Business Plan – Page 2 – BizFundingResource.com

Indian Restaurant Business Plan

1.0 Executive Summary

The purpose of this business plan is to showcase the development and expansion of an Indian restaurant based in the greater Philadelphia metropolitan area. Indian restaurant, LLC (“the Company”) will provide a number of traditional Indian dishes coupled with fusion recipes created by the owner. At this time, the company is seeking a business loan of $150,000 in order to commence operations. The Company was founded this year, and revenue-generating operations are expected to commence in the fourth quarter.

The Restaurant

The Indian Restaurant will serve a broad array of traditional Indian cuisine that consists of in, in dishes of food produced, a strong competitive advantage over similar restaurants in the market.

The restaurant will also serve a broad array of both soft drinks and alcoholic beverages. The founder is currently in the process of acquiring a liquor license that will allow the business to serve beer, wine, as well as cocktails on site. The sale of alcohol will greatly boost the revenues of the business during the first three years of operation.

The next section of the business plan will further document the operations of the Indian Restaurant.

The Financing

As stated above, the Indian restaurant is currently seeking $150,000 of debt capital in order to commence operations. The terms of this loan are to be determined during negotiation. However, this business plan assumes that the company will receive a 10 year term loan that carries a 7% interest rate. Beyond this capital infusion, the founder intends to invest $150,000 of his own funds. It should be noted that given the highly predictable streams of revenue generated by the business, the Indian Restaurant would be a very good candidate for a working capital line of credit for expansion purpose is moving forward. However, this business plan assumes that no further capital be used during the first three years of operation.

Sales Forecast

The Future

As time progresses, the Indian restaurant may seek to establish additional locations with the accrued profit business can also engage in catering operations which were drastically boost the revenues of the business on a month-to-month basis. Finally, the business could easily establish mobile operations so that food can be served on site or at area festivals. This will creating a new revenue stream for the Company.

2.0 The Indian Restaurant

As stated in the executive summary the business will serve a number of classic Indian dishes, both in a sit down and take away capacity. The founder expects that approximately 70% of revenues will come from food directly consumed on site. The founder has a number of specialty recipes that will be incorporated into the restaurant operations in order to set the restaurant apart from other similar restaurants in the market.

Beyond the sale of food, the business will maintain an appropriate liquor license so that a broad array seemed on site. This is a very important revenue center for the business as it will carry gross margins range 10 depending on the type of beverage being sold. The company will comply with all state and municipal regulations regarding the state of alcohol on site. Quarterly excise taxes and all in a very timely manner. Additionally, all employees we properly trained on procedures that limit the potential for liabilities.

3.0 The Financing

3.1 Usage of Funds

Below is a breakdown of how management intends to use the $150,000 business loan and $50,000 capital injection into the business. The funds will be used as follows:

Location development – $50,000
Liquor License – $10,000
Furniture, Fixtures, and Equipment – $60,000
Working Capital – $60,000
Professional Fees – $10,000
Inventory – $5,000
Misc. Development Costs – $5,000

3.2 Investor Equity

At this time, the company is not seeking outside equity investor

3.3 Exit Strategies

In the event that the owner finds it financially prudent to do so, a qualified business broker will be hired in order to manage the sale of the Indian restaurant to a third-party. There is a substantial demand for restaurants that are profitable, and the owner could easily sell the business for a price to earnings multiple of four times to six times the previous year’s earnings depending on the smoothness of profits as well as the visibility of the Indian restaurant brand name.

4.0 Market Analysis

4.1 Economic Analysis

Restaurants have remained popular in all economic climates given that people are extremely busy these days, and many studies show that most people eat out at least one night per week. In very busy households, this number can balloon to almost 3 nights per week depending on the target market as well as the median incomes of the family.

At this time, the economic climate within the United States is strong. Interest rates have remained very stable despite substantial increase in asset prices among all classes. Unemployment rates are at near all-time lows. Although many economists point to a few indicators that there may be a modest recession moving forward giving rising interest rates – this risk is relatively low. Even during an economic recession, the Indian restaurant will be able to remain profitable given his numerous revenue streams coupled with the high margins generated from income.

4.2 Industry Analysis

There are more than 600,000 restaurants, eateries, and sit down cafés within the United States. Each year these businesses generate approximately $715 billion revenue and provide jobs for about 15 million people. It is considered to be one of the oldest industries within the United States, and given that people are busier these days – the demand for quality restaurants has increased substantially.

One of the common trends within the restaurant industry is to integrate as much technology in as possible in order to reduce the ongoing costs associated with operating a restaurant as well as marketing operations. The Indian restaurant will use a number of online sales platforms in order to boost its revenues from the onset of operations.

4.3 Customer Profile

Among people that will frequent the Indian restaurant, management has developed the following demographic profile that will be used in conjunction with marketing operations:

Household income exceeding $50,000
Lives within 5 miles of the Indian restaurant location
Has an interest in Indian food and is familiar with the menus of these restaurants
Will spend $10 to $20 per person per visit at the location

4.4 Competition

Within any given market, there are a number of Indian restaurants that are in operation. This is especially true in major suburban markets as well as all major cities. One of the ways that the Indian restaurant will maintain a strong competitive advantage is that the business will only use top ingredients that are organic. The restaurant will maintain a liquor license which is uncommon among Indian restaurants. This will allow the business to not only have a greater increase in profits, to purchase alcohol on site rather than having to bring their own beverage.

5.0 Personnel Summary

6.0 Marketing Plan

6.1 Marketing Objectives

On the Internet so that people can quickly place orders to the company’s website as well as third-party platforms.
Maintain expansive online profiles on social media platforms including FaceBook, twitter, and Instagram in order to have people easily find the restaurant on the Internet.
Develop ongoing relationships with local catering companies within the target market.
Develop and implement a moderate sized print campaign targeting residents within 5 miles of the Indian restaurant location.

6.2 Marketing Strategies

Prior to the onset of operations, the company will distribute a number of flyers and coupons to every resident within a 5 mile radius of the restaurant. These coupons will be special offers including free drinks as well as discounts on food. This will create immediate draw to the Indian Restaurant location so that people are familiar with it from the grand opening date. Management anticipates that the business will spend approximately 3% of its aggregate revenues on a monthly basis geared towards print marketing campaigns.

Of utmost importance to the Indian restaurant is maintaining an expansive online presence that consists not only of a proprietary website, but also substantial presence on social media. The proprietary website will showcase the menu, hours of operation, the location, and other information about the business. E-commerce functionality will be embedded into the website so that people can place orders for take away food directly through the platform.

Additionally, the company will maintain an expansive presence on FaceBook and Instagram in order to showcase images of the facility, while also having people be able to leave reviews regarding their experience. This is an important aspect of marketing operations given that stronger views on social media platforms like FaceBook will greatly reduce the ongoing marketing efforts required by the business on an ongoing basis.

The Indian restaurant will also maintain review pages on other platforms including Yelp and TripAdvisor to the people who frequently leave reviews on these websites can quickly find the business. Management will address every single review that comes through on these platforms especially in the incidents were someone had a less than positive experience.

Finally, the Indian restaurant will maintain relationships with caterers and other event planners within the market that have clients that want to serve Indian food during their events. This is an important aspect of operations, and management will seek to develop these relationships during the first six months of operation.

7.0 Financial plan

7.1 Financial Assumptions

The Company will acquire $150,000 in debt funds to launch operations.
The founder will inject $50,000 of capital.
The Indian Restaurant will have a growth rate of 10% per year during the first three years of operation

7.2 Sensitivity Analysis

The revenues of the Indian restaurant are only modestly sensitive to negative changes in the economy. People, especially bit busy working people, will continue to frequent restaurants within their target market. This along with the high gross margins generated from revenues will ensure that the Indian restaurant can remain profitable servicing all underlying financial and debt obligations on a month-to-month basis.

7.3 Source of Funds

7.4 Profit and Loss Statement

7.5 Cash Flow Analysis

7.6 Balance Sheet

7.7 Business Ratios and Breakeven Analysis

Dialysis Center Business Plan

1.0 Executive Summary

The purpose of this business plan is to showcase the development of a dialysis center based in the greater Philadelphia metropolitan area. At this time, the founder is seeking $5 million of equity and debt capital in order to launch operations. The Dialysis Center, LLC (“the Company”) will provide a host of nephrology services to the general public through its expansive center. The service will render standard dialysis care coupled with treatments from board-certified nephrologists. Revenue-generating operations are expected to commence in this year once the requisite capital has been secured.

The Services

As stated above, the dialysis center will be primarily involved with providing the general public with kidney care services. The Company’s staff nephrologists will assist patients with all their dialysis needs coupled with diagnostic services relating to other kidney issues. The business will receive reimbursements from publicly funded health systems including Medicare and Medicaid as well as from private insurance companies. The business will also receive payments directly from patients in the form of co-pays.

The business, at the onset of operations, will have two staff nephrologists error kidney needs. The business will also have five nurses on staff to render services to patients.

The next section of the business plan will further document the services of the dialysis center.

The Financing

At this time the business is seeking $1 million of equity capital and $4 million of debt capital in order to launch operations. The terms of investment are to be determined during negotiation as it relates to the equity capital needed to launch his business. This business plan assumes that the Company will receive a 20 year loan carrying a 6% interest rate in regards to the $4 million in capital needed from a financial institution.

These funds will be primarily used for the establishment of the dialysis center location, dialysis center equipment, and for working capital needs.

The third section of the business plan will further document the usage of funds.

The Future

As time progresses, the dialysis center may integrate new services into its overall service architecture in order to generate larger billable revenues. This includes kidney stone treatments using ultrasonic technology. The Company will continue to hire staff nephrologists in order to boost the billable revenues of the business as it relates to diagnostic care.

Sales Forecast

2.0 The Dialysis Services

As stated in the executive summary, the principal revenue center for the Company will come from dialysis center services rendered to the general public. The founder is currently in the process of developing ongoing referral relationships with area physicians so that patients can become quickly enrolled in the Company’s dialysis center services. The Company will generate highly recurring streams of revenue from dialysis given that these services are often needed several times per week.

The Company’s staff nephrologists will be able to provide not only assistance as it relates to dialysis, but also for a host of other kidney issues as well. The Company may also hire a staff urologist that will assist people that are having issues with their urinary tracts as the kidneys and urinary tract systems are very closely related. It should be noted that this business plan assumes that a staff urologist will not be hired during the first three years of operation, but rather will be paid as an outside consultant.

The management team is currently in the process of securing all the necessary licensure to operate this business within the Commonwealth of Pennsylvania. The management team is also acquiring all the necessary licensure from Medicare and Medicaid in order to be able to build the federal government for the services.

3.0 The Financing

3.1 Usage of Funds

At this time the Company intends to use the funds that are sought in this business plan as follows:

$1,000,000 Equipment
$500,000 Location Build Out
$1,500,0000 Working Capital
$250,000 General FF&E
$50,000 Licensure
$700,000 Building Acquisition

3.2 Investor Equity

This is to be determined during negotiations

3.3 Management Equity

This is to be determined during negotiations

3.4 Exit Strategies

Healthcare related businesses are some of the most valuable companies in the world given the fact that they are relatively immune from negative changes in the economy, and they are always able to produce a stream of profitable revenue. In the event that management wishes to sell the business, a qualified business broker or mergers and acquisitions investment bank will be hired to manage the sale. Most dialysis centers typically have a sales premium of 7 to 10 times the previous year’s earnings depending on the overall profitability and growth prospects of the business. It should be noted that the founder does not intend to sell the business for at least 10 years.

4.0 Market Analysis

4.1 Industry Analysis

Within the United States there are approximately 13,000 centers that provide dialysis services to the general public. Each year these businesses generate about $25 billion in revenue and provide jobs for about 150,000 people. The growth of this industry is expected to remain strong and robust over the next 20 years as people from the baby boomer generation are starting to reach their later years. This motet necessitates a greater degree of medical clinic care including the usage of dialysis. The expected growth rate moving forward will be 4% to 5% per year for the next decade.

One of the key things that may occur during this time or changes to reimbursement schedules as it relates to Medicare and Medicaid. However, given the strong demand and the affordable care act – the revenues generated by these businesses is expected to remain relatively stable during the next 5 to 10 years.

4.2 Patient Profile

Any person that has kidney issues that necessitates dialysis is a potential user of the Company services. Generally speaking, the average person requires dialysis will be between the ages of 40 and 80 and will have a prescription from their primary care physician or nephrologist to have the services rendered at the Company site. These individuals will either have private insurance, Medicare, or Medicaid to cover the cost of dialysis.

4.3 Competition

Given the strong demand for the services in any major market, there are always going to be a number of other dialysis centers that are going to be in competition with that of the Company. One of the key differentiating factors at the business will have, at the onset of operations, is that a number of staff nephrologists as well as a contracted urologist will be on staff in order to ensure that a host of services beyond dialysis can be rendered to patients. This will allow the business to properly position itself as a full-service provider of care as it relates to kidneys as well as for related organs.

4.4 Economic Analysis

At this time, the current economic climate within the United States a strong. Interest rates have remained relatively low despite substantial increases in asset prices, and unemployment rates are at their all-time lows. In the event of a market recession, the dialysis center will be able to remain profitable at all times given the fact that a majority of the revenues are generated through publicly funded healthcare systems. Additionally, the high gross margin generated coupled with the moderate low-cost operating infrastructure of the Company will further create a strong economic position for the business.

5.0 personnel Plan

The Company will be organized as follows

6.0 Marketing Plan

6.1 Marketing Objectives

Maintain strong relationships with referring nephrologists and primary care physicians in the target market

Develop an expansive online presence so that patients can quickly find the business

Develop and maintain relationships with area hospitals that will refer discharging patients to the dialysis center when needed

6.2 Marketing Strategies

The most important marketing strategy for the dialysis center will be to develop ongoing relationships with primary care physicians at, nephrologists, and urologists within the target market. These referral relationships will allow patients to be enrolled in the Company services given that a prescription from a service provider is typically required in order to receive dialysis care. Once these relationships are developed, the ongoing marketing relating to the dialysis centers operations will be somewhat limited.

The dialysis center will also maintain an expansive website that showcases its operations, hours of operation, insurances excepted, and biographies of all staff physicians. The website will be mobile friendly and listed among all major search engines. After operations commence, the business will may also develop pages on social media platforms such as FaceBook in order to have individuals place reviews regarding their experience at the Company’s dialysis center. Over a substantial period of time, these reviews can be a strong indicator of the great service provided by the Company and will further drive visibility for the dialysis centers brand-name. It should be noted that posts regarding kidney care and general dialysis services will be included on all social media platforms in order to create a strong degree of communication with potential patients.

Finally, the dialysis center will support local charities in order to further boost the visibility of the business. It should be noted that an aggregate of around 1% of the dialysis centers total revenues will be allocated towards this purpose.

7.0 Financial Plan

7.1 Financial Assumptions

The dialysis center will have a growth rate of its revenues at 10% per year.
The Company will receive $1 million equity capital and $4 million at that capital to launch these operations.
The business will have accounts receivables that will last an average 90 days.

7.2 Sensitivity Analysis

The business is revenues are not sensitive to negative changes in the economy given that patients are going to require dialysis care, kidney care, and related medical services on an ongoing basis. Most importantly, a bulk of the Company’s revenues will come from publicly funded healthcare systems especially Medicare and Medicaid. As such, a major economic recession would not have any impact on the Company’s ability to generate revenues and profits on an ongoing basis.

7.3 Source of Funds

7.4 Profit and Loss Statement

7.5 Cash Flow Analysis

7.6 Balance Sheet

7.7 Breakeven Analysis and Business Ratios

Accounting Firm Business Plan

1.0 Executive Summary

The purpose of this business plan is to a require a $100,000 working capital line of credit in order to develop the operations of a accounting, auditing, and bookkeeping firm. Accounting firm, LLC (“the Company:) is a Philadelphia based business will provide a host of professional accounting services to individuals as well as businesses. The company was founded by Mr. Peter Smith. Revenue-generating operations are expected to commence this year. Mr. Smith is a certified public accountant.

The Services

The primary focus of the accounting firm’s operations will be to provide ongoing tax and accounting services to the general public. This includes filing tax returns, preparing financial statements, managing matters with tax authorities, and representing clients when needed.

The firm will also provide business valuation and consulting services regarding the purchase and sale of businesses as well as other income producing assets.

The company will generate substantial and ongoing streams of high-margin revenue from all services rendered. At the onset of operations, the firm will have one staff CPA in addition to Mr. Smith.

The next section of the business plan will further document the services offered by the business.

The Financing

As stated above, the company is currently seeking to acquire a $100,000 line of credit in order to commence operations. The terms of this line are to be determined during negotiation. This document assumes that the business will Street receive a 10 year revolving credit line carrying a 6% interest rate on the drawn down balance.

These funds will primarily be used for office development, initial expenses, as well as the company’s initial marketing campaign.

As time progresses, the business would continue to be an excellent candidate for larger lines of credit or a business loan given the high-margin revenues of the business and the economic security of produced revenues.

Sales Forecast

The Future

As time progresses, the accounting firm will continue to hire enrolled agents, certified public accountants, and bookkeepers that will allow the firm to rapidly expand its billable revenues. The company may also acquire existing accounting practices that are in operation in order to expand through nonorganic means.

2.0 Accounting Services

As discussed in the executive summary the accounting firm will provide a large breath of services to the general public. It is estimated that about 30% of revenues will come from matters pertaining to tax returns and other filings on behalf of individual clients. The remaining 70% of revenues will be generated among business clients by not only providing tax filing services and tax preparation services, but also advisory services regarding the ongoing operations of these businesses.

The business will have a number of bookkeepers on staff in order to ensure that when a client needs the services they can be rendered directly by the firm. The company will charge $30-$40 per hour for providing on-site bookkeeping. At the onset of operations, the business expects to have two bookkeepers on staff that will render the services.

Additionally, the accounting firm will also provide business valuation services. These services are not often provided by an accounting firm, and they will create a strong differentiating factor for the business. The business will be actively engaged in assisting business owners with selling their companies to third parties, and with entrepreneurs that are seeking to acquire businesses and other income producing assets as part of their overall portfolio.

3.0 The Financing

3.1 Usage of Funds

The funds are to be used as follows

3.2 Owner Equity

Peter Smith retains a 100% ownership interest in the business.

3.3 Exit Strategies

In the event that management wishes to sell the business to a third-party, he will actively advertise the business for sale among other certified a public accounting firms within the greater Philadelphia area market. Based on historical standards regarding similar businesses, this company could sell for as much as 2 to 3 times total revenues depending on the strength and regularity of the earnings produced by the business. Mr. Smith would likely have to stay on for about one year as a consulting partner in order to properly transition the clients to a new owners operation.

4.0 Market Analysis

4.1 Industry Analysis

The demand for services relating to accounting and business consulting taking typically remain relatively strong even during times of economic recession. Currently, the economic climate within the United States a strong. Asset prices have risen substantially over the past seven years since the end of the economic recession. There have been recent major changes to the tax code within the United States, and many individuals as well as business owners are going to continue to need the services despite any negative change in the economy.

Nationwide, there are approximately 300,000 accountants that provide the services the general public. Each year, these entities produce approximately $90 billion in revenue, and provide jobs to a total number of people in the around 600,000. This includes support staff. The industry Outlook is very strong given the ongoing and substantial complexity of the United States tax code.

4.2 Customer Profile

The average customer of the accounting firm as it relates to individuals will have an annual household income of approximately $75,000 or higher, a net worth of $250,000 or higher, and they will be willing to spend $1000-$2000 per year on accounting services rendered by a certified public accountant.

As it relates to business clients, the accounting firm expects that the average client will have revenues exceeding $500,000 per year, EBITDA exceeding $100,000 per year, and will require ongoing bookkeeping in addition to any tax returns that must be prepared by a certified public accountant. These businesses will be located within 15 miles of the accounting firms location.

4.3 Economic Analysis

As discussed earlier, the US climate is strong. Interest rates have remained stable despite substantial increases in economic productivity. Unemployment rates are at all-time lows. It is expected that a light recession may occur within the next five years given the substantial amount of growth that has occurred during this time. However, most economic indicators point to continued and moderate growth during this period. Only substantial change in the interest rate climate would have a major negative impact on the firm’s ability to generate revenues.

4.4 Competition

In any market there are always going to be several independent certified public accountants as well as accounting firms that are in operation. One of the key differentiating factors that the company will have over its competition is that the business will be actively involved in providing advisory services as it relates to mergers and acquisitions. This includes providing business valuation services, which are not often provided by certified public accountants given the liabilities that can be associated with this type of practice. The company will only hire certified public accountants and enrolled agents to manage tax matters on behalf of clients. All bookkeepers that provide services to clients will be considered full charge. As such, once the business develops a strong brand name for its operations – the ongoing competitive issues at the business will face will be relatively low.

5.0 Personnel Plan

The company will have the following expected payroll costs over the first three years of operation:

6.0 Marketing Plan

6.1 Marketing Objectives

Develop strong relationships with area chambers of commerce and small business associations within the Philadelphia metropolitan area.

Maintain strong connections with area attorneys that specialize in doing business transactions so that people requiring business valuation services will be referred to the accounting firm.

Maintain an expansive online presence including use of social media in order to create awareness of the accounting firm’s operations and services offered.

6.2 Pricing

On average, an individual tax return will cost $500. Business tax returns will generate $700-$2000 for the business. Per our advice rendered by a certified public accountant or enrolled agent will be billed at $175 per hour.

5.3 Marketing Strategies

For most, the accounting firm intends to maintain an expansive online presence that will ensure that when people do searches for area accounts in the Philadelphia area, the website will appear on the first page of the search. The company will hire a professional web development firm that has specific expertise in search engine optimization in order to ensure that the website is listed quickly and is easy to use. The website will be mobile friendly so the people using tablets were cell phones can cleanly see the website.

The business will also maintain an expansive presence on social media platforms including FaceBook and twitter. The business will have a FaceBook page it showcases Mr. Smith’s biography, images of the firm, and all relevant contact information. Over time, the business will continue to make posts regarding specific tax matter issues as well as general accounting advice. His will allow for greater following on the social media platform, and will most likely convert several people that are looking for Philadelphia area accounts into clients for the business. The company’s administrative personnel will manage social media marketing on a day-to-day basis.

Beyond online marketing, Mr. Smith will enroll in several area chambers of commerce in order to create interest among existing businesses and people that are doing startups. These entities often provide a number of referrals for accounting firms. Additionally, Mr. Smith will distribute literature to area attorneys in order to ensure that people that are buying real estate, businesses, or engaging in large-scale sales transactions will be referred to the firm as it relates to preparing financial statements that are going to be shown to third parties. Mr. Smith, as a CPA, has the ability to certify any financial statement.

The company expects at approximately 2% of its aggregate revenues will be allocated on a yearly basis towards ongoing marketing and advertising costs.

7.0 Financial Plan

7.1 Financial Assumptions

The company will have a growth rate of 10% per year.
Mr. Smith will acquire a $100,000 working capital one credit carrying a 6% interest rate in order to launch operations.
Gross profits from revenues will be approximately 95%.

7.2 Sensitivity Analysis

Accounting firms and related professional practices are some of the most stable businesses to own and operate. The high barriers to entry due to licensing requirements allows these businesses to remain in demand at all times. Many people as well as small businesses lack the ability to properly prepare tax filings and other financial statements. The complexity of the tax code also requires that a professional is hired to manage these aspects on behalf of their clients. This coupled with the high gross margins generated from revenues will ensure that the business is able to remain profitable and cash flow positive at all times, while concurrently servicing any underlying financial or debt obligation undertaken by the accounting firm.

7.3 Source of Funds

7.4 Profit and Loss Statement

7.5 Cash Flow Analysis

7.6 Balance Sheet

7.7 Business Ratios and Breakeven Analysis