Eco

healthy
restaura
nt

Coming
Soon @
CHENNAI
Presented by
Jeetesh Kumar
Ajeet Tyagi
Rashmi Ranjan
Abhideep
Hazari
 Overview
• The Eco Healthy Restaurant
• What is Organic Food?
• Business Motive
• Future Growth Prospects
• SWOT Analysis
• Business Startup
• Operations & Raw materials
• Unique Selling Preposition
• Expansion and Future Prospects
• What we provide!!!
 Eco Healthy Restaurant!!!!
• OUR FOOD IS ...
...MADE FROM:
fresh vegetables, whole grains, legumes, beans, nuts, seeds, fruits,
natural condiments, sea vegetables and soya products, grown by
local farmers certified to be using organic farming methods!
...COOKED IN:
fine European stainless steel cookware with water that's been
filtered, softened, and purified through reverse osmosis. We don't
even own a microwave.
...BALANCED WITH:
Oriental health philosophies and heart-healthy western nutrition
recommendations.
...FREE OF:
all cholesterol, and saturated fats, as well as refined sugars,
artificial sweeteners, white flours, preservatives or pesticides.
...NATURALLY:in fibre. We use sea salt and high quality
low in fat, has a hearty protein base and is high mono-unsaturated
oils only occasionally & sparingly. Fresh herbs & spices add a
variety of gourmet flavors.
...MADE FRESH:
by hand, right here
 What is Organic Food?
• Organic foods are made according to certain production
standards. For the vast majority of human history,
agriculture can be described as organic; only during the
20th century was a large supply of new synthetic chemicals
introduced to the food supply. This more recent style of
production is referred to as "conventional".
• Under organic production, the use of conventional non-
organic pesticides, insecticides and herbicides is greatly
restricted and saved as a last resort.
• If livestock are involved, they must be reared without the
routine use of antibiotics and without the use of
growth hormones, and generally fed a healthy diet.
 Business Motive
• Tapping the health conscious
customer base in Chennai.
• Very few players in the whole
country.
• Creating awareness about
Living on healthy & natural
food.
 Future Growth prospects
• As per now there are no restaurants with
similar menus.
• We will get the edge of monopoly for the
initial years.
• We believe that the market can be
segmented into three distinct groups that it
aims to target. The first group is the lonely
rich people. The second group that will be
targeted is young happy customers which are
growing at an annual rate of 8% . The last
group which is particularly interested in the
menu's healthy offerings is dieting women.
 SWOT ANALYSIS
• STRENGTHS: First Mover Advantage in
the target market.
• WEAKNESSES: Huge cost in Acquiring
and Supply Chain.
• OPPORTUNITIES: Emerging health
consciousness among people. People
ready to pay for healthy food available.
• THREATS : Possible increase in
competition & Supply of the right
Product by farmers.
BUSINESS STARTUP
 Startup Investment Aspects

• Place ( Rent and Advance)

• Transport Facility
• Staffing & Personnel Salary
• Ambience Designing & Setup
• Incentives to the farmers
• Advertising and Promotion
• Modern kitchen equipments
• Gas connection & Electricity (with Power Backup)
• Raw Material
 Advertising and Promotion

• Distribution of Flyers
• Page Ads in the local daily
• Radio Ads
• Poster s and banners in and
around the locality
• Promotions through Health
Institutions & Doctors
 Finance and Accounting
• Vertical method is followed.
• The accounts are maintained on a fair and true
nature.
• Straight line method is followed for calculating
depreciation.
• No bank loan is taken for the business.
• There are opening and closing stock for the
business as there are production Standards
(SOP)
• Only installation cost are the trading expenses.
• The initial ambience setup of Restaurant,
kitchen, Raw material & Rental for space cost
are capital expenditure.
 Profit & Loss A/C of Restaurant ( 4 Years)

 Particulars Year1 Year 2 Year 3 Year 4

Sales 36,75,600 56,50,000 73,00,000 1,00,00,000

Food cost @ 35% 12,86,460 19,77,500 25,55,000 35,00,000

Packing Cost @ 1% 36,756 56,500 73,000 1,00,000

Total Cost of Sales 13,23,216 20,34,000 26,28,000 36,00,000

         

Gross Margin 23,52,384 36,16,000 46,72,000 64,00,000

Gross Margin % 64.00% 64.00% 64.00% 64.00%

 Profit & Loss A/C of Restaurant ( 4 Years)
 Particulars Year1 Year 2 Year 3 Year 4

Expenses        

Payroll 3,00,000 3,50,000 4,00,000 5,00,000

Sales and Marketing and Other 50,000 70,000 75,000 85,000

Expenses
Initial expenses (Licenses, 1000000 0 0 0
Ambience Setup Etc)

Utilities 1,200 1,260 1,300 1,400

Loan Payment 0 1412500 1825000 1000000

Transport Cost @ 20% of Total Food 264643.2 406800 525600 720000

cost
Rent @ 10% of sales 367560 565000 730000 1000000

Total Operating Expenses 19,83,403 28,05,560 35,56,900 33,06,400

 Profit & Loss A/C of Restaurant ( 4 Years)
 Particulars Year1 Year 2 Year 3 Year 4

Profit Before Interest and Taxes 3,68,981 8,10,440 11,15,100 30,93,600

EBITDA 3,68,981 8,10,440 11,15,100 30,93,600

Interest Expense 0 0 0 0

Taxes Incurred 36756 56500 73000 100000

Net Profit 1,421 8,10,440 11,15,100 30,93,600

Net Profit/Sales 0.04% 14.34% 15.28% 30.94%

Initial Investment (By Loan) 4156400     

Break Even after paying all loans 0 2743900 412500 0

 BEP analysis
• The Break even point is estimated to
reach after 4th year since the
commencement of the business
• At the end of the 4th year Profit will be
Rs.30,93,600 (30.94% of sales)
• Gross profit Margin=64.%
• Operating Expenses=53% (1st Year)
which will get reduced to 33% (4th Year)
 Operations
• The SOP will have all the standard recepies to
follow which will help the food cost in control.
• Chef will have the over all control of kitchen and
will ensure the Supplies and quality of food.
• Restaurant Manager will be the first incharge of
the restaurant who will ensure the operations &
costs with service in the restaurant.
• Restaurant manager will make the reports and will
help in marketing too at local level.
 Unique Selling Proposition
• We will use first quality organically grown
ingredients often served to you less than
forty-eight hours after harvest. In addition,
we use no refined sugars, no preservatives,
no dairy, no eggs, no animal products
whatsoever.
• The Restaurant inside carries locally made,
fair trade or earth friendly products in
keeping with their sustainable, pro-planet
approach to business.
• Most foods and grains are organically grown
with as many as possible from local farms.
 Unique Selling Proposition
• The soups will be our own recipes, using
fresh herbs, and all foods cooked in nut or
olive oils. Our chickens will be naturally
raised and range fed, and we will use only
natural meats, without antibiotics or force
fed hormones. Only the freshest of fish will
be served and we will minimize the use of
dairy ingredients.
• The steam convection oven is our pride and
joy, but alas, against our principals. All foods
and baked goods are prepared on the
premises in our kitchens.
• We use no food colourings, preservatives,
refined sugar or bleached flour. Our bread is
baked daily from organic grains.
Unique Selling Proposition
We will feature some wines with
organically grown grapes and
will always feature fine wines
from small wineries known for
their care and award winning
efforts. For those who would like
to enjoy the ambience of wine
without the alcohol.
 Raw Materials Acquirement

• The most important factor is the raw

materials for the production.
• This will be acquired from local farmers
directly.
• The company’s transport will be used for
the supply.
• Tie-ups will be made with the farmers to
provide the organically grown vegetables,
cereals & pulses.
• They will be awarded with some incentives
for the regular supply and Good Quality.
 Financial Estimation of the Business
w.r.t growth of business

• Profit of the Restaurant is set to be doubled in

4th year
• In each years profit the proprietors divides the
profit in 50:50 ratio.
• 50% of the profit is taken by the owner and
50% of the profit is kept for future expansion of
the business
• After 6-7 years restaurant will expand with 2
more restaurants
• All the loans are being paid every year with
interest at 25 % of sales
• Business will reach the sales of 1 crore in 4th
year.
 Expansion and Future
prospects!!
• Business is expected to expand with increase
in regular customers and inclusion of Organic
BAR which will be the USP of the restaurant
will act as a blackhole in the city to increase
the revenue and profitability.
• Restaurant will acquire the lands and start
their own farming of organic vegetables in
near future.
• This step will reduce the transportation cost
and will help in further expansion in the other
cities.
Further Discotheques will be added to
tap the techno class people who are
ready to pay for the quality and the
enjoyment.
What we provide!!!
THANK
YOU