Final Project of Enterp24

1/60
An Entrepreneurship Project
TEAM PROJECT: BUSINESS DEVELOPMENT PLAN
To
MR. QAMAR ALI
By
USMAN FIAZ
ME-08-620
RAEES AHMAD
ME-08-574
MOSAB MUNIR
ME-08-583
RIZWAN SHAUKAT
ME-08-612
Project submitted in the partial fulfillment of

The requirement for the Entrepreneurship
MBA EVENING
DEPARTMENT OF BUSINESS ADMINISTRATION
GC UNIVERSITY, FAISALABAD
2010
2/60
ACKNOWLEDGEMENTS
Thanks to Almighty Allah, The Creator, most Gracious and Merciful whom we
never heard Nay whenever I knocked at His door. He bestowed upon us with potential
and ability to sacred wealth of knowledge, which is permanent source of benefit for his
humanity and creature.
We offer our humblest thanks from the deepest of our heart to the Holy Prophet
Hazrat Mohammad (Peace Be Upon Him) who is forever, torch of guidance for mankind.
We are also grateful to Mr. Qamar Ali lecturer, department of Business
administration, Govt. College University, Faisalabad, for his valuable suggestions,
constructive criticism ever inspiring and encouraging attitude, propitious guidance, keen
interest, technical guidance in accomplishment of this manuscript.
Our gratitude would remain incomplete if we forget to acknowledge our
affectionate and adorable Parents, who are true, dense of our humblest obligations and
our words will fail to give them enough credit.
3/60
EXECUTIVE SUMMARY
Now a day, restaurants are becoming more popular as the trend to go for outing
has been growing rapidly from last few years. From the busy life whenever people feel
free themselves they want to take over their stress by going the place where there will be
an element of refreshment. People used to visit restaurant once or twice a month that is
the reason for growing of restaurant business. We are basically creating a point that is
going to be a spot of the place of relaxation and full fledge environment with quality
food. For our project we have made a Questionnaire and filled it from people from
different lifestyles. This is to evaluate the importance of restaurants from customers view
point and to checkout the unsatisfied need of people. We are already having some very
good and executive level restaurants in the area that are offering good food only. Another
major issue to be faced by the visitors of restaurants is the high price charged by the
existing restaurants against typical products and services. Due to this reason the middle
class families hardly afford restaurant visit once a month.
In our restaurant we are not only giving our customer the quality food but also
value for their money in terms of providing different cultures under same roof. We have
divided our restaurant into two departments, back stage (senior chef, assistant chefs &
kitchen helper, store supervisor & helper) and administrative department (manager,
receptionist, waiters, sweepers, guards). We selected the employees on the behalf of their
good moral character, skills, and attitude because a restaurant is a place where different
people come and go and enjoy their meal. Our customers are our guests because they are
very valuable for us. Thats why our main priorities are our guests and fulfill their
4/60
demands in efficient and responsible way. If we fail to provide superior services to our
guests they will never come back again.
We are using different advertising Medias for our valuable guests. Our main
competitors are Usmania, Sardines, silver spoon, real taste, Namwah, Bundu khan etc. In
short, we are providing such type of environment which will enhance the quality of
services and customer loyalty.
5/60
Table of Contents
Sr. No
1
2
3
3
4
5
6
7
8
Contents
Vision/Mission
Business Concept
Industry Analysis
Products & Services
Market & Strategies
Marketing & Operations
Management & Organizations
Financial Section
Attraction For Investors
Page No
7
8
10
13
15
16
22
-30
Certificate for Approval

We, the supervisory committee, certify that the contents and form of this project
submitted by Mr. Usman Fiaz, Mr. Raees Ahmad, Mr. Mosab Munir and Mr. Rizwan
6/60
Shaukat have been found satisfactory and according to prescribed format. We
recommended that it be processed for evaluation.
Supervisory Committee:
------------------------------------------------Mr. Qamar Ali
------------------------------------------------(Dr. Abrar)
Business: Restaurant
Name: Cultural Restaurant
7/60
Vision
To become the trend setter for restaurant business in Pakistan.
Mission
Our mission is to provide culture oriented environment with quality food plus
superior services. The objective behind this is to make our customers loyal by
providing them value for their money.
Business/Venture Concept !
PROBLEM IDENTIFICATION:
8/60
Now a days the concept that comes to mind while listening to the sentence lets go to the
restaurant is just that we go to the near by restaurant, take a meal, pay for it and come
back. Major focus of restaurant runners is to provide there customers only quality food
with little or no change. Actually they are providing their customers the same
environment of which the customers become monotonous. Customer wants change not
only with regard to food but also with respect to the environment so that there interest
remains in that particular restaurant.
Another major issue to be faced by the visitors of restaurants is the high price charged by
the existing restaurants against typical products and services. Due to this reason the
middle class families hardly afford hoteling once a month. And at last the key concerns of
the customers are to visit that restaurant which is closest to them.
Value addition :
In accordance to above problems we recognized that there is a need to launch a restaurant
that is quite different from typical ones.
Several cultures at one place
Actually we are providing three different cultures
Pakistani
Chinese
Arabian
At one place and at the same time. Our motive behind this concept is to provide
complete atmosphere of each culture we are presenting to our customers up to that
9/60
level so that by entering that particular cultural they feel themselves a part of that
particular culture.
Culture Diversification
It is a totally new idea not in practice these days even in a single restaurant that we are
going to diversify/revise our culture after a specific period of time either after 6months, 1
year or above depending on the need .
Superior services
This is perhaps the most important factor contributing towards the attraction of
customers. After competitive analysis we conclude that the entire available competitor
competes on quality of their product or services delivered and there is more rivilary
among them on the basis of price. We obviously being new comers will focus on better
services so that we may retain our customers loyalty.
Location
We are going to compete with the major market available on canal road thats why we
have selected a location for our restaurant on East Canal Road Kashmir Pull near
Beacon House Faisalabad Pakistan with an area of 1 canal and 13 Marla. It is
obviously both the feasible as well as favorable location for restaurant business and we
will ultimately gain advantage of being near to PC as well as beacon house as both the
institutions are one of the most recognize in Pakistan.
Industry Analysis:-
10/60
Porters Five Forces Model:

Rivalry among competitors
Direct competitors
Rivalry factors
Sardines
Food quality
Usmania
Environment
Real Taste
Variety of Food/Wide Range
Silver Spoon
Better Services
Namwah
Pricing
Quilium
Bundu Khan Etc
Bargaining Power Of Suppliers

With regards to restaurant business Faisalabad city is enriched with a wide range of
suppliers available in the market .due to this reason the bargaining power of our suppliers
become very low ultimately this is a very favorable scenario for our business. Out of that
cluster of suppliers we are here mentioning some major suppliers.
Suppliers
Hero Mutton Shop (Asghar Sb.)
Address: Street No. 7, Main Bazaar Tariqabad, Faisalabad

Ph No. 0345-7917160
Azhar Chicken Center (Azhar Sb.)
Address Chak No. 224, Fattah Din, Faisalabad
11/60
Ph No. 0300-7962028
Mian Chicken Center (Mian Munir)
Address Hameed Chowk, Peoples Colony D Block, Faisalabad

Ph No. 0301-7172023
Sufi Amin Kariana Store (Chakki Kariana )
Address Street No.9 Town Fattah Abad, Satiana Road, Faisalabad
Chohan Dairy (Ch. Nisar , Ghulam Ali)
Address Pull Korian, Opposite Pepsi Factory, Samundri Road, Faisalabad

Ph No. 041-2663986
Milk Agencies
Olpers, Adam, Haleeb, Milk Pak etc authorized dealers available in Faisalabad.
Salman Vegetables
Address Sabz Mandi Ghulam Muhammad Abad.
Bargaining power of customers

Potential Customer:
Class
income
Middle class
Rs. 30,000 50,000
Upper class
Rs. 50,000 100,000
Basically the customers will bargain on the above mentioned competitive rivalry
factors but in our business people focus more on quality of the food plus the better
services as well as the environment which a restaurant provides to them rather than
the price charged for this. They will ready to pay a handsome amount if you are
12/60
providing meal according to customers mind but failure of which can cause you to
lose your customer as they have more choices that is the reason our customers
bargaining power is high.
Substitutes
KFC
Pizza Hut
McDonalds
Etc
New Entrant:
We are ourselves new entrant in restaurant industry. According to survey conducted
by us we have reached a consensus that there is no other new entrant to our market.
Key success factors:-
13/60
According to the analysis of our competitors we concluded following critical success
factors. These are;
Budget allocated for interior, ambiance and dcor to provide customer
environment is one of the important success factor in industry.
Services provided to customers in superior manner are another factor responsible
for the success of restaurant in industry. Trained and experienced management is
important in this context.
Good location is also important to be successful.
Quality food is also amongst the important factors that influencing customers to
visit ones restaurant again and again.
Products and services
14/60
Pakistani food
Chicken/Mutton Ginger
Chicken/Mutton Jalfrazi
Chicken/Mutton Qorma
Chicken/Mutton Biryani
Mutton Kunna
Chicken Vegetable
Chicken Jalfrazi with rice
Chicken/Mutton Handi Boneless
Chicken Chops
Chicken/Mutton Karahi
Mutton Champ Karahi
Chicken/Egg Fried Rice
Vegetable Rice
Chicken Boneless Pulao
Chicken Masala Rice
Bar B Q
Chicken/Mutton Tikka
Chicken Boti
Rashmi Kabab
Beef Seekh Kabab
Mutton Champ Grilled
Chicken Seekh Kabab
Chicken Pakora
Chicken Steam Roast
Chinese Food
Chicken Garlic
Chicken Manchurian
Chicken Cherry Pineapple
Chicken Mangolian
Sweet and Sour Chicken
Black Pepper Chicken
Chicken with Almond
Sczechuan Chicken
Sachet Chicken
Dhaka Chicken
Chicken Drum Stick
Chicken/Vegetable Chowmian
Chicken/Vegetable Chopsuey
15/60
Marketing and strategies:MARKETING
16/60
To arouse aesthetic sense of our potential customers is our best source of
marketing.
That is the main purpose of our marketing and promotions. Faisalabad is that kind of
place which has various styles of events. Our major marketing depends on these events
like Ramadan, Eid-ul-Fitar, Independence Day, etc. So Faisalabad is that kind of city in
which every time there is going some special thing for which restaurants are very
essentials. Special offers are made on such events to attract customers. Despite these
events our marketing campaigns goes on regular basis through out the year.
To become profitable it is essential to develop a strong base of loyal customers that will
use our F&B outlet and recreation facilities. This can only be achieved through the
following:
Strong sponsorship.
Skilled management.
Superb services.
Best quality.
Offering reasonable prices.
Families requirements and needs.
Offering a wide variety of Food and beverages.
PROMOTION
17/60
Company split the whole media in two heads:
Cable media
Outdoor media
CABLE MEDIA
We will contact cable network providers in their segments areas. We use cable
advertisement for above mentioned events and for specific time period. We prefer local,
Indian, and English movies channels for advertisements. A large number of target
segment watches video channels on cable TV. Cable service providers will advertise our
ad during intervals hitting exactly our consumer needs.
Outdoor media
Flier
Information about services is given on the flier. This is mostly sent to the public sector
.Billboards
For promoting our product we are going to place different billboards at different places
from where it can access our target segment.
18/60
As our target segment is from class like canal road, Kohinoor, D ground, Chenab square,
etc. We would place our billboards from where it is easily readable, accessible and
understanding.
SALES PROMOTION ACTIVITIES

We are going to carry out several sales promotional activities such as:
Societal Marketing
We are going to carry out societal marketing. This is to make our customers realize that
we are environmental friendly.
Special Preferences to Regular Clients

Special preference is always given to the regular clients by giving them superior services
and attention.
19/60
Business strategy:Basically there are three strategies available to businesses as explains by Porter
Cost leadership
Differentiation
Focus
As we are new comers and going to provide different cultures we are implementing
Differentiation strategy.
Operations
WORK FLOW ANALYSIS
In work flow analysis of our restaurant we analyze three departments.
Inventory storage department

Back stage department (kitchen etc.)
Administrative department
Inventory storage department

There are following authorities in our inventory storage department.
Store supervisor
Helpers
20/60
Inventory department includes our store rooms and the stocks of reserved inventories in
that. Our suppliers will supply us the desired stocks and that is going to be supervised by
the store supervisor. Further supervisor is in connection with the managerial authorities to
make them aware of the purchasing and payments. In this process the store helpers will
help the supervisor in getting the inventory, dealings and unloading.
Back stage department

There are following authorities in our kitchen department.
Senior chef
Assistant chefs
Kitchen helpers
In back stage department, that includes kitchen as a production sector and storage
department. They both are interconnected with each other. Our kitchen supervisor/senior
chef will be in touch with the store supervisor in getting the desired amount of stocks to
the kitchen. The hen our chefs will start production as per orders by the customers. Our
kitchen helpers will be helpful in this process.
Administrative department
There are following authorities in our admin department.
Restaurant manager
Accountant
Receptionist
Waiters
21/60
Sweepers
Guards
In admin department all the members follow the instructions of the manager and work
under his super vision. The restaurant manager will supervise all the setup. And make
the necessary amendments in the restaurant setup according to the needs and demands
of the customers.
DATA FLOW CHART
22/60
JOB ANALYSIS
23/60
There are following job posts in our restaurant.
Restaurant manager
Accountant
Receptionist
Senior chef
Assistant chefs
Kitchen helpers
Store supervisor
Store Helpers
Waiters
Sweepers
Guards
Hierarchy of Restaurant
Manager
24/60
Accountant
Senior
Chef
Receptionist
Assistant
Chef
Kitchen
Helper
Store
Supervisor
Sweepers
Security
Guards
Store Helper
Human Resource required For the Restaurant
Manpower Detail
Qty
25/60
Managers
Accountant
Receptionist
Senior cheff
Assistant cheff
Kitchen helpers
Store supervisor
Store helper
Waiters
Sweepers
Guards
Total
1
1
1
1
2
2
1
1
6
2
2
20
Restaurant Manager
Job objectives
Plan, organize, direct, and coordinate the workers and resources of the restaurant for the
efficient, well-prepared, and profitable service of food and beverages.
Job description
1. Work with chefs and other personnel to plan menus that are flavorful and popular
with customers. Work with chefs for efficient provisioning and purchasing of
supplies. Estimate food and beverage costs. Supervise portion control and
quantities of preparation to minimize waste. Perform frequent checks to ensure
consistent high quality of preparation and service.
26/60
2. Work with other management personnel to plan marketing, advertising, and any
special restaurant functions.
3. Direct hiring, training, and scheduling of food service personnel.
4. Investigate and resolve complaints concerning food quality and service.
5. Enforce sanitary practices for food handling, general cleanliness, and maintenance
of kitchen and dining areas.
.
6. Comply with all health and safety regulations.
7. Review and monitor, with bookkeeper or other financial personnel, expenditures

to ensure that they conform to budget limitations. Work to improve performance.
8. Perform other duties as assigned by management.
Job specification
27/60
1. Bachelor of Science degree in hotel/restaurant management is desirable. A
combination of practical experience and education will be considered as an
alternate.
2. Good organizational skills for dealing with diverse duties and staff.
3. Pleasant, polite manner for dealing with public as well as staff.
Accountant
Job objectives
To keep the accounts balance and updated,
Tasks and Duties

1. To maintain the receipts.
2. Maintain the payments and records.
3. Balance the cash transactions.
Job specification
1. Bachelor of commerce degree is desirable. A combination of practical experience
and education will be considered as an alternate.
2. Good accounting skills and sharp in calculation.
28/60
Receptionist
Job objectives
To guide the customers towards proper direction and make them aware of any sort of
information regarding the restaurant.
Job description
1. deals with the matters about day to day information
2. Reservations and public dealings.
Job specification
1. Graduation and equivalent degree.
2. Good communication skills.
3. Should have computer knowledge.
4. Pleasant, polite manner for dealing with public as well as staff.
29/60
Senior chef
Job objectives
To make food desirable for the customers according to their needs.
Job description
1. Has to supervise all the coo kings and the kitchen.
2. Check the accuracy of the order.
3. Should have complete knowledge of all the food items of different cultures.
4. Investigate and resolve complaints concerning food quality.
5. Training and scheduling of food service personnel.
Job specification
1. Diploma in cooking and kitchen management.
2. 3-5 years experience in particular field of cooking
Assistant chefs
Job objectives
To make the food desirable by the customer according to their needs.
Job description
1. Check the accuracy of the order
2. Should have complete knowledge of all the food items of different cultures.
30/60
3. Resolve complaints concerning food quality.
4. Developing the food taste
Job specification
1. Diploma in cooking and kitchen management
2. 2-3 years experience in particular field of cooking
Kitchen helpers
Job objectives
To be a supportive part in the process of production of food.
Job description
1. Helping assistant chefs in cooking foods.
2. Maintaining foods preparation utilities.
3. Storing and retrieving foods from store room,
4. Washing and maintaining caterings.
Job specification
1. Metric or relevant sporting qualification.
2. 2 years experience in relevant field.
3. Hard working, efficient and energetic.
4. Corporative with seniors and subordinates.
31/60
Store supervisor
Job objectives
To supervise the flow of inventory and maintain the storage level.
Job description
1. To maintain the inflow of inventory and keep a check and balance on the
requirement of stocks.
2. Supervise the outflow of stock towards the production unit (kitchen).
3. Keep the records of purchasing.
4. Establishes a communicating role between authorities and dealers.
Job specification
1. Graduation in commerce
2. 2-3 years experience in relevant field.
3. Should have computer knowledge
4. Should be competent in communication
Store helpers
Job objectives
To play a vital role in helping the supervisor in maintenance of stores and stocks
Job description
1. To help the supervisor in maintaining stocks
2. To help in the recordings of inflow and outflow of inventories
32/60
3. To be a part of dealings with the stock delivery persons and authorities.
Job specification
1. Intermediate
2. 1 year experience in relevant field
Waiters
Job objectives
To provide the efficient, well-mannered, and profitable services.
Job description
1. Taking and maintaining orders from customers.
2. Provide customers better services.
3. Maintain bills of customers.
Job specification
1. Intermediates.
2. One year experience in relevant field.
3. Good communication skills.
4. Polite, efficient with customers as well as staff.
33/60
Sweepers
Job objectives
To clean and clear the whole restaurant.
Job description
1. Sweep the restaurant.
2. Take away garbage.
3. Maintain the cleanliness.
Job specification
1. Primary education.
2. Hard working and efficient.
Guards
Job objectives
To maintain the security.
Job description
1. Keep the check and balance regarding the security issue?
Job specification
1. Primary education
2. Hard working and efficient.
34/60
FINANCIALS:
REVENUE MODEL:
PERIOD
Average customers
Sales revenue
(Rs.400/person)
55
22,000
385
154,000
1540
616,000
18480
7,392,000
Daily
Weekly
Monthly
Annually
INITIAL OUTFLOW:
Total Capital
7,500,000
Building Expense
4,000,000
Furniture & Fixture
1,215,000
Computer & accessories
50,000
Kitchen Crockery
577,500
Patents
200,000
Advertisement
2,500,000
35/60
CULTURE RESTAURANT
INCOME STATEMENT
FOR THE YEAR ENDED 2011
Description
Amount
SALES
Amount
7,392,0
00
Less: COST OF GOODS SOLD

Opening Inventory
1,800,0
00
(150,0
00)
Add: Purchases
Less: Closing Inventory
1,650,0
00
5,742,0
00
Gross Profit
Less: SELLING AND ADMIN EXPENSE
1,740,0
00
624,0
00
1,015,2
50
20,0
00
Salaries Expense
Utility Expenses
Depreciation
Amortization
Culture Diversification Cost
360,0
00
1,500,0
00
Rent Expense
Advertisement
5,259,2
50
Add/Less: Gain/Loss on Sale of Crockery

Profit Before Tax
Less: TAX EXPENSE
Net Profit After Tax
(@ 19%)
482,7
50
120,6
88
362,0
63
36/60
CULTURE RESTAURANT
CASH FLOW STATEMENT
FOR THE PERIOD ENDED 2011.
DESCRIPTION
Operating Activities
RS
Profit Before Tax
Add:
RS
482,750
Depreciation on Building
600,000
Depreciation on Furniture
121,500
Depreciation on Kitchen Crockery

Depreciation on Computer
Accessories
288,750
Amortization
20,000
5,000
1,035,250
Less/Add: Increase/Decrease in Inventory
(150,000)
Less/Add: Increase/Decrease in Advertisement

Less/Add: Gain/Loss on Sale of Crockery
1,500,000
2,868,000
Less:
Tax paid
(120,688)
Cash Inflow from Operating Activities

INVESTING ACTIVITIES
2,747,313
Less:
Cash Paid for Building
(4,000,000)
Less:
Cash Paid for Furniture
(1,215,000)
Less:
Cash Paid for Computer Accessories
(50,000)
Less:
Cash Paid for Kitchen Crockery
(577,500)
Less:
Non Adjustable Advance
(200,000)
Less:
Add:
Prepaid Advertisement
Proceed from Sale of Crockery
Cash Paid Culture Diversification
Cash Paid Furniture
(2,500,000)
37/60
Less:
Less:
Cash Paid for Intangibles
(200,000)
Cash Outflow from Investing Activities

FINANCING ACTIVITIES
(8,742,500)
Capital
7,500,000
Drawings
(500,000)
Cash Inflow from Financing Activities
7,000,000
Cash Inflow from Operating Activities

Cash Outflow from Investing Activities
Cash Inflow from Financing
Activities
NET CASH INFLOW

Add: Opening Cash In Hand
NET Cash In Hand
CULTURE RESTAURANT
BALANCE SHEET
2,747,313
(8,742,500)
7,000,000
1,004,813
-
1,004,813
38/60
AS ON 31, DECEMBER 2011.

AMOUNT
(RS.)
Description
AMOUNT
(RS.)
Equity & Liability

Equity
Capital
7,500,000
Net Profit
362,063
Drawing
Liability
Deferred Tax Liability
(500,000)
7,362,063
7,362,063
Total Liabilities
Assets
Non Current Assets
Tangible Assets
Building
3,400,000
Furniture
1,093,500
Kitchen Crockery
288,750
Computer Accessory
Intangible Assets
45,000
Patents
Current Assets
180,000
Inventory
150,000
Pre-payment for Advertisement
1,000,000
Prepaid Advance (3 Months Rent +Non-adjustable)
200,000
Cash In hand
1,004,813
Total Assets
CULTURE RESTAURANT
INCOME STATEMENT
4,827,250
2,534,813
7,362,063
39/60

Description
Amount
SALES
Amount
9,979,20
0

150,00
0
1,980,00
0
(100,00
0)
Opening Inventory
Add: Purchases
2,030,00
0
7,949,20
0
Gross Profit
Salaries Expense
Utility Expenses
Depreciation
Amortization
Rent Expense
Advertisement
Profit Before Tax
Less: TAX EXPENSE
(@ 19%)
CULTURE RESTAURANT
CASH FLOW STATEMENT
1,914,00
0
686,40
0
823,85
0
18,00
0
1,000,00
0
396,00
0
500,00
0
5,338,25
0
11,25
0
2,622,20
0
655,55
0
1,966,65
0
40/60
DESCRIPTION
RS
RS
Profit Before Tax
Add:
2,622,200
510,000
109,350
200,000
Depreciation on Computer Accessories
4,500
Amortization
18,000
841,850
50,000
500,000
Less/Add:
(11,250)
Gain/Loss on Sale of Crockery
4,002,800
Less:
Less:
Less:
Less:
Tax paid
Cash Inflow from Operating
Activities
(655,550)
Less:
Less:
Less:

(400,000)
Add:
300,000
(1,000,000)
Less:

Cash Paid Furniture
Cash Outflow from Investing
Activities
3,347,250
-
(1,100,000)
41/60
Capital
Less:
Drawings
Activities
Activities
Activities
Activities
NET CASH INFLOW

NET Cash In Hand
CULTURE RESTAURANT
BALANCE SHEET
(500,000)
(500,000)
3,347,250
(1,100,000)
(500,000)
1,747,250
1,004,813
2,752,063
42/60
AS ON 31st DECEMBER, 2012.

Description
AMOUNT
(RS.)
AMOUNT
(RS.)
Equity & Liability

Equity
Capital
7,362,063
Net Profit
1,966,650
Drawing
Liability
(500,000)
8,828,713
8,828,713
Total Liabilities
Assets
Non Current Assets
Tangible Assets
Building
3,890,000
Furniture
984,150
Kitchen Crockery
200,000
Computer Accessory
Intangible Assets
40,500
Patents
Current Assets
162,000
Inventory
100,000
500,000
200,000
Cash In hand
2,752,063
Total Assets
CULTURE RESTAURANT
INCOME STATEMENT
5,114,650
3,714,063
8,828,713
43/60

Description
Amount
Amount
13,471,9
20
SALES
100,0
00
2,178,0
00
(75,0
00)
Opening Inventory
Add: Purchases
2,203,0
00
11,268,9
20
Gross Profit
2,105,4
00
755,0
40
785,9
65
16,2
00
Salaries Expense
Utility Expenses
Depreciation
Amortization
Rent Expense
Advertisement
Profit Before Tax
Less: TAX EXPENSE
(@ 19%)
CULTURE RESTAURANT
1,000,000
435,6
00
500,0
00
5,598,2
05
5,670,7
15
1,417,6
79
4,253,0
36
44/60
CASH FLOW STATEMENT

DESCRIPTION
RS
RS
Profit Before Tax
Add:
5,670,715
583,500
98,415
100,000
Depreciation on Computer Accessories
4,050
Amortization
16,200
802,165
25,000

Less/Add: Gain/Loss on Sale of Crockery
500,000
6,997,880
Less:
Less:
Less:
Less:
Tax paid
Activities
Less:
Less:
Less:
Add:

(500,000)
(1,000,000)
Cash Paid Furniture

Activities
(800,000)
Less:
(1,417,679)
5,580,201
-
(2,300,000)
45/60
Capital
Less:
Drawings
Activities
Activities
Activities
Activities
NET CASH INFLOW

NET Cash In Hand
CULTURE RESTAURANT
BALANCE SHEET
(500,000)
(500,000)
5,580,201
(2,300,000)
(500,000)
2,780,201
2,752,063
5,532,264
46/60
AS ON 31st DECEMBER, 2013.

Description
AMOUNT
(RS.)
AMOUNT
(RS.)
Equity & Liability

Equity
Capital
8,828,713
Net Profit
4,253,036
Drawing
Liability
(500,000)
12,581,749
12,581,749
Total Liabilities
Assets
Non Current Assets
Tangible Assets
Building
4,306,500
Furniture
1,685,735
Kitchen Crockery
600,000
Computer Accessory
Intangible Assets
36,450
Patents
Current Assets
145,800
Inventory
75,000
200,000
Cash In hand
5,532,264
Total Assets
6,628,685
5,953,064
12,581,749
47/60
EXPENSE FORECASTING:
Salaries Expense
No.
SALARY
PER
MONTH
TOTAL
SALARY
SALARY
PER YEAR
Designation
8,0
00
12,0
00
Receptionist
Accountant
Senior Chef
1 25,000
Assistant Chef
2 12,000
Manager
1 18,000
Kitchen Helper
2 5,000
Sweeper
2 4,500
Guards
2 6,000
Waiters
4 5,000
Store Supervisor
1 7,000
TOTAL
17 102,500
8,0
00
12,0
00
96,0
00
144,0
00
25,0
00
24,0
00
300,0
00
288,0
00
18,0
00
10,0
00
9,0
00
12,0
00
20,0
00
7,0
00
216,0
00
120,0
00
108,0
00
144,0
00
240,0
00
84,0
00
145,000
1,740,000
48/60
Utility Expenses
MONTHLY
ANNUAL
Telephone
5,000
60,000
Electricity
30,000
360,000
Gas
15,000
180,000
Water
2,000
24,000
TOTAL
52,000
624,000
Inventory Expense
MONTHLY
ANNUAL
Commodity
Meat (mutton, fish, chicken etc)
80,000
960,000
Vegetables
25,000
300,000
Dairy products
30,000
360,000
Spices
12,000
144,000
Misc.
3,000
36,000
Total
150,000
FURNITURE & FIXTURE
1,800,000
49/60
Items
Quantity
Dinning Table
Square
Dinning
Cutlery
Air
Conditioner
Split (1.5 Ton)
Hot Water
Geyser
150
45,00
0 360,000
40,00
0 80,000
8
2
1,50
0 15,000
250,00
0 500,000
25,00
0 50,000
10
Generator
Office Table &
Chair Set
Total Price
5,50
0 165,000
30
0 45,000
30
Portable
Emergency
Light
TOTAL
Unit Price
204
367,300
1,215,000
KITCHEN & CROCKERY

Items
Quantity
Kitchen
Cutlery
Cooking
Range
Total
Price
2,50
0 7,500
500,00
0 500,000
35000 70,000
Freezer
TOTAL
Unit Price
537,500
DEPRECIATION A/C
577,500
50/60
BUILDING A/C
Building (Include Construction
Cost)
4,000,000
Depreciation on Building@10%
less
Building After Depreciation (2011)

600,000
3,400,000
less
510,000
2,890,000
Add: Value Increased
1,000,000

3,890,000
less
583,500
3,306,500
1,000,000
4,306,500
FURNITURE A/C
Furniture
1,215,000
Depreciation on Furniture@10%
less
Furniture after Depreciation (2011)

1,093,500
less

109,350
984,150
less
121,500
98,415
800,000
COMPUTER
1,685,735
51/60
ACCESSORIES
A/C
Computer accessories
Accessories@10%
50,000
less
Computer accessories after depreciation (2011)

Accessories@10%
Accessories@10%
5,000
45,000
less
4,500
40,500
less
4,050
36,450
PATENT A/C
Patents
200,000
Depreciation on Patents @10%
less
Patents after depreciation (2011)

180,000
less

KITCHEN
18,000
162,000
less
20,000
16,200
145,800
52/60
CROCKERY A/C
KITCHEN CROCKERY
Depreciation on KITCHEN
CROCKERY @ 50%
577,500
less
Kitchen Crockery after depreciation (2011)

Kitchen Crockery Purchased
CROCKERY @ 50%
CROCKERY @ 50%
Kitchen Crockery Purchased
288,750
288,750
400,000
less
200,000
200,000
less
100,000
500,000
600,000
53/60
Attraction for Investors

Return on Investment (ROI)
First year
Net income + [(interest expense)*(1-tax rate)]/Avg. long term liabilities + Equity
= 10.65 %
Second year
= 16.44 %
Third year
= 23.14 %
Payback Period (PBP)

Initial investment =
75, 00, 000
Net cash flow from first year =

Net cash flow from second year =
Net cash flow from third year =
456,743
1,705, 187
2, 684, 504
TOTAL=
7, 346, 433
As our business results shows that we make the initial investment of Rs.75, 00, 000 and
our cash inflow for first three years is 7, 346, 433. It shows that our initial investment will
cover within three years and three months.
54/60
Pakistani culture:-
55/60
56/60
Chinese:-
57/60
58/60
59/60
Arabic cultures
60/60

Final Project of Enterp24

Enviado por

Dados do documento

Descrição original:

Título original

Direitos autorais

Formatos disponíveis

Compartilhar este documento

Compartilhar ou incorporar documento

Opções de compartilhamento

Você considera este documento útil?

Este conteúdo é inapropriado?

Direitos autorais:

Formatos disponíveis

Final Project of Enterp24

Enviado por

Direitos autorais:

Formatos disponíveis

1/60

Project submitted in the partial fulfillment of

Certificate for Approval

To become the trend setter for restaurant business in Pakistan.

Porters Five Forces Model:

Variety of Food/Wide Range

Bargaining Power Of Suppliers

Hero Mutton Shop (Asghar Sb.)

Address: Street No. 7, Main Bazaar Tariqabad, Faisalabad

Azhar Chicken Center (Azhar Sb.)

Address Chak No. 224, Fattah Din, Faisalabad

Mian Chicken Center (Mian Munir)

Address Hameed Chowk, Peoples Colony D Block, Faisalabad

Sufi Amin Kariana Store (Chakki Kariana )

Address Street No.9 Town Fattah Abad, Satiana Road, Faisalabad

Chohan Dairy (Ch. Nisar , Ghulam Ali)

Address Pull Korian, Opposite Pepsi Factory, Samundri Road, Faisalabad

Address Sabz Mandi Ghulam Muhammad Abad.

Bargaining power of customers

Rs. 30,000 50,000

Rs. 50,000 100,000

Key success factors:-

Products and services

Marketing and strategies:MARKETING

Offering reasonable prices.

Families requirements and needs.

Offering a wide variety of Food and beverages.

SALES PROMOTION ACTIVITIES

Special Preferences to Regular Clients

Inventory storage department

Inventory storage department

Back stage department

DATA FLOW CHART

Human Resource required For the Restaurant

3. Direct hiring, training, and scheduling of food service personnel.

4. Investigate and resolve complaints concerning food quality and service.

7. Review and monitor, with bookkeeper or other financial personnel, expenditures

3. Pleasant, polite manner for dealing with public as well as staff.

Tasks and Duties

Furniture & Fixture

Computer & accessories

Less: COST OF GOODS SOLD

Add/Less: Gain/Loss on Sale of Crockery

Profit Before Tax

Depreciation on Kitchen Crockery

Less/Add: Increase/Decrease in Inventory

Less/Add: Increase/Decrease in Advertisement

Cash Inflow from Operating Activities

Cash Paid for Building

Cash Paid for Furniture

Cash Paid for Computer Accessories

Cash Paid for Kitchen Crockery

Non Adjustable Advance

Cash Paid for Intangibles

Cash Outflow from Investing Activities

Cash Inflow from Financing Activities

Cash Inflow from Operating Activities

NET CASH INFLOW

NET Cash In Hand

AS ON 31, DECEMBER 2011.

Equity & Liability

Pre-payment for Advertisement