Enterprise and Business Development: Art Table Business Plan

This document presents a comprehensive business plan for a food restaurant named "Art Table," detailing various aspects crucial for its establishment and success. The plan begins with an introduction outlining the purpose and significance of a business plan, followed by the main body encompassing business details, macro-environmental analysis using PESTLE, market and industry analysis, competitor analysis, marketing and pricing strategies, an operational plan, SWOT analysis, and financial requirements. The business detail section focuses on the concept of the restaurant and its target market, highlighting its offerings of diverse cuisines, attractive ambiance, and customer-centric services. The macro-environmental overview analyzes external factors influencing the business, while the market and industry analysis identifies target customers and market segments. Competitor analysis helps in understanding market competition. The marketing and pricing strategies include social media marketing, digital marketing, and penetration pricing. The operational plan outlines the restaurant's vision, mission, objectives, and scope. A SWOT analysis evaluates the restaurant's strengths, weaknesses, opportunities, and threats. Finally, the financial requirements section presents cost structures, revenue streams, and break-even analysis to assess the financial feasibility of the business. The plan concludes with a summary of the key findings and recommendations.

Business Plan

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Business detail.............................................................................................................................1
Macro environmental overview..................................................................................................2
Market and industry analysis......................................................................................................3
Competitor analysis.....................................................................................................................4
Marketing and pricing strategies.................................................................................................4
Operational plan..........................................................................................................................5
SWOT analysis............................................................................................................................5
Financial requirements................................................................................................................6
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
The term “Business Plan” is a idea of the business 's future. Business plan describes the
planning and how to implement the planning idea to carry business. Business plan can helps to
perform and carry out various business activities. A good business plan can help to get more
funds, investments and getting new partners for the business. (Barrow, Barrow,and Brown,
2018). It basically considered as roadmap which provides directions and guides, so that business
can plan its future and helps to avoid barriers in the their work. The business plan should be clear
and specific. Business plans are generally very useful for new start ups businesses . Every
company should have a business plan to carry out their businesses, as it provides guidelines and
provides the opportunities to grab and to move in that direction. The report is based on business
plan of a food restaurant “Art table – food to remember” that will deal in quality served food
products to the customers. The report below includes business detail, macro-environmental
overview,market and industry analysis,competitor analysis, marketing and pricing
strategies,operational plan,SWOT Analysis,financial requirements along with its conclusion.
MAIN BODY
Business detail
Starting up a food restaurant can be successful. Nowadays people are facing a rapid
growth in dealing of fast foods restaurant and lacking up on warm and healthy environment place
with great quality food. For having quality food with a great environment people will love to
enjoy the services. As there is a rapid growth in food industry, food restaurant business plan “
The art table” will be beneficial. As customers are now preferring the outside food with healthy
nutrients rather cooking at their homes to save time and to have outside taste. (McKenzie, and
Sansone, 2019). The target customers for the food restaurant is mostly the young generation who
more foodoholic and prefers outside food.
The art table will serves the youngsters there desired cuisine food with peaceful
ambience. The restaurant provide youngsters as well as others segments generation customers.
The art table will serve the food of all variants like Italian, Mexican,Indian,Chinese and many
more to attract all customers of all regions.
The art table will consist of various features and providing facilities like:
 Peaceful and attractive ambience.
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 Serving quality food of different variants.
 Providing home delivery services.
 By having better customer hosting services.
 Providing discounts and gift vouchers on being regular customers.
 Promoting the restaurant through social media for getting more customers.
Macro environmental overview
Macro environmental analysis for “The art table” can be done to analyse the external
marketing environment factors to carry up the business. To analyse the external factors of the
market PESTLE analysis can be performed. (Moro Visconti, 2019) So that the restaurant can
have the idea about the business strategies that can be used. PESTLE analysis for a carrying a
food restaurant is:
Political  The changing tax reforms of the countries.
 Changes in the health regulations made by governments.
 The safety guidelines made by health regulators that are to be
followed by each restaurants.
Economical  Changes in inflation rates in the economy.
 Customers 's avoidance due to higher prices.
 Dependence consumer disposable income.
Social  Customers are being more quality and health conscious.
 Rise in the demand of more organic and healthy food.
 Changing customers taste and preferences.
 Rise in the desired variants of customers want in food like high spicy,
less salted.
Technological  New technologies are constantly being used in restaurants like digital
payment system, CCTV cameras.
 Digitally food serving to customers through robots.(Suprapto, 2018).
 Providing online food delivery services through their customised
application.
Legal  Constant changes and visits of regulatory authorities.
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 Getting for certifications for carrying up food business.
 Getting liquor licensing
Environmental  Rise in the customer demand of having environment friendly
ambience.
 Rise in need of quality in hygiene and healthy environment.
 Waste management policy should be highly maintained.
Market and industry analysis
Industry and market analysis helps to analyse the market needs, growth options, strategies
that can be used to carry food restaurant.(Teixeira and Pereira, 2019).It will helps to analyse
feasibility of opening up in preferred region. For analysing the market target customers should be
identified so that there segment can be pitched to avail their services. By analysing the segments
target customers can be identified. The different segments are:
 Geographic segment: Geographical segments relates to the customers of different
geographical boundaries. They can identify the customers and pitch them according to
their offerings in the restaurant.
 Demographic segment: Demographic segments relates to size, genders and age groups.
By analysing the customer 's size,gender,and age group target audience can easily be
identified.
 Behavioural segment:By analysing the customer 's taste and preferences, customers
likes and dislikes can be easily analysed and according to that food and services can be
modified according to their wants and desires.
As the food industry is growing rapidly day by day. It will be beneficial to start and carry
up business in food industry and open food restaurant. The business plan for opening up food
restaurant will be beneficial when:
 Restaurant will be started at a right location.
 Increasing in the customers preference in food.
 Dependence of customers on outside food rather cooking to save their time.
 Rise in customer 's desire to taste different variants of food.
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 Targetting young generations as they are fond of tasting different variants of food
varieties.
Competitor analysis
The competitors analysis is helpful for the business plan to analyse and monitor the
present competitors in the market and what strategies are to be taken and used to manage a
desired market share in the food market.(Brandsma, 2018) It is helpful to analyse to competitors
's potential. Competitors analysis can be beneficial as it:
 Effectively monitors the pricing strategies of different competitors to take and design
strategies according to them.
 Compare the performance of the art table from the competitors performance so that
various improvements and changes can be done to gain more attention of customers.
 It helps in keeping updated the different advertising campaigns used by other restaurants
to promoting their business plan and work.
 To gain a better visibility of market area in terms of market strategy and brand position.
Marketing and pricing strategies
Marketing and pricing strategies can be used to promote the business plan. It is necessary
for the the new start up to analyse and use different marketing and pricing strategies to promote
and expand their business. The different marketing strategies that can be used are:
 Social media marketing can be used as a way of promotion of their business plan as
social media is now considered as a effective way of promoting new businesses.
 Digital marketing can be done to grab the attention of the customers.
 Loyalty programs can be done with partnering up different online food delivery
applications.(Watson, and McGowan, 2019).
 Official website can be created so that customers can reach out directly to the place.
 Brand identity can be generated so that it will be helpful to grab more customers.
The pricing strategy that can be suggested for a new start up and opening up a food
restaurant is penetration pricing as being a new start up it is recommended to use penetration
pricing strategy in the starting as it is important to gain more market share firstly rather than
gaining profits. When the food restaurant is successful in gaining the customers and has gained a
brand image after that they can increase their prices.
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Operational plan
The operational plans can be carried by identifying the vision, mission and objectives of
the business plan.(Azinheiro, 2019). The vision statement for a food restaurant is to inspire a
new feel of trust and serving the quality food globally with their different offerings and maintain
their own brand image on customer 's mind.
The mission statement of the art table is to become a truly admired global brand in
serving the best food quality. The objectives to start a food restaurant as a business plan to:
 To gain better customer loyalty and trust towards them. So that they can come there
again.
 For providing better customer experience with a great and healthy ambience.
 To offer the customers a diverse menu so that the customers can taste different variants of
food items according to their taste and preferences.
 To maintain a good brand image in the minds of the customers.
The scope for opening up a food restaurant as a business as it:
 Nowadays there is a passion for having food and beverages in the young generations.
 Customer dealing and hosting should be done by trained and highly skilled staffs.
 There is a good sense of flavours preferred by the customers.
 There is a diversity serving food items variants in food industry
SWOT analysis
SWOT Analysis can be performed on food restaurant to analyse the
strengths,weakness,opportunities and threats of The art table food restaurant. As it will be
beneficial to analyse the strengths to grab the opportunities to overcome the weaknesses and deal
with the threats in the food industry. The SWOT analysis can be explained as:
Strengths  There should be a strong distribution network for the product available
to the customers.
 Cheap and affordable prices can be cost affective for the customers that
can attract more customers.
 There is good relations with the suppliers so that the customers do not
find find delay in their deliveries of food.
 Chefs,cooks are highly trained and skilled.
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 Providing customers the different diversity food
Weakness  Having less research on customer 's taste and preferences.
 If the inventory cost occur high it will become a weakness for
restaurant.
 High rental expenses for having great and attractive ambience.
 There is high market share share of some products.
Opportunities  Online food store and application can be open to grab more customers.
 Less technology can be used to reduce cost prices.
 The art table can gain the attention of tourists customers for gaining
more profits.
 By hiring highly skilled and trained staff in restaurant.
Threats  There is high competition in food industry.
 There is a lack of suppliers.
 Customer 's taste and preferences are changing constantly.
Financial requirements
For carrying up a new business plan as a food restaurant named “The art table- food to
remember” to have financial funds. It is necessary to have sufficient funds and financial
resources in starting to deal promote their business plan in front of the customers. (Masciocchi,
2019). To deal and bear up the expenses like rental costs,music license,designing and
furnishing,operational costs,labour costs,technology expenses,food cost etc. There should be a
budget set prior setting up a business plan. Financial budgets will helps to analyse the expenses
and control the costs occurred in a new business idea as a food restaurant. There are different
budgets that can be analysed and set prior starting up the restaurant.
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Cost structure:
Particulars 2020 2021 2022
Variable costs
Salaries to staff 10000 55000 52000
Advertisement 5000 28000 25830
Rent of building 5000 28000 21800
Fixed costs
Machines 20000 60000 58000
Cost of material 30000 80000 72000
Total cost 70000 251000 229630
Revenue stream:
Particulars 2020 2021 2022
Selling of clothes 35000 150000 152000
Online bookings 25000 95000 96000
Advances from clients 20000 51000 52000
Further developments 20000 50000 50000
Total revenues 100000 346000 350000
Break even analysis: It has been estimated that cost of one designer cost will be around 5
pounds and in first year 20000 clothes will be designed. So, the calculation of BEP is as
follows:
BEP (In units) = Fixed cost / contribution per unit
First year
= 50000 / 4
= 12500 units
BEP in Pound= Fixed cost / PV ratio
= 50000 / 80%
= 62500
Second year
BEP in units
= 140000 / 7.83
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= 17880 units
BEP in Pound
=140000 / 67.92%
= 206125
Third year
BEP in units
= 130000 / 4.64
= 28017 units
BEP in Pound
=130000 / 71.53%%
= 181742
Calculation of contribution:
Formula = Sales – variable cost / total units
First year:
= 100000 – 20000 / 20000
= 4
Second year:
= 346000 - 111000 / 30000
= 7.83
Third year
= 350000 - 99630 / 54000
= 4.64
Calculation of PV ratio:
Contribution / sales *100
First year:
= (100000-20000) / 100000 * 100
= 80000 / 100000 * 100
= 80%
Second year
= (346000 – 111000) / 346000 * 100
= 235000 / 346000 * 100
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= 67.92%
Third year
= (350000 – 99630) / 350000 * 100
= 250370 / 350000 * 100
= 71.53%
Cash flow analysis:
Particulars 2020 2021 2022
Receipts
Selling of clothes 35000 150000 152000
Online bookings 25000 95000 96000
Advances from clients 20000 51000 52000
Further developments 20000 50000 50000
Total receipts 100000 346000 35000
Payments
Salaries to staff 10000 55000 52000
Advertisement 5000 28000 25830
Rent of building 5000 28000 21800
Machines 20000 60000 58000
Cost of material 30000 80000 72000
Total payments 70000 251000 229630
Cash at the end 30000 95000 120370
Sources of finance Amount Usage of finance Amount
Selling of clothes 35000 Salaries to staff 10000
Online bookings 25000 Advertisement 5000
Advances from clients 20000 Rent of building 5000
Further developments 20000 Machines 20000
Cost of material 30000
Profits 30000
100000 100000
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CONCLUSION
From the above report it can be concluded that business plan is a framework that
describes in detail the business idea, how it will work,objectives and details are mentioned. It is
necessary for all the business to have their business plan. As it provides the direction to the
business and analyse different growth strategies for expansion of the business. For having a
business plan in food industry and starting up a food restaurant it will be beneficial as food and
beverages industry are growing constantly.(Hervert-Escobar and Alexandrov, 2018). It will be
easier and beneficial to start the business in food sector as customers are mostly now having a
desire of healthy food. They do not mind in spending money if they are getting the peaceful and
great ambience with quality desired food. When the customers are getting their desired food and
their wants they will reach out regularly. For starting up a new business plan as a food restaurant
it is necessary for the start up to use different marketing strategies to promote their business plan
and pricing strategies to be used as penetration pricing as being a new start up business plan it is
necessary to make the prices of their services low to capture more market share.
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REFERENCES
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Guide to Creating and Developing a Successful Business. Kogan Page Publishers.
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business plan for a digital marketing agency specialized in retail.
Brandsma, A., 2018. Digital marketing influence in the Dutch retail industry: Developing a
business plan for a digital marketing agency specialized in retail.
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Hervert-Escobar, L. and Alexandrov, V., 2018. Territorial design optimization for business sales
plan. Journal of Computational and Applied Mathematics .340. pp.501-507.
Maňáková, J., 2018. A Business Plan for the Company" Bagetárna".
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Catalysis(Vol. 179, pp. 465-484). Elsevier.
McKenzie, D. and Sansone, D., 2019. Predicting entrepreneurial success is hard: Evidence from
a business plan competition in Nigeria. Journal of Development Economics .141.
p.102369.
Moro Visconti, R., 2019. How to prepare a business plan with excel. Available at SSRN
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Siswa Madrasah Tsanawiyah Nurul Hikmah Dan Smp Al-Ihsan Guna Meningkatkan
Kemampuan Berwirausaha. Abdimas Siliwangi .1 (2). pp.81-88.
Teixeira, A.A. and Pereira, I., 2019. The perceived usefulness of the business plan in formal
entrepreneurship education: the perspective of alumni entrepreneurs. Entrepreneurship
Education .2 (3). pp.91-133.
TOMASSONI, M., 2019. Development of a business plan for the expansion of CESI's operations
on the IFI hydropower market.
Watson, K. and McGowan, P., 2019. Emergent perspectives toward the business plan among
nascent entrepreneur start-up competition participants. Journal of Small Business and
Enterprise Development.
Whitmore, C.L., 2018. BUSINESS PLAN FOR CLUBHUB101. COM LLC (Doctoral dissertation,
Kent State University).
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