Entrepreneurship: Business Plan for The Burger Factory

This report discusses the business plan for The Burger Factory, a fast-food restaurant, and analyzes the factors that can impact its success. It covers the products and services offered, target market, marketing and sales strategies, operational structure, and funding options.

Entrepreneurship

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Entrepreneurship is a process in which high-level of risk is taken by the entrepreneur for
setting up a business (Belz and Binder, 2017). With it, the entrepreneurs are able to make sure
that they earn higher-level of profits in the future time period by providing the customers with
the right products and services. In this report, detailed discussion will be made on business plan.
The plan will be created for The Burger Factory. It is a fast-food restaurant. In this business plan,
detailed analysis will be made on the multiple factors which can create an influence on the
business in the short-term and long-term.
MAIN BODY
Name of the business- The name of the business will be The Burger Factory. It will be
operated in the sole trader mode. The sole trader mode is preferred because the size of the
business is small in nature. Also it requires limited investment to be made in it. Therefore the
sole trader mode is highly suitable for it to carry on its operations effectively and efficiently. In
this way the entrepreneur will be able to pay more attention towards the functioning of the
business and will be able to properly manage it. Thus it is required from the part of the
entrepreneur to identify the right approach to be adopted for the management of the business in a
highly effective manner. With the adoption of Sole Trader Mode of operation the business will
be able to achieve its goals and objectives in the future time period. Therefore it will be suitable
for it to operate in this mode.
Products and Services offered-
Products-
 Burgers- The Burger Factory will provide different types of burgers to its customers.
This will be its main product and high-level of focus will be made on it. Therefore the
company will aim to provide the burgers at reasonable rates to its customers so that they
can be attracted towards it.
 Other Fast Food Items- The Burger Factory will also provide various other fast food
items to its customers like French Fries, Pizza, Pasta, Sandwich etc. The firm will there
fore provide a good variety of items to its customers.
Services-
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 Orders through app- The Burger Factory will develop its own mobile app through
which it will take orders for home delivery of the different items as ordered by the
customers.
 Home Delivery- The Burger Factory will provide home delivery of the food items to its
customers which will therefore help them so that they are able to get their orders
conveniently at home.
Identification and analysis of market opportunity-
 Size of target market- The target market of The Burger Factory will be the young
generation of customers which is fond of fast food items (Fayolle, 2018). This generation
likes to try new food items which are tasty and therefore it is a good market which can be
targeted by the firm for earning profits.
 Value of target market- The Burger Factory's target market has a distinct value. It offers
it a chance to identify the right potential customers for the purpose of growth and
expansion in the future time period.
 Trends of target market- In the target market of The Burger Factory there are various
types of trends such as Growth of app-based business, Growth of home-delivery business.
The business needs to work according to them so that it is able to attain sustainable
success in the future time period when compared to the competitors.
Sales and Marketing Strategy-
Marketing Strategy- Marketing Strategy is a small part of Business strategy. While
Business Strategy deals with manufacturing, operations, procurement etc. A Marketing Strategy
looks forward at the marketing mix, business environment and other marketing related areas.
(What is Marketing Strategy?, 2020).
Product- The products of The Burger Factory will be burgers and other fast food items.
Focus will be made on bringing some other fast food items in the future.
Price- The Burger Factory will adopt penetrative pricing strategy for its products and
services because in this way it will be able to target the market and earn sustainable level of
profits.
Place- The Burger Factory will set up its business in London, United Kingdom. It will
identify the potential customers in the different parts of cities and apply aggressive strategies to
be able to target them.
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Promotion- Strategies will be adopted for aggressive promotion by the firm to target its
potential customers. The Burger Factory will be able to get ahead of its competitors in this
manner.
Sales Strategy-
Business Model- The Business Model of The Burger Factory will be operation through
restaurant and providing online orders to the customers by taking them through its mobile app
(Malecki, 2018). Thus this type of model is required nowadays for the restaurant business to
succeed in the market against the competitors.
Main Revenue Streams-
 Sales at restaurant- The Burger Factory will generate its main revenues from the sales
made at the restaurant. This will be its primary source of income.
 Online orders- The Burger Factory will also generate its revenues through the various
online orders. This will be its secondary source of income.
Competitor analysis-
Basis The Burger Factory The Posh Burger
Pricing The price of The Burger
Factory's products and services
will be lower as it wants to
penetrate the market.
The Posh Burger has
comparatively higher rates for
its products as well as services.
Marketing There will be more
expenditure made by The
Burger Factory on its various
marketing strategies in the
market.
The Posh Burger makes
comparatively less expenditure
on its marketing strategies in
the market.
Offers Attractive offers will be
provided by The Burger
Factory to its various
customers in the market.
Offers made by The Posh
Burger are not as attractive in
comparison with The Burger
Factory.
Promotion Aggressive promotional
strategies will be used by The
The Posh Burger makes use
basic promotional strategies to
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Burger Factory for its products
and services.
target its customers.
Thus, from the above competitive analysis it can be concluded that The Burger Factory
has a strategic edge over The Posh Burger due in terms of Pricing, Marketing, Offers and
Promotion.
Operational structure-
Key Suppliers- There will be a specific requirement of raw materials for the purpose of
making of burgers and other fast food items (Meyer, Neck and Meeks, 2017). The Burger
Factory will need to target the right suppliers from which it can obtain these raw materials.
Production Process- The Burger Factory will make use of advanced techniques for
making burgers and other fast food items. In this way it will be able to reduce its cost of
production to a great extent which will therefore help in the maximization of profits.
Key Logistics- The Burger Factory will use the approach of getting the raw materials
from its suppliers for its fast food items and utilizing them so that they are able to provide the
right products to the customers for their consumption.
Cash Flow Forecast-
Profit and Loss Statement-
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Sources of funds-
 Venture capital- Venture capital is a source of fund which is used by plenty of new
businesses within the market (Nambisan, 2017). In it, the funds are provided by various
venture capitalists to the owners the businesses for starting their business operations. The
Burger Factory can make the use of this source so that it is able to get the required
amount of finance for its business operations.
 Commercial Banks- Businesses can get loans from Commercial Banks for starting their
business operations. This can be offered for collateral security or without it. These can be
either Short-Term, Medium-Term or Long-Term in nature. The Burger Factory can
obtain the funds which it requires from these commercial banks by obtaining the right
loan from them.
 Business Angels- Business Angels are certain wealthy individuals who can provide the
required funds for starting a particular business. They can provide them to the businesses
at a lower rate of interest. The Burger Factory can use this source of fund so that it is able
to obtain its funds at a lower rate of interest for its operations.
 Grant Institutions- Grant Institutions provide funds ranging from short-term to long-
term needs of the businesses. Sometimes these funds are provided by these institutions on
an interest-free basis. The businesses can make their use for their diverse needs as well as
requirements. The Burger Factory can make use of these funds for starting their business.
Justification- The Burger Factory can obtain funds from Commercial Banks because by
obtaining them from Banks the business will be able to make sure that it gets the right amount of
funds for its diverse needs and requirements.
Use of investment capital-
 Setting up of business- The investment capital obtained can be used for the purpose of
setting up of the business operations (Nambisan, Siegel and Kenney, 2018). The Burger
Factory will use it in order to set up its business operations. In this way it will be able to
start the business operations in an effective manner.
 Setting up of premises- The use of investment capital will be made so that the premises
can be set up. The Burger Factory will be able to make its use by setting up its premises
for operating the restaurant.
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 Advertisement expenses- Investment Capital acquired can be used for the purpose of
advertisement expenses also. The Burger Factory can make its use for the purpose of
advertisement of its products and services so that it can target the right customers in the
market to obtain a strategic edge over the competitors.
 Promotional expenses- Investment Capital can be used for the purpose of the promotion
of products as well as services (Terjesen, Hessels and Li, 2016). The Burger Factory can
make sure that it is able to use it an effective manner for the promotion of its products
and services. It will do offline as well as online promotion of its products and services.
Therefore in this way it will identify the right ways and methods in which the potential
customers can be targeted with attractive promotional offers which will result in the
increase of its revenues and the overall profits.
 Other expenses- There are plenty of miscellaneous expenses which keep incurring while
running a particular business. In the context of The Burger Factory, these will be incurred
when it starts its operations in the market. Thus the use of investment capital can also be
made for the meeting of these expenses in an effective manner.
CONCLUSION
From the above report it can be said that entrepreneurship is a process through which risk
is taken by an entrepreneur to start a new business. Starting of a new venture involves framing of
a business plan and therefore there is a requirement to frame it in the correct manner so that the
results are obtained.
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REFERENCES
Books and Journals:
Belz, F. M. and Binder, J. K., 2017. Sustainable entrepreneurship: A convergent process model.
Business Strategy and the Environment. 26(1). pp.1-17.
Fayolle, A., 2018. Personal views on the future of entrepreneurship education. In A research
agenda for entrepreneurship education. Edward Elgar Publishing.
Malecki, E. J., 2018. Entrepreneurship and entrepreneurial ecosystems. Geography Compass.
12(3). p.e12359.
Meyer, G. D., Neck, H. M. and Meeks, M. D., 2017. The entrepreneurship‐strategic management
interface. Strategic entrepreneurship: Creating a new mindset. pp.17-44.
Nambisan, S., 2017. Digital entrepreneurship: Toward a digital technology perspective of
entrepreneurship. Entrepreneurship Theory and Practice. 41(6). pp.1029-1055.
Nambisan, S., Siegel, D. and Kenney, M., 2018. On open innovation, platforms, and
entrepreneurship. Strategic Entrepreneurship Journal. 12(3). pp.354-368.
Terjesen, S., Hessels, J. and Li, D., 2016. Comparative international entrepreneurship: A review
and research agenda. Journal of Management. 42(1). pp.299-344.
Online
What is Marketing Strategy?. 2020. [Online]. Available through:
<https://www.marketing91.com/marketing-strategy/>
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