Comprehensive Business Plan Report: African Dishes Restaurant

This business plan outlines the strategy for launching an African dishes restaurant, aiming to capitalize on the growing demand for diverse and healthy food options. The plan details the restaurant's concept, which focuses on serving authentic dishes from across the African continent, differentiating it from restaurants specializing in specific regional cuisines. It includes a confidentiality statement, executive summary, company profile, and outlines the business's objectives, strategies, and human resource structure. The plan provides a market analysis targeting African American and immigrant communities, along with projected financials, strategic alliances, and a promotion strategy leveraging social media. The financial forecasts include revenue projections, cost of sales, expenses, and cash flow statements, along with equity and liabilities. The business aims for significant revenue and profit growth within the first few years, with plans for expansion through franchising. The plan highlights competitive advantages, supplier relations, and a detailed promotion strategy to attract customers and establish the restaurant's brand in the market.

Running head: BUSINESS PLAN
Business Plan
Name:
Institution:
Date:

BUSINESS PLAN
1.0 Confidentiality statement
The business has four partners each having a percentage in capital input. The
confidential relationship is mutual and has been agreed by all the four partners on board. The
parties to the agreement are the four partners, the employees to be hired and the authorities
for registration of businesses and companies. Sme of the confidential details include; the
amount of capital that is invested by each partner, the shares owned by each partner, the
owner’s contributions capital structure and any other information related to ownership of the
business (Brinckmann, & Kim, 2015). The information not included in the confidential
statement are: sources of funding, capital structure, financial statements and any other
information needed in the public domain.
2.0 Executive Summary
For the business plan, the main business is opening an African dishes restaurant. This
is a very good idea and business plan given that most of the restaurants are first food
restaurants and with a great need for natural fresh foods, this seem to be really a good idea.
The idea is to open one restaurant in a busy community that has a lot of African Americans
and African immigrants and to expand the restaurant into a franchise in the next 5 years. This
will be propelled by how fast the restaurant grows and the need to expand to other cities and
towns where the reception is dimmed to be positive. The first year revenue projections is
placed at $3.5 m dollars and which will be great to start with as revenue collection. The
amount of financing will be determined by the level of owner’s contribution in place.
With four partners, they are contribution 50% of the capital required for the start-up
(Burns, & Dewhurst, 2016). The other 30% will come from bank loans and the remaining
20% will be a venture capitalist willing to give money to the company without any ownership
proposition. The venture capitalist only want profits at the rate agreeable and after the agreed

BUSINESS PLAN
amount is repaid, he will pull out the capital when the business is profitable enough. The
financing needed will be $2.2 million dollars since this is a capital intensive business.
3.0 Company profile
The business name is called African Tasty dishes restaurant. Unlike many African
restaurant which have been started in some parts, this restaurant will major on all foods from
the African continent. Most of the restaurant cover only some regions like, North African
foods restaurants, western African restaurants, east African restaurants dishes and more. The
business will major on all parts of the African continents dishes. This is unique and different
type of business from others. The type of ownership in the business is a partnership type of
business. There are four partners who have each contributed to an amount of capital which is
not disclosed as part of their confidentiality agreement. The partners will share profits and
losses according to the agreement (Correll, et al,(2016).
The current market condition is that there are too many fast food restaurants serving
the already flooded junk in the market. Most of the people want to eat healthy and fresh food
from a diverse culture. There is a big niche market that is interested in this. The current
market condition is shifting to more healthy foods. Foods and vegetables with low
carbohydrates foods that are healthy for the lifestyle. The African dishes are rich in all this.
With need for diversity and healthy foods, the business plan is well able to survive and thrive.
Competitiveness in the food industry especially in the fast food market has ensured that many
who are interested in different taste always come to the African dishes restaurant.
4.0 Objectives and strategies
The objective of the business just like any other business is to generate profits and
create value for the shareholders. However, there are other important objectives too such as

BUSINESS PLAN
providing employment to the many young people who are talented in different skills that are
needed in this kind of business. They include the chefs, the waiters and waitresses, suppliers,
front office and many more who will directly or indirectly be involved in the business. Other
objectives include the corporate social responsibility that is giving back to the community.
The objectives are that in the first year there will be profits generated by the business. The
business will hire 10 permanent employees and more than twenty in partial and temporary
basis. The first year financial goal is to make profits that are more than $ 500,000. The
strategy of the organization is to penetrate the market with high quality foods at very standard
rates and prices. This is to attract every person and to show them that diversity is good
(Hopp, & Greene, 2018)..
5.0 Human resources
The structure of the organization will be headed by the manager assisted by the
assistants, the cooks and then the waiters and the waitresses. One of the partner has decided
to do this on a full time basis. He will be the manager. Other partners will offer their help in
their areas of expertise like accountancy and finance. The image for the company is that it
will be managed professionally and will have the best customer service. The partners will be
available for consultations at any given time. One of the partner will be the manager whose
duty include; oversight of the operations in the restaurant, managing the employees,
communicating with other partners and helping out in hiring. The other chefs have the sole
responsibility of cooking the said meals. The waitresses will be responsible for service to the
clients. Other include the accountants and the front office staff.
6.0 Products and services
The primary product and service is serving of fresh indigenous African dishes. They
include the East African cuisines, the West African cuisines, North African delicacies, and

BUSINESS PLAN
central African dishes. Secondary and tertiary services include delivery of foods from the
restaurant to a client’s home or office with the help of our riders, outside catering and event
management. This are just secondary functions of the restaurant. The prices vary depending
on the food ordered. If it is a delivery, then the cost of the package will include the delivery
cost. Prices are competitive to the fast food restaurants although they are a little bit higher by
some few dollars but that is because they are African dishes.
7.0. Market analysis
The primary target in this business is the high number of African American people in
some of the communities and the African immigrants who wants a taste of this foods. That is
the primary target market. The secondary target market is the tourist that are willing and able
to buy top dollar for the African taste delicacies. Others are events that require African dishes
and any new person that will walk in to the restaurant just to have a meal.
Details Year 2019 Year 2020
Customers projected 10,000 15,000
Revenue collection
projected
$ 3.5 M $ 4.8 million
Profits $ 500,000 $ 1.2 million
This is a business plan and therefore, the figures are projected figures. They are in line
with the current market trends and the competition from various food restaurants.
9. Territory

BUSINESS PLAN
The primary territory for the restaurant operations is the suburbs that have many African
American population and the African immigrants who have especially become fond of this.
This is the primary market. The secondary target market is the tourist that are willing and
able to buy top dollar for the African taste delicacies. Others are events that require African
dishes and any new person that will walk in to the restaurant just to have a meal. The tertiary
territory are the events and any other notable place that the restaurant might market ist
products and services. The tertiary territory also include a bar and a club house started
opposite the restaurant for patrons who want to have fun there.
9.0 Strategic alliances
Strategic alliances include schools and other corporates that will need us to partner
with them in delivering what they want. The business will look for strategic alliances that
help bolster the profits. Strategic alliances are also in terms of capital funding. The restaurant
has a venture capitalist that has contributed 20% of the entire capital with the aim of fully
funding the operation of the business. These are the strategic alliances that will make the
business prosper.
10. Supplier relations
Most of the suppliers are local businesses that thrive in selling their products and
services to restaurants. Most of the suppliers are local people. However, if something is not
available, it is imported from African countries which is somehow expensive. Supplier have a
very deep relationship with the business. They are paid on time without any delays as per the
agreement of each supplier. Some are paid after a month, other on cash upon delivery and
others are paid up front. The primary suppliers are suppliers of food items that are used as
ingredients for cooking (McKeever, 2016). The secondary suppliers are any other suppliers
that help in secondary activity of the restaurant such as event tent suppliers.

BUSINESS PLAN
12. Competition
The competition is definitely the fast food restaurant like McDonalds, wing stop and
tacos. This is because they are very popular and it’s like a fast food culture in this business.
Indirect competition are other restaurants like the Italians and Spanish restaurants which are
unique just like the business. The competitive advantage is that the restaurant is unique and is
the only one serving all types of African dishes at affordable prices. The other competitive
advantage is that the ingredients are extremely cheap and therefore more rewards in terms of
profits (McKenzie, 2015). This is a very good idea and business plan given that most of the
restaurants are first food restaurants and with a great need for natural fresh foods, this seem to
be really a good idea.
13. Promotion strategy
Social media has become the main advertising medium which reaches millions of
people at little or no cost. Advertising on social media platforms like Instagram, Facebook
and twitter reaches out to millions of users. The target market is already identified such as the
advertisements will target just that market. The amount of budget will be small just to pay
bloggers and influencers for them to push a narrative for the restaurant. The budgeted amount
is only $ 20,000 annually (Ward, 2016). This promotion strategy is the best since it is cheaper
and more convenient than the traditional choice of advertisement such TV ads and print paper
ads. Other promotion strategies include discounts and advances.
14. Revenue and start up Forecasts

BUSINESS PLAN
EQUITY & LIABILITIES
Owners’ Equity
Capital 1,100,000 1,100,000
Venture capitalist 440,000 440,000
Non-Current Liabilities
12% Loan 660,000 660,000
Statement of income forecast
For the year ended 2012
Details Year 2019
Amount in
$(000)
2020 2021
Revenue – Restaurant food sales 2,200 3100 3900
Liquor sales 500 400 500
Events 540 500 540
Delivery charges 400 300 400
Catering 600 750 600
Total revenue 5040 4950 5040
Less: COGs
Cost of sales 350 250 350
Gross profit 3950 4700 3950
Less: expenses
Rent

BUSINESS PLAN
Salaries 200 300 200
Advertisement 300 200 300
Sales and marketing 200 100 200
Fees and taxes 100 250 100
Licenses 50 100 50
Utilities 100 50 100
Other expenses 100 100 100
Total Cost 1000 1100 1000
Net profit 2800 3800 2800
Cash flow statement
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July Aug
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BUSINESS PLAN
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The other 30% will come from bank loans and the remaining 20% will be a venture
capitalist willing to give money to the company without any ownership proposition. The
venture capitalist only want profits at the rate agreeable and after the agreed amount is repaid,
he will pull out the capital when the business is profitable enough. The financing needed will
be $2.2 million dollars since this is a capital intensive business.
References

BUSINESS PLAN
Brinckmann, J., & Kim, S. M. (2015). Why we plan: The impact of nascent entrepreneurs' cognitive
characteristics and human capital on business planning. Strategic Entrepreneurship
Journal, 9(2), 153-166.
Burns, P., & Dewhurst, J. (Eds.). (2016). Small business and entrepreneurship. Macmillan
International Higher Education.
Correll, M. D., Drilling, N., Dwyer, A., George, T. L., Green, A. W., Panjabi, A. O., ... & Strasser, E.
H. (2016). Recommendations for grassland bird species conservation in the Northern Great
Plains (NGP) business plan. Final report.. Bird Conservancy of the Rockies, Brighton,
Colorado, USA.
Hopp, C., & Greene, F. J. (2018). In pursuit of time: Business plan sequencing, duration and
intraentrainment effects on new venture viability. Journal of Management Studies, 55(2),
320-351.
McKeever, M. (2016). How to write a business plan. Nolo.
McKenzie, D. (2015). Identifying and spurring high-growth entrepreneurship: experimental
evidence from a business plan competition. The World Bank.
Ward, J. (2016). Keeping the family business healthy: How to plan for continuing growth,
profitability, and family leadership. Springer.