Business Plan for a Pet Cafe: Maya's Heaven in Colombo, Sri Lanka

This report details the creation of a business model and plan for 'Maya's Heaven,' a proposed pet cafe in Colombo, Sri Lanka, offering catering services for both pets and their owners. The report begins with an executive summary, outlining the business idea, market analysis, and financial projections. It then presents a Business Model Canvas, analyzing cost segmentation, value propositions, distribution channels, customer relationships, revenue streams, key resources, key partnerships, and cost structures. A comprehensive business plan follows, including business details, market and industry analysis, competitor analysis, marketing and pricing strategies, and an operational plan. The report also includes a SWOT analysis and fiscal analysis to determine the viability of the pet cafe, concluding with a summary of findings and references. The cafe aims to provide a relaxing environment for pet owners and their furry friends, addressing the growing demand for pet-friendly establishments and offering unique services like veterinary care and private dining rooms.

Pet Café business model canvas and plan 1
Student’s name
University
Course
Date

Pet Café business model canvas and plan 2
Executive summary
The main purpose of writing this report is to create a business model and plan for my
proposed which will offer catering services for Pet and Pet owners. This café will be a place
where the pet owner will come and relax with their furry friend and human friends.
I got this business idea by analysing theories that are connected to creation of business plan
and pet issues. The next step I took was definition of the Business Model Canvas that would
be use by considering the life cycle face of the current market situation as well as the main
factors for success in the market.
Subsequently I will create a business plan for the business idea I have identified above, these
will involve business definition, economic overview, market & industry analysis, competitor
analysis, marketing & pricing and operation plan.
The last step in this report would be systematic analysis of SWOT for the business idea and
to perform fiscal analysis in order to determine the viability of the pet cafe and draw
conclusions scrutiny.

Pet Café business model canvas and plan 3
Table of Contents
1.0 Introduction...............................................................................................................................4
2.0 Business canvas.........................................................................................................................4
2.1 Cost segmentation.................................................................................................................4
2.2 Value proposition........................................................................................................................4
2.3 Distribution channel....................................................................................................................4
2.4 Customer relationship.................................................................................................................4
2.5 Revenue stream...........................................................................................................................5
2.6 Key resources...............................................................................................................................5
2.7 Key partnership...........................................................................................................................5
2.8 Cost structure..............................................................................................................................5
3.0 Business plan...................................................................................................................................5
3.1 Business detail.............................................................................................................................5
3.2 Market and industry analysis.......................................................................................................5
3.3 Competitor analysis.....................................................................................................................5
3.4 Marketing and pricing..................................................................................................................5
3.5 Operation plan.............................................................................................................................5
4.0 SWOT analysis.................................................................................................................................5
3.0 Financial requirements..............................................................................................................6
3.1 Start-up cost..........................................................................................................................7
3.2 Estimated cost….....................................................................................................................7
3.3 Fixed and running cost of the business..................................................................................7
3.4 Profit breakdown...................................................................................................................8
6.0 Conclusions......................................................................................................................................9
7.0 References.......................................................................................................................................9

Pet Café business model canvas and plan 4
1.0 Introduction
This report goal is to create a business model and plan for a Pet Café that would be located in
Colombo district, Sri Lanka. The name of the café will be ‘Maya’s heaven’ .My proposed pet
café would have two menus, one for the pet and another one for the human. The main
objective of the business s to provide a secure haven to dog owners who may wish to spend
some quality time outside their homes with their furry friends and in turn provide a socialistic
space for pets as well.
There will be full-time vet in case a pet get sick, there will be also a private dining rooms to
accommodate unfriendly. (Lysaght & Krupa, 2011).
I started the process of idea development by analysing the existing theories which are related
to Pet benefits and issues related to Pet in Sri Lanka. According to my research I found out
that most of the dog owners are after the best experience with their pets and they are treat
them like members of the family.
2.0 Business canvas
2.1Cost segmentation
Some clients are sensitive when it comes to pricing, they are driven by how much they will
have to pay than the services they get. My team and I will emphasize the benefits of selling
on value and just selling. It will be very crucial for my company to segment clients in groups
by different ways they choose saving their cash.

Pet Café business model canvas and plan 5
Similarly some clients are motivated the value of product or services and such customers do
not care much on the price. So it will be very important to consider the needs of different
customers.
2.2Value proposition
Sri Lanka has large dog population and most of the dogs are owned by members
of the family. The Pet owners are currently facing a challenge because there is no
bet cafe in the country, most of the existing cafes does not allow pets to be
brought inside the café.
My proposed Pet Café will primarily have two positioning types: convenient and
cheap positioning for catering services for pet and humans. We will try our best
to entice customers who will be willing to pay extra amount of money, to the
services in what institutes cross-selling strategy. The key benefit of this strategy
is that it would be easy to provide extra services clients who already exist than to
have new customers. Moreover if the clients are impressed with the new services
they will definitely be loyal to the café.
Customers who would be using Pet services for the emergencies would be
positioned in their mind to be cheap, moreover during the holidays customers
would be willing to pay more for extra pet services, in this case the pet services
will convenient and personalised. The organization do what it takes to be always
convenient for the customers.
2.3Distribution channel
When it comes to placement or the distribution of service, there are some thing that I will
consider. The first this will be how the clients will be able to reach the Pet café to demand the

Pet Café business model canvas and plan 6
services, and the second thing to be considered will be the area in which the business will be
operated.
When it comes to the channel for distribution our target customers will reach us, one of the
channel that my business would use will be through the café website. The website will enable
the patrons to book venues and reserve tables for all kinds of pet activities for instance pet
birthdays. The clients will also self-booking services. The technology will enable our clients
to contact us directly. Our clients will also be able to contact us via email Facebook and
phone calls.
The main booking of venues and table reservation will be conducted via the website but it
would be crucial for us to have a phone number, we would offer personalised service so we
should always be reachable to our customers at all time. Talking to the clients over the phone
ill enable the company to develop trust the customers.
The issue of location, the café will be located in Colombo district, Sri Lanka. In case our
business will be profitable of which I think will be, we will expand our sitter service in
Mount Lavinia and Battaramula both in Colombo district. I consider this place appropriate by
considering factors such as the level of competition, target population and the purchasing
power of customers.
2.4Customer relationship
I will try the best I can to constantly maintain a customized services for our clients in order to
extend the life time of our customers and capture the market share. I will always listen to the
customers’ needs and always be available to offer quick and urgent services. The channels
that will be used to maintain good relationship with the customers will include: App store,
Website, emails and phone calls (Ross, 2017).

Pet Café business model canvas and plan 7
2.5Revenue stream
My business idea will generate revenue in two ways. I will charge clients per hour for
spending their time in the café with the Pets and charging the customers for the food and
beverages they consume at the café.
2.6Key resources
The key resources that would be required for the business would be: the human assets,
intellectual assets and the physical assets in order for the company to run smoothly. These
include:
 Café space including the kitchen
 Kitchen equipment
 Vehicle
 Modes of payments
 Minimum of 10 employees to give services and the kitchen work
 Planning and banking knowledge skills
2.7Key partnership
The proposed Pet café will have many co-operative partners, nut the main partners would be:
 Pinecone Solutions- website management and handling of brand image
 Coffee roaster- supply coffee
 Pie witch- provides spicy pies
 General potential partner for the business

Pet Café business model canvas and plan 8
2.8 Cost structure
Start-up cost
The total capital required is estimated to be Rs 150,000
Legal 1,000
Stationary 500
Rental 50,000
brochures 500
insurance 1,745
Licenses/tax/deposits 5,000
equipment 36,300
Employees/ payroll 16,834
Accounting 1000
Advertising 2,000
supplies 5,000
Msc. Expenses 4,260
Total start-up expense RS 124, 439
Fixed expenses
Rent 50,000
5,000
1,200
1,748
5,000
2,000
Total fixed expenses Rs 64,945
Variable expenses
Salaries /wages 13000
Payroll expenses 2860
Legal / accounting 2000
Supplies 5000
Subscriptions 1000
Repairs and maintenance 2200
Outside services 1000
miscellaneous 2260
Total varaiable cost 31320
2019 2020 2021
Sales 563 760 676 512 879 465
Total units 43.200 51 540 67 392

Pet Café business model canvas and plan 9
Forecast for unit sell
Year 1 Year 2 Year 3
Human food 200 250 300
Pet food 150 180 250
Total units 350 430 550
Total units 1100 units
Value of the total sale
The value of the total sale for the first year of operation will be 43, 200, the second year will be
59,000 and the third year will be 63,000
Profit and loss
Sales 863 760 676 512 879 465
Variable expenses 75,840 451 008 541 209
Gross margin 187, 920 225 504 338 255
Fixed cost 64 945 64 945 64 945
Net profit 122 975 160 559 273 310
3.0 Business plan
3.1 Business detail
Asia has been the most popular continent with Pet cafes, the business has spread globally.
Now there are few Pet Cafes in Sri Lanka.

Pet Café business model canvas and plan
10
The business café is going to offer a place where people will relax with friends or relatives
and enjoy a meal or beverages. The café will also help the Pet they guard available for an
adoption.
This are the kind of activities that would happened at the Cafe during a typical working days
I. Taking good care of the pets
II. Giving pet any veterinary care
III. Welcoming clients
IV. Serving clients with food and beverages
3.2 Market and industry analysis
Target market
My proposed Maya’s café will target both high and medium level income earners in Sri Lank.
There is currently high demand of pet café in Sri Lanka due to rise of Asian Pet cafes, this is
creating a lucrative market in the country. The high demand pets in the market currently is
because of the associated advantages of having a pet. The benefits are as follows
Pet act as partners or playmates and they give affection, protection and companionship. They
place an important role in each and every stage of development of human, for instance, in the
issue of adults they give a reason for to contact with other people like dog walking. My
target market of Pet café business are the people who love pets. Pet lovers may appear in a
many reasons including:
 To enjoy time with pet friends and human friends.
 To hang out with relatives or friends in a cool environment
 To upkeep shelter that they trust in.

Pet Café business model canvas and plan
11
3.3 Competitor analysis
3.31 Advantages and disadvantages
In order to examine the presence of competition, it is important to consider other options that
may be readily available for the clients. If for instance someone may prefer to feed his pet at
home and have good time with the pet than going in to the café. Other people might decide
to take out their pet to veterinaries who would guard and offer the same services to the pet.
The following are the options that can be taken by the bet owner instead of using the services
of the Pet Café:
I. Friends, family and neighbours
This is the less costly option and the owner of the pet have confidence that the pet will
be well taken care of, the only challenge is that it is not easy to find someone who will
be taking care of the bet at a given time and the dog might also suffer psychologically
because it will be in unusual environment.
II. Taking the pet – this might be possible only during the holidays, in most cases it is
not realistic to carry pet when on business trips.
III. Catteries and kennels - another option that exist is taking pet to catteries and kennels
which is the cheapest. Nevertheless, most of this firms in Sri Lanka are operated by
charity associations or municipal institutions, they have low funds which causes the
poor conditions (Yoon & Jang, 2017).
IV. Veterinaries – most of the veterinaries provide the opportunity of caring and keeping
the pets in absence of the owners, this is sometimes impossible because of insufficient
space.
3.32 Direct competition

Pet Café business model canvas and plan
12
My business idea is closely for pet café may be substituted by Pet Sitters and Pet Walkers
companies that are already existing in Sri Lanka, since we will be offering nearly same
service. In this case we will develop strategies to enable us compete favourably with the
competitors (Rattanasilpkalcharn, 2016).
3.4 Marketing and pricing
3.5 Operation plan
Our day to day operations of the Pet Café include the concentration in providing our clients
with the best services and also the fun atmosphere for friends and relatives.
We will understand that the main aim of our business will be to provide Pet service for our
client to have a good time, and we will always remain focused in utilizing the resources the
resources available in order to provide clients with the best services (Niijima, 2016).
IV.0 SWOT analysis
In regards to threats and opportunities it is pertinent to remark that they are external issues
that would affect the company. In this case I will discuss strengths and weakness and
opportunities for my proposed Pet Café which has not been initiated yet, this means that it is
just a projection points and they may definitely vary with time.
Strengths

Pet Café business model canvas and plan
13
I. It will be possible to personalised service according to the needs of the clients
II. Partnership with other companies.
Weakness
I. Since the business will be new in the market the outcome will be unpredictable
II. I being the owner of the café I have no experience and I have never operated the
same business.
Opportunities-
I. There is high growth of number of people with pets in Sri Lanka
II. The proposed business is unique because no other pet café exist in Sri Lanka.
Threats
I. There are other companies offering pet services hence there is competition threat.
II. Existence of substitutes.
4.0 Financial requirements
Below is the fiscal analysis for the projection that is based on the assumptions
Fixed assets
Tangible fixed asset 50000
Intangible fixed asset 20000

Pet Café business model canvas and plan
14
Capital assets 30000
Long-term capital
Share capital 50000
Reserves 10000
Profit and loss carried forward 0.0
Other expenses 20000
Total 180000
4.1Start-up cost
The total start-up cost for the business will be RS 180, 000 this is the total initial
amount of money that will be needed to operate the Pet cafe.
I will need to consider cost of three kinds, that food cost, payroll cost and other
costs. In the payroll costs there is the cost for workers and the manager.
Cost of the workers is a commission of 40 percent of the value that I will be
received in the business, in this case there would be a variation in the amount
needed for the workers. This would be an advantage because when there is need
for extra workers, there would be no burden top the regular workers because the
cost would be the same.
4.2Fixed and running cost of the business

Pet Café business model canvas and plan
15
When it comes to the running cost it is very crucial to say that my Pet Café will
not have clients or inventory because the amount of food that is purchase
monthly will be the ordered amount only and payments by the clients will be
either done by bank transfer or by bank ((Yoon and Jang, 2017).
There are also other cost that will be incurred like insurance, administrative cost,
treasury security reserve. The supplies value will be supplying the pet food. The
projection of the fixed cost is estimated to be 100, 000 Sri Lankan rupee.
4.3Profit breakdown
The projected net earnings of the Pet Café will in year 1 will be low and it will
keep on increasing in the subsequent years. The table below shows the profit
breakdown for the first 3 years.
2018 2019 2020
195,000 250,000 265,000
5.0 Conclusions
I consider this business idea for the Pet Café to be financially viable if it would generate the
projected net profit, my recommendation to the entrepreneurs is to invest in the industry.
However, investors should remember risk sometimes exist in each and every project and
there is always threat that the real results that would be will be far different from what is
predicted in the business plan (Mezur, 2017).

Pet Café business model canvas and plan
16
More specifically to this business plan variation on demand do exist depending on the
country. In case of lower demand the price would be reduced and the vice versa. Lowering
the price would mean that low earning would be generated in the business and thus the
business will not be viable. According to my research I did before thinking of the business
idea I found out that there is always high demand of Pet services in Sri Lanka and thus I am
confident that my Pet Café would be economically viable (Ka, 2015).

Pet Café business model canvas and plan
17
7.0 References
Gill, L., Atkins, S., Ramsey, P., & Schaddelee, M. (2017, June). Detecting Sincerity in World
Café Experiences en Route to Q-Sorting. In ECRM 2017 16th European Conference on
Research Methods in Business and Management (p. 122). Academic Conferences and
publishing limited.
Ka Leong, C., 2015. Is the blooming of coffeehouses in South Korea at risk?. International
Journal of Tourism Sciences, 15(3-4), pp.110-120.
Lysaght, R., & Krupa, T. 2011. Social business: Advancing the viability of a model for
economic and occupational justice for people with disabilities. Kingston: School of
Rehabilitation Therapy, Queen’s University.
Mezur, K., 2017. Girls’ R’Pets: The power of Kawaii Shôjo (Cute Girl) and Pet/Girl
performance. Performance Research, 22(2), pp.54-62.
Niijima, N., 2016. Chats, Cats and a Cup of Tea: A Sociological Analysis of the Neko Café
Phenomenon in Japan. In Companion Animals in Everyday Life (pp. 269-282). Palgrave
Macmillan, New York.
Rattanasilpkalcharn, R., 2016. A study of factors influencing behavioral intentions to
repurchase towards Cat Cafe in Thailand: a case study of Cataholic Cafe.
Ross, N. (2017). Marketing and Advertising for Small Business in Local Economies.
Yoon, S. Y., & Jang, M. K. 2017. Creation of Visual Culture in Seoul Business Signboards:
The Seoul Good Sign Contest, 2009–2013. The Design Journal, 20(2), 199-217.
Yoon, S.Y. and Jang, M.K., 2017. Creation of Visual Culture in Seoul Business Signboards:
The Seoul Good Sign Contest, 2009–2013. The Design Journal, 20(2), pp.199-217.

Pet Café business model canvas and plan
18