Melodies Fast Food Restaurant
By Elizabeth Wanjiru Kimani (HPM-2-0285-13) & John Kahuthu Gitau
The melodies fast food restaurant business idea was generated back in 2013 and it will start up in January 2015. To make the venture possible, Elizabeth is seeking a Ksh. 640,000 loan to be used in purchasing equipment, products and for pre-operational costs. Elizabeth will be investing Ksh. 160,000 as personal equity. The collateral for the loan is a plot and residential home which is valued at Ksh. 2.5 millions. Elizabeth has a degree in hospitality management and over ten years’ experience in the hotel industry. It will be possible to operate the business because the demand viable. The environment is safe for business growth and making high profits. Other food operation business in the area are successful but are unable to satisfy the current demand. The business will offer quality fast food products making the business unique and of its kind. Prompt and efficient table and take away service will be offered along with television and underground music to create a conducive environment. To market products and service various methods of advertising and promotions will be used. Quality products and service will be offered with competitive prices so as to attract and retail customers and make the business competitive. The management team comprises the manager and a supervisor with five personnel under them. Qualified staff will be employed who will be motivated so as to meet the needs of the customers. This is a good operational plan where different types of equipment will be provided for ease of operation and quality production of the products. For good financial plan, the business owner has in mind, pre-operational costs, operational costs, pro-forma income statements, pro-forma balance sheet, projected cash flow, breakeven analysis and calculation of ratios. This will help to make use of Ksh. 800,000 and make intended profit. The business may have high, moderate and low risks where high risks are to be avoided to become a moderate risk taker. They will be managed through recognition of opportunities, right decisions, qualified staff, good supervision and insuring the business.