Business Plan for Food+ Restaurant

This report presents a business plan for a start-up food restaurant named Food+. It includes various analyses such as PESTEL, SWOT, and Porter's Five Forces, along with marketing plans, operational management, and financial plans. The report provides insights into the food industry and how to establish a successful business in it.

Business Plan

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY ..................................................................................................................................3
Business Idea...............................................................................................................................3
PESTEL.......................................................................................................................................4
SWOT.........................................................................................................................................5
Porter's Five Forces.....................................................................................................................5
Marketing Plan............................................................................................................................7
Operational Management ...........................................................................................................8
Financial plans............................................................................................................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
This report consider a brief presentation of a business plan with a start up business idea.
Business plan refers to the brief blueprint for the operations needed to establish a business
(Ahmed., 2019). This business plan consider various type of business models which provide
support in the success of this start-up. This report contain marketing plans that provide
understanding about their competitors. This plan also include brief discussion about various
operation which are performed by the businessman that includes hiring staff, marketing channels,
purchase of machinery, supplier and prepare risk management strategies. Before establishing
business it is important to prepare financial plan which ensure that the funds are utilise in
effective manner.
MAIN BODY
Business Idea
Food industry is the largest sector in the UK so this report consider the business plan on a
food restaurant (Atang., 2018). The name given to this restaurant is “Food+”. This name
combined with two words where food related to the meals and + refers to the healthy products, +
is the sign of health. This start-up established in the centre of London city which provide quality
of food variety along with the healthy drinks and snacks.
Mission and objectives
The main objective behind every start-up is to generate maximum profits along with the
growth of the firm in the market. Food+ restaurant focuses to provide healthy food which help
people to stay fit. The main objectives of the firm is to generate profits and also increasing the
value of the firm at the marketplace.
Food+ has to analyse various marketing strategies which help in the success of plan.
These strategies include PESTEL analysis, SWOT analysis, Porter's Five Forces. This strategies
help businessman to decrease the risks and threats of the markets. These strategies are discussed
below:

PESTEL
This business strategy help firm to understand the macro environmental factors to prepare
financial budgets in efficient manner (Hilman, Supariyanto and Suganda, 2021). This strategy
help Food+ to target the potential consumers or market.
Particular Description
Political  The government policies may change over time which affect the
business operations. These policies also affect the whole market which
increase the competition in the market.\
 the policies related to health and wellness also affect business-plan and
tax policies may increase the cost of production or operations.
Economic  Increasing labour rates can be a thing to concern for the Food+ because
it rise the cost of production and resulting it also decrease the restaurant
profits.
 Increase in the price of raw material can also increase the prices of food
items and slowly growing economy also a big concern for firm.
Social  The busy lifestyle of consumers has raising the dependency of prepared
food which is available in restaurants.
 Many people prefer only home cooked food because they think
restaurant not making healthy foods.
Technological  Technological advancements influence the business operations in
positive manner and it may improve the quality of product.
 It may decrease the cost of production and software update can provide
new features (Mohd Gous., 2020).
Environmental  Every organisation work with the support of government that help to
lowering the risk of environmental damages.
 Food+ restaurant has to develop strategies for recycling and waste
management that increase the value of restaurant in the eyes of
customers.
Legal  With the changing government regulations, company has to change

accordingly in order to increase growth.
 Company has to adopt techniques with increase the safety and security
of the consumers and employees which neglect the future uncertainties.
SWOT
Swot analysis is the bunch of various factors that provide understanding about company's
position and risks. It includes Strengths, weakness, opportunities and threats (Mohd Rozee, and
et.al., 2021).
Strengths
 Provide best services.
 Main concern on hygiene.
 Provide best food at low price which
bring satisfaction.
 Best Ambience which makes costumer
happy.
 Provide different varieties in Menu
Weakness
 Lack of capital which bring some
difficulties.
 lack of promotional activity.
 lack of technological knowledge.
Opportunities
 To became the restaurant famous.
 To bring or add new Dish item which
helps in boosting the business.
 To increase the goodwill of restaurant
so that the owner can earn higher profit.
Threats
 Cut-throat competition.
 Fake Rumours.
 Change of taste & preference.
 Improper Management of beverages.
Porter's Five Forces
Porter's five force model helps in analysing the impacts of an industry on a company's
profitability (Osman and et.al., 2019). Porter's five force analysis suggests how can Food+ hold
its profitability and position in the growing Food industry.
Particulars Description
Power of customers Customers are always in search of options, with that being said, more

the number the number of products offered, more power the company
can acquire and vice versa. Food+ provides very limited number of
products which is a threat to their profitability in the long run. To gain
power in the market the company can do the following:
 Strengthening customer database, by doing so the company
can stick to their deals and not provide discounts to the
customers in the fear of losing them
 Innovation, if they keep launching new meals in the market
the bargaining power of customers will reduce. New products
will restrict the customers to go to its competitors. Hence,
increasing profits (Singh, Sontakke and Nayak., 2020).
Power of suppliers Most of the restaurant buy raw material from a number of suppliers.
Suppliers that have a dominant position exploit these restaurant and
sell them goods at higher prices which lowers the profit.
 Having a well organised supply chain with numerous
suppliers.
 Trying out different materials for the manufacturing of
product, in case the price of a certain increases in future.
 Having suppliers whose business depends on Food+ so that
their bargaining power reduces.
Threat of new entrants New entrants in this industry would require huge investments and
goodwill as the financial industry is dominated by names who have a
good deal of assets with a decade of experience.
Competitive rivalry Rivalry in a market affects the prices and the profits of a company.
This fierce competition can be tackled by following
 Having a differentiated product or service range.
 By scaling, so that it can compete with the ever growing
companies (Sukmanagara., 2020).
 Joining forces with other companies and increasing the market
share instead of competing for a smaller percentage of share.

Threat of substitutes When a new product or service is launched, it hampers the profits of
other companies. For example, introduction of Paytm and Phone pe
wallets has affected the companies application and online banking
usage which reduces the traffic on their websites. Therefore,
substitution threat is real and Food+ is close to low. Substitution threat
can be addressed by following solutions
 Increasing and enhancing services rather than focusing solely
on products offered.
 Understanding the needs of the consumers.
 Increasing the cost of switching from one bank to another.
Marketing Plan
Preparation of marketing plans help to boost the visibility or presence of business in the markets.
This plans includes the promotional and advertisement process which help business to get in
touch with large number of people (Sıcakkanlı and Göktürk., 2021).
Particulars Description
Product  Food+ deals in various type of food services which will be
different from its competitors.
 Company serves healthy products which are prepared keeping in
mind the needs and wants of the consumers.
Price  Company has to decide prices according to their competitors and
customers.
 These prices should be nominal for consumer which also satisfy
the cost of production and generate favourable profits for the
restaurant Food+.
Place  It is a very important aspect because location of business is
suitable for its operations for example: In the market of vegetable,
shop of stationery is not running.
 Food+ choose the centre of market to attract the maximum

number of people (Elshaer, Fouad and Sobaih., 2021).
Promotion  Company has to adopt various promotional and advertising
techniques to attract various people. These techniques includes
social media advertising, search engine optimisation.
 Company has to offer various discounts to get in touch various
people.
Operational Management
It refers to the part of business concern about the administration of business operations to
increase the efficiency within the organisation (Turiace., 2022). This management process
consider planning, organising and tracking the business activities to balance revenue and costs in
order to gain higher profits.
Particulars Description
Operation management  Management has to arrange operational objectives in order to
direct each and every activities.
 Food+ has to guide managers and employee during work with
pride to achieve the goals of the organisation.
Operate products  To enter in the competitive market Food+ has to offer different
product and better service from its competitors.
 Food+ main object to provide healthy meals which does not
harm the fitness of any customer. It has to serve quality
products in order to satisfy needs and wants of consumers.
Operate delivery  Operational delivery include the distribution channels, chain of
supply, quality management. The main objectives of supply
chain is to provide products on time to consumers.
 The food industry mainly dependent on the supplier which
provide raw material, packaging material, equipment etc.
which meet the demand for Food+ restaurant.
Operational cost  This strategy mange the cost of overall activities and its main

objective is to utilise the firm's funds in most efficient manner.
 Food+ operational cost includes electricity cost, water bills,
mobile bills etc which has to be managed to increase the
profitability of the firm.
Financial plans
Financial plan refers to the roadmap which prepared by the firm to provide direction to
achieve goals (Liu and Tse., 2018). Financial plan is very important aspect of a business
organisation to reduce the wastage of financial resources which increase the profitability of the
firm.
Cash Flow forecast for 2 years ending as under:
2018 (£) 2019 (£)
CASH INFLOWS
Investments 15000 12000
Loans 5000 3000
Total inflows 20000 13000
CASH OUTFLOWS
Marketing 2785 2568
Material 3684 3495
Wages 5231 4965
Other Expenses 1348 1245
Total outflows 13048 12273
NET CASH FLOW £6952 £727
Projected Profit and loss statement for two years:
2018 2019
Sales (Revenue) £26000 £31000
Less Cost of Sales
Raw Materials 7835 8300
Freight 8229 8321

Total Cost of Sales 16064 16621
GROSS PROFIT £9936 £14379
Less Expenses (Operating expenses)
Wages 2054 2096
Electricity 1289 1239
Insurance 1410 1410
Rent 1652 1652
Depreciation 950 950
Office supplies 1512 1752
Total Operating Expenses £8867 £9099
Breakeven
NET PROFIT £1069 £5280
Star-up resources needed (these will include operating
resources)
Costs
Equipment £1200
Office Space £750
CONCLUSION
The report prepared as above denotes the examination of SWOT and how they can be
helpful in assessment and examination of factors which would be helpful in running a business
through competitive environment as well. It further would explain the usefulness of business
plan being prepared and developed over a period of time. Business plan helps to understand the
importance of development of financial statements which would be helpful to prepare well in
advance as what is to be done and how it can be done as well. The report would be helpful in
carrying out analysis regarding the running and functioning of business over a period of time.

REFERENCES
BUSINESS PLAN REFRENCES
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