Management of Small Business Plan: Habib's Lounge & Restaurant, MSB280

This document presents a detailed business plan for Habib's Lounge & Restaurant, a proposed fine-dining establishment with a lounge, located in Al Bahiya, UAE. The plan includes an executive summary outlining the restaurant's concept, which focuses on new American and Italian cuisine with Asian influences, targeting a growing market segment. The plan covers the company description, vision statement, and product/service description, emphasizing the restaurant's value proposition of quality food, service, and atmosphere. It analyzes the industry, market, and target customers, along with a competitive analysis and marketing strategy. The plan also details the legal and organizational structures, key personnel, activities, and financial projections, including sales and profit forecasts, to secure a loan of $200,000. The restaurant aims to differentiate itself through its unique menu, service, and ambiance, offering a complete dining and entertainment experience for its customers.

Running head: MANAGEMENT OF SMALL BUSINESS
Management of Small Business
Name of the Student
Name of the University
Authors Note
Course ID

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Executive Summary:
Habib’s Lounge & Restaurant will be a 100 seater fine dining restaurant with 50 seat lounge.
Habib’s Lounge & Restaurant main focus is serving its customers with new American and
Italian menu with the touch of Asian influence. The business will be located in Al Bahiya
which is booming and increasingly expanding area in UAE. The outlook of Habib’s Lounge
& Restaurant for opening a future branch appears promising. The developers are recreating
the with $150 million project of building resort. There would also be a 100,000 square feet of
commercial space and more than 700 residential units with townhouses that ranges between
$250,000 and $500,000. Rental premises is also available with rent ranging between $2,000
to $4,500 per month and also a two-tire garage. This combination ultimately makes the area
with a complete year-round economy.
The Habib’s Lounge & Restaurant will remain open for seven days a week and it will offer
its new customers with special theme nights for repeated business. The restaurant will
centrally be a fine dining under a cosy environment. The business aims to provide a relaxed,
correct and friendly service to its customers. Habib’s Lounge & Restaurant will hire best
human resource for training, motivating and inspiring them. Habib’s Lounge & Restaurant
will retain the friendliest and most efficient workforce possible. The business seeks loan of
$200,000 based on the annual 8% interest rate. The owners are also investing their own
capital of $150,000 as well.

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Table of Contents
Company Description:...............................................................................................................3
Vision statement:........................................................................................................................3
Company background................................................................................................................4
Product/Service Description:.....................................................................................................4
Value Proposition:......................................................................................................................5
Industry Description:..................................................................................................................6
Market Analysis:........................................................................................................................6
Target Customer:........................................................................................................................7
Competition and Competitive Advantage:.................................................................................7
Competitive Advantage:.............................................................................................................8
Marketing Strategy:....................................................................................................................9
Sales Plan:..................................................................................................................................9
Competitive Plan:.......................................................................................................................9
Legal and Organizational Structures:.......................................................................................10
Key Personnel:.........................................................................................................................10
Key Partners, advisers and related service providers:..............................................................11
Key activities and operations:..................................................................................................11
Financial Summary:.................................................................................................................12
Sales and Profits:..................................................................................................................12
References:...............................................................................................................................14

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Appendix: A:............................................................................................................................16
Financial Statements:...........................................................................................................16
Appendix B:.............................................................................................................................20
Owner Biographies:.............................................................................................................20
Product or Service pictures:.................................................................................................20
Indicators of Success:...........................................................................................................22

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Company Description:
Habib’s Lounge & Restaurant aims to serve its customers with wide variety of
international food that are American origin. The business will be located and completely
owned by the owner as sole proprietorship forms of business. the restaurant will also serve
numerous American and Italian style food with the blend of Asian influence. The restaurant
will be completely held and functioned by owners.
The menu of Habib’s Lounge & Restaurant will be serving the blend of best Italian
recipes that would range from focaccia bread to the luscious tiramisu and more. While in
context of American dishes it would include the best traditional dishes ranging from
hamburger to Hominy Grits. The menu of Habib’s Lounge & Restaurant will also be inspired
from “Asian chilly shrimp, lamb, vegetarian lentils sauce” etc. The menu of Habib’s Lounge
& Restaurant will be changing in every few months and will keep the favourites (Johnson,
2016). Nevertheless, it is the policy of the Habib’s Lounge & Restaurant to provide an insight
of higher worth that its competitors with the help of food, services and entertainment.
Vision statement:
Habib’s Lounge & Restaurant will be a fine place to eat, combined with enthralling
environment and excellent food. The vision of Habib’s Lounge & Restaurant is not only to
have good savouring foodstuff but to also have an effective and welcoming service since
client contentment is considered supreme. The vision of the owner is to create a restaurant of
high-quality for all “families and singles, young and old, male or female”. The well-being of
staff members is in the same way considered noteworthy for the success of the business. At
Habib’s Lounge & Restaurant each employee will be treated in a fair manner and with
highest respect. Habib’s Lounge & Restaurant wants to feel its employees as the part of
company success. Having a happy employee will result in happy guests.

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Habib’s Lounge & Restaurant vision is to combine the menu with diversity,
atmosphere, setting, exceptional theme nights and welcoming personnel to form a sense of
place for reaching its objective of complete in the dining as well as entertaining experience.
Habib’s Lounge & Restaurant wants to derive a reasonable revenue for the proprietors and
create a satisfying place for employees to work.
Company background
Habib’s Lounge & Restaurant would be providing its customers with unique taste.
The restaurant will be located centrally at Al Bahiya in UAE. Customers around this area will
have the access to visit the restaurant. The restaurant will be completely owned under the sole
proprietorship and will be registered in AL Bahiya. The restaurant will be open for seven
days in a week and will be serving dinners and lunch all through the working days. With high
turnover for start-up restaurants, the owners will be relying on the family to fill up the gap
where compulsory until the business is off the ground and it is making profit.
Product/Service Description:
Providing customers with warm and friendly service that is normally anticipated from a
family-style restaurant by forming a relaxed, comfortable atmosphere that will make the
customers relaxed and would want to return once more frequently (Aknesia et al., 2015). The
range products that will be included in the menu of Habib’s Lounge & Restaurant includes
the following;
 Caprese Salad with Pesto Sauce
 Panzenella
 Focaccia bread
 Margherita Pizza
 Mushroom Risotto

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 Crispy Chilly baby corn
 Crispy chilly Mushroom
 Texas Barbeque
 Apple Pie
 Hominy Grits
Habib’s Lounge & Restaurant food will be viewed as exceptional to the Al Bahiya
area. The food will be prepared with intercontinental creative and the style of amenity will
make each gusts feel extraordinary. The food products of Habib’s Lounge & Restaurant will
be prepared from finest quality ingredients and will be prepared with sensitive care (Kirzner,
2015). Habib’s Lounge & Restaurant will go all way to satisfy its customers and will be
regularly modifying its menu in every three to four months but will be keeping customers
favourite dishes. Portions will be sized in a modest manner with an attractive presentation.
Habib’s Lounge & Restaurant will provide its customers with comfortable lightly-lit
bar which will feature comprehensive range of “finest vodkas, homemade aquavits and
single malt scotches” (Kuratko, 2016). In the busy summer, the guests can also sit outdoor in
the lawn area and the summer menu will feature lighter fare, outlandish drinks and non-
alcoholic drinks. The courtyard and the garden settings will offer guest with amusing and
casual environment for the summer season.
Value Proposition:
The value proposition of Habib’s Lounge & Restaurant are;
Being mindful with customers and staff: Concurring with the family values and will be
treating both its patrons as well workforce in a respectable way.

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Gratitude: An outlook of gratitude will be shown towards the visiting guests, staffs and
sellers because without the input, service, labour and time, the business of Habib’s Lounge &
Restaurant would not exists.
Service: The value proposition of Habib’s Lounge & Restaurant would also include
providing its guests with whole-hearted and welcoming service that is anticipated from the
family-style restaurant (Burns, 2016). It would create a relaxed, comfortable environment that
will be directed towards customer satisfaction and repeated business.
Industry Description:
The restaurant industry is considered very big and varied form of business. The sale
of restaurant is forecasted to touch $780.1 billion in 2022 with a growth of 2.5% over 2018.
The overall financial effect of restaurant industry is anticipated surpass $1.8 trillion in 2022.
On a usual day in UAE in 2018, more than 120 million are foodservice patrons. The UAE
restaurant industry comprises of around 380,000 restaurants having a combined yearly sales
revenue of greater than $400 billion (Read et al., 2016). The industry is largely fragmented by
50 largest service providers and holds mere 20% of the entire market. The industry largely
involves “full-service restaurants (FSR)” and limited service eating places that includes
“quick-service restaurants (QSR)”, “cafeterias, buffets, snack bars and non-alcoholic
beverage bars”. The industry is largely driven by personal income, consumer tastes, and
demographics.
Market Analysis:
Consumer expenditure for dining in UAE has increased by the end of 2018. The rise
in the number of new establishment such as restaurants, fast food franchises and bakeries
across UAE has portrayed a noteworthy amount of growth into this sector (Barringer, 2015).
Spending on food stands around 56 per cent of the overall consumer expenditure in UAE

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while customer expenditure on leisureliness and refreshment makes up around 13% of the
overall expenditure. A much wider plea is existent during the weekend slots since weekend
forms central target market that enjoy dining activities. Eating out yet remains one of the
common habit in AL Bahiya area of UAE. Consumers now do not view dining out as treat
and they generally relish it by carrying their family, particularly if the consumers have small
kids and enjoy the atmosphere of western-style dining outlets.
Target Customer:
Habib’s Lounge & Restaurant targeted set of customers include Al Bahiya’s residents.
Al Bahiya is the place to meet and hang out for most of the residents. Because of hefty extra-
curricular activities among the youth of UAE, it is very common for high schoolers to have
lunch outside rather than at home. Habib’s Lounge & Restaurant secondary target market
segments is the working residents of Al Bahiya. These customers look for perfect place to
dine out (Storey, 2016). Families would normally visit for accommodative list of options and
welcoming service. The outstanding value of meal time will keep these customers in favour
with the restaurant. Habib’s Lounge & Restaurant will also target high-end singles to appeal
them with its decoration and arrangement. The intercontinental menu, wine savouring
sunsets, events, excellent service and customer management will consolidate the emotion of
being in a calmest place in Al Bahiya area.
Competition and Competitive Advantage:
There are very limited dining restaurant in Al Bahiya. There is no international menu
restaurant in Al Bahiya area. Habib’s Lounge & Restaurant will be only authentic
international menu serving restaurant in Al Bahiya. Hence, Habib’s Lounge & Restaurant
does not faces any direct competition with identical menu or service. Nevertheless, the
probable customers might pave visit in the different nearby restaurants for the purpose of

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dining (Burns & Dewhurst, 2016). Below are few information on the restaurants that can be
of competition for Habib’s Lounge & Restaurant.
Mustafa Lammas:
Strength
 Prince ranges between $45-$159
 Good environment
 Best fast food in the town
 Good service
Weakness
 Very expensive fast food restaurant
Kavalla Kennel:
Strength
 Traditional recipes
 Located in the city centre market
 Calm atmosphere
Weakness
 Small accommodation
 Longer service time
Competitive Advantage:
Habib’s Lounge & Restaurant competitive edge is its menu, chef, environment,
administration, service and welcoming environment for guests. Habib’s Lounge & Restaurant
has an international menu and its food will be prepared with garden-fresh ingredients. The
cook carries superb sense of taste for fine dining (Ansoff et al., 2018). Short waiting time in
service is important for Habib’s Lounge & Restaurant. Therefore, the management and
servicemen will be handling each detail of the guests to make them happy and feel special.

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Marketing Strategy:
Habib’s Lounge & Restaurant has formed a promotional strategy which if goes well
and persistently perused, can allow the business to attain visibility in Al Bahiya’s restaurant
industry for international food. In the local market, the business will be doing every type of
paper advertisement with the help of flyers, newspapers and magazines. Habib’s Lounge &
Restaurant will make use of broachers and pamphlets for advertisement in the local market of
Al Bahiya (Rothaermel, 2016). The business will also make use of internet marketing with
the help of it is own websites. The strategy is to create high quality food restaurant and
service which have authentic touch of Italian and American flavour with a mix of local
cuisine and hospitality.
Sales Plan:
The sales plan of Habib’s Lounge & Restaurant is to build and uphold position with
its local customers. The plan is to form a customer base so that it can increase the revenue.
Sales in the restaurant business implies customer service which results in repeat business
(David & David, 2016). Habib’s Lounge & Restaurant will emphasis on making its
consumers happy through food, service and amusement.
Competitive Plan:
The competition plan of Habib’s Lounge & Restaurant includes positioning itself as
the foremost home-style restaurant by making a quality home style cooked meals with
modest yet healthy ingredients. Habib’s Lounge & Restaurant will be positioning itself as the
modern-day international style food serving restaurant (Lasserre, 2017). The main focus of
the business is to maintain quality and establishing a strong individuality in its community.
Habib’s Lounge & Restaurant will be creating an appealing and entertainment environment
which will carry invincible quality at an incomparable price.

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Legal and Organizational Structures:
At the initial stages Habib’s Lounge & Restaurant will be formed as sole proprietor
forms of business. However, over the time, the owner plans to convert the restaurant into a
limited liability company. Habib’s Lounge & Restaurant anticipates to hire 20 employees.
The proprietor has adopted an efficient process of interviewing that is designed to staff the
restaurant with the highly qualified people for every position (Morden, 2016). Every
applicant would be rated and will be evaluated in accordance with the pre-defined set of
standards that will be designed for every position. The efforts of recruitment will centre on
referrals.
Figure 1: Figure representing Organizational Structure
(Source: As Created by Author)
Key Personnel:
The key personnel of Habib’s Lounge & Restaurant are as follows;