Are you about starting a hot dog restaurant? If YES, here is a complete sample hot dog restaurant business plan template & feasibility report you can use for FREE.
Opening a hot dog and sausage restaurant may sound easy, but the truth is that if you are looking to start this type of business, such that you do not want to get frustrated, then you have got to do the needful to make sure that it does stand the test of time.
There is quite a lot that is needed to be done in order to see that your hot dog and sausage restaurant business does take flight within the period that you have projected it to be. The question therefore is; what is the top priority on the list that must be cancelled?
A Sample Hot Dog Restaurant Business Plan Template
1. Industry Overview
Players in the Hot Dog & Sausage Production Industry mainly produce hot dogs and sausages from slaughtered animals or a combination of byproducts from slaughtered animals.
Basically, sausages can be classified as either fresh, cooked or dry: fresh sausages are made from meats that have not been previously cured and must be refrigerated and cooked before eating; dry sausages are cured sausages that are fermented and dried; cooked sausages are made with fresh meats and then fully cooked (examples of cooked sausage include hot dogs and liver sausage).
It is important to note that while hot dogs are technically cooked sausages, they are not included in this product segment. A report published by IBISWORLD shows that over the five years to 2016, the revenue for the Hot Dog and Sausage Production industry has trended upward thanks to the status of industry products as a staple in consumers’ diets.
The report further stated that 0ver the next five years, merger and acquisition activity will cause the industry’s major companies to leverage brand value and economies of scale to increase their market share, pushing up their revenue and profit growth.
Furthermore, companies in the industry will continue to seek out growing consumer markets in foreign countries, and exports will consequently drive revenue growth.
The Hot Dog & Sausage Production industry is a thriving sector of the economy of the united states which generates a whooping sum of well over billion annually from more than 521 registered hot dog & sausage production / restaurants scattered all around the United States of America.
The industry is responsible for the employment of well over 31,712 people. Experts project The Sandwich and Sub Store Franchises industry to grow at a 1.1 percent annual rate between 2011 and 2016. Smithfield Foods and Tyson Foods are the leaders in the Hot Dog & Sausage Production industry; they have the lion market share in the industry.
The Hot Dog & Sausage Production industry has minimal barriers to entry, with low start – up capital and no specific licensing requirements. On the other hand, the high level of competition and market saturation in a declining industry can prove challenging to aspiring entrepreneurs who want to start their own hot dog & sausage restaurant.
Most players in the hot dog & sausage restaurant line of business are small- to medium-size establishments that cater to the local community.
Over and above, the Hot Dog & Sausage Production industry is a profitable industry and it is open for any aspiring entrepreneur to come in and establish his or her business; you can choose to start on a small scale in a street corner like the average mom and pop business or you can choose to start on a large scale with several outlets in key cities.
2. Executive Summary
Sofia Grant® Foods, LLC is a standard and registered hot dog and sausage restaurant business that will be located along one of the busiest roads in Annapolis – Maryland.
We have been able to lease a facility along a major road that is big enough to fit into the design of the kind of hot dog and sausage restaurant that we intend launching and the facility is located in a corner piece directly opposite the largest residential estate in Annapolis – Maryland.
Sofia Grant® Foods, LLC will be involved in the sale and distribution of a wide variety of hot dog, sausage, soft drinks, and coffee et al.
We know that that there are several large and small hot dog and sausage restaurants all around Annapolis – Maryland which is why we spent time and resources to conduct our feasibility studies and market survey so as to offer much more than our competitors will be offering.
We have self – service options for our customers, and our outlet is well secured with the various payment options. We are aware of the trend in the restaurant / fast food industry and we are not only going to operate a system where our customers would have to come to our hot dog and sausage restaurant to make purchase or whatever they want.
But we will also operate an online store and our customers can place orders for our products online and they will get it delivered to their houses or any location they want us to deliver the goods to within Annapolis – Maryland. Sofia Grant® Foods, LLC will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible.
We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our clients.
Our plan is to position the business to become one of the leading brands in the hot dog and sausage production industry in the whole of Annapolis – Maryland, and also to be amongst the top 20 hot dog and sausage restaurants in the United States of America within the first 10 years of operations.
This might look too tall a dream but we are optimistic that this will surely be realized because we have done our research and feasibility studies and we are enthusiastic and confident that Annapolis – Maryland is the right place to launch our hot dog and sausage restaurant before opening our chains of restaurants all across major cities in the United States of America.
Sofia Grant® Foods, LLC is a family business that is owned by Mrs. Sofia Grant and her immediate family members. Mrs. Sofia Grant is a hot dog and sausage specialist; she has a B.Sc. in Food Science and a Diploma in Business Administration, with well over 10 years of experience in the restaurant and fast food industry, working for some of the leading brand in the United States.
Although the business is launching out with just one outlet in Annapolis – Maryland, but there is a plan to open other outlets all around Maryland and in other key cities in the United States of America.
3. Our Products and Services
Sofia Grant® Foods, LLC is in the restaurant / fast food industry cum hot dog and sausage restaurant line of business to make profits and we will ensure we go all the way to make available a wide variety of hot dogs and sausages to our clients.
We are well prepared to make profits from the industry and we will do all that is permitted by the law in the United States to achieve our business goals, aim and ambition. Our product and service offerings are listed below;
- Hot dogs (except from poultry)
- Sausage products (except from poultry)
- Breakfast sausage products (except from poultry)
- Poultry sausages (including hot dogs)
- Soft Drinks
4. Our Mission and Vision Statement
- Our vision is to become the leading hot dog & sausage restaurant – brand in Annapolis – Maryland and to establish a one stop hot dog & sausage restaurant in Annapolis – Maryland and in other cities in the United States of America.
- Our mission is to establish a hot dog and sausage restaurant business that will make available a wide variety of hot dogs and sausages at affordable prices to the residence of Annapolis – Maryland and other cities in the United States of America where we intend opening of chains of hot dog and sausage restaurants.
Our Business Structure
Sofia Grant® Foods, LLC do not intend to start a hot dog and sausage restaurant business like the usual mom and pop business around the street corner; our intention of starting a hot dog and sausage restaurant business is to build a standard and one stop hot dog and sausage in Annapolis – Maryland.
Although our hot dog and sausage restaurant might not be as big as Smithfield Foods and Tyson Foods, but will ensure that we put the right structure in place that will support the kind of growth that we have in mind while setting up the business.
We will ensure that we hire people that are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit all the stakeholders (the owners, workforce, and customers).
As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of ten years or more. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;
- Chief Executive Officer (Owner)
- Restaurant Manager
- Human Resources and Admin Manager
- Hot Dog and Sausage Markers
- Sales and Marketing Manager
- Information Technologist
- Accountants / Cashiers
- Waiters / Waitress
- Van Drivers / Deliverers
5. Job Roles and Responsibilities
Chief Executive Officer – CEO (Chief Florist):
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Reports to the board
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
- Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
- Defining job positions for recruitment and managing interviewing process
- Carries out staff induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversee the smooth running of the daily office activities.
- Responsible for managing the daily activities in the hot dog and sausage restaurant (kitchen inclusive)
- Ensures that the restaurant facility is in tip top shape and conducive enough to welcome customers
- Interfaces with third – party providers (vendors)
- Reports to the Chief Executive Officer
- Attends to Customers complains and enquiries
- Prepares budget and reports for the organization
- Any other duty as assigned by the CEO
Hot Dog and Sausage Makers
- Makes hot dogs and sausages as supervised by the kitchen supervisor
- Responsible for carrying out all casual or unskilled jobs in the restaurant and kitchen
- Responsible for packaging hot dogs and sausages meant for delivery
- Handles any other duty as assigned by the restaurant manager
Sales and Marketing Manager
- Manages external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
- Models demographic information and analyze the volumes of transactional data generated by customer purchases
- Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Develops, executes and evaluates new plans for expanding increase sales
- Documents all customer contact and information
- Represents the company in strategic meetings
- Helps to increase sales and growth for the company
- Manages the organization website
- Handles ecommerce aspect of the business
- Responsible for installing and maintenance of computer software and hardware for the organization
- Manages logistics and supply chain software, Web servers, e-commerce software and POS (point of sale) systems
- Manages the organization’s CCTV
- Handles any other technological and IT related duties.
Accountant / Cashier:
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for the organization
- Serves as internal auditor for the organization
Waiters / Waitress:
- Promptly attends to customers in a friendly and professional manner
- Ensures that un-occupied tables are always set and ready for customers
- Pulls out chairs for customers as they arrive
- Handles any other duty as assigned by the Chief Operating officer / Restaurant manager
- Delivers customer’s orders promptly
- Delivers correspondence for the restaurant
- Runs errand for the organization
- Any other duty as assigned by the floor / line manager
- Responsible for cleaning the restaurant facility at all times
- Ensure that toiletries and supplies don’t run out of stock
- Cleans both the interior and exterior of the restaurant facility
- Handle any other duty as assigned by the restaurant manager.
6. SWOT Analysis
Our plan of starting with just one outlet of our hot dog and sausage restaurant in Annapolis – Maryland is to test run the business for a period of 3 to 5 years to know if we will invest more money, expand the business and then open other outlets all over Maryland and key cities in the United States.
We are quite aware that there are several hot dog and sausage restaurants all over Annapolis – Maryland and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be welled equipped to confront our threats.
Sofia Grant® Foods, LLC employed the services of an expert HR and Business Analyst with bias in restaurants and fast food line of business to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives. This is the summary of the SWOT analysis that was conducted for Sofia Grant® Foods, LLC;
Our location, the business model we will be operating on (bricks and mortar and online hot dog and sausage restaurant), varieties of payment options, wide varieties of hot dogs and sausages and our excellent customer service culture will definitely count as a strong strength for Nancy Moore Sandwich Shop, LCC. So also, we have a management team that has what it takes to grow a new business to profitability within a record time.
A major weakness that may count against us is the fact that we are a new hot dog and sausage restaurant – business and we don’t have the financial capacity to compete with multi – million dollars chains of sandwich shops like Smithfield Foods and Tyson Foods et al.
The fact that we are going to be operating our hot dog and sausage restaurant in one of the busiest streets in Annapolis – Maryland, provides us with unlimited opportunities to sell our hot dogs, sausages, coffees and soft drinks to a large number of people.
We have been able to conduct thorough feasibility studies and market survey and we know what our potential clients will be looking for when they visit our restaurant; we are well positioned to take on the opportunities that will come our way.
Just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing / spending power. Another threat that may likely confront us is the arrival of a new hot dog and sausage restaurant or fast food restaurant in same location where ours is located.
7. MARKET ANALYSIS
- Market Trends
In this era when the online community is growing rapidly, you would do your hot dog and sausage restaurant business a whole lot of favor if you create your own online presence. One of the easiest ways to get people to see you as an expert in your line of business is to blog constantly about hot dog and sausage.
You may also want to leverage on social media platforms like Instagram, Facebook, and Twitter, and others to publicize your hot dog and sausage restaurant. You can as well go ahead to open an online hot dog and sausage restaurant where people can place order from your shop.
You must ensure that your delivery system (shipping) is efficient if you intend to do well with your online sandwich shop. So also, keeping consumers’ appetites satisfied, hot dog and sausage restaurants have created new menu options that capitalize on the trend of increasing awareness of the health risks associated with a high-fat diet.
The industry has also thrived by developing products at price points attractive enough to weather the slow recovery, resulting in strong revenue growth. As a result of this, these trends are expected to continue and contribute to revenue growth going forward.
8. Our Target Market
One thing about hot dog, sausage, coffee and soft drinks is that you can hardly find someone who doesn’t patronize them. As a matter of fact, most hot dog and sausage restaurants now have menu designed specifically for healthy eating conscious people and others depending on their eating preferences.
In view of that, we have positioned our hot dog and sausage restaurants to service the residence of Annapolis – Maryland and every other location where our chains of hot dog and sausage restaurants will be located in key cities all over the United States of America.
We have conducted our market research and we have ideas of what our target market would be expecting from us. We are in business to retail wide varieties of hot dogs and sausages to the following groups of people;
- Event Planners
- Corporate Organizations
- Corporate Executives
- Business People
- Sports Men and Women
Our competitive advantage
A close study of the hot dog and sausage restaurant / fast food industry reveals that the market has become much more intensely competitive over the last decade. As a matter of fact, you have to be highly creative, customer centric and proactive if you must survive in this industry.
We are aware of the stiffer competition and we are well prepared to compete favorably with other hot dog and sausage restaurants and fast food restaurants in Annapolis – Maryland. Sofia Grant® Foods, LLC is launching a standard hot dog and sausage restaurant that will indeed become the preferred choice of residence of Annapolis – Maryland.
Our hot dog and sausage restaurant is located in a corner piece property on a busy road directly opposite one of the largest residential estates in Annapolis – Maryland. We have enough parking space that can accommodate well over 20 cars per time.
One thing is certain; we will ensure that we have wide varieties of hot dogs and sausages available in our shop at all times. It will be difficult for customers to visit our restaurant and not make a purchase of hot dog, sausage, coffee or soft drinks.
One of our business goals is to make Sofia Grant® Foods, LLC a one stop hot dog and sausage restaurant. Our excellent customer service culture, online store, various payment options and highly secured facility will serve as a competitive advantage for us.
Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups hot dog and sausage restaurant) in the restaurant / fast food industry, meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives.
We will also give good working conditions and commissions to freelance sales agents that we will recruit from time to time.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Sofia Grant® Foods, LLC is in business to retail a wide variety of hot dogs and sausages to the residence of Annapolis – Maryland.
We are in the hot dog and sausage restaurant / fast food industry to maximize profits and we are going to go all the way out to ensure that we achieve or business goals and objectives. In essence, our source of income will be the retailing of the following products at affordable prices;
- Hot dogs (except from poultry)
- Sausage products (except from poultry)
- Breakfast sausage products (except from poultry)
- Poultry sausages (including hot dogs)
- Soft Drinks
10. Sales Forecast
One thing is certain when it comes to hot dog and sausage restaurants, if your restaurant is centrally positioned, you will always attract customers cum sales and that will sure translate to increase in revenue generation for the business.
We are well positioned to take on the available market in Annapolis – Maryland and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the business and our clientele base.
We have been able to critically examine the hot dog and sausage restaurant / fast food industry and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to startups in Annapolis – Maryland.
Below are the sales projections for Sofia Grant® Foods, LLC, it is based on the location of our business and other factors as it relates to hot dog and sausage restaurant start – ups in the United States;
- First Fiscal Year-: $120,000
- Second Fiscal Year-: $350,000
- Third Fiscal Year-: $750,000
N.B: This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same products and customer care services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
Before choosing a location for Sofia Grant® Foods, LLC, we conduct a thorough market survey and feasibility studies in order for us to be able to be able to penetrate the available market and become the preferred choice for residence of Annapolis – Maryland.
We have detailed information and data that we were able to utilize to structure our business to attract the numbers of customers we want to attract per time.
We hired experts who have good understanding of the hot dog and sausage restaurant / fast food industry to help us develop marketing strategies that will help us achieve our business goal of winning a larger percentage of the available market in Annapolis – Maryland.
In other to continue to be in business and grow, we must continue to sell our hot dogs, sausages, soft drinks and coffees which is why we will go all out to empower or sales and marketing team to deliver. In summary, Sofia Grant® Foods, LLC will adopt the following sales and marketing approach to win customers over;
- Open our hot dog and sausage restaurant in a grand style with a party for all.
- Introduce our hot dog and sausage restaurant business by sending introductory letters alongside our brochure to corporate organizations, schools, event planners, households and key stake holders in Annapolis – Maryland
- Ensure that we make wide varieties of hot dogs and sausages in our restaurant at all times.
- Make use of attractive handbills to create awareness and also to give direction to our restaurant
- Position our signage / flexi banners at strategic places around Annapolis – Maryland
- Position our greeters to welcome and direct potential customers
- Create a loyalty plan that will enable us reward our regular customers
- Engage on road shows within our neighborhood to create awareness for our hot dog and sausage restaurant.
11. Publicity and Advertising Strategy
Despite the fact that our hot dog and sausage restaurant is well located, we will still go ahead to intensify publicity for the business. We are going to explore all available means to promote Sofia Grant® Foods, LLC.
Sofia Grant® Foods, LLC has a long – term plan of opening chains of hot dog and sausage restaurants in various locations all around Maryland and key cities in the United States which is why we will deliberately build our brand to be well accepted in Annapolis before venturing out.
As a matter of fact, our publicity and advertising strategy is not solely for winning customers over but to effectively communicate our brand. Here are the platforms we intend leveraging on to promote and advertise Sofia Grant® Foods, LLC;
- Place adverts on community based newspapers, radio stations and TV stations.
- Encourage the use of word of mouth publicity from our loyal customers
- Leverage on the internet and social media platforms like; YouTube, Instagram, Facebook, Twitter, LinkedIn, Snapchat, Badoo, Google+ and other platforms to promote our business.
- Ensure that our we position our banners and billboards in strategic positions all around Annapolis – Maryland
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Contact corporate organizations, households, religious centers, schools and event planners et al by calling them up and informing them of Sofia Grant® Foods, LLC and the products we sell
- Advertise Sofia Grant® Foods, LLC business in our official website and employ strategies that will help us pull traffic to the site
- Brand all our official cars and delivery vans and ensure that all our staff members and management staff wears our branded shirt or cap at regular intervals.
12. Our Pricing Strategy
Pricing is one of the key factors that gives leverage to hot dog and sausage restaurants, it is normal for consumers to go to places (hot dog and sausage restaurants) where they can purchase / order hot dogs, sausages, coffees and soft drinks at cheaper price which is why big player in the restaurant / fast food industry will continue to attract loads of consumers.
We know we don’t have the capacity to compete with bigger and well – established hot dog and sausage restaurants like Smithfield Foods and Tyson Foods, but we will ensure that the prices of all the products that are available in our restaurant are competitive with what is obtainable amongst hot dog and sausage restaurants within our level.
We are aware that there are contracts for supply of hot dogs and sausages by government, corporate organizations or big religious organization; we will ensure that we abide by the bidding pricing template when we bid for such contracts.
- Payment Options
The payment policy adopted by Sofia Grant® Foods, LLC is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Sofia Grant® Foods, LLC will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards / Point of Sale Machines (POS Machines)
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our client make payment for farm produces purchase without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for the purchase of our products.
13. Startup Expenditure (Budget)
In setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.
This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. The tools and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked.
As for the detailed cost analysis for starting a hot dog and sausage restaurant business; it might differ in other countries due to the value of their money. These are the key areas where we will spend our start – up capital;
- The total fee for registering the business in the United States of America – $750.
- Legal expenses for obtaining licenses and permits as well as the accounting services (software, P.O.S machines and other software) – $1,300.
- Marketing promotion expenses for the grand opening of Sofia Grant® Foods, LLC in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of – $3,580.
- The cost for hiring Business Consultant – $2,500.
- The cost for insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
- The cost for payment of rent for 12 month at $1.76 per square feet in the total amount of $105,600.
- The cost for construction of a standard hot dog and sausage restaurant and kitchen – $100,000.
- Other start-up expenses including stationery ($500) and phone and utility deposits ($2,500).
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $100,000
- The cost for start-up inventory (raw materials and packaging materials et al) – $80,000
- Storage hardware (bins, rack, shelves, food case) – $3,720
- The cost for counter area equipment (counter top, sink, ice machine, etc.) – $9,500
- The cost for store equipment (cash register, security, ventilation, signage) – $13,750
- The cost of purchase of delivery vans – $50,000
- The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al) – $4,000.
- The cost of launching a website – $600
- The cost for our opening party – $10,000
- Miscellaneous – $10,000
We would need an estimate of $500,000 to successfully set up our hot dog and sausage restaurant in the United States of America. Please note that this amount includes the salaries of the entire staff member for the first month of operation and the amount could be more or lower.
Generating Funds / Startup Capital for Sofia Grant® Foods, LLC
Sofia Grant® Foods, LLC is a private business that is solely owned and financed by Mrs. Sofia Grant and her immediate family members. They do not intend to welcome any external business partners which is why he has decided to restrict the sourcing of the start – up capital to 3 major sources.
These are the areas we intend generating our start – up capital;
- Generate part of the start – up capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from my Bank
N.B: We have been able to generate about $200,000 (Personal savings $100,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $300,000 from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
14. Sustainability and Expansion Strategy
The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.
One of our major goals of starting Sofia Grant® Foods, LLC is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over is to retail our hot dogs, sausages, coffees and soft drinks a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.
Sofia Grant® Foods, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of three years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
Check List / Milestone
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Leasing of facility and remodeling the facility to fit into a standard hot dog and sausage restaurant: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the Needed furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and around the community: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party / launching party planning: In Progress
- Compilation of our list of products that will be available in our shop: Completed
- Establishing business relationship with vendors – suppliers of flours / breads, meat, ingredients, coffees and soft drinks: In Progress