Entrepreneurship Project: Diansi Restaurant Business Plan, Cambridge

This business plan details the 'Diansi Restaurant,' a proposed venture focused on providing healthy food options in Cambridge, UK. The plan includes an executive summary, outlining the opportunity to serve a market segment with a need for healthy food. It describes the business, target market (students, professors, and locals), and competition within the hospitality industry. A key component is the industry analysis, including Porter’s Five Forces, and the execution plan, detailing marketing and sales strategies, operations, and financial projections. The plan also covers the management team, emphasizing the partnership structure and team composition. The financial plan outlines the funding needed, sales targets, and potential for expansion. The project showcases a comprehensive understanding of entrepreneurship principles and business plan development. The document also includes references to academic sources.

Entrepreneurship

Table of Contents
Executive Summary.....................................................................................................................................4
Opportunity .............................................................................................................................................4
Expectations ...........................................................................................................................................4
Business Description ..................................................................................................................................5
Problem and Solution ..............................................................................................................................5
Target Market .........................................................................................................................................5
Competition.............................................................................................................................................6
Industry Analysis ........................................................................................................................................6
Porter’s Five Forces ................................................................................................................................6
Execution ....................................................................................................................................................7
Marketing and Sales Plan ........................................................................................................................7
Operations Plan .......................................................................................................................................8
Milestones and Metric ............................................................................................................................8
Management Team Plan .............................................................................................................................9
Overview ................................................................................................................................................9
Team ......................................................................................................................................................9
Financial Plan .............................................................................................................................................9
Financing .............................................................................................................................................10
References ................................................................................................................................................11
Books &Journals ...................................................................................................................................11

Executive Summary
Opportunity
Problem summery
The new business plan name “Diansi Restaurant” and this new restaurant will provide
healthy food for Cambridge people. The need of this business is very prominent because
everyone wants to eat healthy food so this restaurant will serve healthy food.
Solution summery
Diansi Restaurant is a new plan for business and the main purpose of this company
Will come up with the services of food items those will be healthy and good for health. With the
help of this company, entrepreneurs will try to give their contribution in Cambridge people life to
provide healthy food.
Market
Cambridge is a famous city which is mainly recognized by the universities and institutes.
Diansi Restaurant will segment their market on the basis of Age groups. This restaurant mainly
target universities students, professors and also local public of the Cambridge (França and
Hershey, 2018).
Competition
In Cambridge, lots of competition exists in the hospitality industry. Lots of restaurants
are already running in this city so competition level is high.
Why Us
This business will be start in a partnership and two partners are involved in this business
with the team of three waiters and one general assistant three cooks. All team members will give
their best efforts to provide best food in Cambridge (Gagić, 2016).
Expectations
Forecast
Company budget is £20,000 to start a business and company plan to increase 30% the
selling in next year and make more profit.
Financial Highlights by the Year
Financing Needed

The financial goal of this company is very clear. Company will increase sells at least 30%
till next year and 50% in 3 years and company also will make plan to expand their business all
over the United Kingdom. If needed then company also take a business loan so that company
will fulfill all financial need (Mathe-Soulek,et.al., 2016).
Business Description
Problem and Solution
Problem worth Solving
To start a Business, a full prove business plan is essential. A successful entrepreneur is
one who takes an initiate to start a new business and apply their entrepreneurship knowledge and
skills to create innovative business plan. This business will establish in Cambridge, UK.
The main motive of this restaurant is to provide healthy food to the people of Cambridge because
customer needs a good and healthy food. Customers need a high quality of products with a
pocket friendly price. This restaurant will provide high quality products so that customer will
purchase it (Mathe-Soulek,et.al., 2016).
Our Solution
Due to Covid-19 pandemic, every company financial situation lost their balance and post
covid-19 Company is trying to cover up their losses. After covid- 19, a new plan of the business
is create. This restaurant is all about provide food which will help to increase people health so
that their immunity power increase and they can be more strong so that they can live healthy life.
The main mission of this restaurant is to serve a quality of food so that company can
develop their market all over the United Kingdom. This restaurant will also use technologies and
promote their products through digital marketing so that each and every people of Cambridge
will know about their products and services.
Target Market
Market Size and Segments
Diansi Restaurant will target colleges and universities students, staff members and local
people of that location. This restaurant target mainly youth and middle age group people. The
market size is very large because there are many colleges and universities in Cambridge and
large number of people are living in that location. This city is 80 km far away from London.
22153 numbers of students are studying in Cambridge so company wills mainly students and
native people (Ojala, 2016).
Competition
Current Alternatives
There is huge competition in hospitality sector. Anyone can easily start restaurant
business. Diansi Restaurant will face massive competition in market because post covid -19
economical situation faced many fluctuations that leads increase GDP rate and Pricing policy
regulation also increase so that competition level also improve. Due to this pandemic, now
people become alert about their health and physical body that why Diansi Restaurant come up

with the high quality food which will be make with natural and organic ingredients so that people
will see its benefits and buy these products.
Our Advantages
This restaurant will provide variety of foods which will be prepare with herbal and
organic items this is the main advantage of this restaurant. This restaurant will follow proper
legal procedure so that it will help to establish their market growth (Parker, 2018).
Industry Analysis
Porter’s Five Forces
Threat of Substitutes
The force of threat of substitute is high for the Diansi Restaurant. Threat of new
substitutes is determine that your customers have a power to buy another company and shop
substitute products. Diansi Restaurant is a new restaurant so restaurant will face threat of
substitute. If restaurant will offers low price and good quality products then customer will not
easily switch products.
Threat of New Entry
Threat of new entry force is high for Diansi Restaurant because it put pressure on the
current companies so that new entries also gain good market growth. Diansi Restaurant is new in
market and restaurant also has a threat of new companies because restaurants can be open easily
in the market (Pezzutto, Grilli, Zambotti and Dunjic, 2018).
Bargaining power of Customers
The bargaining power of customers is high because there are many customers already
exist in the market. The bargaining power of the buyer is totally depend upon buyers because
they have an option where to buy the product and customers also have a power to drive of your
products cost down. If Diansi Restaurant will offer satisfactory products then customer will
become their regular customers.
Bargaining power of Suppliers
The bargaining power of suppliers leads powerful suppliers who have a power to increase
the competition level in industries through raise the cost of the products and reduce the quantity
and quality of the products and services. Eventually suppliers decrease the profitability in
particular industries. Diansi Restaurant is new in market but there are many suppliers in
hospitality industry so the bargaining power of suppliers is moderate (Snihur, Lamine and
Wright, 2018).
Competitive Rivalry
The force of competitive rivalry is high for Diansi Restaurant is high. After covid -19
situation become very critical and every companies and industries want to generate more profit
so that they can maintain their losses so competition level is very high.
Competitive Force Threat to Industry
Profitability
Threat to Industry
Profitability
Threat to Industry
Profitability

Low Medium High
Threat of Substitutes Medium
Threat of new
Entrants
High
Rivalry among
existing firms
High
Bargaining power of
Suppliers
Medium
Bargaining power of
Buyers
High
Diansi Restaurant comes under hospitality industry and hospitality industry scope is
really wider so the attractiveness of this restaurant is really high. This restaurant will face
massive competition but company main purpose is to provide healthy food then company will
maintain their market position.
Execution
Marketing and Sales Plan
Marketing Plan
For every successful business marketing plan is playing a crucial and effective part.
Diansi Restaurant needs to develop a marketing plan so that company will easily accomplish
their target. Diansi Restaurant is planning to promote their products and services with the help of
advertisement on TV, radio, newspaper, billboards and also on online platform like Facebook,
Instagram and other social sites where company will easily get people attention. Apart from this
company will also develop content marketing strategies through which company easily promote
their products and company effectively get review and word out about their products (Takata,
2016).
Sales Plan
Sales plan is really essential to boost company sales. Diansi Restaurant needs to develop
a sales plan. In sales plan, company need to consider sales target, sales strategies and also sales
team which are discussed below-
 Sales Target – Diansi Restaurant need to prepare a sales target. Company will set sales
target according to their product demand. Company has a plan to sales their food items to
the large number of people. Company plan to increase sales at least 30% in next year.
 Sales Strategy –Sales strategy is compulsory to increase a sale in the marketplace. With
the help of SWOT analysis, company will prepare their sales strategies and analysis their
strength, weakness, opportunities and threats.
 Sales Team- Sales team helps to achieve sales target. A well coordinated and cooperative

sales team is necessary for company so that team will help to accomplish company sales
goal.
Operations Plan
Location and Facilities
Diansi Restaurant will plan to locate their company in Cambridge, UK. To start their
business company will plan to appoint 1 general assistant, 23 cooks, and 2 bartenders. These are
the permanent staff of the company so company space is large. Company will try to full fill the
current and future needs and company will hire 3 waiters so that they will serve healthy food in a
good manner for the convenience of people.
Technology
Company will use technology to promote their food items like company will access
online platform for promotional purpose. Through websites company will promote food products
and company will use telephone connection for receiving the orders and company will also
provide home delivery (TOMASSONI, 2019).
Equipment and Tools
Company is planning to add some tools which make easy for the company to increase
growth. Company will use equipments like baking machine and bake cakes, pastries, and cookies
with health friendly ingredients so that people will purchase their products. This equipment will
be an important component for this business.
Milestones and Metric
Milestones
Business plan is like a road map for each and every company. Every business plan need a
milestones without milestones a business cannot become a real business. To get company key
milestone, company need to set a date and also a deadline so that company will measure the
business is realistic way. Company set a date to establish their business in last week of
December.
Key Metrics
With the help of “Key Performance Indicators” company will measure the process of
success and failure. KPIs metrics demonstrate that how effective and capable you are to obtain
your business objectives. Diansi Restaurant will use KPIs metric to analyze the their position in
the market and also will work more hard to achieve success because success means a lot for
company and company will see a top position in the market in future.
Management Team Plan
Overview
Business is a separate legal entity which formed by single owner or two or more people.
There are many types and forms of business exist in United Kingdom like sole proprietorship,
corporation, Partnership and also Limited company. With the help of this report, a new business

plan creates. This new business plan is all about the Restaurant. The name of the restaurant is
Diansi. This restaurant will run in partnership and two partners will be the owner of this
restaurant named Anelia Yordanova and Dimitar Angelov. In partnership business, partners are
responsible for the success and loss and partners also share risk, responsibilities and profit and
loss together. This restaurant will establish in Cambridge, United Kingdom.
Team
For every business a good and cooperative team is mandatory which help to reach the top
position in the market. Diansi Restaurant plan to build a good management team including, 2
owners of the business, general assistant, cooks, waiters, bartenders and other staff members so
that company can achieve their company goals with the help of good management team.
Advisors
Diansi Restaurant will start by the two friends so they both will open this restaurant is
partnership. Both owner’s family friends and colleagues are giving them advice to open new
business and with the help of their family and friends they will make new positive changes in
future.
Financial Plan
Forecast
Key Assumptions
This company made some key assumptions like company predict that at least 70 to 100
people will come up on their shop on daily basis and company plan to improve their growth at
least 50% in next 3 years and also expand their business in whole UK.
Annual Revenue
Annual revenue explains the income statement which creates from the sales of products

and services. This chart defines the forecast of annual revenue according to the upcoming 3
years.
Financing
Sources of Funds
Company budget is £50,000 to start a business and both owners are investing their own
money in the company. Both owners have credit card. Both owners also plan to take a loan if
they will find a requirement of finance in future.
Profit and loss a/c:
Revenue 2017-18 (£) 2016-17 (£)
Total revenue 10698200 10622000
Cost of revenue 6745600 6629300
Gross profit 3952600 3992700
Selling general and
administrative 3324700 3348600
Non-recurring - -
Others -49500 -63200
Total operating
expenses 10020800 9914700
Operating income or
loss 677400 707300
Earnings before
interest and taxes 677400 707300
Interest expense -95400 -100200
Income before tax 66800 176400
Income tax expense 37700 60700
Minority interest -2500 -5900
Net income from
continuing ops 29100 115700
As per the above mentioned Profit and loss statements of Diansi Restaurant of two consecutive
years 2016-17 and 2017-18, There is a slight decrease in their gross profit as it decreases from 3992700 to
3952600£. Company by providing effective products and services to their consumer generates remarkable
results in total operating expense as it raised from 9914700 to 10020800 £. Total amount of company
income before tax is decreased from 176400 to 66800£. This is a conditions in which it is essential for
managers to adopt effective strategies and examine their P&L and formulate comprehensive measures to
overcome this situation.
Cash flow statement:
` (Amount in £)
Particulars January February March April May June

Sales 3500 4600 4700 5200 6200 6500
Other income 1500 2500 2600 2650 2000 2200
Total inflows 5000 7100 7300 7850 8200 8700
Cash Outflows
Variable cost:
Materials 450 500 530 650 740 830
labour 490 540 580 750 820 940
Other variable cost 200 250 260 340 420 520
Fixed cost:
Rent 1000 1000 1000 1000 1000 1000
Salaries 800 800 800 800 800 800
Other fixed cost 200 250 250 360 320 320
Net cash flow 1860 3760 3880 3950 4100 4290

References
Books &Journals
França, L.H. and Hershey, D.A., 2018. Financial preparation for retirement in brazil: a cross-
cultural test of the interdisciplinary financial planning model. Journal of cross-cultural
gerontology, 33(1), pp.43-64.
Gagić, S., 2016. Restaurant innovativeness: A case study of Vojvodina. The European Journal of
applied economics, 13(2), pp.57-69.
Mathe-Soulek, K.,et.al., 2016. The impact of price-based and new product promotions on fast
food restaurant sales and stock prices. Journal of food products marketing, 22(1), pp.100-
117.
Ojala, A., 2016. Business models and opportunity creation: How IT entrepreneurs create and
develop business models under uncertainty. Information Systems Journal, 26(5), pp.451-
476.
Parker, S.C., 2018. The economics of entrepreneurship. Cambridge University Press.
Pezzutto, S., Grilli, G., Zambotti, S. and Dunjic, S., 2018. Forecasting electricity market price for
end users in EU28 until 2020—Main factors of influence. Energies, 11(6), p.1460.
Snihur, Y., Lamine, W. and Wright, M., 2018. Educating engineers to develop new business
models: Exploiting entrepreneurial opportunities in technology-based
firms. Technological Forecasting and Social Change, p.119518.
Takata, H., 2016. Effects of industry forces, market orientation, and marketing capabilities on
business performance: An empirical analysis of Japanese manufacturers from 2009 to
2011. Journal of Business Research, 69(12), pp.5611-5619.
TOMASSONI, M., 2019. Development of a business plan for the expansion of CESI's operations
on the IFI hydropower market.