2017

BUS201
Business Planning
This is a business plan report based on a startup
company named Pizza é Gelato.

The Techno Sapphires

Pizza é Gelato
7/20/2017
Group Name:

Group Members:

S [1]

S [16]

N [16]

K [16]

T [16]

Course Title: Introduction to Business

Course ID: BUS201 Section:

Semester:

Independent University, Bangladesh.

Submitted To : Ms. Isma Khan

Date of Submission:

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NAME OF BUSINESS PLAN: Pizza é Gelato your innovation in taste

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LETTER OF TRANSMITTA

To: Ms. Isma Khan,

Lecturer

Independent University,

Bashundhara R/A

Dhaka, Bangladesh

Date: 20 July, 2017.

Subject: Submission of Business Plan on Pizza é Gelato

Dear Madam,

With due respect, it is our pleasure and honor to be your students and have this opportunity to
present the business plan of Pizza é Gelato. While preparing the business plan, we have
given our best effort thorough out on the topic regarding this business. We have provided all
relevant information regarding this business and we believe and hope that our plan will
provide a clear conception about our business.

We all gave our best to accumulate required information and we will be more than happy to
answer any question and clarify it fully to your understanding. Thank you for all your help
and support which helped us significantly in preparing the business plan.

Sincerely yours,

Pizza é Gelato

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ACKNOWLEDGEMENT

In completing our assignment, we had to take the help and guideline from our respected
faculty who deserves our greatest gratitude. The completion of this assignment gives us much
pleasure.

We would like to show our gratitude to Ms. Isma Khan, Lecturer, Independent
University, Bangladesh, for giving us a solid guideline for the assignment throughout
numerous consultations. We would also like to expand our deepest gratitude to all those who
have guided us directly and indirectly in writing this report. Many people, especially our team
members themselves, have made valuable comments and suggestions on this proposal which
gave us an inspiration to improve our task by a large margin. We thank all the people for their
contribution to our assignment.

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TABLE OF CONTENTS:

Contents
Name of Business Plan ....................................................................................................... 3
Letter of Transmittal ........................................................................................................... 4
Acknowledgment ................................................................................................................ 5
Executive Summary............................................................................................................ 7
Company Background ........................................................................................................ 8
Management Team ........................................................................................................... 10
Product/Service Description ............................................................................................. 15
Industry Analysis .............................................................................................................. 24
Marketing Plan ................................................................................................................. 30
Financing the Business ..................................................................................................... 33
Conclusion ........................................................................................................................ 36

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Executive Summary:

Pizza é Gelato is a standard and legalized food Delivery Company that will be based initially based in
Dhaka, Bangladesh. We have been able to lease a suitable warehouse with kitchen permitted from the
appropriate authorities. At initial stage, our service will be located in some major areas of Dhaka like
Banani, Dhanmondi, Gulshan, Baridhara, Bashundhara, Mirpur, Uttara and Niketan. Pizza é Gelato is
established by a team of five members who have a minimum of graduate degree from the best
universities of the world. They also have a robust experience in the food business having worked in
the world’s largest chains of ice-cream and pizza companies.

As a company, we are willing to invest in some of the finest professionals (Inventory Manager, IT
manager, HR manager, Accountant, Marketing manager, Operations Manager, chefs, delivery men
and warehouse staff members). We have planned to acquire the best of equipments and capitals when
it comes to setting up a standard and first class warehouse. Pizza é Gelato will serve different types of
pizzas and ice creams. The customers get the privilege of using our App which is available in App
Store, Google play store and also in the Microsoft store. The consumers get the chance of customizing
their preferred food by using the drag and drop option in our App to select the toppings and flavors.
We also have an excellent payment method in our App by which the customers can pay by their credit
cards and also Bkash (a local mobile banking company) account. The food reaches the doorsteps of
the customers within 30 minutes after they ordered the food.

Bangladesh is a really good place to introduce such a business because demand for such services has
been rising rapidly in recent years. The factors of production are cheap and readily available. Our
production process is absolutely environmental friendly and healthy for the customers. We will cover
a wide range of clients like office employees, students, young people and almost all the people who
love pizza and ice-cream. Pizza é Gelato will be serving the most unique and tastiest pizzas and ice
creams by adding different flavors and toppings which is not available in the local fast food shops.
Such service has never been introduced in the domestic market until now, so we don’t have
competitors at the moment. Promotion will be done mostly in social networking sites like Facebook
and Instagram. Our business needs a license in Bangladesh so we will be applying for license as soon
as we start the business. As we have decided to form a partnership to start the business, each member
will be contributing Tk. 300000 and we will be lending Tk. 1500000 from bank to start the business.
Our business plan might look too tall a dream but we are optimistic that this will surely come to
success because we have done our research and feasibility studies and we are enthusiastic and
confident that Dhaka is the right place to launch this type of business before spreading to other cities
all across the world.

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Company Background:

Business Type: Pizza é Gelato will sell its product directly to consumers, which implies that
it is a B2C (Business-To-Consumers) company. We will buy ingredients in bulk and make
food items according to the instructions of the consumer.

Mission Statement: Our missions are to make healthy and the most delicious mouth
watering pizzas and ice-creams at an affordable price, and create a distinct and consistent
brand image that separates us from our competitors.

Objectives/Goals:

1) Ensure that quality standards are met

2) Meet customer expectations by providing quality food items at a reasonable price
3) Increase customer base in two years by means of strengthening brand image and
producing good quality food items.
4) Build and maintain customer relationship by responding to customer feedback and
providing after-sales service if necessary.

SWOT analysis

Strengths:

Our company will introduce Crowd Sourcing, giving consumers a voice in decision-making
processes – companies are deepening their relationships, giving consumers a feeling that they
are connected to and part of their brand. These will contribute to the betterment of products
and services, company brainstorming, designing new products, issue management and
feedback.

Weaknesses:

At the moment, the company will not be able to reach the entire target customers, but will
grab attention.

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Opportunity:

A model with a combination of food services and food merchandise retailing, promises
increased footfalls and sales at outlets. The sale of food-related merchandise offers an
additional revenue generating opportunity with minimal additional investment. Presently at a
nascent stage in Bangladesh; the model is expected to gain a strong market foothold in the
years to come.

Threats:

Rapid increase in the price of goods in the market of Bangladesh is a common story; this can
force us to increase the price of our food products.

If the price of pizza and ice-cream is reduced by the local restaurants and they make it easily
available to the customers, the demand of our product will fall drastically.

Business Philosophy and Competitive Advantage

Our main business philosophy is to maintain consistent quality of our product. Pizza é
Gelato will be the only company to serve ice-creams and pizzas locally at a reasonable price;
our product’s price will be comparatively lower than competitors which will in turn provide
us with a competitive edge in the industry.

About our company:

We are a startup organization ready to enter the market with the intention to create a
sustaining business. We will produce ice-creams and pizzas according to the customers’
demands.

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Management Team:

Job Description

Pizza é Gelato

ROBIN ENAD NAYMA FAHIM ZORA

Inventory HR Financial Operation Marketing

manager Manager Manager Manager manager
&IT
manager

Chefs
Delivery
boys

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Robin has completed his BBA and MBA in International Business from Harvard University,
USA and is currently employed as the Inventory manager and IT manager of Baskin-
Robbins, Bangladesh.

R is the soul to our team, who will boast first class organizational and presentation skills. He
will be responsible for all the inventory aspects on the site such as stock location and
availability, replenishment control and issuing purchase orders to suppliers. He is also the IT
manager of the company who has developed the App and will take the responsibility of
maintaining it in regular basis.

E has completed his BBA and MBA from University of Pennsylvania, USA in Human
resource management and is currently employed as the Human Resource Manager of Pizza
Hut, Bangladesh.

E will assist with day to day operations of the Human Resource functions and duties from
process documentation and prepare reports relating to personnel activities (staffing,
recruitment, training, grievances, performance, evaluations, etc.) Working autonomously and

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operates to attract, hire and maintain the employees. At the same time He will be in charge of
looking after the delivery boys, ( delivering goods to customers) that they are being active
spot on time when it comes to delivery He will also monitor the work of Chef in details.

Nayma has completed her BBA and MBA in Accounting and Finance from McCombs
School of Business, USA and is currently employed as the Financial Manager of Pizza Inn,
Bangladesh.

N will enhance financial decision-making information by collecting, analyzing, investigating,

and reporting financial data. For example-preparing balance sheets, income statements,
product budgets, developing forecast. She would calculate Break-Even Point, profit and
losses of the business.

F has completed his BBA and MBA from University of Chicago, USA in Operations
Management and is currently employed as the Operation manager of Movenpick,
Bangladesh.

F is a versatile, focused and motivated individual whose vision of success is to rise above the
competition in every way and continue. He will be the Operation in Charge of the company.
He will look after the operation in every detail and will see that all pizzas and ice- creams are
made in right conditions.

Z has completed her BBA and MBA in Marketing from Massachusetts Institution of
technology (MIT), USA and is currently employed as the Marketing Manager of Sbarro,
Bangladesh.

Zora is the marketing officer would brainstorm ideas from how to promote the product,
advertise it and do all the marketing plans strategies and decisions. She would also look after
where there is demand for our product and what are customer’s requirements. She would be
controlling employers according her rules and necessity. She will not only be promoting but

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also coordinate sales activity. She will set sales goals and recommend whether the company
will add or drop products which are not attracting the customer.

Supervisor (Technical) as the technical experts, their prime job is to take care of the
machineries used to produce necessary output. He will also make sure that the machines
which are used for producing our product are also working fine.

Workers will be responsible for keeping the production running and also keep the machines
and environment clean.

Legal Form of Ownership: Partnership

We have five partners in our business. Each partner will bring in a unique set of skills to the
business and with a combined effort we can make our business reach the acme of success. All
five partners of the business will share the profits and liabilities equally, and be actively
involved in decision making. Each partner will provide funding for the business which means
we will have more start-up capital and potential for growth. We will share the responsibilities
for running the business. Since we have five partners we will split the work according to our
skills instead of splitting the management and taking an equal share of each business task.

Product/Service Description:

We will produce and deliver different kinds of pizzas and ice-creams. Customers will have
the privilege to make their own products using their own hand tip on our App. The list shows
the ingredients anyone can add in our products we deliver:

Pizza:

 Pepperoni

 Mushrooms

 Onions

 Sausage

 Bacon

 Extra cheese

 Black olives

 Green peppers

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  Pineapple

 Spinach
 Beef
 Chicken
 Tomato
 Cheese
 Broccoli
 Pineapple
 Jalapeno Peppers
 Green Peppers
 Roasted Garlic
 Potato sliced
 Caramelized Onions
 Cilantro
 Steak
 Salami
 Sauce

Ice-cream:

Fruit toppings:
 Brandied cherries
 Peach preserves
 Freeze-dried strawberries
 Assorted fresh fruit (blueberries, raspberries, blackberries, mango, peaches)
 Lemon curd
 Pineapple compote
 Candied lemon peel
 Crystallized ginger
Crunchy toppings:
 Cocoa nibs
 Chocolate pearls

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 Candied walnuts
 Toasted pepitas
 Olive oil granola
 Unsweetened coconut, toasted
 Crushed gingersnaps
 Graham cracker crumbs
 Edible lavender florets
 Nut brittle, broken into pieces
 Caramel corn
 Salted Spanish peanuts
Soft toppings:
 Good-quality olive oil
 Balsamic reduction
 Warmed Nutella
 Local honey
 Grade B maple syrup
 Coffee jelly cubes
 Organic date syrup
 Pomegranate molasses
Ice cream flavors:
 French vanilla
 Goat's milk vanilla
 Chocolate
 Coffee
 Coconut
 Strawberry
 Peanut butter
 Caramel
 Macadamia nut
 Lemon sorbet

Flavors of ice-creams:

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 Bacon ice cream
 Blue Moon (ice cream)
 Brown bread ice cream
 Butter pecan

 Chocolate chip cookie dough ice cream

 Chocolate ice cream
 Cookies and Cream
 Cornish ice cream
 Crab ice cream

 Garlic ice cream

 Grape ice cream
 Grape nut ice cream
 Green tea ice cream

 Halva ice cream

 Hokey pokey (ice cream)

 Mint chocolate chip

 Moose Tracks

 Neapolitan ice cream

 Oyster ice cream

 Pistachio ice cream

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R

 Raspberry Ripple

 Spumoni
 Strawberry ice cream
 Superman ice cream

 Tiger tail ice cream

 Tutti-frutti (food)

 Vanilla ice cream

Online App:

This is the icon of our app which will be available in App Store, Google Play Store and
Microsoft store

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The customer gets the option to choose either pizza or ice-cream to complete the order

If the customers want to order ice-cream they have the privilege to add/remove flavors and
choose toppings according to their wish

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Else, if the customers choose to order pizza they get the opportunity to drag and drop their
desired toppings to customize their desired pizza

Payment Method:

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We have got an excellent online payment method along with varieties of options. Here are the
ways by which the customers can pay using our app after ordering the food.

Pictures of our product:

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Pizzas:

Ice-creams:

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Industry Analysis:

Worldwide, the market for food delivery stands at €83 billion, or 1 percent of the total food
market and 4 percent of food sold through restaurants and fast-food chains. It has already
matured in most countries, with an overall annual growth rate estimated at just 3.5 percent for
the next five years.

By far, the most common form of delivery is the traditional model, in which the consumer
places an order with the local pizza parlor or Chinese restaurant (although many other kinds
of restaurants, particularly in urban areas, now offer delivery) and waits for the restaurant to
bring the food to the door. This traditional category has a 90 percent market share, and most
of those orders—almost three-quarters—are still placed by phone.

Economic Environment

The economic environment consists of external factors in a business market and the broader
economy that can influence our business.

Macroeconomic influences are broad economic factors that either directly or indirectly affect
the entire economy and all of its participants, including our business. These factors include
such things as:

 Interest rates: Our business will be taking a SMEI loan with an interest rate of only
6.67%.
 Taxes: The taxation rate for business in Bangladesh is currently 25%for companies
making a yearly net profit of Tk3000000 or above. High taxes will hinder business
growth and also directly have an impact on the company’s net profit.
 Inflation: The average inflation rate is considered to be 2%. In Bangladesh the
inflation rate in 2016 was 6.74% and in 2017 6.87%. The inflation rate has only
increased by 0.13% meaning the change in prices will be minimal and business will
not face any major impacts. The rate of inflation will have an impact on the
purchasing power of the consumers and buying power of our company.
 Currency exchange rates: Our companies capital investment “machinery” has been
imported and at that time the currency exchange rate was Tk1=USD0.01247. There is
not going to be any major impact on our business as the machinery is expected to last

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 for minimum of 8-10 years. Our materials are obtained locally and the production is
also done locally.
 Consumer discretionary income: If consumer discretionary income is high they will
be able to afford more products which will benefit our company.
 Consumer confidence levels: A good brand image will insure that consumer
confidence levels pertaining to the product will be high.
 Unemployment rate: The current unemployment rate in Bangladesh is around 4.7%.
The economy is still very close to full capacity, and the purchasing power of the
consumers is still high. So, there will not be any major impact on our business by
unemployment rates.3

Microeconomic factors influence how your business will make decisions. Microeconomic
factors influencing a business include:

 Market size: The domestic market size for fast food delivery in Bangladesh is
approximately 400 orders per day
 Demand: Pizza and Ice-creams are normal goods and there is substantial demand for
pizza and ice-cream in Bangladesh
 Supply: Most of the supply is met by buying local vegetables from markets in bulk
and also buying imported ingredients from super shops like agora, Shwapno, Unimart
etc.
 Competitors: There are major competitors in Bangladesh at this moment since the
market is not yet properly introduced to this industry.

Demographic Environment

Bangladesh is one of the most thickly populated countries in the world. Having a population
of about 140.6 million and growing, within a total surface area of 147,570 sq. km. The
density of population is 97.9 per sq. km, which is one of the highest in the world. Thus
having a vast demand in general, plus pizzas and ice-creams themselves are considered to be
normal goods, as the demand of these goods are likely to increase as the income of the people
are increasing.

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Technological Environment

The technological environment of Bangladesh is advancing everyday as the government itself

is playing a vital role in digitalizing Bangladesh. Our product is of the present and more of
the future. As people are more comfortable ordering pizzas and ice-creams using mobile
phone apps these days. We can conclude that the demand for our products is expected to rise
even more in future.

Natural/Geographic Environment

Although Bangladesh is a very small country, it has enough potential to keep a business in its
geography. Bangladesh is enriched with natural resources, and our primary raw materials
needed to make our food products are domestically made in the soils of this country.
Although the country still face problems providing fresh raw materials due to humid climate
and natural disasters these factors do not have any major impact on our business as we are
buying the local raw materials coming right away from the rural areas or the country sides
and importing the best quality products to make out food healthier and taste better than
anyone else.

Legal and Political Environment

To start a company in this industry in Bangladesh, companies need to fulfill some of the
criteria allotted to them by the government. Some of them include:

• A Trade license: Companies obtain a trade license from the City Corporation. Recently, the
City Corporation (Dhaka) was divided into 2 zones: the North Zone and the South Zone. The
proposed company will have to file its application at the nearest City Corporation.

• A Bank account: In order to register for VAT, the company must first open a bank account.

• A Project profile: A project profile is needed for a company to apply for bank loans.

• A TIN Number: In order to start business operations, every company must register for taxes
at the appropriate taxation authority (Deputy Commission of Taxes of Company Circle,
Zonal Taxation Department) under the National Board of Revenue (NBR) and obtain a tax
identification number. Obtaining TIN number can now be done online in less than one day.

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• A Vat license: For VAT purposes, companies register with the Customs, Excise, and VAT
Commission under the National Board of Revenue. The company's VAT is regulated by the
Customs, VAT and Excise Department of the region in which it operates.

Competitive Environment

In Bangladesh, the competitors we consider are Foodpanda and HungryNaki as they already
included the privilege of ordering food from most of the local restaurants using their mobile
app which has been introduced in both AppStore and Google Play Store.

Market Analysis:

Market Segmentation

Our customer base will be segmented according to the age and type of people. We
will heavily utilize our marketing strategies to capture the bulk purchaser.

Such as: students, teenagers, senior citizens, office employees and different kind of people.

Our customers will be offered a lighter level of promotional benefits.

Our Target Market Includes:

1. Students,

2. Teenagers

3. Young people,

4. Senior citizens and

5. Office employees

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Total Market Size and Our Market Size:

The domestic market size for pizza and ice-cream is huge and is expected to rise in the
following years in Bangladesh. Some of the factors which will help us gain a huge
demand are:

1. Different flavors.

2. Best food quality,

3. Good customer service for home delivery,

4. Reasonable price and

5. User friendly environment for getting deliveries.

Major, Current and Future Trend Identification

According to current trends and situation, we can safely say there is high demand for
our business and it will become more and more popular in the future.

Major Competitors Identification

Currently, we have no major competitors in our business.

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Market Share Analysis

In Bangladesh there are approximate 65 companies providing home delivery for food
items and the number of the companies are increasing day by day. Most of them provide
their services in Dhaka city. Our main target is to capture the market in Dhaka. Nowadays
online purchasing is more popular in Dhaka City and it will be more popular in future.
Especially students, young people, teenagers, office employees are most interested for online
purchase .Since our delivery is based in Dhaka, it will be very cost effective for us to cater to
our customer and maintain a significant share in the market.

Positioning

Products are made in factories or industries, brands are made on the mind of the customers.
We can safely say that, there is a huge demand for our business because we are
unique, there is no competitor of ours. We have the best customer service for home delivery
and our food quality is awesome. Our food price is reasonable and the taste is very good.
Especially we will use different kind of unique flavor for our ice creams and that’s why
people will like it most than others. We have the user friendly App which people can use
easily and without any restrictions. We will provide good quantity of food and we will be
able to maintain our standard in future. We will try our best and people will love it for that.

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Marketing Plan:

Marketing strategies

Place

Our company being just a start up business, we will not have any physical store of our own;
instead we will act as a restaurant and deliver food to the customer’s destination. Our
warehouse will be opened in Banani as it is the hub of the places from where we are targeting
our customers. At the initial stage, we will be delivering food to Dhanmondi, Gulshan,
Baridhara, Bashundhara, Mirpur, Uttara and Niketan.

Price

Our prices are extremely competitive and on par to the quality when compared to our
competitors. We will be charging approximately Tk.800-3000 (according to the toppings and
size) for pizzas and Tk.400-800 (according to the flavors, scoops and toppings) for ice-
creams.

Promotion

Promotion

Our marketing strategy is heavily based on social networking sites, radio, billboards and
television. Door-to-door brochures will be provided to all potential buyers. Leaflets of the
food menu will be distributed for free in front of many educational institutions.

The basic information, which will be provided in our brochures, Facebook & others, is to
download the App in your phone.

 Good amount of discounts will be available for people who will order more food
worth more than Tk.2000 and there will be no delivery charge taken from anyone
ordering more than Tk.700.
 Repeating customers will be offered with complementary soft drinks along with their
pizzas to attract more customers.
 In addition, to fasten our delivery service we are planning to hire at least 4 delivery
men to deliver our product on the given time in the right destination. Also, to prove
our level of confidence in service excellence we are not going to charge 50% of the

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 money if we can’t deliver the food within 45 minutes and absolutely for free if it
takes more than 1 hour from ordered time.
 We will be providing sponsored posts on Facebook and Instagram where we will ask
people to tag as many people as possible and share our posts so that a huge number of
people can know about us. 5 lucky people will get the chance to taste some of our
food products for absolutely free amongst all the people who will follow the rules of
our promotional strategy on Facebook and Instagram.

It is also more important to maintain a regular flow of customers. Since we are still a small
business we have the capability and enthusiasm to form friendly relationships through
constant contact with our buyers. All of this combined with our extremely competitive prices
and to the par quality are sure to result in high levels of exposure in the market.

Operational Plan

We will buy all the needed raw materials in bulk from the local market except for the once
we need to import. The imported raw materials will be brought from super shops but if we
can manage to buy in bulk from a trusted importer who can deliver materials of good and
fresh quality we will definitely buy it from them to reduce the production cost. We are
planning to hire someone only for buying good quality raw materials form the market at a
cheap price. He is going to take the materials to our warehouse. We will also hire four (4)
chefs who are specialized in making various types of ice-creams and pizzas. We are going to
develop a site and a mobile phone app by which the consumers are going to make their
preferred food items by their own, for example a person will be given a default sample of a
pizza or an ice-cream where he/she will select the desired toppings and additional ingredients
to make the pizza or ice-cream. After the orders are taken from the customers, they will be
reported to our chefs and workers to carry out the production. Our warehouse will be opened
in Banani as it is the hub of the places from where we are targeting our customers. At the
initial stage, we will be delivering food to Banani, Dhanmondi, Gulshan, Baridhara,
Bashundhara, Mirpur, Uttara and Niketan. We will be having good machineries for the
convenience of our chef and efficiency of work. In addition, to fasten our delivery service we
are planning to hire at least 4 delivery men to deliver our product on the given time in the
right destination. Also, to prove our level of confidence in service Excellency we are not
going to charge 50% of the money if we can’t deliver the food within 45 minutes and

30
absolutely for free if it takes more than 1 hour from ordered time. There will be motor bikes
for the delivery men as it will be easier and faster for them to deliver food in this city where
everyone suffers because of the huge traffic jam.

There will be approximately 200 orders per day in our targeted areas. For delivering fresh
food we will be buying materials after one working day, say if we are buying it on Sunday
the next day we will be buying the materials again will be on the following Tuesday. The
materials will be preserved in the refrigerator which keeps the food fresh for at least a day or
two.

The refrigerator, oven, blender and other machineries will be brought from a good brand shop
in Dhaka. All of these will cost us nearly Tk. 300,000. Along with the purchasing cost of the
delivery bike, the total cost of the capital goods of this business will be around Tk. 600,000.

We are aiming to fulfill orders on hourly basis, as preparing the food and delivering it will
not take much long. We are targeting to sell at least 120-150 pizzas and 60-80 ice-creams
every day in the first few months.

Our company will be providing a yearly bonus to all the workers associated with the
company.

Financial statement will be made every month to keep record and check whether there is any
error.

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Financing the business:

Food licensing

According to new law (November 27, 2014) without registration and license, the business of
restaurant and hotel is illegal. Our business plan is similar to a restaurant so we applied for a
restaurant registration and license. In next 3 months we will have our legal license. It will be
valid for 3 years.

Financial plan

We will be doing partnership business. We are five and each of us is a general partner. Each
will contribute Tk. 300,000 in total Tk. 1500,000 but our initial investment will be Tk.
3000,000. For the remaining Tk. 1500,000 we are looking for bank loans which will be
described in the bank loan proposal.

Monthly Manufacturing Account

Details TK.
Purchase of Raw Materials 50000
Head Chefs (4 people) 67000
Workers (4 people) 32000
Delivery Boy (4 people) 46000
Prime cost 169000
Factory Overhead Expenses:
Store Rent 80000
Factory Power 30000
Packaging 4000
Maintenance of machinery 15000
Depreciation of machinery 60000
Insurance 20000
Total Production Cost 573000

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RATIO ANALYSIS:

Current Ratio: 2.00

Debt Ratio: .87

Return On Sales: 1.19

Return On Equity: 716800

Inventory Turnover: 137.28

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Income statement (first year):

Details Value
Revenue Tk. 35500000
Cost of produced goods Tk. 27456000
Gross Profit Tk. 8044000

Operating expenses:

Working position Wage

Inventory Manager + IT Manager Tk. 500000

Manager Tk. 450000

Accountant Tk. 350000

Office operator Tk. 380000

Marketing manager Tk. 400000

Transportation Tk. 400000

Delivery boys Tk. 550000

Chefs Tk. 800000

Bonus Tk. 100000

Warehouse rent Tk. 240000

Net profit before tax Tk. 3874000

Tax (15%) Tk. 581100

Net profit after tax Tk. 3292900

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Conclusion:

We are expecting that Pizza é Gelato will be very much popular for delivering the best
quality customized pizza and ice-cream in Bangladesh at a very reasonable price.
Office employees, students, young people and all the ice-cream and pizza lovers are our
target customers. We created a new product plan for increasing market share. At the
moment, we do not have any competitors in the market of Bangladesh.
Pizza é Gelato’s main goal is to achieve a better and reasonable market share and
profitability in the fast food market. Most importantly, we will be looking forward to
expand Pizza é Gelato beyond the borders of Bangladesh and make it one of the best
international fast food chains in the world.

35
Referencing:

http://www.mckinsey.com/industries/high-tech/our-insights/the-changing-market-for-food-
delivery

http://bdnews24.com/economy/2016/06/13/bangladesh-records-lowest-inflation-rate-in-a-
decade

https://www.google.com/search?client=opera&q=unemployment+rate+in+bangladesh&sourc
eid=opera&ie=UTF-8&oe=UTF-8

https://www.informationvine.com/index?qsrc=999&qo=semQuery&ad=semD&o=33781&l=
sem&askid=514f0ec7-08ec-412b-9275-88c219aaab66-0-
iv_gse&q=bangladesh%20savings%20rate&dqi=&am=exact&an=google_s

https://tradingeconomics.com/bangladesh/interest-rate

http://www.taxmatebd.com/resources/rate-of-incometax-2016-2017/

http://www.xe.com/currencyconverter/convert/?Amount=1&From=USD&To=BDT

https://www.techinasia.com/too-lazy-own-food-bangladesh-hungrynaki

https://www.studyblue.com/notes/b/principles-of-marketing-13th-edition/13735/0

https://en.wikipedia.org/wiki/Demographics_of_Bangladesh

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Appendix:

Gross Profit, Total Expenses and Net profit over first few years:

12000000

10000000

8000000

Gross Profit
6000000
Total Expenses
Net profit
4000000

2000000

0
Year 1 Year 2 Year 3 Year 4

Yearly wages of the business partners

Inventory Manager& IT
Manager
HR Manager

Accountants

Operations Manager

Marketing Manager

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Monthly expenses chart

Purchase of Raw Materials

Head Chefs (4 people)
Workers (4 people)
Delivery Boy (4 people)
Prime cost
Store Rent
Factory Power
Packaging
Maintenance of machinery
Depreciation of machinery
Insurance

38