BUSINESS PLAN
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Classified Ad Solutions
“We think of ourselves as Craigslist… for Restaurants!”
New-York State
04/12/2015
TABLE OF CONTENTS
1.0 Executive Summary.......................................................................................................... 3
1.1 Business Objectives............................................................................................................................. .......3
1.2 Mission Statement......................................................................................................................................4
1.3 Keys to Success..........................................................................................................................................4
2.0 Company Description....................................................................................................... 4
2.1 Ownership...................................................................................................................................................4
2.2 Legal Form..................................................................................................................................................5
2.3 Start-Up Summary...................................................................................................................................... 5
2.4 Location and Facilities…............................................................................................................................5
3.0 Products..............................................................................................................................5
3.1 Products/Services Descriptions…..............................................................................................................5
3.2 Competitive Comparison............................................................................................................................7
3.3 Future Products/Services…........................................................................................................................7
4.0 Market Analysis ...............................................................................................................7
4.1 Market Needs………..................................................................................................................................9
4.2 Market Segmentation..................................................................................................................................9
4.3 Positioning..................................................................................................................................................9
5.0 Marketing Strategy and Implementation......................................................................12
5.1 SWOT Analysis........................................................................................................................................12
5.1.1 Strengths…............................................................................................................................................12
5.1.2 Weaknesses............................................................................................................................................12
5.1.3 Opportunities.........................................................................................................................................12
5.1.4 Threats...................................................................................................................................................12
5.2 Strategy Pyramid......................................................................................................................................12
5.3 Unique Selling Proposition (USP)............................................................................................................13
5.4 Competitive Edge.....................................................................................................................................13
5.5. Promotion and Advertising Strategy…...................................................................................................13
5.6 Sales Strategy............................................................................................................................................13
5.6.1 Sales Forecast........................................................................................................................................13
5.6.2 Sales Programs.......................................................................................................................................14
5.7 Legal.........................................................................................................................................................14
5.8 Milestones…….........................................................................................................................................14
6.0 Organization and Management…..................................................................................15
6.1 Organizational Structure and Management..............................................................................................15
6.2 Personnel Plan..........................................................................................................................................15
7.0 Financial Plan……...........................................................................................................16
7.1 Start-Up Costs/ Source and Use of Fund……..........................................................................................16
7.2 Projections................................................................................................................................................17
7.2.1 Projected Balance Sheet........................................................................................................................17
7.2.2 Projected Summary Profit and Loss............................................................................................ ..........18
7.2.3 Federal and NY State Income Taxes.....................................................................................................18
7.2.4 Projected Annual Profit and Loss..........................................................................................................19
7.2.5 Projected Cash Flow..............................................................................................................................26
7.3 Business ratios..........................................................................................................................................30
Appendixes………...…...........................................................................................................32
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1.0 Executive Summary
The Restaurant Zone, LLC (www.therestaurantzone.com), is an online classified ad platform
focused exclusively on the restaurant industry. The site acts as a hub for food service
professionals and dining establishments, allowing classified ads to be posted regarding jobs,
equipment, restaurant property, general restaurant ads, events and more. Users of the
Restaurant Zone will have the ability to browse industry-centric listings without the
distraction of spam, scam and irrelevant ads and have access to the RZ resume database.
The impact the RZ will have on the community-at-large is significant. The layman can buy a
used piece of industrial kitchen equipment from a 4-star restaurant. A foodie can find the
latest and greatest food product launches on our site. A socialite can search for local
restaurant events and openings to strengthen his or her social network. The community will
come to the RZ for all of its restaurant-classified needs.
The classified ad market is one of the most underrated yet fastest growing industries. Just ten
years ago the entire industry was valued at $100 million dollars and is now worth over $92
billion dollars. On Craigslist, users spend $111 million dollars on restaurant job classifieds
alone. Additionally, our estimates indicate that there are 10,800,200 restaurant/food jobs
available in the US market according to the Bureau of Labor Statistics. Also, a turnover rate
in restaurant industry is 62.6 %.
The RZ is penetrating to this market by charging $15 per ad, which is 40% less than the
Craigslist prices in the most U.S. cities. The RZ quickly capitalizing on this market and
expanding into categories such as restaurant equipment, property, resumes, general restaurant
ads, and more. In addition Google Adsense would generate considerable income if we reach
projected traffic goals. Thus, by the end of year 2017 we are expecting ~$2.25 million in
revenues.
This does not consider featured ad revenues on other classified ad restaurant categories and
the potential of reaching markets outside of the US. Currently, we have been getting
interest and have attracted several customers from Australia, United Kingdom, Canada,
Thailand, and India. The potential of capitalizing on emerging markets makes this venture
all the more exciting.
1.1 Business Objectives
The RZ business objectives are
 to achieve healthy earnings (EBIT) in the first year of operation by gaining
around 1% of the Craigslist restaurant job ad market;
 to maintain a 70% margin throughout the entire operation;
 to increase sales to 5% of internet job ads, which includes in addition to
Craigslist, ads from Monster, CareerBuilder, and SnagJob in the second year
(2016). Then steadily increase the RZ market share in the third, fourth, and fifth
years by 4% in correlation with the annual restaurant jobs increase based on the
Bureau of Labor Statistics information;
 to expand into categories such as restaurant equipment, property, resumes, general
restaurant ads by taking 0.5% of these markets in 2015, 5% in 2016 and
consecutive years.
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
Finally, we plan on potentially integrating Google AdSense to monetize our
growing site traffic.
1.2 Mission Statement
The RZ aims to start a trend of niche-classified sites where users can explore exclusive &
relatable content - high quality and high quantity content. Food professionals will have the
ability to transact, hire, or get hired without the headache of a cluttered classified site. The
RZ provides the excellent sites functioning as a B2B communication channel, as well as a
marketplace where users can connect to exchange products and services, hire and be
hired, and more.
1.3 Keys to Success
The keys to our success are:
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We are a niche site that concentrates on just serving the restaurant industry. That
means, we are specifically building out the functionality of our site to cater to
restaurant industry needs. We take feedback from restaurant professionals who use
our site and implement solutions and changes. For example on an aggregate if we
keep hearing the same feedback from many customers regarding a function they
desire or an ad-related product they want, we create it.
More affordable than all competitors, for example job ads are $15 per ad for a 60 day
listing at The Restaurant Zone. Craigslist charges $25-$75, while other competitors
charge anywhere from $100 per ad to significantly higher ($415).
The Restaurant Zone maintains quality listings by tracking them and eliminating
spam, fraudulent, and irrelevant ads. Many restaurants and users complain that
Craigslist is a “headache” and has these issues. In the future when our traffic grows
significantly in the millions we will begin to charge a very small amount for all ads
($0.99), to add yet another filter to stop the scammers and spammers (via credit card
verification).
Distractibility. By being restaurant focused, users aren’t distracted by other categories
and can only focus on restaurant related ads only. This also creates a sense of
exclusivity for the restaurant community and allows for users to connect and transact
without threats of other industries.
Classified ads on The Restaurant Zone are posted to our social media, and can also be
posted to user’s social media accounts for more exposure. Craigslist does not offer
direct social media solutions, meanwhile our site can offers an easy one click
solutions.
We will manage our business by implementing, and consistently measuring and
adjusting the Financial Goals vs. Results and Customer Satisfaction Goals vs. Results
2.0 Company Description
The Restaurant Zone (RZ) is a newly formed LLC, registered in the State of New York.
2.1 Ownership
Matthew W. Rodgers and Kenny E. Benavides are owners of the RZ. Matthew W.
Rodgers is Co-Founder and CEO of the Restaurant Zone, specializing in product
development and management of the company. Kenny E. Benavides is Co-Founder and
CVO of the Restaurant Zone, specializing in business development and organizational
change and consultation.
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2.2 Legal Form
The Restaurant Zone is a limited liability company (LLC).
2.3 Start-Up Summary
The RZ owners created the prototype that has been profitable since January 2015 and has
not officially launched or been marketed. Despite this, the RZ has been growing rapidly
and have made revenues of ~$5,100 as of March 2015. The site averages about 13,500 to
15,000 visitors a month and has a total of 8,450 social media followers. The RZ site has
had roughly 700 restaurant classified ads posted on our site.
Matthew W. Rodgers and Kenny E. Benavides has found an office and partnered with
Antonio Lucas, a programming consultant. Antonio Lucas has extensive know-how in
developing e-commerce and classified websites. His 12 years of experience in PHP,
Wordpress, HTML and other languages have been critical in the growth of the Restaurant
Zone’s website. He was formerly CTO for Ser&Tec and software developer for Datadec
S.A. He studied Computer Science Engineering at the University of Valencia.
The start-up costs was $45,000. The start-up funding was financed by the RZ owners and
used for:
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creating and maintaining website ($11,188),
renting the office ($21,555),
purchasing of furniture, office and computer equipment ($4,097),
paying for legal cost ($5,223.20), and
paying for other business expenses ($2,937).
2.4 Location and Facilities
The RZ office is located in the Lower East Side of the New York City and is close to
public transit. The office is presently being rented on a year-to-year basis. The office
address is 167 Ludlov Street ap. 2A, New York, NY 10002.
3.0 Products
3.1 Products/Services Descriptions
Restaurants and other food service establishments can utilize
business profile, complete with pertinent details that may help
talent. Once a business profile is created, businesses can create
their needs, which will become live within the Restaurant
classifieds.
the site by creating a
to attract top industry
and post ads based on
Zone’s ecosystem of
Restaurant professionals start by creating a business profile complete with pertinent
details. Once a business profile is created, the user can create and post ads based on their
needs, which will become live within the Restaurant Zone’s ecosystem of classifieds. In
return any interested browsers can communicate with ad posters via a simple contact
form hosted on the site.
To help prevent stagnancy and facilitate activity on the site, classifieds are automatically
promoted over the Restaurant Zone’s Blog, Twitter, Facebook, LinkedIn and other
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communication channels, while job ads are promoted across 55+ online job boards.
Furthermore, users can post ads to their own social media accounts to enhance viral
exposure. The goal is to ensure a streamlined, succinct, distraction-free approach to
helping food service professionals connect with one another.
The RZ online classified ad platform (www.therestaurantzone.com) allows the classified ads
to be posted regarding jobs, equipment, restaurant property, general restaurant ads, as well as
gives an access to the resume data base and earns from Google Adsense. The prices for the
RZ products are presented in the following table:
PRODUCT
Restaurant job ads
Restaurant property ads
Restaurant equipment ads
General restaurant advertising
Access to the resume database
Google Adsense
PRICE
$15.00
$5.99
$5.99
$5.99
$9.99
$2.00.
The Restaurant Zone’s features and unique benefits are as follows:
a. In-ad “negotiation” buttons, which allow users to efficiently negotiate with
posters and make an offer for a product or service. This creates the notion
that negotiation is expected and normal. This feature can only be activated
by the seller or poster and is an available option to the buyer or interested
party.
b. QuickPost, which serves as a ‘one click’ posting solution for users. The
Restaurant Zone creates an ad quickly to save clients valuable time.
c. Classifieds are automatically promoted on the Restaurant Zone Blog,
Twitter, Facebook, LinkedIn and 55+ job boards. Cross promotion is
managed by a social media team.
d. A business profile for users to designate their website, description of
product or services, social media accounts and access to a personalized
dashboard for tracking classified ads.
e. Featured and Boosted Ads, which represent premium options for posters
who want to give their ads exponential attention.
f. A resume search engine for recruiters to source top talent.
g. A simple contact form for browsers to initiate communication with
posters. It filters spam and also allows users to instantly upload documents
(e.g. resumes, PDF files, images, etc.).
h. An in-house resume database search is used to pool more applicants for
recruiters and employers.
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3.2 Competitive Comparison
Craigslist: The number one provider of classified ads to the U.S. market. The company sees
approximately 50 million users each month and records millions in ad sales per month.
Although the site amasses heavy traffic, the quality of its service towards the restaurant
industry is debatable, with little more than generic posting options offered and little to no
moderation of posted ads. Nonetheless, the Restaurant Zone considers Craigslist its number
one competitor based solely on the company’s name recognition and its ability to produces
results through its several levels of restaurant-related categories.
Poached Jobs: A recently funded startup that offers job ads and website advertising for the
restaurant industry in major cities, Poached is not technically a classified ads site for
restaurants—instead it offers premium job ads and advertising services (exclusively to
Portland). This site is on the pricier side for those interested in posting an ad, but shares
similar functionality with the Restaurant Zone. Because Poached job ads are more costly and
only based out of major cities, it allows the Restaurant Zone to target restaurants looking for
basic job ad services. The Restaurant Zone considers this site a direct competitor in the
restaurant job space due to its industry-specific focus and the positive reviews that it
currently boasts in the limited geographic areas where it operates.
Restaurant-Classifieds.com: This site is an offshoot of a restaurant news site that enjoys
nearly 16,000 food service subscribers. The website’s main focus centers on restaurant news,
but it also has an underdeveloped platform for restaurant classified ads as well. The
Restaurant Zone considers this site a smaller competitor, but nevertheless a competitor based
on its industry-specific focus and its potential for development growth.
3.3 Future Products/Services
As mentioned above the RZ will gradually expand into categories such as restaurant
equipment, property, resumes, and general restaurant ads as well as integrate Google
Adsense to monetize our growing site traffic.
Featured Ads, which have additional functionality built into them, are currently available
for an additional $5 per ad for all categories. Furthermore, the site offers premium ad
services called Boosted Ads, which give our clients personalized attention. The
Restaurant Zone staff will aggressively promotes Boosted Ads using various advertising
technologies and provides detailed weekly reporting on ad performance for clients. The
proposed price for Boosted Ads will be $40 per ad.
Once traffic goals are met, we can then think about charging different membership fees
from premium advertising solutions on our site.
4.0 Market Analysis
Classified ads are a cost-effective form of advertising a product, service, or job and they
are traditionally posted in newspapers, magazines or in online forums. Since the early
days of the Internet, online classified ad sites have been growing in popularity and today,
are generally embraced as the easiest form of job prospecting, with numerous platforms
dedicated to job postings rising to prominence online.
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With such widespread reliance on digital job boards and classified hubs, a new business
model quickly arose to fill the needs of job posters willing to pay for higher profile
advertising and exposure. Today, the entire online classified ads industry consists of
about seven major competitors that work both within the United States and worldwide.
One of the largest players in the industry is Craigslist, which made an estimated $115
million in revenue in 2010, according to media and consulting firm, AIM Group.
Craigslist has 50 million users that visit its site every month in the United States alone.
Other players, such as OLX and Quickr, represent companies that have long been
competing with Craigslist, but who have taken a different approach by focusing their
efforts on emergent markets. OLX, for example, has approximately 200 million active
users each month worldwide, however these accounts stem primarily from countries such
as India.
In 2008, the market for online classified ads in the United States was $17 billion,
according to eBay Inc., marking the undeniable demand for platforms like Craigslist,
OLX and Quickr. The worldwide market for classified ads in 2014 was estimated at over
$92.1 billion, according to AIM Group.
Statista.com stated that, in 2014, the restaurant industry spent $6.4 billion in advertising,
with $151 million of that spent on Internet display ads. Additionally, the National
Restaurant Association projected that the restaurant industry would employ 14 million
people in 2015 and predicted an increase of 1.7 million jobs by 2025.
The Restaurant Zone’s primary focus is breaking into this sizable advertising space and
tailoring a platform that speaks specifically to the unique needs of the restaurant job
market.
PRODUCT 1
Description
Craigslist
Monster
CareerBuilder
Snagajob
Year1
RESTAURANT JOBS Ads
Source
Craigslist.org and http://www.craigslist.org/about/h
elp/posting_fees
*http://hiring.monster.com/recruitment/jobpostings.aspx
*http://www.careerbuilderforemployers.com/produ
cts/post-job-right-now
*http://www.snagajob.com/employers/post-a-job/
RZ share-0.7%-1% of Craigslist
RZ share-1% of all companies' ads
500,760
1,708,428
Amount
$ 28.73
$ 111,363,600
$395.00
$ 287,912,340
$419.00
$ 209,818,440
$ 89.00
$ 152,050,092
$ 761,144,472
$ 15.00
$
401,131
$ 15.00
$
1,022,062
1%
68,137.44
RESTAURANT EQUIPMENT Ads
Source
Ebay
728,892
26,742
RZ revenue
PRODUCT 2
3,875,664
Average
Price
6,813,744
0.7%
RZ revenue
Year2
#of ads
#of ads
*http://www.ebay.com/sch/Restaurant-Catering/11874/i.html
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361,000
Average
Price
$150.00
Amount
$
54,150,000
Amazon
Year1
*http://www.amazon.com/s/ref=nb_sb_noss?url=se
arch-alias%3Daps&fieldkeywords=restaurant+equipment&rh=i%3Aaps%2
Ck%3Arestaurant+equipment
RZ share-0.5% of Ebay
1,805
RZ share-5% of Ebay
Loopnet
Year1
18,050
RESTAURANT PROPERTY Ads
Source
*http://www.loopnet.com/Restaurants-For-Sale/
RZ share-0.5% of Loopnet
RZ revenue
Year2
4,000
5.99
$
10,812
$
5.99
$
108,120
Price
Amount
$ 366,400,000
$
5.99
$
23,960
$
5.99
$
239,600
Price
Amount
5%
RZ revenue
40,000
GENERAL RESTAURANT Ads
# of
Restaurants
Source
National
restaurants adv
*http://www.statista.com/statistics/245299/advertisi
ng-spending-of-restaurants-in-the-us-by-medium/
Year1
RZ share-0.5% of all restaurants
616,008
$6,400,000,000
0.5%
RZ revenue
Year2
63,975,000
$
#of ads
800,000
0.5%
RZ share-5% of Loopnet
PRODUCT 4
$
5%
RZ revenue
PRODUCT 3
9,825,000
0.5%
RZ revenue
Year2
$
3,080
RZ share-5% of of all restaurants
$
5.99
$
18,449
$
5.99
$
184,494
5%
RZ revenue
30,800
4.1. Market Needs
Presently, the classified ad industry does not offer a platform that specifically caters to
restaurants and food service professionals. Through extensive research, the Restaurant
Zone has identified four unique areas of concern:
1. Restaurant professionals often have difficulty finding an industry-exclusive
classified ad platform for posting and browsing restaurant-related ads. Thus, they
are forced to utilize sites that host a wide variety of industries and categories that
do not serve their immediate interests. This dilutes the effectiveness of industryspecific advertising, lengthens the time a post is left unfound by those it pertains
to and heightens the amount of work required for job seekers to locate desirable
posts amongst inapplicable ones.
2. Content on classified ad sites is often left unmonitored. Users consistently
experience issues involving invalid email responses, illegal scams, frustrating
spam and encountering non-categorical ads. This lessens trust in generic posting
hubs, creates unnecessary confusion in the posting and response process and can
deter top talent prospects.
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3. Users are often affected by distractibility when surfing classified ad sites. User
attention tends to scatter when exposed to various stimuli.
4. Functionality and enhanced features are often very limited on major classified ad
sites and as a result, the experience for both posters and browsers lacks
substantially. Many job boards consist of text-only posting boxes or showcase the
inability to upload documents, or even set a cap on the number of postings an
account can manage at any given time, all of which has a direct effect on users on
both ends of the experience. Our goal is to encourage users to get creative with
their ads.
4.2. Market Segmentation
Initially RZ’s focus will be restaurant/food job ads posting in major cities. Then smaller
cities and towns can be potentially targeted as well, or international territory.
4.3 Positioning
By targeting one industry (restaurants) we believe we have the advantage of single focus.
We have the ability to effectively shape the restaurant industry in various markets
without the concern of juggling numerous advertising categories. Despite minimal
marketing efforts, the Restaurant Zone has built a user base of more than 600 users and is
currently growing steadily, with highly positive reviews garnered from initial users (see
appendix 1.2 for more on site traffic). As the site grows, users will slowly begin to lay the
groundwork for our three major focuses: restaurants, job recruiters and restaurant related
businesses (B2B services):
Restaurants will be the easiest to recruit to our platform. By offering incentives, such as
care packages and free ads, we will be able to streamline our recruitment process to
bolster the initial user pool for the site. Once we establish the value of our service, our
focus will shift to building our base of repeat customers and directing our efforts towards
retention.
We plan to accomplish this by a) creating general ads for restaurants on our site, b)
promoting their brand to current customers and our growing visitor population, c) using
their ad to drive traffic to the restaurant’s website via our social media following and d)
submitting reports to the restaurants to corroborate the flow of traffic. Once this dynamic
has been set, it will become natural for restaurants to use our site for other purposes, i.e.
jobs, equipment, events and more. Our plan to recruit more restaurants as users includes:
1. Establishing a partnership with OLX and incorporating a dual posting feature.
2. Delivering grand care packages to big name restaurants and local celebrity chefs
to incentivize them to use our product.
3. Creating a partnership with the National Restaurant Association and the Culinary
Institute of America, which can provide us with valuable endorsements.
4. Networking and staffing booths at trade shows, restaurant conferences and related
events.
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5. Increasing our social media presence, in addition to PR and advertising
campaigns.
6. Engaging in local door-to-door campaigns, cold calling and emails.
Larger restaurant chains will be the most difficult to recruit to our platform, as they
often want access to large audiences reaching into the millions. As of this writing, we
average 10,000 unique visitors to the Restaurant Zone’s website each month.
To address this challenge we intend on making our product available as a free app and
installing web technologies, such as mobile location tracking, for automatic job matching
searches. As we add more features and focus on marketing we expect our numbers to
reach into the hundreds of thousands and beyond, thus proving the effectiveness of our
platform to those companies that consider concrete data to be the measure of success.
Recruiters will be some of our most important clients. Naturally, job seekers will attract
them and vice versa. Recruiters will continuously use our site if they receive qualified
applicants at a reasonable price. Our team works daily to increase relevant traffic to our
site and as we integrate postings with multiple job boards, have developed a large inhouse resume database. We are confident in the utility of our online resume search
engine.
Additionally, jobs are posted across social media to drive more targeted traffic and
applicants to our job ads. For job seekers, we provide legitimate restaurant jobs and
ensure an easy step-by-step process for searching and applying to these opportunities. To
gain more recruiters as customers we plan on directing our efforts into:
1. Networking at recruiter fairs (i.e. creating new customer relationships and
handing out care packages with free ads).
2. Enhancing our social media connections—particularly taking advantage of
LinkedIn’s premium services to help connect us to credible professionals.
3. Direct sales and marketing through traditional mediums to help drive word of
mouth recognition of our brand and enhance our appeal over traditional online
classified solutions*.
Attracting restaurant related businesses and consumers, such as equipment
buyers/sellers and property brokers, to adopt our product will be moderately challenging.
With our experience in dealing with sellers of restaurant equipment, we have found it
slightly more challenging to attract buyers than to provide a seller’s marketplace. To gain
traction in this market we believe two things will be crucial:
1. Keeping ads for these users affordable and increasing exposure to drive more
traffic towards them.
2. Establishing partnerships with restaurant equipment businesses, which specialize
in purchasing such products.
*Please see appendix 1.2 for more information on traffic tactics & strategy.
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5.0 Marketing Strategy and Implementation
The RZ strategy will be becoming a customer- and market-focused organization, with all
employees sharing responsibility for customer satisfaction.
Planning and implementing specific strategies will be an on-going process. We will consult
with marketing specialists to further refine these efforts as we develop our marketing plan.
5.1 SWOT Analysis
SWOT stands for strengths, weaknesses, opportunities and threats. A SWOT analysis is a
method for strategic planning that evaluates these four elements as they relate to FM’s
business objectives.
5.1.1 Strengths
The Restaurant Zone will capitalize on the following strengths:
• The RZ exclusively serves the restaurant industry and associated parties. The site hosts
categories that encompass restaurant jobs, equipment, property, events, merchandise,
software and more, thus creating a niched, user-friendly posting and browsing experience
that’s tailored and targeted.
• The RZ has customized, sophisticated filters to block spam, scam and irrelevant ads. In
addition, the site has a dedicated team that monitors ads submitted to the site to ensure
quality and relevance.
• The RZ safeguards user attention by limiting the amount of categories they encounter.
Restaurateurs save time through being exposed to fewer distractions and as a result, money is
saved indirectly as well. The site boasts a clean, organized, responsive design and offers
users the shortest route to browsing and post industry-specific ads.
5.1.2 Weaknesses
The RZ is a start-up company in the U.S.A and needs to work hard to establish its business
clientele.
5.1.3 Opportunities
• The classified job ad market is one of the most underrated yet fastest growing industries.
• This does not consider featured ad revenues on other classified ad restaurant categories and
the potential of reaching markets outside of the US.
5.1.4 Threats
• Negative trends in the economy could adversely impact demand for IT business solutions.
• Competition with the established companies such as Craigslist, Monster, CareerBuilder,
and SnagaJob.
5.2 Strategy Pyramid
Our focus initially is we need to make sure to make as much of the site as possible free, to
attract that preliminary boost of traffic to our site and build a large user base. Our main
strategy will be to place emphasis on service and support. Our second strategy is
emphasizing relationships. The tactics are marketing the company (instead of the
products), more regular contacts with the customer, and increasing sales per customer.
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Also, for browsers, the RZ site is 100 percent free. The Restaurant Zone uses a
‘Freemium’ pricing strategy for users who want to post an ad, thus offering free basic ads
in all restaurant categories, with the exception of jobs, which is priced currently at $15
per ad. This represents the base cost for all website “transactions.”
RZ is not exclusively a B2B. We do cater to job seekers because our site connects them
to recruiters. Our social media technology and marketing is also geared towards helping
job seekers get noticed by recruiters. In addition, job seekers may post an ad on our site
and include an attached resume for restaurant employers to see.
5.3 Unique Selling Proposition (USP)
RZ offers its clients peace-of-mind by being a vendor who acts as a strategic ally, and
delivers quality products backed through premium service and support, at a premium price.
5.4 Competitive Edge
Our competitive edge is our positioning as a strategic ally with our clients, who are clients
more than customers. Initially we need to make sure to make as much of the site as
possible free, to attract that preliminary boost of traffic to our site and build a large user
base.
5.5. Promotion and Advertising Strategy
Most of the RZ new users and leads come from word-of-mouth, LinkedIn, social media,
Google searches (e.g. NY food trucks), retargeting campaigns, SEO, targeted opt-in email
lists, Public Relations, distribution partners, Yellowpage business listings (some of these
use Craigslist), and lead generation tools and other trustworthy websites.
5.6 Sales Strategy
RZ utilizes Competition Based Pricing – in which prices are based on the market. To
increase our market share we are focusing on sales and traffic. One of our milestones will
be building the effective sales team by 2016. We are also giving out free ads to
restaurants and allowing them to “try before they buy.” Once we have established a
relationship with restaurants we will show them that we can provide actual results. They
will naturally return to our site if they are happy with the response their ads get. Another
factor to increase our market share we would be providing dedicated support to the
industry and meeting their needs in regards to the platform they are using and building
functionality accordingly. In other words, we will gain customer loyalty via tailored
customer service for the industry.
5.6.1 Sales Forecast
The following table represents the estimated sales from the IT business for the first five years
of operations.
Table 5.6.1 Annual Sales Forecast
INCOME/SALES
Restaurant job ads
Restaurant property ads
Year 1
(2015)
401,120
12,220
Year 2
(2016)
1,020,000
108,000
13
Year 3
(2017)
1,060,800
113,400
Year 4
(2018)
1,103,232
119,070
Year 5
(2019)
1,147,361
125,024
Restaurant equipment ads
General restaurant advertising
Access to the resume database
Google AdSense
Total Income
22,912
18,329
25,475
20,966
501,021
240,000
180,000
168,791
145,801
1,862,592
252,000
189,000
177,231
240,000
2,032,431
264,600
198,450
186,092
288,000
2,159,444
277,830
208,373
195,397
336,000
2,289,984
In 2015 RZ is planning to reach 0.7%-1% of the Craigslist restaurant job ad market,
this will bring the company revenue of at least $401K based on the reduced ad price of
$15 per ad. In 2016 after establishing the effective sales team and hiring two
programmers RZ will increase its sales to 5% of most of internet job ads, which includes
in addition to Craigslist, ads from Monster, CareerBuilder, SnagJob. Then steadily
increase the RZ market share in the third, fourth, and fifth years by 4% in correlation with
the annual restaurant jobs increase based on the Bureau of Labor Statistics information.
RZ plans gradual expanding its business into categories such as restaurant equipment,
property, resumes, and general restaurant ads by taking around 0.5% of these markets in
2015 and increasing its market share by 5% in consecutive years. RZ will charge $5.99
per ad for these categories, which is a way below than the competitors’ prices.
Access to the RZ resume data base will be another source of the revenue stream priced as
$9.99 per order. This price is also much less than competitors’ prices and very affordable.
Therefore, RZ estimates that number of orders will increase from 2,550 in 2015 to 19,559
in 2019. This is very conservative estimation taking into consideration of 616,000
existing restaurants in the U.S.
Finally, the company plans on potentially integrating Google AdSense to monetize its
growing site traffic.
5.6.2. Sales Programs
To motivate staff to attract new clients and increase sales, RZ will give 5% bonus of the total
amount for each new contract in the first year and all consecutive years.
5.7 Legal
The RZ website allows to fill order for ads for its customers. The automatic invoice and
purchase order will be generated by the site.
5.8 Milestones
Following are the Milestones. RZ believes that they will allow the company to meet its
objectives.
Table 5.8 Milestones
Milestones
1 million visitors per month by 2016
$1.8 million in sales by 2016
300,000 restaurant resumes in our database by 2016
100,000 restaurant resumes on our site (search engine) by 2016
App Launch Late 2015 or early 2016
Big name celebrity endorsement by 2017
International Launch early 2016
Logo Re-Design by 2016
14
Date
01/01/16
12/31/16
12/31/16
12/31/16
02/28/16
12/31/17
12/31/16
12/31/16
Hire or promote programmer to CTO by 2016
Build effective sales team by 2016
12/31/16
12/31/16
6.0 Organization and Management
The following section highlights ownership and future staffing expectations of RZ.
6.1 Management Team
Matthew W. Rodgers is Co-Founder and CEO of the Restaurant Zone, specializing in product
development and management of the company. He was formerly an Investment Analyst at
First Republic Bank, where he held his position for four years and successfully created pitch
books and analysis for clients amounting to ~$5 billion in cash flow. Previously, he operated
and ran his own tennis enterprise in Washington D.C. Matthew studied at Loyola University
in Maryland and graduated with a Bachelors in Advertising, as well as Business
Administration minor.
Kenny E. Benavides is Co-Founder and CVO of the Restaurant Zone, specializing in
business development and organizational change and consultation. He was formerly a Sales
Manager and Trainer for Real Social Dynamics and helped build a six-figure mastermind
group in Las Vegas. He received his Graduate Degree from Columbia University in SocialOrganizational Psychology in 2013.
Antonio Lucas is a programming consultant for the Restaurant Zone. He has extensive
know-how in developing e-commerce and classified websites. His 12 years of experience
in PHP, Wordpress, HTML and other languages have been critical in the growth of the
Restaurant Zone’s website. He was formerly CTO for Ser&Tec and software developer
for Datadec S.A. He studied Computer Science Engineering at the University of
Valencia.
6.2 Organizational Structure and Personnel Plan
RZ will hire a Customer Support Associate and a Programmer in 2015. Then one more
Programmer will be hired due to the planned expansion of the business in 2016. The sales
and administrative staff will consists of Bookkeeper/Secretary and two Sales/Marketing
Associates. In 2016 RZ will hire one more Sales/Marketing Associate to build a strong sales
team.
Table 6.2 Personnel Plan
Personnel
I. COS
Customer Service Associate
Programmer
Total I
II. Operations Staff
Senior Management
CEO-Owner 1
CVO-Owner 2
Sales and Administrative
Staff
Bookkeeper/Secretary
Rate
Start
Year 1
Year 2
Year 3
Year 4
Year 5
$24,000/year
$65,000/year, 2 from
Y2
6/1/2015
6,000
24,000
24,480
26,928
29,621
6/1/2015
39,924
45,924
140,000
164,000
154,000
178,480
169,400
196,328
186,340
215,961
$55,000/year
$55,000/year
6/1/2015
6/1/2015
32,083
32,083
55,000
55,000
60,500
60,500
66,550
66,550
73,205
73,205
$30,000/year
12/1/2015
30,000
33,000
36,300
39,930
15
Sales/Marketing Associate
$30,000/yearly plus
5% commission (2
staff in Y1, 3 staff in
Y2-Y5)
7/1/2015
Total II
30,000
90,000
99,000
108,900
119,790
94,167
230,000
253,000
278,300
306,130
7.0 Financial Plan
The following financial plan covers the following:
Required Cost of Start-Up, Profit and Loss, Cash Flow, Balance Sheet, and Financial Ratios.
7.1. Start-Up Costs
The following table represents start-up costs.
Table 7.1 Start-Up Costs/ Source and Use of Funds
Use of Funds
Office Space Leased (one year)
Kickstarter Video Fees
Programming Expenses
Ziprecruiter Software Yearly Expense (one year - till November 2015
Server Cost (WP Engine Professional, one year - till January 2016)
therestaurantzone.com
Workable Expense (one year - till December 2015)
One time Graphic Design Fees
Other Domains
Furniture and Office Equipment
Computer Equipment
Legal Fees
LLC Costs
Business Plan Fees
Expendable Supplies
WiFi (Oct2014-Mar2015 - 6 months)
Utilities (Oct2014-Mar2015 - 6 months)
Office Supplies (pens, staplers, notebooks, etc.)
Other Expenses
Total Start-Up Expenses
16
21,555
4,120
2,748
1,880
990
816
490
110
35
2,317
1,780
4,000
1,223
920
544
472
339
120
541
45,000
7.2 Projections
7.2.1 Projected Balance Sheet
Table 7.2.1 Pro Forma Balance Sheet
Pro Forma Balance Sheet
ASSETS
Current Assets
Cash
Accounts Receivables (security deposit)
Total Current Assets
Year 1
Year 2
Year 3
Year 4
Year 5
534,509
0
534,509
1,503,333
0
1,503,333
2,188,776
0
2,188,776
2,437,624
0
2,437,624
2,656,450
0
2,656,450
Long-Term Assets
Computer & Office Equipment/Furniture
Depreciation allowance
Total Long-Term Assets
4,097
(1,366)
2,732
4,097
(2,732)
1,366
4,097
(4,097)
0
4,097
(1,366)
2,732
4,097
(2,732)
1,366
537,241
1,504,699
2,188,776
2,440,355
2,657,816
10,800
6,070
0
16,870
0
10,936
0
10,936
0
11,863
0
11,863
0
12,876
0
12,876
0
13,983
0
13,983
0
0
0
0
0
16,870
10,936
11,863
12,876
13,983
TOTAL OWNER’s EQUITY
520,371
1,493,763
2,176,913
2,427,479
2,643,833
TOTAL LIABILITIES and OWNER'S EQUITY
537,241
1,504,699
2,188,776
2,440,355
2,657,816
TOTAL ASSETS
LIABILITIES
Current Liabilities
Debt
Payroll Taxes (for Qtr IV)
Income Tax Payable
Total Current Liabilities
Long-Term Liabilities
TOTAL LIABILITIES
FIXED ASSETS (cost more $100 & useful
life more than 1 year)
Computer Equipment
Matt's MacBook Pro
Acer Screen
Kenny's MacBook Air
Office Printer
Total Computer Equipment
Furniture and Office Equipment
Sofa
Panasonic Lumix Camera
Panasonic Lens
Camera Equipment
Nikon D7000
Insignia 42 Inch TV
Total Furniture and Office Equipment
TOTAL
Useful
life
Monthly
depreciation
850
130
650
150
1,780
3 years
3 years
3 years
3 years
24
4
18
4
49
549
701
199
300
400
168
2,317
3 years
3 years
3 years
3 years
3 years
3 years
15
19
6
8
11
5
64
Cost
4,097.34
113.82
17
7.2.2 Summary Projected Profit and Loss
The pro forma profit and loss is based on the five years associated with the rental properties.
INCOME/SALES
TOTAL INCOME
Year 1
501,021
Year 2
1,862,592
Year 3
2,032,431
Year 4
2,159,444
Year 5
2,289,984
990
1,880
490
816
6,000
39,924
6,360
56,460
6,600
5,000
2,999
10
24,000
140,000
22,714
201,323
10,000
5,000
2,999
10
26,400
154,000
24,985
223,394
15,000
5,000
2,999
10
29,040
169,400
27,484
248,933
20,000
5,000
2,999
10
31,944
186,340
30,232
276,525
GROSS PROFIT
444,561
1,661,269
1,809,036
1,910,511
2,013,459
OPERATING EXPENSES
Salaries and Wages
Sales commision
Payroll Taxes
Insurance
Marketing Expenses
Professional Services (accounting and other)
Office Rent
Depreciation - Furniture and Office Equipment
Depreciation - Computer Equipment
Wifi
Utilities
Office Supplies
Other expenses
Legal fees
Kickstarter Video Fees
LLC Costs
One time Graphic Design Fees
Business Plan Fees
TOTAL OPERATING EXPENSES
94,167
4,931
13,725
600
600
600
21,555
772
593
944
678
240
1,200
4,000
4,120
1,223
110
920
150,979
230,000
85,840
43,744
1,224
1,224
1,224
21,986
772
593
963
692
245
1,224
4,080
0
0
0
0
393,811
253,000
89,622
47,453
1,248
1,248
1,248
22,426
772
593
983
705
250
1,248
4,162
0
0
0
0
424,959
278,300
93,572
51,504
1,273
1,273
1,273
22,874
772
593
1,002
719
255
1,273
4,245
0
0
0
0
458,932
306,130
97,699
55,930
1,299
1,299
1,299
23,332
772
593
1,022
734
260
1,299
4,330
0
0
0
0
495,998
NET INCOME BEFORE TAX
Federal Income Tax
State Income Tax
NET PROFIT
293,582
0
0
293,582
1,267,458
0
0
1,267,458
1,384,077
0
0
1,384,077
1,451,580
0
0
1,451,580
1,517,460
0
0
1,517,460
COST OF SALES (COS)
Server Cost (WP Engine Professional) - yearly
Ziprecruiter Software Yearly Expense
Workable Yearly Expense
therestaurantzone.com
Customer service
Programming Expenses
Payroll Taxes
TOTAL COST OF SALES (COS)
7.2.3 Federal and New York State Income Tax
LLC do not pay federal and New York State income taxes, so LLC income is taxed at a single level –
to the members.
Page 18
Table 7.2.4 Pro Forma Annual Profit and Loss
Pro Forma Profit and Loss
Year 1
Jan
INCOME/SALES
Restaurant job ads
Restaurant property ads
Restaurant equipment ads
General restaurant advertising
Access to the resume database
Google Adsense
Subtotal Income
Less discounts
TOTAL INCOME
COST OF SALES (COS)
Server Cost (WP Engine Professional) yearly
Ziprecruiter Software Yearly Expense
Workable Yearly Expense
therestaurantzone.com
Customer service
Programming Expenses
Payroll Taxes
TOTAL COST OF SALES (COS)
GROSS PROFIT
OPERATING EXPENSES
Salaries and Wages
Sales commission
Payroll Taxes
Insurance
Marketing Expenses
Professional Services (accounting and other)
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Total
Year 1
0
0
0
0
0
10
10
0
10
0
0
0
0
0
12
12
0
12
280
0
0
0
0
300
580
0
580
840
0
0
0
0
420
1,260
0
1,260
10,000
48
90
72
100
588
10,898
0
10,898
20,000
96
180
144
200
823
21,442
0
21,442
40,000
192
359
288
400
1,152
42,391
0
42,391
50,000
383
719
575
799
1,613
54,090
0
54,090
60,000
767
1,438
1,150
1,598
2,259
67,212
0
67,212
65,000
1,533
2,875
2,300
3,197
3,162
78,068
0
78,068
75,000
3,067
5,750
4,600
6,394
4,427
99,239
0
99,239
80,000
6,134
11,501
9,201
12,787
6,198
125,821
0
125,821
401,120
12,220
22,912
18,329
25,475
20,966
501,021
0
501,021
83
157
41
68
83
157
41
68
83
157
41
68
83
157
41
68
83
157
41
68
83
157
41
68
229
32
609
229
32
609
229
32
609
229
32
609
4,876
675
5,899
4,876
675
5,899
83
157
41
68
1,000
4,876
814
7,038
83
157
41
68
1,000
4,876
814
7,038
83
157
41
68
1,000
4,876
814
7,038
83
157
41
68
1,000
4,876
814
7,038
83
157
41
68
1,000
4,876
814
7,038
83
157
41
68
1,000
4,876
814
7,038
990
1,880
490
816
6,000
39,924
6,360
56,460
(599)
(597)
(29)
651
4,998
15,543
35,353
47,052
60,174
71,030
92,201
118,783
444,561
0
13,452
1,031
2,006
13,452
62
1,872
13,452
124
1,880
13,452
248
1,897
13,452
495
1,932
13,452
991
2,000
13,452
1,981
2,138
94,167
4,931
13,725
100
100
100
100
100
100
100
100
100
100
100
100
100
100
100
100
100
100
600
600
600
0
0
0
0
Office Rent
Depreciation - Furniture and Office
Equipment
Depreciation - Computer Equipment
Wi-Fi
Utilities
Office Supplies
Other expenses
Legal fees
Kickstarter Video Fees
LLC Costs
One time Graphic Design Fees
Business Plan Fees
TOTAL OPERATING EXPENSES
NET INCOME BEFORE TAX
Federal Income Tax
State Income Tax
NET PROFIT
1,796
1,796
1,796
1,796
1,796
1,796
1,796
1,796
1,796
1,796
1,796
1,796
21,555
64
49
79
57
20
100
333
343
102
9
77
3,030
64
49
79
57
20
100
333
343
102
9
77
3,030
64
49
79
57
20
100
333
343
102
9
77
3,030
64
49
79
57
20
100
333
343
102
9
77
3,030
64
49
79
57
20
100
333
343
102
9
77
3,030
64
49
79
57
20
100
333
343
102
9
77
19,519
64
49
79
57
20
100
333
343
102
9
77
18,716
64
49
79
57
20
100
333
343
102
9
77
18,786
64
49
79
57
20
100
333
343
102
9
77
18,927
64
49
79
57
20
100
333
343
102
9
77
19,209
64
49
79
57
20
100
333
343
102
9
77
19,773
64
49
79
57
20
100
333
343
102
9
77
20,901
772
593
944
678
240
1,200
4,000
4,120
1,223
110
920
150,979
(3,628)
(3,626)
(3,058)
(2,378)
1,969
(3,976)
16,637
28,266
41,247
51,821
72,428
97,882
(3,628)
(3,626)
(3,058)
(2,378)
1,969
(3,976)
16,637
28,266
41,247
51,821
72,428
97,882
293,582
0
0
293,582
Pro Forma Profit and Loss
INCOME/SALES
Restaurant job ads
Restaurant property ads
Restaurant equipment ads
General restaurant advertising
Access to the resume database
Google Adsense
Subtotal Income
Less discounts
TOTAL INCOME
COST OF SALES (COS)
Server Cost (WP Engine Professional) -
Year 2
Total
Year 2
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
85,000
9,000
20,000
15,000
14,066
6,818
149,884
85,000
9,000
20,000
15,000
14,066
7,500
150,566
85,000
9,000
20,000
15,000
14,066
8,250
151,316
85,000
9,000
20,000
15,000
14,066
9,075
152,141
85,000
9,000
20,000
15,000
14,066
9,982
153,048
85,000
9,000
20,000
15,000
14,066
10,981
154,047
85,000
9,000
20,000
15,000
14,066
12,079
155,145
85,000
9,000
20,000
15,000
14,066
13,287
156,353
85,000
9,000
20,000
15,000
14,066
14,615
157,681
85,000
9,000
20,000
15,000
14,066
16,077
159,143
85,000
9,000
20,000
15,000
14,066
17,685
160,750
85,000
9,000
20,000
15,000
14,066
19,453
162,519
149,884
150,566
151,316
152,141
153,048
154,047
155,145
156,353
157,681
159,143
160,750
162,519
1,020,000
108,000
240,000
180,000
168,791
145,801
1,862,592
0
1,862,592
550
550
550
550
550
550
550
550
550
550
550
550
6,600
20
yearly
Ziprecruiter Software Yearly Expense
Workable Yearly Expense
therestaurantzone.com
Customer service
Programming Expenses
Payroll Taxes
TOTAL COST OF SALES (COS)
GROSS PROFIT
OPERATING EXPENSES
Salaries and Wages
Sales commission
Payroll Taxes
Insurance
Marketing Expenses
Professional Services (accounting and other)
Office Rent
Depreciation - Furniture and Office
Equipment
Depreciation - Computer Equipment
Wi-Fi
Utilities
Office Supplies
Other expenses
Legal fees
TOTAL OPERATING EXPENSES
NET INCOME BEFORE TAX
Federal Income Tax
State Income Tax
NET PROFIT
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,667
1,893
16,777
417
250
1
2,000
11,663
1,892
16,773
5,000
2,999
10
24,000
140,000
22,714
201,323
133,107
133,789
134,539
135,364
136,271
137,269
138,367
139,575
140,904
142,365
143,973
145,746
1,661,269
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
19,167
7,153
3,645
230,000
85,840
43,744
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
102
102
102
1,832
1,224
1,224
1,224
21,986
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
64
49
80
58
20
102
340
32,818
772
593
963
692
245
1,224
4,080
393,811
100,289
100,971
101,721
102,546
103,454
104,452
105,550
106,758
108,086
109,548
111,156
112,929
100,289
100,971
101,721
102,546
103,454
104,452
105,550
106,758
108,086
109,548
111,156
112,929
1,267,458
0
0
1,267,458
21
Pro Forma Profit and Loss
INCOME/SALES
Restaurant job ads
Restaurant property ads
Restaurant equipment ads
General restaurant advertising
Access to the resume database
Google Adsense
Subtotal Income
Less discounts
TOTAL INCOME
COST OF SALES (COS)
Server Cost (WP Engine Professional) yearly
Ziprecruiter Software Yearly Expense
Workable Yearly Expense
therestaurantzone.com
Customer service
Programming Expenses
Payroll Taxes
TOTAL COST OF SALES (COS)
GROSS PROFIT
OPERATING EXPENSES
Salaries and Wages
Sales commission
Payroll Taxes
Insurance
Marketing Expenses
Professional Services (accounting and other)
Office Rent
Depreciation - Furniture and Office
Equipment
Year 3
Total
Year 3
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
88,400
9,450
21,000
15,750
14,769
20,000
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
1,060,800
113,400
252,000
189,000
177,231
240,000
2,032,431
0
2,032,431
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
833
417
250
1
2,200
12,833
2,082
18,616
10,000
5,000
2,999
10
26,400
154,000
24,985
223,394
150,753
150,753
150,753
150,753
150,753
150,753
150,753
150,753
150,753
150,753
150,753
150,753
1,809,036
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
21,083
7,468
3,954
253,000
89,622
47,453
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
104
104
104
1,869
1,248
1,248
1,248
22,426
64
64
64
64
64
64
64
64
64
64
64
64
772
22
Depreciation - Computer Equipment
Wi-Fi
Utilities
Office Supplies
Other expenses
TOTAL OPERATING EXPENSES
NET INCOME BEFORE TAX
Federal Income Tax
State Income Tax
NET PROFIT
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
49
82
59
21
104
35,413
593
983
705
250
1,248
424,959
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
115,340
1,384,077
0
0
1,384,077
Total
Year 4
Pro Forma Profit and Loss
INCOME/SALES
Restaurant job ads
Restaurant property ads
Restaurant equipment ads
General restaurant advertising
Access to the resume database
Google Adsense
Subtotal Income
Less discounts
TOTAL INCOME
COST OF SALES (COS)
Server Cost (WP Engine Professional) yearly
Ziprecruiter Software Yearly Expense
Workable Yearly Expense
therestaurantzone.com
Customer service
Programming Expenses
Payroll Taxes
TOTAL COST OF SALES (COS)
Year 4
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
91,936
9,923
22,050
16,538
15,508
24,000
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
1,103,232
119,070
264,600
198,450
186,092
288,000
2,159,444
0
2,159,444
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
1,250
417
250
1
2,420
14,117
2,290
20,744
15,000
5,000
2,999
10
29,040
169,400
27,484
248,933
23
GROSS PROFIT
OPERATING EXPENSES
Salaries and Wages
Sales commission
Payroll Taxes
Insurance
Marketing Expenses
Professional Services (accounting and other)
Office Rent
Depreciation - Furniture and Office
Equipment
Depreciation - Computer Equipment
Wi-Fi
Utilities
Office Supplies
Other expenses
TOTAL OPERATING EXPENSES
NET INCOME BEFORE TAX
Federal Income Tax
State Income Tax
NET PROFIT
159,209
159,209
159,209
159,209
159,209
159,209
159,209
159,209
159,209
159,209
159,209
159,209
1,910,511
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
23,192
7,798
4,292
278,300
93,572
51,504
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
106
106
106
1,906
1,273
1,273
1,273
22,874
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
64
49
84
60
21
106
38,244
772
593
1,002
719
255
1,273
458,932
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
120,965
1,451,580
0
0
1,451,580
Total
Year 5
Pro Forma Profit and Loss
INCOME/SALES
Restaurant job ads
Restaurant property ads
Restaurant equipment ads
General restaurant advertising
Access to the resume database
Google Adsense
Subtotal Income
Less discounts
TOTAL INCOME
Year 5
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
95,613
10,419
23,153
17,364
16,283
28,000
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
24
1,147,361
125,024
277,830
208,373
195,397
336,000
2,289,984
0
2,289,984
COST OF SALES (COS)
Server Cost (WP Engine Professional) yearly
Ziprecruiter Software Yearly Expense
Workable Yearly Expense
therestaurantzone.com
Customer service
Programming Expenses
Payroll Taxes
TOTAL COST OF SALES (COS)
GROSS PROFIT
OPERATING EXPENSES
Salaries and Wages
Sales commission
Payroll Taxes
Insurance
Marketing Expenses
Professional Services (accounting and other)
Office Rent
Depreciation - Furniture and Office
Equipment
Depreciation - Computer Equipment
Wi-Fi
Utilities
Office Supplies
Other expenses
TOTAL OPERATING EXPENSES
NET INCOME BEFORE TAX
Federal Income Tax
State Income Tax
NET PROFIT
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
1,667
417
250
1
2,662
15,528
2,519
23,044
20,000
5,000
2,999
10
31,944
186,340
30,232
276,525
167,788
167,788
167,788
167,788
167,788
167,788
167,788
167,788
167,788
167,788
167,788
167,788
2,013,459
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
25,511
8,142
4,661
306,130
97,699
55,930
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
108
108
108
1,944
1,299
1,299
1,299
23,332
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
64
49
85
61
22
108
41,333
772
593
1,022
734
260
1,299
495,998
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
126,455
1,517,460
0
0
1,517,460
25
7.2.5 Projected Cash Flow
The statement of cash flow shows the incoming and outgoing cash of the business.
Table 7.2.5 Pro Forma Cash Flow
Year 1
Pro Forma Cash Flow
CASH RECEIPTS
In
Income
USES of CASH
COS
Office Rent Deposit
Operating Expenses
Computer & Office Equipment,
Furniture
Debt payment
Tax Payments for Previous
Year
Profit Share
Total CASH OUT
Net Change in Cash
Plus Beginning Cash on Hand
Capital Contribution
Ending Cash on Hand
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Total
Year 1
10
12
580
1,260
10,898
21,442
42,391
54,090
67,212
78,068
99,239
125,821
501,021
609
609
609
609
5,899
5,899
7,038
7,038
7,038
7,038
7,038
7,038
2,916
2,916
2,916
2,916
2,916
19,405
18,602
18,672
18,813
19,095
19,659
20,787
56,460
0
149,614
4,097
4,097
10,800
7,622
3,525
3,525
3,525
8,815
36,104
25,640
25,710
25,851
26,133
26,697
90,000
117,825
(7,612)
0
44,459
36,847
(3,513)
36,847
(2,945)
33,335
(2,265)
30,390
(14,662)
330,208
16,751
315,546
28,380
332,297
41,360
360,676
51,935
402,037
72,542
453,972
7,996
526,513
33,335
30,390
28,125
2,082
28,125
300,000
330,208
315,546
332,297
360,676
402,037
453,972
526,513
534,509
26
0
90,000
310,971
190,050
0
344,459
534,509
Year 2
Pro Forma Cash Flow
CASH RECEIPTS
In
Income
USES of CASH
COS
Office Rent Deposit
Operating Expenses
Profit Share
Total CASH OUT
Net Change in Cash
Plus Beginning Cash on Hand
Capital Contribution
Ending Cash on Hand
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Total
Year 2
Jan
Feb
Mar
Apr
149,884
150,566
151,316
152,141
153,048
154,047
155,145
156,353
157,681
159,143
160,750
162,519
1,862,592
16,777
16,777
16,777
16,777
16,777
16,777
16,777
16,777
16,777
16,777
16,777
16,773
32,704
32,704
32,704
32,704
32,704
32,704
32,704
32,704
32,704
32,704
32,704
49,481
49,481
49,481
49,481
49,481
49,481
49,481
49,481
49,481
49,481
49,481
32,704
300,000
349,476
201,323
0
392,445
300,000
893,768
100,403
534,509
0
634,912
101,085
634,912
101,835
735,997
102,660
837,832
103,567
940,492
104,566
1,044,059
105,664
1,148,624
106,872
1,254,288
108,200
1,361,160
109,662
1,469,360
111,269
1,579,021
(186,958)
1,690,291
735,997
837,832
940,492
1,044,059
1,148,624
1,254,288
1,361,160
1,469,360
1,579,021
1,690,291
1,503,333
Oct
Nov
Dec
968,824
534,509
0
1,503,333
Year 3
Pro Forma Cash Flow
CASH RECEIPTS
In
Income
USES of CASH
COS
Office Rent Deposit
Operating Expenses
Profit Share
Total CASH OUT
Net Change in Cash
Plus Beginning Cash on
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Total
Year 3
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
169,369
2,032,431
18,616
18,616
18,616
18,616
18,616
18,616
18,616
18,616
18,616
18,616
18,616
18,616
35,299
35,299
35,299
35,299
35,299
35,299
35,299
35,299
35,299
35,299
35,299
53,916
53,916
53,916
53,916
53,916
53,916
53,916
53,916
53,916
53,916
53,916
35,299
800,000
853,916
223,394
0
423,594
800,000
1,446,988
115,454
1,503,33
115,454
1,718,78
115,454
1,834,24
115,454
1,949,69
115,454
2,065,14
115,454
2,180,60
115,454
2,296,05
115,454
2,411,50
115,454
2,526,96
115,454
2,642,41
115,454
2,757,86
(684,546
)
2,873,32
585,443
1,503,333
27
Hand
Capital Contribution
Ending Cash on Hand
3
7
0
4
7
1
5
8
2
5
9
2
100,000
1,718,78
7
1,834,24
0
1,949,69
4
2,065,14
7
2,180,60
1
2,296,05
5
2,411,50
8
2,526,96
2
2,642,41
5
2,757,86
9
2,873,32
2
2,188,77
6
2,188,776
Aug
Sep
Oct
Nov
Dec
Total
Year 4
100,000
Year 4
Pro Forma Cash Flow
CASH RECEIPTS
In
Income
USES of CASH
COS
Office Rent Deposit
Operating Expenses
Computer & Office
Equipment, Furniture
Profit Share
Total CASH OUT
Net Change in Cash
Plus Beginning Cash on
Hand
Capital Contribution
Ending Cash on Hand
Jan
Feb
Mar
179,954
179,954
179,954
20,744
20,744
38,130
38,130
Apr
May
Jun
Jul
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
179,954
2,159,444
20,744
20,744
20,744
20,744
20,744
20,744
20,744
20,744
20,744
20,744
38,130
38,130
38,130
38,130
38,130
38,130
38,130
38,130
38,130
38,130
248,933
0
457,566
4,097
4,097
62,972
58,875
58,875
58,875
58,875
58,875
58,875
58,875
58,875
58,875
58,875
116,981
2,188,77
6
121,079
2,305,75
7
121,079
2,426,83
6
121,079
2,547,91
5
121,079
2,668,99
4
121,079
2,790,07
2
121,079
2,911,15
1
121,079
3,032,23
0
121,079
3,153,30
9
121,079
3,274,38
7
121,079
3,395,46
6
2,305,75
7
2,426,83
6
2,547,91
5
2,668,99
4
2,790,07
2
2,911,15
1
3,032,23
0
3,153,30
9
3,274,38
7
3,395,46
6
3,516,54
5
1,200,000
1,258,875
1,200,000
1,910,596
(1,078,921
)
248,848
3,516,545
2,188,776
0
2,437,624
2,437,624
Year 5
Pro Forma Cash Flow
CASH RECEIPTS
In
Income
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
190,832
28
Dec
190,832
Total
Year 5
2,289,984
USES of CASH
COS
Office Rent Deposit
Operating Expenses
Computer & Office
Equipment, Furniture
Debt payment
Tax Payments for Previous
Year
Profit Share
Total CASH OUT
Net Change in Cash
Plus Beginning Cash on
Hand
Capital Contribution
Ending Cash on Hand
23,044
23,044
23,044
23,044
23,044
23,044
23,044
23,044
23,044
23,044
23,044
23,044
41,219
41,219
41,219
41,219
41,219
41,219
41,219
41,219
41,219
41,219
41,219
41,219
276,525
0
494,633
0
0
64,263
64,263
64,263
64,263
64,263
64,263
64,263
64,263
64,263
64,263
64,263
126,569
2,437,62
4
126,569
2,564,19
3
126,569
2,690,76
1
126,569
2,817,33
0
126,569
2,943,89
9
126,569
3,070,46
8
126,569
3,197,03
7
126,569
3,323,60
6
126,569
3,450,17
4
126,569
3,576,74
3
126,569
3,703,31
2
2,564,19
3
2,690,76
1
2,817,33
0
2,943,89
9
3,070,46
8
3,197,03
7
3,323,60
6
3,450,17
4
3,576,74
3
3,703,31
2
3,829,88
1
29
1,300,000
1,364,263
0
1,300,000
2,071,158
(1,173,431
)
218,826
3,829,881
2,437,624
0
2,656,450
2,656,450
7.3 Business Ratios
The ratios demonstrates that RZ is well capitalized, has a low leverage position and has a good liquidity. RZ compares more favorably to its
peers due to the owner’s injection in equity in Year 1.
Ratio Analysis
Financial Ratios
1. Liquidity Analysis
Balance Sheet
a. Net Working Capital
b. Current Ratio
c. Quick Ratio
Current Assets-Current Liabilities
Current Assets/Current Liabilities
(Current Assets-Inventory)/Current Liabilities
2. Profitability Analysis
a. Gross Profit Margin
b. Operating Profit Margin
c. Net Profit Margin
Profit and Loss Statement
Gross Profit/Sales
Net Income before Interest and Taxes/Sales
Net Profits/Sales
3. Debt Ratios
a. Debt to Assets
b. Debt to Equity
Balance Sheet
Total Liabilities/Total Assets
Total Liabilities/Total Owner's Equity
4. Measures of Investment
a. ROI (Return On Investment)
Profit and Loss Statement, Balance Sheet
Net Profit/Total Assets
5. Vertical Financial Statement Analysis
a. Profit and Loss Statement
Sales
Cost of Sales
Gross Profit
Operating Income
Net Profit Before Tax
Profit and Loss Statement
b. Balance Sheet
Cash
Accounts Receivables
Total Current Assets
Total Long-Term Assets
Formula
Sales/Sales
Cost of Sales/Sales
Gross Profit/Sales
Operating Income/Sales
Net Profit Before Tax/Sales
Cash/Total Assets
Accounts Receivables/Total Assets
Total Current Assets/Total Assets
Total Long-Term Assets/Total Assets
Year 1
Year 2
Year 3
Year 4
Year 5
517,63
9
31.68
31.68
1,492,39
7
137.47
137.47
2,176,91
3
184.50
184.50
2,424,74
8
189.31
189.31
2,642,46
7
189.98
189.98
89%
59%
59%
89%
68%
68%
89%
68%
68%
88%
67%
67%
88%
66%
66%
3%
3%
1%
1%
1%
1%
1%
1%
1%
1%
55%
84%
63%
59%
57%
100%
11%
89%
59%
59%
100%
11%
89%
68%
68%
100%
11%
89%
68%
68%
100%
12%
88%
67%
67%
100%
12%
88%
66%
66%
99%
0%
99%
1%
100%
0%
100%
0%
100%
0%
100%
0%
100%
0%
100%
0%
100%
0%
100%
0%
Total Assets
Payroll Taxes
Taxes Payable
Total Current Liabilities
Long-Term Liabilities
Total Liabilities
Owner's Equity
Total Liability and Owner's Equity
Total Assets/Total Assets
Payroll Taxes/Total Liability and Owner's Equity
Taxes Payable/Total Liability and Owner's Equity
Total Current Liabilities/Total Liability and Owner's Equity
Long-Term Liabilities/Total Liability and Owner's Equity
Total Liabilities/Total Liability and Owner's Equity
Owner's Equity/Total Liability and Owner's Equity
Total Liability and Owner's Equity/Total Liability and Owner's Equity
100%
1%
0%
3%
0%
3%
97%
100%
31
100%
1%
0%
1%
0%
1%
99%
100%
100%
1%
0%
1%
0%
1%
99%
100%
100%
1%
0%
1%
0%
1%
99%
100%
100%
1%
0%
1%
0%
1%
99%
100%
Appendix I. Emerging Markets and International Developed Markets
We believe classified advertising within emerging markets is presenting some very
interesting trends. Online platforms for selling goods and services have been
exponentially growing in popularity in countries like India, for example. Many Indians
have taken a liking towards e-commerce and online classified advertising. A sizeable
majority of them prefer to post ads or purchase off of classifieds sites. They find that
transacting face-to-face can be more appealing than utilizing an e-commerce platform.
Thus, there is a huge demand for classified advertising that meets this particular need. For
instance, in rural India people are going as far as posting cows and buffalos for sale on
classifieds sites. This may explain the success of companies like OLX and Quickr.
Use of the Internet and phone applications in Emerging Markets is growing rapidly.
When it comes to classified advertising in these markets, one must consider the Big
Five—Craigslist, Axel Springer, eBay Classifieds Group, Naspers and Schibsted—which
are competing across the globe to capture the attention and profits of audiences. Other
classifieds sites like El Tiempo (Colombia), Ala Maula (Argentina), Orkut (Brazil),
Tablica (Poland) and Junk Mail (South Africa) are worthy notables as well. Generally
speaking, millions of dollars in venture capital is flowing into the smaller players that
participate in this market.
If funding meets our expectations, we plan on targeting lucrative opportunities abroad
and assessing which regions will lead to maximized profits and increased growth for the
Restaurant Zone. By targeting one industry (restaurants) we believe we have the
advantage of single focus. We have the ability to effectively shape the restaurant industry
in various international and emerging countries without the concern of juggling multiple
advertising zones. Expansion will be within our niche. Our services will be free for all
regions abroad, similar to what we offer in the U.S. Post-funding, we expect to test the
markets in India, Latin America and Southeast Asia.
Appendix II. Traffic
With minimal marketing and advertising, our site has grown by several thousand visitors
every month since its unofficial launch. On December 2014 we received approximately
3,000 visitors and in March 2015 we broke 13,500 visitors. With capital investments and
a full-time commitment from the Restaurant Zone team, our goal is to hit 1,000,000
visitors per month by March 2016.
We plan on launching a Kickstarter campaign in April 2015 to drive more traffic to our
platform, increase brand awareness and reap potential SEO benefits. Kickstarter is a
prolific crowdfunding site where donors can contribute capital and share our project over
social media. We also see it as an opportunity to further test our markets and observe
what the restaurant industry responds to. A professional video production team was hired
to create a high quality video to explain how our website platform works and highlight
the myriad of benefits and features. It will be an effective way of getting support from
family, friends, blogs, media and or target demographic, restaurants. Our ultimate goal
with the Kickstarter project is to get our audience to spread the word through grassroots
marketing.
Other tactics and campaigns to help increase the reach of our growing platform include:
Classified ads: The more listings we are able to get on our site, the more likely we will
increase organic traffic to our site, based purely on the activity that is so relevant to
modern SEO. Part of the reason why we have made many categories free is to attract
more listings to our site. For instance, if we were able to successfully accumulate one
million restaurant-related resumes on our site, we would attract copious amounts of
restaurant recruiters and restaurants to our site, seeking talent—all free of charge. The
idea is that the natural ecosystem of our platform would motivate these visitors to also
post jobs on our site as well.
Blog content: In modern SEO practices, original content is widely regarded as king. Our
team publishes daily articles related to news in the industry, restaurant equipment,
restaurant job tips, appealing recipes and more, which we believe is critical to increasing
brand awareness and getting placed in search engines to gradually attract referral traffic
from Google, Yahoo and Bing,. Moreover, we list “Featured Ads Of The Day” alongside
each article published, which helps drive traffic to our main site.
Social media: Currently, we have 4,000 connections on LinkedIn, 3,300 followers on
Twitter and 1,124 likes on Facebook. Even with this level of followers, we are noticing
significant traffic coming from these sites—especially when cross promoting original
content. We often attract a diverse group of users who are interested in free ads, paid ads,
and of course, browsing ads. We believe we can continue to draw in the restaurant
industry by building upon our social media presence.
33
Appendix III. Bureau of Labor Statistics, Economic News Release
THE EMPLOYMENT SITUATION -- MARCH 2015
Employment in food services and drinking places changed little in March (+9,000), following a large increase in the prior month (+66,000). Job
growth in the first quarter of 2015 averaged 33,000 per month, the same as the average monthly gain in 2014.
Employment, Hours, and Earnings from the Current Employment Statistics survey (National)
Series Id: CEU7072200001
Not Seasonally Adjusted
Super Sector: Leisure and hospitality
Industry:
Food services and drinking places
NAICS Code: 722
Data Type: ALL EMPLOYEES, THOUSANDS
Year
Jan
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2005
8704.2
Feb
8759.8
Mar
8909.3
9087.7
9225.9
9351.5
9342.7
9354.7
9204.6
9119.4
9091.9
9101.4
2006
8925.7
8995.3
9159.6
9312.1
9451.2
9559.4
9573.6
9591.7
9440.9
9395.3
9389.7
9392.9
2007
9198.6
9254.7
9380.9
9541.0
9722.1
9836.5
9818.8
9829.0
9696.8
9634.9
9596.9
9575.1
2008
9339.1
9377.2
9493.5
9619.9
9762.4
9859.1
9847.2
9832.9
9655.2
9542.0
9451.1
9390.8
2009
9156.4
9155.5
9260.4
9394.2
9584.1
9675.6
9649.8
9629.6
9454.6
9348.0
9279.4
9198.6
2010
8987.9
9003.3
9159.4
9343.0
9506.1
9589.9
9566.2
9603.5
9519.4
9458.9
9403.3
9368.6
2011
9132.1
9218.6
9396.3
9605.8
9768.7
9873.1
9835.5
9876.5
9770.6
9723.4
9714.2
9682.3
2012
9467.4
9564.4
9754.8
9935.3 10102.1 10192.2 10165.7 10224.6 10145.3 10075.3 10030.4
10037.8
2013
9809.5
9912.4
10076.6 10290.0 10490.6 10611.3 10619.1 10653.0 10521.9 10471.2 10448.8
10406.2
2014
10187.8
10242.2
10434.2 10648.8 10855.1 10974.4 10951.4 10984.6 10875.2 10845.1 10805.5
10800.2
2015
10576.6 10684.1(P) 10847.4(P)
P : preliminary