The business plan proposes opening a Latin American grocery store to serve the local Hispanic population. The store will source authentic products from various Latin American countries. It aims to become a regional chain known for its products, service, and community commitment. The owners will have an LLC structure and advisory board. Market research found the local area has a 44.4% Hispanic population. Financial projections estimate annual revenue growth and profitability within five years.

1. Group- 2
Business Plan
By Myrtha Aiumu - Yosmar Castillo
Radhika Shinde – Neeraj Rao - Thomas Van Horn
Professor : Brent Ward

2. The Business Concept is to bring all Latin cuisine into a fresh
local market in . We want to be able to sell authentic
food items from Latin American countries that
are not easy to find at a regular supermarket.

3. Vision
To become a regional chain renowned for our grocery
products, services, and commitment to our customers and
employees.

4. VisionandMissionStatement
MissionStatement
To provide an exceptional grocery shopping experience that
enriches the lives of individuals and families as they shop for,
and enjoy quality, fresh, authentic Latin food.

5. Market Research
• Hispanic population accounts
for 24.9% of Florida's
population.
• We narrow down to our location
to the zip code: 32822 with
44.4% of Hispanics
• Average consumer won’t drive
more than 8.03 minutes from
their home to the grocery store.
• Median household income of
$50,900.

6. Description of Product/Services
Fresh farmed, fished and packaged Latin American food from
Latin cultures around the world.
Specific products from different Latin American countries.
From South America, Central American and the Caribbean.

7. Value Proposition
Specialized spices, packaged products, unique and hard to find
items from different Latin countries (changed)
In store shopping assistance
Online ordering with delivery/pick-up options

8. Form of Business Organization
LLC Managing Member organizational structure. We
have chosen this structure due to the benefits that are
passed down to the individual owners.
Ownership
100% divided up between five people. Of the five
people two will be passive investors.
60% will be distributed between managing members
and 40% would be divided between the passive
investors.
Create an advisory board of experts to meet twice
per month to mentor the owners.

9. Industry Overview
2016 revenues were 604.22 billion US
dollars
 The annual revenue growth rate was
2.78%.
It is estimated that the annual compound
growth rate will be 3.94% through year
2024.

10. Industry Analysis
• Increasing competition
• Increasing annual sales growth
•Increasing trend of purchasing
groceries online
•Latin Americans spending more
during shopping trips and cooking
at home

11. Porters five forces

12. Industry SWOT

13. Overall Assessment of the Industry
The barriers in entering the supermarkets and grocery stores
industry are reasonable. The high initial investment makes it
stand out. The industry also faces the 4 most important trends
that it will have to keep up with the competition in the coming
years;
Permanent shift to value seeking among consumers
Rise of technology-enabled shopping
Greater online encroachment
Format and merchandise innovation.

14. Porters Five forces

15. Target Markets

16. Promotional Program
Age of Social Media. Facebook, Twitter,
Instagram: @ElMercadoFresco
Spanish broadcast in
Orlando
“Every Door Direct Mail”

17. Competitive Analysis

18. Distribution
Contacts and
relationships with many
distributors from Latin
American countries.
From farms: sweet
plantains, and even
cheese produced locally.
PRODUCT COUNTRY DESCRIPTION PHOTO
Harina
P.A.N
Venezuela Pre-cooked white corn flour.
Merken Chile A smoked chili pepper.
Rocoto
Pepper
Peru Red hot pepper paste.
Mate Argentina,
Uruguay,
Paraguay
A caffeine-rich infused drink.
Sodas Various Sodas from different Latin
American countries. Different
flavors.
Coconut
Milk-Coco
Lopez
Puerto Rico A sweet, milky white cooking
base derived from the meat of
a mature coconut.
Chiverre Costa Rica Typical fruit used to make all
kinds of sweet dishes.
GOYA USA Largest Hispanic-owned food
company in the United States.
Founded by immigrants from
Spain.

19. Supply Chain Management

20. Facilities
Zip code area 32822 Orlando, Florida.
Aisles will be arranged according to
products origin, classification and
demand.
Buy or rent a warehouse for storage of
inventory and other merchandise.

21. President
Vice Presidents
Assistant Store managers
2 team lead supervisors
10 Part time employees
College Students part time?
Personnel Required

22. Organization Chart

23. Equal Employment Opportunity
Musculoskeletal Disorders (MSDs)
Safe Food handling, OSHA 300, 301 Injury and illness
information
Workers compensation and Employee reports of problems
Injury concern training for employees
Training Requirements

24. One interim performance review at 6 months.
Annual performance review at 12 months.
Employee to HR-VP for disputes supervisor can’t resolve.
HR-VP has final say in disputed annual reviews.
Performance Reviews

25. Financials
Financials

26. Sales Forecast
Monthly Sales for
2019
Years 2019 - 2023
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
0
50000
100000
150000
200000
250000
300000
350000
0
210686
240784
240784
270882
210686
240784
210686
240784
240784
331078
331078
Months
Total
Revenue
2019 2020 2021 2022 2023
2600000
2700000
2800000
2900000
3000000
3100000
3200000
2835216
2906096.4
2978748.81
3053217.53
3129547.97
Years
Total
Revenue

27. Start Up Costs
Total Start Up Costs:
$101,163.72

28. Typical Expense Breakdown
Total Expenses Costs for 2019:
$657,598

29. Income Statement Expense Trend
2019 2020 2021 2022 2023
590,000.00
600,000.00
610,000.00
620,000.00
630,000.00
640,000.00
650,000.00
660,000.00
670,000.00
657,597.78
615,088.17 615,469.95
633,084.56
645,448.33
Years
Total
Expenses

30. Operating Expenses vs. Cost of
Goods Sold
Cost of Goods Sold; 79.61%
Total Expense; 20.39%

31. Operating Income for 2019 - 2023
2019 2020 2021 2022 2023
(60,000)
(40,000)
(20,000)
-
20,000
40,000
60,000
80,000
100,000
(37,595)
63,606
80,191 79,968
85,431
Years
Operating
Income

32. Retained Earnings Statement

33. 2019 2020 2021 2022 2023
(50,000)
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
(24,401)
76,800
353,378
99,848 105,003
Operating Cashflow
Years 1 - 5
2019 2020 2021 2022 2023
(300,000)
(250,000)
(200,000)
(150,000)
(100,000)
(50,000)
-
(251,668.62)
- - - -
Cashflow from Investing Activities
2019 2020 2021 2022 2023
(100,000)
(50,000)
-
50,000
100,000
150,000
200,000
250,000
200,000
(50,885)
(64,153) (63,975) (68,345)
Cashflow from Financing Activities
2019 2020 2021 2022 2023
(100,000)
(50,000)
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
(76,069)
25,915
289,225
35,873 36,659
(76,069)
(50,154)
239,071
274,944
311,602
Net Annual Cash Flow and Cash Balance
Years 1 - 5
Net Cash Flow Cash Ending Balance

34. Break Even Point in Sales($)
2019 2020 2021 2022 2023
2,500,000
2,600,000
2,700,000
2,800,000
2,900,000
3,000,000
3,100,000
3,200,000
3,300,000
3,400,000
3,500,000
2,835,216
3,122,050
3,200,101
3,280,103
3,362,106
3,007,132
2,829,458 2,831,214
2,912,243
2,969,117
Sales Break Even Point in Sales

35. Ratio Analysis

36. Payback Period
Contributed Capital:
$200,000 = 40,000 * 5
investors
Payback Period:
2+(250,154/289,225)
= 2.86 years or 2.9 years

37. Investment Summary

38. Technology

39. References

40. References

41. References