Business Outline

BBQ Delivery Business Plan
Browns Barbecue




Executive Summary


The westside of South Gate has experienced explosive growth the past three years. Over 3,000 new residents live in the westside area. Area businesses are slowly catching up with this new opportunity. Brown’s Barbecue is opening a new barbecue delivery service that will focus on the westside area.
Currently, the area's closest barbecue restaurant takes up to 45 minutes to deliver. Brown’s will cut the delivery time to no more than 20 minutes.
Brown’s will offer better barbecue, at a lower price, and will deliver it hot to the customer's door faster than the closest competitor.

1.1 Objectives
· Capture the majority of the barbecue delivery business in the westside area.
· Offer our customers a superior product, at a low price, and provide customer service that is second to none.


1.2 Mission
Brown’s Barbecue's mission is to offer residents of the westside the best barbecue delivery service in the city.

1.3 Keys to Success
· A superior product that will promote customer loyalty.
· A business location that will assure that the barbecue will be delivered quickly.
· Delivery people that have great customer skills.

Company Summary


Brown’s Barbecue is a new barbecue delivery service started in the city's westside area. Larry Brown, owner of Brown’s Barbecue, has seven years experience in the restaurant industry. His focus is to satisfy the customer's demand for a quality barbecue that is delivered quickly with a smile. Brown’s Barbecue will serve a seven mile area with over 25,000 residents. Overhead will be kept low so that Brown’s Barbecue prices will beat the competition. Delivery people will use their own vehicles so the business will not have to purchase delivery vehicles.

2.1 Start-up Summary
The start-up cost of Brown’s Barbecue will consist primarily of kitchen equipment. Larry Brown will invest $50,000.



2.1.1 Company Ownership
Brown’s Barbecue is owned by Larry Brown.

2.2 Company Locations and Facilities
Brown’s Barbecue will be located at the corner of 11th and Tyler. These two streets are the area's busiest and provide easy access to our service area.

Products
Brown’s Barbecue will offer a wide variety of Southern style beef, chicken and pork, as well as sodas and fruit juices.

Market Analysis Summary
The westside is a growing middle-class area with 25,000 residents. A majority of these residents are families of four or more. The average income for the area is $38,000. The boom in the area is primarily in response to new employment opportunities in the city's Westside Industrial Park. Businesses that traditionally do well with this population have demonstrated the potential for Brown’s Barbecue. A neighbor of Brown’s Barbecue, Magic Videos, has been in operation in the area for a little over a year. Magic Videos is the closest video store serving the westside area. Their sales have grown by 40% due to its location and the absence of direct competition in the westside.
With continued growth in the area, opportunities to serve the westside residents will increase. The company will sell predominantly to individuals, but it will also accept some catering jobs to individual parties and company functions in the westside.

Strategy and Implementation Summary
Brown’s Barbecue will use advertising to promote the business. We will use the local westside flyer to advertise. In addition, we will hire people to hold signs at the corner of 11th and Tyler. We will also use door handle flyer promotion throughout the westside neighborhoods.
Our most important promotion will be done in conjunction with Magic Video. We will offer a two for price of one video coupon with each purchase at Brown’s Barbecue that can be used at Magic Video. Magic Video will offer its customers a $2 off coupon that can be used at Brown’s Barbecue.

5.1 Competitive Edge
Brown’s Barbecue's competitive edge is:
· Location: Brown’s Barbecue is located in the heart of the westside area on the corners of 11th and Tyler. These two streets are the area's busiest. The closest barbecue restaurant to the westside area is a fifteen minute drive. Brown’s Barbecue can deliver in half the time of its competitors.
· Low Overhead/Lower Prices: Since Brown’s Barbecue only delivers barbecue, its prices don't reflect overhead demands of a traditional gourmet restaurant.
5.2 Sales Strategy
· The sales strategy of Brown’s Barbecue is simple. First, offer the customer a superior grill at a low price.
· Second, make sure that barbecue is delivered quickly. Third, the delivery people must work to create customer loyalty.

Management Summary

Larry Brown will be the manager of Brown’s Barbecue. Larry started as a waiter at the city's famous Kentucky Fried Chicken restaurant. At the time, Larry was in his junior year at Anne Arundel Community College. He graduated in 2005 with an Associate in culinary. Soon after graduation, Larry was offered the position of shift manager at the KFC. He has held that position for five years.


6.1 Personnel Plan
Brown’s Barbecue will have the following staff:
· Manager.
· One kitchen staff.
· Two delivery staff.

Personnel Plan
2008
2009
2010
Manager
$30,000
$34,000
$38,000
Kitchen Staff Member
$24,000
$25,000
$29,000
Delivery Staff (2)
$36,000
$37,000
$38,000
Other
$0
$0
$0
Total People
4
4
4
Total Payroll
$90,000
$96,000
$105,000

Financial Plan
The following is the financial plan for Brown’s Barbecue.

7.1 Break-evenAnalysis
The following table and chart show the Break-even Analysis: