Individual Business Model & Plan for a Seafood Restaurant in Melbourne

This report presents a comprehensive business plan for a seafood restaurant, focusing on the Melbourne market. It begins with an executive summary and table of contents, followed by an introduction outlining the business idea and its relevance. A detailed business model canvas is provided, analyzing key aspects such as customer segments, value propositions, and revenue streams. The report includes a thorough market analysis, examining the size, growth rate, and competitiveness of the seafood industry in Australia, along with market segmentation and identification of target customers and competitors. The operations and technology section discusses operational management, technology adoption, sales, distribution strategies, and relevant regulations. It also covers human resources, including organizational structure, staffing needs, and recruitment strategies. Finally, the report projects financial aspects, including costs, revenue streams, and profitability. The report aims to provide a complete business model and plan for a seafood restaurant, including an analysis of the market, operations, and financial projections. The student's assignment is available on Desklib.

Individual Business Model & Plan
Business Idea: Seafood Restaurant
By: Yaqoob Al zadjali
Tutor: John Presley
Class: Monday 4-6Pm
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Executive Summary
The changing business environment demands new and innovative business ideas which help the
entrepreneur to survive in competitive market. Starting a restaurant that specializes in seafood is
a fantastic new business venture to set in motion. There are so many reasons to start a seafood
restaurant and one main reason is that the customers’ who are seafood lover can’t find quality
restaurants in Melbourne, Australia. In order to solve this main issue, there is the innovation of
the new business idea that is a Seafood Restaurant which will provides new opportunity to the
company or new entrepreneur in a competitive market. By making an analysis in this report, it
can concluded that by using this innovative business idea, customers will be able to get fresh
seafood which they like and want to eat and the new entrepreneur also generate more revenue
from this innovative business idea.
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Table of Contents
Executive Summary.........................................................................................................................2
1. Introduction..................................................................................................................................4
2. Business Model Canvas...............................................................................................................4
3. Market.........................................................................................................................................6
4. Operations and Technology.........................................................................................................8
5. Human Resources......................................................................................................................10
6. Finance.......................................................................................................................................12
7. Conclusion.................................................................................................................................16
References......................................................................................................................................17
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1. Introduction
From the past decades, the humans’ attraction towards seafood is increasing day by day because
of different taste and it is healthy food. Seafood is one of the abundant foods which are rich in
nutrient and available to all over the world. Now days some species of seafood have moved from
poor man’s food to luxury food. Starting a restaurant which provides fresh seafood in urban areas
of Australia is a fabulous business idea. In this report, there will be discussion regarding the
market and the customers’ needs and wants which will be solved by the use of the business idea.
A business canvas model will also be used to present the proposed model of business in an
appropriate manner. Apart from the business canvas model, the market research about seafood
business in Australia has been discussed in this report and which type of human resources is
needed in this business idea will also discuss. Finally, this report also discusses projected
revenue which will be incurred from the sale of products and how much finance will be required
to run this business idea.
2. Business Model Canvas
The business model canvas was suggested by Alexander Osterwalder and it is a strategic
management tool for developing new business models. Below table shows the business canvas
model of Seafood Restaurant (Watson, et. al., 2016):
Key Partnership
Supplier or
Vendor who live
in coastal areas
to supply the raw
materials like
fish, shrimp, and
crabs.
Suppliers of raw
cooking material
Key Activities
Standardization the
purchase and the
selection of quality raw
material.
Restaurants provide
hygiene seafood to their
customers.
Improve the quality of
seafood products which
Value
Propositions
Reasonable
price.
Use traditional
recipes which
are famous in
Australia.
Finding the
original recipes
Customer
Relationship
Excellent
customer
service.
Customer
interaction
platform in
social media.
Providing a
Customer
Segments
Segments
consist of
families,
couples,
friends group,
etc.
Most of the
women who
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in Melbourne,
Australia.
are already available in
the market.
Made the contract of
the purchase to stabilize
raw materials price.
of seafood ever
lost.
Added the value
propositions
offered such as
fresh seafood,
flavors of food
and heritage
recipes, the
atmosphere area
should be
hygiene and
fresh.
flexible
booking and
reservation
service.
Customer
interaction
platform in
social media.
influence
their family
and friends
for selecting
the
restaurant.
Key resources
Food recipes and
human resource as the
value of assets.
The restaurant can
register the recipes of
seafood as intellectual
property.
The supply chain of
seafood.
The restaurant use
traditional recipes of
seafood which are
famous in Australia and
prepared in different
style.
Channels
Use social
media channels
to attract more
customers.
Delivering
value
proposition
through offline
and online
method.
Capturing a
market share to
identify what
the customers
expected.
Communication
with the e-
commerce and
personal touch.
Cost Structure
Cost of purchasing raw material to the
Revenue Stream
Sale of seafood
Sale of seafood products by doing home delivery.
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suppliers or vendors.
Selling & Distribution and Administration
Cost of seafood.
Marketing Cost
Other expenses related to the seafood
restaurant.
Pricing models based on the package on the food
menu for the group or family.
3. Market
Australia’s seafood derives from aquaculture and wild capture sources and over last 20 years the
seafood produced in Australia at around 230,000 tonnes per year which shows that the seafood
consumption has been increased day by day. Australian fisheries measure and aquaculture
manufacture is $2.4 billion every year. The below data shows that the popularity of seafood in
Australia and this market survey shows that the restaurant business can earn more revenue by
operating seafood restaurant in the urban areas where the quality and hygiene is the major
problem (Dudin, et. al., 2015).
Australian seafood production
Figure: Australian fisheries and aquaculture production volume, 1992-93 to 2012-13.
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Over the past two decades, the combined volume of Australian aquaculture and fisheries
production has been constant whereas volume of Australia’s wild capture has relatively low as
compared to the Australian aquaculture and fisheries.
Industry Overview
Australian seafood industry is the biggest industry in the world and the consumption of seafood
has been increasing day by day. In 2012-13, aquaculture comprised 43% of the gross value and
35% of the volume of Australian fisheries production. In Australia, salmonids were the largest
aquaculture species and most valuable seafood which are mostly eat by people of the country
(Carlucci, et. al., 2015).
Figure: Production of Australian fisheries in 2012-13.
Market segmentation
Market segmentation is the most important research which is done by new business entrepreneur
to launch their products or services in a particular market. The market segmentation is done on
the basis of customer taste, preference, income, age, etc. The company targets the urban areas of
Melbourne which provides sufficient revenue and more customers to the company (Gibson,
Rosen, and Stucker, 2015).
Targeted Customers
The targeted customers are Families, Friends, college students, couples, and most important the
women.
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Major competitors in the market
 Ngon Restaurant Vietnamese and Asian Cuisine
 Ikie- jime Seafood by Vue
 Lobster Cave- Seafood Restaurant Melbourne
The above main competitors which are mostly captured major parts of Melbourne area and also
give tough competition to the other seafood restaurant who operate their seafood business in that
area.
Location of the business
Near to the coastal area of Melbourne where the customers easily attract to the restaurant. The
restaurant offers fresh and hygiene seafood to the customers on the demand.
4. Operations and Technology
The main operation of the seafood restaurant is to provide new and tasty seafood which is
hygiene and fresh to the customers. The restaurant uses a recipe which is traditional and makes
in a new manner (Slack and Brandon-Jones, 2018).
Following are the dishes which are prepared by the seafood restaurant for their customers:
 Grilled Halibut with Peach and Pepper Salsa
 Bourbon- Glazed Salmon
 Southwestern- style Shrimp Taco Salad
 Salmon Croquettes
Operation Management for new seafood restaurant which is discussed below:
 Receive, verify, and inspect suppliers or vendors deliveries
 Count, check and report inventory level
 Talk with vendors concerning the quality of product delivered
 Inspect kitchen, dining area, food lockers, storage, etc.
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 Check level of stocks and submit orders which are necessary
Technology innovation has been an important factor for the new restaurant business because
with the help of it they can serve services to the customer in an effective manner. With the help
of technology, the restaurant can be grilled and make food in an appropriate manner. By using
the latest technology the restaurant business can capture more and more market share
(McClenachan, Dissanayake, and Chen, 2016).
In this report, the seafood restaurant uses new technology which automatically grilled and makes
the seafood according to the prescribed recipe. By adopting the latest technology, it will reduce
the cost and helps the restaurant to gain more profits for their business operations (Cascio, 2015).
Sales and distribution for seafood
The seafood restaurant can sell their foods directly to the customers without involving any
intermediaries between the restaurant and customers.
Resources are required for development and are they available to the restaurant
Raw Materials: Raw materials like fish, shrimp, and crabs which are necessary to make a recipe
for the customers.
Suppliers: Suppliers who provide raw material to the restaurant on reasonable rates.
Components: Components are used in the seafood restaurant are refrigerator, grilling, and food
preparation machines.
These resources are with the restaurant and use in their business operations.
Laws and regulation relating to seafood business in Australia
Based on scientific or technical criteria, FSANZ (Food Standards Australia and New Zealand)
plays an important role in developing all domestic food standards for restaurant business. The
Australia New Zealand Food Standards Code has various principles and requirements that
applicable to seafood which are produced domestically or imported (Curtain and Grafenauer,
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2019). With the help of these standards, the restaurant business formulated its policies and
procedures for their business operations.
In the restaurant business, business ethics is one of the major issues because, in competitive
market conditions, it is very important to offer service at a high level and also in quality. In order
to protect the goodwill of the restaurant, it is the duty of the manager to offer quality food to their
customers at a reasonable price. The seafood restaurant follows all code of ethics which are
governed by the government for the restaurant business (Lai, Khoo-Lattimore, and Wang, 2018)
5. Human Resources
The human resource plays an important role in every business and without it the business cannot
achieve their goals and target in an appropriate manner. In seafood restaurant the workforce
required for running the business operations are (Rice, 2019):
 Managers
 Chef or cooks
 Waiter or Server
 Dishwashers
 Bus persons
 Bartenders
 Hosts
Each and every member of restaurant has a specific function and contributes to the operation of
the restaurant.
The manager of the restaurant is the owners and mostly managed the restaurant in an appropriate
manner. The manager assigns the duties and responsibilities to each and every person in the
restaurant and motivates them on time to time. The manager track inventory, check the cash
register, buy food and beverages, train and also manage the staff, deal with suppliers and lastly
they develop and implement a marketing strategy for their restaurant (Dudin, et. al., 2015).
Organizational Structure of a Seafood Restaurant
General Manager
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 Opening and closing Managers
Back of the house
 Cooks
 Prep cooks
 Expediter
 Dishwashing
Bar Manager
 Bar- backs
 Cocktail Servers
 Bartenders
Dining Room Manager
 Hostess
 Buspersons
 Servers
Employees need in the 1st, 2nd and 3rd years to the seafood restaurant
Year
1. 5 employees
2. 10 employees
3. 15 employees
The right employees are finding with the help of newspaper, social sites, job portals, etc. The
manager can appoint with the help of offline and online methods of job recruitment. The
manager can motivate their employees by providing incentives or other monetary benefits on
their performance in the restaurant. The employees are paid in a combination which includes
paying for time, production and according to their knowledge. The manager also provides time to
time training and development program for their employees who help the employees to upgrade
their knowledge and skills (Lim-Camacho, et. al., 2015).
Recruiting or training
 Recruit new employees by seeking help from the manager
 Recruit new employees by seeking appointments
 Recruit new employees by advertising
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Orientation or training
 Explain benefits of employee and compensation programs
 Conduct on-site training for employees
 Conduct on-site orientation for new employees
Following are the strategies that Seafood Restaurant startups must adopt to grow:
 Location
 Strong conceptualization
 Good and quality food
 Welcome service staff presence
 Top customers rewards
6. Finance
To start new business finance is an important component because with the help of it the company
can run its business operations in an effective and efficient manner. The open a seafood
restaurant it will require a fund which helps the owner to purchase fixed assets, cooking
equipment, raw materials to run their business operations in an effective and efficient manner
(Burns and Dewhurst, 2016).
The below table shows the total funds are required to operate the seafood restaurant in
Melbourne Australia.
Start-up funding
Startup expenses to fund $5,000
Start-up Assets to fund $4,000
Total Funding Required $9,000
The projected revenue from the sale of different seafood in the first year is $27,910 which is
advantageous for the restaurant growth and success. The restaurant sales their seafood at a
different selling price which is suitable for the customers and less than the competitor price.
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The seafood restaurant business expected that the sales will be increased by 10% in each future
year which will beneficial for the owner in the future periods.
Start-up Costing for [Seafood Restaurant] - [2019]
START-UP COSTS Cost ($) EQUIPMENT/
CAPITAL COSTS Cost ($)
Registrations Business purchase price Nil
Business name 84.00 Franchise fees 50.00
Licences 50.00 Start-up capital 9000.00
Permits Nil Plant & equipment
Domain names 34.50 Vehicles 6,500.00
Trade marks/designs/patents Nil Computer equipment 200.00
Vehicle registration 32.00 Computer software 150.00
Membership fees Nil Phones 90.00
Accountant fees 20.00 Fax machine 20.00
Solicitor fees 25.00 Security system Nil
Rental lease cost (Rent
advance/deposit)
1000.00 Office equipment
Utility connections & bonds
(Electricity, gas, water) 70.00 Furniture 5,000.00
Phone connection 50.00 Shop fitout 25,00.00
Internet connection 75.00
Computer software 150.00
Training 87.00
Wages (per person) 20.00
Stock/raw materials 150.00
Insurance
Building & contents 10.00
Vehicle 5.00
Public liability Nil
Professional indemnity Nil
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Product liability Nil
Workers compensation 40.00
Business assets 400.00
Business revenue 27,910
Printing 60.00
Stationery & office supplies 6.00
Marketing & advertising 750.00
Total start-up costs $31,028.
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Total equipment/capital
costs $23,510
Assumptions:
All figures are GST exclusive.
The above table shows that the total estimated start-up costs for the new business idea will be
$31,028.5 and the estimated total equipment or capital costs will be $23,510 which is suitable for
the new business idea. These costs are reasonable for the owner and easily coverable by the
revenue which will be generated from the sale of seafood to the customers.
Profit & Loss for [Business name] as at [Financial Year]
PROFIT & LOSS Year 1 Year 2 Year 3
Sales 27910 35000 40,000
less: cost of goods sold 9100 11500 12000
Gross profit/net sales $18,810 $23,500 $28,000
Expenses
Accountant fees 200 200 300
Advertising & marketing 150 100 120
Bank fees & charges 60 65 70
Utilities (electricity, gas, water) 150 165 175
Telephone 50 60 65
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Rent & rates 2500 3000 3200
Motor vehicle expenses 50 55 65
Repairs & maintenance 10 15 15
Insurance 125 125 125
Income tax 35 40 50
Wages (including PAYG) 150 155 160
More…
Total expenses $3480 $3980 $4345
NET PROFIT (Net Income) $15,330 $19,520 $23,655
Assumptions:
All figures are GST inclusive. .
The projected net profit has been increased from year to year which shows that the seafood
restaurant which different concept provides new opportunity and growth in the
competitive market of Australia.
Restaurant financing simply means finance arranged which might be accessible to inaugurate a
restaurant, enlarge a current establishment or purchase a franchise. Funding might assist to cover
buying of equipment, stock payroll, rent utilities, and another operating expenses.
Banking institutions are the crucial sources for funding of restaurant which assist them to open
their operations throughout the world (Vega and Lam, 2015).
Additional restaurant financing includes the following financing which is listed below:
 Finance from local administration and other financing institutes
 Venture capital firms invest funds in the restaurant which provides support to the seafood
restaurant.
 However, this can be said that there are so any optional financing options, other than
loans, offered to few restaurants like factoring or credit card receivable financing.
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The restaurant takes money from banks and ventures capitalist that provides a fund to company
at reasonable rates. In return, the company has to pay principal amount plus interest to the bank
and venture capitalist.
7. Conclusion
From the report which is presented above in regards with a new business idea which provides
fresh and hygiene seafood to the customers at a reasonable price at the coastal areas by using
new technology and innovations which are discussed in the above report. By conducting an
accurate market survey the seafood restaurant is open in Melbourne, Australia. In this business
report, the business canvas model is prepared which shows nine major elements of a new
business idea. This report also gives a preview about how much cash or fund is required in new
business idea and which operations are successful in the competitive market. In this report,
human resource importance in seafood restaurant is discussed which shows how much human
capital is required in the restaurant business. Finally, it can be said that a seafood restaurant with
different innovative idea provides new opportunity and growth to the new business in the
competitive market.
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McClenachan, L., Dissanayake, S.T. and Chen, X., 2016. Fair trade fish: consumer support for
broader seafood sustainability. Fish and Fisheries, 17(3), pp.825-838.
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