Marketing Plan, Media Plan and Creative execution for a business app (capstone)
nuexiepan
Spring2B20162BCapstoneOnline2BStudentEN2BFinancial2BPlans_1_.pptx
Capstone: Student Financial Plan
Professor Monaco
Fall 2015
Revenue Projections
REVENUE ASSUMPTIONS:
2.5 minutes to serve one customer => 192 customers a day (full capacity)
Ideally will be working on 65% of the full capacity
25% lower trafafter 4PM
25% lower traf on weekends
25% lower trafon summer and winter
14 customers/hour
AOS: $10
350 days/year
16
| # of Customers per Day | 98 |
| Revenue per Day | $980 |
| 1st Year Revenue | $343,000 |
Assumptions
Fixed Assets
Note about depreciation
include
Food truck. On average new food truck will cost around $60,000‑$70,000. It is possible to buy a new, retrofitted, designed truck with all basic equipment for$100,00031.
Kitchen Utensils. Include smaller kitchen inventories like pots, knives, blenders etc.
Register /POS System. Assume the cost is $1,25032.
Laptops. We will need two notebooks, one for the CEO and one for the Intern/Chef.
Assuming each notebook costs $50033, total cost will be $500*2=$1000.
Total Revenue
For information and assumption on the number of customers, average order size and
total revenue, see section “Potential Sales”.
Cost of Sales
Expected cost of sales is 40% of the revenue. 35% account for the ingredients and 5% ‑
for paper goods and eating utensils. Cost of ingredients is calculated based on USDA wholesale prices for organic products.
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Assumptions
Operating Expenses
Note about inflation.
Assume yearly inflation is 10%.
Rent: Commercial Kitchen. We will rent a kitchen space in the Hot Bread Kitchen.
Kitchen will be used 3h a day, from 8 AM to11 AM, with a rent rate 17$/hour34.
Rent: Storage Space. We will rent a storage space in the Hot Bread Kitchen. Price is $100/month35.
Rent: Coop Office Space. 2 desks for $550/month. All amenities (virtual office, Internet, telephone, conference room and other) are included36.
Utilities: Fuel. Assume $500/month37.
Utilities: Other (water, electricity and other). Assume $4,000/year.
Marketing: Website creation and maintenance. The website will be build in‑house, using Shopify platform. Monthly fee for Professional Membership is $7938.
Marketing: Events and promotion. Preliminary Marketing Budget is $15,000.
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Assumptions
Salary and wage: Social Media Intern. Lunch (10$ per day) and travel (100$ a month) expenses are covered.
Salary and wage: Cooks/Servers (4 FTE). 15$ an hour/based on 10 hours a day in every second date (switch).
Salary and wage: Operations/Chief. $35,000/year.
Salary and wage: CEO. $35,000/year.
Other: Permits, Licenses, Certifications and Commissaries. $10,000 should cover all permits and expenses associated with inspections, including: business license, food handler certification, health certification, and fire certification39.
Other: General Liability Insurance. Assume $3,500/year40.
Other: Truck Insurance. Assume $2,500/year41.
Other: Office supplies. Assume $500/month. Include supplies like pens, paper and envelopes. All other supplies will be provided by the Coop Office.
Other: Maintenance. Assume $400/month
Other: provision for unexpected items. Assume $10,000 for unexpected expenses.
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Citations for Assumptions
Rich Mintzer. (2011, July 24). Food Trucks 101: How to Start a Mobile Food Business. Retrieved from Entrepreneur: http://www.entrepreneur.com/article/220060
Richard Myrick. (July 2). How Much Does it Cost to Start a Food Truck Business. Retrieved from Mobile Cuisine: http://mobile‐cuisine.com/business/how‐much‐does‐it‐cost‐to‐start‐a‐food‐truck‐business
Laptops. Retrieved from Staples.com http://www.staples.com/Laptops/cat_CL167289 34 Costs. Retrieved from Hot Bread Kitchen: http://hotbreadkitchen.org/hbk‐incubator/costs 35 Costs. Retrieved from Hot Bread Kitchen: http://hotbreadkitchen.org/hbk‐incubator/costs
36 New York ‐ Membership Options. Retrieved from Green Spaces: http://greenspacesny.com/
Poll: How Much Do You Spend On Fuel For Your Food Truck Per Month? Retrieved from Mobile Cuisine:
http://mobile‐cuisine.com/features/poll‐how‐much‐do‐you‐spend‐on‐fuel‐for‐your‐food‐truck‐per‐month/
Pricing. Retrieved from Shopify: http://www.shopify.com/pricing
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Financial Projections
17
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
| Revenue | 343,000 | 411,600 | 485,100 | 535,325 | 588,000 |
| COGs | 137,200 | 164,640 | 194,040 | 214,130 | 235,200 |
| Gross Margin | 60% | 60% | 60% | 60% | 60% |
| Operating Expenses | 192,075 | 204,709 | 220,805 | 238,512 | 257,989 |
| Depreciation | 10,850 | 10,850 | 10,850 | 10,850 | 10,850 |
| Operating Profit | 2,875 | 31,402 | 59,405 | 71,833 | 83,961 |
| Income tax @ 35% | 1,006 | 10,991 | 20,792 | 25,142 | 29,386 |
| Net Income | 1,869 | 20,411 | 38,613 | 46,692 | 54,575 |
| Net Income % | 0.5% | 5.0% | 8.0% | 8.7% | 9.3% |
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|
Period start |
|
01Jul14 |
01Jul15 |
01Jul16 |
01Jul17 |
01Jul18 |
|
Period end |
30Jun14 |
30Jun15 |
30Jun16 |
30Jun17 |
30Jun18 |
30Jun19 |
|
|
|
|
|
|
|
|
|
Income Statement |
0 |
1 |
2 |
3 |
4 |
5 |
|
|
|
|
|
|
|
|
|
Days in operation |
|
350 |
350 |
350 |
350 |
350 |
|
Hours per day |
|
7 |
7 |
7 |
7 |
7 |
|
Customers per hour |
|
14 |
16 |
18 |
19 |
20 |
|
Total traffic, customers per year |
|
34,300 |
39,200 |
44,100 |
46,550 |
49,000 |
|
|
|
|
|
|
|
|
|
AOS, $ per customer |
|
10.00 |
10.50 |
11.00 |
11.50 |
12.00 |
|
|
|
|
|
|
|
|
|
Total revenue, net of sales tax |
|
343,000 |
411,600 |
485,100 |
535,325 |
588,000 |
|
|
|
|
|
|
|
|
|
Cost of sales |
|
137,200 |
164,640 |
194,040 |
214,130 |
235,200 |
|
Expected gross margin |
|
60.0% |
60.0% |
60.0% |
60.0% |
60.0% |
|
|
|
|
|
|
|
|
|
Gross profit |
|
205,800 |
246,960 |
291,060 |
321,195 |
352,800 |
|
|
|
|
|
|
|
|
|
Total Operating Expenses, incl: |
|
188,783 |
203,417 |
219,513 |
237,220 |
256,697 |
|
|
|
|
|
|
|
|
|
Rent: Commercial Kitchen |
|
18,360 |
20,196 |
22,216 |
24,437 |
26,881 |
|
Rent: Storage Space |
|
1,200 |
1,320 |
1,452 |
1,597 |
1,757 |
|
Rent: Coop Office Space |
|
13,200 |
14,520 |
15,972 |
17,569 |
19,326 |
|
|
|
|
|
|
|
|
|
Utilities: Fuel |
|
6,000 |
6,600 |
7,260 |
7,986 |
8,785 |
|
Utilities: General (water, electricity etc) |
|
4,000 |
4,400 |
4,840 |
5,324 |
5,856 |
|
|
|
|
|
|
|
|
|
Marketing: Website creation and maintenance |
|
948 |
948 |
948 |
948 |
948 |
|
Marketing: Events and promotion |
|
15,000 |
15,000 |
15,000 |
15,000 |
15,000 |
|
|
|
|
|
|
|
|
|
Salary and wage: Social Media Intern |
|
1,400 |
1,540 |
1,694 |
1,863 |
2,050 |
|
Salary and wage: Cooks/Servers (4 FTE) |
|
27,375 |
30,113 |
33,124 |
36,436 |
40,080 |
|
Salary and wage: Operations/Chief |
|
35,000 |
38,500 |
42,350 |
46,585 |
51,244 |
|
Salary and wage: CEO |
|
35,000 |
38,500 |
42,350 |
46,585 |
51,244 |
|
|
|
|
|
|
|
|
|
Other: Permits, Licenses, and Certifications |
|
10,000 |
10,000 |
10,000 |
10,000 |
10,000 |
|
Other: General Liability Insurance |
|
3,500 |
3,500 |
3,500 |
3,500 |
3,500 |
|
Other: Truck Insurance |
|
2,500 |
2,500 |
2,500 |
2,500 |
2,500 |
|
Other: Office supplies |
|
500 |
500 |
500 |
500 |
500 |
|
Other: Maintenance |
|
4,800 |
5,280 |
5,808 |
6,389 |
7,028 |
|
Other: provision for unexpected items |
|
10,000 |
10,000 |
10,000 |
10,000 |
10,000 |
|
|
|
|
|
|
|
|
|
EBITDA |
|
17,017 |
43,544 |
71,547 |
83,975 |
96,103 |
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
10,850 |
10,850 |
10,850 |
10,850 |
10,850 |
|
|
|
|
|
|
|
|
|
Operating profit |
|
6,167 |
32,694 |
60,697 |
73,125 |
85,253 |
|
|
|
|
|
|
|
|
|
Income tax @ 35% |
|
2,158 |
11,443 |
21,244 |
25,594 |
29,839 |
|
|
|
|
|
|
|
|
|
Net income |
|
4,009 |
21,251 |
39,453 |
47,531 |
55,414 |
|
|
|
|
|
|
|
|
|
Growth |
|
|
|
|
|
|
|
Revenue |
|
|
20.0% |
17.9% |
10.4% |
9.8% |
|
EBITDA |
|
|
155.9% |
64.3% |
17.4% |
14.4% |
|
Operating income |
|
|
430.1% |
85.7% |
20.5% |
16.6% |
|
Net income |
|
|
430.1% |
85.7% |
20.5% |
16.6% |
|
|
|
|
|
|
|
|
|
Profitability |
|
|
|
|
|
|
|
Gross |
|
60.0% |
60.0% |
60.0% |
60.0% |
60.0% |
|
EBITDA margin |
|
5.0% |
10.6% |
14.7% |
15.7% |
16.3% |
|
Operating income |
|
1.8% |
7.9% |
12.5% |
13.7% |
14.5% |
|
Net income |
|
1.2% |
5.2% |
8.1% |
8.9% |
9.4% |
