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Hello,Need help writing a business plan. I need first 5/6 pages including the literature review (This should be detailed). I am attaching an example of a completed business plan and it provides an outline of what is expected for the course. Please remember that any research conducted must be sited and notated accordingly. The overview attached is a quick draft so please correct and update accordingly to meet guidelines. This should include a complete description including how you plan to finance and monetize this business.***If the first few pages are great and tutor demonstate compitence, I will retain for the remainder of the project. mama_bs_restaurant_outline.docx benjamin__mbaa_811___wine_bar_bp__final.docx benjamin_mbaa_811___finances___malbec_and_more___final_a.xlsx Unformatted Attachment Preview Sade Campbell Business Outline Mama Bs Caribbean Cuisine Mama B Caribbean Restaurant (referred to from hereon in as the Company”) is intended to be established as a C-corporation at, Summit, New Jersey 07901 with the expectation of rapid expansion in the food, restaurant industry. Business Description The Company shall be formed as C-corporation under New Jersey state laws and headed by Sade Campbell. The Mama Bs Caribbean cuisine is a comfortable, inviting restaurant that strives to make our customers feel as if they were actually on the island of Jamaica. The decor and theme are based on a tropical island theme. There will be a sand pot that will give customers a feel of the beach. We will have Red, yellow and green cover tabletops and signs, African mud cloth serves as upholstery, and a rotation of soca, reggae and dancehall play throughout the day. The energy and atmosphere of the restaurant are high and draws some of its power from the warm Sand pot and Tiki bar. By offering an exciting and rewarding experience for our customers, Mama Bs and its service-oriented approach will be immediately embraced by those that love dining out. Startup Funding We are seeking $80,000. I have $20, 000 in savings. I also have $10,000 business credit line. The remainder of the $50,000 will be funded an investment group. We prefer this approach as an early stage company because there is no set repayment schedule or debt service payments. The investors profit when the company profits. Financial Plan Our main concerns will be aggressive time management, so that our labor costs stay under control, and proper purchasing, prep and food handling to keep food costs down, as well as managing the higher costs of meats and seafoods. Secondarily, hiring the best grill and broiler cooks, training them properly and retaining them will be a critical component to good meat and seafood costs. A good grill cook does not waste chicken by burning them, nor does he anger customers by undercooking them. Growth will be sustained through a contribution to an expansion fund, and potential investment from current investors in a roll-over plan, and from potential future investors or bank capital. Sales Forecast The first month sales will open strongly, because of the advance buzz created by our pre-opening marketing, and our Grand Opening Festivities. Sales will drop off slightly as we begin to sort out our operational patterns. September is a slower month for restaurants. October and November see sales begin to build as we continue with our marketing, and relentless quality. December sees a sharp spike upward as the Holidays are in full swing. A typical week for the first six months will look like this (conservative estimate): Sun. $8,500 Mon. $4,000 Tues. $4,000 Wed. $5,500 Thurs. $7,000 Fri. $9,500 Sat. $11,500 Total Sales $50,000 Years 2019 - 2020 will see an 8\% annual increase. Costs will be higher during the startup months. Service Business Analysis All restaurants combined, from fast food to fine dining, show an average bottom line profit of 310\%. Margins are much better in full-service restaurants with good management, good staff, good concepts, good menus and wine lists, good location and good financial controls. A fullservice restaurant with all these factors should show a bottom-line profit of 13\% - 25\%. A Business Plan for Malbec and More Wine Bar Diana Benjamin MBAA 811 Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Table of Contents 1.0 Executive Summary 2.0 Problem Statement 3.0 Research Questions 4.0 Literature Review 4.1 Brief Background of Alcohol Consumption in the U.S. 4.2 The Trend for Wine 4.3 The Cost Associated with NYC Bars 4.4 The Trend for the Wine Bar 4.5 The Wine Customer by Generation 4.6 What It Takes to Stand Out 5.0 Vision Statement 6.0 Mission Statement 7.0 Quick Glance of the Business 8.0 Licensing 9.0 Company Name and Logo 10. The Product 11.0 The Wines 12.0 The Beers 13.0 SWOT Analysis 14.0 Regulations to Open a Wine Bar in NYC Page 2 Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan 15.0 Market Description 16.0 Target Market 17.0 Market Size 18.0 Staff 19.0 Roles and Responsibilities 20.0 Bar Security Features 21.0 Inventory Management 22.0 Market Position and Market Mix 23.0 Social Marketing and Publicity 24.0 Promotional Strategies 25.0 Pricing Strategies 26.0 Menu 27.0 Wines 28.0 Craft Beers 29.0 Interior Design 30.0 Furniture 31.0 Kitchen Equipment 32.0 Financial Analysis 33.0 Conclusion Page 3 Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 4 1.0 Executive Summary Malbec and More Wine Bar is a wine bar located in Astoria, Queens. Just 15 minutes from midtown Manhattan, Malbec and More Wine Bar will offer an array of red wines, white wines, beer and nonalcoholic soft drinks in a smoke-free environment. We will also serve a limited menu of food choices. To foster a congenial social atmosphere, Malbec and More Wine Bar will support local talent and have a night of live jazz and a night of classical music. With 1100 square feet, we expect to service 38 - 42 seated patrons at a time comfortably. Malbec and More Wine Bar will offer a Manhattan experience in Astoria at a fraction of the cost. 2.0 Problem Statement With more than 10,000 bars and taverns in NYC that serve a variety of spirits, opening another bar that serves primarily wine with limited beer in NYC can be a very risky and expensive endeavor (Enigma, 2018). The most consumed alcoholic drinks sold in a bar are spirits, followed by beer and then wine (Carruthers, 2018). So why embark on investing hundreds of thousands of dollars in opening a wine bar to serve the number 3 asked for alcoholic beverage in one of the most expensive cities in the world? New York City (NYC) is the world’s most exciting city. It is recognized as the world capital for finance, entertainment, media and fashion (NYC Culture, 2013). With more than 50,000 businesses licensed to sell alcohol, there is no shortage of establishments for thirsty consumers to imbibe alcoholic beverages (NYC Business, 2018). Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 5 3.0 Research Questions This business plan will determine: a. If a wine bar in Queens, NY can be a feasible and profitable investment b. What a new wine bar in NYC must offer its patrons to keep them interested c. What the emerging trends in wine are that will attract the discriminating consumer to a local wine bar and keep them coming back d. Will the addition of craft beer be a benefit or a hinderance to a wine bar 4.0 Literature Review 4.1 Brief Background of Alcohol Consumption in the U.S. The desire to consume alcohol has been an ever-present staple of man’s existence. In the United States since the colonial times, bars and taverns were meeting places to conduct municipal, political and social business (Kingsdale, 1973). During the early twentieth century, Prohibition outlawed the sale, manufacture and storage of alcohol. During this time, underground bars flourished and were known as speakeasies (Toland, 2013). The price of alcohol greatly increased, and sales soared. Temperance, although often espoused, was difficult to enforce and in 1933, the US Congress decided to repeal the 18th Amendment which made the drinking, producing, storing and selling of alcohol illegal. Today, the business of selling spirits in the United States is profoundly lucrative. According to Statista (2018) about $4 billion of alcohol is sold monthly. Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 6 4.2 The Trend for Wine Wine is popular in the U.S. In 1993, the volume of wine consumed was 370 million gallons. In 2018, the volume amounts to 770 million gallons according to Forbes magazine (Mullen, 2018). As the price of grapes continue to rise over the years, vineyard owners have not been able to successfully message the higher prices to today’s younger generation of wine bar enthusiast, unlike the previous generation (Mullen, 2018). Their tolerance for higher priced wines has an upper limit that wine bar owners must account for when determining profitability. This possibility of inducing higher priced wine pours to a resistant consumer can seem discouraging to some entrepreneurs but being able to adapt to a changing customer is what has always been necessary to remain in business. Adapting to a consumer that is internet savvy and thrifty is a transformation that every business must endure and evolve into in order to remain profitable and relevant. Today’s wine consumer is comprised primarily of Generation X and Millennials, with the Millennial crowd quickly outpacing the rest. Having grown up in a technology-based environment with a cell phone frequently at hand and Yelp, Google and Amazon available for an instant review and comparison of practically anything, these shrew consumers are regularly seeking a quality product at an affordable price (Asimov, 2008). That includes the wine they enjoy consuming. They appreciate the culture and pedigree of wine but prefer a good tasting, lower priced alternative. They do not feel compelled to purchase a higher priced wine in order to buy a quality product. Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 7 Luckily for everyone, the wine producing community has heard the request and have provided a bevy of affordable and flavorful selections to choose from. Many are $15 and less per bottle with the great taste, interesting names and attractive label art that today’s buyers are looking for (Barth, 2018). Names like Yellow Tail, The Arrogant Frog and Le Freak, pique the attention of these wine consumers. With the ability to seek an instant online review, these buyers are more willing to try an unknown brand with great expectation. Wine sellers are aware of this new breed of imbibers and have adapted to meet their demands knowing how technology has made wine purchasing more discriminating and effortless (Barth, 2018). Today’s wine buyers are also willing to forgo the bottle and pour their wine from cans and boxes. The trend for canned wine in the US has grown 43\% from 2017 to 2018 and is on an upward trajectory (Whitten, 2018). Selling for $4 - $7 per can and completely portable, the canned wine market is a $45 million business. Because canned wine is so popular, the number of offerings has grown from a dozen to over 100 labels in three years (Whitten, 2018). Consumers are willing to purchase unknown labels without committing to a whole bottle at an affordable price. Some familiar bottle names have added cans to their inventory, names like Trader Joe, Francis Ford Coppola and Barefoot (CNBC, 2018). 4.3 The Cost Associated with NYC Bars New York City (NYC) is the world’s most exciting city. It is recognized as the world capital for finance, entertainment, media and fashion (NYC Culture, 2013). Each year, millions of people visit, work, live and play in NYC. With more than 50,000 businesses licensed to sell Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 8 alcohol, there is no shortage of establishments for thirsty consumers to imbibe alcoholic beverages (NYC Business, 2018). Along with its worldwide popularity, NYC is one of the world’s costliest places to live, work, start and operate a bar or tavern. With monthly leases ranging from $10 - $12 per square foot, the cost of a 2000 square foot bar can lease for $20,000 - $24,000 per month (Loopnet, 2018). Plus, the added costs of alcohol, salaries, insurance, licenses, marketing, utilities and miscellaneous items can easily add 100\% to the monthly cost of the lease (Erickson, 2016). With the average wine bar lease startup costing between $125,000 to an average high of $550,000, finding the optimal location in NYC is crucial (Erickson, 2016). In Astoria, Queens, the average cost to lease a bar is between $4 - $6 per square foot compared to the average lease cost in Manhattan of $10 - $12 per square foot (Loopnet). According to CNBC, the primary reason for failure in the food and drink business arena is location (CNBC, 2018). With 60\% of hospitality businesses failing in the first year, the location is critical. Getting the customers to come through the doors is the number 1 factor in creating a successful venture and getting them to come back is number 2. That means doing everything that will create the desire to revisit an establishment: Good drink, attractive atmosphere, friendly employees, affordable price & clean bathrooms to start. With technology playing a greater role in daily life management, marketing must be used aggressively today, as today’s customers are influenced by social media to direct much of their entertainment activities (CNBC, 2018). Social media influencers write online reviews of businesses and have proven to effectively persuade the buying decisions of consumers. Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 9 According to Social Media Week, 74\% of consumers use some form of social media to determine their buying decisions (Barker, 2017). Driving traffic to a location utilizing social media will aid any new establishment in notifying an interested demographic of their existence. 4.4 The Trend for the Wine Bar In the US, wine is the third asked for alcoholic drink at a bar, preceded by spirits and beer. It wasn’t until the late 1990’s when the trend to explore and frequent a wine bar began (Erickson, 2016). The concept of supporting wine bars started to take a foothold in the early 2000’s. Wine bars are as popular today as coffee bars like Starbucks are popular. Today’s wine bars seek to heighten the experience of wine tasting (Browne, 2004). As a new generation of wine tasters take their seat, wine bar owners are striving to relieve the overture of wine as an elitist, upscale adventure but long to hold on to the cachet of civility that comes along with it. It is important that a wine bar distinguish itself from a typical bar. The surroundings must instill a sense of causality and simultaneously incorporate an intellectually stimulating environment. This can be accomplished with the choice of décor colors, soft and hard surfaces, type of seating, background musical sounds and choice of wines and food pairings. An inviting atmosphere will encourage customers to linger. All these offerings can promote an uncrowded, social atmosphere which is far from a bar hangout. Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 10 The food offerings at a wine bar are limited but should be interesting and tasty with the expected varieties of cheeses and crusty breads with olive oil. The idea of incorporating fine restaurant fare in a casual setting is key. 4.5 The Wine Customer by Generation Today’s wine customer is comprised of four generations of consumers, each with unique characteristics. The Mature generation who are 69+, the Baby Boomers who are 51 – 68, the Generation X who are 39 – 50 and the Millennials who are 22 – 38. Much of the consumer behavior of each group is driven by income along with the culture of food and beverage. According to Stastista (2018), the largest consumer group of wine are the Generation Xers (49.3\% of people 39 – 50 drink wine) with Millennials following (38.7\%) and lastly the Baby Boomers (25\%) (Stastista, 2018). These statistics are incomplete in that it does not consider the Mature generation in its conclusion. Although this report concludes that more beer and spirits is consumed by Generation X and Millennials, these groups have increased their wine purchases at a greater rate than the other generations. This report also predicts that by 2026, Millennials will consume more fine wine than all the other generations (Statista, 2018). According to the Pew Research Center utilizing statistics as of 2016 from the US Census Bureau, which are the most recent available, the number of Baby Boomers in the US is 74 million people, Millennials comprise 71 million people and Generation X comprise 66 million Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan people. Page 11 In 2019, baby Boomers are expected to shrink to 72 million people from 74 million, Millennials are expected to increase to 73 million from 71 million and Generation X are anticipated to overtake Baby Boomers in 2028 (Fry, 2018). Figure 1. Projected population by generation in millions Pew Research center, 2018 Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 12 4.6 What It Takes to Stand Out Starting a business in New York can be an expensive endeavor. Competition is high, costs are steep, and customers are discriminating. It is important to do as much research to start out with an advantage that may lead to a successful venture. Distinguishing oneself from the crowded plain of competitors is important. Giving customers a reason to visit and return is key to success. What must entrepreneurs consider for the success of their wine bar? 1. The look: Developing an atmosphere that is attractive to the eye upon arrival is important. Customers form an opinion of a space within seconds of arrival. Colors should be pleasant, furniture attractive, lighting subtle but bright enough to evaluate the color of wine at a glance (Asimov, 2008). 2. The sound: Is there music or only the sound of chatter. The genre of music defines the atmosphere. The level is important and should not overpower conversations (Mullen, 3018). 3. Wine selection: Consumers want interesting and sometimes exclusive wines rather than something they can get anywhere (Finch, 2007). Choose an array of vintages, domestic and international, familiar and as well as unfamiliar labels. 4. Knowledgeable staff: Having a sommelier on staff is important. It shows that you take the wine business seriously (Mullen, 2018). Many customers are truly interested in the ways of wine and have limited knowledge or may have advanced knowledge. All appreciate a knowledgeable staff member who knows better not to pop a champagne cork or drip wine when pouring and how to make a proper suggestion. Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan 5. Page 13 Proper glasses: Drinking a glass of merlot or pinot grigio from the wrong glass affects the way it is taste on the tongue as it goes down the throat. Each wine has its own unique flavor contours that are best experienced with its proper glassware. Wine aficionados will notice if you get this wrong. 6. Wine tasting events: Patrons enjoy the opportunity to try new and different wines. Creating wine tasting events that showcase new and interesting wines will help to keep the wine bar relevant and visits reoccurring (Finch, 2007). People are creatures of habit and will often remain with what is familiar without experimenting for fear of choosing and paying for something they may not like. Event tastings provide an atmosphere where experimenting is encouraged. 7. Choice of the size of the pour: Being able to choose a smaller or larger glass allows for the possibility of trying more than one glass of wine without committing to a whole bottle. This can also increase the per unit cost of the wine without breaking the bank of the customer (Finch, 2007). Implementing these suggestions will help a new wine bar stand out from the crowd and invite patrons to visit and re-visit. 5.0 Vision Statement Our vision is to create a comfortable, attractive, notable wine bar in Queens, NY amenable to wine lovers for mid-week social gathering, daily unwinding and weekend celebrating. It will be the place to enjoy wine and ambience alone or with friends. Diana Benjamin MBAA 811 Malbec and More Wine Bar Business Plan Page 14 6.0 Mission Statement Our mission is to launch a flourishing wine bar in Queens, NY that rivals the established wine bars in Manhattan by offering a v ... Purchase answer to see full attachment