Executive summary

My mission is to will provide a friendly, comfortable atmosphere where the costumers can receive
quality food, drinks, and service at a reasonable price. My café will offer a variety of choices to the
customers cappuccinos, lattes, espressos, smothies, regular coffee, soft drinks and tea of all sortd will be
available.The café will serve deli lyfstyle breakfast sandwiches with the freshest ingredients, muffins,
croissants, cinnamon rolls, coffe cake, and other tasty treats. Coffee spot café will be open from 6:00
A.M to 4:00 P.M Sunday to Saturday.

The competition

My competitors would be CCDs, Barista, Starbucks, McDonalds and other local cafes. But major is CCD
and college cafes and restaurants in nearby vicinity.

Industry overview

According to the 1997 Oregon Food service Statistics (NAICS 72), Eugene had 45 established snack &
non-alcoholic beverage bars (NAICS 722213) with total sales of $14.2 million. Among other
establishments that offer coffee drinks to their customers are most of Eugene's limited- and full-service
restaurants. Java Culture's direct competitors will be other coffee bars located near the University of
Oregon campus. These include Starbucks, Cafe Roma, The UO Bookstore, and other Food service
establishments that offer coffee. Starbucks will definitely be one of the major competitors because of its
strong financial position and established marketing and operational practices. However, despite of
Starbuck's entrenched market position, many customers favor smaller, independent establishments that
offer cozy atmosphere and good coffee at affordable prices. Cafe Roma is a good example of such
competition. We estimate that Starbucks holds approximately 35% market share in that neighborhood,
Cafe Roma appeals to 25% of customers, The UO Bookstore caters to another 10%, with the remaining
market share split among other establishments. Java Culture will position itself as a unique coffee bar
that not only offers the best tasting coffee and pastries but also provides home-like, cozy and
comfortable environment, which established corporate establishments lack. We will cater to customers'
bodies and minds, which will help us grow our market share in this competitive market.
SWOT Analysis

STRENGTHS: Reasonable prices, wide variety of coffe and drinks a lot of home made treats

WEAKNESSES: turn down in the economy, start up cost, new business, no reputation

OPPORTUNITY: job opportunities for many unemployed, catering

THREATS: CCDS, Barista, Strarbucks, Mcdonalds and other local café

Management plan

Operation plan

I will do as much as I can to get my business name known throughout the locally. I plan to make flyers to
put on the cars that have business name, logo and address on them. It will also list the day of opening
and will state that if you bring the flyer in throught the first week of opening you can get 20% off any
drink of any size. I will also have two coupons in the local newspaper for 35% off any purchase over rs
100 to create buzz. I will have reasonable prices, but they will not be to high or to low.
Financial plan
Pancakes 45 x 100 = 4,500

Hot chocolate 50 x 100 = 5,000

Coffee 30 x 100 = 3,000

Tea 40 x 100 = 4,000

TOTAL: php 16,500 per day x 7 =

Sales per week php 115,500 x 4=

Sales per month php 462,000

Statement of profit or loss

Sales 462,000

Direct cost of goods 70,000

Other productions expenses 15,000

Cost of goods sold 85,000

Gross margin 377,000

Expenses

Payroll 50,500

Water and electricity 10,000

Rent 12,000

Internent 5,000

Total operating expenses 77,000

Earnings before taxes 300,000

Less 25% 75,000

Net income
START UP COST
 incorporating 30,000.00
 licenses and permits 25,000.00
 Insurance 15,000.00
 Legal 16,500.00
 bean grinder 40,000.00
 Food supplies 60,000.00

>186,500.00

Projected iqiupment cost

 Refrigerator 5,300.00
 Machines 15,000.00
 Chairs and tables 9,000.00
 Kitchen wares 30,000.00
 Ingredients 20,000.00
 Coffee makers 9,000.00
 Microwaves 5,000.00

>93,300.00
Other expenses
 Inventories 70,000
 Electric bills 8,000
 Office equipment 5,000

>83,000.00