White Castle

To: Alderman: Nathan Tate, Jessica Kennedy, Greg Talleur and Barb Mcglenn
From: Aric Lashley, White Castle District Manager
Date: July 30, 2015
Re: A proposal for building licenses and grand opening of White Castle restaurant in
St. Clair, Missouri within the next two years.
Purpose
We propose to build a White Castle in the town of St. Clair, Missouri. This will help
boost the economy, Diversity of people and job opportunity. We recommend that
you let us build a new building on Commercial Avenue where the old Cash saver
building was because it is now unused and abandoned. This will be a new great
addition to the town of St. Clair because it is the only one of its kind within thirty
miles and will easily serve St. Clair, Union and Washington.
Concept
This building will be small and look like any other White Castle but research says
there will be plenty of business at this location. White Castle attracts people of all
ethnicities whether it be white, black, Hispanic or even oriental. Because of this
town consist of white people it will have no problem keeping and bringing business
to the town of St. Clair and surrounding areas. Geographically this is more of a
center within the surrounding areas because it is close to highway 44 which will
allow customers to visit from Eureka, Missouri and anywhere west. White Castle is

not a franchise and is privately owned so this is a very rare opportunity that we
come to you bringing our services.
Market Research
We will market our new location first by Twitter and Facebook, letting any followers
to receive special coupons that will attract their attention for our grand opening.
Later within two months of the grand opening we will release commercials that will
attract ethnicities of that current region. We will also add special deals in the local
newspaper so people can receive grand opening coupons. Because this area has
industrial work, two colleges, and many bars we will offer special deals to help
attract customers attention for example midnight crave case deals or bringing in
your student id for 10% off purchase.
Projections
We expect to have profits back within five years of the grand opening. An average
of one million a year per store location is average which adds up to about eighty
four thousand per month. That may sound a lot but with our professional advertising
and marketing we will easily do that and more around our grand opening. Our small
stores use less utilities and make hamburgers in quantity if we sell. If we sell around
fifty crave cases per day that will result in around fifteen hundred dollars per day.
Multiplied by thirty days per month not including busier during the weekend it
should average about forty five thousand per month, just in crave cases which
doesnt include anything else on the menu.
Startup cost and operating costs

We will start with a five million dollar loan that will cover any startup cost that we
encounter. To further break down the costs of the store we will use:
-One million for the property, one million to build the new building and licenses.
-One million for all supplies and Insurances.
-One million for five years worth of salary for two managers and four employees
and
- Lastly one million for any unexpected problems.
Since after five years we project to meet our breakeven point and begin making
profits. Earlier depending on the growth of the surrounding cities and attracted
business.
Employee Graph
Saturday

Monday

Tuesday

Wednesday

Thursday

Friday

Sunday

Employee 1 & 2

X
Employee 3 & 4

X
Manager 1 and 2 will work three 12 hour days and have three days off switching
every three days. This will equate into about 540 thousand dollars for all associates
for a five year time period.
Experience
We currently have White castle restaurants in eleven states which include:

Rank
#1
#2
#3
#4
#5
#6
#7
#8
#9
# 10
# 11

States
Illinois:
Ohio:
Indiana:
New York:
Michigan:
Kentucky:
Missouri:
New Jersey:
Minnesota:
Tennessee:
Wisconsin:
Total:
Weighted average:

Amount
68
66
58
48
46
33
31
24
16
9
1
400
36.4

With four hundred store locations nationwide we will have our own insurances that will result in
being successful. In our Las Vegas grand opening we actually had to close the doors for two
hours because we ran out of our supplies so fast. The first White Castle was opened in 1921 with
only $700 of borrowed money. It opened in Wichita, Kansas and sold its hamburgers for only .05
cents per burger. A study even showed that a person lived on nothing but white castle and water
for thirteen weeks and completely remained in good health.
Conclusion
This proposal is a very profitable deal that will not in any way harm or divert already current
business within that area. In every surrounding town each already have the big three restaurants
McDonalds, Taco bell and Burger king one extra restaurant would just give the residents one
extra choice. Surveys show that the residents enjoy and would often eat at White Castle. So this
is a very practical decision by adding our restaurant to your town.

Thank you for reviewing our proposal and if you have any questions call me any time. We look
forward to hearing from you any time.