Pippins Jazz Club and Southern Diningпїѕ Business Plan
Pippins Jazz Club and Southern Diningпїѕ Business Plan
DESCRIPTION AND OWNERSHIP OF PROPOSED BUSINESS
Pippins Jazz Club and Southern Dining restaurants strive to be the premier restaurant from the West coast to the East coast. Our goal is to be a step ahead of the competition. We want our customers to have more fun during their leisure time. We provide a fascinating, tasting and appealing combine of Southern and Cajun menu selection, atmosphere, ambiance, and service to create a sense of “place” in order to reach our goal of over-all value in a dining/entertainment experience.
Pippins Jazz Club and Southern Dining restaurants are a privately held Nevada company. Tammie B. Pounds is the principal owner. It is Ms. PoundпїЅs intention to offer limited outside ownership in Pippins on an equity, debt, or combination basis in order to facilitate a more rapid expansion of the Pippins concept.
Ms. Pounds holds an MBA in Finance from Las Vegas University. She has held executive level positions in finance with California Design and Construction and Days Inn. She is previously experienced in the restaurant industry, having opened Pippins Restaurant in 1999, which still operates successfully under her ownership.
Pippins Jazz Club and Southern Dining was founded in 1999 by Tammie Pounds to capitalize on the ever growing market demand for high end dining restaurants. Provides a unique dining and entertainment experience in a relaxing and soothing environment.
Customer acceptance has been proven. Regular and repeat customers cross many age, professional and entertainment demographics and families are frequent diners.
Pippins has promoted heavily with tie-ins to Vegas professional entertainers and celebrities. Pippins Jazz Club and Southern Dining is the radio home for The WaveпїЅs live Sunday Afternoon Brunch show featuring Dav Koz. This show is broadcast during the hours of 11:00 a.m. to 4:00 p.m.
ASSESSMENT OF THE BUSINESS ENVIRONMENT
The sales strategy is to build and open new locations on schedule in order to increase revenue. Each individual location will continue to build its local customer base over the first five years of operation. The goal is $2 to $3 million in annual sales per unit. A unit will be considered mature once it has passed the $3.5 million mark in annual sales.
Pippins Jazz Club has established a successful presence in the food and beverage service industry. The initial location in Las Vegas, Nevada will gross in excess of $2 million in sales in its first year of operation, ending July 2000. First year operations will produce a net profit of $445,000. This will be generated from an investment of $1,625,000 in initial capital. Since 10 months of operations have already been completed the confidence level for final first year numbers is extremely high. The first 10 months of start-up costs, sales revenues, and operating expenses are actual.
Expansion plans are already underway. Owner funding and internally generated cash flow will enable additional restaurants to open. Sales projections for the next five years are based upon current planned restaurant openings. Site surveys have been completed and prime locations have been targeted for restaurant expansion.
The sales figures and projections presented here are based upon an additional seven restaurant locations at the most premium sites available in the Metro market area.
Management has recognized the rapid growth potential made possible by the quick success and fast return-on-investment from the first location. Payback of total invested capital on the first location will be realized in less than 18 months of operation. Cash flow becomes positive from operations immediately and profits are substantial in the first year.
Objectives
Pippins have the objective of opening additional restaurants in Chicago, San Francisco, Los Angeles, New York, New Orleans and Atlanta.
The management of Pippins has demonstrated its concept, execution, marketability, and controls, and feels confident of its ability to successfully replicate the quick ramp-up of the Las Vegas location to additional venues.
The following objectives have been established:
Maintain tight control of costs and operations by hiring quality management at each location and utilizing automated computer control.
Keep food cost under 32% of revenue.
Keep beverage cost under 21% of revenue.
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