Grinded Beans: A Business Plan for a Coffee Shop

This report outlines the business plan for Grinded Beans, a coffee shop with a focus on quality beverages and food products, good customer service, and a family-friendly atmosphere. The report includes details on the investment required, the menu, services offered, and return on investment. The business plan is backed up by statistical data and includes a SWOT analysis. The report also discusses the professional skills required to run a successful coffee shop.

Professional Skills

Table of Contents
INTRODUCTION ..........................................................................................................................2
MAIN BODY...................................................................................................................................2
1. Outline of the product or service idea.....................................................................................2
2.Statistical data to back up the idea ..........................................................................................4
3. Why the idea is investable (Business plan summary, return on investment) .........................4
4. Investment would be used for ..............................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9
1

INTRODUCTION
The presentation will represent the business idea of coffee shop. The name of the
business will be Grinded Beans. The business pitch of Grinded Beans with the seed investment
of £ 100000. Seed capital which refers to the fund which is required for the new business for the
purpose of research, legal costs, development, business plan and initial expenses. Grinded Beans
will be established at a location which is easily accessible, targeting the people on their way to
work and a family friendly shop. The chosen business idea will be considering all the factors
and details in order to make use of all the capital and assets of the business. The ultimate goal of
the cafe will be to offer the best quality beverages and food products with good customer service.
The business will provide the food which will be at made with the help of freshly made
ingredients and best chefs (Karsai, 2018).
MAIN BODY
1. Outline of the product or service idea
The Grinded Beans will focus on providing such product and services that will help the new
business to attain the goals and objectives. The chosen set up will work upon keeping the
employees satisfied with the help of services. The menu of the cafe will contain various items
such as Coffee beverages, other beverages, snacks, cakes and many others.
Menu is explained below-
Beverage Menu
Beverages-
Espresso
Cappuccino
Filtered Coffee
Decaffeinated coffee
Iced Coffee
Cold Brew Coffee
Turkish Coffee
Coffee With Milk
Black Tea
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White Tea
Alcoholic Beverages-
Irish Coffee
Brandy Coffee
Snacks Menu
Sandwiches-
Eggplant sandwiches
Coleslaw sandwiches
Hot Marinated olives sandwiches
Vegetable Cheese Grilled Sandwiches
Cheese Grilled Sandwiches
Burgers-
Vegetable Burger
Cheese Vegetable Burger
Cookies-
Double Chocolate chip cookies
Wheat Cardamom Cookies
Salad
Sum ton salad
Corn potato salad
Greek salad
Fruit salad
Services offered
Grinded Beans will focus on providing the loyalty cards, and seasonal drink specials in order to
be more appealing to attract the customers (Watson and et.al., 2021). Different services will also
be provided such as friendly environment and it is also essential to have staff with good
communication and leadership skills.
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2.Statistical data to back up the idea
Coffee is something which keeps people awake and this industry is on peak that is why the
demand of the coffee and snacks and this industry is flexible and can be changed as per the
requirement of the customers preferences. Success of the coffee shop industry can be measured
by having an efficient and effective cost management for that credit goes to the high profit
margin of the coffee shops along with the low cost of stock involved in the business.
Discussing the statistics as a whole, the bag of coffee beans usually cost between £ 15 to
£ 20 per kilo and each bag holds a serving of at least 120- 140 people. Hence it can be said that a
single coffee costs £ 2.45 which shows that on each cup the vendor earns £ 2.29 which is a gross
profit of 93.5% for the business (Brush, and et.al., 2018).
3. Why the idea is investable (Business plan summary, return on investment)
The idea is investable because the coffee can be paired with other foods, drinks and sundae as it
is famous globally and the hospitality industry is booming due to increase in number of jobs.
Moreover, it is an evergreen industry in the present scenario and the overall analysis of the
Grinded Beans is explained below that will contain the sstrengths, weaknesses, opportunities as
well as the threats of the new business idea -
Strength
 Grinded Beans will focus upon the
making the customers satisfied by
working as per their requirement in
order to achieve the desired goals.
 Grinded Beans has effective cost
management and it has best quality of
coffee with the best décor to attract the
customer base.
Weakness
 In the market, the existing competitors
of the chosen business can be
considered as a weakness for the
business as it led to decline the market
share. For example, the competitor like
Starbucks has a strong customer base
and a strong image in the market.
 As the business is new and the owners
are new to the business and therefore,
lack in experience can be a weakness
for the business. To get rid of that
proper research can be helpful in
overcoming with the drawback.
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Opportunities
 As the coffee addicts are increasing that
can be an opportunity for the coffee
business. The coffee lovers have a huge
contribution towards the increase in the
revenue generation for the coffee shops
in the region of the United Kingdom.
 Grinded Beans can look for such
location in United Kingdom which can
be an opportunity to attract the
customers are gas stations, schools,
colleges and many others (Ahlstrom,
Cumming and Vismara, 2018).
Threat
 Extra money spent on the equipments
can be a wastage of funds in the matter
of business operations and this threat
can be overcome by making proper
plans and execution.
 The situation of pandemic can be a
threat for the new business as it can
disturb the whole operations of the
business.
 As in the case of coffee shops, one of
the main threat is the legal obligations.
Government has formulated some rules
and regulation during pandemic can
have a huge impact upon the business
which require to be implemented in the
pandemic.
Business summary
Name of the cafe will be Grinded Beans that will contain the seed investment that is £
100000.The main goal of the Grinded Beans will be to offer the best coffee, beverages and food
products along with best customer service (Bertassini and et.al., 2021). The business will aim at
offering foods with the help of freshly made ingredients and well trained staff with the customer
service. The menu of the drive through cafe will comprise of Coffee Beverages, Other
Beverages, Snacks and many others. The vision of the Grinded Beans will aim at providing the
wide range of coffee, sandwiches, snacks, other beverages with affordable price and suitable
quality with quantity.
Grinded Beans will focus upon providing the best services including the soothing and
comfortable environment to its customers with the help of attractive interiors and soft music
(Retnanto and et.al., 2019). The set up of the chosen idea might not be as great as Starbucks or
Costa Coffee but the focus will be upon the providing the best in class taste at affordable prices
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for the customers. It will help the chosen business to carry out the heights of success in terms of
market share (Tan and Laswad, 2018). The aim of Grinded Beans is to hire people that are best,
suitable well qualified, engaging , customer centric as well as honest that will assist in having a
prosperous business and will also help in providing benefits to the owners, customers and
employees in order to get the tasks done at the organisation. The main job roles that will be
appointed at Grinded Beans will be are Owner, Accountant, Human Resource Manager or
Admin, table Attendant, Cleaners, Delivery persons and staff.
Return On investment
Return on investment is said to be the formula which is used to evaluate the investment
so that the level of performance can be ascertained by comparing with others. It is used to take
investment decisions (Harris and Lloyd, 2021). Return on investment is a crucial factor which
needs to be considered while establishing the business. Several researches have shown that an
average coffee shop business has a profit margin of 13% from the several products that are being
sold by the business. It simply states that after selling a cup of coffee, the owner or the vendors
save 13% of the money after deducting the expenditures. Several researches have helped in
making the interpretation that in the year 2021, the branded coffee shop sector was valued for
more than 3 billion pounds in terms of revenue ( Russo, Spreafico and Precorvi, 2020).
Moreover, over 9000 outlets were comprised within the report that considerable made a profit of
over 300000 pounds on an average. It can be considered as quite impressive amidst the situation
of the pandemic and its impact over the retail and hospitality sector.
Some renowned business platforms have also stated that small independent coffee shop is
between £ 100000 to £ 150000 and nearly 20% of the cafe have accomplished to this level. Also
nearly 5% of the cafes have a turnover of more than £ 25000 while 12% of the market
participants could make up to a turnover of more than £ 250000 (Santo and Puca, 2020).
4. Investment would be used for
Before starting any business, it is essential to arrange the initial investment for forecasting the
budget for the Gsrinded Beans. A huge amount of investment will be required to run the business
setup in order to look after the employees and keep customers satisfied. In order to enhance the
level of productivity, creativity is also required. Such as main focus is required on tools,
equipments and staff. A detailed analysis of the use of investment or the seed capital within the
business has been budgeted below-
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Expenses Cost of expenses (£)
Registration fee £ 500
Legal expenses £ 500
Promotional expenses £ 1500
Business consultant fee £ 1000
Insurance £1200
Rent £ 10000
Start up expenses £ 1000
Operational costs along with the salaries £ 25000
Inventory costs £ 10000
Cost for coffee maker £ 200
Food service equipments £ 8000
Storage Hardware (Bins, shelves, etc.) £ 2500
Counter area equipments £ 6000
Cost incurred in store equipments £ 3300
Cost of purchasing the vehicles for delivery £ 22000
Furniture and equipments £ 4000
Cost incurred in website launch £ 300
Inauguration expenses £ 3000
Miscellaneous expenses £ 5000
Total Expenses £ 100000
While setting new business that is the setup of coffee shop will comprise of an
investment of £ 100000 and it will comprise of expenses in the above mentioned manner. The
investment will be made as per the planned expenses above so that the further wastage of funds
can be avoided (Hor and et.al., 2021).
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CONCLUSION
It can be concluded from the above report that seed capital is required at the initial level
for the business on order to develop the idea for a new set up or business. It can be concluded
from the presentation that the business idea should be properly planned and executed. It is
important to manage the structure of business for the purpose of establishment. Business plan is a
plan which is used to explain the main objectives so that the goals can be achieved and the
business plan also includes about the services, products and the budget. Before starting a new set
up, it is required to do market research so that the investment criteria can be analysed. Moreover,
it is essential to influence the return on investment so as to conclude the business as profitable.
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REFERENCES
Books and Journal
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resource acquisition to a theory for acquiring financial resources-how should digital
ventures raise equity capital beyond seed funding. Journal of Business Venturing
Insights, 16, p.e00278.
Santo, A.D. and Puca, A., 2020. Seed Stage Valuation and the Venture Capital Method. Early
Stage Valuation: A Fair Value Perspective, pp.81-110.
Ahlstrom, D., Cumming, D.J. and Vismara, S., 2018. New methods of entrepreneurial firm
financing: Fintech, crowdfunding and corporate governance implications. Corporate
Governance: An International Review, 26(5), pp.310-313.
Brush, C., Greene, P., Balachandra, L. and Davis, A., 2018. The gender gap in venture capital-
progress, problems, and perspectives. Venture Capital, 20(2), pp.115-136.
Watson, R.T., Lind, M., Delmeire, N. and Liesa, F., 2021. Shipping: a self-organising ecosystem.
In Maritime informatics (pp. 13-32). Springer, Cham.
Karsai, J., 2018. Government venture capital in central and eastern Europe. Venture
Capital, 20(1), pp.73-102.
Russo, D., Spreafico, M. and Precorvi, A., 2020. Discovering new business opportunities with
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Bertassini, A.C., Zanon, L.G., Azarias, J.G., Gerolamo, M.C. and Ometto, A.R., 2021. Circular
Business Ecosystem Innovation: A guide for mapping stakeholders, capturing values,
and finding new opportunities. Sustainable Production and Consumption, 27, pp.436-
448.
Tan, L.M. and Laswad, F., 2018. Professional skills required of accountants: what do job
advertisements tell us?. Accounting Education, 27(4), pp.403-432.
Harris, D.L. and Lloyd, J.W., 2021. Teaching of professional skills in US colleges and schools of
veterinary medicine in 2019 and comparisons with 1999 and 2009. Journal of the
American Veterinary Medical Association, 259(4), pp.379-384.
Retnanto, A., Fadlelmula, M., Alyafei, N. and Sheharyar, A., 2019, September. Active student
engagement in learning-using virtual reality technology to develop professional skills
for petroleum engineering education. In SPE Annual Technical Conference and
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