Coffee Shop Project Proposal

Coffee Shop Project Proposal

Executive Summary

Proposals offer great insights on projects and how they will be implemented. The proposal on Redding’s Java project explains the plan for the coffee shop to be place to go for all coffee lovers. Quality coffee will be served at the comfortable atmosphere that will be created by the coffee shop. Highly sought for coffee products such as cappuccinos and espressos will be offered. Redding’s Java will be set in a strategic place to attract young people. The location will be walking distance from office buildings and colleges to cater for young office staff and college students. A vacant and spacious room has been selected for the business. A three year lease has been offered for the site. The 3,000 square feet room was selected since it requires less renovation and provides enough space hence comfort for the customers. Competition from fast food vendors is expected but the quality and comfort intended to be offered by Redding’s Java will ensureits grip on the market targeting coffee consumers. The joint is expected to garner $250,000 as sale revenues in the first year and the net profits to grow from $70,000 to $150,000 by the third year. Startup funds of $300,000 are needed for lease agreement, renovations, furniture, equipment and few staffing.

Technical Section

In understanding the customers’ need, a research was conducted using secondary data from recent census data. From the study, it is proven that there is an increasing demand of high-end coffee joints with millennials being at the epicenter of the love of quality coffee. The statistics indicate that young people are more social and prefer to take coffee with colleagues and friends at trendy locations. Sales of coffee are therefore increasing by 20% per annum from the trends. A gap in provision of quality coffee to the young generation therefore arises.

The strategy to fill the gap is to attract the millennials with quality products, comfort from an awesome atmosphere and enough space. An ultrafast free internet will be set up to enhance ready communication and personal entertainment by the customers. The joint will have free music weekends to entertain the young people while taking coffee on Saturday and Sunday evenings.

The approaches to creating a trendy coffee shop will enhance more profits to Redding’s Java shop. Free internet and music will make the joint to be a hangout area especially on weekends and evenings. The customers will therefore benefit from the services as the shop will provide a place to relax. Similarly, the owners will get more customers subsequently more revenues..

Management Section

The coffee shop will be managed by the owner who will be the overall supervisor. The owner will be assisted by an assistant supervisor and they will work in shifts day and evening hours interchangeably. Under the two overseers, there will be a marketing and advertising officer in a similar position with the accounting officer. Kitchen and serving staff will work together and under the senior cook. Below is a chart flow showing the management cadres.

To make the project a success, there will be a list of deliverables provided by the team. The Marketing officer will liaise with the accounting officer to provide financial statements on the advertising costs and the free music costs. The officer will as well present to supervisors in written form a report on the market performance and the competition level. The accounting Officer will develop a system to take stock of all data of the shop including each customers and staff. The cooking staff will generate the cooking needs on a daily basis and forward to the accounting officer.

To realize a project schedule and organization, the marketing officer will always update the team on the specific assigned tasks of the day. Generally, the supervisors will always ensure all logistics are in place, the accounting officer will ensure timely and accurate release of funds for daily inputs. The senior cook will work hand in hand with all the five cooking staff and service staff to ensure customers are served accordingly.

The owner and assistant supervisor of the proposed business have over 5 years of experience in food services and management. Their experience will be vital for the success of the business. It will be easy to control the supply chain and coordinate the staff towards achieving customer satisfaction. Apart from experience, good equipment and facilities will contribute to customer satisfaction. Computers for data storage and billing will be core to ensuring swift flow of work. The project will need television sets, music system, kitchen equipment, utensils, staff uniforms and furniture.

Cost Section

On labor costs the manager and assistant supervisor will take customer orders and convey them to those serving. This will reduce the number of servers needed. The accounting officer and marketing officers will work full time. They will exchange in shifts between day time and evening hours. They will assist and complement each other in checking stock and giving service to customers whenever need be. The cooking staff may consist of part time students who need some extra cash and may work on one month renewable contracts. Young people will be considered to work in the joint as they will be conversant with the needs of the targeted millennial generation.

Some of the equipment to be purchased include the Commercial Espresso machine which will be bought at $20,000. Other items are, a glass door fridge at $1,000, micro wave at $7,000, dish washer at $1,000, Utensils at $1,000, two computers at $4000 and other miscellaneous items at $1,000.Minimal renovation mainly consisting of painting will be needed at $500.

Supplies needed include coffee beans to be supplied for two day intervals at $5000 per day. Soft drinks and some snacks like muffins and cookies will also be made available. There will be minimal travels since supplies will be delivered at the door step. Documentation of finances done by the accounting officers will be available. Income statements and cash flow projections will be provided. The shop might escalate to full beverage in case of success after the first three years. As a contingency plan, the enterprise might reduce the number of employees if losses arise.