Bp Freshmarkets

7/30/2019 Bp Freshmarkets

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The Business Plan

For


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Table of Content

Executive Summary ........................................................The Company .........................................................Mission Statement ..................................................Management .........................................................Products and Markets .............................................Funding Requirements ..........................................

Job Creation .....................................................................General Company Description ..........................................

Company Goals & Objectives .................................Business Philosophy ...............................................Community Outreach.............................................The Business Environment ....................................

The TeamManagement Team Profiles and Staffing ................Professional Services ............................................


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The Executive Summary

The CompanyFresh Markets Inc. will be incorporated in the State Fresh Markets stock will be owned by The Kinte Cenof Urban Commerce Inc. a California incorporated 50nonprofit organization.

Mission Statement

Fresh Markets Inc. mission is to open a group of fou

service grocery stores in our targeted area to offer hbeverages, grocery and pharmacy services at a priceaffordable for our low to medium income area. Freshprovide new jobs, offer an option to fast food in a faarea and offer healthy foods to help fight health issudiabetes and obesity etc.


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DairyMilk

EggsJuiceCheese

PharmacyHousehold Items

Cleaning ProductsLaundry PowderCleaning Supplies

Toilet PaperPaper GoodsCandlesHome Deodorizers

Specialty CoffeesCream

C di t


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Canned SoupSandwiches

PicklesPizzasNoodlesCanned VegetablesCanned MeatsMarshmallowsMixes

Funding Requirement:

Fresh Markets Inc. will be financed by The Kinte Cen(C) (3) charitable nonprofit organization. The Kinteraise the funds to finance the venture through normfundraising processes.


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General Company Descript

Company Goals & Objectives:

Our primary goal is to fill fresh groceries vacuum thin our targeted while creating jobs for the area. Wedistinguish ourselves by being known as the area logrocery store that offers fresh meats and fresh prodand customer offered by well known national grocer

Our plan calls for opening four full service supermar

targeted area which will raise the full service grocercapita from the current one store for every 52,493 rstore for every 17, 498 residents. The full service gcapita for Oaklands more upscale combined commuPiedmont Avenue, Rockridge and Montclair is one fufor every 8,655 residents. The generally accepted a


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Fresh Markets, under nonprofit ownership will uniquand will offer groceries at the Safeway or Lucky leve

service but at a price affordable for the low income targeted area.

Community Outreach:

Areas in which Fresh Markets will uniquely contribucommunity it will serve are described below:

1). Fast Food Alternative

2)

Our targeted area

with fast food shops. There is one fast food sh7,499 residents in our targeted area VS one foresidents in Oakland combined areas of PiedmMontclair and Rockridge. We will offer a healthalternative to fast food.

I d A t F h G i


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stores, The Kinte Center intends to offer its stresidents of its targeted area at the lowest po

the stores are operating successfully. This wilentrepreneurship in our targeted area.

6.

Fresh Markets will engage the service of nutritdevelop healthy and nutritional diet ideas andmailed to the over 30,000 households in the aMarkets will serve.

Nutritional tips for the community

The Business Environment:Currently there are two independently owned full sestores in our targeted area. Because these stores arknown chains the quality of their product is often suMarkets will distinguish itself as the market in the nresidents can rely on for high quality foods, especia


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The Team

Management Team Profiles and Staffing

Store Manager

Compensation:

Salary - $70,766.00/yearBenefits - $22,800.00Estimated annual salary and benefits for a store ma

$93,566.00

Assistant Store Manager

Compensation:

Salary $60,121.00B fit $14 027 27


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Salary: $60,561.68/yearBenefits: $11,452.30/year

Estimated annual salary plus benefits or 2.54 combipreparations and serving workers: $72,013.98

(3). CashiersStaff of 22.16

Compensation

Salary: $492,161.19/yearBenefits: $93,068.45/year

Estimated annual salary plus benefits for 22.16 Cash$585,229.64

(4). Retail Sales PersonsStaff of 1.24

Compensation


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Compensation

Salary: $137,159.00/year

Benefits: $25,918.17/yearEstimated annual salary plus benefitsfor 2.34 Butchcutters: $163,078.07

(9). Packers and package handlersStaff of 1.37

Compensation

Salary: $28,318.46/year

Benefits: $5,355.07/yearEstimated annual salary plus benefits for 1.37 Packehandlers: $33,673.53

Marketing Plan


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annual per capita for the Flatlands is $13,595.00. To

Markets diverse service area it will stock according price product with income level in mind.

Competition:Fresh Markets Inc.s competition will

privately owned (non chain) full service grocery stopossibility of two discount versions of a major chainSince the matter of the two discount grocery stores discussion, it would be accurate to state that full se

stores in our targeted will consist of the two existingrocery plus Fresh Market Incs planned four new fustores. Essentially competition would be between thprivately owned full service grocery stores and the fFresh Market Inc. stores.

Niche: F esh Ma kets o ned b a nonp ofit o gani


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Inc.s four planned stores will be located in Redeveldesignated area commercial districts.

Management and Organiza

Founders: Fresh Markets Inc. is founded by The Kin

Study of Urban Commerce Inc. an Oakland California(3) charitable nonprofit organization with an unempreduction specific purpose. The Kinte Centers purpo

Fresh Markets Inc. is two fold (1). To create jobs in Incs service area and (2). Bring fresh, accessible grtargeted area.

Management Team: While the founding organizatio

The Kinte Center Inc. is a very capable nonprofit org


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Sales Projections:

To derive projected income, a market share opportuprojecting sales was used. According to DemographFood, Beverage & Grocery Detail summary Report da2010, the total expenditure on Food at home in our $127,471,119.38. When applying the standard storetore per every 9,500 residents to our targeted area 104,985, the area could accommodate 11.5 stores. Uscenario each of the 11.5 stores would have a mark

opportunity of $11,084.444.40. Fresh Markets projesales for year one, two and three.

a. Year one = $4,119,000.00b. Year two = $6,426,000.00c. Tear three = $7,897,000.00


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affairs. This provides an expensive means of reachiof residents of our targeted area with announcemen

advertising. Thus cutting down on the cost of distriadvertisements etc. Considering the somewhat uniqto reach many area residents through area churchesconfident that our annual promotional budget (markAdvertising) of $49,992.00 is sufficient.

Start-up Consulting:

Realizing we will need to hire grocery stores expert

that will come with the grocery store manager our p$30,000.00 over months 1, 2 and 3 for anticipated gconsulting needs.

Summarization:

In depth analysis was performed to attain the highe


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YEAR ONE

CASH FLOW ANALYSIS AND START-UP COSTS

Month # 1 Month # 2 Month # 3 START-UP PERIOD Month # 4 Month # 5 Month # 6 Month #

Income from Sales $0.00 $0 .00 $0. 00 $0.0 0 $44 0,000 .00 $442,0 00.00 $ 445,0 00.00

Plus : Balance foreward $0.00 $0.00 $0.00 $0.00 $0.00 $32,761.45 $155,522.90

Equals: Bal Fwd. Plus Sales $ 0. 00 $ 0. 00 $ 0. 00 $ 0. 00 $ 35 0, 00 0. 00 $4 74 ,7 61 .4 5 $ 60 0, 52 2. 90

Less Expndditures:

Salaries $140,562.59 140 ,562 .59 $140,562.59 $421,687.77 $140,562.59 $140,562.59 $140,562.59

Rent/Mortgage $ 10 ,0 00 .0 0 $ 10 ,0 00 .0 0 $ 10 ,0 00 .0 0 $ 30 ,0 00 .0 0 $ 10 ,0 00 .0 0 $ 10 ,0 00 .0 0 $ 10 ,0 00 .0 0 In ve nt or y $ 133,8 94.45 $13 8,894 .45 $142 ,894. 45 $415 ,683.3 5 $14 8,000 .00 $ 150,0 00.00 $ 152,0 00.00

Telephone $500.00 500.00 500.00 $1,500.00 $500.00 $500.00 $500.00 Equipment lease $6,000.00 6,000.00 6,000.00 $18,000.00 $6,000.00 $6,000.00 $6,000.00 PA System $166.67 166.67 166.67 $500.01 $166.67 $166.67 $166.67

website build ing $0.00 $0.00 $0.00 600.00 $0.00 $0.00 $0.00 website maintenance $150.00 $150.00 $150.00 $450.00 $150.00 $150.00 $150.00

Internet access fee $9.95 9.95 9.95 $29.85 $9.95 $9.95 $9.95 utilities $500.00 $500.00 $500.00 $1,500.00 $500.00 $500.00 $500.00

Office Equipment $250.00 $250.00 $250.00 $750.00 $250.00 $250.00 $250.00

Office supplies $300.00 $300.00 300.00 900.00 $300.00 $300.00 $300.00 Office Furnituire $0.00 $0.00 $0.00 $2,000.00 $0.00 $0.00 $0.00

Start-up Conssultant fees $20,000.00 20,000.00 20,000.00 $60,000.00 $0.00 $0.00 $0.00

Legal fees $250.00 $250.00 $250.00 $750.00 $250.00 $250.00 $250.00 Insurance $1,000.00 $1,000.00 $1,000.00 $3,000.00 $1,000.00 $1,000.00 $1,000.00

CPA - Bookkeeping fees $500.00 $500.00 $500.00 $1,500.00 $500.00 $500.00 $500.00 Maint enance - store 1,167.67 1,166.67 $1,166.67 3,501.01 $1,166.67 $1,166.67 $1,166.67

Maintenance - parking lot 500.00 $500.00 $500.00 $1,500.00 $500.00 $500.00 $500.00

Uniforms $300.00 $300.00 $300.00 $900.00 $300.00 $300.00 $300.00 Signage $0.00 $0.00 $0.00 $10,000.00 $0.00 $0.00 $0.00

Security $2,500.00 2,500.00 $2,500.00 $7,500.00 $2,500.00 $ 2,500.00 $2,500.00

Market ing /Ad ver ti si ng $4,166.00 4,166.00 $4,166.00 $12,498.00 $4,166.00 $4,166.00 $4,166.00 Miscellaneous $416.67 $416.67 $416.67 $1,250.01 $416.67 $416.67 $416.67

TOTAL EXPENDITURES PER MONTH $ 32 3, 13 4. 00 $3 28 ,1 33 .0 0 $ 33 2, 13 3. 00 $ 31 7, 23 8. 55 $3 19 ,2 38 .5 5 $ 32 1, 23 8. 55

BALANCE FORWARD $32,761.45 $155,522.90 $279,284.35

START UP COSTS $996,000.00

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YEAR TWOCASH FLOW ANALYSIS

Month # 1 Month # 2 Month # 3 Month # 4 Month # 5 Month # 6 Month # 7

Income From Sales $500,000.00 506,000.00 $510,000.00 $515,000.00 $520,000.00 $530,000.00 $540,000.

Balance Foreward $1,104,146.05 1,189,750.91 $1,279,355.77 $1,370,960.63 $1,465,565.49 $1,563,670.35 $1,670,775.

Bal Fwd. Plus Sales $1,604,146.05 $1,695,750.91 $1,789,355.77 $1,885,960.63 $1,985,565.49 $2,093,670.35 $2,210,775.

Less Expenditures:

Salaries $210,843.39 $210,843.39 $210,843.39 $210,843.39 $210,843.39 $210,843.39 $210,843.Rent/Mortgage $ 10 ,0 00 .0 0 $ 10 ,0 00 .0 0 $ 10 ,0 00 .0 0 $ 10 ,0 00 .0 0 $1 0, 00 0. 00 $ 10 ,0 00 .0 0 $ 10 ,0 00 .0In ven to ry $169 ,300.00 $171 ,300.00 $173 ,300.00 $175,300.00 $176,800.00 $177,800.00 $ 179,000.0

Telephone $650.00 $650.00 $650.00 $650.00 $650.00 $650.00 $650.0

Equipment lease $7,800.00 $7,800.00 $7,800.00 $7,800.00 $7,800.00 $7,800.00 $7,800.0PA System $216.67 $216.67 $216.67 $216.67 $216.67 $216.67 $216.6

website building $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.0

website maintenance $195.00 $195.00 $195.00 $195.00 $195.00 $195.00 $195.0

Internet access fee $12.94 $12.94 $12.94 $12.94 $12.94 $12.94 $12.9

utilities $650.00 $650.00 $650.00 $650.00 $650.00 $650.00 $650.0

Office Equipment $325.00 $325.00 $325.00 $325.00 $325.00 $325.00 $325.0

Office supplies $390.00 $390.00 $390.00 $390.00 $390.00 $390.00 $390.0

Office Furnituire $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.0

Start-up Conssultant fees $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.0

Legal fees $325.00 $325.00 $325.00 $325.00 $325.00 $325.00 $325.0

Insurance $1,300.00 $1,300.00 $1,300.00 $1,300.00 $1,300.00 $1,300.00 $1,300.0

CPA - Bookkeeping fees $650.00 $650.00 $650.00 $650.00 $650.00 $650.00 $650.0

Maintenance - store $1,516.67 $1,516.67 $1,516.67 $1,516.67 $1,516.67 $1,516.67 $1,516.6

Maintenance - parking lot $650.00 $650.00 $650.00 $650.00 $650.00 $650.00 $650.0Uniforms $390.00 $390.00 $390.00 $390.00 $390.00 $390.00 $390.0

Signage $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.0

Security $3,250.00 $3,250.00 $3,250.00 $3,250.00 $3,250.00 $3,250.00 $3,250.0

Marketing/Advertis ing $5,415.80 $5,415.80 $5,415.80 $5,415.80 $5,415.80 $5,415.80 $5,415.8

Miscellaneous $514.67 $514.67 $514.67 $514.67 $514.67 $514.67 $514.6

TOTAL EXPENDITURES PER MONTH $414,395.14 $416,395.14 $418,395.14 $420,395.14 $421,895.14 $422,895.14 $424,095.

BALANCE FORWARD $1,189,750.91 $1,279,355.77 $1,370,960.63 $1,465,565.49 $1,563,670.35 $1,670,775.21 $1,786,680.


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YEAR THREE

CASH FLOW ANALYSISMonth # 1 Month 2 Month # 3 Month # 4 Month # 5 Month # 6 Month # 7 Month # 8 M

Income From Sales $600,000.00 $620,000.00 $630,000.00 $640,000.00 $650,000.00 $660,000.00 $670,000.00 $675,000.00

Balance Foreward $2,454,904.37 $2,509,997.01 $2,582,589.65 $2,663,182.29 $2,752,274.93 $2,850,367.57 $2,958,460.21 $3,076,552.85

Bal Fwd. Plus Sales $3,054,904.37 $3,129,997.01 $3,212,589.65 $3,303,182.29 $3,402,274.93 $3,510,367.57 $3,628,460.21 $3,751,552.85

Less Expenditures:

Salaries $316,265.09 $316,265.09 $316,265.09 $316,265.09 $316,265.09 $316,265.09 $316,265.09 $316,265.09

Rent/Mortgage $ 10 ,00 0. 00 $1 0, 000 .0 0 $ 10 ,0 00 .00 $1 0, 00 0. 00 $1 0, 00 0. 00 $1 0, 000 .0 0 $ 10 ,0 00 .0 0 $1 0, 000 .0 0 In ven to ry $1 87 ,50 0. 00 $19 0, 000 .0 0 $1 92 ,0 00 .00 $ 19 3, 50 0. 00 $ 19 4, 50 0. 00 $ 19 4, 500 .0 0 $1 94 ,5 00 .0 0 $ 19 4, 500 .0 0 Telephone $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00

Equipment lease $ 10 ,14 0. 00 $1 0, 140 .0 0 $ 10 ,1 40 .00 $1 0, 14 0. 00 $1 0, 14 0. 00 $1 0, 140 .0 0 $ 10 ,1 40 .0 0 $1 0, 140 .0 0 PA System $281.67 $281.67 $281.67 $281.67 $281.67 $281.67 $281.67 $281.67

website building $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

website maintenance $253.50 $253.50 $253.50 $253.50 $253.50 $253.50 $253.50 $253.50

Internet access fee $16.82 $16.82 $16.82 $16.82 $16.82 $16.82 $16.82 $16.82

utilities $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00

Office Equipment $422.50 $422.50 $422.50 $422.50 $422.50 $422.50 $422.50 $422.50

Office supplies $507.00 $507.00 $507.00 $507.00 $507.00 $507.00 $507.00 $507.00

Office Furnituire $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

Start-up Conssultant fees $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

Legal fees $422.50 $422.50 $422.50 $422.50 $422.50 $422.50 $422.50 $422.50

Insurance $1,300.00 $1,300.00 $1,300.00 $1,300.00 $ 1,300.00 $1,300.00 $1,300.00 $1,300.00

CPA - Bookkeeping fees $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00

Mai ntenanc e - s tor e $1,971.67 $1,971.67 $1,971.67 $1,971.67 $1,971.67 $1,971.67 $1,971.67 $1,971.67

Maintenance - parking lot $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00 $845.00

Uniforms $507.00 $507.00 $507.00 $507.00 $507.00 $507.00 $507.00 $507.00 Signage $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

Security $4,225.00 $4,225.00 $4,225.00 $4,225.00 $4,225.00 $4,225.00 $4,225.00 $4,225.00

Mark et ing/Ad vert isi ng $7,045.54 $7,045.54 $7,045.54 $ 7,045.54 $7,045.54 $ 7,045.54 $7,045.54 $7,045.54

Miscellaneous $669.07 $669.07 $669.07 $669.07 $669.07 $669.07 $669.07 $669.07

TOTAL EXPENDITURES PER MONTH $544,907.36 $547,407.36 $549,407.36 $550,907.36 $551,907.36 $551,907.36 $551,907.36 $551,907.36

BALANCE FORWARD $2,509,997.01 $2,582,589.65 $2,663,182.29 $2,752,274.93 $2,850,367.57 $2,958,460.21 $3,076,552.85 $3,199,645.49

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