Prezi

Present Remotely

Send the link below via email or IM

Copy

Present to your audience

Start remote presentation

  • Invited audience members will follow you as you navigate and present
  • People invited to a presentation do not need a Prezi account
  • This link expires 10 minutes after you close the presentation
  • A maximum of 30 users can follow your presentation
  • Learn more about this feature in the manual

Do you really want to delete this prezi?

Neither you, nor the coeditors you shared it with will be able to recover it again.

DeleteCancel

Make your likes visible on Facebook?

Connect your Facebook account to Prezi and let your likes appear on your timeline.
You can change this under Settings & Account at any time.

No, thanks

Cupcake Business plan

No description
by audrey swanson on 13 February 2013

Comments (0)

Please log in to add your comment.

Report abuse

Transcript of Cupcake Business plan

A business plan by Audrey Swanson Create-A-Cupcake Industry Overview Financial Projections A creative opportunity for patrons to decide exactly how their dessert tastes
Three main cupcake flavors, 15 frostings, 20 toppings
Gone are the days of cookie-cutter cupcakes, say hello to custom cupcakes the customer will love everytime!
Open 7 days a week: 11-6 pm Sunday-Thursday and 11-10 pm Friday and Saturday
LLC with Mother-daughter team, all of startup costs provided by them
Daughter will manage FOH operations, mother BOH

Market Overview Business Description Create-A-Cupcake Mission:
To ensure that each guest receives prompt, professional, friendly and courteous service. To maintain a clean, comfortable and well maintained premises for our guests and staff. To provide an opportunity to create your own dessert at a fair price. To create an atmosphere of fun and liveliness. To be a location guests would be proud to introduce a friend to. To ensure that all guests and staff are treated with the respect and dignity they deserve. To thank each guest for the opportunity to serve them Serve Bellevue, Nebraska and create a target market of both men and women
Business will target all ages, specifically men and women 25-40 and families
Bellevue, NE population: 50,000+, 51% women 49% men, median resident age=35 years. Grown 13% since 2000
Average income= $55,000
Crime in Bellevue relatively low, encourage the growth of families moving there
14% of all sales spent on retail and food and beverage
Competition from:
Drizzles Bakery
Summer kitchen Cafe
Uptown Bakery
Direct Competition:
Cupcake Island: Specializes in cupcakes, 18 miles away, .25 cents more than our cupcakes, closed Sundays
Jones Bros Cupcakes: specialized in cupcakes & other baked goods, 13 miles away, competes with time and price Business Opportunity Premier location for a new cupcakery, no direct competition for 13 miles
No place in country let alone NE with similar business concept
Great place for an end to a date! within walking distance of only movie theater in Bellevue, located in strip mall with other retailers and grocery stores so part of one-stop shopping for customers
Marketing done through flyers and inserts to homes within 5 miles, done by RSVP Nebraska
All logos, employee uniforms, and restaurant decor designed by owners
Only two paid employees initially (assistant baker and cashier) at minimum wage, save on labor cost
Return on investment high, initial investment should be returned within 2 years
Affordable start up cost of $21,000
Building rennovations only $10,000 as space is already suited to operation, decor and equipment $11,000 because small operation with few tables and chairs
Restaurant placed in small 900 sq/ft space, keeps utilities and rent costs down Income Statements 2016 2014 2015 Income Statement Year 1 Projections
Avg Ticket: 5.75 ( Two cupcakes and a drink)
Guests/week: 250 (35 a day) Weekly Annual Revenue %
Revenue: $ 1,437.50 $ 75,000 100%
Food Cost: $12,750 17%
Labor Cost
Labor (at 7.35/hr) $735 (100 hours) 38,220 51%
Other Cost:
Insurance $3,500 3.3%
Rent ($6/sf) $5,400 5.1%
Utilities ($1/sf) $ 10,800 10.2 %
Marketing $3000 2.8%
Miscellaneous $2500 2.4%
Total Other cost: $ 25,200 24%
Profit $ 6,000 8%


Assumptions
Income tax and Deprecation are not calculated


Income Statement Year 2 Projections
Avg Ticket: 5.75 ( Two cupcakes and a drink)
Guests/week: 300 (50 a day) Weekly Annual Revenue %
Revenue: $ 1,725 $ 90,000 100%
Food Cost: $15,300 17%
Labor Cost
Labor (at 7.35/hr) $735 (100 hours) 38,220 42%
Other Cost:
Insurance $3,500 3.3%
Rent ($6/sf) $5,400 5.1%
Utilities ($1/sf) $ 10,800 10.2 %
Marketing $1500 1.6%
Miscellaneous $2500 2.4%
Total Other cost: $ 25,200 23%
Profit $ 16,200 18%

Assumptions
Income tax and deprecation are not calculated
Increased guest count because of branding
Reduction in marketing due to brand awareness




































Income Statement Year 3 Projections

Avg Ticket: 5.75 ( Two cupcakes and a drink)

Guests/week: 350 (50 a day) Weekly Annual Revenue %

Revenue: $ 2,012.50 $ 105,007 100%

Food Cost: $17,851 17%

Labor Cost

Labor (increase to $8/hr) $800 (100 hours) 41,600 40%

Other Cost:

Insurance $3,500 3.3%

Rent ($6/sf) $5,400 5.1%

Utilities ($1/sf) $ 10,800 10.2 %

Marketing $3000 2.8%

Miscellaneous $2500 2.4%

Total Other cost: $ 25,200 24%

Profit $19,951 19%



Assumptions

Income tax and deprecation are not calculated

Increased guest count because of branding

Average for hourly increased to $8/hr

Increase in marketing to stay Fresh and lively in mind of consumer

Overall increase in profit due to increased sales Projected Balance Sheet
Create-A-Cupcake

Assets: Year 1 Year 2 Year 3
Cash $6000 $16,200 $19,951
Inventory $2730 $2730 $2730
Furniture, fixtures, Kitchen equipment $11,000 $11,000 $11,000
Building Improvements $10,000 $10,000 $10,000
Total assets: $29,730 $39,930 $43,681

Liabilities
Accounts Payable $2,730 $2,730 $2,730

Owner’s Equity
Owner’s investment $21,000 $21,000 $ 21,000
Retained earnings 0 0 0
Income $ 6,000 $16, 200 $ 19, 951
Total Liabilities and Owner’s Equity $29,730 $39,930 $43,681

Projected Statement of Cash Flows
Create-A-Cupcake

Plus: Year 1 Year 2 Year 3
Net Profit $6,000 $16,200 $19,951
Change in A/P $2,730 0 0
Capital Investment $ 21,000 0 0

Less:
Change in Inventory $2,730 0 0
Fixed Assets $21,000 0 0

Subtotal $ 6,000 $16,200 $19,951
Cash Balance $6,000 $ 36,151 $ 56,102



Appendices Organizational Chart Owners FOH Manager
(Audrey Swanson) BOH Manager
(Lorraine Swanson) Cashier/Crew member Assistant Baker Equipment/Inventory estimations Equipment estimation:
•All equipment will be bough used:
•Commercial Mixer………………………………..$950
•Commercial oven………………………………… $1200
•3 Compartment sink………………………………………$450
•Measuring spoons and cups, mixing bowls, utensils……………..$250
•Baking pans………………………………………………$150
Total: $3000

Calculation of starting Inventory Costs:

•Yellow cake mix: 4.59 per 5 lb bag, 100 bags..$459
•White Cake mix: 4.59 per 5 lb bag, 100 bags.$459
•Devils Food Chocolate Cake mix, 4.99 per 5 lb bag, 100 bags.....$500
•Sour Cream, 40 lbs (2 cases of 20 lbs), $15 a piece$30
•Chocolate pudding mix, .30 cents per box, 50 boxes..$15
•Vanilla pudding mix, .30 cents per box, 50 boxes .$15
•Chocolate chips, 1.99 per 12.5 oz bag, 50 bags ..$99.50
•Mandarin Oranges, #10 cans (6 lbs 10 oz), 5.99, 25 cans.$149.75
•Eggs, 10 cases of 144, 13 dollars per case .$130
•Buttercream, premade in 26.8 pound increments, buy 107.2 pounds$294.20
•Assorted toppings, $17 per 15 lbs, 20 toppings to start..$340
•Packaging for to-go containers
Single to-go container, .30 cents a piece, 300 of them..$100
Four cavity container, .38 cents a piece, 200 of them$76 dollars
Six cavity container, .42 cents a piece, 150 of them.$63 dollars
Total: $2730
A Unique Concept and opportunity
See the full transcript