wanie fast food restaurant

No.23,Spg271,KgLambakJlnBerakas,BB1314NegaraBruneiDarussalam

Tel.:2228383/Fax:2228383Website:www.isatgrp.comEmail:[email protected]

WANIEFASTFOODRESTAURANT

BUSINESS PLAN

And Feasibility Study



I. INTRODUCTIONOFCOMPANY

1.1CompanyOverview

WanieAgriculturalFarm isalocalentityestablishedandregisteredinBruneiDarussalamunderWan.KSdn.Bhd.It’sbusinessoperationwill focus in managing of Poultry Farming to ensure that all the processincludingbrooding,hatching,marketingandsaleswillbehandledanddeliveredaccordingly and effectively. Although, shortage of professional experience inPoultry Farming,Wanie is confident to make this business possible by hiringprofessional people to complement knowledge of the working force and tocomplete the farming know-how by combining each personal experience andexpertise.

WanieAgriculturalFarmistheyoungestmemberofI-SATGroupofCompanies:

• Wan.KSdnBhd.• DGCommSolutionsSdnBhd.• MYBEManagementServices• BlumantelTechnologies• I-SatTechnologies

1.2BusinessIndustry

1. BroilerMeatProductionandSupplier

2. EggProductionandSupplier

3. FastFoodRestaurantoperator



1.3OrganizationalChart



II. BUSINESSPLAN 2.1ProjectBriefThis document is made to provide the Company with potential investment opportunity in setting up and operating a new fast food restaurant offering a variety of food items to the general public. This will give an insight into various aspects of planning, setting up and operating a fast food restaurant and designed to provide relevant details to facilitate the Company in making the decision by providing various technological as well as business alternatives. This will also allows flexibility to change various project parameters to suit the needs of the fast food restaurant. Fast Food restaurant is an outlet where foods are prepared and served quickly. It is a multi-billion dollar industry, which continues to grow rapidly in many countries. A fast-food restaurant is a restaurant characterized both by food which is supplied quickly after ordering, and by minimal service. The foods in these restaurants are often cooked in bulk in advance and kept warm, or reheated when order. Many fast-food restaurants are part of restaurant chains or franchise operations, and standardized foodstuffs are shipped to each restaurant from central kitchen locations. There are also simpler Fast-food outlets, such as stands or kiosks, which may or may not provide shelter or chairs for customers. The small fast food outlet requires small capital to start a business, particularly in areas with small and medium income population. Small Fast-food restaurants have become common throughout Brunei. Generally restaurants, where the customers sit down and have their food orders brought to them, are also considered fast food. This kind of fast food restaurant is the one that WANIE wants to establish. This kind of fast food restaurant has a bigger range of market, relying heavily on the changing lifestyle patterns, population growth of the target age group and the related increase in employment. With today's hectic lifestyles, time-saving products are increasingly in demand the most obvious being the fast food restaurants. People do not want to spend a lot of time preparing meals and traveling to buy raw foods, as a result, consumers rely on fast food. Knowing that fast food provides with new ways to market their products that save time for consumers. Fast Food restaurants in Brunei have been doing really well and they are expanding gradually. Definitely, we will expect the opening of more new Fast food chains in Brunei in the future.



2.2TheFastFoodIndustryThe fast-food industry is popular everywhere, the source of most of its innovation, and many major international chains are based there. The presence of most popular fast food chains like McDonalds, KFC, Jollibee, Pizza Hut, Kenny Rogers, etc. have somewhat catered to the high income segment therefore developing a role as upscale fast food restaurants. Multinational corporations such as these typically modify their menus to cater to local Bruneian tastes and most overseas outlets are owned by native franchisees to ensure that cultural, ethnic, and community values are taken care of. Additionally, these fast-food chains are not the only or even the primary source of fast food in most cities. Many regional and local chains have developed around the main cities as well, (like Ayamku, RBC Express, Tasconi’s Pizza, etc.) to compete with international chains and provide menu items that appeal to the unique regional tastes and habits at comparatively low costs. Multinational chains are considerably more expensive; they usually are patronized because they are considered classy and somewhat glamorous and because they usually are much cleaner than local eateries. However much of the middle-income segment which forms a major portion of fast food goers prefers visiting local outlets that offer low cost fast food, hence more frequent visits.

Fast-food outlets have become popular with consumers for several reasons. One is that through economies of scale in purchasing and producing food, these companies can deliver food to consumers at a very low cost. In addition, it can be comforting to a hungry person in a hurry or far from home. 2.3 The Future of the Industry The Bruneian economy is becoming increasingly service-oriented, and over the past several years, the food service industries that offer the highest levels of convenience have been rewarded with strong sales growth. In the face of rising population, incomes and increasingly hectic work schedules, higher demand for convenience will continue to drive good sales. Fast Food Outlets will strive to find ways to make their products even more accessible. Even if incomes stagnate or attitudes change, consumers are unlikely to return to meal preparation at home on a large scale. This suggests that even if consumers choose to spend more time at home, for family or other reasons, much of the meal preparation will still occur elsewhere. Many more table service restaurants, which traditionally focus on full-service in house dining, will likely try to capture part of this market by offering take-out, and possibly experimenting with home delivery. The value of consumer time, as well as the demand for consistent, high-quality food products, will continue to shape the fast food industry. Fast food, once considered a novelty, has become an increasingly significant part of the young generation’s diet. The future growth of the rest of the foodservice industry will be driven in large part by its ability to find new ways to save consumers’ time.



2.4 Key Success Factors Whether opening a one-of-a-kind restaurant or trying to grow an existing restaurant into a multi-unit chain, there are winning principles that can help shape a restaurant and improve its chances of succeeding. 2.4.1) Conceive the “Winning” Concept A well-defined concept stands a much better chance of long-term success than some indefinite concept. To start, it is wise to first set specific goals and decide on the ways you will measure your restaurants success. 2.4.2) Longetivity This can be described as the art of being able to maintain success over time while adjusting to meet the changing demands and buying habits of the customer. To open a restaurant successfully and become profitable is one thing, but to maintain that success over a long period of time is “winning.” 2.4.3) Consistency To not simply open a restaurant, but to truly develop a winning concept requires implementing systems and procedures to ensure consistency of your operation. 2.4.4) Market Appeal All restaurants want to be busy but winning concepts seem to have a broad appeal and well developed “points of difference” that enable them to dominate their market niche. To be the first place the customer thinks of going when choosing to dine out is the goal of the winning concept. 2.4.5) Expandability Consistency of quality and service, and operating systems and management procedures established in the first unit can result in more expandable opportunities where all systems are already developed and waiting to be implemented. 2.4.6) Menu Pricing One of the most important factors in the strategic planning of a restaurant is in the development of the menu. It involves designing an appealing selection of menu items that are competitively priced in the marketplace. Menu pricing is a very tricky task because you need to price items so that you can operate profitably and, just as important, offer your targeted guests a good price relationship. 2.4.7) Selecting Prime Location The specific location within your target area also is critical. If you are situated in a rarely traveled area or at the back of a mall, you limit your earning potential. Even if you are the only outlet in town you must measure the likelihood of outsiders visiting your restaurant. 2.4.8) Market Research This is probably the most critical factor for running a successful fast food restaurant. You need to visit fast food outlets and other chains to see how your ‘concept’ would fit into the planned target market. Talk to customers to know their preferences, some detailed meetings with restaurant managers would do the trick in obtaining best practice and information.



2.5 Opening a Successful Fast Food Restaurant From food stands to burger and steakhouses more and more restaurants are popping up in cities every now and then. Since restaurants are such a common business venture, people must enjoy running them. However, all of those advantages come at a price - building a restaurant from scratch is not an easy task. It is a hard and expensive process, and the reality is that many restaurants fail in their first year due to improper planning. But rest assured, there are ways to reduce the risk of becoming one of them. 2.5.1 Experience Many successful restaurateurs have said that the best way to prepare for owning a restaurant is by working in one, hopefully in an eatery similar to one you'd like to open. You will learn more than just how to serve food; you can learn marketing, menu development, payroll, and other significant components of the restaurant world. 2.5.2 Know Your Target Market Knowing your target market before you start planning will not only help you solidify your menu; it will help determine your location, décor and the overall atmosphere of your restaurant. A family-style restaurant, which caters to parents and their kids, may not appeal to seniors. On the other hand, an upscale, quiet restaurant offering a two-hour dining experience wouldn't be appealing to teenagers or families with small children. 2.5.3 Service Style & Food Concept Typically, service style would be fast-food, which offers food types that range from fried chicken, rice, burgers, fries, soups and sandwiches. Choosing your food concept goes hand in- hand with your choice in service style. 2.5.4 Develop a Business Plan A restaurant will need a concise business plan. This plan should include but is not limited to: the overall concept and goal of the restaurant; specific financial information and projections; a description of the target market; the menu and pricing; equipment and employee details; advertising and marketing plan; and a potential sales strategy. 2.5.5 Create a good “Menu” The menu can make or break a restaurant, and should be in accordance with the overall concept of the restaurant. Revisit the business plan to make sure the menu is attractive to the target market, affordable within specified budget, and complements the restaurant's design concept. For example, if the restaurant is family-friendly, you will need a kids’ menu.



2.5.6 Choose Location & Layout It is important to find a location that has a continuous stream of traffic, convenient parking, and is in proximity to other businesses. The concept of the whole restaurant is very important factor. The layout and design of the interior should be taken into account including dining room, kitchen space, storage space and counter. Typically, restaurants allot up to 60 percent of their space to the dining area, 30 percent to the kitchen and preparation area, and the remainder to storage and office space.

2.5.6.1· Dining area - Much of dining room design will depend on your concept. It will help you to know that up to 50 percent of all sit-down customers arrive in pairs; 30 percent come alone; and 20 percent come in groups of four or more. To accommodate the different groups of customers, use tables for four that can be pushed together in areas where there is ample floor space. This gives you flexibility in accommodating both small and large parties.

2.5.6.2 Production area - Too often, the production area in a restaurant is inefficiently designed, the result is a poorly organized kitchen and poor service. Keep your menu in mind as you determine each element in the production area. You'll need to include space for receiving, storage, food preparation, cooking, baking, dishwashing, production passages, trash storage, employee facilities and an area for a small office where daily management duties can be performed. Arrange the food production area so that everything will be accessible to the cook. The design should also allow for two or more cooks to be able to work side by side during rush hours.

2.5.7 Proper Funding The business plan will help to recognize how much money will be needed to start a business. There are several ways to raise a capital to start business, including taking advantage of government programs that cater to upstart small business enterprise; using assets as collateral for bank loan; or encouraging a family or friend to become a creditor. 2.5.8 Be Familiar With Safety Regulations Restaurants are regulated and subject to inspection, and failing to be up to speed with these regulations could be detrimental to the fast food outlet. Therefore it is necessary to consult with other restaurateurs to become familiar with the necessary legal requirements. 2.5.9 Hiring the Right Employees One of the biggest challenges restaurants face is a lack of qualified labor. In order to get and retain qualified employees, make sure that pay scales relate clearly to the job's duties and responsibilities. A Company should provide a constant training and orientation to the staffs. 2.5.10 Sales & Market Strategy Every business needs a comprehensive marketing plan, and restaurants are no exception. After determining your marketing budget, make out advertising, like flyers and in newspapers to make people aware of your product variety, like foods, drinks, etc.



III. BUSINESS OBJECTIVES 3.1 Business Goal

Wanie Fast Food, which will be located within the business district of Brunei, will be a family-oriented, clean fast food offering variety of foods to cater both local and some foreign taste. Some of our proposed menu includes fried chicken, rice, sandwiches, assorted drinks, desserts and a variety of Asian foods.

The management main goal is to provide excellent quality food selection, superior customer service and to create healthy and safe environment to clients and the city. By being involved in the daily operations of the restaurant, Owners can use their individual experience in the service industry to directly impact the quality of customers' stay. Through an improved and professionally run operation, our guests will be sure to experience a pleasant atmosphere each time they visit.

The clientele that we wish to attract will cover all age group including students, blue and white-collar work-force, and their families, who want a reasonably priced alternative to fine dining restaurants.

3.2 Sales and Marketing Program We will exert much time to create a unique establishment, by virtue of being different from others so that we can get higher percentage of customers. Together with the improved parking, lighting, and general appearance of the building, we will transform the place into a comfortable eating establishment.

Our sales strategy requires consistently providing a high quality meal, in a clean establishment, served quickly and efficiently. We will interact with our customers personally so that their feedback goes directly to owners. These customers will become a regular patronage, who in return, will tell their friends about the pleasant experience they had at Wanie Fast Food. The potential for nationwide exposure is promising.

For our marketing program, we anticipate at least 1% of sales for advertising and promotions each year. This amount will be used for distribution of flyers, local newspaper advertisements and and posters, all of which will be designed to develop and increase public awareness of Wanie Fast Food.

3.3 Future Scope

The fast food will be build with the consideration of its expansion as the profits built up, it will branch out. After its presence in some areas of Brunei, the objectives will be revised in consideration of converting it into a Restaurant chain.



IV . COMMERCIAL CONSIDERATION

4.1 Capital Investments



4.2 Financial Analysis & Key Assumptions The projected costs for the proposed fast food outlet that is included in this plan are on the basis of Industry trends. The projections cover the cost of general expenses, renovation and improvement, kitchen equipment, machineries, delivery equipment, inventory, etc. The specific assumptions relating to individual cost components are given as under: 4.2.1 Revenue & Cost Projections The Sales are expected to increase by 7% every year while the cost of raw materials and salary is assumed to increase by 5% annually. The 7% annual increase in revenue is expected to result from a part increase in population and part increase in product price. All other expenditures are assumed to increase by 2% annually. The Cost of Sales is projected at 30% of total Sales. The prices used to calculate the gross revenue earned are based on the various products selling price charge to the customer. 4.2.2 General Expenses The requirement on the General expenses is based on salaries, supplies, ads & promo, rental and utilities for at least six months of operation. 4.2.3 Pre-operating Cost Pre-operating cost is consists of renovation and improvements, cooking equipment, kitchenware, machines, furniture and delivery equipment subject for depreciation. Understanding the customer’s individual needs and the capability to satisfy them completely is a vital part of the restaurant’s success. This is in turn dependent on the machinery and equipment used to produce good quality fast food. The typical fast food restaurant would require the following machine and equipment for its operations.



4.2.4 Working Capital It is estimated that an additional fund will be required as cash in hand to meet the working capital requirements for the first six months of operation. This will be use for purchasing of raw materials such as fresh chicken meat, rice, assorted soft drinks and condiments. 4.2.5 Loan & Interest Charges It is assumed that long-term Bank loan for 10 years will be obtained in order to finance the fast food setup which would include general expenses, construction & improvement of Building, Purchase of machinery & equipment, purchase of inventory etc. This facility would be required at a rate of 3% per annum, over a period of 10 years. 4.2.6 Depreciation of Fixed Assets Depreciation of Construction and Improvements, Machinery and Equipment including Furniture & Fixtures is assumed to be at the period of ten (10) years, using straight-line method. 4.2.7 Maintenance All machines require routine inspection, cleaning and maintenance after every three months and an annual service, which is very important so as to avoid early retirement of any machine. We have assumed an average of .25% of sales as the annual maintenance cost.

wanie fast food restaurant

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