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Starbucks Coffee Business Proposal

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by

Drake Parker

on 2 October 2014

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Transcript of Starbucks Coffee Business Proposal

Starbucks Coffee Business Proposal
Glen Arbor Starbucks
I chose this location because there isn't much competition and the only competition is over-priced. Customers are almost always interested in coffee and bakery products in the morning.
Marketing
I will provide customers 1.50-4.75 depending on size along with bagels, cookies, and donuts for 1-2 dollars bacause these prices are cheaper than the competition but high enough to make a decent profit combined with a good amount of demand. These prices are also commonly seen in fast food places as well.
Growth of Business and Advertising
My target market is anyone who likes coffee or donuts in the morning. Starbucks is already a hugely expanging company and I plan on placing signs all entries of the town. It wil say, "50% off first 50 purchases, buy before this sale runs out!" I will also have commercials on youtube and local television commercials.
Resources
The resources I will need for my business are foam cups, coffee beans, sweeteners, donut, cookie, and bagel bags and boxes, and donut and cookie ingredients.
Labor
Capital Resources
The workers can be unskilled. They will be paid hourly. There needs to be 8 workers, 4 for the morning shift and 4 workers for the afternoon shift. The workers will be paid 9 dollars an hour each worker working for 7 hours everyday.
I need 150 dollars monthly for running water and will have solar power since it has become a popular choice for many businesses and is also . Also I need 1,500 for coffee beans and bakery products and ingredients weekly. Also I need ovens ($1,500), mixers ($350), dish washers ($700), and industrial coffee makers ($200).
Labor Costs
Per day- 63 dollars (individual per day)
504 dollars (total per day)
Per week- 441 (individual per week)
3,528 dollars (total per week)
Per month- 1,890 (individual per month)
15,120 dollars (total per month)
Per year- 22,680 (individual per year)
181,440 dollars (total per year)
Resource Prices
For the capital recources I need electricity along with running water for each resource. I need 150 dollars monthly for running water and will have solar power since it has become a popular choice for many businesses. Also I need 1,500 for coffee beans and bakery products and ingredients weekly.
Final Pitch
I will offer lower prices than competitors while still makinng a good profit, have each worker work 7 hours a day for 7 days each week. Coffee is almost always in demand which is a positive externality and less tourists is a negative externality, also I will be able to make a decent profit off of coffee and bakery products.
Invest!
You should invest in my business because I can make a large profit when there is a lot of tourism and all I need for the first 6 month is 400,000.
Total Costs
Per week-5,028 dollars
Per month-21,270.90 dollars
Per year-255,250.80 dollars
serbinrealestate.com
Full transcript