Start-up Funding | |
Start-up Expenses to Fund | $25,850 |
Start-up Assets to Fund | $54,650 |
Total Funding Required | $80,500 |
Assets | |
Non-cash Assets from Start-up | $31,550 |
Cash Requirements from Start-up | $23,100 |
Additional Cash Raised | $0 |
Cash Balance on Starting Date | $23,100 |
Total Assets | $54,650 |
Liabilities and Capital | |
Liabilities | |
Current Borrowing | $0 |
Long-term Liabilities | $25,000 |
Accounts Payable (Outstanding Bills) | $9,500 |
Other Current Liabilities (interest-free) | $0 |
Total Liabilities | $34,500 |
Capital | |
Planned Investment | |
Investor 1 | $15,000 |
Owners | $30,000 |
Additional Investment Requirement | $1,000 |
Total Planned Investment | $46,000 |
Loss at Start-up (Start-up Expenses) | ($25,850) |
Total Capital | $20,150 |
Total Capital and Liabilities | $54,650 |
Total Funding | $80,500 |
Pizzeria del Causamali offers high quality pizza to a growing community that currently has limited availability of restaurants and no availability to delivery. At start up we will be open for dinner 4 p.m. to 10 p.m. Sunday – Thursday and 3 p.m. to 11 p.m. Friday and Saturday. We will consider opening earlier and serving lunch if there is a demand, and if forecast and financial analysis can justify the increased costs.
Our menu will include 4 sizes of pizzas with various combinations of toppings. Predefined, high-margin pizzas will be highlighted on the menu. Additionally, breadsticks, beer, and soda will be included in the initial menu offerings.
Our primary target market is people who desire a comfortable, family-oriented environment for dine-in pizza. Our secondary target market also desires a delivery service for pizza, or a take-out approach. There is overlap of these segments.
Deauville and its surrounding communities are a growing middle-class area with nearly 14,000 residents. A majority of these residents are families of four or more. The boom in the area is primarily in response to an exodus of families moving out of the over-populated areas and into a more rural setting.
According to a Growth Plan Deauville conducted in 2001, population within Deauville is expected to increase. However, the number of persons per household is expected to decline, meaning the need for additional housing in Deauville will continue to grow. From the same plan, population is listed as being evenly distributed by age groupings, with approximately 33% of the population being minors. Another 40% are less than 54 years of age, indicating a major concentration of the Deauville population being families. The report forecasts there being nearly 1,900 households in the Deauville by 2005. This is driving the need for more quality, family-oriented restaurants.
Additionally, Deauville residents frequently visit the building in which Pizzeria del Causamali is located. Tanning and video rental businesses are adjacent to the restaurant, so we are providing a new convenience for families to select a movie and pick up a pizza.
With the expected continued growth in the area, estimated at 7% annually, opportunities to serve Deauville and its surrounding communities will increase. The company will sell predominantly to individuals, but it will also accept some catering jobs to individual parties, schools, and company functions in the Deauville area.
Market Analysis | |||||||
Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Potential Customers | Growth | CAGR | |||||
Dine-In or Take-Out | 7% | 13,860 | 14,830 | 15,868 | 16,979 | 18,168 | 7.00% |
Delivery | 7% | 5,000 | 5,350 | 5,725 | 6,126 | 6,555 | 7.00% |
Total | 7.00% | 18,860 | 20,180 | 21,593 | 23,105 | 24,723 | 7.00% |
Including Deauville and its surrounding areas, no pizza establishments exist. In Deauville one to two restaurants serve pizza, but not as a primary menu item. These pizza outlets are in taverns which are not conducive to family-type atmosphere. No eating establishments in the Deauville area provide home-delivery service.
Other family-oriented restaurants in the area include: Subway(R), What’s Cookin’ diner, and Colonial House supper club. Subway serves sandwiches, wraps, and salads, none of which are direct competition to the pizza establishment. The diner is open until 2 p.m. each day and focuses on the breakfast crowd, with a limited sandwich availability for lunch. The supper club has a Chicken and Pizza buffet once a week for approximately $6; the pizza served as part of the buffet are frozen pizzas.
Other restaurants in Deauville are taverns and are not conducive to family activities. One of the bars in Deauville serves a homemade pizza.
In conversations with an independent pizza operator in Lakeshore Haven, an hour’s drive away, he indicated pizza sales in his community are thriving despite competition from 4 other pizza establishments, including Pizza Hut(R). While exact figures were not shared, he indicated a high level of penetration into the pizza market in his area with profitable margins. He also provided suggestions and tips to minimize costs, and components of his restaurant he would do differently, including payroll handling, vendors, and layout.
There is minimal competition for pizza in the Deauville area, besides the bar establishments previously mentioned. The closest locales for pizza to the Deauville area are Bolingbrooke, Avro, and de Havilland. None of these competing pizza locations deliver to the Deauville area. Additionally, Pizzeria del Causamali would be the only family-oriented, non-smoking restaurant in Deauville.
Our strategy is based on delivering a strong customer value proposition in a niche market. The world is full of small, family-oriented towns that do not have endless opportunities for dining out. We are looking to offer the Deauville and its surrounding areas a new choice in food options.
Our competitive edge is to be first-to-the-market with pizza in a friendly, non-smoking, family-oriented dine-in experience, and first-to-the-area with food delivery.
Additionally, the location of Pizzeria del Causamali is crucial as a convenience model to customers. Deauville residents frequent the video rental store adjacent to the restaurant. This location is directly in the center of activity in this rural community–it is within walking distance of the middle and high schools, the local church, and within 2 miles of the existing large subdivisions and apartment complexes in the area.
To drive customers to Pizzeria del Causamali, we will employ several techniques outlined below.
Advertising in Bolingbrooke Post , de Havilland Buyer’s Guide , Deauville Register , and Deauville Shopping News will be used to promote the Grand Opening of Pizzeria del Causamali. As part of the advertising, a coupon will be available to customers. Intermittent newspaper advertisements will continue throughout the year to promote upcoming events. Most initiatives will focus on the local Deauville papers as the target of these papers is specifically the Deauville residents. Additional marketing efforts will come in the form of on-box coupons for future purchases.
Additionally, family-oriented events will be hosted by Pizzeria del Causamali to attract customers such as trivia nights, birthday parties, and prize giveaways. Frequent buyer cards will be employed to entice repeat customers. Pizzeria del Causamali will also sponsor a local Little League baseball team, and a bowling team to publicize the restaurant within the community events.
Future plans of working in coordination with the adjacent video store to offer “bundle savings” if both pizza and video rentals are purchased will be pursued within the second year of operation.
The Deauville area has expressed its need for additional restaurants, specifically a desire for pizza. Because of this, there is pent-up demand for pizza in this area. We will expect a high rate of sales growth within the first 3 months as this customer desire is met.
For the next year, we continue to focus on a growing presence in the community and advertising heavily throughout the community. As a major convention center and water park open in nearby Fairchild, we will focus our attention on becoming the recognized provider of pizza to that establishment.
Our sales forecast assumes a modest change in annual costs to accommodate new entry into the market.
We are expecting to increase sales modestly but steadily over the next year, which is a respectable growth rate. The growth forecast is assumed given this is a new product for the area using new channels of availability. We are not projecting significant change in the product line, or in the proportion between different lines.
Based on industry averages and the absence of competition for pizza in the Deauville area, we are predicting an average of 25 pizzas sold each week night (Sunday – Wednesday). On the weekends (Thursday – Saturday), we are estimating 40 pizzas are sold each day. Of those pizzas ordered, we are expecting approximately 1/3 to be dine-in customers. Those customers dining in will most likely order drinks and/or beer (on average 4 for each family). Additionally, we are estimating that approximately one-third of the pizza orders will be accompanied by an order for breadsticks. Our estimated average prices for each item are as follows:
Sales Forecast | |||
Year 1 | Year 2 | Year 3 | |
Sales | |||
Pizza | $133,900 | $143,808 | $153,875 |
Breadsticks | $18,667 | $19,973 | $21,371 |
Beer | $37,333 | $39,947 | $42,743 |
Drinks | $50,773 | $54,327 | $58,130 |
Total Sales | $240,673 | $258,055 | $276,120 |
Direct Cost of Sales | Year 1 | Year 2 | Year 3 |
Pizza | $42,848 | $44,990 | $47,240 |
Breadsticks | $3,733 | $3,920 | $4,116 |
Beer | $7,467 | $7,840 | $8,232 |
Drinks | $2,539 | $2,666 | $2,799 |
Subtotal Direct Cost of Sales | $56,587 | $59,416 | $62,387 |
The following table lists important program milestones, with dates and managers in charge, and budgets for each. The milestone schedule indicates our emphasis on planning for implementation.
Milestones | |||||
Milestone | Start Date | End Date | Budget | Manager | Department |
Business Plan | 1/8/2004 | 1/31/2004 | $0 | Marianne Bruxellesprot | Management |
Secure Start-up Funding | 2/1/2004 | 3/1/2004 | $0 | Marianne Bruxellesprot | Management |
Site Selection | 1/8/2004 | 2/1/2004 | $0 | Marion Bruxellesprot | Operations |
Architect Designs/Redesign | 2/15/2004 | 3/1/2004 | $500 | Marion Bruxellesprot | Operations |
Technology Design | 3/15/2004 | 4/1/2004 | $5,000 | Marianne Bruxellesprot | Technical |
Personnel Plan | 3/1/2004 | 3/15/2004 | $0 | Marianne Bruxellesprot | Management |
Accounting Plan | 3/1/2004 | 3/31/2004 | $400 | Marianne Bruxellesprot | Management |
Renovation | 4/1/2004 | 5/15/2004 | $7,800 | Marion Bruxellesprot | Operations |
Equipment Installation | 5/1/2004 | 5/15/2004 | $2,000 | Marion Bruxellesprot | Operations |
Marketing Plans | 3/4/2004 | 4/30/2004 | $2,500 | Marianne Bruxellesprot | Marketing |
Grand Opening | 5/1/2004 | 5/15/2004 | $2,500 | Marianne Bruxellesprot | Marketing |
Totals | $20,700 |
The Pizzeria del Causamali website will be the virtual business card and portfolio for the company, as well as its online “home.” It will showcase the history, product information, and offers for Pizzeria del Causamali. Special online-only offers will be made available on the website, along with customer’s opportunity to sign-up for email news and offers.
The Pizzeria del Causamali website needs to be a simple yet classy and well designed website that, at the same time, is in keeping with the latest trends in user interface design. Customers will be coming to the site for product information, history, and offers.
Future elements of the site can contain online ordering, if customers express an interest in this functionality.
Our Internet marketing activities will be focused on product information and offers. Future opportunities exist in offering online ordering.
The Pizzeria del Causamali website will be initially developed with few technical resources. A simple hosting provider, Yahoo! Web services, will host the site and provide the technical back end. The owner’s expertise in professional Web development will lead this effort.
The user interface designer will work with a graphic artist to come up with the website logo, and the website graphics.
The maintenance of the site will be done by the owners. If the website rolls out future development such as newsletters and online ordering, the internal staff at Pizzeria del Causamali will design, implement, and execute the technology.
We are a small company owned and operated by Marion and Marianne Bruxellesprot, husband and wife, as a partnership. Management style reflects the participation of the owners. The company respects its community of co-workers and treats all workers well.
Marianne Bruxellesprot is a 1998 graduate of University School of Business with High Honors and Distinction in Business. Her experience with general business, technology, and operations is a great asset to this venture.
Additionally, Otho Colderobby is an advisor to the owners. Otho is a 1991 graduate of State College with a degree in Economics. Furthermore, Otho graduated in 1995 with a Masters in Business Administration from University School of Business with emphases in Marketing and Finance. Otho held a senior finance management position with Frito Lay for 5 years. Otho is currently a managing consultant with a marketing strategy firm. He also spent 5 years in a strategic services consulting practice.
The personnel table assumes a level need of employees, and 5% per annum pay raises. Staffing for a 7-day a week restaurant necessitates two shifts. In addition to the hours open for serving we anticipate an additional hour before opening for prep and as much as an hour after closing for cleanup. This is approximately 8 hours of staffing necessary Sunday – Thursday and 10 hours on both Friday and Saturday.
The two kitchen lead positions are part-time, earning $9/hr. The kitchen leads will serve as the shift leaders of the kitchen/wait staff. Kitchen staff will serve as the wait staff. There will be one dedicated dishwashing position per shift. Wages for kitchen/wait staff, dishwashers, and delivery drivers, who are all part-time, are $6/hr, with opportunities for all to share the combined earn tips. It is imperative the people serving as the kitchen lead are over 21 and can legally serve alcohol.
Hourly part-time positions as kitchen/wait, dishwashing, and delivery staff average out to be approximately 30 hours per week each. Delivery staff will work 5 hour shifts each night, with an extra delivery staff member added on Thursdays, Fridays, and Saturdays. During the week if this person is not delivering, they will work in the kitchen as needed, directed by the kitchen lead.
Personnel Plan | |||
Year 1 | Year 2 | Year 3 | |
Kitchen Leads | $28,080 | $29,484 | $30,958 |
Kitchen/Wait | $37,440 | $39,312 | $41,278 |
Dishwasher | $15,600 | $16,380 | $17,199 |
Owner | $9,000 | $9,450 | $9,923 |
Delivery | $15,600 | $16,380 | $17,199 |
Total People | 12 | 12 | 12 |
Total Payroll | $105,720 | $111,006 | $116,556 |
The financial picture is quite encouraging. We will be slow to take on debt and heavily investing our own assets, but with our increase in sales we do expect to apply for a credit line with the bank, to a limit of $50,000. The credit line is supported by assets.
The financial plan depends on important assumptions, most of which are shown in the following table. The key underlying assumptions are:
General Assumptions | |||
Year 1 | Year 2 | Year 3 | |
Plan Month | 1 | 2 | 3 |
Current Interest Rate | 6.00% | 6.00% | 6.00% |
Long-term Interest Rate | 5.00% | 5.00% | 5.00% |
Tax Rate | 30.00% | 30.00% | 30.00% |
Other | 0 | 0 | 0 |
Our break-even analysis is based on running costs, the “burn-rate” costs we incur to keep the business running, not on theoretical fixed costs that would be relevant only if we were closing. The essential insight here is that our sales level seems to be running comfortably above break-even.
Break-even Analysis | |
Monthly Revenue Break-even | $16,283 |
Assumptions: | |
Average Percent Variable Cost | 24% |
Estimated Monthly Fixed Cost | $12,454 |
We expect to be profitable in the first year, with profits increasing over the next two years, as we establish a loyal customer base.
Pro Forma Profit and Loss | |||
Year 1 | Year 2 | Year 3 | |
Sales | $240,673 | $258,055 | $276,120 |
Direct Cost of Sales | $56,587 | $59,416 | $62,387 |
Other Costs of Goods | $0 | $0 | $0 |
Total Cost of Sales | $56,587 | $59,416 | $62,387 |
Gross Margin | $184,087 | $198,639 | $213,733 |
Gross Margin % | 76.49% | 76.98% | 77.41% |
Expenses | |||
Payroll | $105,720 | $111,006 | $116,556 |
Sales and Marketing and Other Expenses | $7,250 | $7,250 | $7,500 |
Depreciation | $2,040 | $1,836 | $1,652 |
Rent | $14,400 | $14,400 | $14,400 |
Utilities | $7,200 | $7,200 | $7,200 |
Insurance | $4,200 | $4,500 | $4,800 |
Payroll Taxes | $8,042 | $8,444 | $8,866 |
Website Hosting and Maintenance | $600 | $50 | $50 |
Other | $0 | $0 | $0 |
Total Operating Expenses | $149,452 | $154,686 | $161,024 |
Profit Before Interest and Taxes | $34,635 | $43,954 | $52,709 |
EBITDA | $36,675 | $45,790 | $54,361 |
Interest Expense | $1,088 | $700 | $225 |
Taxes Incurred | $10,064 | $12,976 | $15,745 |
Net Profit | $23,483 | $30,278 | $36,739 |
Net Profit/Sales | 9.76% | 11.73% | 13.31% |
The following table and chart is the projected cash flow for three years.
Pro Forma Cash Flow | |||
Year 1 | Year 2 | Year 3 | |
Cash Received | |||
Cash from Operations | |||
Cash Sales | $240,673 | $258,055 | $276,120 |
Subtotal Cash from Operations | $240,673 | $258,055 | $276,120 |
Additional Cash Received | |||
Sales Tax, VAT, HST/GST Received | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 |
New Other Liabilities (interest-free) | $0 | $0 | $0 |
New Long-term Liabilities | $0 | $0 | $0 |
Sales of Other Current Assets | $0 | $0 | $0 |
Sales of Long-term Assets | $0 | $0 | $0 |
New Investment Received | $0 | $0 | $0 |
Subtotal Cash Received | $240,673 | $258,055 | $276,120 |
Expenditures | Year 1 | Year 2 | Year 3 |
Expenditures from Operations | |||
Cash Spending | $105,720 | $111,006 | $116,556 |
Bill Payments | $105,383 | $114,835 | $120,750 |
Subtotal Spent on Operations | $211,103 | $225,841 | $237,306 |
Additional Cash Spent | |||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 |
Principal Repayment of Current Borrowing | $0 | $0 | $0 |
Other Liabilities Principal Repayment | $0 | $0 | $0 |
Long-term Liabilities Principal Repayment | $6,000 | $10,000 | $9,000 |
Purchase Other Current Assets | $0 | $0 | $0 |
Purchase Long-term Assets | $0 | $0 | $0 |
Dividends | $0 | $0 | $0 |
Subtotal Cash Spent | $217,103 | $235,841 | $246,306 |
Net Cash Flow | $23,570 | $22,214 | $29,813 |
Cash Balance | $46,670 | $68,884 | $98,698 |
As shown in the balance sheet in the following table, we expect a healthy growth in net worth. The monthly projections are in the appendices.
Pro Forma Balance Sheet | |||
Year 1 | Year 2 | Year 3 | |
Assets | |||
Current Assets | |||
Cash | $46,670 | $68,884 | $98,698 |
Inventory | $1,720 | $1,806 | $1,896 |
Other Current Assets | $5,250 | $5,250 | $5,250 |
Total Current Assets | $53,640 | $75,940 | $105,844 |
Long-term Assets | |||
Long-term Assets | $20,300 | $20,300 | $20,300 |
Accumulated Depreciation | $2,040 | $3,876 | $5,528 |
Total Long-term Assets | $18,260 | $16,424 | $14,772 |
Total Assets | $71,900 | $92,364 | $120,616 |
Liabilities and Capital | Year 1 | Year 2 | Year 3 |
Current Liabilities | |||
Accounts Payable | $9,267 | $9,454 | $9,967 |
Current Borrowing | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 |
Subtotal Current Liabilities | $9,267 | $9,454 | $9,967 |
Long-term Liabilities | $19,000 | $9,000 | $0 |
Total Liabilities | $28,267 | $18,454 | $9,967 |
Paid-in Capital | $46,000 | $46,000 | $46,000 |
Retained Earnings | ($25,850) | ($2,367) | $27,911 |
Earnings | $23,483 | $30,278 | $36,739 |
Total Capital | $43,633 | $73,911 | $110,649 |
Total Liabilities and Capital | $71,900 | $92,364 | $120,616 |
Net Worth | $43,633 | $73,911 | $110,649 |
Standard business ratios are included in the following table. Industry profile ratios are shown for comparison, and are based on Standard Industrial Classification (SIC) code 5812.0600, Pizza Restaurants. The ratios show a plan for balanced, healthy growth. Our return on sales and return on assets remain strong in percentage terms.
Ratio Analysis | ||||
Year 1 | Year 2 | Year 3 | Industry Profile | |
Sales Growth | 0.00% | 7.22% | 7.00% | 5.24% |
Percent of Total Assets | ||||
Inventory | 2.39% | 1.96% | 1.57% | 3.54% |
Other Current Assets | 7.30% | 5.68% | 4.35% | 34.82% |
Total Current Assets | 74.60% | 82.22% | 87.75% | 43.85% |
Long-term Assets | 25.40% | 17.78% | 12.25% | 56.15% |
Total Assets | 100.00% | 100.00% | 100.00% | 100.00% |
Current Liabilities | 12.89% | 10.24% | 8.26% | 20.80% |
Long-term Liabilities | 26.43% | 9.74% | 0.00% | 28.42% |
Total Liabilities | 39.31% | 19.98% | 8.26% | 49.22% |
Net Worth | 60.69% | 80.02% | 91.74% | 50.78% |
Percent of Sales | ||||
Sales | 100.00% | 100.00% | 100.00% | 100.00% |
Gross Margin | 76.49% | 76.98% | 77.41% | 61.18% |
Selling, General & Administrative Expenses | 39.83% | 39.27% | 38.77% | 38.56% |
Advertising Expenses | 0.00% | 0.00% | 0.00% | 2.28% |
Profit Before Interest and Taxes | 14.39% | 17.03% | 19.09% | 1.44% |
Main Ratios | ||||
Current | 5.79 | 8.03 | 10.62 | 0.99 |
Quick | 5.60 | 7.84 | 10.43 | 0.67 |
Total Debt to Total Assets | 39.31% | 19.98% | 8.26% | 52.80% |
Pre-tax Return on Net Worth | 76.88% | 58.52% | 47.43% | 2.77% |
Pre-tax Return on Assets | 46.66% | 46.83% | 43.51% | 5.88% |
Additional Ratios | Year 1 | Year 2 | Year 3 | |
Net Profit Margin | 9.76% | 11.73% | 13.31% | n.a |
Return on Equity | 53.82% | 40.97% | 33.20% | n.a |
Activity Ratios | ||||
Inventory Turnover | 31.29 | 33.70 | 33.70 | n.a |
Accounts Payable Turnover | 11.35 | 12.17 | 12.17 | n.a |
Payment Days | 30 | 30 | 29 | n.a |
Total Asset Turnover | 3.35 | 2.79 | 2.29 | n.a |
Debt Ratios | ||||
Debt to Net Worth | 0.65 | 0.25 | 0.09 | n.a |
Current Liab. to Liab. | 0.33 | 0.51 | 1.00 | n.a |
Liquidity Ratios | ||||
Net Working Capital | $44,373 | $66,487 | $95,877 | n.a |
Interest Coverage | 31.85 | 62.79 | 234.26 | n.a |
Additional Ratios | ||||
Assets to Sales | 0.30 | 0.36 | 0.44 | n.a |
Current Debt/Total Assets | 13% | 10% | 8% | n.a |
Acid Test | 5.60 | 7.84 | 10.43 | n.a |
Sales/Net Worth | 5.52 | 3.49 | 2.50 | n.a |
Dividend Payout | 0.00 | 0.00 | 0.00 | n.a |
Sales Forecast | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | |||||||||||||
Pizza | 0% | $7,200 | $12,600 | $11,160 | $12,000 | $11,460 | $11,340 | $11,820 | $11,160 | $11,320 | $11,640 | $10,560 | $11,640 |
Breadsticks | 0% | $1,000 | $1,750 | $1,550 | $1,667 | $1,592 | $1,575 | $1,642 | $1,550 | $1,642 | $1,617 | $1,467 | $1,617 |
Beer | 0% | $2,000 | $3,500 | $3,100 | $3,333 | $3,183 | $3,150 | $3,283 | $3,100 | $3,283 | $3,233 | $2,933 | $3,233 |
Drinks | 0% | $2,720 | $4,760 | $4,216 | $4,533 | $4,329 | $4,284 | $4,465 | $4,216 | $4,465 | $4,397 | $3,989 | $4,397 |
Total Sales | $12,920 | $22,610 | $20,026 | $21,533 | $20,564 | $20,349 | $21,210 | $20,026 | $20,710 | $20,887 | $18,949 | $20,887 | |
Direct Cost of Sales | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Pizza | 32% | $2,304 | $4,032 | $3,571 | $3,840 | $3,667 | $3,629 | $3,782 | $3,571 | $3,622 | $3,725 | $3,379 | $3,725 |
Breadsticks | 20% | $200 | $350 | $310 | $333 | $318 | $315 | $328 | $310 | $328 | $323 | $293 | $323 |
Beer | 20% | $400 | $700 | $620 | $667 | $637 | $630 | $657 | $620 | $657 | $647 | $587 | $647 |
Drinks | 5% | $136 | $238 | $211 | $227 | $216 | $214 | $223 | $211 | $223 | $220 | $199 | $220 |
Subtotal Direct Cost of Sales | $3,040 | $5,320 | $4,712 | $5,067 | $4,839 | $4,788 | $4,991 | $4,712 | $4,831 | $4,915 | $4,459 | $4,915 |
Personnel Plan | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Kitchen Leads | 0% | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 | $2,340 |
Kitchen/Wait | 0% | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 | $3,120 |
Dishwasher | 0% | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 |
Owner | 0% | $750 | $750 | $750 | $750 | $750 | $750 | $750 | $750 | $750 | $750 | $750 | $750 |
Delivery | 0% | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 | $1,300 |
Total People | 12 | 12 | 12 | 12 | 12 | 12 | 12 | 12 | 12 | 12 | 12 | 12 | |
Total Payroll | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 |
General Assumptions | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Plan Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | |
Current Interest Rate | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | |
Long-term Interest Rate | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | |
Tax Rate | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | |
Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Pro Forma Profit and Loss | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | $12,920 | $22,610 | $20,026 | $21,533 | $20,564 | $20,349 | $21,210 | $20,026 | $20,710 | $20,887 | $18,949 | $20,887 | |
Direct Cost of Sales | $3,040 | $5,320 | $4,712 | $5,067 | $4,839 | $4,788 | $4,991 | $4,712 | $4,831 | $4,915 | $4,459 | $4,915 | |
Other Costs of Goods | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Cost of Sales | $3,040 | $5,320 | $4,712 | $5,067 | $4,839 | $4,788 | $4,991 | $4,712 | $4,831 | $4,915 | $4,459 | $4,915 | |
Gross Margin | $9,880 | $17,290 | $15,314 | $16,467 | $15,726 | $15,561 | $16,220 | $15,314 | $15,880 | $15,973 | $14,491 | $15,973 | |
Gross Margin % | 76.47% | 76.47% | 76.47% | 76.47% | 76.47% | 76.47% | 76.47% | 76.47% | 76.68% | 76.47% | 76.47% | 76.47% | |
Expenses | |||||||||||||
Payroll | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | |
Sales and Marketing and Other Expenses | $500 | $750 | $750 | $750 | $750 | $750 | $750 | $750 | $250 | $250 | $500 | $500 | |
Depreciation | $170 | $170 | $170 | $170 | $170 | $170 | $170 | $170 | $170 | $170 | $170 | $170 | |
Rent | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | |
Utilities | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | |
Insurance | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | |
Payroll Taxes | 15% | $670 | $670 | $670 | $670 | $670 | $670 | $670 | $670 | $670 | $670 | $670 | $670 |
Website Hosting and Maintenance | 15% | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 |
Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Operating Expenses | $12,350 | $12,600 | $12,600 | $12,600 | $12,600 | $12,600 | $12,600 | $12,600 | $12,100 | $12,100 | $12,350 | $12,350 | |
Profit Before Interest and Taxes | ($2,470) | $4,690 | $2,714 | $3,866 | $3,125 | $2,961 | $3,619 | $2,714 | $3,779 | $3,872 | $2,140 | $3,622 | |
EBITDA | ($2,300) | $4,860 | $2,884 | $4,036 | $3,295 | $3,131 | $3,789 | $2,884 | $3,949 | $4,042 | $2,310 | $3,792 | |
Interest Expense | $102 | $100 | $98 | $96 | $94 | $92 | $90 | $88 | $85 | $83 | $81 | $79 | |
Taxes Incurred | ($772) | $1,377 | $785 | $1,131 | $910 | $861 | $1,059 | $788 | $1,108 | $1,137 | $618 | $1,063 | |
Net Profit | ($1,801) | $3,213 | $1,831 | $2,639 | $2,122 | $2,008 | $2,471 | $1,838 | $2,586 | $2,652 | $1,441 | $2,480 | |
Net Profit/Sales | -13.94% | 14.21% | 9.14% | 12.26% | 10.32% | 9.87% | 11.65% | 9.18% | 12.49% | 12.70% | 7.61% | 11.87% |
Pro Forma Cash Flow | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Cash Received | |||||||||||||
Cash from Operations | |||||||||||||
Cash Sales | $12,920 | $22,610 | $20,026 | $21,533 | $20,564 | $20,349 | $21,210 | $20,026 | $20,710 | $20,887 | $18,949 | $20,887 | |
Subtotal Cash from Operations | $12,920 | $22,610 | $20,026 | $21,533 | $20,564 | $20,349 | $21,210 | $20,026 | $20,710 | $20,887 | $18,949 | $20,887 | |
Additional Cash Received | |||||||||||||
Sales Tax, VAT, HST/GST Received | 0.00% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Other Liabilities (interest-free) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Investment Received | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Received | $12,920 | $22,610 | $20,026 | $21,533 | $20,564 | $20,349 | $21,210 | $20,026 | $20,710 | $20,887 | $18,949 | $20,887 | |
Expenditures | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Expenditures from Operations | |||||||||||||
Cash Spending | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | $8,810 | |
Bill Payments | $9,590 | $2,921 | $9,309 | $9,037 | $10,016 | $9,381 | $9,359 | $9,806 | $9,113 | $9,189 | $9,254 | $8,409 | |
Subtotal Spent on Operations | $18,400 | $11,731 | $18,119 | $17,847 | $18,826 | $18,191 | $18,169 | $18,616 | $17,923 | $17,999 | $18,064 | $17,219 | |
Additional Cash Spent | |||||||||||||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Principal Repayment of Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Long-term Liabilities Principal Repayment | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Purchase Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Purchase Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Dividends | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Spent | $18,900 | $12,231 | $18,619 | $18,347 | $19,326 | $18,691 | $18,669 | $19,116 | $18,423 | $18,499 | $18,564 | $17,719 | |
Net Cash Flow | ($5,980) | $10,379 | $1,407 | $3,187 | $1,238 | $1,658 | $2,541 | $910 | $2,288 | $2,388 | $386 | $3,168 | |
Cash Balance | $17,120 | $27,499 | $28,906 | $32,093 | $33,331 | $34,989 | $37,530 | $38,440 | $40,728 | $43,116 | $43,501 | $46,670 |
Pro Forma Balance Sheet | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Assets | Starting Balances | ||||||||||||
Current Assets | |||||||||||||
Cash | $23,100 | $17,120 | $27,499 | $28,906 | $32,093 | $33,331 | $34,989 | $37,530 | $38,440 | $40,728 | $43,116 | $43,501 | $46,670 |
Inventory | $6,000 | $2,960 | $1,862 | $1,649 | $1,773 | $1,694 | $1,676 | $1,747 | $1,649 | $1,691 | $1,720 | $1,561 | $1,720 |
Other Current Assets | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 | $5,250 |
Total Current Assets | $34,350 | $25,330 | $34,611 | $35,805 | $39,116 | $40,275 | $41,915 | $44,527 | $45,339 | $47,669 | $50,086 | $50,312 | $53,640 |
Long-term Assets | |||||||||||||
Long-term Assets | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 | $20,300 |
Accumulated Depreciation | $0 | $170 | $340 | $510 | $680 | $850 | $1,020 | $1,190 | $1,360 | $1,530 | $1,700 | $1,870 | $2,040 |
Total Long-term Assets | $20,300 | $20,130 | $19,960 | $19,790 | $19,620 | $19,450 | $19,280 | $19,110 | $18,940 | $18,770 | $18,600 | $18,430 | $18,260 |
Total Assets | $54,650 | $45,460 | $54,571 | $55,595 | $58,736 | $59,725 | $61,195 | $63,637 | $64,279 | $66,439 | $68,686 | $68,742 | $71,900 |
Liabilities and Capital | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Current Liabilities | |||||||||||||
Accounts Payable | $9,500 | $2,611 | $9,008 | $8,702 | $9,703 | $9,070 | $9,031 | $9,503 | $8,806 | $8,880 | $8,975 | $8,089 | $9,267 |
Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Subtotal Current Liabilities | $9,500 | $2,611 | $9,008 | $8,702 | $9,703 | $9,070 | $9,031 | $9,503 | $8,806 | $8,880 | $8,975 | $8,089 | $9,267 |
Long-term Liabilities | $25,000 | $24,500 | $24,000 | $23,500 | $23,000 | $22,500 | $22,000 | $21,500 | $21,000 | $20,500 | $20,000 | $19,500 | $19,000 |
Total Liabilities | $34,500 | $27,111 | $33,008 | $32,202 | $32,703 | $31,570 | $31,031 | $31,003 | $29,806 | $29,380 | $28,975 | $27,589 | $28,267 |
Paid-in Capital | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 | $46,000 |
Retained Earnings | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) | ($25,850) |
Earnings | $0 | ($1,801) | $1,412 | $3,243 | $5,883 | $8,005 | $10,014 | $12,484 | $14,323 | $16,909 | $19,561 | $21,003 | $23,483 |
Total Capital | $20,150 | $18,349 | $21,562 | $23,393 | $26,033 | $28,155 | $30,164 | $32,634 | $34,473 | $37,059 | $39,711 | $41,153 | $43,633 |
Total Liabilities and Capital | $54,650 | $45,460 | $54,571 | $55,595 | $58,736 | $59,725 | $61,195 | $63,637 | $64,279 | $66,439 | $68,686 | $68,742 | $71,900 |
Net Worth | $20,150 | $18,349 | $21,562 | $23,393 | $26,033 | $28,155 | $30,164 | $32,634 | $34,473 | $37,059 | $39,711 | $41,153 | $43,633 |
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Home » Lifestyle » 39 Small Business Ideas in Pakistan to Start in 2024
Having a secondary source of income is always a good way to manage your finances. Depending on your expenses, it may also help you increase your saving, giving you greater freedom to follow your dreams. So, if you are also on the hunt for a doable side hustle to increase your income without quitting your day job, this blog is for you. Here we have rounded up 39 business ideas in Pakistan that are best suitable for small-scale investors.
Now, without further ado, let’s begin with our list of the best startup ideas for 2023.
Good | Medium | Know-how of the industry | |
Good | Low | E-commerce knowledge | |
Good | Medium | Experience in a similar field | |
Good | Low | Online marketing skills | |
Good | Low | Not necessary | |
Mediocre | High | Knowledge about fishing industry | |
Good | High | Know-how about plant species | |
Good | Medium | Knowledge about poultry animals | |
Mediocre | High | Expertise of a beautician | |
Mediocre | Low | Research and creative writing skills | |
Good | Low | Online tutoring expertise | |
Good | Low | Knowlege of art and latest designing tools | |
Good | Low | Website and Social Media marketing skills | |
Good | Low | Research and creative writing skills | |
Good | Low | Video making and editing skills | |
Good | Medium | Know-how of cooking and event management | |
Good | Low | Photography and picture editing skills | |
Mediocre | Low | Food business management and marketing skills | |
Good | Low | Know-how of the digital media | |
Good | Medium | Passion and knowlege of travelling | |
Mediocre | Low | Know-how about skincare and cosmetics | |
Good | Medium | Business knowledge | |
Mediocre | Medium | Knowledge of antiques | |
Good | Medium | Knowledge of Latest Fashion Trends | |
Mediocre | Low | Know-how of smart tools and gadgets | |
Good | High | Attractive location and knowledge of real estate | |
Good | Low | Driving and communication skills | |
Mediocre | Low | Knowledge of exercising, balanced diet and fitness | |
Good | High | Hospitality and management knowledge | |
Good | Low | Knowledge of cooking and online marketing | |
Mediocre | Low | Good handcrafting skills | |
Mediocre | Low | Handling toddlers and young children safely | |
Mediocre | Low | Knowledge of yoga and fitness | |
Moderate | Low | Event management and communication skills | |
Good | Low | Real estate knowledge and brokering skills | |
Mediocre | High | Knowledge of FMCGs and business skills | |
Mediocre | Medium | Good location and trading skills | |
Good | High | Know-how of the logistics industry | |
Good | Medium | Website and app design and development skills |
Real estate market is touted as one of the most lucrative investment avenues in Pakistan — and rightly so. The value of properties in many major cities across the city has sky-rocketed in recent years. Those who have invested in credible and well-located projects have already set their eyes on short-term and long-term capital gains.
Keeping in view the upward price trends, real estate investors can enjoy up to 60-70% capital gains and a rental yield of around 7-8%. If you want to learn more about the ROI and rental yield in real estate , check out these blogs.
Technically, it is not one of those business ideas in Pakistan that require small investment, but with a few tricks, you can increase its affordability factor. Wondering how? Keep reading to find out.
Have a limited amount to invest in one go? Don’t worry! Here are some interesting tips and affordable property investment options for you to explore.
You’d be surprised to know that you can invest in some under-development property projects for as low as PKR 10,000 a month. In such projects, you can book your desired property with a down payment of around PKR 100,000-150,000. However, it is important to only invest in real estate projects. They might cost you a little more, but your investment will definitely be in safe hands.
Zameen.com’s New Projects portal has plenty of interesting options available for property investors. All you have to do is to select your desired city and start exploring lucrative investment opportunities around you. Also, projects marketed and sold by Zameen.com ensure reliability and profitability to both short-term and long-term investors.
Buying a newly constructed house with a limited budget is still possible. Yes, you read it right. So, to help you find some budget-friendly property options, the experts of Zameen.com have compiled listings of low-cost houses available in major cities across Pakistan, including Karachi , Lahore and Islamabad . Investing in a low-priced residential unit is probably the best way to make an affordable real estate investment.
If the structure of the property has deteriorated, it might’ve already lost a good chunk of its real estate value. Depending on your interest, you can invest in such properties and restore them to earn profit. Buy a property that is in bad shape, renovate or remodel it, according to its condition, structure and market demand.
Narrow down your search to old and small-sized houses to make your property hunt easier. Keep a budget of around PKR 30-40 lakh in mind. Make sure to avoid these renovation mistakes while working on your project.
Can you start dropshipping in Pakistan? Well, the answer to this question is a definitive yes. In fact, it is one of the best low-cost business ideas in Pakistan that doesn’t require large up-front capital. You can easily run and manage a dropshipping business in your spare time.
With a dropshipping business model, you can easily run your entire business from your laptop. The only thing that needs a lot of research is identifying the top-selling products.
Everything becomes easy once you are done with that step. You can fetch the required products, use affiliate marketing to promote your products, ship orders, and offer customer support. You can manage all these business operations while sitting on your couch.
Now, let’s find out how to set up a dropshipping business in Pakistan.
In recent years, dropshipping has become a popular option for start-ups. The business model requires small capital to get up and running. Also, setting it up is also easy. Here, we’ll elaborate on the entire process in a few simple steps, take a look!
To set up your e-commerce store, you have to get a third party involved. You’ll come across many dropshipping platforms in Pakistan suitable for small businesses. Some of the most popular ones include
Shopify : an easy-to-use platform for setting up online stores. The portal is famous around the world. Using Shopify, you can make use of different themes and templates to build your online store.
Daraz : It’s a name that needs no introduction. You can easily start your dropshipping business in Pakistan with this popular portal. You’ll be keeping the profit on your product while paying its wholesale price to Daraz. The entire process is automated.
AliExpress : AliExpress dropshipping follows the same traditional dropshipping business model, which makes it quite convenient for new businesses. Copying the product from the AliExpress market, deciding on your own markup/profit margin and shipping it to your customers directly from your store.
Amazon : Another option to consider for aspiring dropshippers in Pakistan. However, setting up an Amazon store isn’t easy. Owing to the questionable track record of many Pakistani sellers, Amazon has put stricter policies in place for local dropshippers. It could immediately block your account upon negative feedback. Dropshipping at Amazon is highly popular around the world, but since it has very strong customer-centric policies, running an Amazon e-store from Pakistan is currently a bit too risky.
Do market research to decide on the supplies for your dropshipping store. Get in touch with a suitable supplier of your desired products. Once you’ve selected your supplies, you can simply post the products on your store with your own offer price.
Social media platforms are a good way to market your dropshipping business nowadays. You can promote your products/services on platforms like Facebook, Instagram and/or LinkedIn, depending on the nature of your business. Target your audience online for a higher conversion rate. With the latest metrics, make sure to reach out to the relevant audience to convert your visitors into leads and eventually, customers.
Before you jump into the field and start handling things practically, equip yourself with as much dropshipping knowledge as possible. You can also Hire an expert to run your business for you, but it wouldn’t be a long-term solution. Also, if you don’t know the functionalities involved in drop shipping, you’d always depend on others to guide you.
From developing and designing your e-commerce platform to marketing it, you should know at least a little about everything. Of course, you won’t be able to do everything yourself, but having technical know-how about every aspect of your business would make a lot of difference.
Thinking of starting your own business venture with a small amount of money? Dropshipping would be a great option for you. The minimum amount of money you’ll need to invest in dropshipping in Pakistan is around PKR 100,000. It would be enough to put your product/services on the market.
Pakistan is a country of foodies. In many cities around the country, the best outing spots for families are usually local restaurants and coffee shops. It is not necessary to open a fancy eatery or cafe to make it successful.
The very first thing you can do is to reach out to other people running similar businesses. They may be in your social circle or professional network. If not, then you can use Facebook groups and communities to post your questions/queries to fetch relevant information.
Opening a coffee shop is one of the most feasible small business ideas in Pakistan. Here’s how to get started
Business Plan: Are you willing to skip your business plan because you think “it’s too much work”? Don’t do that. Having a business plan in place is crucial for each stage of setting up and running your coffee shop or small restaurant business in Pakistan.
Select a Suitable Location: Go for popular business locations in Karachi, Lahore, Islamabad and other major cities in Pakistan. Keep a monthly rent expense of around PKR 30,000-100,000 in mind, depending on your location.
Required Staff: Wondering how many staff members you’d need for your coffee shop business? Ideally, there should be around 5 workers assigned different tasks.
Business Hours: Most people like having their coffee before going to work early in the morning. So, try to open your shop at 8 am in the morning and close it at around 10.30 to 11 pm. The closing time for your business may also depend on its location and permission from authorities.
Supplies and Equipment: You cannot run your coffee shop without these two elements. Reach out to coffee wholesale suppliers. They may offer you fine-quality coffee at reasonable prices. Also, use your friend circle or groups on social media to look for people selling slightly used coffee shop equipment. It would be a good way to save some money.
Deciding the Menu: Come up with an interesting coffee shop menu. Offer different types of freshly brewed coffee, such as Espresso, Mocha, Cappuccino, Latte, Cold Coffee, etc. Also, add an interesting variety of sides to your menu like doughnuts, sandwiches, pastries, and cookies. Try to buy these confectionaries from a high-end bakery in bulk quantities. You can also collaborate with them to use their brand name. They may offer you their products in bulk quantities at wholesale rates. Make sure your menu is visible to people passing by. It is a good way to attract customers.
Market Your Coffee Shop: Once you have set up everything, your next goal is to grow your business. Use different types of conventional and online marketing tactics. You can also collaborate with food delivery companies like FoodPanda, Careem and Bykea.
Here’s a breakdown of the investment required for starting a coffee shop business in Pakistan.
You need to set aside a budget of up to 10 lacs for starting your venture. This amount covers your initial rental expenses, security, renovation/remodelling, equipment, advertising budget and backup plans, among other expenses.
For a more detailed breakdown, refer to the table below:
Shop 4 Months Advance Rent | 200,000 |
Shop Rent (Monthly) | 50,000 |
Security Guard | 50,000 |
Security Equipment (CCTV Cameras) | 30,000 |
Coffee Shop Equipment | 150,000 |
Shop Renovation/Remodelling | 300,000 |
Financial backup for Salaries | 220,000 |
If you are looking for a low-cost startup idea in 2023, then get started with the print-on-demand t-shirt business. It is another form of dropshipping business model. However, in this business, your focus should be on customizing products as per your customers’ requests.
Along with t-shirts, you can also sell caps, smartphone cases, hoodies, tote bags, and other types of accessories. Using memes and witty slogans on your products would be a good way to attract new customers, especially teenagers.
According to a recent survey, fish farming is among the fast-growing food production segments in the world. As the name suggests, it is the process of breeding and raising marine animals commercially. Let’s show you how this business model works.
Urban farming is a great low-investment business in Pakistan. You can set up an urban farm in your backyard, lawn or terrace or any other outdoor space. Once you’ve grown your own fruits and vegetables, you can eat them or sell them at a local store. With consistent farming habits, you can turn it into a profitable business, specializing in any particular local produce.
Poultry Farming
Counted among the most popular small business ideas in Pakistan, poultry farming is an integral part of our agriculture sector. It employs more than 1.5 million people in the country. A poultry farming business can be about chicken breeding/hatchery or meat production. However, setting up a hatchery business is more convenient than meat production.
A lot of sources on the internet quote that starting a poultry farm business in Pakistan requires a large investment. Well, we’d like to say otherwise in this regard. Don’t buy a large piece of land, it’s the most common mistake people make. Many investors assume starting big would yield more profit.
Everyone knows the volatility of the agricultural sector these days in terms of prices. It would be wise to begin your venture with a small investment. You can set up a small-scale hatchery business by investing PKR 100,000 at first.
Once your operations are streamlined, your livestock is performing well and you are making profits, you can go for expanding it by putting in more capital.
Setting up a beauty salon requires more capital than many other startup ideas in Pakistan. To make your salon business a profitable stream of income, you should have good beautician and communication skills. Hire experienced staff members. Train them, if necessary. Depending on your PR, you can also ask online influencers and internet celebrities to market your salon. In return, you can offer them free services.
If you have good creative writing and research skills, you can use them to publish your very own eBook. It is far easier and cheaper than publishing a physical copy. It is also among the best online business ideas in Pakistan.
E-Books are now a part of a rapidly growing industry where people are making a lot of money. You’ll come across a large audience of avid readers who prefer digital publications because they are cheaper and more easily accessible.
The reason we have included eBook publication in small business ideas in Pakistan is pretty obvious. The production and distribution costs of ebooks are quite lower than the physical ones. So, it is an easy place for aspiring writers to get started.
As an ebook writer, you can use tools like Visme, Jasper AI and Canva to begin your venture. Most of these tools offer free basic plans to help you start things off. Here are step-by-step instructions on how to publish and distribute your eBook.
E-book publishing has grown into a multi-billion dollar industry. You can also benefit from it while living in Pakistan. The process is very simple and elaborated below:
Do you have skills and expertise in any particular field? If yes, then all you need is online tutoring skills to start earning money. You can use platforms like Skype, Google Meets or any other similar live chat portals to offer online classes. For notes and other course materials, you can create files in PDF format.
With some knowledge of art and the internet, you can easily learn graphic designing. There are many free and paid courses available these days. For free courses, you can simply check YouTube. Channels like GFXMentor would be a great source of learning for you.
On the other hand, with paid courses, you can easily get certifications upon completion. It would be a plus, but you need to have really good skills. Once you have attracted a few clients, you can turn it into a fully-fledged business by hiring more resources. It is one of the best online business ideas in Pakistan with a small investment.
To upload your portfolio online, you can use world-famous platforms like Behance and Dribble for free. Having a good portfolio would be a great way to start things for a graphic artist and designer.
Do you want to run your own store but don’t have the resources and budget to set it up physically? Don’t worry. Everything is possible in the online world. There are many e-commerce websites nowadays that are earning well. You can set it up too.
The only major investment in the entire business model would be the creation of a website. However, you can manage your stock in the later phase as per the demand.
It is another great online business idea for people with good writing skills. There are many different online blogging platforms like WordPress.org or Google’s Blogger. Using such online portals will help you get started for free. Many bloggers these days are using affiliate marketing tactics to earn money.
Vlogging is another form of blogging. The only difference is that you’ll be using videos instead of text to reach out to your desired audience. Vlogging needs more skills and effort. You need to be good at making video scripts, capturing videos and editing them later. The more interesting your video is, the more it’ll attract viewers.
The most popular platform used by vloggers today is YouTube. It is free to use and you can post any content you want, in line with YouTube policies for published content. Make sure not to copy videos from other channels or repost them. The last thing you would want on your YouTube channel is a copyright strike. If your channel is running successfully on YouTube, you can earn between $750-1500 a month.
Food catering is also one of the most popular business models in Pakistan. The main thing that works in the catering business is public relations. You can start by serving in private gatherings and small events.
Once your venture has established a good reputation, you can extend your services to catering corporate parties and popular events. To market your business, you can use platforms like Facebook and Instagram. Word of mouth would also make a big difference in terms of promoting your catering services.
Photography is probably the best business idea in Pakistan for people with photography and editing skills. This business also works best for those with good PR. However, you can always create and upload a portfolio on social media and relevant websites. This will help you showcase your work to your potential clients.
Don’t have a budget to open a restaurant? Fret not. You can go for the option of a food cart or a food truck. The most basic type of business model in this regard is a fries cart. However, in recent years, the concept of street food and food carts has become very popular.
Food kiosks and trucks have become an important part of street culture around the world. Even in Pakistan, you’ll see them in popular markets and commercial districts of big cities like Lahore, Karachi and Islamabad. So, setting up a food cart is a thriving business idea, if properly executed.
Ever since the emergence of high-speed internet and mobile technologies, freelancing in Pakistan is booming. If you want to be a freelancer and work for your clients remotely, you should develop a certain set of skills. For example, you can be a writer, graphic designer, web developer or digital marketing expert.
Now let’s talk facts about the freelance industry in Pakistan and its exponential growth. As a country of youth, Pakistan is rubbing shoulders with many other countries in terms of increasing global competition for remote workers. If we take a look at stats from FY 2021-22, the local remote working sector reportedly made a staggering $400 million dollars at an unprecedented growth rate.
Considering the market’s rapid growth, freelancing is one of the best small business ideas in Pakistan. Want to start off your remote working journey on the right foot? Follow these steps.
Are you passionate about travelling? Becoming a travel agent would be a great low-risk business idea for you. You can help people with ticketing processes, visa applications and tours. Having knowledge and expertise about travelling to different countries would be a major plus.
Travel agencies in Pakistan also offer Haj and Umrah packages and guidance. You can also become an affiliate of an immigration consultancy. The scope of this business is pretty vast in the country.
If you have an interest in dermatology and skin care items, then selling organic beauty products would be an ideal side hustle for you. To start off as an organic skincare entrepreneur on the right foot, make sure to do your research thoroughly. Learn about the skincare and dermatological problems of your target audience, so you can offer them products accordingly.
It is important for you to hone your organic formulation skills. Do product testing to find out more about their potential outcomes before offering them to your customer. To make your venture a success, spread the word. Try to grow your following on social media organically and via marketing. You can also collaborate with internet celebrities and influencers to promote your business.
The Covid-19 pandemic has changed the world around us. It has significantly impacted our work-life balance. Remote working has become a common thing and many companies are now hiring employees who work for them remotely.
This has made setting up a co-working space a pretty lucrative business idea in Pakistan. You can either buy or rent out a commercial unit to set up a co-working space. Even if you have a few spare workstations in your office, you can turn them into a co-working space.
Many people have a passion for gathering antique handicrafts and artefacts and storing them as a collection. If you also have a similar passion, you can transform it into a profitable business. Antique collectibles may be worth a lot of money because they are a part of human history.
You can buy or collect antique items and sell them to enthusiasts at higher prices. It is one of the most feasible low-cost business ideas in Pakistan. Once you have figured out a way to find the right items, you can also start an antique store.
By selling a single unique artefact to the right buyer, you can easily make thousands of rupees. It could be a very lucrative business for people with the know-how of antiques. Use platforms like Facebook and Instagram to get the attention of a wider audience.
Selling apparel is one of the most popular eCommerce niches. In fact, it is also among the best low-investment business ideas in Pakistan. Depending on your budget, you can create your own label or go selling items from other popular clothing brands.
There is also an ever-growing demand for used imported clothes or export items that are rejected due to minor defects. Make sure to pick only the products that are in good shape. Take examples of brands like Khazanay.pk and Export Leftovers (shortened as Elo). Places like Lunda Bazaar (Light House Market) and Shershah Godowns in Karachi are where you can easily find imported clothing items and accessories in bulk at wholesale rates.
Here are some of the basics you should know before setting up your online clothing business.
Moblie accessories are among the most selling items on the internet these days. To set up an online mobile accessory store, no hefty investment is required. You can sell them on different marketplaces like the ones available on OLX.com and Facebook.com. Make sure the accessories you are selling at your store are in demand if you want to generate profit.
With constantly increasing property rents, the concept of co-living spaces is also on the rise in Pakistan. These accommodations are ideal for students, expats and working professionals. Co-living spaces usually offer separate and shared accommodations. An ideal co-living space should include all basic facilities.
To set up a co-living space, find a property located in business centres and commercial districts. Such areas usually have educational institutions and corporate enclaves, which means more potential walk-in customers. For the convenience of the residents, you can also offer add-on amenities like a WiFi connection, activity area, gymnasium, etc.
When your car is a 5- or 7-seater vehicle, why go to the office alone? Why not start generating profit from your driving skills? In this era of mobile devices, carpooling has become more convenient than ever before.
Amid rising inflation, fuel saving has become crucial and carpooling is the best way to do it, not for you but also for others around you. You can also start a pick-and-drop service if you have spare time, helping people with their commuting needs. It would be a good source of a second income.
If you know how to take care of your health and have a lean body, become a fitness trainer. Of course, it is that easy in today’s world. No, you won’t need to buy any physical space to offer your services, you can simply offer them online. Let’s find out how you can get to your goals and start earning money.
Ever wonder how to invest in a vacation property? You can not only use it for your own leisure but also make money from it, especially during the tourist season. Pick a suitable location for your investment property. You can even look for a summer home located in the northern areas of Pakistan.
Your vacation property near a famous tourism spot can generate a rental yield of up to 8%. It may also enjoy high real estate appreciation down the road. If your vacation rental business thrives, you can also consider diversifying your property portfolio.
In today’s world, the biggest source for reaching out to people is the internet. With the availability of world-leading platforms like OLX.com.pk and Airbnb in Pakistan , you can easily list your vacation property to attract renters.
Here’s how to list your vacation property on OLX.com.pk
The process of creating a listing on Airbnb involves a few steps elaborated below.
If you have carving, beading or calligraphy skills, you can earn money from them by selling your handicrafts. Handicrafts of Pakistan are famous all around the world. To start your handicraft business, you don’t have to set up a shop or something like that. Instead, you can simply start from an e-commerce platform.
If you can take good care of infants, toddlers and young children, you can start offering babysitting services. You need to spread the word about the services you offer among your contacts or social circle.
While taking care of the little ones, you can also offer them tutoring services and charge for them separately. It would be a good side hustle, especially for students to take care of their basic expenses. Nannies and babysitters in Pakistan usually earn around PKR 35,000 a month on average.
Yoga classes
People who are good at self-care, self-regulation and meditation skills can easily start offering yoga classes. It is among the most popular low-investment business ideas in Pakistan for students and young professionals alike.
You don’t have to quit your day job to offer yoga classes. Instead, you can set your schedule in the after-hours or early in the morning. Don’t have a budget to set up a studio? Fret not. You can easily start your wellness venture online on YouTube, Facebook or any other free online broadcasting media.
If you have good organisation, networking and management skills, you can utilise them in event management. Yes, event management can now also be done virtually, thanks in part to advanced technology.
After the Covid-19 pandemic, hosting events online has become pretty common around the world. Virtual event planners manage webinars, online conferences, virtual trade shows, podcasts, and other similar events. Successful virtual event management can let you earn up to $1,000 a week.
Becoming a real estate agent is also a lucrative business idea in Pakistan with small investment. You can either set up an agency or offer your services individually. However, the best way to multiply your income as a real estate agent in Pakistan is by becoming a Zameen Affiliate.
By marketing high-end projects, you’ll get a chance to diversify your portfolio. Associated with Pakistan’s No.1 property website, Zameen Affiliates have the opportunity to represent top-notch investment opportunities. Currently, 34,000+ affiliates around the world are using the Propforce website and application and are earning hefty commissions.
Setting up a local grocery store is also among the most popular cheap business ideas in Pakistan. You need to have basic accountancy and public dealing skills to manage a shop. You can either buy a shop or look for a rental space for your business.
If you are going for a larger setup, look for a location with high foot traffic. You can also offer your products on online marketplaces. It will allow you to have more than one stream of revenue for your business. Also, try to offer free delivery on large orders to facilitate your customers.
Want to start a retail setup on a small scale but looking for high exposure? Consider setting up a kiosk in a shopping mall or a commercial centre. Such places have a high footfall usually all year round. Investing in a kiosk or a cart is usually cheaper than buying or renting an entire retail outlet. You can start selling anything you want or have expertise in. For example, handicrafts, antique items, clothing items, mobile accessories, etc.
Long gone are the days when you have to put in a heavy investment to start your own logistics company. With the presence of the latest technology, you can start your shipment business with limited resources.
There are many e-commerce ventures these days that rely on delivery services to keep their operations running. You can reach out to them and tell them about your business. Make sure to offer special discounts and promotions when starting your business.
The scope of website and app development is increasing day by day. In fact, it has become one of the most thriving business ideas in Pakistan. Many tech enthusiasts are earning well by offering these services on-site or remotely.
Learning such skills is not easy because the competition is high. However, if you have a passion to learn and improve, you could get a hang of things with time. For people having the right skills and experience, the field is very lucrative. A running website and app development business can earn thousands of dollars a month.
There you have it — our comprehensive guide on 39 low-cost business ideas in Pakistan.
For more informative lifestyle and property pieces, stay tuned to Zameen Blog. If you have any queries or feedback, reach out to us at [email protected] .
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The developer of a new Millcreek Mall restaurant is finalizing plans for the site.
The 7,662-square-foot BJ’s Restaurant & Brewhouse is planned for construction on a portion of the property previously occupied by Sears Auto Center, off Peach Street. A portion of that property already is occupied by Sonic restaurant.
Township supervisors approved a land development plan for the project submitted by Bohler Engineering of Pittsburgh in June 2023. Yet to come is a stormwater management plan for the site.
The developer can apply for construction permits once that plan is approved, township officials said.
BJ's Restaurants Inc. owns and operates more than 200 restaurants in 29 states, including four others in Pennsylvania, in Pittsburgh, Upper St. Clair, Allentown and Lancaster, according to the company website .
The restaurant/brewhouse specializes in deep-dish pizza and craft beers.
● The Bayfront East Side Taskforce is gearing up to help light up the neighborhood in Erie's historic Historic East Bayfront.
As one of four recipients of the Safe Routes to Parks Pennsylvania Activating Communities 2023 grant and technical assistance program, B.E.S.T. conducted a nighttime audit of the neighborhood to identify areas that might benefit from additional lighting.
The organization purchased light-sensor LED light bulbs and developed a plan to install them — free of charge —– for interested residents as part of their Safe Routes to Parks action plan.
Use this pizzeria business plan as your template to create the best pizza shop in town that’s also a thriving, profitable business! This pizza business plan includes market analysis, strategy, more.
Download this Pizza Business Plan free for easy editing in Microsoft Word, Google Docs or Apple Pages:
Also Read: Starting a Small Business – A Complete Guide with Templates and Tools
Table of Contents
1.0 executive summary, 1.1 company & industry.
Olympic Pizzeria will become Seaside’s first, fast and free delivered pizza restaurant. The pizza restaurant industry in Seaside is minimal, with only one other pizza place. Olympic Pizzeria is conveniently located for both tourists and locals, and a complete restaurant with low lease terms has already been secured. The owners all bring business management background, as well as hospitality industry experience. This pizzeria business plan outlines the market and strategy to create a profitable pizza restaurant business.
Olympic Pizzeria offers fast and free delivered pizza. The pizza, made with unique, East Coast based recipes and a secret sauce, include a vast array of topping selections, as well as healthy alternatives. The company also will offer mobile beach vending carts to allow tourists on the beach a quick and easy dining option without leaving the beach.
Seaside has approximately 6,000 full time residents, which more than doubles during the tourist season. Olympic Pizzeria targets both the local segment and the tourist segment. In addition, the healthy menu items provide an alternative dining option for many tourists. It has been estimated that at least 25% of households will order pizza for delivery at least once per month.
Olympic Pizzeria will implement an effective marketing and advertising campaign, consisting of direct mailings, community and event sponsorships, and coupons. Additionally, the company has formed partnerships with area resorts and hotels to inform guests about Olympic Pizzeria and its dining options. Sales are expected to double during the tourist season, at which time a complete staff consisting of cooks, drivers, and wait staff will be hired.
Olympic Pizzeria has a strong management team consisting of its three owners. Each owner brings education in business management. Additionally, each owner has experience working in either the resort industry or the food industry. The management team has successfully started one other restaurant in nearby Portland.
Olympic Pizzeria has a strong financial plan with first year earnings exceeding $30,000 and cash flow positive by month 5. It is expected that the company will have losses during the five months that tourism is slow, however during the busy months monthly profits will exceed $10,000. Yearend cash balances will exceed $30,000, and the bank loan will be paid off within two years.
Olympic Pizzeria requires $85,000 in capital to begin operations as described in this pizza business plan. The three owners have personally invested $60,000 into the company. The remaining $25,000 will come from a bank loan that has already been secured. Funds will be used for building renovations, marketing and advertising, and daily operations for the first five months until the company becomes cash flow positive. Details are in the Strategy & Implementation section of this pizzeria business plan.
2.1 company & industry.
Olympic Pizzeria will become Seaside’s first chain of delivery oriented, family pizza restaurants. Although this is not a new concept, Seaside does not have a pizzeria that offers fast, free delivery along with a family dining atmosphere. Seaside is not only ready for a true pizza operation – it needs one, especially an operation that will focus on quality, price, and convenience.
Olympic Pizzeria is currently registered with the Secretary of State (Oregon) as a limited liability company under the name “Olympic Pizzeria LLC”. The company is owned equally by its three managing partners.
Each of the founding partners brings different experience to the company. Having experience in the hospitality industry, management, and pizza making, the three partners have teamed up to create Olympic Pizzeria to fill the current need in the market.
Olympic Pizzeria is located in a prime location in Seaside, Oregon, at the corner of Broadway and Highway 101. Not only does this appeal to all of the tourists, being centrally located on the main street in town, but also attracts travelers on the highway driving through.
At this location, an existing vacant restaurant has been secured. The building is fully built out to accommodate the needs of the pizzeria, including complete kitchen, dining, and office areas. The owner has agreed to $1.80 per square foot in rent ($900/mo.) and will include garbage pickup and water. Utilities will be based on use.
The most significant assets will be the kitchen equipment, including the oven, mixer and prep tables. As the reputation for our pizza grows, our most important assets will become our recipes and the Olympic Pizzeria brand.
3.1 product description.
Olympic Pizzeria provides premium pizza with fast, free delivery to the Seaside area. Olympic Pizzeria specializes in making superior pizzas, with proven recipes that have successfully launched pizzerias in other parts of the country. The restaurant combines hand-tossed dough, along with a secret sauce, that entices customers to return. Menu items are priced marginally higher than pizzerias in other towns, as the primary customers are tourists, whom expect to spend more while on vacation. This allows for free delivery, as well as additional menu options, such as whole-wheat dough.
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Olympic Pizzeria offers a wide menu selection to appeal to many different customer preferences. As more people are beginning to eat healthy, whole wheat options are available for pizza crusts and breadsticks. Additionally, Olympic Pizzeria is the only restaurant that provides vegan options to customers. Multiple flavored crust options (cheese, garlic, etc.) along with an array of pizza toppings, also sets Olympic Pizzeria apart from the current competition. Finally, expanded operating hours and fast, free delivery, allow customers multiple dining options.
Currently there is only one direct competitor, Southside Pizza, which is the only pizzeria that delivers in the Greater Seaside area. Typically their deliveries take an average of an hour per order and incur a $2 surcharge. Additionally, they only deliver between the limited hours of 5-8 pm. A three-topping delivered pizza will cost over $17 and take an hour when ordered from Southside Pizza.
The indirect competition includes Bill’s Diner and China Wok Buffet. Bill’s Diner sells take-and-bake pizza at a very reasonable price; however they do not offer delivery. They also do not offer dough variations. China Wok Buffet does deliver for a $4 surcharge; however they do not offer pizza in their menu.
As there is limited competition, Olympic Pizzeria will have a first mover advantage in offering quality pizzas for fast, free delivery. Once established, it will be difficult for another pizzeria to enter the market, as Seaside is not large enough to support three pizza restaurants year-round. Additionally, Olympic Pizzeria has lower fixed costs through negotiations on a long term building lease. The pizzeria also offers a wider variety of menu items, including whole wheat crust options, which the competition does not offer.
Olympic Pizzeria plans to open another location near the waterfront, which will serve as a convenient place to eat while tourists are enjoying the beach. This location will act as a hub for several mobile carts strategically located along the beach, which will offer pizza by the slice and drinks to customers. As customer’s preferences are further defined, menu items will be added to expand the target market. For example, a healthier alternative, such as wraps, will be added to the menu. Additional locations in other towns along the coastline may also be considered.
4.1 target market.
Seaside, like several other small towns along the Oregon coast line, has a tourist based economy. There are two distinct market segments that Olympic Pizzeria will target: the tourists and the locals. The tourists mainly consist of vacationers with disposable income that are willing to spend more for a quality pizza. The locals consist of either upper-middle class retirees or lower-middle class middle-aged workers, both which enjoy quality pizza 1-2 times per month.
The full-time permanent population of Seaside is slightly more than 6,000 people, growing at an annual rate of 6%. However, the population doubles during the prime summer and fall vacation months. It is estimated that 90% of the population eat pizza, with 40% eating pizza at least two times per month.
The target market is experiencing growth annually in both full-time population and tourist visits. Additionally, a new market segment has begun to appear with people beginning to look for healthier dining alternatives. Olympic Pizzeria’s exclusive whole-wheat crust option targets this new market segment.
The SWOT analysis for this pizza business plan is as follows:
Strengths: fast, free delivery; unique recipes and secret sauce; first mover advantage; healthy menu options; low overhead and fixed expenses; prime location; management team
Weaknesses: higher variable costs for ingredients due to better quality; competing pizzeria already operating; three person management team
Opportunities: tourists allow higher margins; mobile beach carts for additional delivery method; capture local delivery market with faster and cheaper delivery
Threats: new pizzeria entering market; existing competition offering fast, free delivery
5.1 philosophy.
Olympic Pizzeria will be the premier pizza restaurant in the Seaside area, offering unique, healthy menu options and fast, free delivery.
Development of the facility will be minimal, with minor modifications and the addition of pizza ovens being the only major renovation. Proven recipes have already been secured. Delivery drivers will be outfitted with GPS units to aid in fast, efficient delivery. Development of the mobile beach vending carts will be finalized once the main restaurant has been operational for at least six months.
Although the internet may not play a vital part to the marketing of Olympic Pizzeria, a website will be designed and maintained to promote the company. Along with advertising specials, customers will be able to look through the complete menu, and place orders for takeout or delivery online.
We will build our website using Wix , which allows us to create an attractive pizza website with ecommerce capabilities very quickly. It also includes the ability to make updates as we tweak our product offerings and add regular promotions. Using Wix will also allow us to save on website development costs because we will not need to hire a company or consultant to manage our pizza website.
We will also use Send In Blue for email marketing to send weekly promotions and coupons to drive repeat business.
In the pizza delivery business, aggressive marketing is the key. Typically, having a pizza delivered to your home is an impulse purchase. This requires a strong advertising campaign including direct mailers and coupons placed in newspapers. Additionally, Olympic Pizzeria will develop strategic marketing campaigns to target guests of area resorts and hotels. Sponsorship of local sports teams and events will also be used to broaden reach.
Given the target market of tourists, Olympic Pizzeria can charge a premium for its menu items. As dining is often an impulse purchase, it is difficult to estimate sales forecasts, however it is expected that during the tourist season, sales will increase significantly. We have estimated that of the 3,000 full time households, 25% will make at least one order per month, which equals 25 pizzas per day. During the tourist season we expect at least 50 orders per day. This equates to 14,250 pizzas per year, and gross revenues of $285,000.
Olympic Pizzeria has formed alliances with area resorts and hotels to allow marketing and advertising of our menu to guests and tourists. Additionally, the restaurant has been given permission to place mobile vending carts on the beach, in exchange for sponsorships of local community events. Partnerships with fresh ingredient suppliers are also being negotiated.
Operations will be managed by the three managing partners. This will include all marketing activities, financial and accounting activities, and operational activities. The restaurant will employ a small staff of waiters, cooks, and delivery drivers. Staff will be trained by the management team to ensure quality and consistency of food preparation.
This pizzeria business plan anticipates that within 10 years, there will be 10 Olympic Pizzeria locations in operation. At this time, company valuation is expected to be around $5 million, which will allow an adequate-sized venture to become interested in acquiring the company.
6.1 organizational chart.
The company will follow a typical hierarchical structure with the management team discussed below as the co-owners., who will be responsible for all operations and management duties early on. Additional staff will be needed for pizza preparation, delivery, and wait staff. Once the company has expanded operations, a general manager will be hired to take the duties of the owners.
The initial management team consists of the following three owners:
Sean Smith is currently the Resident Manager at Oceanside Resort. He has extensive experience resorts operations and management, as well as computer database administration. He also is experienced with resort marketing. His background will aid in resort relations, as well as handling public relations and special events. He has a degree in business from Oregon State University.
Aaron Lambert is currently the front desk manager of Pacificview Resort. He has experience in starting and operating an upscale deli at the Hilton in Portland. He has a broad based management background that includes very large, four-star resorts to a smaller, hands-on resort. Aaron has a degree in business with emphasis in resort management from Azusa State University.
David Crawford is the assistant front desk manager at the Pacificview Resort. He has worked with Aaron for the last three years, beginning with the deli project at the Hilton. David comes from the East Coast, where he has experience in the pizza business. He has background with backline operations such as dough and sauce prep, consistency control, and recipe creation. He has experience as revenue auditor for restaurant, casino and hotel operations. David has a degree in business administration from the University of Ohio.
It is estimated that a staff of 10 will be needed to maintain operations. As this industry does not require special training and turnover is typically high, staff wages can be relatively low. Most of the staff will maintain part time hours, as many will be high school students and retirees. This will eliminate the need for expensive benefits and other requirements.
Olympic Pizzeria’s advisory team consists of a certified public accountant, who takes care of all tax accounting requirements, as well as a corporate attorney that is held on retainer in case any legal needs arise.
7.1 requirements.
Olympic Pizzeria has secured a funding in the form of a bank loan for the amount of $25,000. This is personally guaranteed by each of the owners. Additionally, the owners have invested a total of $60,000 into the company. Investment contributions were made equally by each of the three partners.
Funds will be used primarily for renovation and upgrades to the kitchen ($55,000), including new pizza ovens, kitchen equipment, and dining room décor. Additionally, advertising expenses and marketing collateral, as well as initial inventory, insurance, rent, and utilities, will all need to be purchased in the first month of operations. Remaining funds will be used as operating capital, including tasks mentioned earlier in this pizza business plan.
It is projected that first year revenue will exceed $285,000, with the sale of nearly 15,000 pizzas. Monthly revenues are expected to vary between $15,000-$30,000, depending upon tourist seasons. Fixed expenses are projected to be around $15,000 monthly, which includes wages, marketing and advertising, insurance, rent, and utilities. Variable costs are estimated to be $3 per pizza. Net losses are anticipated during the non-tourist months, however during tourist seasons the monthly profits are expected to exceed $10,000. First year earnings are estimated to be $37,000, with second and third year earnings projections of $45,000 and $52,000.
The break even analysis works out to an annualized average of 900 pizzas per month or $18,000 in sales.
The company is expected to be cash flow positive by the fifth month of operations. The initial owners’ investment of $10,000, along with the bank financing of $25,000 ensures that free cash never drops below $2,000, with most months exceeding $5,000. By the end of Year 1, the bank account balance is expected to exceed $35,000, which will allow expansion of the company operations.
Olympic Pizzeria’s balance sheet will show $85,000 in assets, attributed mainly to equipment, leasehold improvements and cash. Liabilities will be only $25,000 upon launch and zero within two years. Equity will continue to increase as retained earnings stay positive and debt is paid down.
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On a hot July day, cattle farmers Jesus Hurtado and Dirk Rietsma welcome a delegation of international visitors to Suntado, their soon-to-open dairy processing plant in Idaho’s Magic Valley. The visitors include the Chinese official who serves as official emissary to the western state. For the life-long dairymen, her presence is a key step to realizing their $150 million dream of shipping their milk around the world.
Most of Idaho’s 500 family-owned dairy farms sell locally—or as far as the milk can go before it is processed or spoils. Hurtado and Rietsma are taking a different tack: They invested in 18 aseptic production lines that extend the shelf-life of milk from about two weeks to 12 months. The change means the two farmers, who collectively produce about 100 million gallons of milk a year, can now seek out new markets across the globe.
China is only the third largest importer of American dairy, after Mexico and Canada, spending $607 million last year. But, considering the changing cultural attitudes towards dairy, it also represents one of the largest growth opportunities. According to data from the Food and Agriculture Organization of the United Nations, China consumes about 15% of what Americans consume per capita. If that gap closes China would add more than $600 billion to the global dairy market.
Even amid rising geopolitical tensions, the U.S. and other countries are fighting for a slice of that…cheese. China’s minister of international trade, Wang Shouwen last month invited American dairy firms to set up shop in China and the U.S. Department of Agriculture announced a $1.2 billion investment in dairy exports. Some of the largest banks in America are already financing a $7 billion dairy boom, and private equity is starting to take note.
“Protein is a building block of life,” said Reitsma, speaking from Sunrise Organic Dairy in Paul, Idaho, where he tends to 10,000 cows. “And a lot more people are realizing that the whole dairy protein is as good as you can get, better than anything else that we consume.”
The Chinese dairy investment opportunity goes back sixteen years, according to David Ettinger, a food safety lawyer at Keller and Heckman, whose clients include candy giant Mars and and plant-focused Impossible Foods. Amidst conflicting reports on whether the disparity between Chinese consumption and most the rest of the world might be based on a genetic difficulty processing dairy, Ettinger blames it on insufficient regulation.
In 2008 the Chinese government seized tainted milk from more than 20 companies, leading to a global freeze on many Chinese food imports. The seizure only came after the poisoning of multiple children, making consumers wary of purchasing local dairy. China’s government mounted an aggressive response, which included the execution of two corporate executives. But it was too late, and Ettinger says many Chinese shoppers still choose to spend more rather than buy local.
It wasn’t until ten years after the scandal, in 2018, that China started publicly fighting for global dairy market share. That year the state council, the highest administration in China, published a report on how to revitalize the dairy industry. “That was when I first started to see China put some focus on encouraging dairy,” says Ettinger during a recent trip to D.C. “Because if they push the dietary intake of dairy, the consumers are not going to buy it, unless that trust comes back, and it was damaged for almost a decade.”
Between 2017 and 2022 China’s dairy consumption increased slightly from 30.4 million metric tons to 39.3 million metric tons, according to a Rabobank report from last year, and is on course to grow by an average compound annual growth rate of 1.5% by volume, reaching 62.2 million metric tons in 2032. If China consumed the same amount of milk per capita as the United States, it would consume 326 million metric tons. At todays prices , converted to U.S. dollars, that would be worth $626 billion.
“Pizza has become their lunches and dinners,” writes Tara Qu, China’s chief representative to the State of Idaho, in an email to Fortune . “However, China’s import of dairy products has reduced in the recent years.” The Rabobank report predicts an 8% drop in imports, due largely to increased local production.
Leading the fight for that market share is New Zealand, with 42% of the market last year, followed by 13% from the U.S. and 11% from Germany. While New Zealand and Europe are both integrating stringent sustainability measures into their dairy rules, American regulations are much more lenient, according to Wells Fargo economist Tim Luginsland. “They’re not expanding due to the carbon footprint etcetera,” says Luginsland “And we are continuing to build out.”
Based in Burley, Idaho, the roots of the Suntado dairy farm go to back to 1986, when Jesus Hurtado immigrated from Casacuarán, Mexico and learned the trade at Reitsma Dairy, the farm owned by Dirk’s father, John. Hurtado proved himself so adept at the job he ended up buying the farm, and rebranding it Hurtado Dairy, which manages 30,000 cows. In 2013, Reitsma bought his own dairy, 30 miles away.
The old friends turned friendly competitors grew tired of shipping so much of their value to third-party processing plants and hatched a plan to personally invest $45 million as collateral to borrow $150 million from New Jersey-based BMO Harris.
Though regional banks still finance most American farms, it’s the new technology at these processing plants that gets large American banks’ attention. Not only do the plant’s aseptic production lines extend the shelf-life of milk, but they also let the dairymen keep the tolling fees—the cost to process and package the milk—they’d otherwise be paying others, generating an estimated $300 million revenue the first full year of operation, says Reitsma. By the time the company is fully operational it’ll employ 300 people and generate more than $1 billion revenue.
The upstart farmers are competing with some of the largest dairy companies in the world. Coca-Cola’s dairy production service fairlife is building a $650 million plant in Webster, New York, and earlier this year added a new line of “high nutrient milk” to its China line. Seattle-based Darigold is building a $600 million facility in Washington, selected specifically because of its proximity to the Columbia River, and streamlined access to China.
The dairy boom is largely being financed by five commercial banks: Bank of America , the Bank of Montreal , First National of Nebraska, U.S. Bancorp , and Wells Fargo, the largest bank investing in American dairy, according to data from financial research firm Stephens. Though Wells Fargo declined to share its total capital invested in dairy, its Minneapolis-based executive director, Josh Villas, has more than $1 billion allocated to dairy companies with revenue between $500 million and $10 billion. He says the single most popular reason dairy companies borrow money is to expand.
Private equity firms are also paying attention. Over the past year alone, Platinum Equity, Altamont Capital Partners and Osprey Capital have all bought U.S. dairy firms. In 2021 KKR invested in Adopt-a-Cow, a Beijing-based dairy firm. Villa’s latest financing round, in Minnesota-based Milk Specialties Global, caught the attention of PE firm Butterfly, in part because it opened up dairy markets in China and other nations.
Silicon Valley venture capital firms are also looking to get a piece of the Chinese dairy market. In 2021, Sequoia Capital affiliate Sequoia China invested in Chinese yogurt company, Simple Love and reportedly bought a 15% stake in Junlebao Dairy Group, for $170 million. Earlier this year, though, geopolitical tension forced the affiliates to part ways, leaving most of the Chinese assets in China. Though a letter signed by members of Congress expressing concern over the separation didn’t explicitly mention dairy, it speaks to lack of trust between the nations.
Meanwhile, Georgia state representative Mike Collins has warned that China owns 384,000 acres of American agricultural land, calling it a threat to national security. Even as China’s international trade representative Wang Shouwen welcomed U.S. dairy companies to the Chinese market, he warned that U.S. tariffs on China could result in “severe potential consequences on U.S. companies in China.”
“The U.S. and China aren’t really on the best of terms right now, and that likely won’t improve in the future, at least for a while,” says Mike McCully, a consultant focused on dairy and food companies. “This isn’t to say U.S. companies that have sales offices in China won’t be able to grow sales, they will. It’s just that there are a number of challenges to work through.”
Back at Suntado, Reitsma and Hurtado processed their first dairy truck last month, and the first phase of the build is already operating at full capacity. Going forward, the expansion will include 12 more production lines, tripling capacity, and finally opening up access to their first overseas clients. Reitsma says they’re currently in discussions with multiple companies in China and hope to enter the nation next year. “Their palate is changing,” he says. “And they’re seeing the health benefits of milk.”
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KARACHI: Islamabad-based Maaks International has acquired MCR and MCR Pakistan, the firms that run food chains Pizza Hut and Burger King, respectively, in the country, in a transaction industry officials put in the range of $10 million to $15 million.
The franchise business of the two food outlets is currently out of commission with the new owner vowing a comeback within this month, and an addition of roughly 25 new outlets each year. The companies will retain their brand identity, but will come under new management.
Maaks International, a privately-held business, has operations in the rice, petroleum, hospitality, pharmaceuticals, and FMCG sectors.
Its acquisition will involve running the operations of 84 Pizza Hut and 9 Burger King outlets in the country. The new management vows to take this number higher over the next five years.
“We want to revamp operations completely,” Azhar Jafri, Executive Director of the newly-acquired MCR and MCR Pakistan, told Business Recorder in an exclusive interview.
“We plan to increase Pizza Hut branches to 200 and Burger King to around 50 by 2027.”
Jafri, who appeared to be more bullish on Pizza Hut than he was on Burger King, said there was no reason why the pizza business could not retain its position as market leader.
What went wrong?
Jafri said the company was unable to maintain Pizza Hut to its international benchmark, citing this as the main reason for its sub-par performance in the country.
“All outlets have been closed at the moment because of supply-chain issues. The previous management was neither focused on supply-chain nor the ambiance of Pizza Hut.
“During this time, it lost market share and allowed others to get ahead.”
Pizza Hut is owned by Yum! Brands, Inc., based in Kentucky, US. Its subsidiaries operate a system of over 53,000 outlets in 155 countries and territories under the company’s concepts – KFC, Taco Bell, Pizza Hut and The Habit Burger Grill.
Burger King is owned by Restaurant Brands International (RBI) Inc., one of the world's largest quick service restaurant companies with more than $35 billion in annual system-wide sales and over 28,000 restaurants in more than 100 countries. Tim Hortons, Popeyes and Firehouse Subs are other companies owned by RBI.
“The previous management stopped following Yum!’s guidelines. It has also happened in the past with KFC in Pakistan. You will struggle if you stray from those guidelines,” added Jafri.
While the official remained upbeat over future prospects, it was learnt that other business houses also looked to acquire the MCR portfolio that had been up for sale for a while.
“Many renowned businesses also bid to buy MCR but international businesses such as Yum! follow certain guidelines.”
Jafri said the transaction process is now almost complete, and currently, banks’ reconciliation is underway.
He added that the businesses would be run directly as opposed to “sub-franchising”.
The competitors
Jafri said that they will look to compete in the top-tier of pizza outlets, signaling that the price-point would remain high.
Despite inflation, Jafri said that there remains a big market for high-end food businesses in Pakistan.
“Go to Kolachi (restaurant) — there are around 1,000 waiters to serve the high number of customers. Go to Lal Qila (buffet restaurant), which is very expensive. Pizza Hut is comparatively inexpensive compared to their food.”
Jafri said Pakistan’s restaurant market has huge potential. International food-chains such as KFC, McDonald's and even Nandos are all making money in the country.
“Pakistan has been left with two income groups left. You either belong to the high-income group or the low-income one. The middle-income group has been squeezed.”
“Recently, our RGM (Regional General Manager) from Sukkur asked us to open a Pizza Hut outlet in Larkana. He said one KFC branch was recording sales of Rs600,000 to Rs700,000 a day.”
He added that the company was pondering opening branches in Nawabshah and Larkana.
“We may have competition here (Karachi) but we won’t have it in those areas. No one else would go there.”
Jafri said that they will make the best use of technology in what he called the transformation phase.
“We have sent the people making software for us to Dubai so that similar software that Yum! uses internationally is used here as well.”
Issue of pending salaries
Meanwhile, a person recently employed at the company on condition of anonymity, since they were yet to settle arrears, told Business Recorder that there is a large number of employees waiting for salaries.
“Some of our dues have not yet been cleared,” they said.
Jafri admitted the new management has started the process “but due to the reconciliation and transition, pending payments have not been released as yet”.
“It’s not only salaries but vendors and landlords (have been waiting for their dues).”
Jafri added that every payment due on the company will be cleared.
“(We will pay) 100% once the audit and reconciliation is complete,” he added.
He said that there are around 1,200 human resource personnel employed by Pizza Hut and they were screening them to see which ones they can retain.
“We have a plan for complete revamp. Screening is part of that plan.”
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The sale worth between $10-15 million marks a major shift in the trajectory of the first international fast food chain to enter Pakistan
LAHORE: After months of being shuttered, the franchises of Pizza Hut and Burger King are set to re-open in Pakistan after a change in ownership. Pakistan’s oldest international fast food chain, and once one of its biggest, Pizza Hut had shuttered shop a few months ago.
The Pakistani franchise rights of both Pizza Hut and Burger King currently belong to MCR Pvt Ltd, which opened the first branch of Pizza Hut nearly three decades ago in November 1993. However, in the past decade Pizza Hut has taken a beating on the market with the entrance of new pizza franchises such as Dominos and Papa Johns. Despite an effort to revamp back in 2017, it seems the local owners of the iconic pizza restaurant have had enough and are set to sell.
Reliable sources have said that MCR is currently in late-stage talks with Maak International for the sale of both their Pizza Hut and Burger King franchises. Maak, an Islamabad based business group which operates in the rice, petroleum, hospitality and pharmaceutical sectors, has confirmed that the transaction is now close to completion and bank reconciliation is underway. If completed, the transaction will amount to somewhere between $10-$15 million.
Maak International has claimed that they will have the 84 branches of Pizza Hut and 9 branches of Burger King spread across 23 cities in Pakistan up and running again within a month. The question is, however, what brought the once mighty Pizza Hut to such dire straits in Pakistan, and why did Burger King never take off?
The Pizza Hut story
Beginning its operations in 1993, Pizza Hut was the first international fast food chain to enter Pakistan at a time when the long-reach of globalisation was just stretching into our borders. In fact, Pizza Hut was a pioneer in Pakistan. KFC would not open its first franchise in Pakistan until 1997 and McDonald’s would not do so until a year after them in 1998.
And for a long time Pizza Hut dominated the pizza market in Pakistan, largely because they single-handedly created the demand. There were, of course, some pizza pioneers in Pakistan. Islamabad had the still functional Pappasallis and Karachi also had some local pizzerias. However, these were also new, popping up in the 1980s and 90s. It is hard to imagine today with every bakery, restaurant, and cafe having its own rendition of pizza on the menu and dozens of dedicated pizza chains in the country, but there was a time when this famous Italian dish was not commonplace in Pakistan. That only happened after the introduction of Pizza Hut.
It was Pizza Hut that brought Pizza to Pakistan and introduced familiar flavours that would appeal to the Pakistani market. On top of this, the first-mover advantage of being an ‘American’ brand operating in Pakistan gave them a growing clientele. But very quickly competition started to pop-up. More and more ocal pizza shops and chains began opening, but this only indicated the growing demand. Pizza Hut’s popularity never waned, and with still remembered features such as an all-you-can-eat salad bar and their famed Ramzan deals, Pizza Hut was easily on the top of the pizza food-chain. Then came Dominos.
Enter Dominos
Entering Pakistan in 2004 and opening their first franchise in 2009, Dominos had a rough landing in Pakistan precisely because of the hold Pizza Hut had on the market for two-and-a-half decades. According to a case study by Naveed M Khan, an associate professor at Bahria University, Domino’s International entered Pakistan in 2009 through a master franchise agreement with “ Hilal Confectionery”.
There was, of course, a lot of buzz when Dominos first entered the market. They were a famous international franchise, and had also seen great success in the Indian market — which meant there was a lot of curiosity regarding them. In the first four years, although sales of Domino’s pizza was around Rs. 2 million per month from 13 outlets in Pakistan, their operational losses were somewhere around 33%.
Pizza Hut was massive. Opening 13 branches and then also providing good deals for customer acquisition was very expensive. So what did Dominos do? Floundering and fast sinking, they poached one of Pizza Hut’s star employees.
A dip in quality and an inside job
Muhammad Ahsan Ahmed had been at Pizza Hut since April 2005. He had started off as their head of Business Development and went on to become their General Manager for HR, and Business Operations. In 2012, Dominos hired him as their CEO. In a short time Mohammad Ahsan was able to cut losses and made the company profitable.He Was very successful in cost cutting the first phase of reorganising the business, and went on to create value and increase sales dramatically.
“For those interested in what I did at Dominos, it worked out in three phases. Phase one was helping the company hit the elusive operational profitability. Phase two was achieving the first ever month of Positive P L in over nine years, and phase three was helping the company grow by as much as 70%”, he says on his LinkedIn profile.
As the head of Pizza Hut’s business development, Ahsan had a front row seat to all of the franchise’s strategies. Using his experience in the business, he was able to turn things around at Dominoes. He remained at Dominos between 2012-15, before moving on to Dominos KSA. However, in the decade after he took over, Dominos grew to have 62 branches in Pakistan and had Pizza Hut on the ropes.
But Ahsan’s exit was not all that suddenly made Dominos such a success. In 2013, the first branch of Burger King also opened in Karachi. Rich and settled from the business they were getting from Pizza Hut, MCR decided to bring Burger King franchises to Pakistan as well. And they made quite a splash doing this, opening not one but three branches in Karachi at a time. The response, however, was muted. And attention and investment started to be diverted towards Burger King which just refused to take off in Pakistan in the presence of McDonalds.
At the same time, the family that owned the Pizza Hut franchises were also going through a transition. The second generation seemed less interested in getting their hands dirty with the daily grind of running a large chain of franchises, and the quality of the pizza began to drop. Domino’s resurgence coincided perfectly with this, and as Pizza Hut’s share of the market dipped Domino’s took full advantage. Simultaneously, newer and better local pizza chains also began opening. With the Pakistani market’s appetite for pizza now more refined, pizzas other than deep-pan became popular and the market grew significantly.
Pizza Hut tries to clap back
In the meantime, other franchises also began operations. NY21, Broadway, California Pizza, and Papa Johns are just a few of the new entrants in the market. As the market size shrunk for Pizza Hut, they had to go back to the drawing board. In 2017, Pizza Hut announced that along with a local partner they were going to invest some $3 million over the next five years and open 75 new branches of the franchise.
During a ceremony at the US Consulate in Karachi, a new franchise agreement was signed between Yum! Brands – the Fortune 500 company that owns Pizza Hut – and MCR. The deal was aimed at expanding Pizza Hut’s presence in Pakistan and adding to its network of 75 outlets over the period of next five years.
Meanwhile, MCR President Aqueel Hasan said that the agreement presents a massive opportunity for Pakistan, adding that the country was looking at approximately $3.4 million on average in investment alone from the deal.
Except the new franchise agreement does not seem to have gone as planned. It has been reported that the company was unable to maintain Pizza Hut up to its international benchmark. The management of the Maak’s International identified that MCR failed to follow the guidelines set by Yum! Brands.
“All outlets have been closed at the moment because of supply-chain issues. The previous management was neither focused on supply-chain nor the ambiance of Pizza Hut. During this time, it lost market share and allowed others to get ahead” said Jafri.
Good Information
Absolutely brilliant article – a lot to learn on how to turn around a business.
The local regulators (if there are any) needs to seriously look at how to apply ‘deletion’ targets, to the international fast food & other chains operating in Pakistan for the imported raw materials (meat, fries, etc). These franchises should also bound by law to develop these products locally, as is done in India. This will help improve the standards of local produce to international standards and enable them to not only sell locally but also export the same.
one reason which is totally ignored in this article is there quality issues and failure to adopt conditions. once they started they were Pioneers n had no competition but when local competition entered with better taste and quality e.g Tehzeeb and cheezious in Islamabad, totally outclassed PH from Islamabad. I am sharing my experience from twin cities and here dominos is also not doing good
cheezious has changed whole scenario in upper and central Punjab regarding pizza lover’s…. even tahzeeb couldn’t compete there pizza quality 👌
Great article , profitable
New entrants operated smartly launching their outlets to be focused “takeaway points” whereas pizza hut followers stick to their expectation of pizza hut to be a large size, aesthetically maintained restaurant. Both these scenarios can’t compete at almost same pricing. Lower of the effeciant will have to quit
Too much localization in taste and flavors resulted in downfall of Pizza Hut because imitation became very easy for local pizza parlors.
Seriously. Tehzeebs pizza.. the Handi on naan is a pizza u love
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I was QA Manager from 2006 to 2011 in Pizza Hut Pakistan. Even at that time we used to have immense pressure from the top management to shift from the internationally procured ingredients to the locally procured ingredients. We tried out best to uphold the pressure and kept resisting to shift on the local vendors. When I left in 2011, I heard about shifting the major ingredients to the local, sub standard quality ingredients such as flour, cheese, pizza sauce, meat, chicken etc. Of course the food quality went down sharply. The owner did not have interest of running the business in Pakistan as they had been moving the assets overseas. Brain drain also started happening quickly resulting poor management, inferior quality of product and service and cash flows issues let the whole brand down. I visited Karachi a few days ago and heard the news of the closure of all the outlets. It is sad ending of an iconic brand.
felt great to read such an amazing writing by Abdullah and momina.
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I filmed in a real pizza kitchen to tech you how the pizza business works.. It is very profitable and a booming industry in Pakistan.Also very easy to run on...
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Craft a comprehensive pizzeria business plan step-by-step guide to launch and scale your pizza venture. Ensure success by exploring essential components like market analysis, menu creation, and financial projections. Starting a pizzeria requires strategic planning and a clear vision. An Ultimate Pizzeria Business Plan serves as a roadmap ...
Despite being able to build on 25 years of heritage, the Australian COO arrived with timely added urgency in January 2016. "Pizza Hut has gone through two franchise terms and is the first international brand in Pakistan, so over the years it may have rested on its laurels a little," he explains. "Competition has come to the market so we ...
Certainly, crafting a comprehensive pizza business plan is vital for entrepreneurs and aspiring restaurant owners. In our meticulously designed Pizza Business Plan Example, we offer a step-by-step guide that goes beyond the dough and toppings. This detailed template delves into market analysis, operational strategies, financial projections, and more, tailored specifically for the food industry.
Abstract. Pizza 363 is a newly launched pizza business in the local fast food industry of Pakistan. Pizza 363 started their operations with an emphasis on high-quality pizza at affordable prices. Initially, the food business was started by the two partners to satisfy the customer needs in the pizza business in Pakistan.
It's important for two reasons. First, if you need money to start or make your pizzeria bigger, the plan is a key document. Banks or investors will check it before giving you money. Second, the ...
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Pizza Shop Business is a lucrative business idea. You can get sales upto 35K... In this video, I have talked about how to start Pizza Shop Business in Pakistan.
For the investment, if you lack funding then you can also start a restaurant with partnership business model. In such a business model, you can either take funds from a sleeping partner who would invest in your restaurant business or you can invest in the business and join hands with someone who has the expertise to run a restaurant. 3. Franchise.
Food business is highly competitive in Pakistan. Factors like Delivery, Services, Brand amen & Exciting Discounts have a lot of effect on success of a Pizza Chain. The end goal would be to identify how to best optimize these factors and help the client in establishing profit making business which remains on the growth path. The purpose of this projects to work on business plan related to ...
Specifically, these funds will be used as follows: Restaurant design/build: $200,000. Equipment, supplies, and inventory: $50,000. Three months of overhead expenses (payroll, rent, utilities): $100,000. Marketing costs: $30,000. Working capital: $20,000. Easily complete your Pizza business plan! Download the Pizza business plan template ...
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Explore a real-world pizzeria business plan example and download a free template with this information to start writing your own business plan. ... and are based on Standard Industrial Classification (SIC) code 5812.0600, Pizza Restaurants. The ratios show a plan for balanced, healthy growth. Our return on sales and return on assets remain ...
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The developer can apply for construction permits once that plan is approved, township officials said. BJ's Restaurants Inc. owns and operates more than 200 restaurants in 29 states, including four ...
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LAHORE: After months of being shuttered, the franchises of Pizza Hut and Burger King are set to re-open in Pakistan after a change in ownership. Pakistan's oldest international fast food chain, and once one of its biggest, Pizza Hut had shuttered shop a few months ago. The Pakistani franchise rights of both Pizza Hut and Burger King currently belong to MCR Pvt Ltd, which opened the first ...
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The bad news is that authorities seem to be second-guessing the plan as it is likely to hurt the business interests of Pakistan's rent-seeking elite. 16 Aug, 2024 Nuclear bazaar