Comprehensive Business Plan: Mark's Restaurant and Lounge

This document is a comprehensive business plan for Mark's Restaurant and Lounge, outlining the restaurant's concept, services, and financial projections. The plan details the company's mission to offer a unique dining experience with a blend of North American, Swedish, and Asian-influenced cuisine in a cozy environment. It includes an executive summary, company overview, market analysis focusing on the Palm Jumeirah area, competitive analysis, marketing and sales strategies, and a financial plan with profit and loss statements, balance sheets, and cash flow statements. The plan also covers management structure, service offerings, and pricing strategies. Additionally, the business plan highlights the catering services offered through a partnership, aiming to attract a diverse customer base and achieve specific objectives within the first three years of operation.

Running head: BUSINESS PLAN
Business Plan
[Mark’s Restaurant and Lounge]
Name of the Student
Name of the University
Author Note

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Table of Contents
1.0: Executive summary..................................................................................................................3
2.0: Company Summary..................................................................................................................4
2.1: Company Ownership............................................................................................................5
2.2: Start-up Summary.................................................................................................................5
2.3: Mission.................................................................................................................................6
2.4: Objectives.............................................................................................................................7
2.5: Keys to Success....................................................................................................................7
3.0: Services.....................................................................................................................................8
3.1: Pricing and profitability........................................................................................................9
4.0: Market analysis.........................................................................................................................9
4.1: Market segmentation..........................................................................................................10
4.2: Strategy for market segment...............................................................................................11
4.3: Strategy and implementation..............................................................................................11
4.4: Competitive edge................................................................................................................12
5.0: Competitors............................................................................................................................13
6.0: Marketing strategy..................................................................................................................14
6.1: Marketing program.............................................................................................................15
6.2: Local marketing..................................................................................................................16
7.0: Sales strategy..........................................................................................................................16

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7.1: Sales forecast......................................................................................................................16
8.0: Web plan summary.................................................................................................................17
9.0: Management summary...........................................................................................................17
9.1: Management team...............................................................................................................18
9.2: Personnel plan.....................................................................................................................18
10.0: Financial plan.......................................................................................................................18
10.1: Profit and Loss Statement for the company......................................................................19
10.2: Balance Sheet for the company........................................................................................20
10.3: Cash Flow Statement........................................................................................................21
11.0: Appendices...........................................................................................................................23
11.1: Appendix 1.......................................................................................................................23
11.2: Appendix 2.......................................................................................................................23

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1.0: Executive summary
Mark’s restaurant and lounge will be a restaurant that will have a capacity of 50 in the restaurant
where as the lounge can handle almost 25 people. The main focus of the company will be on the
menu that will be traditional North American and Swedish with a hint of influence from Asia.
The company will be located in the recently constructed Palm Jumeirah, which is a man-made
island and consists of many high rise apartments.
The future of the place is promising, as there are many first-class projects that are being
developed in the area. There are many apartments along with condos, which will help the
restaurant in running successfully over the whole year. The space will be friendly and will help
in providing excellent quality of food. The restaurant will also house a fine dining place along
with a lounge so that it can attract the customers who are looking for a new experience in dining.
The lounge will consist of comfortable couches with antique seats so that it can provide the
customers the warmth and cozy atmosphere as well. The restaurant will consist of the menu that
is inspired from various countries so that it can attract diverse customers. The Swedish delicacies
will consist of meatballs, gravlax and herring along with a Asian style chicken, black bean sauce,
tofu and spinach.
The entrée dishes will consist of an American meal as well such as baked beans and barbecued
ribs of beef. The menu will be changed after a period of 4 months so that new specialties can be
provided to the customers and will be in competition with the other restaurants that are present in
the area as well.

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The restaurant will be open on all the days and attractive night themes will be done so that it can
attract the new customers. The use of soft music, warm colors and better levels of artwork from
aspiring artists will help in developing a better sense within the community so that it can help in
catering to the various needs of the customers.
The services that will be provided will be done in a friendly manner by hiring the best people and
providing them with training. The training facilities will help in encouraging and motivating the
employees to serve the customers in an efficient manner. The team of management within the
company will consist of people who have more than 10 years of experience in the field of
restaurant and catering along with marketing and finance.
One of the important parts of the business will be the catering services and the business will be in
a partnership with the Sam Catering Agency, which has its own set of clients. They have years of
experience in setting up events and birthday parties so that it can be memorable to the customers.
The total allocation of sales in the restaurant and catering will be 85 and 15 percent respectively.
2.0: Company Summary
Mark’s Restaurant and Lounge will consist of a North-American and Swedish influence
menu along with a hint of the Asian spices within a cozy environment. The choice of the menu is
that it will deal with the specialties of the various cuisines so that it can attract a large number of
customers. The restaurant will offer lunch and dinner on a fixed menu apart from the regular
items that are listed on the menu.
The restaurant will be opened everyday of the week and lunch will be served between
11:00 AM to 3:00 PM and dinner will be available from 6:00 PM to 11:00 PM on all days. The
restaurant will also host brunch on Sundays between 12 AM- 3 PM. The restaurant will also host

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many paintings from new artists so that they can get a platform for show casing their talents so
that it can help in providing a friendly atmosphere within the community.
The company will also have special evenings for Wine Tastings along with a proper meal
set so that it can help the community in acquiring a taste in the delicacies and communicate with
each other in a proper manner.
2.1: Company Ownership
The company will be formed by taking up a loan of an amount of $115,000 at a rate of 7
percent as interest. Additional $60,000 will be used as capital that will be provided by the
entrepreneur and a further amount of $125,000 will be raised from the potential investors who
want to be in partnership with the company. The company will maintain a conservative policy
with respect to the philosophy of the investors, as most of the start-ups of the restaurants are
speculative in nature. The investors of the company will be provided with a generous amount of
returns while maintaining an efficient flow of cash for the operation of the business.
2.2: Start-up Summary
The company will be established by Mark Thompson along with his friend Thomas
Friedrich. Mark will be responsible for looking after the affairs of employees and handle the
kitchen as well where as Thomas will look after the financial issues of the company. The
company will be scheduled to open in May 2018.
The company will be opened up by investing a personal capital of $60,000 along with a
loan of $115,000 and funding of $125,000 from the investors, as the capital that will be required
for starting the company. The total cost of the start-up is $300,000, which will be used for

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purchasing necessary furniture and equipment along with acquiring the liquor license and
operating cash for the next 5 months.
Summary Statement
Sources of Capital
Owners' and Other Investments
$
185,000
Bank Loans 115,000
Other Loans -
Total Source of Funds
$
300,000
Startup Expenses
Bldgs / Real Estate
$
20,000
Leasehold Improvements 10,000
Capital Equipment 75,000
Location / Admin Expenses 20,000
Opening Inventory -
Advertising / Promo Expenses 45,000
Other Expenses -
Total Startup Expenses
$
170,000
2.3: Mission
The company will be offering one of the best places to eat along with a nice atmosphere
so that the customers can be attracted towards the food joint. The primary mission of the
company is that it will offer the customers a better experience with food and the service of the
employees will be friendly in nature. The company wants to become the primary choice of both

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the genders single or with families so that the profit margin can be increased. The employees
along with the customers will be treated in a fair manner so that it can help in the overall success
of the employees.
The menu will consist of different varieties of food and will provide a nice ambiance to
the customers so that the goals of the company can be achieved within the stipulated time. They
will also provide a fine dining experience to the customers so that the profit can be earned in a
fair manner.
2.4: Objectives
The primary objectives for the company within the first three years of operations are as
follows:
 The cost of the food will be kept under the range of 35 percent of the total revenue
 The cost of labor will be in the range of 2 percent of the revenue
 The restaurant will try to be small so that the quality of service can be improved
 The sales on an average basis for the company will be between the range of $68,000-
70,000 in an year
 Promotion of Sam’s Catering Agency in and around the cities of United Arab Emirates
2.5: Keys to Success
 The quality of the food that will be offered will be good along with a friendly and
efficient service quality
 The unique atmosphere that will be made within the restaurant will help them to be
different from the competitors, which will also help in attracting the customers

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 The menu will consist of varied options so that it can serve to the different taste and
preferences of a large number of customers
 Themed nights will be made such as dinners with wine tasting, Swedish Midsummer
party and Swedish smörgåsbord
 Cost controlling at a continuous manner so that profits can be high
 Sam’s Catering Agency also has a vast list of established clients
3.0: Services
The restaurant will be serving food that is creative in nature and are of international
quality. The service that will be provided by the staffs will make the customers feel special,
which will help in enhancing the sale of the dishes. The menu of the company will be changed
after a period of 3 months so that the tastes and preferences of the customers can be changed as
well. The dishes will consist of sizeable amount of food and will be presented in a proper
manner.
The wines will be imported mainly from Argentina, New Zealand, California and France
and a sizeable portion will be served to the customers. Almost 30 percent of the wines can be
ordered by the customers through glasses where as the remaining has to be bought by a bottle.
The restaurant will also consist of a wide array of beers so that the customers can choose their
personal favorites. The lounge will be lit in a dim manner so that they can enjoy the drinks with
their companions in a cozy manner.
In the summer months the patio of the restaurants will be used for making seating
arrangements for the customers, as they would like to enjoy their food and drinks on the outer
area of the restaurant. The menu will consist of special summer items, which can make the

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customers feel light and the atmosphere will be casual in nature. The staffs of the restaurant will
be provided with the best training in culinary skills so that it can help them in serving the
customers with the food in an effective manner.
3.1: Pricing and profitability
The total sales of the restaurant has been allocated to 85 percent where as the proceeds
from the catering services will be 15 percent. The cost of sales on combining these will be 33
percent and the gross profit will be 67 percent of the total sales. The prices will be set in a
competitive manner so that it can help the restaurant in gaining a competitive advantage over the
rival restaurants that are present within the area and helps in attracting the customers as well.
4.0: Market analysis
The restaurant will try to seek the local people as well as the people who are visiting the
area as tourists and people who have a good taste in food and drinks and enjoy a nice ambience.
The restaurant will be situated in the area of Palm Jumeirah, as it is being developed at a faster
rate. The new restaurant will help in developing the place, as it will help in attracting the local
community as well as large number of foreigners who are visiting the area.
Since the place is being developed at a faster pace, it will help the restaurant in attracting
more number of customers, as the place consists of residential buildings as well as tourist spots.
The tourists can enjoy an oceanic view, which will help them in being attracted towards the
restaurant. After the project has been developed in the place, it will help in increasing the influx
of residents in the area. The city will be offering many areas for the tourists, which will help
them in being attracted towards the place. The atmosphere of the restaurant will also help in
grabbing the attention of the community and the tourists. The fine dining within the restaurant

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along with the friendly atmosphere of the staffs will help the restaurant in increasing its level of
profits. The restaurant will also offer different combinations to the customers so that they can
have an excellent experience with respect to the food.
4.1: Market segmentation
The restaurant will try to attract a wider group of people by providing them a fine dining
experience. The customers will feel relaxed and comfortable within the atmosphere and will have
an opportunity to experience the different types of food that are present in the menu. The
following segments will be considered as the target market for the restaurant:
Business man- These people can come to the restaurant after a hard day at the office so that they
can relax and enjoy with food and drinks. The business men can also have a meeting in the
restaurant, as there will be space to accommodate them as well. after the business meeting is
done, they can enjoy with food and drinks as well.
Couples- The ambience of the restaurant will be cozy and romantic, which will help in providing
enough space for the couples to enjoy their food and drinks in a relaxed manner. The couples can
also reserve the tables prior to one day so that they can enjoy a date between them. These people
will not be spending much on the drinks due to their financial constraints but can enjoy the food
that is present in the menu.
Family- The restaurant will be a perfect place for setting up of family dinner due to the service of
the staffs that will be friendly in nature and the choice of the menu. The family members will be
interested in the menu, as the price that will be spent on the food will help them in satisfying
their hunger.

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Singles- These people will be attracted towards the restaurant due to the decorative indoors of
the place. The international standard of food choice along with decorative interiors and events
will help the singles to be attracted towards the place.
Tourists- The place is developing at a faster rate, which will help in attracting a large number of
tourists. The rise of the tourist activities will help in increasing the sales of the place and inflow
of foreign currencies as well.
4.2: Strategy for market segment
Mark’s Restaurant and Lounge will help in attracting the customers who are between the
ages of 21-60 and has an annual income of $25,000 on an average. The restaurant will help in
attracting the business men, couples, families, tourists and singles that are wealthy and have
financial stability and has to be compulsive spenders as well. The restaurant needs to target the
specific groups who visits the restaurants and bars on a frequent manner so that it can help them
in providing a better atmosphere to these customers. These people will be able to spend a good
amount on a better dining facility and good facility, which can be available at a valuable price.
The general geography of the place is that it will attract people from neighboring cities
and tourists from different places as well, which will form a major part of the clientele within the
restaurant. The clients will also include the people who have a sophisticated taste in music and
art and can appreciate the ambience in a better manner.
4.3: Strategy and implementation
The strategy of the restaurant will be simple that is it will succeed by providing the
people a combination of interesting and excellent food within a proper environment so that it can
appeal to a wider section of the people. The primary focus will be to maintain a higher quality