Detailed Business Plan: Establishing a Ramen Shop in Hertfordshire, UK

This document presents a comprehensive business plan for launching a "Ramen Shop" in Hertfordshire, UK, focusing on Chinese-style noodles with miso and various soups. The plan details the business description, which positions the Ramen Shop as a unique Japanese dining experience within the UK food and beverage industry. It outlines short-term objectives like improving skill sets and establishing a brand message, and long-term goals such as increasing profit and enhancing sales. The market analysis highlights the growing UK food and drink industry and the increasing demand for innovative food products like noodles, with a projected market size of £525 billion by 2027. The operational plan covers goals, production processes, and timelines, while the growth strategy explores market penetration, development, product development, and diversification. Financial information includes sales and profit forecasts, investment potential, break-even analysis (24,989 units monthly), and cash flow projections for the next three years. The conclusion emphasizes the importance of a business plan in defining the nature of the business and its strategies for achieving profit and satisfying customer needs.

New Business
Task 2 (Business plan)

Table of Content
 Executive Summary
 Introduction
 Business description
 Objectives
 Market Information
 Operational plan
 Strategy for growth/development
 Financial information
 Conclusion
 References

Executive Summary
 The presentation summarises that “Ramen Shop” is a new business that will be launched at
Hertfordshire, UK. It will offer ready to eat and packaged Chinese style noodles, flavoured
with miso and various kinds of soups.
 The individual presentation is based on business plan that covers description of the business,
objectives, market analysis, operational plan and financial information.

Introduction
 Business is said to an activity for making living of a person along with money through
manufacturing or purchasing and selling tangible items and intangible services. It entails series of
dealing as individual transaction could not be sated as business.
 For the business plan, “Ramen Shop” is new business that is planning to establish at Hertfordshire,
UK. The new business will offer Chinese style noodles, flavoured with miso and various kinds of
soups.

Business description
 Ramen Shop is a new business that will be launched as a restaurant in food and
beverage industry of UK. It will offer unique taste of Japanese dishes to people of UK
as per their taste and preference. It is a kind of sushi restaurant that will prepare all of
its foods-in house ‘from scratch’ comprising soups, ramen noodles, broths and so on.

Objectives
 Business objectives are measurable results which are expected by an entrepreneur to achieve
while maintaining organisational growth. Some objectives of Ramen Shop are as stated:
Short term objectives:
 Improve skill sets
 Positive experiences
 Establish brand message
Long Tem Objectives:
 Increase profit
 Enhance sale

Market Information
 Within UK market, food and drink industry is developing at an alluring rate and is
presently country’s largest manufacturing sector. It contributes more to economy than
any other manufacturing sector. In the market, consumers are seeking innovative and
new food product such as noodles that offers nutritional advantages and taste. The
noodles market size is valued at £ 318 billion in 2019 and is expected to reach more
than £ 525 Billion by 2027 that exhibit CAGR of 5.9% in forecast duration.

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Success factors
 Growing adoption of convenient food products to surge demand
 Increasing middle class population to favour growth
Consideration of issues that could impact on the start-up
 Increasing prevalence of Obesity to hamper growth
 Putting together perfect menu

Operational plan
 Operational plan is detailed oriented plan stating ways in which divisions or groups
contribute in attaining desired goals. Operational plan for Ramen Shop is as presented:
 Goals and objectives
 Production process
 Timeline

Strategy for growth/development
 All proposed businesses need effective growth strategy for the purpose of shifting its status from
being a small business to large company. Most proposed ventures are fuelled by positivity and
enthusiasm of its entrepreneurs. Proposed growth strategies that could be opted for further
development of Ramen Shop:
 Market penetration strategy:
 Market development strategy:
 Product development strategy
 Diversification strategy

Financial information
 Financial information could be termed to data about monetary transactions of a business. For
Ramen Shop, financial information includes sales and profit forecast, investment potential,
breakeven and cash flow forecast for upcoming three-year period.
 Sales forecast:
Sales Forecast for Ramen Shop
Sales FY 2021 2022 2023
Supermarkets 128,000 143,000 173,000
Grocery Stores 185,000 203,000 246,000
Total Sales 313,000 346,000 419,000
Direct Cost of Sales FY 2021 FY 2022 FY 2023
Supermarkets 12,800 15,000 16,400
Grocery Stores 18,500 20,300 23,900
Subtotal Direct Cost of 31,300 35,300 40,300

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 Break even analysis: The monthly break-even point is 24,989 units.
Break-even Analysis
Monthly Revenue Break-
even
24,989
Assumptions:
Average Percent Variable
Cost
10%
Estimated Monthly Fixed
Cost
22,490