Business Plan - Tsunami Pizza

Topics: Generally Accepted Accounting Principles, Asset, Inventory Pages: 9 (2145 words) Published: April 11, 2013
1.1 Objectives
Capture the majority of the pizza delivery business in the westside area. Offer our customers a superior product, at a low price, and provide customer service that is second to none. 1.2 Mission
Tsunami Pizza's mission is to offer residents of the westside the best pizza delivery service in the city. 1.3 Keys to Success
A superior product that will promote customer loyalty.
A business location that will assure that the pizza will be delivered quickly. Delivery people that have great customer skills.
Company Summary
Tsunami Pizza is a new pizza delivery service started in the city's westside area. John Lindsay, owner of Tsunami Pizza, has seven years experience in the restaurant industry. His focus is to satisfy the customer's demand for a quality pizza that is delivered quickly with a smile. Tsunami Pizza will serve a seven mile area with over 25,000 residents. Overhead will be kept low so that Tsunami Pizza's prices will beat the competition. Delivery people will use their own vehicles so the business will not have to purchase delivery vehicles. 2.1 Start-up Summary

The start-up cost of Tsunami Pizza will consist primarily of kitchen equipment. John Lindsay will invest $50,000. 2.1.1 Company Ownership
Tsunami Pizza is owned by John Lindsay.

Start-up Requirements
Start-up Expenses
Kitchen Inventory$5,000
Delivery Paper Products$3,000
Leased Kitchen Equipment$20,000
Promotional Signs for Delivery Cars$2,000
Expensed Equipment$0
Business Sign$4,000
Total Start-up Expenses$37,000
Start-up Assets
Cash Required$5,000
Other Current Assets$0
Long-term Assets$8,000
Total Assets$13,000
Total Requirements$50,000

Start-up Funding
Start-up Expenses to Fund$37,000
Start-up Assets to Fund$13,000
Total Funding Required$50,000
Non-cash Assets from Start-up$8,000
Cash Requirements from Start-up$5,000
Additional Cash Raised$0
Cash Balance on Starting Date$5,000
Total Assets$13,000
Liabilities and Capital
Current Borrowing$0
Long-term Liabilities$0
Accounts Payable (Outstanding Bills)$0
Other Current Liabilities (interest-free)$0
Total Liabilities$0
Planned Investment
John Lindsey$50,000
Additional Investment Requirement$0
Total Planned Investment$50,000
Loss at Start-up (Start-up Expenses)($37,000)
Total Capital$13,000
Total Capital and Liabilities$13,000
Total Funding$50,000
2.2 Company Locations and Facilities
Tsunami Pizza will be located at the corner of 11th and Tyler. These two streets are the area's busiest and provide easy access to our service area.

Tsunami Pizza will offer a wide variety of New York style pizzas, as well as sodas and fruit juices.

Market Analysis Summary
The westside is a growing middle-class area with 25,000 residents. A majority of these residents are families of four or more. The average income for the area is $38,000. The boom in the area is primarily in response to new employment opportunities in the city's Westside Industrial Park. Businesses that traditionally do well with this population have demonstrated the potential for Tsunami Pizza. A neighbor of Tsunami Pizza, Magic Videos, has been in operation in the area for a little over a year. Magic Videos is the closest video store serving the westside area. Their sales have grown by 40% due to its location and the absence of direct competition in the westside. With continued growth in the area, opportunities to serve the westside residents will increase. The company will sell predominantly to individuals, but it will also accept some catering jobs to individual parties and company functions in the westside. Strategy and Implementation Summary

Tsunami Pizza will use advertising to promote the business. We will use the local westside flyer to advertise. In addition, we will hire people to hold signs at the corner of 11th and Tyler....
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