Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
from Bplans.com
A sample plan is a great way to get started, but you cant just print
this plan out and turn it into the bank. Youre still going to have to put
in all your own information and do all of your own financial forecasts.
With LivePlan, you can easily use this sample as inspiration and create
your own plan, complete with financial tables and graphs. Youll also
be able to:
Save time with linked financial tables (the formulas are built in,
so you dont have to do the calculations!)
Benefit from tons of help, advice, and resources.
Present your plan with confidence, with automatic charts and
graphs corresponding to your financial data.
Work on your plan anywhere, on any computer.
Cover Page
This sample business plan has been made available to users of Business Plan Pro, business
planning software published by Palo Alto Software. Names, locations and numbers may have
been changed, and substantial portions of the original plan text may have been omitted to
preserve confidentiality and proprietary information.
You are welcome to use this plan as a starting point to create your own, but you do not have
permission to resell, reproduce, publish, distribute or even copy this plan as it exists here.
Requests for reprints, academic use, and other dissemination of this sample plan should be
emailed to the marketing department of Palo Alto Software at marketing@paloalto.com. For
product information visit our Website: www.paloalto.com or call: 1-800-229-7526.
Copyright Palo Alto Software, Inc., 1995-2009 All rights reserved.
Legal Page
Confidentiality Agreement
The undersigned reader acknowledges that the information provided by
in this business plan is confidential; therefore, reader agrees not to
disclose it without the express written permission of
_.
It is acknowledged by reader that information to be furnished in this business plan is in all
respects confidential in nature, other than information which is in the public domain through other
means and that any disclosure or use of same by reader, may cause serious harm or damage to
.
Upon request, this document is to be immediately returned to
Signature
Date
This is a business plan. It does not imply an offering of securities.
_.
Table of Contents
Table of Contents
Chart: Sales Monthly ............................................................................................................ 25
Page 12
Table of Contents
Inspirational
66 BooksGrounds
Cafe
66 Books Cafes' goal is to provide the community with a social, entertaining atmosphere where
Christian neighbors can meet each other in a neutral, non-denominational setting.
66 Books Cafe is incorporated as an S corporation. This will shield the owner from issues of
personal liability and double taxation.
This proposal is prepared to obtain financing in the amount of $80,000. The supplemental
financing is required to prepare the selected site, purchase equipment, and cover expenses
during the first year of operation. The owner will invest $15,000 of her own into the business.
This financing will allow 66 Books Cafe to successfully open and maintain operations.
The large initial capital investment will allow 66 Books Cafe to provide its customers with an
inviting atmosphere and quality products. A unique, upscale and innovative environment is
required to provide customers with an atmosphere that will create socialization. Successful
operation in year one will provide 66 Books Cafe with a customer base that will allow it
to be self sufficient in year two.
Even with our conservative sales forecast, we will maintain a positive cash flow in all months,
repay the loan in 12 years, and have a positive net worth over $27,000 by year three. We
project that our net profits will increase from $12,000 to over $14,000 over the next three
years.
Page 12
Inspirational
66 BooksGrounds
Cafe
Chart: Highlights
1.1 Objectives
66 Books Cafe' objectives for the first three years of operation include:
The creation of a unique, upscale, innovative spiritual environment that will differentiate
66 Books Cafe from local coffee shops.
To make 66 Books Cafe the destination for quality coffee in a welcoming atmosphere for
people who are serious about their coffee and growing in their spirituality.
The formation of an environment that will bring people with diverse backgrounds and
interests together in a common forum.
To be an active and vocal member of the community, and to provide continual reinvestment through participation in community activities and financial
contributions.
Consistently providing excellent specialty beverages, bakery items, inspirational books,
and music.
Page 12
Inspirational
66 BooksGrounds
Cafe
The creation of an environment that won't intimidate the spiritual seeker. 66 Books Cafe
will position itself as an educational resource for individuals wishing to learn about the
benefits of growing spiritually.
The establishment of 66 Books Cafe as a community hub for socialization and
entertainment.
Encourage the two most important values in Christianity: love and service.
Page 12
Inspirational Grounds
1.3 Mission
As people are becoming more interested in their spiritual side, a neighborhood shop with
excellent freshly roasted coffee and non-denominational Christian books and tapes, is a
welcomed alternative and/or addition to the local church. 66 Books Cafe is a specialty beverage
establishment focused on providing freshly roasted coffee beans, coffee/espresso drinks and
information to enhance our customers' spiritual experience. We also understand that coffee
drinkers interested in growing spiritually want a destination, not just a location;we provide
them with the best of both.
Our goal is to be the destination for Christian coffee drinkers seeking a non-secular
environment in the Twin Cities area. People of all ages and backgrounds will come to enjoy the
unique upscale, educational, motivational and innovative environment that 66 Books Cafe
provides.
We believe it is important to remain an active member of the community and to impact our
customers' lives in more ways than the selling of specialty drinks.
2.0 Company Summary
66 Books Cafe, Minneapolis' South Central area, will offer great specialty beverages and easy
access to exciting spiritual information. 66 Books Cafe sells quality products and provides
excellent customer service for coffee lovers and persons looking to enhance their spiritual
experience. We are looking to lease a retail store which we will use to market and merchandise
our products. The company took its name in July 2002, and organized as an S Corporation in
October, 2003.
Our book and music selection and helpful staff will appeal to the audience that is seeking to
grow and learn spiritually in this age of uncertainty. This invigorating aspect will attract younger
and elderly members alike who are gaining interest in their spiritual condition. The central
location will provide easy access from most points of origin throughout the Twin City area for
those who will recognize 66 Books Cafe as a destination point, as well as provide local
community residents with convenient access to freshly roasted coffee.
2.1 Company Ownership
66 Books Cafe is incorporated as an S corporation. This will shield the owner Regina Brown
from issues of personal liability and double taxation. The Corporation was formed in
October of 2003.
Page 3
Inspirational Grounds
Proximity to other areas within the Twin Cities; Central location easily accessed.
Proximity to the Lyn/Lake and Uptown areas.
High Visibility.
Proximity to the many local churches in South Central Minneapolis.
Diverse population within the community.
Desire for South Central Businesses.
Scarcity of other coffee houses in the area.
Proximity to the light rail depot and 12th Precinct of the Minneapolis police.
All of these qualities are consistent with 66 Books Cafe' goal of providing a community hub
for socialization and entertainment.
2.3 Start-up Summary
66 Books Cafe' start-up costs will cover coffee, espresso, and specialty drink making
equipment, micro-roasting equipment, training, site renovation and modification, capital for
operating expenses in the first year, and the inventory necessary to provide customers with
the information needed to grow.
A large portion of our start-up requirements will go towards the purchase of specialty drink
equipment from Espresso Services, Inc. Our long-term assets will include:
Additionally, we need funding for initial inventory, both for the coffee shop side of things and
the other specialty merchandise, books, and music. Music items will be purchased from
Provident Music, Diamante Music Group, and New Day Christian Distributors among others.
Books and other inspirational material will be purchased from Bridge-Logos Publishers, KCM,
Bethany House Distributors, and others.
Page 4
Inspirational Grounds
The site 66 Books Cafe chooses will require funds for renovation and modification. A single
estimated figure will be allocated for this purpose. The renovation/modification cost
estimate will include the costs associated with preparing the site for opening business.
Page 5
Inspirational Grounds
Start-up
Requirements
Start-up Expenses
Legal
Stationery etc.
Brochures/Mailings
Marketing Consultant
Insurance
Rent
Research and Development
Build Out Expenses
Initial Marketing
Training
Website development
Expensed Equipment
Other
Total Start-up Expenses
$1,500
$800
$1,000
$1,000
$500
$2,000
$1,500
$8,000
$2,000
$1,500
$50
$4,950
$5,000
$29,800
Start-up Assets
Cash Required
Start-up Inventory
Other Current Assets
Long-term Assets
Total Assets
$30,600
$6,600
$12,000
$16,000
$65,200
Total Requirements
$95,000
Page 6
Inspirational Grounds
$29,800
$65,200
$95,000
Assets
Non-cash Assets from Start-up
Cash Requirements from Start-up
Additional Cash Raised
Cash Balance on Starting Date
Total Assets
$34,600
$30,600
$0
$30,600
$65,200
$0
$80,000
$0
$0
$80,000
Capital
Planned Investment
Owner Investment
Investor 2
Other
Additional Investment Requirement
Total Planned Investment
Loss at Start-up (Start-up Expenses)
Total Capital
$15,000
$0
$0
$0
$15,000
($29,800)
($14,800)
$65,200
Total Funding
$95,000
Page 7
Inspirational Grounds
Chart: Start-up
Page 8
Inspirational Grounds
Description
Espresso Machine
ESI
Grinder/Doser
ESI
$770.00
$629.78
Bulk Grinder
Mazzer Major
ESI
$1,025.00
$838.35
Brewer
ESI
$865.00
$707.48
Airpot
ESI
$54.90
$179.61
Everpure SO MC twin
ESI
$175.71
$143.71
Filter Cartridge
Everpure MC
ESI
$69.07
$56.49
Water softener
ESI
$94.92
$77.63
Knockbox
Countertop
ESI
$40.00
$32.72
Creamer
Bell Creamer
ESI
$40.00
ESI
$7.35
Thermometer
$6,900.00 $5,643.50
Steam Pitcher
1 liter
ESI
$12.15
Steam Pitcher
1.5 liter
ESI
$19.15
ESI
$69.23
ESI
Blender
$379.00
$379.00
Coffee Roaster
Micro Roaster
ESI
Microwave Oven
Zesco
$200.00
$200.00
Refrigerator
27 1/2" Undercounter
Zesco
$837.00
$837.00
Refrigerator
Zesco
Freezer
Chest
Zesco
Ice Machine
Undercounter
Zesco
Dipperwell
w/faucet
Zesco
$3,500.00 $3,500.00
$1,092.00 $1,092.00
$379.00
$379.00
$1,096.00 $1,096.00
$154.50
$154.50
Page 9
Inspirational Grounds
Description
Supplier
Number
Detergent
Espresso cleaning
ESI
$7.57
$7.57
Barspoon
ESI
$2.15
$2.15
Nail Brush
Zesco
$8.70
$8.70
Cleaning Brush
ESI
$4.38
$4.38
Cleaning Brush
Airpot
ESI
$3.75
$3.75
Cleaning brush
flat grounds
ESI
$3.09
$3.09
Cleaning blank
back flush
ESI
$3.58
$3.58
ESI
$39.33
$39.33
12 oz - 1000 count
ESI
$55.92
$55.92
16 oz - 1000 count
ESI
$63.92
$63.92
20 oz - 500
ESI
$64.42
$64.42
12 oz - 500
ESI
$36.83
$36.83
12 oz - 500
ESI
$36.88
$36.88
16 oz - 500
ESI
$51.72
$51.72
Lid - Hot
8 oz - 1000 count
ESI
$28.36
$28.36
Lid - Hot
ESI
$36.58
$36.58
Domed Lid
12/16/20 oz 1000
ESI
$36.58
$73.16
Lid - Cold
ESI
$36.51
$36.51
Lid - Cold
ESI
$44.72
$44.72
Lid - Cold
ESI
$52.09
$52.09
Lid - Cold
ESI
$67.41
$67.41
Bus Boxes
Zesco
$4.70
$23.50
Mugs
3 oz Barista - 3 doz
Zesco
$180.00
$180.00
Mugs
8 oz barista - 3 doz
Zesco
$201.00
$201.00
Mugs
12 oz Barista - 2 doz
Zesco
$152.00
$152.00
Saucers
Zesco
$118.00
$118.00
Saucers
Zesco
$128.00
$128.00
Demitasse Spoons
1 doz
ESI
$3.00
$6.00
Plasticware
Spoons/Forks/Knives
Costco
$6.00
$12.00
Flatware
Spoons - 3 doz
Zesco
$35.60
$71.20
Flatware
Forks 3 doz
Zesco
$49.70
$99.40
Utility Cart
300 lb capacity
Zesco
$230.00
$460.00
Stir Sticks
ESI
$1.57
$3.14
Straws
ESI
$2.72
$8.16
Coffee Bags
1 lb bags - 50 cnt
ESI
$6.38
$19.14
Coffee Bags
ESI
$5.45
$16.35
Coffee Filters
13x5 1000/case
ESI
$12.02
$12.02
Carrier
ESI
$52.57
$52.57
Java Jackets
1500 cnt
ESI
$87.21
$87.21
Page 10
Inspirational Grounds
Condiment Dispensers
Dollar Store 6
$1.00
$6.00
Page 11
Inspirational Grounds
Description
Supplier
Menu Board
Laminated
Eckel Sign Co 1
Cash Register
Hand Sink
w/ faucet
Zesco
3 Compartment Sink
94" w/ 2 drainboards
Faucet
Prep Sink
$150.00
$150.00
$73.10
$73.10
Zesco
$612.00
$612.00
3 comp sink
Direct Buy
$100.00
$100.00
TBD
Zesco
$100.00
$100.00
Zesco
$170.00
$170.00
$342.00
$342.00
Mop Sink
Trade Scale
Chairs
Zesco
90
$53.10 $4,779.00
Stools
Zesco
12
$88.60 $1,063.20
Table Tops
24x24
Zesco
30
$22.70
$681.00
Table Tops
24x42
Zesco
10
$35.40
$354.00
Table Bases
22x22
Zesco
30
$27.00
$810.00
Table Bases
33x33
Zesco
10
$34.00
$340.00
Zesco
20
$38.60
$772.00
Zesco
$63.90 $4,191.70
Lighting
Direct Buy
Hand Towel
Dispenser
Zesco
$32.50
Bakery Case
Storage Shelving
Zesco
Amco II
$32.50
Page 12
Inspirational Grounds
Description
Supplier
Espresso Beans
ESI
$102.93
$205.86
Lavazza 1.1 lb
ESI
$9.70
$19.40
Green Beans
Columbian Supremo
ESI
$75.45
$150.90
Green Beans
ESI
$89.48
$89.48
Green Beans
Tanazanian Peaberry
ESI
$66.35
$66.35
Green Beans
Indian
ESI
$64.08
$64.08
Green Beans
Nicaraguan
ESI
$74.32
$74.32
Green Beans
Guatemala Antigua
ESI
$79.25
$79.25
Green Beans
Peru Organic
ESI
$74.04
$74.04
Green Beans
Columbian Decaf
ESI
$72.50
$72.50
Green Beans
ESI
$81.25
$81.25
6 per case
ESI
$37.38
$149.52
No Charge
ESI
12
$0.00
$0.00
No Charge
ESI
$0.00
$0.00
Sugar-Free Syrups
DaVinci
ESI
$5.82
$23.28
Chai Syrup
ESI
$6.49
$12.98
DaVinci Pumps
No charge
ESI
$0.00
$0.00
Chocolate Sauce
ESI
$42.81
$42.81
ESI
$42.81
$42.81
Caramel Sauce
ESI
$48.44
$48.44
Sauce Pumps
DaVinci - No Charge
ESI
$0.00
$0.00
Case
ESI
$54.42
$163.26
Case
ESI
$24.96
$49.92
N20 Chargers
24/case
ESI
$13.85
$13.85
No charge
ESI
$0.00
$0.00
Stash Tea
Start-up case
ESI
$24.57
$24.57
Milk
2% Gal 4/case
$2.38
$4.76
Milk
$2.53
$2.53
Milk
Soy 32 oz 12/case
$16.48
$16.48
Milk
Half/Half
$8.27
$8.27
Sugar
packets 2000 ct
$10.84
$10.84
Equal
packets 2000 ct
$35.74
$35.74
Bakery
$14.39
$14.39
Bakery
$15.54
$15.54
Bakery
Dipped Cheescake
$18.67
$18.67
Bakery
Raspberry Cheescake
$16.43
$16.43
Soft Drinks
$15.95
$63.80
Page 13
Inspirational Grounds
3.0 Products
Beverages and Baked Goods
66 Books Cafe sells quality freshly roasted coffee, specialty beverages, and beverage
related items to the discriminating coffee drinker. The beverages are made by trained staff
members who know the products and make recommendations to customers.
The coffee varietals, teas, and other beverages items are supplied by Espresso Services, Inc
and delivered within 24 hours. The roasting of the green beans will take place on-site for the
freshest product possible. Owner will rely on customers and employees to shorten the
communication and feedback loop in product and service offerings.
66 Books Cafe will offer custom roasting services to our customers. Customers will be able to
order selected coffee varietals roasted to order for enjoyment in their homes or offices. These
custom roasted coffees will create a unique experience for our customer, and allow them to
further their specialty coffee knowledge.
Books and Music
Containing Christian, uplifting, and life-affirming messages will be sold to complete
the ambiance and community centered feel of the store.
3.1 Product Description
66 Books Cafe sells the entire array of coffee and espresso-based drinks,specialty
drinks, and bakery items, as well as music and books geared toward the spiritual reader.
Specialty Coffees
The primary product of 66 Books Cafe is the specialty coffee. Several unique blends will be
micro roasted for daily serving or specially roasted to order at our customers' request which
will give our customers the variety they seek. These coffee blends include: Columbia Supremo,
Tanzanian Peaberry, Jamaican Blue Mountain, Guatemalan Antigua, Costa Rican Tarrazu,
Sumatra Mandheling, and Ethiopian Yaefacheffe. Other blends and decaffeinated coffee will be
offered as well.
Espresso & Coffee Drinks
The Straight Shot - The foundation of every espresso beverage; served in a demitasse, when
consumed alone.
Espresso Macchiato - Espresso served in a demitasse with a small amount of foamed milk on
top
Espresso Con Panna - Variation of the Macchiato substituting whipped cream in place of
the foamed milk.
Page 14
Inspirational Grounds
Caff Americano - A single or double shot of espresso is combined with hot water from the
espresso machine. This produces a smoother and fresher (as well as hotter) cup of coffee
than conventional brewing.
Page 15
Inspirational Grounds
Cappuccino - Espresso mixed with foamed milk upon the pour; can be garnished with
shaved chocolate.
Caff Latte - Espresso mixed with steamed milk, and topped with foamed milk; can be
garnished with shaved chocolate.
Mocha - Espresso, steamed milk, and chocolate syrup, usually topped with whipped cream
and chocolate shavings.
The Breve - An extra rich Caffe' Latte made with half & half instead of milk.
Caf Au Lait - Drip coffee with steamed milk added and topped with foamed milk.
Flavor-Based Drinks
Hot Chocolate and Steamers - These drinks are made like lattes and mochas without the
addition of coffee. Flavored syrups are added to steamed milk and may be topped with whipped
cream at the customer's request.
Italian Sodas and Creamosas - An Italian soda is a combination of flavored syrup and high
quality carbonated mineral or soda water, served over ice. A creamosa is an Italian soda with
heavy cream or half & half added and gently stirred to making a swirled appearance in the
drink.
Granita - An Italian style granular ice drink similar to a slushy but much more dense in
consistency.Granita flavors are usually coffee or fruit based
Other specialty drinks include: Gourmet hot tea, iced Tea, Chai, smoothies, blended coffee
and tea-based drinks, and bottled soft drinks.
Books and Music
Books - The most popular titles will be stocked in limited supply. Such books as Woman, Thou
are Loosed by T.D. Jakes; In Pursuit of Purpose, by Dr. Myles Munroe; Prayers That Heal The
Heart, by Mark & Patti Virkler; A Fresh Word For Today, by Bob Gass; Run Baby Run, by Nicky
Cruz; Morning By Morning, by Charles H. Spurgeon, and others.
Music - 66 Books Cafe will carry the finest in contemporary Christian music. Titles include
Kirk Franklin; Mary Mary; Set Free; Audio Adrenaline; Yolanda Adams, and more.
Bakery Items
66 Books Cafe will also offer its customers a variety of baked goods, including pastries,
cookies, and cakes. Bread for sandwiches and buns for soup will also be secured. Negotiations
with several local bakeries are now underway. Quality and consistency will be the determining
factors for this decision.
Page 16
Inspirational Grounds
Page 17
Inspirational Grounds
The security system 66 Books Cafe uses will protect the contents of the store and reduce
insurance premiums.
3.6 Future Products
As 66 Books Cafe grows, more features will be added to the existing store. A key part of this is
the addition of live entertainment. This entertainment will be in the form of Jazz singers,
poetry readings, Comedy for the King, motivational speakers, and Christian musical Artists.
Food items will be added to the menu of offerings. The soup will be made fresh daily, one kind
per week. The soups are: Chicken Noodle, Minestrone, Clam Chowder, Vegetable Beef,
Vegetable, Chicken and Rice, and Wild rice. Sandwiches are made to order and include deli
favorites such as herbed turkey, egg salad, tuna salad, roast beef, corned beef, and turkey. A
variety of condiments will also be available. 66 Books Cafe will obtain deli meats from Costco.
The salad sandwiches will be made fresh on-site.
66 Books Cafe will establish itself as the destination for non-secular and motivational
entertainment. We also envision adding meeting rooms, hosting receptions, and adding small
devotional rooms for private reflection. The meeting rooms will be perfect for small business
and non-profit organizations with limited office space. Coffee and pastries will be served to
ensure a successful atmosphere for business. 66 Books Cafe will also be available for private
receptions, such as birthday parties, anniversaries, or showers. Customer provided catering
will go a long way to ensure the guests' parties are successful. The devotional rooms will be
wired for individual music selection, equipped with one-way TV cameras, and furnished with a
comfortable chair and table.
These additions complete the vision for 66 Books Cafe, and provide its customers with a place
for socialization, relaxation, and reflection.
4.0 Market Analysis Summary
66 Books Cafe is faced with the exciting challenge of being the first-mover in the
Minneapolis/St. Paul Christian coffee house and roaster market. The consistent popularity of
coffee and specialty drinks, combined with the ever growing and ever profitable Christian
bookselling and music market, is a winning concept and will produce overwhelming results.
Our target market includes coffee drinkers, spiritual seekers, Christians seeking fellowship (and
snacks), and local neighborhood residents.
4.1 Market Segmentation
Census data, religous adherent research, and coffee consumption statistics were used to
determine market share for 66 Books Cafe. Recent census data shows that there are
38,860 persons in the 55407 zip code, and 1,126,944 persons in Hennepin county. Coffee
Research Institute data shows that 54% of the population drinks coffee daily, and 25% drink
coffee occasionally. The Glenmary Research Institute shows that 64.9% of the Minnesota
population are self-professed religous adherents. Minnesota ranks 5th in the nation for
percentage of population religiously affiliated. National statistics show that most persons do
not travel more than 20 minutes to eat or listen to entertainment; we are using a conservative
10%. The following is a breakdown of target customers:
Page 18
Inspirational Grounds
55407 Market
AGE
% of Population
15-19
7.1%
20-24
8.4%
25-44
35.8%
45-64
17.3%
TOTAL
68.6%
INCOME
% of Population
15,000-24,999
16.5%
25,000-49,999
29.0%
50,000-99,999
28.6%
TOTAL
74.1%
55407 market = (38,860 x 68.6% 15-64 year olds, x 74.1% in targeted income bracket, x 54%
coffee drinkers) + (38,860 x 68.6% x 74.1% x 25% occasional coffee drinkers)
The formula takes the total 55407 population and then multiplies that number by the
percentages in order of importance, that figure is multiplied by the percent of persons who
drink coffee daily. The next formula is calculated the same except it uses the percentage of
person who drink coffee occasionally.
Hennepin County Market
AGE
% of Population
15-19
6.5%
20-24
7.3%
25-44
33.1%
45-64
22.2%
TOTAL
69.1%
INCOME
% of Population
15,000-24,999
10.8%
25,000-49,999
23.9%
50,000-99,999
37.6%
TOTAL
72.3%
Hennepin County Market = ((1,126,944 - 38,860) x 69.1% x 72.3% x 64.9% x 54% x 10%) +
((1,126,944 - 38,860) x 69.1% x 72.3% x 64.9% x 25% x 10%))
The formula takes the total county population minus the 55407 population and then multiplies
that number by the percentages in order of importance, that figure is multiplied by the percent
of persons who drink coffee daily multiplied by the percentage of the population likely to travel
to 66 Books Cafe. The next formula is calculated the same except it uses the percentage of
person who drink coffee occasionally.
Page 19
Inspirational Grounds
Market Analysis
Potential Customers
Year 1
Year 2
Year 3
Year 4
Year 5
1%
13,165
13,297
13,430
13,564
13,700
1.00%
1%
19,731
19,928
20,127
20,328
20,531
1.00%
0%
10,000
10,000
10,000
10,000
10,000
0.00%
0.77%
42,896
43,225
43,557
43,892
44,231
0.77%
Growth
Neighborhood Resident
Religious Adherent - Henn
County
Other
Total
CAGR
Page 20
Inspirational Grounds
Page 21
Inspirational Grounds
Page 22
Inspirational Grounds
Page 23
Inspirational Grounds
Quality - We are committed to serving only the best quality beans and beverages. Moreover,
the training the staff receives will ensure that the art of espresso making is understood.
There is more to a good espresso than the beans and the machine. At 66 Books Cafe, we
understand it, and will ensure our customers do as well.
It's the combination of these three elements that make up the competitive advantage of
66 Books Cafe.
5.3 Marketing Strategy
66 Books Cafe' marketing strategy focuses on the key elements of the target markets' soft
needs, and the focus of the venture.
Soft Needs:
Spiritual Growth
A place of belonging
Learning & communication
Venture Focus:
Page 21
Inspirational Grounds
Page 22
Inspirational Grounds
Page 23
Inspirational Grounds
Sales Forecast
Year 1
Year 2
Year 3
$41,079
$53,507
$34,725
$14,458
$11,604
$11,604
$19,341
$17,121
$203,440
$44,365
$57,788
$37,503
$15,615
$12,765
$12,765
$21,275
$17,977
$220,053
$47,914
$62,411
$40,503
$16,864
$14,041
$14,041
$23,402
$18,876
$238,054
Year 1
$1,370
$3,855
$7,216
$5,809
$7,229
$8,561
$11,617
Year 2
$1,397
$3,933
$7,289
$5,867
$7,807
$8,989
$11,733
Year 3
$1,425
$4,011
$7,361
$5,925
$8,432
$9,438
$11,851
$45,657
$47,014
$48,444
Sales
Page 24
Inspirational Grounds
Page 25
Inspirational Grounds
Milestones
Milestone
Accounting Plan
Personnel Plan
Technology Systems
Communication Systems
Site Selection
Business Plan
Shop Design
Secure Start-Up Funding
Grand Opening Materials
Opening Inventory
Totals
Start Date
9/30/2003
10/1/2003
10/1/2003
10/1/2003
6/1/2003
7/1/2002
9/15/2003
5/1/2003
1/1/2005
1/5/2005
End Date
10/15/2003
11/1/2003
11/1/2003
11/1/2003
2/1/2004
2/4/2004
10/1/2004
12/31/2004
1/15/2005
3/1/2005
Budget
$1,500
$500
$1,500
$1,500
$1,500
$500
$2,500
$150
$500
$2,500
Manager
ABC
ABC
ABC
ABC
Regina Brown
Regina Brown
Regina Brown
Albert Brown
ABC
ABC
Department
Department
Department
Department
Department
Owner
Owner
Owner
Manager
Department
Department
$12,650
Page 26
Inspirational Grounds
Chart: Milestones
Page 27
Inspirational Grounds
Personnel Plan
Albert Brown - Operations Manager
Owner
Baristas
Total People
Year 1
$18,000
$0
$56,160
6
Year 2
$18,000
$0
$58,968
6
Year 3
$25,000
$0
$61,916
7
Total Payroll
$74,160
$76,968
$86,916
Page 28
Inspirational Grounds
General Assumptions
Plan Month
Current Interest Rate
Long-term Interest Rate
Tax Rate
Other
Year 1
1
8.75%
2.00%
25.00%
Year 2
2
8.75%
2.00%
25.00%
Year 3
3
8.75%
2.00%
25.00%
Page 29
Inspirational Grounds
Break-even Analysis
Monthly Revenue Break-even
$15,017
Assumptions:
Average Percent Variable Cost
Estimated Monthly Fixed Cost
22%
$11,646
Page 30
Inspirational Grounds
Page 31
Inspirational Grounds
Page 32
Inspirational Grounds
Year 1
$203,440
$45,657
$0
$45,657
Year 2
$220,053
$47,014
$0
$47,014
Year 3
$238,054
$48,444
$0
$48,444
Gross Margin
Gross Margin %
$157,783
77.56%
$173,038
78.63%
$189,610
79.65%
$74,160
$12,000
$2,004
$3,000
$4,000
$1,800
$28,380
$300
$11,113
$3,000
$76,968
$15,000
$2,000
$3,000
$4,700
$1,900
$31,691
$325
$11,545
$4,000
$86,916
$18,000
$2,000
$3,000
$5,800
$2,000
$33,100
$350
$13,037
$4,500
$139,757
$151,129
$168,703
$18,026
$20,030
$1,528
$4,124
$21,909
$23,909
$1,400
$5,127
$20,906
$22,906
$1,267
$4,910
Net Profit
$12,373
$15,382
$14,730
6.08%
6.99%
6.19%
Expenses
Payroll
Marketing/Promotion
Depreciation
Leased Equipment
Utilities
Insurance
Rent
Website Hosting and Maintenance
Payroll Taxes
Other
Total Operating Expenses
Net Profit/Sales
Page 33
Inspirational Grounds
Chart: Cash
Page 34
Inspirational Grounds
Year 2
Year 3
$203,440
$203,440
$220,053
$220,053
$238,054
$238,054
$0
$0
$0
$0
$0
$0
$0
$203,440
$0
$0
$0
$0
$0
$0
$0
$220,053
$0
$0
$0
$0
$0
$0
$0
$238,054
Year 1
Year 2
Year 3
$74,160
$102,996
$177,156
$76,968
$125,117
$202,085
$86,916
$133,821
$220,737
$0
$0
$0
$6,660
$0
$0
$0
$183,816
$0
$0
$0
$6,660
$4,000
$0
$0
$212,745
$0
$0
$0
$6,660
$4,000
$0
$0
$231,397
Cash Received
Cash from Operations
Cash Sales
Subtotal Cash from Operations
Additional Cash Received
Sales Tax, VAT, HST/GST Received
New Current Borrowing
New Other Liabilities (interest-free)
New Long-term Liabilities
Sales of Other Current Assets
Sales of Long-term Assets
New Investment Received
Subtotal Cash Received
Expenditures
Expenditures from Operations
Cash Spending
Bill Payments
Subtotal Spent on Operations
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out
Principal Repayment of Current Borrowing
Other Liabilities Principal Repayment
Long-term Liabilities Principal Repayment
Purchase Other Current Assets
Purchase Long-term Assets
Dividends
Subtotal Cash Spent
Net Cash Flow
$19,624
$7,307
$6,656
Cash Balance
$50,224
$57,532
$64,188
Page 35
Inspirational Grounds
Year 2
Year 3
$50,224
$4,418
$12,000
$66,642
$57,532
$4,441
$16,000
$77,973
$64,188
$4,579
$20,000
$88,767
$16,000
$2,004
$13,996
$80,638
$16,000
$4,004
$11,996
$89,969
$16,000
$6,004
$9,996
$98,763
Year 1
Year 2
Year 3
$9,725
$0
$0
$9,725
$10,334
$0
$0
$10,334
$11,059
$0
$0
$11,059
$73,340
$83,065
$66,680
$77,014
$60,020
$71,079
$15,000
($29,800)
$12,373
($2,427)
$80,638
$15,000
($17,427)
$15,382
$12,955
$89,969
$15,000
($2,045)
$14,730
$27,685
$98,763
($2,427)
$12,955
$27,685
Assets
Current Assets
Cash
Inventory
Other Current Assets
Total Current Assets
Long-term Assets
Long-term Assets
Accumulated Depreciation
Total Long-term Assets
Total Assets
Liabilities and Capital
Current Liabilities
Accounts Payable
Current Borrowing
Other Current Liabilities
Subtotal Current Liabilities
Long-term Liabilities
Total Liabilities
Paid-in Capital
Retained Earnings
Earnings
Total Capital
Total Liabilities and Capital
Net Worth
Page 36
Inspirational Grounds
Page 37
Inspirational Grounds
Table: Ratios
Ratio Analysis
Year 1
n.a.
Year 2
8.17%
Year 3
8.18%
Industry Profile
5.24%
Inventory
Other Current Assets
Total Current Assets
Long-term Assets
Total Assets
5.48%
14.88%
82.64%
17.36%
100.00%
4.94%
17.78%
86.67%
13.33%
100.00%
4.64%
20.25%
89.88%
10.12%
100.00%
2.72%
32.59%
41.88%
58.12%
100.00%
Current Liabilities
Long-term Liabilities
Total Liabilities
Net Worth
12.06%
90.95%
103.01%
-3.01%
11.49%
74.11%
85.60%
14.40%
11.20%
60.77%
71.97%
28.03%
21.75%
29.17%
50.92%
49.08%
100.00%
77.56%
71.48%
0.99%
8.86%
100.00%
78.63%
71.64%
0.91%
9.96%
100.00%
79.65%
73.46%
0.84%
8.78%
100.00%
55.74%
37.46%
2.06%
1.50%
6.85
6.40
103.01%
-679.90%
20.46%
7.55
7.12
85.60%
158.31%
22.80%
8.03
7.61
71.97%
70.94%
19.89%
0.81
0.51
53.68%
2.39%
5.16%
Additional Ratios
Year 1
Year 2
Year 3
6.08%
0.00%
6.99%
118.73%
6.19%
53.20%
n.a
n.a
10.90
11.59
27
2.52
10.61
12.17
29
2.45
10.74
12.17
29
2.41
n.a
n.a
n.a
n.a
0.00
0.12
5.94
0.13
2.57
0.16
n.a
n.a
$56,917
11.80
$67,639
15.65
$77,709
16.50
n.a
n.a
0.40
0.41
0.41
n.a
Sales Growth
Percent of Total Assets
Percent of Sales
Sales
Gross Margin
Selling, General & Administrative Expenses
Advertising Expenses
Profit Before Interest and Taxes
Main Ratios
Current
Quick
Total Debt to Total Assets
Pre-tax Return on Net Worth
Pre-tax Return on Assets
Activity Ratios
Inventory Turnover
Accounts Payable Turnover
Payment Days
Total Asset Turnover
Debt Ratios
Debt to Net Worth
Current Liab. to Liab.
Liquidity Ratios
Net Working Capital
Interest Coverage
Additional Ratios
Assets to Sales
Page 38
Inspirational Grounds
Current Debt/Total Assets
Acid Test
Sales/Net Worth
12%
6.40
0.00
11%
7.12
16.99
11%
7.61
8.60
n.a
n.a
n.a
Dividend Payout
0.00
0.00
0.00
n.a
Page 39
Appendix
Table: Sales
Personnel
Forecast
Sales Forecast
Month 1
Month 2
Month 3
Month 4
Month 5
Month 6
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
$3,239
$4,219
$2,738
$1,140
$915
$915
$1,525
$1,350
$3,271
$4,261
$2,765
$1,151
$924
$924
$1,540
$1,364
$3,304
$4,304
$2,793
$1,163
$933
$933
$1,556
$1,377
$3,337
$4,347
$2,821
$1,175
$943
$943
$1,571
$1,391
$3,371
$4,390
$2,849
$1,186
$952
$952
$1,587
$1,405
$3,404
$4,434
$2,878
$1,198
$962
$962
$1,603
$1,419
$3,438
$4,479
$2,906
$1,210
$971
$971
$1,619
$1,433
$3,473
$4,523
$2,936
$1,222
$981
$981
$1,635
$1,447
$3,507
$4,569
$2,965
$1,234
$991
$991
$1,651
$1,462
$3,542
$4,614
$2,995
$1,247
$1,001
$1,001
$1,668
$1,476
$3,578
$4,660
$3,024
$1,259
$1,011
$1,011
$1,685
$1,491
$3,614
$4,707
$3,055
$1,272
$1,021
$1,021
$1,701
$1,506
Total Sales
$16,041
$16,201
$16,363
$16,527
$16,692
$16,859
$17,028
$17,198
$17,370
$17,544
$17,719
$17,896
Sales
Fresh Brewed Coffee
Espresso Based Beverages
Specialty Drinks
Pastries/Desserts
Music/CDs
Books
Fresh Roasted Coffee
Misc Candies/Products
0%
0%
0%
0%
0%
0%
0%
0%
Month 1
Month 2
Month 3
Month 4
Month 5
Month 6
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
$108
$109
$110
$111
$112
$114
$115
$116
$117
$118
$119
$120
$304
$307
$310
$313
$316
$320
$323
$326
$329
$332
$336
$339
Specialty Drinks
$569
$575
$580
$586
$592
$598
$604
$610
$616
$622
$629
$635
$458
$463
$467
$472
$477
$481
$486
$491
$496
$501
$506
$511
$570
$675
$576
$682
$581
$689
$587
$695
$593
$702
$599
$709
$605
$717
$611
$724
$617
$731
$623
$738
$630
$746
$636
$753
$916
$925
$934
$944
$953
$963
$972
$982
$992
$1,002
$1,012
$1,022
$3,600
$3,636
$3,672
$3,709
$3,746
$3,784
$3,821
$3,860
$3,898
$3,937
$3,977
$4,016
50%
50%
Page 1
Appendix
Table: Sales
Personnel
Forecast
Personnel Plan
Month 1
$1,500
$0
$4,680
Month 2
$1,500
$0
$4,680
Month 3
$1,500
$0
$4,680
Month 4
$1,500
$0
$4,680
Month 5
$1,500
$0
$4,680
Month 6
$1,500
$0
$4,680
Month 7
$1,500
$0
$4,680
Month 8
$1,500
$0
$4,680
Month 9
Month 10
Month 11
Month 12
$1,500
$0
$4,680
$1,500
$0
$4,680
$1,500
$0
$4,680
$1,500
$0
$4,680
Total People
Total Payroll
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
0%
0%
0%
Page 2
Appendix
Table: Profit
Cash Flow
and Loss
Month 2
Month 3
Month 4
Month 5
Month 6
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
$16,041
$16,201
$16,363
$16,527
$16,692
$16,859
$17,028
$17,198
$17,370
$17,544
$17,719
$17,896
$3,600
$3,636
$3,672
$3,709
$3,746
$3,784
$3,821
$3,860
$3,898
$3,937
$3,977
$4,016
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$3,600
$3,636
$3,672
$3,709
$3,746
$3,784
$3,821
$3,860
$3,898
$3,937
$3,977
$4,016
Gross Margin
$12,441
$12,565
$12,691
$12,818
$12,946
$13,076
$13,206
$13,338
$13,472
$13,607
$13,743
$13,880
Gross Margin %
77.56%
77.56%
77.56%
77.56%
77.56%
77.56%
77.56%
77.56%
77.56%
77.56%
77.56%
77.56%
Payroll
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
Marketing/Promotion
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
Depreciation
$167
$167
$167
$167
$167
$167
$167
$167
$167
$167
$167
$167
Leased Equipment
$250
$250
$250
$250
$250
$250
$250
$250
$250
$250
$250
$250
Utilities
$300
$300
$300
$300
$300
$300
$300
$300
$400
$400
$400
$400
Sales
Direct Cost of Sales
Other
Total Cost of Sales
Expenses
Insurance
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$2,365
$2,365
$2,365
$2,365
$2,365
$2,365
$2,365
$2,365
$2,365
$2,365
$2,365
$2,365
$25
$927
$25
$927
$25
$927
$25
$927
$25
$927
$25
$927
$25
$927
$25
$927
$25
$916
$25
$927
$25
$927
$25
$927
$250
$250
$250
$250
$250
$250
$250
$250
$250
$250
$250
$250
$11,614
$11,614
$11,614
$11,614
$11,614
$11,614
$11,614
$11,614
$11,703
$11,714
$11,714
$11,714
$827
$951
$1,077
$1,204
$1,332
$1,462
$1,592
$1,724
$1,769
$1,893
$2,029
$2,166
EBITDA
Rent
Website Hosting and Maintenance
Payroll Taxes
Other
0%
15%
$994
$1,118
$1,244
$1,371
$1,499
$1,629
$1,759
$1,891
$1,936
$2,060
$2,196
$2,333
Interest Expense
$132
$131
$131
$130
$129
$128
$127
$126
$125
$124
$123
$122
Taxes Incurred
$174
$205
$237
$269
$301
$333
$366
$400
$411
$442
$476
$511
$521
$615
$710
$806
$903
$1,000
$1,099
$1,199
$1,233
$1,326
$1,429
$1,533
3.25%
3.80%
4.34%
4.88%
5.41%
5.93%
6.45%
6.97%
7.10%
7.56%
8.07%
8.57%
Net Profit
Net Profit/Sales
Page 3
Appendix
Table: Profit
Cash Flow
and Loss
Month 2
Month 3
Month 4
Month 5
Month 6
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
Cash Sales
$16,041
$16,201
$16,363
$16,527
$16,692
$16,859
$17,028
$17,198
$17,370
$17,544
$17,719
$17,896
$16,041
$16,201
$16,363
$16,527
$16,692
$16,859
$17,028
$17,198
$17,370
$17,544
$17,719
$17,896
Cash Received
Cash from Operations
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
0.00%
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$16,041
$16,201
$16,363
$16,527
$16,692
$16,859
$17,028
$17,198
$17,370
$17,544
$17,719
$17,896
Expenditures
Month 1
Month 2
Month 3
Month 4
Month 5
Month 6
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$6,180
$219
$6,662
$9,243
$9,349
$9,417
$9,486
$9,555
$9,626
$9,699
$9,836
$9,916
$9,989
$6,399
$12,842
$15,423
$15,529
$15,597
$15,666
$15,735
$15,806
$15,879
$16,016
$16,096
$16,169
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$555
$555
$555
$555
$555
$555
$555
$555
$555
$555
$555
$555
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Dividends
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$6,954
$13,397
$15,978
$16,084
$16,152
$16,221
$16,290
$16,361
$16,434
$16,571
$16,651
$16,724
$9,087
$2,804
$386
$443
$540
$638
$737
$837
$936
$973
$1,068
$1,173
Cash Balance
$39,687
$42,491
$42,877
$43,320
$43,861
$44,499
$45,237
$46,074
$47,010
$47,983
$49,052
$50,224
Page 4
Appendix
Table: Balance Sheet
Month 2
Month 3
Month 4
Month 5
Month 6
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
$30,600
$6,600
$12,000
$49,200
$39,687
$4,000
$12,000
$55,687
$42,491
$4,000
$12,000
$58,491
$42,877
$4,040
$12,000
$58,917
$43,320
$4,080
$12,000
$59,400
$43,861
$4,121
$12,000
$59,982
$44,499
$4,162
$12,000
$60,661
$45,237
$4,204
$12,000
$61,440
$46,074
$4,246
$12,000
$62,320
$47,010
$4,288
$12,000
$63,298
$47,983
$4,331
$12,000
$64,314
$49,052
$4,374
$12,000
$65,426
$50,224
$4,418
$12,000
$66,642
$16,000
$0
$16,000
$65,200
$16,000
$167
$15,833
$71,520
$16,000
$334
$15,666
$74,157
$16,000
$501
$15,499
$74,416
$16,000
$668
$15,332
$74,732
$16,000
$835
$15,165
$75,147
$16,000
$1,002
$14,998
$75,659
$16,000
$1,169
$14,831
$76,271
$16,000
$1,336
$14,664
$76,984
$16,000
$1,503
$14,497
$77,795
$16,000
$1,670
$14,330
$78,644
$16,000
$1,837
$14,163
$79,589
$16,000
$2,004
$13,996
$80,638
Month 1
Month 2
Month 3
Month 4
Month 5
Month 6
Month 7
Month 8
Month 9
Month 10
Month 11
Month 12
$0
$0
$0
$0
$6,354
$0
$0
$6,354
$8,931
$0
$0
$8,931
$9,035
$0
$0
$9,035
$9,101
$0
$0
$9,101
$9,167
$0
$0
$9,167
$9,235
$0
$0
$9,235
$9,303
$0
$0
$9,303
$9,371
$0
$0
$9,371
$9,505
$0
$0
$9,505
$9,583
$0
$0
$9,583
$9,654
$0
$0
$9,654
$9,725
$0
$0
$9,725
$80,000
$80,000
$79,445
$85,799
$78,890
$87,821
$78,335
$87,370
$77,780
$86,881
$77,225
$86,392
$76,670
$85,905
$76,115
$85,418
$75,560
$84,931
$75,005
$84,510
$74,450
$84,033
$73,895
$83,549
$73,340
$83,065
Paid-in Capital
Retained Earnings
Earnings
Total Capital
Total Liabilities and Capital
$15,000
($29,800)
$0
($14,800)
$65,200
$15,000
($29,800)
$521
($14,279)
$71,520
$15,000
($29,800)
$1,136
($13,664)
$74,157
$15,000
($29,800)
$1,846
($12,954)
$74,416
$15,000
($29,800)
$2,652
($12,148)
$74,732
$15,000
($29,800)
$3,554
($11,246)
$75,147
$15,000
($29,800)
$4,554
($10,246)
$75,659
$15,000
($29,800)
$5,654
($9,146)
$76,271
$15,000
($29,800)
$6,852
($7,948)
$76,984
$15,000
($29,800)
$8,085
($6,715)
$77,795
$15,000
($29,800)
$9,412
($5,388)
$78,644
$15,000
($29,800)
$10,841
($3,959)
$79,589
$15,000
($29,800)
$12,373
($2,427)
$80,638
Net Worth
($14,800)
($14,279)
($13,664)
($12,954)
($12,148)
($11,246)
($10,246)
($9,146)
($7,948)
($6,715)
($5,388)
($3,959)
($2,427)
Assets
Starting Balances
Current Assets
Cash
Inventory
Other Current Assets
Total Current Assets
Long-term Assets
Long-term Assets
Accumulated Depreciation
Total Long-term Assets
Total Assets
Current Liabilities
Accounts Payable
Current Borrowing
Other Current Liabilities
Subtotal Current Liabilities
Long-term Liabilities
Total Liabilities
Page 5