3. 3
1. EXECUTIVE SUMMARY OF THE BUSINESS
SO FRESH FAST FOOD SERVICES is a restaurant that provides freshly cooked meals and a
takeaway service. Our aim is to consistently provide customer satisfaction by rendering an
excellent service, quality products and an enjoyable atmosphere at an acceptable price/value
relationship. Moreover, we also maintain a friendly, free and fair creative work environment.
1.1 MISSION
Our mission at SO FRESH FAST FOOD SERVICES will be to provide hot and cold served
salads, burgers and fillings alongside fruit juice which will have a unique taste and served in a
purely traditional manner to remind us of our roots and to give our brand a Cameroonian flavor.
SO FRESH FAST FOOD SERVICES will be the first of its kind in the local area with an
introduction of 3 course meals. Its unique services will cause its meals to be charged at a
premium in order to lock in a significant profit. We intend to offer a quality customer service so
as to save the time and reduce frustration. Our niche customers are students and we intend to be
at our best in terms of food quality and presentation, customer service and a lovely atmosphere in
order to have a massive turnover and reputable brand. We look forward to getting positive
feedback and enormous recommendations from our customers
1.2 OBJECTIVES
The objectives of SO FRESH FAST FOOD SERVICES are;
To maximize profit,
To satisfy customers and also providing them with quality products and service at
affordable prices
To be well known and famous as one on the best fast foods services in town
1.3 PULL FACTORS
A high student population with a buying ability and capability
Location. The place in which the business is found is accessible to all and secured.
The uniqueness of the service and its menu which are both entertaining and trendy, will
create room for a massive turnover
Very affordable prices compared to our peers in Bambili.
4. 4
2. COMPANY SUMMARY.
Our business concept was greatly influenced by renowned fast food chains like McDonalds and
Kentucky Farmers. Moreover our core market constitutes an age group between 18 and 40 years
which make up the active work force. We thus intend to exploit this by providing quality meals
to cater for the bodily needs of this active population. Furthermore we intend to hand over
brochures to our customers in order to nourish them with our fantastic business concept and for
marketing purposes.
2.1 COMPANY LOCATION
SO FRESH FAST FOOD SERVICES will be located at BAMBILI. BAMBILI is one of the
most busy and populated areas in Bamenda .The reason for this location is to target the
population, which is largely dominated by students from CCAST, UBA, POLYTENIC AGRIC
SCHOOL as well as the active working class, traders and hawkers. The facility will include a 20
seat dining area with a reception desk and a kitchen. It is strategically located and we are
expecting to exploit the increase in population as a result of the influx of educational institutions
in Bambili.
2.2 COMPANY OWNERSHIP
NEBA ROSMARY- C.E.O
CHE BLESSING CHENWI, FOUH FEDORA BI- Business managers
NDIKUM SANDRINE- Technical Assistant
2.3 START- UP SUMMARY
The start- up cost and initial financing are shown on the table below. The main source of income
will be from debt (700,000 FCFA) and equity worth 150,000 FCFA. The table illustrates how the
capital would be used up in six months.
START UP COSTS TABLE:
5. 5
DESCRIPTION QUANTITY UNIT PRICE AMOUNT
RENTS 1 50000 PER MONTH 300000
EQUIPMENTS
GAS COOKER
KITCHEN BOWLS
REFRIGERATOR
MICROWAVE
BAKING PANS
COOK $ FRY SPOONS
POTS
CHOPPING BOARDS
MULLINEX
2
4
1
1
3
4
3
2
1
25000 50000
FURNITURE
TABLES
CHAIRS
6
20
PACKAGING
FOOD CANS
PAPER BAGS
CUPS
200
200
200
50
15
50
10000
3000
10000
CONSTIGENCY 10000
3.0 PRODUCTS AND SERVICES OFFERED
SO FRESH FAST FOOD offers breakfast and lunch (with a drink). Thus we will have a
threefold menu.
Exceptionally, we intend to go about the fast food business differently and incorporate an
African approach and as such we will serve boiled rice, tomatoe sauce, beans .SO FRESH FAST
FOOD SERVICES will be organized and managed in a creative and innovative fashion to
generate very high levels of customer satisfaction and to create a working climate conducive for
employees and customers.
3.1 PRODUCT AND SERVICE DESCRIPTION
Breakfast
omelets, cereal, fried eggs, coffee, toast bread, harsh browns and tea.
6. 6
Lunch
Fried potatoes, pancake fillings, salads, cream cakes, juice or smoothies, fruit salads,
hamburgers, chicken sauce, sandwiches, chips and homemade potatoe salads
Drinks
Smoothies and beverages, fruit juice and canned drinks.
3.2 TECHNICAL STUDIES
The explanations of some basic recipes are explained below as an illustration of how the work
procedures are going to be done.
This part has to do with an elaborate explanation of the production process of some of the
services
Pancakes
• Place the Dry Ingredients in a bowl and whisk to combine.
• Make a well in the centre and place the Wet Ingredients in the well. Whisk until
combined and lump free (stop whisking as soon as it is smooth, don't over whisk).
• Melt ½ tsp butter in a non stick fry pan over medium heat. Once melted, wipe most
of the butter off with a paper towel.
• Take 3 Frozen Nutella Discs out of the freezer just before you start cooking.
• Dollop ¼ cup of batter into the fry pan. Working quickly, place 1 Frozen Nutella
Disc in the middle of the batter, then top with batter to cover the Nutella disc
• When bubbles start appearing around the edges (around 2 minutes), lift up the edge
and make sure the underside is golden. Then flip and cook until the other side is golden.
• Repeat with remaining batter. Melt more butter in the pan after the 3rd or 4th
pancake. You should be able to make 7 in total, but sometimes it makes 6 - depends on how
much batter you use on top of the Nutella.
• Serve warm with sliced strawberries, if using. You could also serve with cream but I
find that it's not necessary!
HAMBURGERS
• 1. Dump your ground meat into a bowl. (We go for ground meat with around 20% fat.)
Season it with salt, pepper, and whatever else you want; you can add spices, perhaps, or
Worcestershire sauce, or shallots, or chiles.
• 2. Shape your burgers into patties, using your thumb to make an indentation in the
center; this will keep the burgers from puffing up. Keep in mind that the burgers will
7. 7
shrink up a bit once you cook them, so make your patties a bit bigger than you want them
later.
• 3. Oil your grill or a cast-iron pan, and grill or sear those patties. (How many
times to flip them is up for debate but when I'm grilling, I flip once so I can get those
nice grill marks.) Cook them until your desired doneness (around 125-130ºF for medium
rare, around 1 minute per side for each inch of thickness). But before you take them off
the grill...
• 4. ...add your cheese and toast your buns. Let the cheese melt while the burgers
are still on the grill; to speed things up, you can close the cover.
• 5. Once your burgers are finished cooking, and your cheese is melty and your
buns are nicely charred, throw some condiments and toppings on those burgers. Bite
into it and let those juices run down your chin, and rejoice that it's summer. And then
make another round, because now you know how.
SANDWICH
• Lay out 2 pieces of bread.
• Put a piece of cheese on 1 of the slices of bread.
• Take out a microwavable bowl with the bottom of the bowl about the size of the
piece of bread.
• Spread butter in the bowl.
• Crack an egg into the bowl.
• Whisk the egg.
• Put it in the microwave for 40 seconds.
• Take the egg out of the bowl.
•
Put the cooked egg on the piece of bread with the cheese on it.
• Put the other piece of bread on top. Enjoy.
3.3 Future Prospects
As the business runs on, we will have a period at the end of every two weeks where we will have
a brainstorm activity to carry out possible research on what we know can be added to our menu
based on the research and what we will gather from the customer base we have. This will be
through a customer survey that will be carried out at the same period of the research activity and
will be part of it. Other optional activities will be added as need be.
8. 8
4.0 MARKET ANALYSIS
The market is constituted of 3 main participants or groups, they include
The student population which make up the greatest majority of the market
The workers, those who leave town and come and work in the area and those who stay
and work in the area
The local population, those who actually live in the area and are permanent residents
there.
It should be noted that each of the group is seen as fit for the business because, the students
renting in the place will be the main group of customers because at the end of the day, the
tiredness from school and crushing laziness from the thought of cooking will make them see the
business as a life saver. The workers on the other hand will also benefit from the services offered
either to come spend some time to chat about their own businesses or to have meal for relaxation
or if tight up, pick up something to go eat at work. Lastly, the local population will be more
interested in the place because of its unique nature and for the fact that it is a new place and the
type of service offered is not the one common to their knowledge. They will love to picj up
something which they feel they can share with family or friends.
4.2 MARKET SEGMENTATION
As said above, the market is segmented into three groups as graphically illustrated below
9. 9
Market Analysis
Year 1 Year 2 Year 3
Potential
Customers
Growth Rate
Students 15 % 4000 4600 5200
Workers 12 % 1500 1680 1860
Local pop and
Tourist
10 % 2000 2200 2400
total 27 % 7700 8480 9460
The youngster population is of an age of 15 to 25 years old and is having a limited budget and
their value- price relationship is known by the budget they allocate to their feeding.
The worker populations of an age rank of 25-40 years are people who mostly frequent outdoor
eating places and have more flexible buying attitudes. This is to say that their budget is not a
completely influencing factor on their value-price relationship.
So we are trying to keep the price tag which each of the groups can view as fair based on their
buying behavior and also be able to offer more exciting services which have the same value as
the meals offered.
4.2.1 Market Trends
market segmentation
students
workers
local pop and tourits
10. 10
One of the most important trends in eating is the fact that people want to eat healthily and try to
keep fit and in form for their social standings and possibly work requirements. Things which are
greasy and fatty will on a general basis be avoided and those which offer better taste and less
fatty nutrients will be much more appreciated. To this fact, SO FRESH FAST FOOD
SERVICES will be offering what is both nice and dieted, with all nutrients and organic quality in
it.
4.2.2 Market Needs
As stated, customers will desire fast, healthy food that will appeal to their aesthetic tastes
and is provided in a comfortable atmosphere. In addition, they desire a memorable dining
experience that provides them with the chance to relax in the middle of the day. All of this
needs to be delivered to the customer with the least amount of hassle. Furthermore,
customers will also need a facility that can provide them with delicious, convenient take-home
meals when there is no opportunity to cook at home
4.2.3 Market Growth
We have no indication of market growth in this pulverized and diffuse market. No statistics are
available for a local food industry in Bambili. What we do know is that there is growth
potential, and plenty of potential market for the right combination of service, quality and choice.
4.3 SERVICE AND BUSINESS ANALYSIS
The restaurant industry is highly fragmented and competitive. Each company within this field
has low capital costs and low margins, which create this high intensity of competition.
There also exists a very high degree of rivalry among firms due to the perceived overcapacity
in this field. The larger companies often have cost advantages due to economies of scale that
allow them to out-compete smaller rivals.
The barriers to entry and exit are very low in this industry. Switching costs are virtually
nonexistent and the costs to entry and exit the market are low. The large number of competitors
in this field including substitutes such as local restaurants, bakeries and even groceries, mean that
the pricing for such services are very competitive. The only way to have an advantage in this
industry is either a low cost leadership principal applied aggressively to all aspects of the
business or to differentiate the entire eating experience through better and more unique food
and to build up customer relations to a point where the switching costs are raised.
4.3.1 Competition and Buying Patterns
Location is critical to success. Proximity to workers is very important, so is convenient
parking for the end-of-workday traffic stopping to pick up takeout dishes
11. 11
Price is not very sensitive as long as we are not too high. Low price or lowest price is not
essential. Many target customers mistrust low price
Quality of food matters. If the price isn't too high and the food is good, we'll have
growth through repeat business.
Focus. To make sure the services offered are in line with what the target population wants
and desires, and not forgetting to change our pattern as theirs changes.
4.3.2 Main Competitors
The main competition witnessed are of two kinds; restaurants (local and professional) and
bakeries found in the area.
The restaurants are well established places which offer a variety of dishes and meals at a low
price and which can be afforded by the local population. These meals are seen as delicacies by
many and some will go a long way to purchase these meals at high prices to take them back
home for consumption. Also “achombo houses” and roasted fish are also seen as competition
because they offer pre-prepared dishes which is admired by the students and seen as a delicacy
by them at times
The next competition is the bakeries found around which offer the same or similar pastries like
the one offered by SO FRESH. These bakeries are branches of well known bakeries in town like
Imagine Bakery, Mr. Baker, amongst others. However neither company has the means enough to
ascertain their growth, explaining the reason why they are still small in nature.
5.0 STRATEGY AND IMPLEMENTATION.
The main focus of the business is to obtain maximum profit in a given time and create a large
sense of awareness of the business to the local and international public. Therefore we have to
understand the needs and buying patterns of the public in order that our plans should fall directly
in line with their desires.
5.1 Marketing Strategy
Our main opening up or initial strategy will be to make the public aware of the existence of the
business and create a customer base at the time. This will be succeeded by a grand opening,
distribution of flyers to the public, and possible caravan advertisements in the locality where the
business is to operate. Also the logo of the company has to create a sense of attraction to those
who but from us and to make it possible that what their eyes see, their minds can remember,
thus the need for a fashion like and friendlier design.
.Weaknesses of competitors
• Cost prices of services in other fast food like services is very high
12. 12
• Other restaurants offer just the services and then neglect other services after-sale
services, customer retention services amongst others.
• Poor treatment of customers by staffs in fast food services and the management in
general, disrespectful, rude and ill-mannered towards customers. Hence customers are not
happy.
• Poor hygienic conditions of other fast food services; dirty towels, floor, surrounding and
equipment’s.
• Lack of well trained specialist to ensure that hair do is done smoothly , most fast foods
around hire or rather employ amateurs or apprentices to do the services of customers
which makes most customers totally dissatisfied because they know the apprentices have
no skill
• Lack of adequate finances to be able to afford the necessitated raw material and keep the
place organized at any point in time
• Most fast foods in the area are very tight and small, having inadequate space to host a
large number of customers
• Strategies to overcome the weaknesses of the competitors
After feasibility study of the market has been carried out SO FRESH FAST FOOD SERVICES
SERVICES will use or implement the following strategies so as to have a competitive advantage
over its competitors and also to have a large market share
• We will differentiate ourselves from our competitors by offering well trained nutrition
and food cookery experts who are not only certified in their professions but will be
trained in understanding the dynamics of customer service so as to maximize the
connection of their clients and more easily to exceeds clients expectations
• SO FRESH FAST FOOD SERVICES will not only make fast food for their customers
but also engage in after-sale services and also in advicing on the diet of their consumers.
This will keep customers to continuously be coming because if they are not for the hairdo
they will be for facials, massage or nails.
• We will ensure we purchase relevant equipment’s to make work in the beauty salon easy
going, equipment like modern gas cookers, fridge amongst others will be present.
• We will ensure maximum cleanliness of the fast foods services, ensure the environment is
beautiful, neat and serene. Also ensuring that the equipment’s of the salon, towels and
floors are always very neat.
13. 13
• We will ensure the price of the services are affordable to all and not seen as a blockade to
the enjoyment of our services.
• Another strategy is to ensure that our clients are satisfied. When a client leaves with a
new smile on the face due to our services offered and pays allegiance to us for his
satisfaction then we can be proud as well as them. Word of mouth is one of the best
advertising tools for this kind of business
Judging from the fact that SO FRESH FAST FOOD SERVICES SERVICES will
make all dissatisfied customers satisfied , the can therefore assume that all the dissatisfied
customers will come to them .thereby by assuming a market demand of say 80%. They
are willing and capable of selling to a very large unit of the population and with the
availability of well-trained operators we can sell 20 units per day maximum
5.1.1 Promotion Strategy
The first idea of promoting the business will be to reduce the price of sales on the launching day,
and increase the amount of each set of meals provided. Keeping in mind that the value of each
meal has to be at an optimal level because it will cause the public to be both aware of the place
and have a high esteem for it thanks to the value or taste of the fast foods provided.
Another promotional idea will be to remove the transportation of meals for those who command
at home and at the office. This will be to make sure that the public have a firsthand experience on
the speed and delivery service which we provide. Prices will be allocated on the transportation as
time passes and the need arises.
5.1.2 Positioning Statement
The main market segment will be the student family (tutors and students) and business men. The
groups are composed of people who have little or no time to dedicate to eating and are always on
the move, either studying or attaining to their various customers, as such far from home and
food. There will be a wide variety of monetary tools to be used in payment but at the start up
there will be the use of cash only. Due to the work congestion of some businesses found there
and institutions which might not permit people to move out for a meal, the delivery service of the
company will be of great service since the consumers will have the means to eat these meals
which meet up their nutrient requirements at their various offices.
5.1.3 Pricing Strategy
Since the enterprise is sure of producing high quality meals which will have both high desired
taste and value, the enterprise will be charging three types of prices at different intervals. They
include;
14. 14
Value Pricing: The types of services provided will be charged according to the products offered.
We can assure that they will be having both unique and exceptional services.
Penetration Pricing: this pricing policy will be where prices are set far lower than industry price.
This will be to attract customers and create an awareness of the business. This will be the first
pricing method used by the company since its just starting and will be run for a period of about 4
weeks.
5.3.1 SALES FORECAST
We are estimating that we will be making at most a 15% interest or profit from the sale of each
product, our forecasted sales for each time season is represented below.
period Menu Items Price Quantity Daily sales Monthly sales Sales per 6 months
breakfast
Hash browns 500 7 3500 105,000 630,000
Stuffed Pancake 200 12 2400 72000 432,000
Fried eggs $ toast 500 5 2500 75000 450,000
Cakes
Banana cakes
Plain cakes
300
300
7
7
2100
2100
63,000
63,000
378,000
378,000
lunch
Salads 500 10 5000 150,000 900,000
Hamburgers 500 7 3500 105,000 630,000
Homemade
potatoes salads
500 5 2500 75000 450,000
15. 15
Sandwich 300 8 2400 72,000 432,000
Deep fries and
sauce.
500 10 5000 150,000 900,000
drinks Smoothies 500 10 5000 150,000 900,000
Can drinks 500 10 5000 150,000 900,000
Fruit juice 300 8 2400 72000 432,000
Total 106 30,800 924,000 5,544,000
Forecasted Sales formulae = 𝒇𝒐𝒓𝒄𝒂𝒔𝒕𝒆𝒅 𝒒𝒖𝒂𝒏𝒕𝒊𝒕𝒚 𝒑𝒆𝒓 𝒊𝒕𝒆𝒎 ×
𝒇𝒐𝒓𝒄𝒂𝒔𝒕𝒆𝒅 𝒑𝒓𝒊𝒄𝒆 𝒑𝒆𝒓 𝒊𝒕𝒆𝒎
Determination of cost of production
𝒕𝒐𝒕𝒂𝒍 𝒄𝒐𝒔𝒕 = 𝒔𝒆𝒍𝒍𝒊𝒏𝒈 𝒑𝒓𝒊𝒄𝒆 − 𝒑𝒓𝒐𝒇𝒊𝒕𝒔
𝒑𝒓𝒐𝒇𝒊𝒕𝒔 = 𝒆𝒙𝒑𝒆𝒄𝒕𝒆𝒅 𝒆𝒂𝒓𝒏𝒊𝒏𝒈𝒔 𝒑𝒆𝒓𝒄𝒆𝒏𝒕𝒂𝒈𝒆 × 𝒔𝒆𝒍𝒍𝒊𝒏𝒈 𝒑𝒓𝒊𝒄𝒆
Therefore the Total Costs per day = 30,800 – (30,800* 15/100) = 26,180 frs CFA
Total Costs per month = 924,000 – (924,000* 15/100) = 785,400 frs CFA
Total Costs per 6 months = 5,544,000 – (5,544,000 * 15/100) = 4,712,400 frs CFA
Forecasted Profits
Profitability threshold is calculated below;
𝒑𝒓𝒐𝒇𝒊𝒕𝒔 = 𝒔𝒂𝒍𝒆𝒔 − 𝒄𝒐𝒔𝒕
Daily profits = 30,800 – 26,180 = 4620 frs CFA
Monthly Profits = 924,000 – 785,400 = 138,600 frs CFA
16. 16
Profits per six months = 5,544,000 – 4,712,400 = 831,600 frs CFA
Exploitation charges (variable charges)
Variable cost Amount per month
Electricity bills 10,000frs
Water bills 5000frs
Patent rights 35000frs
Taxes per month 10000frs
Raw materials 200000frs
Total 260,000frs CFA
5.4 STRATEGIC ALLIANCE
The company is still small but will be in contact with local bakeries for the supply of needed
flour products like breads for its hamburgers and also the local market for potatoes. This is
because at the time they can’t produce the afore mentioned themselves. This will be also
advantageous because it will be a means of making their presence known in the public. Also the
company is trying to be in touch with the various schools in the area to be able to supply the
products in their school canteens and sales points. Also they can assist in the launching of
sporting activities and supply their services at lightly reduced prices.
6.0 FINANCIAL PLAN
The financial plan shows that the finance is mostly from bank loan, with no savings from the
owners mentioned. A bank loan of 700,000 is granted by the bank (UNICS PLC), it should be
noted that the company follows an aggressive approach, whereby 20% of profits are ploughed
back in the business,30% is paid as reimbursement of the loan, 10% is used to settle the monthly
taxes, 20% is saved in the company’s bank account and 20% is used to motivate the
entrepreneurs as and a strict loan policy is put in place. The debts of the company are paid first,
the remaining amount is put back in the business and dividends are shared only when residuals
are available.
6.1 Basic Financial Assumptions
Current interest rate = 5%
Longterm interest rate = 7%
7.0 CONCLUSION
17. 17
In a nut shell from the market analysis, the technical studies ,the forecasted cost
involved SO FRESH FAST FOOD SERVICES will be a success taking in to
consideration the aforementioned factors
