,000.
• We sell maple syrup products such as maple
syrup, maple lollipops, maple candy, tire sur la
neige (maple popsicles), maple cookies, and gift
baskets.
Objectives
• We will try to ensure that employees are enjoying their
work and work area.
• To provide the best products.
• We shall be open every day from 7 AM to 6 PM Monday
thru Saturday. We shall be closed on Sunday.
• Also, we will be open during the holidays; that time is
very busy for us.
• We will not be open Christmas Day and New Years Day.
• We will have sales at every holiday, 10-20% off any
products. For Christmas, this sale will run from
December 17 to December 24.
• We will also try have sales once per month.
Mission
• Provide people with the best maple syrup,
maple candy, maple cookies, maple
lollipops, and tire sur la nèige (maple
popsicles) possible.
• We will try to provide the best service
possible and make sure that every
customer is treated like a king.
Keys to Success
Politeness:
We will train our employees to be as polite and
helpful as possible, trying to make our customers feel
as comfortable as if they were shopping in their own
home.
Good syrup:
Obviously, the best maple syrup products must have
the best trees possible, producing exceptional syrup.
We will find a good forest with plenty of maple trees.
Then, after buying the land, we shall make our
building and start harvesting syrup.
Good service:
We will provide the syrup as quickly as possible, so
that the product stays fresh during delivery.
Company Summary
• We will have workers
to collect the syrup
and perform the
various jobs required
to create the maple
candy.
• We also have drivers
to deliver the syrup to
grocery stores, and
also to individuals, for
an additional cost.
Product Description
• Maple Syrup
– First: you pierce a hole in a maple tree and insert a pipe into the
hole. Then you put a bucket on the pipe and allow the liquid to
flow into the bucket. You repeat this process for every tree.
Then, after combining all the liquid into one bucket, you boil it
with sugar.
• Maple candy
– Take the maple syrup and put it into a mold and then place it in
the freezer for several hours.
– $12 for a pack of 10 candies
• Tire sur la nèige
– Place warm syrup on fresh clean snow, and place a stick in it.
When it hardens, this popular Canadian treat is made. It is
similar to the American Popsicle.
– Sold for $9.50 for a pack of 5.
Attention, ne mangez pas plus que
quatre batons de tire si vous ne
voulez pas vovir comme un criss de
cochon. Personne ne peut lire
francais ici.
Product Description, Part II
•
Maple Cookies
– We shall use a recipe to make the cookies, and then we shall
drizzle our syrup over the cookies.
– They shall be sold for $10 for a pack of seven cookies.
• Maple Lollipops
– These shall be similar to the tire sur la neige, however they are
shaped in spheres, and they are not meant to be served cold.
– There shall be 10 lollipops in one pack, sold at $5 a pack.
• Gift Baskets
– These are a combination of our products, and is thus sold for
more. It contains two bottles of syrup, three cans of syrup, one
package of Maple Lollipops, two boxes of tire sur la neige, and
one package of cookies.
– They will be sold for $60 each
Market Analysis Summary
• We will be selling our products to
supermarkets, as well as to individual
customers.
• We will provide the supermarkets with our
products for a set price, and send it to
them via truck.
• Individuals can either visit our store or
order it from the Internet, and it will be
delivered by truck.
Market Segmentation
• Our products will be sold to a variety of
people:
– People wishing to only buy syrup
– People wishing to buy both syrup and syrup
products
– People wishing to buy only syrup products
– Supermarkets wishing to buy our products
Target Market Segment Strategy
• Advertising
– We will advertise by word-of-mouth, meaning that our
products must be good enough for customers to tell their
friends.
– We will also advertise on billboards, as well as make TV
commercials. We will also put our name on our bags,
(surprisingly some companies don’t do this) so when friends
of our customers visit the customer, they will see the bag, and
ask about our syrup.
•
Free Samples
– We will provide our customers with a free sample when they
walk in the door, so when they decide they like it, they can
come back for more. We must limit this to only two free
samples per customer.
Market Needs
• People need good syrup to put on their
pancakes and waffles. There is really no good
maple syrup out there for widely distributed
sales.
• It also fulfills the need of gift giving. People are
often hard-pressed to find good gifts, and syrup
makes a great gifts for cooks. Gift baskets can
also be sold as gifts for the non-cooks, because
they contain a variety of treats.
Competition
• Our major competition will be other
specialty syrup shops. Since our shop falls
under this same category, it is natural that
other shops in the same category will be
our greatest competition.
Competitive Edge
• How will we beat the competition?
– We will have better service by giving sales
and being open more than other specialty
syrup stores. Also, we will provide a larger
area of delivery for the syrup.
– We shall also evaluate their stores, and see
what they are doing, and consider what is
working well for them and what is not, and
then apply it to our own business.
Sales Strategy
• We will sell our product at first only from our store. Later,
we will open other stores in various malls. Eventually, we
shall send our products to the supermarkets. However,
we will have a website so people can visit it and learn
about our prices and syrup.
• After a few years, we shall start to sell our products over
the Internet and thus shall bring in a fleet of trucks to
deliver directly to the customer’s houses.
• We plan to open our second store two years after the
first opens, and a store each year after that. Of course,
those store opened after Store 2 shall be smaller than
the initial store.
SALES
FORECAST
Jun-05
Maple Syrup Sold
Jul-05
Aug-05
Sep-05
Oct-05
Nov-05
Dec-05
Jan-06
Feb-06
Mar-06
Apr-06
May-06
Annual
900
1100
1000
950
850
1200
1400
1050
1000
1000
850
900
8
8
8.00
8.00
8.00
8.00
8.00
8.00
8.00
8.00
8.00
8.00
Bottle TOTAL
7,200
8,800
8,000
7,600
6,800
9,600
11,200
8,400
8,000
8,000
6,800
7,200
97,600
Can of Maple
Syrup
700
900
800
750
650
1100
1300
950
800
800
650
600
10000
$7 @ 1
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
4,900
6,300
5,600
5,250
4,550
7,700
9,100
6,650
5,600
5,600
4,550
4,200
70,000
300
250
250
300
500
300
350
450
550
600
450
200
4500
12$ @ 15
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
Candy Total
3,600
3,000
3,000
3,600
6,000
3,600
4,200
5,400
6,600
7,200
5,400
2,400
54,000
Tire sur la neige
units sold
700
650
600
450
400
350
300
400
450
550
650
700
6200
$9.50 @ 5
9.50
9.50
9.50
9.50
9.50
9.50
9.50
9.50
9.50
9.50
9.50
9.50
Tire sur la neige
TOTAL
6,650
6,175
5,700
4,275
3,800
3,325
2,850
3,800
4,275
5,225
6,175
6,650
58,900
Maple Cookie
units sold
1000
1100
900
1200
1000
1000
1200
1200
1000
1000
900
1000
12500
$10.00 @ 7
10.00
10.00
10.00
10.00
10.00
10.00
10.00
10.00
10.00
10.00
10.00
10.00
10,000
11,000
9,000
12,000
10,000
10,000
12,000
12,000
10,000
10,000
9,000
10,000
$8 @ 1
Can TOTAL
Maple candy
units sold
Maple Cookies
TOTAL
12200
125,000
Gift Baskets
700
600
400
400
600
500
1000
700
500
500
500
500
60.00
60.00
60.00
60.00
60.00
60.00
60.00
60.00
60.00
60.00
60.00
60.00
42,000
36,000
24,000
24,000
36,000
30,000
60,000
42,000
30,000
30,000
30,000
30,000
414,000
Maple
Lollipops
1200
1100
900
900
1000
1000
1500
1200
1000
1000
1000
1000
12800
$5 @ 10
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
Lollipop
TOTAL
6,000
5,500
4,500
4,500
5,000
5,000
7,500
6,000
5,000
5,000
5,000
5,000
64,000
80,350
76,775
59,800
61,225
72,150
69,225
106,85
0
84,250
69,475
71,025
66,925
65,450
955500
$60 @ 1
Gift Basket
TOTAL
ALL
6900
•Thus, we predict that from all the sales, we shall
have $955,500 for annual costs.
Management Strategy
• Sebastien Aube and Brett
Kinsey will be head managers.
• Each product will be
considered a separate
department with its own
manager. The managers will
report directly to the head
managers.
• We will run our company with
rules and fairness.
• The Head Managers are the
leaders of the company.
• The Department Managers are
the bosses of the employees.
• Later, the department
managers shall also consist of
separate store managers.
Head Managers
Department Managers
Employees
Projected Profit and Loss and breakeven
Revenue (Sales)
Syrup Bottles
97,600
Syrup Cans
70,000
Maple Candy
54,000
Tire Sur la Neige
58,900
Maple Lollipops
64,000
Gift Baskets
414,000
Maple Cookies
125,000
Total Revenue (Sales)
883,500
Cost of Sales
Syrup bottles
45,000
Syrup cans
35,000
Maple Candy
27,000
Tire Sur La Neige
27,000
Maple Lolipop
32,000
Gift basket
Maple Cookies
200,000
70,000
Total Cost of Sales
436,000
Gross Profit
447, 500
Expenses
Salary expenses
80,000
Outside services
75,000
Supplies (office and operating)
10,000
Repairs and maintenance
2,000
Advertising
1,000
Car, delivery and travel
5,000
Accounting and legal
Loan
0
50,000
Telephone
1,000
Utilities
2,500
Insurance
5,000
Taxes (real estate, etc.)
2,000
Total expense
233500
Net Profit
286000
To breakeven we need to make $669,500 for our first year
Five Year Projected Sales
Loan
Profit: (store 1)
Profit: (Store 2)
Profit: (store 3)
Profit: (store 4)
Total profit per year:
Year 1
$50,000
286,000
N/A
N/A
N/A
$286,000
year 2
$100,000
$400,000
N/A
N/A
N/A
$400,000
year 3
$180,000
550,000
$125,000
N/A
N/A
$675,000
year 4
$200,000
650,000
$250,000
$150,000
N/A
$1,050,000
Year 5
175,000
700,000
$340,000
200,000
175,000
$1,415,000
Total Profit after 5 Years: 3,826,000
Profits
700,000
600,000
500,000
Store 1
Store 2
Store 3
Store 4
400,000
300,000
200,000
100,000
0
Year Year Year Year Year
1
2
3
4
5