Positioning Statement
For the people of any age who likes being healthy, the Green Diner is great place to start being healthy. This diner will help you learn everything you need in order live a healthy lifestyle such as:
- Portion Control
- Being Organic
- Learning the Food Groups
Introduction to Financials
Prices of the Parts of The Green Diner:
This page is about the financials of the diner and what we found was that the Red Roof of the diner would cost around $229.99 in total. Also, we researched that a truck/shipping container cost around $1800 to $5000 and by getting 3 truck/shipping containers for $5000, the price in total would be exactly $15,000 in total. Next, the third part of the diner are the solar panels. The solar panels would cost $9,485 to $12,495 and if we were to buy 3 solar panels for $12,495, the total amount for getting the solar panels would be $37,485. Also, the prices of getting the panels in installed range from $2.71 to $3.57.
So, the total amount for making the diner is: $37,485 + $15,000 + $229.99 = $ 52,714.99
So, the total amount for making the diner is: $37,485 + $15,000 + $229.99 = $ 52,714.99
Financials
In our business plan, we will we would have 14 employees. Four employees will be the drink servers and they are going to be paid $2.13 per hour for the ones who get paid $30 per month in tips. Also, the employer who paying the employees, is required to increase the cash wages if the tips and wages do not add up equally to the federal minimum wage of $7.25. Next, nine employees will be the chefs and the chefs will be paid $19.95 per hour. Lastly, the manager of the diner will be paid $10 per hour.
The total amount for the payroll of all the employees weekly and yearly is:
(Morning Shift (Noon/Night Shift
Employees) Employees)
$192.48 + $256.64 = $449.12 x 7 weeks = $3,143.48 in total
$3,143.48 x 12 = $37,716
The total amount for the payroll of all the employees weekly and yearly is:
(Morning Shift (Noon/Night Shift
Employees) Employees)
$192.48 + $256.64 = $449.12 x 7 weeks = $3,143.48 in total
$3,143.48 x 12 = $37,716
Pricing Strategy
Kitchen
The kitchen/interior is the important of the diner. But, how much does it cost to install a kitchen and to create the interior of our diner? Well, for installing a kitchen we need cabinets to store stuff like flour and spices and if we brought 6 cabinets, it would cost around $1,478.33. Also, along with the cabinets, we need stoves and an oven, which would cost around $10,999 in total. Next, for the utensils, a set of utensils cost $52.78 and if we bought 2 utensil sets, it would cost around $105.56 in total. Another part of the kitchen that we need is a cleaning station $437. 97. Lastly, the last thing we need is an ice box which cost around $2,250.00. So, the total amount for the kitchen section of the diner is: $14,832.89 |
The menu of the Green Diner has been created, but the prices of each item of the menu have not been created, so let us tell you what the prices are. The items on the Entries Section of the Menu averages around $6 to $13, which would cost around $90 to $195 for the menu. Also, the Breakfast Section of the Menu is around $6 to $10 and that would cost around $36 to $60 in total for the menu . In addition to the entries, sides cost $2 and that would cost around $10 in total for the menu. Lastly, the drinks would cost would cost $5 and around $25 in total for the menu.
The total amount for the menu: $195 + $90 + $6 + $10 + $10 + $25 = $ 336 on average
Interior/Dining Section of the Diner
Now that we have the kitchen section of the diner accounted for, lets price the Dining Section of the diner. In the dining section, we are going to have 7 small dining tables and each table cost around $81. 75 and that is a total of all of that is $572.25. Also, along with the small dining tables, we are going to have 4 big dining tables that will cost around and it will cost around $1,011.04. Next, the maximum occupancy of the diner is 39 people and we are going to have 39 chairs in total and that will cost $2141.88 in total.
So, the total for that chairs and tables is: $3,725.17
Energy
Energy is very important to our diner because it power everything in our diner like the kitchen. One way we can we can get energy is the sun. We can install solar panels and according to first section of this page, the price for getting solar panels install costs $2.71 to $3.57 and by install three big solar panels, it would cost $10.11. Also, another thing that we need for energy just in case there is no sun, another option is a back up generator. A back up generator cost $634.99 and if we got two, it would cost $1,269.98. Lastly, to install lighting, it would cost $100 and if was installed 5 lights in the dining area and 3 lights in the kitchen area, it would cost $800 in total.
The total cost for energy is: $2,080.09
Food Supplies
Another important part our diner is getting the food for our menu. For the meat for our diner, we would buy off a website called Organic Prairie. The meat on the website is all organic. An example of their organic meat is the Premium Organic New York Strip Steak which is $78.81 for 4 and $153. 99 for 8. Another example is the Premium Organic Steak Burger Patties which is $72.89 for Two 2-lb. pkgs. / 12 Steak Burger Patties , $137.49 for Four 2-lb. pkgs. / 24 Steak Burger Patties, and $264.89 for Eight 2-lb. pkgs. / 48 Steak Burger Patties. If were to buy 5 Eight 2-lb. pkgs. / 48 Steak Burger Patties from Organic Prairie, it would cost $1,324.45 and if we bought 4 Two 2-lb. pkgs. / 12 Steak Burger Patties, it would cost $291.56 in total. Next, we need spices and flour and if were to buy a spice with all spices set, it would cost $27.99 and if we were to buy four 5 lbs. of flour from a place like Walmart, a 5 lbs. of flour will cost $1.88 and if we bought four, it would cost $7.52. Also, the most important food supplies that we need are like fruits, vegetables, milk, and etc. Fruits like organic strawberries from Spouts cost $3. 49 and if brought ten 10 oz. packs, it would cost $34.04. Also, 128 f oz. milk at Spouts cost $2.39 and if we bought 15 jugs, it would cost $35.85 in total. Next, vegetables from Spouts like carrots cost $0.99 and if we bought 6 lbs. of carrots, it would cost $5.94. Lastly, one more food supply needed that is very important is bread. An example is Wheat Hamburger Bun 8 Pack, 13 OZ which cost $2.99 and if we bought 40 packs, it would cost $119.06.
So total of amount of the supplies listed cost: $488.03
Projected Profit and Loss
Finally, the most important thing of this financials is profiting. An example of making profit is if we by burger patties for $5 and hamburger buns for $3 and make a burger, we wouldn't make that the burger $8, we would raise it $9 per burger. Another example is if make quesadilla and the ingredients to make it cost $10 in total, we would make the quesadilla $10, we would raise it up to $12. This is beneficial because if we raise the price a little high than it supposed to be when brought the ingredients that made it, we would able to make more money than usual. Also, with this method we would make a lot of within a year and a half if we kept making raise the price a little.
The total amount for the menu: $195 + $90 + $6 + $10 + $10 + $25 = $ 336 on average
Interior/Dining Section of the Diner
Now that we have the kitchen section of the diner accounted for, lets price the Dining Section of the diner. In the dining section, we are going to have 7 small dining tables and each table cost around $81. 75 and that is a total of all of that is $572.25. Also, along with the small dining tables, we are going to have 4 big dining tables that will cost around and it will cost around $1,011.04. Next, the maximum occupancy of the diner is 39 people and we are going to have 39 chairs in total and that will cost $2141.88 in total.
So, the total for that chairs and tables is: $3,725.17
Energy
Energy is very important to our diner because it power everything in our diner like the kitchen. One way we can we can get energy is the sun. We can install solar panels and according to first section of this page, the price for getting solar panels install costs $2.71 to $3.57 and by install three big solar panels, it would cost $10.11. Also, another thing that we need for energy just in case there is no sun, another option is a back up generator. A back up generator cost $634.99 and if we got two, it would cost $1,269.98. Lastly, to install lighting, it would cost $100 and if was installed 5 lights in the dining area and 3 lights in the kitchen area, it would cost $800 in total.
The total cost for energy is: $2,080.09
Food Supplies
Another important part our diner is getting the food for our menu. For the meat for our diner, we would buy off a website called Organic Prairie. The meat on the website is all organic. An example of their organic meat is the Premium Organic New York Strip Steak which is $78.81 for 4 and $153. 99 for 8. Another example is the Premium Organic Steak Burger Patties which is $72.89 for Two 2-lb. pkgs. / 12 Steak Burger Patties , $137.49 for Four 2-lb. pkgs. / 24 Steak Burger Patties, and $264.89 for Eight 2-lb. pkgs. / 48 Steak Burger Patties. If were to buy 5 Eight 2-lb. pkgs. / 48 Steak Burger Patties from Organic Prairie, it would cost $1,324.45 and if we bought 4 Two 2-lb. pkgs. / 12 Steak Burger Patties, it would cost $291.56 in total. Next, we need spices and flour and if were to buy a spice with all spices set, it would cost $27.99 and if we were to buy four 5 lbs. of flour from a place like Walmart, a 5 lbs. of flour will cost $1.88 and if we bought four, it would cost $7.52. Also, the most important food supplies that we need are like fruits, vegetables, milk, and etc. Fruits like organic strawberries from Spouts cost $3. 49 and if brought ten 10 oz. packs, it would cost $34.04. Also, 128 f oz. milk at Spouts cost $2.39 and if we bought 15 jugs, it would cost $35.85 in total. Next, vegetables from Spouts like carrots cost $0.99 and if we bought 6 lbs. of carrots, it would cost $5.94. Lastly, one more food supply needed that is very important is bread. An example is Wheat Hamburger Bun 8 Pack, 13 OZ which cost $2.99 and if we bought 40 packs, it would cost $119.06.
So total of amount of the supplies listed cost: $488.03
Projected Profit and Loss
Finally, the most important thing of this financials is profiting. An example of making profit is if we by burger patties for $5 and hamburger buns for $3 and make a burger, we wouldn't make that the burger $8, we would raise it $9 per burger. Another example is if make quesadilla and the ingredients to make it cost $10 in total, we would make the quesadilla $10, we would raise it up to $12. This is beneficial because if we raise the price a little high than it supposed to be when brought the ingredients that made it, we would able to make more money than usual. Also, with this method we would make a lot of within a year and a half if we kept making raise the price a little.
Original Price: $8 -----------------------------------------------------------> New Price: $10
Projected Balance Sheet/Projected Cash Flow
Now that we have the financials for the whole diner, lets calculate the moneymaking of the diner :
(Making of the Diner) $ 52,714.99
(Payroll a week) $3,143.48
(Payroll a year) $37,716
(Milestones) $20,074
(Menu) $ 336
(Groceries) $488.03
(Energy) $2,080.09
Total Money: $79,180
This amount of money is important because it shows the average amount in a 1 and half span into business of the Green Diner.
Now that we have all the financials of the entire diner, lets put a price on the Green Diner.
(Making of the Diner) $ 52,714.99
(Milestones) $20,074
Total Price of the Diner: $72,788.99
Sales Strategy
Sales are important to every establishment, company, and etc. One strategy to make sales in order to have an competitive advantage is introducing new offers like for when it's your birthday, you get 10% off you meal. Another offer can be having unlimited drinks for just 10 dollars. In addition, another offer we can give to people is if pay with a Green Diner coupon that says anything like "When you buy a family meal, you 20% off that purchase." This means that if a family has a bill of $56.77 and pay with the coupon, the family they had will only cost $11.35. This is important because it gives a marketing advantage towards other food establishments.
Examples of Sales that we will use:
- Birthday Offers
- Coupons
- Meal Offers
Milestones
Milestones are basically improvements to companies, restaurants, and etc. One milestone that we can have is that we can have iPads for people to order food and drinks on and they can choose whether to be served by conveyor belt or waiter. Also, an iPad cost from $329 to $799 and that would cost around $12,784. Another milestone that we can have is the conveyor belt around the diner for people who are sitting near the belt. A conveyor belt cost $45 per foot. So, if we were to buy 162 feet of small conveyor belt, it would cost around $7290.
So, the total amount for the new improvements is: $12,784 + $7290 = $20,074
iPads Conveyor Belt
Assumptions
Some of the assumptions that we have made about our diner is that it will do very. We think this because people would really like to eat at a place where they can eat the food that is unhealthy but actually healthy for you.
Here is a list of assumptions that we made:
Some of the assumptions that we have made about our diner is that it will do very. We think this because people would really like to eat at a place where they can eat the food that is unhealthy but actually healthy for you.
Here is a list of assumptions that we made:
- We will getting more money from the food that we create
- We will get a $100,000 to $200,000 budget in 2-3 years.
- We will use that money to promote our diner such as creating TV ads and that will cost $200 to $1,500
- We will reach top of establishments in about 7 years.
Break Even Analysis
Break even Analysis is a business tools used to manage costs. This tool is used to make sure that the money spent is not more than money gained. The money we spend on ingredients, utilities, and payroll is $40, 284 and we make about $100,00.
Revenue Streams
Our income for the amount of good we sale on average is $336 per day. Also, if get $336 per day and multiply it by the 7 days of the week, it will add up to total amount of:
$336 x 7 days = $2, 352 per week of the amount of goods we sold
$336 x 7 days = $2, 352 per week of the amount of goods we sold
Sales Forecast
Sales Forecast is a method to estimate future sales. In the Green Diner's future, sales will begin to increase as two years go by. With the sales increasing, our income will also increase. Also, we put that money to good use and make improvements to our diner. Lastly, we can use these method to see how we can bring in new customers by creating a new item on the menu such as Baked Potato.
Business Ratios
Now that we have all our financials in place lets calculate our ratios for our income:
39 x 336 = 131304 (Food and Guests)
131304 x 7 = 91728 (Total)
Total amount of money we get from customers: $ 91,728
39 x 336 = 131304 (Food and Guests)
131304 x 7 = 91728 (Total)
Total amount of money we get from customers: $ 91,728