Royal Fast Food Business Plan Muhammad Haris Niaz Executive summary Food is always the success. Tasty food attracts people which in turn attract more people. The Royal Fast food, (“the Company”) Aims to provide a quality and healthy food to there customers. We have targeted students, professionals and families. Initially we start as a small business and have plan to further expand our business in the future as mobile restaurant has a great potential market and growth opportunities. Royal Fast food is a great place to eat, combining an exciting atmosphere with excellent, interesting food. The mission is not only to have great tasting food, but have efficient and friendly service because customer satisfaction is supreme. We want to be the restaurant choice for all families and singles, young and old, male or female. Employee welfare will be equally important to our success. Everyone will be treated fairly and with the utmost respect. We want our employees to feel a part of the success of Royal Fast food’s Restaurant. Happy employees make happy guests. The service will be relaxed, very friendly and correct. We have the best people available for our day to day operation, and thereby retaining the friendliest most efficient staff possible. Our management team is comprised of individuals whose backgrounds consist of well experience in food, restaurant and hotel, catering, management, finance, marketing. Most important to us is our financial success and we believe this will be achieved by offering high-quality service and excellent food with an interesting twist. We have created financial projections based on our experience and knowledge of the area. With a start-up cost of €10000 we can generate sales over € 180,000 by the end of year one, and a profit of around €65,000. We will combine menu variety, atmosphere, ambiance, special theme nights and a friendly staff to create a sense of 'place' in order to reach our goal of overall value in the dining/entertainment experience. We want fair profits for the owners, and a rewarding place to work for the employees. 2|Page Description Of Venture Fast Food business is an Innovative concept of introducing Pakistani taste for Norway but as per international market it is a growing and established business. Food is always been a success. Quality and tasty food attracts people like flowers attract bees. Royal Fast Food is going to start as a small business which will be later on expanded as there is a great growth opportunity. Studying the culture and society we have build a perfect delicious menu by employing best staff and looking after not only the business but the staff and the customers also. Quality utensils and assets are our strength of which the productivity is increased by fresh and healthy ingredients of cooking. Product: Fast food Restaurant "Royal Fast food" A fast food is venue that sells quality food. Royal Fast Food aims to cater events (carnivals, construction sites, sporting events etc.) where potential customers gather, and places of regular work or study – college campuses, office complexes, industrial parks, auto repair shops, movie sets, military bases, etc. – where potential customers require regular meals or snacks. Royal Fast Food dining as a popular phenomenon has caught on in several U.S. cities including District of Columbia, New York, Houston, Los Angeles, San Francisco, Seattle, Saint Louis, and Tampa and we implement the same concept of Fast food in Norway . Product Line Our restaurant provides variety of food which includes Hamburger French fries fried chicken Waffle Chicken nuggets Chicken sandwich Onion ring Fish and chips Chicken roast Chicken wings Chicken Popeye Chicken shawarma Chinese desserts beverages Chicken Steaks 3|Page Cheese fries Pancake Wrap chicken Chicken meat Balls Chicken paratha Chicken double burger We also provide starters to our customers. Services: Services include Delivery take-away served hot freshly cooked Moving on events like concerts, sports events etc. special offers on Eids and holidays Special orders like picnics, trips on weekends. Dine-in on the roof and upper portion on double-decker for families and couples. Size of Business: We will start from a small business then expand our business with more Branches in near future. As it is a new market, it has a large potential to grow and with 3-4 years competition is expected in the market. Aim We aim to achieve goals by exceeding the needs and expectations of our customers through continuous improvements in quality, productivity, and new product offers while also achieving an acceptable return on investment. 4|Page Objectives As a small business leader, you establish goals and business objectives to ensure your company accomplishes what it needs to accomplish to remain a going concern. 1. Sales Volume Growth Sales objectives provide your sales force an incentive to achieve an increased sales volume, which can mean increased profits 2. Profit Maximization Steadily increasing profits are dependent on the consistent generation of revenue and the careful management of expenses incurred to manufacture a product or provide a service. 3. Improved Product Quality Customers' needs and expectations require that you provide them products of high quality 4. Increased Productivity Your ability to utilize your available resources to produce goods and services and earn a profit determines the financial performance of your company. 5. Stay Close To Your Customer Fulfill the needs, satisfaction and desire of the customer to create the customer relationship. 6. Listen To the Experts 5|Page Listening to experts for the advice and techniques to increase sales and capture the rest market. 7. Take Care of Your Staff Our staff is our first priority we always try to keep them happy in any case. If our staff is happy they will keep our customer happy. As our staff is like our family. “MISSION STATEMENT: "Provide the quality product to our valuable customers and to capture market share in our industry and make sure to give customers low prices with best value." VISION STATEMENT: “To deliver customers with quality products at the affordable price they can ever afford.” VALUE PROPOSITION Royal fast food – “Buy rich save Big” Our vision tells the market – our employees, customers, consumers and the communities where we make and sell our products – what we care about. It captures the importance of health and wellness, but it also embodies all the ways we can eat and live better, such as the enjoyment of a dessert, the convenience of a microwave meal, the safety and value of our products and the services and solutions we provide. Analysis of Competitors: Many fast food choice proposals would enable consumers to choose among different fast foods meals according to their taste and preferences. No one compromises on health, and when health is concerned then the best thing is preferable whether it's expensive or cheap. Providing the right combination of meals and food items keeping in mind the pricing factor as well. We will provide the best combination and package to our customers so that more and more customers are attractive to our business, and should be satisfied in the best possible way in 6|Page order to create a loyal customer. If this would not be done then our customers would shift to our indirect competitors. The most important competitive edge that our business have is that currently there is now FEW fast food in NORWAY. so more customers will be attracted to our business as we are going to provide the best quality and environment. SWOT analysis 1.Strength: Royal Fast food has many direct and indirect competitor in potential market. The most important competitive edge that our business is the new entrant in the market that is the competitive edge for us . Royal Fast Food is totally a new innovation in Norway, so more customers will be attracted to our business as we are going to provide the best quality and environment. It is also our strength. Food attracts people who attract more people. We being first an innovative can enjoy spotlight. Our main strength is our product line basically we target the age group of 10 years to 80 years age segment customer. Our products are specially design for all the customers interms of quality, taste and healthiness of food. 2.Weaknesses: As described earlier that so far we have not many and major weaknesses. As we are new entrant so somehow it is our weakness but we have also a plans to cover it up. Contingency planning for any future occurrence of problem is also done in new business. 3.Opportunities: Fast food in Norway but as we forecasted it as a growing business so a lot of opportunities of starting a new business are also arising. As it is one of our aim to serve you the best in the possible shortest time so growth opportunities also are there. we can expand our operations further on with the success and popularity of Fast food restaurants we can target more areas through market segmentation. 4.Technologies: Technology is very important factor now days. Moreover to fill up the storage food we have the best quality electric appliances which include refrigerators, micro waved ovens etc. advanced baking stoves, deep frying machines are also installed. We have also done our advertisement through electronically media. Adds on social websites like face book, twitter are being displayed. We also take online orders. There are no such direct competitor but, There are various fast foods in NORWAY which would be our indirect competitors; for example: 7|Page Starbuck Burger Kings Mac Donald’s Hardees KFC Subway Assessment of Risk: Every new venture will be faced with some potential hazards, given the particular industry and competitive environment. It is important that the entrepreneur make an assessment of risk in the following manner: Evaluate weakness of business: Royal Fast food is basically a Fast food restaurant. There is always an element of risk starting a new business as the success and failure of any business is unknown at its initial stage. But as there is no direct competitor of Royal Fast food in the potential market so overall the effect of new entrant is not very large. PEST analysis is as following 1. Political: in order to run our business smoothly our need to be politically aware. We have followed all the rules and also have the license of everything so that there will be no query in the future. Royal Fast food will first registered and after that start operationalize. Political stability Is the key to success for a new business, strong lobbing is good for business. 2. Economical: all the meals available at Royal Fast food are economical, healthy and according to the taste of local. To serve the best in the minimum possible time is what we seek for. So economically we have covered the major aspects as well. Food Food business is less expensive as the brick and roof restaurants costs are higher. 8|Page 3. Social: we know the taste of Pakistani’s. Pakistan is an Islamic country and we know what is haram and halal. Culture reflects the taste of people. As totally the culture is Islamic so we make only halal food. Different items are available for people of different age. For e.g. junk food for young people, ice creams for children’s and for professionals.. MARKETING PLAN The Market The expected market for Roayl Fast Food is: Students 100% Office Emplyees 100% Families 100 % We target every segment of the market because our is for all and our main aim is to serve all with our quality products and services. Mode of Marketing 1. Free Gifts 2. Discounted Prices 9|Page 3. Joint Promotions 4. Vouchers and Coupons 5. Social Media Contests and Giveaways. 6. Buy One, Get One Free 7. Customer Loyalty Programs 8. Broachers and banners Objectives and Goals of Marketing Plan Short Term In the first 6 months of our new fast food startup, we expect every individual to know about Royal Fast food. For Royal Fast food to have a good year in its start it needs to have an excellent amount of hype creates and that is the short term goal. In this time period publicity will mainly be with updates on the news and billboard . Long Term In the long term we expect every individual to be associated with Royal Fast food, those who have visited should want nothing more to go back and those who haven’t should make Royal Fast food their first priority to visit and should have the taste of your mind. Action Plan Positioning Royal Fast food will be positioned as the perfect taste and comfortable environment spot for anybody needing a break and the the taste of their mind and experience one ‘needs’ to encounter in their life. The atmosphere will be marketing is set-back and casual thus the perfect place one can relax at but keeping in mind class and elegance which will raise its standards. Advertisement 10 | P a g e We believe that the best approach to advertising is to think of it in terms of media and which media will be most effective in reaching our target market. Then we’re to make decisions about how much of our annual advertising budget we're going to spend on each medium. The advertising strategies will be : Our website Android app Social media Direct Mail E Brochures & Newsletter Online Advertising Media Advertising Place Advertising Promotion An extreme hype is going to be created especially when the Royal Fast food is nearly finished decorating and our Royal Fast food restaurant is set up with all our staff.. A minimum of €5000 is to be spent or marketing. Promotion will take place in the form of: 11 | P a g e Print Ads Sponsors Electronic • Newspaper publicity • Brochure mailing • Bill boards • University events • Prizes (coupens) • Internet • facebook • Andriod app • Radio • Instagram Starting of Operations: All the above promotion techniques will be on going at once; brochures will be delivered door to door across Norway , advertisements across the internet will take place, YouTube and television will be used to video ads and contests such as a business plan competition will be held and sponsored to award free promotional coupons and deals at Royal Fast food. Two years after commencement of operations: Advertisements will still continue at the same pace but brochure distribution will be halted unless a new feature is added to the Royal Fast Food. Financial plan Forecasted Sales Statements are as under: 12 | P a g e Forecasted Sales of Three years Forcasted Sales # of Days Open per Week Year 1 7 Year 2 7 Year 3 7 # of Days 364 364 364 Midweek Weekend & Holidays Average Sales Monthly Weekend & Holidays Revenue Monthly x 12 Weekend & Holidays 364 0 364 0 364 0 € 10,000 € 5,000 € 15,000 € 8,000 € 20,000 € 10,000 € 120,000 € 60,000 € 180,000 € 96,000 € 240,000 € 120,000 € 180,000 € 276,000 € 360,000 € 493 € 756 € 986 80% 20% 80% 20% 80% 20% Total Revenue Total Sales Average Sales per Day Sales Mix % Food Beverage 13 | P a g e Forecasted and Profit and Loss Statement: Forecasted Profit And loss Statement For the 3 years Revenue Year 1 Year 2 Year 3 Sales € 180,000 € 276,000 € 360,000 Total Revenue € 180,000 € 276,000 € 360,000 Food (Per month) € 3,000 € 6,000 € 8,000 Beverage (Per month) € 1,000 € 1,000 € 1,000 Food (Anually) € 36,000 € 72,000 € 96,000 Beverage (Anually) € 12,000 € 12,000 € 12,000 Total Cost of Goods Sold € 48,000 € 84,000 € 108,000 Less Gross Profit € 132,000 € 192,000 € 252,000 Staff Salary ( Anually) € 20,000 € 20,000 € 20,000 Kitchen ( Anually) € 10,000 € 10,000 € 10,000 Repair Maintanance ( Anually) € 2,000 € 2,000 € 2,000 Utilities ( Anually) € 10,000 € 10,000 € 10,000 Rent ( Anually) € 20,000 € 20,000 € 20,000 Marketing Expense € 5,000 € 20,000 € 20,000 Total Operating Expense € 67,000 € 62,000 € 62,000 Net Income € 65,000 € 130,000 Cost of Goods Sold Cost of Goods Sold Operating Expense (Anually) € 190,000 14 | P a g e 15 | P a g e