The Metropolitan Café 52969 Van Dyke

Shelby Twp. MI 48316

Principle owner:

Gary Barney

1857 Allard Avenue

Grosse Pointe Woods, MI 48236

313*447*5044

Cellular 248*379*8769

E-mail b1030@comcast.net

Metropolitan Café Executive Business Plan

1.0 Executive Summary

This restaurant and social club will be one of Shelby Townships’ premier

destinations, offering recognizable fare with elegance at a value. A very

comfortable urban atmosphere will present a sense of belonging to the

guests. The unique environment will also offer a place to entertain and

relax after a meal, or for a night of socializing and having fun.

The main objectives of the development of this venue are:

Capitalize on the excellent location of the property, in the heart of

the newly developed, pedestrian friendly downtown.

To launch the venue with a highly publicized “Grand Opening”

after utilizing a quiet opening for training and perfecting food

ideas.

To maintain tight control of costs, operations, and cash flow

through diligent management, and a hands on approach.

To maintain a food cost of below 28% of food revenue.

To maintain a total beverage cost of below 20% of beverage

revenue.

To exceed $1.2 million in annual sales by the second year of plan

implementation, and 5% perennially thereafter.

The keys to success in achieving our goals are:

Provide exceptional service that “meets and exceeds guests’

expectations.”

Consistent food quality, atmosphere, and service.

Managing internal finances and cash flow to enable positive capital

growth.

Strict control of all costs.

Cultivate and maintain a strong rapport with staff and guests.

2.0 Company Summary

The key elements of the Metropolitan Café s concept are as follows:

Food—the special attention to the innovation, creation, and quality

of the food is the foundation of the project.

Drink—the development and implementation of a unique

beverage program will play an equally important role in the

success of the restaurant. We will offer unique, boutique wines,

spirits, and specialty beer at a competitive price not available

anywhere else in Shelby Twp. or the surrounding area.

Service—in order to attain an image of quality, the restaurant will

strive to provide exceptional service to its guests at all times,

investing in training and supervision. We estimate one server for

every three tables or roughly twelve guests.

Atmosphere— the restaurant will possess an urban look and feel.

We will implement a customary seating area for diners, and a not

so traditional lounge area; including couches and small bistro

tables with a fire place.

2.1 Company Ownership

The business will be operated under A.J.Barney LLC, as advised by the

borrowers Attorney, Thomas Hardy, of Hardy Lewis & Page PC; 401 S

Old Woodward, Birmingham, MI 48009.

The principle, Gary Barney, holds a BFA from Wayne State University.

He is currently a junior share holder of twenty-five percent in a viable

restaurant in Ferndale MI. Howe’s Bayou was established in 1998 and

was purchased by Gary and another partner in 2001; it currently generates

close to $1,000,000 annually in sales and continues to grow. Gary has

held restaurant management positions for ten years, and has over fifteen

years restaurant experience overall.

3.0 Business Description

The Metropolitan Café will be the premier restaurant and social club in an

area that is overrun with franchise eateries and bars. We plan to capitalize

on this excellent business opportunity with a commitment to the newly

developed downtown district by offering eclectic food and drink in an

upscale, urban environment. This will be the first and only of its kind in

Shelby Twp. The restaurant will offer an array of smaller, Tapas style

dishes: including a Fresh Seafood raw bar, lamb and veal chops, Organic

salads, along with traditional items as steaks, chicken and fish. The

restaurant will also possess an upscale, eclectic beverage program

including boutique wine, spirits, and handcrafted beer. Fortunately, the

business has obtained a class-C liquor license given by the city of Shelby

without substantial expense. The Shelby Twp. Board of Trustees

unanimously voted, approving the issue, on March 13, 2009 (See attached

resolution). The value of this license will exceed $60,000.00 when the

business officially opens.

4.0 Market Analysis

The concept of The Metropolitan Café is structured to capture a growing

population in Shelby Township. The population has grown significantly

in the past 40 years, and had the greatest numerical growth in the past

decade.

The location of the restaurant, the corner space of the brand new DiCicco

Plaza, offers high visibility and great curb appeal. We see the restaurant

appealing to three major market segments:

1. Middle-Aged Professionals—Due to the proximity of the

establishment, we must appeal to those who dominate the

immediate area. According the U.S. 2000 census, 37% of Shelby’s

populations are between the ages of 21-44 years of age, with an

average household income of $50,000 - $65,000. It is estimated

that by 2010, 74% of this population will be employed in an office

setting. The goal is to attract these people by competitive pricing,

and defining the image as a place that you can frequent without

“breaking the bank.”

2. Unmarried Couples—unmarried couples make up 30% of

Shelby’s population, and all of the current venues consist of dated

Italian Restaurants, Irish Pubs, and Sports Bars. The Metropolitan

will bring something fresh to Shelby and the surrounding area.

Our fresh seafood raw bar, urban atmosphere and professional staff

will draw the more sophisticated patron that craves more than

greasy French fries and stale beer.

3. Business Professionals—the Shelby Township Civic center is

currently across the street from the proposed location that is the

southeast corner of 24mi and VanDyke. This complex includes the

Township’s municipal offices, recreation office, Police

Department, Mae Stecker park, and Heritage Gardens. The

township board recently approved a concept plan for the future

expansion of the Civic Center and Municipal Grounds. The plan

includes construction of a new library building, recreation center,

and police and court complex, as well as a network of boulevards,

parking areas and walking paths. The Metropolitan Café will be

located within walking distance from the board approved complex.

We will accommodate to these professionals by offering daily

lunch specials and potential deliveries and catered luncheons.

5.0 Strategy and Implementation Summary

The fundamental strategy of the Metropolitan Café is simply to give our core

customers a new and unique concept, and to meet and exceed their expectations

with innovative, quality food, drink, and professional service.

5.1 Competitive Edge

The key elements to the Metropolitan Café’s competitive edge are:

1. Location: The restaurant will be located in the heart of the newly

developed downtown district. Set in the corner location of a newly

constructed three story plaza, retail storefronts will line the streets

to the North and South, along with occupied offices in the building

in which the restaurant will be located.

2. Parking availability: The building in which the Metropolitan

Café will be located will possess its own parking lot, which will

accommodate approximately 130 vehicles.

3. Atmosphere: Metropolitan Café will set the stage as Shelby’s

contemporary restaurant. The concept of the Metropolitan Café

was based upon Shelby Township’s downtown revitalization

project. The cities plan to update and modernize the VanDyke

corridor, between 23mi and 25mi road, was the origin for an

“Urban influenced” restaurant and social club.

4. Product: The Metropolitan Café will offer the best food and drink

in the Shelby area. Innovative culinary creations and esoteric

wines and spirits will be the foundation of our success.

5.2 Sales Strategy

A highly publicized grand opening will follow roughly two weeks

after a quiet, unannounced opening. This will allow time for staff to

perfect their product knowledge, become accustom to their coworkers,

and give adequate on the job training for overall operations.

On the night of the Grand Opening, we will offer a half off bottled

wine promotion, and market other upcoming events and programs.

We will then establish a traditional wine promotion every Tuesday

night thereafter.

5.3 Sales Forecast

As the following table shows, we plan to deliver sales of

$360,000.00 for the rest of fiscal year 2009, beginning in October.

We plan to exceed $1million in annual sales by the second year of

plan implementation, and 5% perennially thereafter.

Sales forecast

Food $ 216,000.00 $ 600,000.00 $ 720,000.00

Beverage $ 144,000.00 $ 400,000.00 $ 480,000.00

Gross Sales $ 360,000.00 $ 1,000,000.00 $ 1,200,000.00

Unit Cost Food $ 51,840.00 $ 14,400.00 $ 172,800.00

Beverage $ 28,800.00 $ 80,000.00 $ 96,000.00

Total Cost $ 80,640.00 $ 94,400.00 $ 268,800.00

Gross Profit Food $ 164,160.00 $ 585,600.00 $ 547,200.00

Beverage $ 115,200.00 $ 320,000.00 $ 384,000.00

Total Gross Profit $ 279,360.00 $ 905,600.00 $ 931,200.00

6.0 Management Summary

The management team is strong and dedicated, as we share a common goal; the

success of the Metropolitan Café.

6.1 Management Team

Gary Barney will be the General Manager and Director of Operations. His

responsibilities will be to oversee the day to day operations; working closely with

staff, inventory management, product control and overall supervision.

Jennifer DiCicco-Barney’s responsibilities will be administrative management;

including accounts payable, purchasing, and payroll.

Jessica DiCicco’s duties will consist of public relations, staff management and

marketing and promotions.

The

M e t r o p o l i t a n

Café

52969 Van Dyke, Shelby Twp. MI 48316 (586) 123-4567

Fresh Seafood Bar Daily Oyster Selection

fresh east and west coast oysters served with champagne mignonette $9/ ½ doz $16/ doz

Chilled Alaskan Salmon citrus cured atlantic salmon, caper, onion, whipped horseradish garnish $8.5

Cajun shrimp cocktail $8

Smoked Whitefish Crostini smoked lake superior whitefish, herbed crostini, onion, caper, whipped horseradish garnish $8

Lamb Chops frenched Ausrtalian lamb chops, marinated in fresh lemon juice and garlic, grilled to perfection $10.5

Tapas Plates

Prince Edward Mussels steamed in white wine, garlic, butter and shallot reduction $9.5

Escargot puff pastry and tomato caper buerre blanc $9.5

Ginger shrimp steamed asparagus, ginger and lemon zest vinaigrette $8.5

Peppered Flank Steak Carpaccio endive, grape tomato and Dijon emulsion $9

VanDyke’s Buffalo Wings bleu cheese dressing, green onion icicle and celery salad $7

Baked Brie En’croute fresh seasonal fruits $10

Herbed Parmesan and Sesame Chicken fresh herbs and sesame with ranch dipping sauce $6

Salads

Baby Organic Mixed Green Salad aged sherry and extra virgin olive oil dressing $5

Farmers Market Salad Red leaf, sun-dried cherries, walnuts and Maetag blue cheese dressed with warmed raspberry vinaigrette $6

Caesar Salad prepared tableside (2or more) $6per person