This document provides a project brief for opening a Pakistani food restaurant called Al Basit Pakwan & Restaurant in Karachi, Pakistan. Key details include: - The restaurant will be located in the busy Do Darya area of Karachi and will offer a variety of Pakistani cuisine. - Competition in the area includes over 30 other restaurants, so marketing strategies will be important. - Financial projections estimate the total investment will be 20 million Pakistani rupees and include costs for land rental, construction, furniture, vehicles, equipment and startup expenses. - Market research will analyze the target customer demographics and preferences to ensure success.

1. AL BASIT PAKWAN & RESTAURANT:
Project Brief
Our project is on making a Pakistani Food Restaurant in the center of Karachi at Do Darya near
Beach View. Pakistan’s Population is almost 193.1 million. And it is increasing at a rate of 2.2%
every year. And with the passage of time, their tastes, preferences are also changing. The GDP
of Pakistan is 5.4% by 2014 and by 2015; it will increase by 6%. In these restaurants growth
opportunities are increasing. In Karachi, a large number of eating places are located including
Fast Food Restaurant, Chinese, Cafes, and many other restaurants. Karachi’s population is
almost 30 million. As far as youth generation is concerned, they are also showing their interests
towards these eating places. There are nearly 495 restaurants in Karachi including Fast Food
Restaurants, Chinese, Italian and Cafes. Since we are opening this restaurant in the heart of Do
Darya, there are 37 restaurants including cafes.
In our restaurant, our menu will consists of different food item including sweet desserts. Our
sales will be all based on cash sales and no credit sales. However on special occasions like
farewell party, annual lunch, birthday treat and many other events, bookings will be done in
advance and immediate payment will be received. For opening the restaurant, we will take 500
square yards land, and it will be taken on rent.
Pakistani Food Industry:
Pakistan food Industry is the rapid growing industry nowadays. It has captured a large market
share in the industry. Talking about competitors, our direct competitor will be Al Sajjad Family
Restaurant, as we are making a food chain similar to Al Sajjad. While our indirect competitor
will consists of different eating places including Cafes. Some of the eating places including
Nandos, Ginsoy, Charcoal Barbeque and many other restaurants located in Do Darya. Outside
Pakistan, like Dubai, Sharjah, Oman, these Pakistani food restaurants are making their relevant
places in the market. As a result of this, the foreigners are showing their preferences towards
these restaurants.
Different restaurants trend came around like Fast Food Restaurants, Chinese, and Italian but
couldn’t retain their share for long. As far as Pakistani Food Restaurants have made a stable
place in their markets.
Market Research:
Market research will be conducted for opening a successful restaurant. For this, we will analyze
the target market and on the basis of target market, we will conduct short term interviews about
their taste, preferences what they actually need. A short survey at different restaurants in Defence
Phase viii restaurants will also be conducted that what types of food are available and at what
prices. We will further analyze our direct competitor Al Sajjad Family Restaurant pricing
strategy, that what food are available and at what prices
Venture or Firm Background:
Our restaurant will be based on providing high quality Pakistani Foods according to the
customer’s desire. The restaurant will be a sole proprietorship restaurant, as the owner will be
personally liable for all their debts and obligations. There will be no need to write down the

2. terms and conditions to open the restaurant. It will be easy to form. We will be providing the
utmost deals at our restaurants, and our prices will be highly compatible than other competitors
in our way. On special occasions like annual dinner, annual lunch, farewell, different discount
packages will be provided. In holy month occasions like Ramadan, special discounted meals will
be given for Iftaar as well as dinner. In the initial stage, the business will be started by investing
all of our equities in the business, taking finance from family friends as no loan will be taken
from banks. After this, a sort of collateral will be taken from conventional banks for that the
property will be put up on mortgage. On the basis of this, collateral will be provided, as
according to the policies of banks, loans are only provided on running business base and not on
starting base. Then by generating loans, for enhancing production capacity, we will take a lump
sum loan amount, and will repay to them according to their terms and conditions.
Target Market and Customers:
This restaurant is highly growing industry in today’s era. In this restaurant our target market will
be the middle class and upper middle class people including young generation who are eager to
have the taste of these delicious foods. The people earning income of above 50000 would be the
target market for our restaurant.
Age:
The restaurant will cater all segments including youth, teenagers, and senior experienced
workers. The restaurant will target middle middle income group as well as upper middle income
group individuals.
DEMOGRAPHICS OF PAKISTAN:
Population of Pakistan:
The estimated population of Pakistan is 199,085,847 (July 2015 est.) and it is growing at a rate of
2.2% (2015 est.).
Age structure 0-14 years: 32.65% (male 33,396,847/female 31,611,641)
15-24 years: 21.44% (male 22,016,207/female 20,673,562)
25-54 years: 36.28% (male 37,526,930/female 34,701,271)
55-64 years: 5.28% (male 5,254,347/female 5,253,526)
65 years and over: 4.35% (male 4,036,727/female 4,614,789) (2015 est.)
Dependency ratio: Total dependency ratio: 65.3%
youth dependency ratio: 57.9%
elderly dependency ratio: 7.4%
Potential support ratio: 13.5% (2015 est.)

3. Promotion and Distribution:
While opening a restaurant, the most important factor is advertising and sales promotion. For
this, at initial stages, the restaurant will incur a huge cost on organizing an introductory function
at our place. On the first day, a concert is going to be held, where different singers will perform
and present melodious song. A beautiful billboard will also be placed outside our restaurant to
grab consumer’s attention. A social page at Facebook as well as twitter will be created so that
respondents will put up their feedback about our restaurant. In the first year, huge cost for
advertising will incur, but later on, we will put up low cost on advertising.
Competition and Market share:
Karachi is a food eating and loving city. A large number of people from different social classes
prefer different kinds of meals. In the context of Pakistani Food restaurants, there are nearly 65%
of the people including social class, upper middle class that prefer eating at different restaurants.
Our mission is to open a successful eating food chain, providing healthy, energetic meals to the
hungry people. Talking about competitor level, we are emphasizing on two levels of competitors,
Direct and Indirect.
Direct Competitor: Our direct competitor will be Al Sajjad Family Restaurant. We are
providing a Pakistani Food Chain similar to Al Sajjad Family Restaurant. It is the one that has
grabbed the major market share in terms of Buffet Restaurants, i.e., 30%. Ours is an initial one,
but with the passage of time, providing more tasty meals, better marketing strategies, we will
soon become the leaders.
Indirect Competitors: Our indirect competitors comprises of Do Darya, Nandos, Barbeque
Tonight. These eating chains are having share less than Al Sajjad, as these have emerged after
this. Although they are providing better quality foods, but not grabbing the major market share of
Al Sajjad because of their poor pricing strategies.
SWOT ANALYSIS:
STRENGTHS:
 Quick Response
 Able to grab major market share
 Best Management Expertise
 Better Quality Food products

4. WEAKNESS
 Existing competitors in the market.
 Low market share
 Dealing with only one category
OPPORTUNITIES
 Future growth potential
 Ability to grab market share
 Potential Revenue generation in this category.
THREATS:
 Large number of competitors in the market
 Threat of technology changes.
KEY ASSUMPTIONS
In our given assumptions, sales are going to be increased by 16% each year. It is because of
better growth opportunities. Karachi is the mini Pakistan, and every year, its population increases
by at most 2% to 3% per year. There are a lot of food chain growing opportunities. A large
number of people are switching their preferences towards these types of Desi Restaurants.
Sales increase by 16% per year
Increase in Cost of Raw Materials 10% per year
Increase in Staff Salaries 10% per year
Increase in utilities expenses (Electricity,
Water, Gas)
10% per year
Increase in Office Expenses 10% per year
Debt / Equity Ratio 70:30
Depreciation
o Furniture & Fixtures
Machinery & Equipment
Motor Vehicles
Building
10 % per annum Straight line method
10 % per annum Straight Line Method)
10 % per annum (Straight Line Method)
5% per annum (Straight Line Method)

5. Talking about the cost of raw materials, with the passage of time it will increase, as inflation is a
monetary phenomenon, so the cost of raw materials like price of spices, price of meat, and oil all
will increase in the near future. So we have put an assumption that it will grow by 10% per year.
Talking about staff salaries, the restaurant is a highly growing industry. As with the passage of
time, the restaurant will generate more and more revenue, which will result in motivation of our
staff by increasing their salaries. The utility expenses like Electricity, Water and Gas will
increase because of future increase in duties, surcharges and tax rates, which will further increase
in the near future. For Debt to Equity ratio, we have made the ratio of 70:30, as 70% would be
our personal equities. We will put our own money in the business while 30% would be taken as a
debt.
Project Investment:
The following is the schedule of the Project Investment of Pakistani Food Restaurant.
Project Investment
NOC 50,000.00
License 50,000.00
Land (to be taken on
rent) 3,720,000.00
Furniture & Fixture 2,222,000.00
Construction Cost 6,018,000.00
Pre-Operating Cost 500,000.00
Motor Vehicles 3,200,000.00
Machinery&
Equipment 3,440,000.00
Cash at Hand 800,000.00
Total Project
Investment 20,000,000.00
The total project investment comprises of 20 million, in which cost of furniture and fixtures and
machinery and equipment are also included. All costs required are mentioned in this Project
Investment Schedule. The Breakup of all these costs is also mentioned later. While opening a
restaurant, NOC as well as License is required. The breakup of furniture and fixture, machinery
and equipment and motor vehicles will be mentioned later.

6. Debt to Equity Ratio:
Debt 30% 6,000,000.00
Equity 70% 14,000,000.00
Total 20,000,000.00
Here is the schedule of the Debt to Equity Ratio of a successful Pakistani Restaurant. 70% will
be put up as equities while 30% will be kept as borrowing debt.
Land:
A 500 square yard land is taken on rent at Do Darya where different restaurants are opened. At
that place, consumer traffic will be at maximum. The rent will be paid on monthly basis and is
expected to increase by 10% per year. The estate agent provided the following details about the
rental cost.
Land cost
A 500 square yard land at Do Darya is taken
on rent
Monthly Rental Cost 310,000.00
Annual Rental Cost 3,720,000.00

7. Furniture & Fixture:
Furniture & Fixture Schedule
Description Quantity Cost Total Cost
Energy Saver 20 300.00 6,000.00
Air Conditioners 5 50,000.00 250,000.00
Standing Air
Conditioner 2 150,000.00 300,000.00
PC System 1 75,000.00 75,000.00
Steel Chairs 18 7,500.00 135,000.00
Wifi System 2 3,000.00 6,000.00
Tables 6 9,000.00 54,000.00
Cash Counter Machine 1 50,000.00 50,000.00
Counter Chairs 2 5,000.00 10,000.00
Bracket Fans 6 4,000.00 24,000.00
Samsung LED 1 56,000.00 56,000.00
Office tables & Chair
Set 1 50,000.00 50,000.00
Exhaust Fans 2 3,000.00 6,000.00
Electric installations 15 80,000.00 1,200,000.00
Total 2,222,000.00
For furniture and fixtures that will be required in this restaurant, loads of accessories to be
needed like Split A/C, Standing Air Conditioners, PC System and in this era of modern
technology, Wi-Fi have become common. Other furniture including chairs, tables, counter chairs
office table and chair set will be needed while setting up the restaurant. A big LED Television
will be set for having entertainment for people.
Machinery & Equipment:
While setting up restaurant, machinery will be required. In this city, Load shedding is a major
issue, and for overcoming this problem, 3 large generators will be purchased. Different Pepsi
Refrigerators will be purchased; a Blast Chiller Freezer will be purchased. For cooking meals at
Kitchen Gas Stove will be purchased for this. In case of emergency, emergency lights will be put
up as an alternative.
The details of machinery are mentioned below

8. Construction Cost Requirements for establishing restaurant:
For constructing this eating place, construction cost will be required. In a 500 square yard land,
we have bifurcated different portions according to the area. Dining and Kitchen are the major
places that will be required for the restaurant; it will incur huge cost for this. The following is the
table for constructing a successful eating place
Construction Cost
Details
% Sq
Feet
Size (Sq
Feet)
Civil Works &
Décor (Cost in
Rs/square feet
Construction
Cost
Dining 60% 200 10,000.00 2,000,000.00
Ktchen & Preparation 20% 150 17,000.00 2,550,000.00
Parking Area 10% 60 9,800.00 588,000.00
Kids Play Area 5% 50 10,000.00 500,000.00
Office 5% 40 9,500.00 380,000.00
6,018,000.00
Machinery & Equipment
Description Quantity Cost Total Cost
Generator (7KV) 3 400,000.00 1,200,000.00
Freezers 2 44,000.00 88,000.00
Potato Cutter 3 4,000.00 12,000.00
Refrigerator (Pepsi) 2 20,000.00 40,000.00
Potato Peeler 1 4,000.00 4,000.00
Hot Plate for Kebabs 8 70,000.00 560,000.00
Dining Cutlery 200 2,000.00 400,000.00
Kitchen Cutlery Set 3 9,000.00 27,000.00
Office Stationery 10 200.00 2,000.00
Kitchen Gas Stove 8 65,000.00 520,000.00
Blast Chillers
Freezer 1 560,000.00 560,000.00
Emergency Lights 4 3,000.00 12,000.00
Water Dispenser 1 15,000.00 15,000.00
Total 3,440,000.00

9. Motor Vehicles:
For motor vehicles, 2 Suzuki Ravi Pickups will be purchased at a cost of 700000 while 2
Hyundai Shehzore Model 2015 will be purchased at a cost of 900000. All motor vehicles will be
fully insured.
Motor Vehicles
2 Suzuki Pickups will be purchased at the cost of 700000 1,400,000.00
2 Hyundai Shehzore will be purchased at the cost of 900000 1,800,000.00
Utilities and Salaries Expense:
The following table presents the breakup of utilities and salaries expense monthly as well as
yearly.
Utility Expenses
Bills Monthly Annually
Electricity 85000 1020000
Gas 15000 180000
Water 5000 60000
Telephone 2500 30000
Total 1290000
In this section, electricity as well as gas is to be consumed at a maximum level. While cooking
meal, it requires large amount of gas. It is to be assumed that utility expenses are to be increased
by 10% per year.
Salaries Expense
Designation Number Monthly Salary
Annual
Salary
Manager 1 50000 600000
Kitchen
Supervisor 3 20000*3=60000 720000
Cook 3 20000*3=60000 720000
Guard 2 15000*3=45000 540000
Cleaner 2 10000*2=20000 240000
Total 2820000

10. The manager will be receiving maximum salary than other as manager has a huge responsibility
of carrying all internal matters.3 kitchen supervisors, cook will be hired. And salaries will be
given according to recent changes in Income Tax Ordinance 2001. It is to be assumed that
salaries are to be increased by 10% per year.
Depreciation on Furniture & Fixture, Machinery and Motor Vehicles:
Furniture & Fixture, Machinery & Equipment and Motor Vehicles are to be depreciated by 10%
per annum using Straight Line Method.
Furniture & Fixtures At 10% per annum using Straight Line Method
Machinery & Equipment At 10% per annum using Straight Line Method
Motor Vehicles At 10% per annum using Straight Line Method
Building At 5% per annum using Straight Line Method
Revenue Generation:
In our restaurant which is located near Do Darya, it is a place, where thousands of people come
around and enjoy the taste of their meals. On an average basis, on daily basis almost 100 people
will visit the eating place daily. While filling the questionnaire from 20 respondents and when
we questioned spending per head, we found out that per head, average of 1100 will be spent for
eating places. It is assumed that our sales revenue will be increased by 16% per year. Cost of
Goods Sold will be increased by 10% per year. The following is the sales revenue generation of
Pakistani Food Restaurant.
Number of Customers to Visit average per day 100 customers per day (Average)
Average Spending Per Head Rs. 1100 per head
Total Number of Days 365 days
Total Sales Revenue generation for Year 1 40150000
COMPUTATION OF COST OF RAW MATERIALS:
According to the given calculation, by doing survey from different respondents and by doing
different interviews at Do Darya, we have found out that mostly restaurants maintain 70% of
Cost of Raw Materials. So, our restaurant will also maintain 70% of Cost of Raw Materials. And
on every Cost of Goods Sold, the company will maintain 30% of Inventory. As assumed, Cost of
Raw Materials as well as Inventory will be increasing by 10% per year.

11. Sales Amount: 40150000.00
Food Cost Goal: 70.00%
Cost of Raw
Materials 28,105,000.00
Account
Amount to
transfer
Meat 30.00% 8,431,500.00
Poultry 30.00% 8,431,500.00
Dairy 10.00% 2,810,500.00
Produce 15.00% 4,215,750.00
Frozen 5.00% 1,405,250.00
Grocery/Dry/Canned 10.00% 2,810,500.00
100.00%
Taxation:
According to the Income Tax Ordinance, 2001, since the restaurant is a sole proprietorship
restaurant, therefor 32% tax will be charged. Furthermore, Sindh Sales Tax of 14% on all
commodities will be charged. Whatever meals will be presented, that will be inclusive of Sales
Tax.
Human Resource Requirements:
Our management team will comprise of the owner who has a vast experience in entrepreneurship
and has knowledge of running a successful business. The owner has completed his MBA from
the Institute of Business Management with 3.3 GPA. He has done majors in Finance. By
studying Entrepreneurial Finance, he will have full knowledge about opening a successful
business. The manager will have pure knowledge of managing and handling internal issues. He
will be responsible for looking into the Books of Accounts of the restaurants. Cooks will be
highly experienced in cooking field. They have vast knowledge of making delicious food for the
health loving customers. Guard will be provided with equipped licensed gun, and have a training
of loading the gun. In the decades of increasing tensed law and order situations, the guards will
take full responsibility for protecting restaurant. So that people will have safer environment and
enjoy their time.
Owner 1
Manager 1
Kitchen Supervisor 3
Cook 3
Cleaner 2
Guard 2
Total 12

12. Loan Repayment Schedule:
The restaurant will take a long term loan of 6 million from Bank Alfalah after 3 years. In the
initial stages, the owner will put up land as a mortgage at bank, and against this the bank will
provide some of the collateral. The bank’s policy to finance every client is almost same. Bank
Alfalah finances those entrepreneurs who have a running business for two years and one
collateral is needed against this. Mostly Bank Alfalah put property as a mortgage. However in
some cases, the bank also keeps cash and shares as a security.
Your Requirements
Loan Amount Rs. 6,000,000
Mark-up per Year 18%
Loan Tenure (Years) 10
Payment Type (Select
one)
Annually
Grace Period 1 Year
(Select one)
Loan Overview
Grace Period
(Instalments) -
Payments per year 1
Number of Payments 10
Total Interest Paid Rs. 7,350,878
Total Loan Amount
Repaid Rs. 13,350,878

13. Loan Schedule
Instalment Opening Balance Instalment Principal Interest Closing Balance
1 Rs. 6,000,000 Rs. 1,335,088 Rs. 255,088 Rs. 1,080,000 Rs. 5,744,912
2 Rs. 5,744,912 Rs. 1,335,088 Rs. 301,004 Rs. 1,034,084 Rs. 5,443,908
3 Rs. 5,443,908 Rs. 1,335,088 Rs. 355,184 Rs. 979,904 Rs. 5,088,724
4 Rs. 5,088,724 Rs. 1,335,088 Rs. 419,117 Rs. 915,970 Rs. 4,669,607
5 Rs. 4,669,607 Rs. 1,335,088 Rs. 494,559 Rs. 840,529 Rs. 4,175,048
6 Rs. 4,175,048 Rs. 1,335,088 Rs. 583,579 Rs. 751,509 Rs. 3,591,469
7 Rs. 3,591,469 Rs. 1,335,088 Rs. 688,623 Rs. 646,464 Rs. 2,902,845
8 Rs. 2,902,845 Rs. 1,335,088 Rs. 812,576 Rs. 522,512 Rs. 2,090,270
9 Rs. 2,090,270 Rs. 1,335,088 Rs. 958,839 Rs. 376,249 Rs. 1,131,430
10 Rs. 1,131,430 Rs. 1,335,088 Rs. 1,131,430 Rs. 203,657 Rs. 0
11 Rs. 0 Rs. 0 Rs. 0 Rs. 0 Rs. 0
COMPUTATION OF WACC:
DATA RATE
Cost of debt 18%
Tax rate 32%
Weight age of debt 30%
Wight age of equity 70%
Cost of equity
Cost of equity= Rf + (Rm-Rf)*beta
Cost of equity= 0.7 + (0.18-0.7)*1
Cost of Equity = 0.18 or 18%
WACC = 0.18 * (1-0.32) * 0.3 + 0.18*0.7
WACC = 16.3%

14. COMPUTATION OF NET PRESENT VALUE, IRR AND PROFITABILITY INDEX:
NET PRESENT VALUE:
NPV
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
Cash Flows (20,000,000) 14,903,164 4,933,798 7,543,626 10,725,426 14,552,682
Discount
Rate 16.3% 16.3% 16.3% 16.3% 16.3% 16.3%
PV of Cash
Flows (20,000,000) 12,814,415 3,647,724 4,795,578 5,862,673 6,839,817
NPV 13,960,207
INTERNAL RATE OF RETURN:
IRR
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
Cash
Flows (20,000,000) 14,903,164 4,933,798 7,543,626 10,725,426 14,552,682
IRR 44%
PROFITABILITY INDEX:
Profitability Index= 1+ NPV/Cash Flow
P.I= 1+13960207/20000000
P.I=1.71
COMPUTATION OF PAYBACK PERIOD
Payback Period
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
Cash Flow (20,000,000) 14,903,164 4,933,798 7,543,626 10,725,426 14,552,682
Discounted Cash Flow
(DCF) (20,000,000) 12,814,415 3,647,724 4,795,578 5,862,673 6,839,817
Net Cumulative DCF (20,000,000) (7,185,585) (3,537,862) 1,257,717 7,120,390 13,960,207
Payback Period 2.51

15. PROFITABILITY OF AL BASIT PAKWAN & RESTAURANT:
This is the profitability of our restaurant for the next five years. According to the graphical
analysis, we have figured out that there is huge profitability with the passage of time, as it will
increase further, which will also affect our liquidity, and makes us more able to pay off debts and
invest in profitable projects. Either after 5 or more years, there will be more chances of
expanding our restaurant into a big food chain by opening its franchises in different places like
Lahore, Islamabad and overseas.
$(25,000,000.00)
$(20,000,000.00)
$(15,000,000.00)
$(10,000,000.00)
$(5,000,000.00)
$-
$5,000,000.00
$10,000,000.00
$15,000,000.00
Year
0
Year
1
Year
2
Year
3
Year
4
Year
5
Payback Period
Cash flow Breakeven
Net Cumulative DCF
-5000000
0
5000000
10000000
15000000
20000000
25000000
30000000
35000000
Year 1 Year 2 Year 3 Year 4 Year 5
Gross Profit
Net Income

16. VOS INDICATOR OF AL BASIT PAKWAN & RESTAURANT
Factor/Categories High Average Low
Industry/Market
Market size Potential 3
Venture Growth Rate 2
Market Share 2
Entry Barriers 3
Pricing/Profitability
Gross Margin 2
After Tax Margin 1
Asset Intensity 2
Return on Assets 2
Financial Harvest
Cash Flow Breakeven 2
Rate of Return 2
IPO Potential 2
Founder Control 3
Management Team
Experience/Expertise 3
Functional areas 2
Entrepreneurial Focus 2
Flexibility/Adaptability 3
Total Points by
Ranking
15 20 1
Overall Total Points 36
Average Score 2.25
INDUSTRY/MARKET:
As mentioned in the beginning, Pakistani food restaurants are increasing day by day. And
investors are finding it potential investment opportunities in this industry. In Karachi, a large
number of Pakistani Food Restaurants are being opened, and hence wider opportunities are
present. The future is potential in this category. There are potential competitors lying in this
category. Examples include My Kolachi, Al Sajjad Family Restaurant and many other that have
grabbed market share because of their quality food products. Our position is in the follower
stage, by the next 5 to 10 years, we will grab major market share, as we are planning to have an
MOU with UBL for providing discount facility on debit and prepaid cards.

17. PROFITABILITY OF YEAR 3:
Gross Profit Margin 0.34 or 34% (Average)
After Tax Margin 0.07 or 7% (Average)
Asset Intensity 1.4 times (Average)
Return on Assets 0.11 or 11% (Average)
FINANCIAL HARVEST:
According to the given calculations above, the restaurant will achieve their cash flow breakeven
in the mid of year 2, i.e. 2.54 years. As calculated above, within 2.54 years, our restaurant will
achieve its cash flow breakeven. The rate of return that we calculated above is 42%, which
indicates that the restaurant is standing at an average position. The owner will have full control
as well as authority at his restaurant. He will have that potential as he is bringing a large amount
of equity in the business to make it stand and still in the near future.
MANAGEMENT TEAM:
As mentioned earlier, the management team is well experienced. The owner of the restaurant has
a vast experience in the field of business. He has done his Master’s in Business Administration
and possesses full knowledge of entrepreneurship. The manager of the restaurant has a wide
experience in food and beverage industry. The rest of the workers including Supervisor, Cook,
and Guard are well trained. Hence, we have made a strong management team. They have that
potential to adapt to the changes, as well as they have a strong entrepreneurial focus.

18. Modes of Financing:
For opening a successful food restaurant, following are different modes of financing to be used.
Development Stage: it is the idea initiator stage. At this stage, for opening a restaurant, land will
be taken on rent, and all equity will be put up in the business. Equity includes the amount that
has been saved and some of the loan will be taken from my mother.
Startup Stage: the 2nd stage. In this, we will put up our own money. At the initial stage, no bank
will provide loans as according to the policy of the bank, banks provide loans on running
business. At this stage, we will take collateral from different banks. For this, Bank Alfalah is the
one that will support us in this business. The bank will take our property as a mortgage and will
give us collateral.
Survival Stage: the third stage, at this stage, the restaurant will grow revenue, and since it is a
growing industry, the revenues will increase quickly, in order to cover up all expenses.
Rapid Growth Stage: After a rapid profit growth in 1.5 to 4.5 years, if there is any need for
taking loan for enhancing production capabilities, then we will go for Bank Alfalah.the Bank will
grant us a long term loan at a default rate for a period of 10 years. A loan amortization schedule
has been made for repayment of loan amount. In this era, the restaurant would be in a strong
position to pay off their debts
Early Maturity Stage: At this stage, the restaurant will be expanded into a food chain as
different franchises with the same brand name will be at different places of Pakistan. the first
step will be taken at the capital of Punjab, Lahore. It is the best place of eating. A large number
of people living there are lovers of food. And Al Basit Pakwan & Restaurant will be the one that
will come up according to their expectations. After this, the restaurant will further expand their
network in different countries like Dubai, Sharjah, Abu Dhabi, Muscat and Kuwait.