Fast Frites Business Plan: Detailed Market and Financial Analysis

The assignment is a comprehensive business plan for Fast Frites, a fast-food outlet aiming to establish itself as an international franchise, starting in Singapore. The plan details the company's mission to offer high-quality, affordable fast food with a fun atmosphere, targeting the increasing demand for quick meals in shopping malls. The report includes a detailed market analysis of the Singaporean retail sector, sales estimations, customer profiles, and sourcing strategies. It also covers marketing strategies, including grand openings, in-store promotions, and local media engagement. Furthermore, the plan outlines the management team, organizational structure, personnel plan, and financial feasibility, including sales forecasting, break-even analysis, and operational plans. The report employs Porter's Value Chain Model and emphasizes quality maintenance and an action plan for successful implementation.

Running head: BUSINESS PLAN
The Entrepreneurship Report
December 21
201
8

BUSINESS PLAN 1
Executive Summary
Fast Frites is a locally possessed outlet of fast food that will be placed as an international
franchise by the innovative approach to the image of the company and presentation. Fast
Frites will offer a blend of outstanding food at affordable prices, with fun atmosphere and
packing. The new business plan is the reply to the increasing demand for the snack type fast
food, to be taken while walking inside the mall and doing window-shopping.
In the present competitive environment, it is becoming very tough to distinguish one outlet of
fast food from another outlet. Singapore is a city-state, is today converting in a perfect
metropolis for the new economic boom of Asia region. With around 11 million yearly
visitors, majorly from neighboring nations such as Thailand, Malaysia, Philippines, and
Indonesia, the retail sector of Singapore is one of the strongest areas. The Fast Frites is
established with a mission and vision of becoming the most successful outlets of Fast food in
Singapore and initiating with a single retail outlet in the shopping mall.
The objective of the business plan is to create an existence as a fruitful native outlet of fast
food and attain a market share in the fast food industry of Singapore.

BUSINESS PLAN 2
Table of Contents
Executive Summary...................................................................................................................1
Introduction................................................................................................................................3
Background of the Business Plan...........................................................................................3
Marketing and Sales...............................................................................................................3
Marketing strategy.............................................................................................................4
Market Analysis.................................................................................................................5
Sales Estimation (Refer to Appendix 1).................................................................................5
Overview of Key Decision Maker (Customers).................................................................5
Sourcing of Products..........................................................................................................6
Sales Strategy.........................................................................................................................6
Communicating with Customers........................................................................................6
Word of Mouth...................................................................................................................7
Management Team.................................................................................................................7
Organizational structure.....................................................................................................7
Personnel Plan....................................................................................................................8
Financial Feasibility...............................................................................................................8
Sales Forecasting................................................................................................................8
Break-Even Analysis..........................................................................................................8
Operational Plan.....................................................................................................................9
Components of the production process..............................................................................9
Porter’s Value Chain Model...............................................................................................9
Quality Maintenance........................................................................................................11
Action Plan.......................................................................................................................11
Conclusion................................................................................................................................13
Reference..................................................................................................................................14
Appendix..................................................................................................................................16
Appendix 1...........................................................................................................................16
Appendix 2...........................................................................................................................16
Appendix 3...........................................................................................................................16
Appendix 4...........................................................................................................................16
Appendix 5...........................................................................................................................17

BUSINESS PLAN 3

BUSINESS PLAN 4
Introduction
A business plan is considered as one of the essential strategic tools for the entrepreneur. An
effective business plan, not just support entrepreneurs in focusing towards precise steps
essential to make the idea succeed, but besides this, it also supports them in attaining long-
term as well as short-term objectives (Messmer, 2015). The intent of this report is to present a
successful business plan of Fast food restaurant by providing detail information of the
business along with its financial requirements. The report will be comprised of marketing and
sales information, financial feasibility of the business, operational plan, and action plan.
Background of the Business Plan
The key precedence of this business plan is to introduce a single outlet in a busy mall,
preferably in one of protruding Singapore's shopping malls. Later, the efforts of the business
will be focused towards developing more outlets of retailing in the nearby place. This
business plan is created to attain a location for the early introduction of this concept. Fast
Frites will majorly target youngsters to take their relatives and friends in the innovative
environment, to tastes delicious Belgian fries, and an assortment of exclusive signature
dipping sauces.
Marketing and Sales
Fast Frites will be focused towards vending gourmet fries in a cone with a different variety of
sauces. The business makes use of the concept of Belgian Fries in which the fries are cooked
with fresh potatoes and are fried two times. The business outlet also offers friendly and
excellent services to the customers to support the atmosphere of fun, youthful, and energetic
lifestyle.

BUSINESS PLAN 5
The business will reproduce effective creations, like Starbucks and Jamba Juice, which are
focused towards presenting most of the key target market that is between the age group of 18
to 35 years. The store will represent display cooking of its presented Belgian Fries firm
cutting to frying. The customers of the business will be able to read the in-house brochures in
order to gain knowledge regarding Belgian Fries and sauces. The store will be presentable
with decent decoration with the setting of fast food, like the display menu, and bright counter.
Furthermore, the business will concentrate on selling fries. Alcoholic drinks will be not
allowed within the premises as Fast frites encourage positive and healthy Singaporean
lifestyle. In its place, the business will provide Italian Soda to pair the fries. Besides this in
the future, business is planning to offer value meal to the customers and allow private parties.
Marketing strategy
Grand Opening
The business has planned a grand opening for its creative fast food outlet in order to attract
more and more customers.
In Store Marketing
In this concept, business has planned to allow customers to read in-store brochures containing
the detailed concept of the business and philosophy. Besides this, it will make use of wall
posters, party catering, in-store presentation of cooking fries, etc.
Local Store Marketing
In this business will print brochures to present itself in front of its customers and will offer
free special t-shirts in the event at the local stores.
Local Media

BUSINESS PLAN 6
Business will make use of a web page that will be comprised of philosophy, news, and
history. Local magazines will be used to target key consumers. Besides this, the business will
promote its services by placing huge advertisements in the Newspaper throughout the month
in order to brief about the business concept.
Market Analysis
Same as restaurants offering full-service, fast food restaurants are facing some of the
operational challenges in terms of high labor costs, and rents, though, unlike full-service
diners, fast food restaurants are able to answer and familiarize to these increasing challenges.
In part, because of the nature of the business, the industry of fast food, restaurants of fast food
introduce frequent campaigns and possess lower prices, which makes them attracting options
for the customers particularly at the time of economic downturn.
Technology supports to decrease Cost
Restaurants of fast food have been very eager and quick to invest in the advanced
technologies in order to enhance working competence and decrease the dependence on labor,
which is a traditional key driver of cost in their business operations. Advanced technologies
have gradually been executed in numerous outlets with fast food brands.
Sales Estimation (Refer to Appendix 1)
Overview of Key Decision Maker (Customers)
The primary target market of Fast Frites is the young Singaporeans, Orchard Road is the best
location considered to hang out and meet with friends. Because of dense extra-curricular
actions among the youth of Singapore, it is very general for the high school students to avoid
having food at home and go to shopping malls to have lunch. They incline to visit the fast
food centers of the shopping malls across Orchard Road.

BUSINESS PLAN 7
Furthermore, a second segment of the business is working Singaporeans. There are numerous
shopping malls in Singapore but Orchard Road is considered as heaven for the job seekers
and shoppers.
Finally, the Orchard Road is considered one of the key places where there are numerous
numbers of tourists residing in the zone. The Crown Prince Hotel, the Hilton, Meritus
Mandarin, is some of the famous Hotel with major accommodations in Singapore. Tourists in
Singapore hunting for the latest fashion trend in Orchard Road, and possess no time to have a
full-time meal while shopping. Fast Frites will provide a substitute for the quick bite at the
time of shopping.
Sourcing of Products
The distributor will distribute fresh potatoes every week directly from the United States. The
business has an agreement with the Company A to prepare signature sauces, and entire
merchandise will be produced and printed by the official partner in China.
Sales Strategy
The Sales strategy of the business is to open new places to increase profit and revenue of the
business. However, this business plan will be executed at the time when the first tester in the
market will reflect some growth. As every individual setting will endure shaping the native
base of the consumer in the operations of first three years, the objective of every store is to
reach around S$104,250 in terms of yearly sales, with the unique flagship store anticipated to
get almost S$200,000 every year.
Communicating with Customers
The key focus of the business plan in marketing will be to enhance the awareness of the
customers in the surrounding society. The business will direct its programs and tactics
towards the objective of briefing the idea of business and the offering of the restaurant. The

BUSINESS PLAN 8
price of the products will be set fairly in order to attract more and more customers in the
market. Moreover, because has decided to majorly focus on word of mouth in order to spread
the awareness of the restaurant.
Furthermore, the business will influence the visibility of the website of the shopping mall by
influencing them to add the link to the fast food restaurant. Besides this, the business will
post some of the banners on the official website of Singapore Tourism.
Word of Mouth
The satisfied customers do the best advertising of the business. The consumers like or dislike
the products; they talk about it with other people. This creates word of mouth about the
product or service consumed by the customer (Hudson, Roth and Hudson, 2015). Fast Frites
will make use of word of mouth as its promotional strategy and key marketing force.
Management Team
The initial team of management is grounded on the founders, with slight back up. With the
development and growth of the business, it will take some help with the experts in the
respective area. The business will not add extra overhead until necessary. This reflects that
the initial staffs need to put their extra efforts.
Presently, Fast Frites will have four founders of the business. Other people who have put
their efforts in the development of the business will be provided some opportunity in the
growth of the business.
Organizational structure
Mr. Jones will be accountable for business development and accounting at Fast Frites and Mr.
Henry will be acting as a Human Resource Department head.

BUSINESS PLAN 9
Personnel Plan
The initial workforce will be comprised of two cooks, and two cashiers, and all of them are
obliged to be at the premises during the open hours. It is considered as an ideal personnel
number for the outlet of fast food. All the employees need to work for 38-40 hours every
week.
Financial Feasibility
Financial feasibility is the level at which a program, project, strategy, or change in the
business is financially attractive and possible. It is utilized in evaluating the likelihood and
ability to finish a project effectively comprising all the pertinent factors. It should account for
elements that influence it like technological, scheduling, economic, and legal factors. The
managers of the entire project make use of a feasibility study to define possible positive and
negative consequences of a project before investing a substantial amount of money and time
into it (Daniilidis, Herber and Vermaas, 2014). (Refer to Appendix 1,2,3,4,5)
Sales Forecasting
Sales Forecasting is the procedure for assessing forthcoming sales. Precise sales forecasts
allow businesses to take well-versed business decisions and forecast long-term and short-term
performance (Fan, Che and Chen, 2017). Businesses can ground their forecast based on past
sales data, and economic trends. It is very simple for major businesses to forecast future sales
depending on past data. Newly established businesses need to base their predictions on less-
verified information, like competitive intelligence and market research.
Break-Even Analysis
Break-even analysis is the method broadly utilized by the management accountants, and
production management (Cafferky, 2010). (Refer to Appendix 5)

BUSINESS PLAN 10
Operational Plan
Components of the production process
Fast Frites majorly sells fries and exclusive dipping sauces. Key products sold are Italian
sodas, corporate merchandise, and Belgian fries.
Belgian style Fries will be available in large quality, small quantity with extra garlic
The Fast frites will make use of quality potatoes in the production of fries because this it will
make use of different spices to prepare sauces.
Porter’s Value Chain Model
A value chain is a set of different activities that a business performs to make value for its
consumers. Porter planned a general-purpose value chain that businesses can utilize to inspect
all the activities and observe their connection with each other. The manner in which activities
of the value chain are done regulates costs and touches profits, so this technique can support
in understanding the value sources for the business (Business Jargons, 2018).
Primary Activities
Primary activities are related to the sales, support, maintenance, and physical creation of the
services or product (George, 2014). It is comprised of:
Inbound Logistics – The Fast frites will be producing fries in the store but its key partners
considering the quality of all the products will prepare the sauces. The business will maintain
strong and long-lasting relationships with its key partners as well as customers. Besides this,
the business will offer to take away services also to its customers. Moreover, the manager of
the business will be responsible to take account of all the product’s delivery in the store.
Operations – Operations are the activities of transformation that convert the input into the
output to sell customers (Bhasin, 2017). The Fast Frites will prepare high-quality fries

BUSINESS PLAN 11
accompanied by sauces that will be prepared by its key partners. Besides this, the sauces will
be prepared with different spices, and essential ingredients and fries will be prepared with
quality potatoes.
Outbound Logistics – These activities distribute service and product to the end consumer. It
is comprised of storage, distribution, and collection system, and they can be external or
internal to the organization (MBA Skool, 2018). Here the Fast frites will be established in the
market and will start offering services to different customers in the market such as school
students, tourist, and working Singaporeans.
Marketing and Sales - Fast frites will promote its product with the help of diverse channels
like a grand opening party, word of mouth, and online promotion. However, major priority
will be provided to word of mouth as one of the promotional strategies to target and attract
customers.
Service - The Fast Frites will offer the best services to its customers in the store such as
welcome greetings. The business will also establish its customer service department in order
to support to place orders with ease.
Supporting activities
These activities provide the above-mentioned primary activities. In the diagram of the porter
value chain, the dotted lines represent every support, or secondary, activity can perform a role
in every primary activity (Jurevicius, 2013).
Procurement - At the initial stage, Fast fries will try to make contact with different suppliers
of potato and different ingredients to prepare fries and sauces. Besides this, it will offer a
range of vouchers in order to maintain effective relations with them.