Notesale: Turn your study into money

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Contents
1
...
0 Introduction
2
...
0 Mission Statement and Objectives
3
...
2 Operational Base
3
...
4 Products and Services
3
...
6 Keys to Success
4
...
1 Customer Base
4
...
2
...
2
...
2
...
3 Marketing Mix
4
...
1 Product
4
...
2 Place
4
...
3 Promotion
4
...
4 Price
4
...
4
...
4
...
4
...
0 Financial Plan
5
...
2 Profit & Loss
5
...
0 Conclusion
7
...
0 Appendices
8
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2 Appendix 2: SWOT Analysis

Pages
2
3
3
3
3–4
4
4–6
6
7
7–8
8
8–9
9
9
9
9
10 -11
10
10
10 – 11
11
11 – 13
11
12
12 – 13
13 – 16
13 – 14
14 – 15
16
16 – 17
18
19 – 20
19 – 20
20

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1
...
Live Lean is a business that will be owned and operated by a sole
proprietor Mohamed Al Mahroos
...
Also, it offers healthy organic options that are in scarcity in the
country, looking to capitalize on the new health trend
...
Live Lean will operate a green and friendly operation as it looks to reduce
waste and feed those in need, excess of food will be given to charities and all products will
be fresh and used on the same day
...
Live Leans’ main target
segments are young athletes and professional athletes as well as health conscious young
adults who are dieting
...
Furthermore, in an age where social
media has a big impact on the success of new businesses in the country, Live Lean will look
to incorporate a tech friendly environment by introducing live television and free Wi-Fi in its
lounge to make it a truly immersive and unique dining experience that is one of a kind
...
Coupled with the fact that there is only a single direct competitor there is a
decrease in terms of barriers to entry into the market, hence a high possibility of market
share and profits making this opportunity a highly attractive business opportunity
...
As previously
stated, the business will be operated by a sole owner, who will work as the manager of the
business and will take care of the hiring of staff and the management of the day-to-day
operations of the business
...
The starting
capital of the business will require an amount of £370,653
...
In the future, Live Lean
will look to accommodate consumers by working in tandem with health clinics such as VLCC
to offer more services such as coaching, dietary plans and advice
...
56 in its first year of operating as a business and that
it should achieve a greater profit of £315,902
...
29 in its third year
...
0 Introduction
2
...
This attitude has created a new
market segment and opportunity in Bahrain
...

Meals are freshly prepared on a daily basis to meet the preferences and individual dietary
requirements of each consumer
...
The restaurant will offer dine
in, home deliveries, and coaching
...
Moreover, the building will be designed to reduce
the overall impact on the environment by using energy and water efficiently
...
Being one of the pioneers in Bahrain other than Healthy Bite,
it can exploit the market’s potential thus having only one direct competitor
...
These two factors
will allow Live Lean to set premium prices thus maximizing profit margins especially in the
Green Salad section of the menu
...


3
...
Moreover, it will offer coaching to aid in tracking of our
consumers’ health and the place will be a social hub where it will create a friendly and
relaxing environment
...
Live Lean will start operating on January 31, 2015
...
Employees will be
passionate about the foods that they are serving and they will be trained to provide the
highest level of customer service to make the Live Lean experience enjoyable
...


3
...
This full
responsibility leads to Mohamed having control of the business and he will retain most of
the profits
...


3
...
Operating times will be from 11 am until 11 pm and will operate 7
days a week
...
3 Inventory
Inventory prices are based on primary research done in Canterbury’s Groceries
...
5kg)
Quest Bar (17 pack)
John West Tuna in Brine (12 pack)
Chicken Breast (0
...
49
£90
...
99
£18
...
50
£3
...
25
£3
...
00
£2
...
09

Quantity Cost for 4
weeks
30
£194
...
65
10
£259
...
00
200
£900
...
00
100
£125
...
00
100
£400
...
00
3
£96
...
99
£1
...
40
£9
...
00
£2
...
00
£0
...
72
£2
...
95

10
50
40
20
80
50
80
75
50
20
45

£29
...
50
£96
...
80
£80
...
00
£160
...
50
£86
...
00
£132
...
45
£4
...
99
£13
...
00
£111
...
70
£276
...
29
£1
...
49
£2
...
59
£1
...
00
£3
...
70
£2
...
39
£0
...
95
£1
...
46
£5
...
89
£2
...
89

Kitchen Equipment
Russell Hobbs Dishwasher (60cm)
Spice Shelves
Dish table Package
Hand Sink
Shelving Unit
Worktable
Heat lamps
Russell Hobbs Microwave Oven
Electric Oven
Refrigerator
Freezer
Air Fryers
Tefal Cookware Pans
Master Class Non-Stick Roaster
Russell Hobbs Steamer
Fire Protection System
Exhaust hood and fans
Andrew James Electric Food Slicer
Buffalo Soup warmer (10L)
Ice maker Machine

Cost
£214
...
11
£2,306
...
45
£125
...
22
£171
...
00
£219
...
00
£319
...
00
£83
...
82
£24
...
68
£422
...
99
£57
...
99

100
150
30
8
50
100
50
50
50
15
15
150
50
70
90
90
50
55
6

£129
...
00
£164
...
12
£79
...
00
£150
...
50
£85
...
35
£35
...
00
£97
...
30
£491
...
50
£94
...
15
£11
...
18

Quantity
1
1
1
1
1
1
1
1
1
1
1
1
2
1
1
1
1
1
1
1

CQ
£214
...
11
£2,306
...
45
£125
...
22
£171
...
00
£219
...
00
£319
...
00
£167
...
82
£24
...
68
£422
...
99
£57
...
99
5|Page

Duronic Steel Blender
Cashier station
Kitchen Knives (Richardson
Sheffield)
Andrew James 700W Food
Processor
Gas Oven
Pan Racks
Hot Food Table
Toaster
Point of Sale System
TOTAL
Figure 3:
Other Expenses
42 inch TV (2)
1000 plastic silverware set
To-go Food containers
Steel Silverware
Dining sets
Bowls
Napkins
Cups
Straws
Total

£49
...
00
£56
...
99
£750
...
94

£24
...
99

£500
...
00
£638
...
00
£3,000
...
00
£50
...
50
£460
...
00
£11,897
...
99
£50
...
00
£510
...
00
£400
...
00
£89
...
00
£1,878
...
4 Products and Services
The organic products, friendly environment and coaching are Live Lean’s unique selling
point
...
The
products will allow Live Lean to have premium pricing thus targeting the middle class and
the health conscious consumer
...
To keep things interesting the chef will have the flexibility to add and remove
some meals of his choice thus improving the menu constantly
...
The foods are made every morning on a daily basis in the premises of
Live Lean which gives them a competitive advantage over its competitors such as fast food
restaurants
...
The coaching is collaboration
with a clinic such as VLCC to increase demand, awareness and brand loyalty to Live Lean’s
products
...

Consumers must choose the number of meals they want prepared for them per day and
orders are placed online or by phone
...
5 Management and Subordinates
Positions that are required to be filled are as three cashiers, one manager, one accountant,
and two chefs (one Chef and one assistant chef)
...
00
500
...
00
500
...
00
800
...
00
5,350
...
00

Manager: Mohamed will be the office manager where he will supervise the employees and
will have an oversight of the business on a daily basis
...

Cooks: The cooks will be required to cook the high quality organic meals and presenting
them into a nice way
...

Cashiers: The cashier will be responsible for the orders and cleaning the store
...

Coaching services will be provided by the clinic not Live Lean and it will be a unique selling
point to Live Lean
...


3
...
Live Lean operates in a
niche market due to it being a healthy alternative to fast food restaurants across
Bahrain
...
The only direct competitor to
Live Lean is Healthy Bite and these benefits aid in profit maximization
...
The inviting and comfortable
environment with the lounge style and free Wi-Fi will attract many of customers
...


4
...
1 Customer Base
The strategic location of Live Lean will aid in attracting consumers from the country
...

Initially, an average of 50 customers are expected on a daily basis however in the following
two years with the increased marketing and word of mouth Live Lean is expected to grow by
20% in year 2 and 60% in year 3
...
Figure 5 and 6 will illustrate more:Figure 5:

Average Number of Customers per
day (Live Lean)
90
80
70
60
50
40
30
20
10
0

80
60
50
Average Number of
Customers per day

Year 1

Year 2

Year 3

8|Page

Figure 6:

Average Number of Customer per
Year (Live Lean)
35000
29200

30000
25000
20000

21900
18250
Average Number of
Customer per year

15000
10000
5000
0
Year 1

Year 2

Year 3

4
...
These consumers can benefit from Live Lean’s healthy meal options that can be
delivered anywhere in Bahrain
...
Live Lean’s three main target
markets are dieting people, professionals, and amateur athletes
...
d
...
2
...
The store environment will attract them to enjoy Live Lean’s meals
...
2
...

4
...
3 Professionals
There are small number of professional athletes and bodybuilders in Bahrain that can
benefit from the products the Live Lean offers
...


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4
...
3
...
Top restaurants like Chipotle are
excluding GMO ingredients and changing them to organic ingredients and seeing increases
sales as a result despite higher prices (Roseboro, 2013)
...
The
products also try to resolve a major obesity issue in Bahrain therefore, the low fat meals and
green salad sections in the menu is specifically targeting dieting people
...
All the products in the low fat meals section are less than 500 calories including
white or brown rice
...
Protein shakes and cheat meals are targeting the rest of the
market segments
...
The meals in cheat meals are
higher in fat and carbohydrates than meals in the low fat section
...
8% of the population are
Muslim (The World Factbook, n
...
Live Lean protein shaker will be sold individually to
make Live Lean’s consumers stand out
...
3
...

The store’s looks will be inviting, friendly, and eco-friendly thus attracting a lot of
consumers
...
Saar is a densely populated suburban area with moderate to high income families
which makes the premium pricing acceptable
...


4
...
3 Promotion
Promotion is vital to a business success and to overcome the weakness of Live Lean that are
discussed later and promotional plan is vital
...
Another promotion is the use of discounts
to specific members in a gym such as Oxygen gym and having a billboard in the gym to
attract their members
...
The opening of Live Lean will have free food and famous Bahraini
athletes will be their main public relations person on that day
...
Moreover, due to Bahrain’s small size word of
mouth will spread much faster
...
The logo and slogan
“The Healthy Choice” will aid in the brand recognition
...
Finally, drip marketing which is a long-term
marketing exposure strategy that will keep memorization levels high and it is inexpensive
...

Owners of the Live Lean shakers will have 15% discounts on protein shakes
...
d
...


4
...
4 Price
Due to Live Lean near exclusivity and affluent target market it is going to set premium prices
for its products (Appendix 1)
...
4 The Marketing Position
4
...
1 Competitive Edge
The problem with fast food is that it is unhealthy, full of chemicals, preservatives, additives,
antibiotics, growth hormones, and a host of other ingredients that are difficult to
pronounce
...

This has made the fast and healthy alternative a lucrative market opportunity where there is
a huge demand for fast and organic foods
...
Live Lean offers both fast and healthy meals
where vegetables are grilled without fats
...
Experience is vital to repeat customers, also, a good friendly service
and cosy atmosphere gives the restaurant the edge over its competitors
...


11 | P a g e

4
...
2 Competition
Fast Food: Offer fast service which is convenient however they sacrifice quality
...

Dine in Restaurants: They have huge menu and food service is usually excellent and takes
longer
...

Healthy Bite: A Direct competitor with Live Lean where their products are healthy and
target the same market
...

Local Restaurants: Offers a cheaper alternative to fast food thus offering both fast services
with a lower price but vastly compromising quality
...
Live Lean will focus on mainly location and quality
...


4
...
3 SWOT Analysis
The strengths of Live Lean are the products and place that they offer to their customers
...
In addition, the meals have a
high nutritional value making it healthy and tasty
...
Moreover, the place is designed to be relaxing and inviting where people
can enjoy their meals in a friendly environment
...
Live Lean
offers an interactive website where consumers can see their menu and order online to
collect or deliver
...
The
organic food is also expensive compared to conventional foods
...
New businesses should
create a lot of interest using marketing tools such as public relationships, social media, and
flyers
...
Furthermore, the growth of
health problems such as diabetes and obesity will help in increasing traffic to Live Lean
...
The place of Live Lean is strategic due to it being between some health centres,
gyms, and football pitches
...
There are few threats that Live Lean could face and
should be handled strategically which are the highly competitive restaurant sector in
Bahrain due to many small businesses and operating in a niche market
...
Both restaurants offer healthy foods and
serve similar target markets
...


5
...
1 Funding
The total start up requirement for the funding of Live Lean is £370,653
...
The funding
should cover the expenses of rental (6 months), marketing for the opening ceremony,
marketing expenses, business license, food inventory, salaries, delivery vehicle, furniture,
design fees, kitchen equipment, website creation, other expenses and utilities
...
Initial marketing and opening ceremony marketing will cost £10,000 and £2,000 and
in total will cost £12,000
...
Due to Live Lean’s organic products that are expensive they
will cost £207,850
...
To ensure that the place is attractive a designer is going to
design the place where his/her fee is £6,000 and Mohamed gave him a budget of £15,000
for the furniture that is going to be bought
...
Finally, other
expenses and utilities cost in total £3,878
...
Moreover, the company has requested £4,000
to create the website and kitchen equipment will cost £11,897
...
Figure 7 below will
illustrate more:Figure 7:
Start-up Expenses
Rental (6 months)
Opening Ceremony (Marketing)
Marketing Budget
Business License
Food Inventory
Salaries
Delivery Vehicles
Furniture
Design Fees
Other Expenses
Utlities
Kitchen Equipment
Website Creation
Total

£
25,425
...
00
10,000
...
00
207,850
...
00
1,000
...
00
6,000
...
99
2,000
...
73
4,000
...
40

Funding will be provided by Talal Al Mahroos who is Mohamed’s brother
...

Talal is going to pay the full start-up expenses of Live Lean
...
2 Profit & Loss
Figure 8:
Income Statement for
January 31, 2015
Revenue
Meals and Coaching
Delivery
Total Revenue

Year 1

Year 2

Year 3

£
403,781
...
75
538,375
...
50
161,512
...
00

£
646,050
...
00
861,400
...
16
1
...
87
433,087
...
99
1
...
44
519,704
...
66
1
...
59
692,939
...
00
15,793
...
00
50,850
...
00
2,500
...
00
10,000
...
00
1,500
...
00
163,043
...
95

68,400
...
82
2,000
...
00
4,000
...
00
3,000
...
00
2,000
...
00
4,000
...
82
351,002
...
00
25,269
...
00
50,850
...
00
2,500
...
00
13,000
...
00
1,500
...
00
178,519
...
32

27,004
...
56

35,100
...
47

51,442
...
29

Expenses
Wages
Loan interest (15%)
Delivery Vehicles
Rent
Insurance
Operating Supplies
Office Expenses
Marketing Expenses
Utilities
Maintenance
Renovation
Total Expenses
Net Profit
Loan Repayment
(10%)
Profit

Figure 8 shows the income statement of Live Lean for the first three years of operating
...
The main
revenue sources of Live Lean are coaching, deliveries, and dine-ins and it is estimated that a
customers are going to buy three items from the menu excluding a drink
...
5 each
...
Revenue is calculated by multiplying the
average price of a meal by the number of customers per year i
...
(£29
...
Marketing Expenses are going to be 10,000 for the first year and then increase
by 15% for year 2 and 30% by year 3
...
A vehicle costs 1,000 each so Live Lean are
going to purchase two in year 2 and four in year 3
...
Also, there
will be a 5% increase in the cost of goods sold for the expenses of shipping and handling
...
This increase is likely to increase the sales in the following years
due to increase brand recognition
...
Customers per day are forecasted to increase 20% in year 2 and 60% in year
3 and the cost of sales will increase with the customers per day
...
56 in
year 1 and increase to £462,978
...
The business is expected to be extremely
profitable due to its uniqueness and target market
...
3 Balance Sheet
Figure 10:
Balance Sheet - January 31,
2015
Current Assets
Cash
Inventories
Total Current Assets
Fixed Assets
Kitchen Equipment
Other Expenses
Total Fixed Assets
Total Assets
Liabilities and Owner's Equity
Current Liabilities
Wages
Total Current Liabilities
Long term Liabilities
Total Long term Liabilities
Total Liabilities
Owner's Equity
Investment Capital
Total Owner's Equity
Total Liabilities and Owner's
Equity

£
Year 1
538,375
...
87
643,662
...
00
126,345
...
44

£
Year 3
861,400
...
59
1,029,860
...
73
1,878
...
72
657,439
...
73
1,878
...
72
786,172
...
73
1,878
...
72
1,043,637
...
00
68,400
...
40
370,652
...
40

68,400
...
00
370,652
...
40
439,052
...
00
68,400
...
40
370,652
...
40

218,387
...
19

347,119
...
76

604,584
...
91

657,439
...
16

1,043,637
...
The balance sheet includes Live Lean’s total assets, liabilities, and owner’s
equity
...
0 Conclusion
Live Lean a restaurant that cares about the environment, consumer satisfaction, and overall
health
...
Its meals are targeting professionals,
amateur athletes, and dieting people who are aged between 18 – 55
...

The low fat meal and green salads target the dieting people whereas the protein shakes and
cheat meal specifically target professionals and amateur athletes
...
Moreover,
unique selling point of being healthy and organic will become its main competitive
advantage however they will need to further expand it due to Healthy Bite’s proximity
...
Live Lean coaching will be one way where
it will differentiate from Healthy Bite
...
The environment will be inviting and cosy to attract numerous and various
customers to Live Lean
...
Even though, organic products are more
expensive they are considered to be lucrative where top restaurant such as Chipotle are
changing their ingredients to accommodate these products
...
The suggested promotions are expected to increase brand
loyalty, sales, and enhance the brand’s image
...
Drip marketing is
going to preserve memorization levels and it is inexpensive
...
The prices of the
products are considered to be expensive however Live Lean is targeting affluent shoppers
...
Live Lean is a lucrative business where the profits are following a linear
pattern
...
The business
is expecting an average of 50 customers daily, increasing by 20% in year 2 and 60% in year 3
...
40 and Talal Al Mahroos is going to provide
the startup funds
...
Live Lean is
going to generate in year 1 £243,039
...
29 in year 3
...
0 References
BRT, (n
...
Bahrain Marathon Relay 2013 : Offical Site
...
brt1
...
2015]
...
(2013)
...
[online]
Available at: http://www
...
com/articles/november2013/chipotle-servingnon-gmo-integrity-food
...
2015]
...
(n
...
[online] Available at:
https://www
...
gov/library/publications/the-world-factbook/geos/ba
...

2015]
...
0 Appendices
8
...
2 Appendix 2: SWOT Analysis

20 | P a g e



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