CasperTM A BUSINESS PLAN
Table of ContentsAcknowledgement...................................................................................................................................3
Executive Summary.................................................................................................................................3
1.1 Objectives......................................................................................................................................3
1.2 Mission..........................................................................................................................................3
1.3 Keys to Success..............................................................................................................................3
Company Summary.................................................................................................................................3
2.1 Start-up Summary..........................................................................................................................3
Situation (Environmental) Analysis Summary..........................................................................................3
Services....................................................................................................................................................3
Market Analysis Summary.......................................................................................................................3
4.1 Market Segmentation....................................................................................................................3
4.2 Target Market Segment Strategy...................................................................................................3
4.3 Service Business Analysis...............................................................................................................3
4.3.1 Competition and Buying Patterns...............................................................................................3
Strategy and Implementation Summary..................................................................................................3
5.1 Competitive Edge...........................................................................................................................3
5.2 Marketing Strategy........................................................................................................................3
5.3 Sales Strategy.................................................................................................................................3
5.4 Milestones.....................................................................................................................................3
5.5 Web Plan Summary.......................................................................................................................3
Management Summary...........................................................................................................................3
Financial Plan...........................................................................................................................................3
7.1 Important Assumptions.................................................................................................................3
7.2 Projected Cash Flow......................................................................................................................3
7.3 Break-even Analysis.......................................................................................................................3
7.4 Projected Profit and Loss...............................................................................................................3
7.5 Projected Balance Sheet................................................................................................................3
Appendix.................................................................................................................................................3
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AcknowledgementWe are so grateful to our course instructor Mr. Laique Ahmed for assigning this project. We will be glad to prepare this business plan under the guidance of our respectable teacher.
The cost data given in this report should not be taken as exact, as cost of land, building, machinery and other equipment, raw material etc are changing from time to time. Therefore the cost data will depend on location of the project and other influencing an environmental factor. However, every effort has been made by us to give correct cost data.
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Executive Summary‘CasperTM’ is an exciting, new business with a unique approach to helping people enjoy home cooked meals at their offices. The company will serve the corporate market of Lahore. The service offerings are quite a change relative to the existing food market which is quite stagnant. This idea is based at affordable cost and high quality food delivery at your doorsteps during lunch hours and off days/late sitting hours. CasperTM offers creative, colorful, and unusual food options as well as the traditional standbys on the basis of monthly, bi-yearly or yearly agreement.
CasperTM will inject new life into the food market, leveraging the best chefs’ culinary skills and services to develop creative new cuisine options for the corporate world.
Although CasperTM is new in market and fewer resources but due to new cost reduction oriented ideas and services which are more demanded by people we have chances to grow in future and we can continue this business and have ability to fulfill our valued customers’ demands with our new idea to exist in market in future.
CasperTM offers several advantages to its target market:
Relatively inexpensive meal preparation: Rs. 100-125 per person meal (Aprox.) Fun, social, homemade taste atmosphere. Convenient: eat our home taste prepared meals at your work place, when you do
not want to have junk food. Saves time: no shopping, no prep, no clean up. Special menus and transportation assistance make meals easy. And, best of all, not having to decide "What's For Lunch?"
The purpose of this plan is to lay the foundations of the company's vision, philosophy, and strategy, to ensure that we know where we are going and how to get there.
1.1 Objectives
The objectives for the first three years of operation include:
To create a service-based company whose primary goal is to exceed customer's expectations.
To increase the number of client's served by 25% per year through superior service. To develop a sustainable start-up business. To develop enough cash flow to pay all salaries as well as grow the business.
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1.2 Mission
CasperTM is a specialized business that provides a variety of people with the opportunity to have health conscious, yet savory meals even at work place. The purpose of this process is to both optimize the time investment needed to prepare the quality of meals that CasperTM will become known for, within the clients' current schedules, and also for them to practice the proper health conscious behavior that has become the target lifestyle of a health deficient society.
CasperTM will provide a unique and distinctive service that will unite a home-like atmosphere with
professional food preparation that will attract a growing repeat customer base. CasperTM will allow companies and busy professionals the ability to have homemade taste food, away from home, thus giving people more of what they are looking for - time.
Our goal is to be a self-sustaining corporate enterprise within 3 years from the company's inception to begin expanding our menu offerings within 3 months and its location offerings within 4 years.
In short, we will be in the business of helping our customers to relieve their daily stresses of what to fix for their lunch by providing them with a great menu choice of meals that they will get.
1.3 Keys to Success
The keys to success in this business are:
Creating a high level of customer satisfaction in our service and products, which will lead to customer retention each month.
Marketing: getting our name out to the public, primarily through an intensive marketing campaign driven by our customers (word of mouth) with a supplemental vehicle of standardized and conventional marketing tactics.
Great product quality and variety that will be used to aid in customer retention and growth.
Finances: as our customer base increases we will be better able to lower our supply costs by buying more in bulk through food service distributors.
Variety of menus offered based on seasons, trends and customer preferences. Exceeding our customers' expectations by offering them a higher quality of food for
a competitive price. Casper’s website will be an efficient and convenient place for customers to register
and get the valuable knowledge about health and food.
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Company SummaryCasperTM is a unique business where companies will get home-made taste like meal on periodic (monthly/bi-yearly or yearly) bases, depending on the agreement, at their doorsteps. CasperTM will serve companies of 20-300 personnel with high-end foods that are currently only available in a couple of areas of Lahore. CasperTM will offer a large menu repertoire, from traditional favorites to creative inventions. All of the food and drink items served will be done under strict supervision of the international standards of Health and Food safety.
All of the planning, shopping, food preparation and containers are provided with no worries to the customer. The meals will be prepared in a home like atmosphere where customers will have delivered their meals and have a good time with friends, colleagues at work place.
Our goal is to provide our customers with home cooked meals that they will enjoy during work, while saving them time and effort and relieve stress from that age-old question of “What's For Lunch?”
The scheduling aspect of our company will be combination of a standard walk-up scheduling procedure, a phone messaging service and an intensive highly-interactive e-commerce website that will allow the customer to not only schedule meal plan, parties but also to pay online, using standard secure technology.
2.1 Start-up Summary
CasperTM will incur the following start-up costs:
Rent expenses for building and van include a deposit and rent for one month.
Utilities expenses for one month.
Sales & Marketing expenses including stationery, brochures, outdoor signage.
Website development.
Office, kitchen and janitorial supply expenses.
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The required start-up assets of PKR 70,000 include:
Kitchen Equipment (long-term assets): Two commercial stoves with ovens. Dishwasher. Two sets of cookware. Two sets of dishware
Preparation Tables (long-term assets)
Cooking utensils
Various Kitchen Utensils
Assorted serving trays and utensils, knives and cutting boards (two each).
Computer and small business software and Printer
Initially we will rent Building and delivery van.
Please note that the following items which are considered assets to be used for more than a year will be labeled long-term assets and will be depreciated using G.A.A.P. approved straight-line depreciation method.
The following chart and table summarize the start-up assumptions.
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Start-up Requirements:
Start-up Expenses PKR (00)
Legal 500
Stationery etc. 150
Marketing Material 150
Rent 0
Other 0
Total Start-up Expenses
800
Start-up Assets PKR (00)
Cash Required 36,700
Other Current Assets 0
Long-term Assets 32,500
Total Assets 69,200
Total Requirements 70,000
Start-up Funding PKR (00)
Start-up Expenses to Fund 800
Start-up Assets to Fund 69,200
Total Funding Required 70,000
Assets PKR (00)
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Non-cash Assets from Start-up 32,500
Cash Requirements from Start-up 36,700
Additional Cash Raised 0
Cash Balance on Starting Date 36,700
Total Assets 69,200
Liabilities and Capital
Liabilities PKR (00)
Current Borrowing 0
Long-term Liabilities 0
Accounts Payable (Outstanding Bills) 0
Other Current Liabilities (interest-free) 0
Total Liabilities 0
Capital PKR (00)
Planned Investment
Susan 35,000
Family and friends 35,000
Other 0
Additional Investment Requirement 0
Total Planned Investment 70,000
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Loss at Start-up (Start-up Expenses) (800)
Total Capital 69,200
Total Capital and Liabilities PKR 69,200
Total Funding PKR 70,000
2.2 Company Ownership
CasperTM is a partnership owned by Gull-e-Raana, Ahsen Ali, Saira Ashruf, Samra Shahadi and H.M. Usman Akram.
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Situation (Environmental) Analysis Summary
In this analysis CasperTM is analyzed with external environment which includes Political/legal, Economical, Social and Technological aspects.
Keeping in mind political factors, careful steps against government regulations are taken.
Budget is maintained according to economical issues like inflation.
Food at CasperTM is adjusted according to the social requirements.
Advance technology will be adapted with the passage of time.
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ServicesCasperTM will provide its customers with home cooked meals at their workplace. The service will be for the business concerns specifically for Lunch, Off days/Late sittings food facility provided to its employees’. Furthermore, services can also be provided for special official occasions and/or parties.
These meals will be chosen from a set menu designed weekly and/or by us and the meals will be prepared in our location. All of the planning, shopping, food preparation, recipe directions and containers will be provided to help make it as easy as possible for our customers to enjoy their food at their workplace.
The Key benefits our customers will receive from using CasperTM are:
Less money on eating out – it keeps you from being tempted to eat out Home style meals & better eating Able to sit down at the table together as a family – including conversation and
socialization Clean up is easy, because prep is done outside the workplace, and all meals come
in disposable containers We create the menus – order the ingredients – slice, dice, chop and prepare
Our menus and portion sizes are tailored for the group and individual customers. CasperTM
will serve a wide variety of dishes.
This is offered for two reasons.
1. The larger repertoire of menu items is a benefit to the customers.
2. A custom selection is required because the companies have different budgets.
Some of the menu offerings selection will be traditional Pakistani meals such as ‘Handi (Chiken, Mutton or Beef), Karri, Saag, seasonal vegetables, chapatti, and rice. More continental and chine’s dishes will also be offered to appeal to the higher end, more discriminating customers. Selection of menu will be of customer’s choice and we’ll provide the food on agreed rate as per agreement period.
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Market Analysis SummaryThe Lahore cuisine market for corporate sector is an interesting one. There are several caters that offer services that are quite similar to each other in terms of price and menu options. For the reason, people want homemade food at their work place, especially at lunch, instead of junk and full of spices food from the market there has been a demand by consumers at corporate sector. CasperTM will occupy a niche in the corporate market that offers new, creative menu items, broadening people's conception of food at corporate sector.
Though there are no exact replicas of our company there are some types of companies that we would have to consider to be indirect competitors. These include such companies and service professionals as caterers and those charges very high for the specific services. CasperTM, at this time, has few direct competitors, with exception to area restaurants and your basic home cooked meal at the workplace during lunch hours. At the inception of CasperTM there will be no type of company like ours in the area, thus giving us the overwhelming competitive advantage of first entry.
The CasperTM market is primarily in the commercial area of Lahore: Gulberg, Joher Town, Model Town and DHA. We will be focusing on providing food in those companies that have more than ten persons and would prefer yearly or bi-yearly contract.
4.1 Market Segmentation
CasperTM has distinct target meal hours as follows:
1. Lunch Time:Most of the working people are getting bored of having junk or market made (full of spices) food at their lunch time. They direly need homemade taste meal at lunch times. Some of the working people bring their food from home, while coming to offices in the morning, but it get cold at the time when they need to eat it. For this reason, our main focus is the delivery of fresh, hot and homemade taste lunch at the work place.
2. Late sitting/Off days working hours:
This group of workers have to stay late at work place for their designated duties/projects or assignments. People do not have enough time to go outside and have their meal. For their convenience, food can be also provided.
3. Special Occasions:
Companies’ get-togethers, parties, dinners would also be served with prestigious services. Companies will prefer CasperTM food services instead of getting another caterer.
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Potential Customers Growth
Lunch hours customers
12%
Late sitting/off days working customers
5%
Other 8%
Total 25%
4.2 Target Market Segment Strategy
These target market segments were chosen based on their greater need for our services. Working people are very busy, and they can end up spending a great deal on fast food and junk food because they don't have time and sources to get the healthy meals from home or dine in outside and may not have the skills or desire to plan and cook entire meals at home just for themselves; they can spend a lot on going out to eat. Options like "Meals on Wheels" are generally last-resorts, and many would prefer alternate food preparation arrangements, if any were available at a reasonable price - fixed incomes can be hard on the palate.
Our marketing strategies for all groups will emphasize our relatively inexpensive, fun, and easy approach to having healthy meals even at work place. We will vary our serving sizes, menu options, and level of preparation for each group; Different sized companies have different needs, and it will be our goal to look to accommodate most family sizes through our variations in serving size.
The main objection most potential customers will raise is cost – PKR 100-125 seems like a lot of money, up front, for a new, untested service. This is why we are starting our marketing and sales campaigns with established groups of companies, at a price reduction. These consumers already have experience socializing with each other, and our service will be an exciting change of pace in their calendars. We anticipate that these initial positive experiences will generate significant word of mouth and produce referrals so we can say to potential customers, "don't just take our word for it - go ask people who've tried us!"
4.3 Service Business Analysis
Our service is unique among meal delivery options at corporate sector. There are no direct competitors for CasperTM. The closest competitors are professional caterers who,
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sometimes, deliver old food saved from last evening ceremony. They do not take care of hygiene and health issues of someone.
Our indirect competitors are area restaurants. These include family-oriented, inexpensive diners and casual restaurants, as well as fast food and takeout. We will generally not be competing with upscale restaurants, since those are "special occasion" locations, and do not fulfill working personnel’s' daily meal needs. Secondly, our target market segments cannot afford and like readymade, junk and fast food.
Our competitor restaurants compete on price, perceived convenience, and atmosphere. They succeed when they convince customers that going out to eat is an affordable "treat" that is easier and more pleasant than having meal at office. In truth, the restaurants with the lowest prices also offer poor quality food and atmosphere. For all customers, the time it takes to get ready, travel to a restaurant, order meal, eat, pay, and get office make going out to a eat a full-evening's commitment - hardly the convenience it claims.
With the introduction of CasperTM to the Lahore’s commercial market, we will revolutionize the way that the community looks at eating at office convenience. Our prices really are much lower than restaurant meals, with much higher quality meals. In addition, our "convenience" comes in two ways - preparing meals at a set time, outside the daily routine, so they are ready in advance, and eating and minimal clean-up right in the customer's own place, which saves time and energy for the long working day.
4.3.1 Competition and Buying Patterns
Even though CasperTM has no direct competitors, we will set up our business as if we are entering an already aggressive and hostile market. This is aimed at helping us to become successful through a constant drive for increased service model efficiencies and marketing effectiveness. We will strive to excel in customer service excellence, continuing our menu varieties and achieving the highest standards for our food products. As owners, we feel that word of mouth and customer retention are significant factors in our success. Our convenient locations, sanitary facilities, competitive pricing structure and honorable reputation will all play a part in satisfying our customers and increasing our clientele at an accelerating rate. CasperTM will focus on these factors and always strive to improve our business model and service offerings. We will strive to be the very best in our industry and will not rest until we not only have the largest market share in our industry, but also have the most satisfied customers.
The buying patterns of our customer base will be affected by our initial meal prep party prices. We have concluded through our exhaustive focus market groups that we could set our prices high, since there is no direct competitor, but we feel that to attract and retain customers and be able to steadily grow our customer base, so we should price ourselves at a lower level first. By setting ourselves at the lower end of our pricing range, we will not only
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gain the attention of the vast majority of our target markets, but we will also be able to start our revenue streams off with an upward growth pattern. The price that we will choose will be reasonable for our customers and be adequate for the business to maintain a gross margin around 25%.
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Strategy and Implementation SummaryCasperTM? will gradually gain market share in the four focal commercial markets (Gulberg, Joher Town, Model Town and DHA) by leveraging its competitive edges. These edges are superior attention to detail in the local food service market, a revolutionary food-servicing outlook and excellent nutritional meals at competitive price. These advantages have been unavailable in this market for some time. We will market our services with a targeted advertising campaign and networking.
5.1 Competitive Edge
CasperTM will begin with a critical competitive edge: we have no direct competitors in the commercial area. By being the first-mover and (for at least a while) the only service of our kind, we will have the initial market buzz that is normally reserved for the first company of its kind into a given market. Our positioning is very hard to match, but only if we maintain focus on our strategy, marketing, business development, and fulfillment of quality and customer service will we be able to continually grow and outpace the "copy-cat" businesses that are sure to follow our market lead. We are aware that the tendency to relax due to lack of competition could weaken our competitive edge. CasperTM will be operated as if our direct competitors were conducting the same service business that we are in and we will be looking for additional enhancements to our operating procedures from day one.
In addition to our unique positioning, we offer the following advantages to our customers:
High quality meals Relatively low prices Time saving meal delivery Reducing mess in customers' premises Saving them from that perennial problem of deciding, "What's for Lunch?"
5.2 Marketing Strategy
As a food service business, our main goal is to provide high quality food with excellent customer service. Our challenge as a new company is to quickly establish a reputation for such quality among our potential markets. With this in mind, the initial focus of our marketing strategy will be to get our name and reputation out to the public to create "buzz." Creating brand recognition for our new concept will be the first measurable milestone in our marketing strategy.
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This will be one of the most important factors when measuring success within the first couple of months after inception. The basis for our ideology is simple; the more people that hear our name and become familiar with our services, the more people will use it. The marketing campaign will involve a targeted advertising campaign, different specials to entice the customers to try our business and a very intense networking campaign. All of these tactics will be used to help gain a loyal clientele aimed at fostering our happy customer base.
At start-up, we will begin a focused advertising campaign toward target segments in our geographical area. We will update our advertising campaign regularly to fill in gaps based on follow-up research: do people recognize our name? Do they know what we do? What is their impression of our services' costs and quality?
Marketing campaigns will work via:
Local area newspapers that are viewed by our target market. Direct mail advertisements/flyers to our target market purchased through a direct
mailing company with lists specifically of our target market. Various flyers and pamphlets that will be available at many shopping centers and
grocery stores throughout the (commercial) area. Yellow pages advertisement. Dynamic website. Registered keyword searches that will lead to our website. Various Radio advertisements. Various event sponsorships.
Coupled with the advertising campaign will be a systematic offering of discounted specials to attract more customers. This could be very important to potential customers because the cost of PKR 1,000 for 10 meals is very appealing to companies that have used our service before, but companies may be skeptical to buy this much food and invest that much money in something they have never tried. For that reason, our business will offer periodic specials to companies to help limit their fears and open their eyes to the wonderful atmosphere at CasperTM.
CasperTM will also have a networking campaign that will start with the owner's contacts and friends attending our first months' meal deliveries. This will be the "word of mouth" campaign that will feature:
Special discounts to return customers when referring new customers.
5.3 Sales Strategy
In the food service business, as in any customer service intensive business, sales revenue is our lifeblood. The way in which we present ourselves to our customers and deal with the
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public will determine the success of our business. The food service industry is facilitated by repeat business and referrals. In order to continuously compete against other food providers, we need to enhance our repeat customer service business by making this our main sales focus. We cannot expect to have a satisfied customer by selling them one month's of meals and then never seeing them again. We must make our sales strategy revolve around making the customer's experience with us the best it possibly can, and further, making every effort to get our current customer base to visit us again. It is much more expensive to get new customers than to keep the customers you already have. Our customers cannot stop eating, but they could stop using our services. We will be selling our service to our current customers each time they come, in order to have repeat business and new business through their word of mouth.
These are just a few of the ways we will sell to our customers to gain repeat business and word of mouth advertising:
High levels of customer service; friendly, comforting and entertaining Good variety of menus from which to choose The best quality of foods and ingredients A follow up and reminder program for our current customers that will be done
through email and mail. Focus a specific portion of our advertising campaign on getting our repeat customers
to come back and visit us Allow our best repeat customers to get special quantity specific discounts. Enlist a comprehensive and highly interactive e-commerce initiative to help to
accommodate our customer's payment and scheduling options.
The CasperTM website will serve as a productive and consistent selling tool. Our website will be set up to explain what we offer and the many benefits customers will receive for using our meal delivery services. The website will help "close the sale;" customers will be able to register for the meal delivery services options they would like to receive and accepting payments online. This will be our main source of registrations for perspective customers. The ease of use allowed by the Internet will be key to driving our customer pipeline. Our sales and marketing campaigns will help focus our customer traffic through our website, so that people can see how easy it will be to interact with our company. This element of efficiency will also help enhance our bottom line by allowing for a 24 hour customer service mechanism without having to keep a customer rep staffed all the time.
5.4 Milestones
The accompanying table lists important program milestones, with dates and budgets for each. The milestone schedule indicates our emphasis on planning for implementation. What the table doesn't show is the commitment behind it. Our business plan includes
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complete provisions for plan -vs. - actual analysis, and we will follow-up often to discover variances and course corrections.
CasperTM will have several milestones, including:
1. Business plan completion. This will be done as a roadmap for the organization. This will be an indispensable tool for the ongoing performance and improvement of the company.
2. Building set up. 3. Our first meal prep party. 4. Profitability.
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Milestones:
Milestone Start Date End Date Budget PKR (00)
Manager Department/Company
Business Plan Completion
1/7/2009 1/9/2009 2500 Gull Administration
Site Selection 22/8/2009 1/9/2009 0 Gull Administration
Architect Designs 20/7/2009 1/9/2009 50,000 Gull Administration
Licensing 9/1/2003 10/1/2009 5000 Gull Administration
Site Construction 9/15/2003 12/15/2009 0 Gull Administration
Website Design 10/1/2009 15/12/2009 10,000 Gull Web Development
Business Funding Secured
1/9/2009 30/12/2009 0Gull
Administration
Site Set-Up 1/11/2009 1/15/2010 0 Gull Administration
First Party 15/1/2010 30/1/2010 0 Gull Administration
Profitability 1/1/2010 1/12/2010 0 Gull Administration
Totals 67,500
5.5 Web Plan Summary
The CasperTM website will be the virtual business card, party scheduler and payment acceptance source all rolled into one. It will showcase our services and highlight the benefits of using our company. The website will be a crucial portal for party scheduling, as well as having availability cross-referenced with party menus. Customers will also use this website to register for their food delivery contract and pay for them using PayPal, which accepts MasterCard, Discover Card, Visa, or e-checks.
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Management SummaryCasperTM is just like a small community and firm respects its community of co-workers and tries to treat all workers well. Therefore, firm is not very well hierarchal at this level, all workers including proprietor treated equally. We do not anticipate the need to hire anyone else on a full time basis during the first year, because all of the services that a normal small business needs will be outsourced. These services include the e-commerce infrastructure, accounting, marketing, and legal services.
We do plan to employ following part-time employees from the beginning to help.
Cooks: 1 Servers: 2 Back kitchen help: 1
Our existing contacts with local social and community groups, and Kim's ongoing relationships with food distributors, specialty grocers, and high-end clients will all help to generate high sales from early in the first year.
Throughout the first two years we will conduct an aggressive cost analysis as to what our capabilities are as owners and with what activities we need assistance.
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Financial Plan CasperTM expects strong sales, based on research into our target market, similar businesses in other parts of the country, lack of direct competition, and the experience, reputations, and know-how of its owners/managers. By steadily growth, we will generate a net profit midway through the first year and increase net worth. Our major fixed expenses are payroll and rent (for building, delivery van).
7.1 Important Assumptions
The following table details important financial assumptions
2009
Plan Month 1
Current Interest Rate 10.00%
Long-term Interest Rate
10.00%
Tax Rate 30.00%
Other 0
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7.2 Projected Cash Flow
The following chart and table will indicate projected cash flow.
Pro Forma Cash Flow
2009
Cash ReceivedAmount
PKR
Cash from Operations
Cash Sales 178,439
Subtotal Cash from Operations 178,439
Additional Cash Received 0
New Current Borrowing 0
New Other Liabilities (interest-free) 0
New Long-term Liabilities 0
Sales of Other Current Assets 0
Sales of Long-term Assets 0
New Investment Received 0
Subtotal Cash Received 178,439
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Expenditures
2009
AmountPKR
Expenditures from Operations
Cash Spending 132,120
Bill Payments 75,198
Subtotal Spent on Operations 207,318
Additional Cash Spent
Principal Repayment of Current Borrowing 0
Other Liabilities Principal Repayment 0
Long-term Liabilities Principal Repayment 0
Purchase Other Current Assets 0
Purchase Long-term Assets 0
Dividends 0
Subtotal Cash Spent 207,318
Net Cash Flow (28,879)
Cash Balance 7,821
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7.3 Break-even Analysis
The following table and chart show our Break-even Analysis.
Break-even Analysis
Monthly Revenue Break-even PKR 20,362
Assumptions:
Average Percent Variable Cost 30%
Estimated Monthly Fixed Cost PKR14,254
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7.4 Projected Profit and Loss
The following table will indicate projected profit and loss.
Pro Forma Profit and Loss 2009PKR
Sales 178,439
Direct Cost of Sales 53,532
Other Production Expenses $0
Total Cost of Sales 53,532
Gross Margin 124,907
Gross Margin % 70.00%
Expenses
Payroll 132,120
Sales and Marketing and Other Expenses 1,800
Depreciation 6,504
Leased Equipment 0
Utilities 600
Insurance/ licenses 1,800
Rent 8,400
Payroll Taxes 19,818
Other 0
Total Operating Expenses 171,042
Profit Before Interest and Taxes (46,135)
EBITDA (39,631)
Interest Expense 0
Taxes Incurred $0
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Net Profit (46,135)
Net Profit/Sales -25.85%
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7.5 Projected Balance Sheet
The following table will indicate the projected balance sheet.
Pro Forma Balance Sheet
Assets 2009
Current Assets
Cash 7,821
Other Current Assets 0
Total Current Assets 7,821
Long-term Assets
Long-term Assets 32,500
Accumulated Depreciation 6,504
Total Long-term Assets 25,996
Total Assets33,817
Liabilities and Capital2009
Current Liabilities
Accounts Payable 10,752
Current Borrowing 0
Other Current Liabilities 0
Subtotal Current Liabilities 10,752
Long-term Liabilities 0
Total Liabilities 10,752
Paid-in Capital 70,000
Retained Earnings (800)
Earnings (46,135)
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Total Capital 23,065
Total Liabilities and Capital 33,817
Net Worth 23,065
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Appendix
Personnel Plan
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Gull 0% $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
Consultant 0% $0 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000
Cook 0% $0 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800
Cook 0% $0 $0 $0 $0 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800
Server 0% $0 $840 $840 $840 $840 $840 $840 $840 $840 $840 $840 $840
Server 0% $0 $0 $0 $0 $840 $840 $840 $840 $840 $840 $840 $840
Backend kitchen helper
0% $0 $840 $840 $840 $840 $840 $840 $840 $840 $840 $840 $840
Backend kitchen helper
0% $0 $0 $0 $0 $840 $840 $840 $840 $840 $840 $840 $840
Total People
1 5 5 5 8 8 8 8 8 8 8 8
Total Payroll
$3,000 $8,480 $8,480 $8,480 $12,960 $12,960 $12,960 $12,960 $12,960 $12,960 $12,960 $12,960
Pro Forma Profit and Loss
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Sales $0 $6,068 $7,768 $10,556 $12,275 $14,670 $15,983 $17,849 $19,551 $21,464 $25,16
1 $27,09
4
Direct Cost of Sales $0 $1,820 $2,330 $3,167 $3,682 $4,401 $4,795 $5,355 $5,865 $6,439 $7,548 $8,128
Other Production Expenses
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Cost of Sales $0 $1,820 $2,330 $3,167 $3,682 $4,401 $4,795 $5,355 $5,865 $6,439 $7,548 $8,128
Gross Margin $0 $4,248 $5,438 $7,389 $8,592 $10,269 $11,188 $12,494 $13,686 $15,025 $17,61
3 $18,96
6
Gross Margin % 0.00% 70.00% 70.00% 70.00% 70.00% 70.00% 70.00% 70.00% 70.00% 70.00% 70.00% 70.00%
Expenses
Payroll $3,000 $8,480 $8,480 $8,480 $12,960 $12,960 $12,960 $12,960 $12,960 $12,960 $12,96
0 $12,96
0
Sales and Marketing and Other Expenses
$150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150
Depreciation $542 $542 $542 $542 $542 $542 $542 $542 $542 $542 $542 $542
Leased Equipment $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Utilities $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50
Insurance/ licenses $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150
Rent $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700
Payroll Taxes 15% $450 $1,272 $1,272 $1,272 $1,944 $1,944 $1,944 $1,944 $1,944 $1,944 $1,944 $1,944
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Operating Expenses
$5,042 $11,344 $11,344 $11,344 $16,496 $16,496 $16,496 $16,496 $16,496 $16,496 $16,49
6 $16,49
6
CasperTM Page 32
Profit Before Interest and Taxes
($5,042) ($7,096) ($5,906) ($3,955) ($7,904) ($6,227) ($5,308) ($4,002) ($2,810) ($1,471) $1,117 $2,470
EBITDA ($4,500) ($6,554) ($5,364) ($3,413) ($7,362) ($5,685) ($4,766) ($3,460) ($2,268) ($929) $1,659 $3,012
Interest Expense $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Taxes Incurred $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Net Profit ($5,042) ($7,096) ($5,906) ($3,955) ($7,904) ($6,227) ($5,308) ($4,002) ($2,810) ($1,471) $1,117 $2,470
Net Profit/Sales 0.00% -
116.94% -76.04% -37.46% -64.39% -42.45% -33.21% -22.42% -14.37% -6.85% 4.44% 9.12%
CasperTM Page 33
Pro Forma Cash Flow
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Cash Received
Cash from Operations
Cash Sales $0 $6,068 $7,768 $10,556 $12,275 $14,670 $15,983 $17,849 $19,551 $21,464 $25,161 $27,094
Subtotal Cash from Operations
$0 $6,068 $7,768 $10,556 $12,275 $14,670 $15,983 $17,849 $19,551 $21,464 $25,161 $27,094
Additional Cash Received
Sales Tax, VAT, HST/GST Received
0.00% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Other Liabilities (interest-free)
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Long-term Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales of Other Current Assets
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales of Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Investment Received $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Received $0 $6,068 $7,768 $10,556 $12,275 $14,670 $15,983 $17,849 $19,551 $21,464 $25,161 $27,094
Expenditures Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Expenditures from Operations
Cash Spending $3,000 $8,480 $8,480 $8,480 $12,960 $12,960 $12,960 $12,960 $12,960 $12,960 $12,960 $12,960
Bill Payments $50 $1,588 $4,159 $4,680 $5,528 $6,700 $7,408 $7,808 $8,366 $8,878 $9,470 $10,562
CasperTM Page 34
Subtotal Spent on Operations
$3,050 $10,068 $12,639 $13,160 $18,488 $19,660 $20,368 $20,768 $21,326 $21,838 $22,430 $23,522
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Principal Repayment of Current Borrowing
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Liabilities Principal Repayment
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Long-term Liabilities Principal Repayment
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Purchase Other Current Assets
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Purchase Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Dividends $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Spent $3,050 $10,068 $12,639 $13,160 $18,488 $19,660 $20,368 $20,768 $21,326 $21,838 $22,430 $23,522
Net Cash Flow ($3,050) ($4,000) ($4,871) ($2,604) ($6,214) ($4,990) ($4,385) ($2,918) ($1,775) ($375) $2,731 $3,573
Cash Balance $33,650 $29,650 $24,779 $22,174 $15,961 $10,971 $6,585 $3,667 $1,892 $1,517 $4,248 $7,821
CasperTM Page 35
Pro Forma Balance Sheet
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
AssetsStarting Balances
Current Assets
Cash $36,700 $33,65
0 $29,650 $24,779 $22,174 $15,961 $10,971 $6,585 $3,667 $1,892 $1,517 $4,248 $7,821
Other Current Assets
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Current Assets
$36,700 $33,65
0 $29,650 $24,779 $22,174 $15,961 $10,971 $6,585 $3,667 $1,892 $1,517 $4,248 $7,821
Long-term Assets
Long-term Assets
$32,500 $32,50
0 $32,500 $32,500 $32,500 $32,500 $32,500 $32,500 $32,500 $32,500 $32,500 $32,500 $32,500
Accumulated Depreciation
$0 $542 $1,084 $1,626 $2,168 $2,710 $3,252 $3,794 $4,336 $4,878 $5,420 $5,962 $6,504
Total Long-term Assets
$32,500 $31,95
8 $31,416 $30,874 $30,332 $29,790 $29,248 $28,706 $28,164 $27,622 $27,080 $26,538 $25,996
Total Assets $69,200 $65,60
8 $61,066 $55,653 $52,506 $45,751 $40,219 $35,291 $31,831 $29,514 $28,597 $30,786 $33,817
Liabilities and Capital
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Current Liabilities
Accounts Payable
$0 $1,450 $4,004 $4,497 $5,306 $6,454 $7,149 $7,529 $8,070 $8,564 $9,119 $10,191 $10,752
Current Borrowing
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Current Liabilities
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Current Liabilities
$0 $1,450 $4,004 $4,497 $5,306 $6,454 $7,149 $7,529 $8,070 $8,564 $9,119 $10,191 $10,752
Long-term Liabilities
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Liabilities
$0 $1,450 $4,004 $4,497 $5,306 $6,454 $7,149 $7,529 $8,070 $8,564 $9,119 $10,191 $10,752
Paid-in Capital $70,000 $70,00
0 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000
Retained Earnings
($800) ($800) ($800) ($800) ($800) ($800) ($800) ($800) ($800) ($800) ($800) ($800) ($800)
Earnings $0 ($5,042
)($12,138) ($18,045) ($21,999) ($29,903) ($36,130) ($41,438) ($45,440) ($48,250) ($49,721) ($48,605) ($46,135)
Total Capital $69,200 $64,15
8 $57,062 $51,155 $47,201 $39,297 $33,070 $27,762 $23,760 $20,950 $19,479 $20,595 $23,065
Total Liabilities and Capital
$69,200 $65,60
8 $61,066 $55,653 $52,506 $45,751 $40,219 $35,291 $31,831 $29,514 $28,597 $30,786 $33,817
Net Worth $69,200 $64,15
8 $57,062 $51,155 $47,201 $39,297 $33,070 $27,762 $23,760 $20,950 $19,479 $20,595 $23,065
Note:CasperTM Page 36
All figures are in PKR (00)
Company Profile
Company Name: CasperTM
Type of Business: Food Supplier specifically for corporate sector
Head Office: Lahore
Legal Form of ownership: Registered Partnership
Contact Person: Gull-e-Raana
Contact Number: +92 345 6514449
CasperTM Page 37