Table of Contents Resumes 2 Executive Summary 6 Mission and Goals 7 Company Background 8 Product Description 9 Location 10 Organizational Structure 11 Marketing Plan 12 Competitor Analysis 13 SWOT Analysis 15 Operations 16 Financial Planning 17 Timeline 19 Appendix 20 PAIGE DAUGHERTY • 131 Riverside St. Bellevue,IA 52031 • Cell: 563.513.8818 • Email: Paige.Daugherty@Loras.edu EDUCATION Loras College, Dubuque, IA (August 2011-Current) Junior working towards a Bachelor of Finance and Management Loras Student Alumni Council Loras College Dance Marathon Morale Captain “Lead 4 Loras” Tier 1; Loras College leadership development program Loras College Business Club; Phi Beta Lambda EXPERIENCE Cottingham & Butler, Dubuque, IA (May 2013 - Present) Transportation Marketer Intern Negotiate competitive pricing and coverage’s with insurance companies Develop and maintain relationships with insurance carriers and wholesalers Effectively communicate with Sales Executives and Account Administrators Sedgwick, Dubuque, IA (September 2012 - May 2013) Internal Audit intern Audited time and expense reported by colleagues Reviewed and edited SOC1 reports to send to clients Prepared client lists to send SOC1 reports to Sedgwick, Bellevue, IA (May 2012 - August 2012) Marketing intern Formatted and prepared Requests for Proposal Updated documents with the new branding logo Organized information for the senior management meeting Bellevue State Bank, Bellevue, IA (May 2011 - Jan. 2012) Customer Service Representative Processed various financial transactions Assisted customers with opening new accounts Prepared money orders and cashier’s checks Spruce Harbor Inn, Bellevue, IA (April 2009 – April 2013) Busser, Waitress, Bartender Successfully prioritized tasks in a fast paced environment Sharpened communication skills while building relationships with customers Collected payments and operate cash register 2 BRETT SZOSTAK 741 Whitegate court | Mount Prospect, IL, 60056 | 224-406-7020 | brett.szostak@loras.edu OBJECTIVE Provide the best customer service, help in any sector of a business in order to increase sales and promote the company. EDUCATION Loras College Dubuque, Iowa August 2012 - May 2016 Major: Business Management Loras Players; 2012-2014 Lead 4 Loras Leadership Program; 2013 PAL mentorship program; 2014 EXPERIENCE Volunteer Catholic Charities, Des Plaines, IL Dec 10-23, 2013 Helped in the food pantry by organizing food packages for the poor. Assisted the office manager as needed by entering donors information into an Excel spreadsheet and updating donors information as necessary. Part time Associate The Home Depot, Niles, IL May to Aug 2013 Part of the Garden Recovery team during the night shift. Responsible for keeping the outside and inside garden department clean and organized. Helped by stocking the shelves with inventory that came in during the night and making pallets with inventory and tagging it with the product and quantity. Backroom Team Member Target Corporation, Palatine, IL Nov 2011 to Aug 2012 Part-time Backroom team member. Kept the back stock room cleaned on a daily basis. Pulled inventory during the times when the store was open. Put away inventory and scanned it where it belonged on the shelf for each department. Operated an electronic mini fork-lift to retrieve heavy items on the top shelves and was able to use an electric ladder to get items on higher shelves that were not bulky. COMPUTER SKILLS Microsoft Word, Excel, PowerPoint 3 Samuel J. Brunclik Objective: Professional Highlights To supersede expectations and achieve success for the company. Breitbach Catholic Thinker/Leader Service oriented scholarship program Well rounded student Required 3.0 GPA Avalon T.E.C. Volunteer Assisted occupational therapists 2007-2011 Attributes Works well with people Has experience in production Good Listener Takes direction well Employment History Cashier Five Guys Burgers and Fries, Milwaukee, WI June 2009-January 2010 Bag Drop The Legend at Bristlecone, Hartland, WI June 2010- August 2011 Shop Attendant Education Hard worker Outgoing Clearwing Productions, West Allis, WI December 2010Present Business Management Loras College, Dubuque IA 2015 Catholic Memorial High School Waukesha, WI 2011 4 Education Loras College Professional Progression Resident Adviser February 2014- Current Loras College, Binz Hall Servers as a role model for students Monitors peers within residence hall Exhibited the ability to adapt &learn the job quickly Leadership Experience Project Intern Dubuque Iowa 2012- Current Sophomore Majors: Business Management Finance Minors: English Irish Studies Rosary High School Aurora, Illinois 2008- 2012 January 2014- Current Skills and Experience Girl Scouts of Eastern Iowa and Western Illinois • • • • Managed cookie inventory, orders of troops and led a large scale operation In charge of data input into the order website Designed projects to be mass produced for events within our council Participated in a business team environment Giving Tree October 2013- Current Loras College Worked to provide Christmas Presents to more than 160 children Networked with area community action agencies Managed a committee in an efficient and organized manner as well as, raises more than $2,500 dollars for the cause Dewey Caller August- October 2013 Loras College • Served as a college ambassador in charge of informing alumni and friends • Solicited financial gifts for the college over the phone • Personally raised over $11,000 and $215,000 collectively as a team for Loras College 5 August 2012- November Loras College Planetarium Staff 2013 Classes in Management, Finance and Marketing Microsoft Office PCI Trained Customer Service Professional Communication Public Speaking Proficient at Writing Leadership and Counseling Cold Calling Experience Organized and Efficient Quick Learner Contact me Mailbox 378, 1450 Alta Vista Dubuque, Iowa 52001 Cell: (630) 636-1114 Teage.Browning@loras.edu Executive Summary Five Guys Burgers and Fries is a Burger Grill franchise that provides customers with real, wholesome burgers and fries made from only fresh lean beef and freshly cut potatoes, served in a family-friendly environment and at a great value. Employees are dedicated to providing the best hospitality in the business through extensive training with an emphasis on customer service. Five Guys and its employees also share a corporate vision in the franchise world, which remains to be a top competitor in the fast food segment, and to sell the best quality burgers possible. To sell the best burger possible, Five Guys vision focuses on Quality, Service, and Cleanliness, to every guest, at every restaurant, every day. We will be located at 730 Main St. in the heart of downtown Dubuque, which is a great location to reach our target market. We will be able to attract daily traffic during business lunch breaks, and we will be very close to all of the colleges to attract college students. Being downtown will also attract tourists throughout the year with so many different shops and entertainment venues close by. Our customers are our top priority and that is why we only use fresh meat, potatoes and produce for our hamburgers and fries. We think highly of our product that we focus on Word of Mouth advertising to reach out to loyal and potential customers. Our retro design will take customers back in time and give them an old fashioned burger joint feel. The option to place an order online so it is ready as soon as the customer walks in the door is very beneficial to customers who may not have very much time to grab lunch or supper. Our operating hours will be 11 A.M. – 10 P.M. Seven days a week to help meet the needs of all of our customers. 6 Mission Statement “Our mission is simply selling quality burgers and our quality products to the community.” Five Guy’s Vision “Our main goal is to sell the best quality burgers possible and provide the best customer service in the community. In order to fulfill these standards we focus primarily on quality, service and cleanliness.” Five Guy’s Values and Attributes Our values and attributes reflect our core ideologies and drive the decisions we make. Our values and attributes are: Taste. We make and sell our burgers and fries with the best taste ever. Comfortableness. We provide our customers with a very comfortable environment. Cleanliness. We conserve our establishments clean and with a good hygiene. Quality. We provide our service as well as our products with the best quality possible to our customers. Friendship. We interact with our customers in a very friendly manner. That makes them feel satisfied and good. These values statements reflect what we should live, breathe and reflect in our daily activities. They are the parameters for driving every associate’s day-to-day decision making and they also are the tools to help bring our brand to life. Company Objectives Give our customers the best bang for their buck Keep it simple and server the best ingredients possible 7 Company Background: The Five Guys Story “Jerry and Janie Murrell offered sage advice to the four young Murrell brothers: “Start a business or go to college”. “In 2003 they started to offer franchise opportunities and under 18 months they sold over 300 units”. Now 20 years later Five Guys has over 250 locations in 19 states across the U.S. and 1500 units in development. “Five Guys wins Best Burger in almost every town it is located”. History: 1986: The first Five Guys location opens in Arlington, VA 1986 – 2001: Five Guys opens five locations around the DC metro-area and perfected their business of making burgers… and it starts to build a cult – like following. 2002: Five Guys decides DC metro-area residents shouldn’t be the only ones to experience their burgers and start to franchise in Virginia and Maryland. 2003: Five Guys sells out to franchise territory within 18 months and starts to open the rest of the country for franchise rights. 2003 – Present: Five Guys expands to over 1,000 locations in 47 states and 6 Canadian provinces. o (All information found on the Five Guys Burger and Fries website) 8 Product Description On Five Guys menu they have the following delicious items: burgers, fries, hotdogs, grilled cheese, and a veggie sandwich. The burgers are “never frozen” and are made fresh daily and cooked in peanut oil. The hotdogs are kosher and the rolls are made fresh daily and have no artificial preservatives and the hotdog rolls are made by the Five Guys bakeries from their proprietary recipe. When you order a hotdog, veggie sandwich, or burger or grilled cheese you have 15 different toppings you can choose from which adds up to over 250,000 different ways to make a burger. Whether you are enjoying a burger and fries or anything from the menu, the atmosphere ties it all together. 9 Location 730 Main St. Dubuque Iowa The building is two stories, with four bathrooms and has 8,588square feet available to our business. The building sits on a 4295 square foot lot in the heart of Dubuque. It was built in the 1900’s and uses both public water and sewage. The Rent for the building is $1,350 per month. Inside we will have just basic chairs and tables as well as a viewable basic kitchen. In the kitchen, we will have a bread grill ($3,000), burger grill ($5000), Chef base ($3,000), Fryers ($8000), Hot Table ( $1,200), and an additional station( $1,200). 10 Organizational Structure Our Franchise of Five Guys will be set up similarly to all other Five Guys in the country. We will have manager’s and Crew members. On each shift there are seven basic tasks that must get done to have our business open. The tasks are: grill, bun, topping, quality control, fry, and cashier. On each shift, a shift manger will be supervising anywhere between two and seven employees. At the busiest times, there would be up to 7 on a shift, each person taking a task for themselves. If business slows down during certain times, as few as three employees could be scheduled. Eighteen employees, in addition to the four managers, will be hired and paid $8.25/ hour. Paige Daugherty, Teage Browning, Sam Brunclik and Brett Szostak will serve as Mangers within the Five Guys restaurant. All four will work as shift managers with each taking specific tasks. Teage Browning will work specifically on the running of the business and have duties including Inventory management and Scheduling. Paige Daugherty will work specifically on the Finances of the business. Sam Brunclik and Brett Szostak will work to train and manage employees. We will work together to provide a quality product, as well as great service to our customers. Management Team Gaps It is obvious that all four Mangers are not experts in everything. Realizing this, we have enlisted the following people to help address those gaps. Accountant: Attorney: HonKamp Krueger & CO. Kevin Deeny 2345 J.F.K. Road P.O. Box 699 Dubuque, IA 52004-0699 P: 563-556-0123 P: 888-556-0123 F: 563-556-8762 Dubuque, Iowa Phone: 866-493-0667 Fax: 563-582-5312 11 Marketing Plan Five Guys Burgers & Fries uses a strict word of mouth marketing strategy. The supreme customer service and product quality causes people to want to return to a location for continuous business as well as letting their friends know about the company. The Dubuque location franchise will also use a word of mouth marketing strategy along with social media avenues in order to spread word about our new location. Initially we may take out an advertisement in a print resource such as the Telegraph Herald advertising our grand opening; however this advertising would only be one time. Five Guys prides themselves on the success of their word of mouth marketing plan and they want to keep it that way. The strategy for social media is to have profiles for Five Guys Burgers and Fries on websites such as Facebook and Twitter. Through Five Guys focus on customer service and satisfaction we aim to maximize the lifetime of a customer and retain their business for as long as we possibly can. The sales cycle will be very quick from contact to closing, focusing on quick turnaround while providing premier service. Target Market The community of Dubuque, Iowa including families, working class, lovers of American cuisine, and anyone with disposable income looking for a quality dining experience. Market Segment Young professionals and working class The weekend family crowd Young couples Burger fanatics Assuring the marketing plan Secret shopper program to insure good customer service Advertising budget funneled back into the secret shopper program Customer satisfaction surveys 12 Quality diner themes and environment to improve quality experience Competitor analysis Price comparison with main competitors on Product level Restaurant Plain Burger Cheese Burger Bacon Cheese Burger 5.69 4.09 7.50 Hot Dog Small Fry Regular Fry Large Fry 4.69 1.29 7.00 Double cheese Burger 6.49 4.79 N/A Five Guys McDonalds Town Clock Inn Main St. chophouse 3.99 N/A 6.75 3.79 N/A N/A 2.39 1.19 N/A 3.39 1.59 3.00 4.99 1.79 4.00 11.00 12.00 N/A N/A N/A N/A Included N/A with burgers only Price comparison for other competitors on a Need level Restaurant Five Guys Jimmy Johns Adobos Mexican Grill Crust Lowest meal 3.79 hot dog 4.99 Plain sub 5.99 tacos 8.95 Wrap Highest meal 7.49 Bacon Cheese Burger 9.99 XL Sub 14.99 variety plate 20.49 Pizza Competitor product summaries McDonalds McDonalds holds a variety of Burgers, Wraps, Fry and Breakfast items on their menu. Their items are generally of lower quality ingredients including frozen meat and premade meals. Their items tend to be greasy or fried, sacrificing quality for a fast paced 13 delivery. They are a low price competitor because they aim to sell lower priced items at a higher quantity. Response: Five Guys will focus specifically on presenting a great product at a low price. We use only fresh beef and fresh produce to make our meals. Our fries are freshly cut, and the customers see the inventory themselves to prove our trust worthy products. Town Clock Inn Town Clock Inn offers a variety of menu items ranging from Pizza, taco salads to Burgers and Fries. Their items are cheaper priced all seem to be quick to make. They are a lower price competitor but serve a medium quality product. Response: The Town clock Inn is a sit down restaurant which is competitive with Five Guys. We will respond to this competitiveness by having excellent quality products and amazing customer service. Main Street Chophouse The Main Street Chophouse is a more expensive and upscale restaurant that serves a range of meals from Burgers to Pasta. They are a competitor based on the fact that they sever a high quality burger. They also focus on service as they are a upscale sit down restaurant. Response: Five Guys does sacrifice the quality of the restaurant to provide the customers with a cheaper price. We do make up for it by having a simple food process and the best quality ingredients. We hope to capture the customer’s attention by having a quick solution for their hunger at a low price with a great quality of service and product. Competitor Strengths and weakness Company Strength Largest Fast food market McDonalds Town Clock Inn Main Street Chophouse Weakness Negative Publicity share in the world Unhealthy food menu Brand recognition valued Mac Job and High at $40 Billion $2 Billion in advertising Budget Locally adapted food menus employee turnover Low differentiation Location Down town Dubuque Competitive low prices Locally owned Little to no advertising Not top of mind brand Medium Quality food Location down town Dubuque Higher reviewed restaurant Higher prices Not competitive prices for lunch hour 14 Locally owned Higher quality food SWOT Analysis Analyzing Five Guys Burgers & Fries can be broken down to strengths, weaknesses, opportunities, and weaknesses. When looking at strengths, we can see that Five Guys offers extended customization of their burgers, they have a strict brand control, and they pay their employees more than the average for the industry. Contrary to their strengths the weaknesses of Five Guys are limited menu options, the use of peanut oil in their cooking, their lack of an advertising division, and their lack of a drive thru. The opportunities that Five Guys has are that no location has been opened in Dubuque so a franchise would not have to compete with other Five Guys stores; also there are opportunities to make a kids menu pending approval from corporate. Threats that would be a concern for management and ownership are food safety codes and inspections, competitors, lawsuits, and a population that is health conscious. As far as strengths and opportunities are concerned, management would insure their continuance by following standards set forth by corporate. Also, we would have to consult with corporate before making any decisions concerning acting on possible opportunities. When it comes to preventing weaknesses and threats, management would need to focus on their employees and the training 15 that we provide. Training limits the possibility of food safety violations and lawsuits. We would limit threats from competitors by winning over the population through superior product quality and customer service experiences. The possibility of menu expansion would be small because of the perfect franchise and the rules set forth by corporate. Also if we were going to make changes about the way our specific store is run, we would have to consult corporate. This isn’t to say that there is no room for bargaining to be able to do things like advertise and offer healthier alternatives on our menu. Operations We will be open every day 11am to 10 pm. Training is provided by the Five Guys Corporation for two weeks before the grand opening on how to make the food and our Franchise pay certain fees for those programs (see Financing). In inventory we will be having about $6,000 for a week and about $24,000 for the month. We will receive shipments weekly from the Five Guys suppliers for all products used. 16 Financial Planning Franchising a Five Guys will require $300,000 to start up. The startup cost of $300,000 will mainly cover the franchise fee, development fee, building lease, furniture, equipment, fixtures, building upgrades, licenses, and initial inventory. The franchise will be owned and operated as a partnership between Paige Daugherty, Teage Browning, Sam Bruclik and Brett Szosak. The franchise will raise $100,000 of its own capital through the investment of family and will be seeking a 17 $225,000 through investors. A $225,000 loan at 5% interest for 30 years will cost $1,207.85 a month to pay off. Five Guys expects profitability from year one, and is projected to rise for the next three years and so on. The projected sales are continued to increase each year which in turn raises gross margin and the net profit. Each year the profit margin is expected to increase with an increase in sales and revenue. Net Profit Margin Year 1 $86,219.77 = 9.6% $883,847.50 Year 2 $161,045.95= 15.2% $1,060,617.00 18 Year 3 $210,226.19 = 16.7% $1,262,134.23 Timeline Months 0-3 3-4 4-5 5-6 Construction to the inside of the building will take place, removing all equipment and fixtures that are not needed to make room for new equipment, booths, and fixtures for Five Guys. Construction will come to a close and signs will be added inside and out as well as any last minute final touches done to give our Five Guys location that old burger joint feel it will have. Employees will be hired and corporate will be in to make sure all new construction and placement fits the requirements of the Five Guys Franchise. Employee training will take place for two weeks. After two weeks of formal training for all employees, the grand opening will take place and employees from corporate will be there to help make sure everything runs smoothly. 19 Appendix Financials: Item Hamburger Fries Drink Daily Sales/Product Average Cost Average Price $2.19 $6.64 $0.33 $3.49 $0.21 $2.44 # Sold Daily 195 190 190 Total Profit: Hamburger Profit Weekly Monthly Yearly Cost $2,989.35 $12,811.50 $155,873.25 # Sold 1,365 5,850 71,175 Profit $6,074.25 $26,032.50 $316,728.75 Fries Profit Weekly Monthly Yearly Cost $438.90 $1,881.00 $22,885.50 # Sold 1,330 5,700 69,350 Profit $4,202.80 $18,012.00 $219,146.00 Drink Profit Weekly Monthly Yearly Cost $297.30 $1,197.00 $14,563.50 # Sold 1,330 5,700 69,350 Profit $2,947.90 $12,711.00 $154,650.50 Timeline Weekly Monthly Yearly Business Personal Property Liability Coverage Workers Compensation Total Profit $13,224.95 $56,755.50 $690,525.25 Insurance $50,000 Coverage Based on $885,000 sales Based on $162,000 payroll 20 $325 $1,442 $3,848 Profit $867.75 $600.40 $423.70 $1891.85 $1,000,000 Coverage Umbrella Liability Annual Premium $750 $6,365 Initial Costs $25,000 Franchise Fee $50,000 Development Fee $16,200 Building Lease (1 Year $1,350 x 12) $90,000 Building Upgrades $75,000 Furniture, Fixtures & Equipment $6,500 Signage $10,000 Initial Inventory Business Supplies (Cards, paper, materials) $4,000 $800 Insurance Deposit & Premium $25,000 Additional funds for first 3 months $6,000 Licenses, Permits, Utilities $300,000 Total Initial Investment Marketing Fees Royalty Fees Inventory Inspections & Audits Monthly Insurance Equipment Upgrades Yearly Building Taxes Monthly Lease Wages ($8.25/hour) Utilities Accounting and Legal Expenses Uniforms Item Hamburger Cheese Burger Bacon Burger Bacon Ch. Burger Hot Dog Bacon Dog Grilled Cheese Veggie Sandwich Price $5.79 $6.49 $6.79 $7.49 $3.79 $4.79 $3.69 $2.99 Ongoing Costs 3% of weekly gross sales 6% of weekly gross sales Varies Varies $800 Varies $4,248 $1,350 $182,200 Varies $5,000 Varies Menu Prices Item Little Hamburger Little Cheese Burger Little Bacon Burger Little Bacon Ch. Burger Cheese Dog Bacon Cheese Dog BLT Sandwich Veggie Sandwich w/ Ch. 21 Price $3.99 $4.69 $4.99 $5.69 $4.49 $5.49 $4.99 $3.69 Little Fries Large Fries Cajun Fries Regular Regular Drink $2.39 $4.69 $3.39 $2.29 Revenue Sales Cost of Goods Sold Gross Margin Operating Expenses Salary Wages Utilities Lease Loan (5% interest) Royalty @ 6% Advertising @ 3% Inventory Insurance Premium Maintenance Accounting and Legal Uniforms Total Operating Expenses Operating Profit Tax Net Profit Regular Fries Cajun Fries Little Cajun Fries Large Large Drink $3.39 $2.39 $4.69 $2.59 Year 1 $883,847.50 $193,322.25 $690,525.25 Year 2 $1,060,617.00 $244,456.32 816,160.68 Year 3 $1,262,134.23 $307,456.76 $954,677.47 $200,000.00 $162,000.00 $15,000.00 $16,200.00 $14,494.20 $53,030.85 $26,515.43 $50,000.00 $3,365.00 $3,500.00 $5,000.00 $1,200.00 $550,305.48 $140,219.77 $54,000.00 $86,219.77 $212,000.00 $162,000.00 $16,200.00 $16,200.00 $14,494.20 $63,637.02 $31,818.51 $78,000.00 $3,365.00 $3,500.00 $5,000.00 $1,600.00 $591,614.73 $224,545.95 $63,500.00 $161,045.95 $232,000.00 $162,000.00 $18,100.00 $16,200.00 $14,494.20 $75,728.05 $37,864.03 $97,000.00 $3,365.00 $3,500.00 $5,000.00 $1,800.00 $667,051.28 $287,626.19 $77,400.00 $210,226.19 22