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BLUE CHAIR COFFEE

Review the expansion plan for Blue Chair Coffee, an exciting
and growing company headquartered in Denver , Colorado.

This file created specifically for santprakash singh

Business Plan

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Executive Summary
Blue Chair Coffee is a coffeehouse located in downtown Denver, Colorado. The
caf features European-style coffees, teas from around the world, light
sandwiches and salads, a bakery and dessert bar, and a space for live
performers.
The downtown location has become a popular gathering place for visitors and
locals, especially those who work downtown. The business has grown quickly in
the last two years and is near capacity. Lucy Tennyson and Roberta Jackson are
the owners of the coffeehouse (50% ownership each). They want to expand to
two other locations on the east and west sides of town and are seeking investors
to fund that growth.

Background Highlights
Opened in the fall of 2014
Earnings increased 30% after the first year
Serve an average of 165 people per day
Average sale per person is $14.65
Owners are experienced coffeehouse managers
Net profit this year is 12% and is projected to increase to 15% next year

Organization Structure
Blue Chair Coffee is a privately held, limited liability corporation (LLC) owned by
Lucy Tennyson (50%) and Roberta Jackson (50%). Both operate as general
managers and managing partners. Marketing and accounting services are
handled by independent consultants. The coffeehouse also employs 10 parttime servers, baristas, and dishwashers.

The east side location is in the Galleria center and the west side location is in the
Rocky Ridge enterprise zone.

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Step 14: On the cover page, the Abstract field should
contain the text "Review the expansion plans for Blue
Chair Coffee, an exciting and growing company
headquartered in Denver, Colorado."

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with "The downtown location" should contain the text
"The east side location is in the Galleria Center and the
west side location is in the Rocky Ridge enterprise zone."

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Keys to Success
The keys to success for Blue Chair Coffee (or any food service business) are
summarized below.

Product quality
Coffee,tea and food are of
high quality and value
Services
Swerve patrins with
courtesy,efficiency,and
attention
Management
Manage inventory , train
employees and control
quality

Market Analysis
The target market audience is a mix of residents, visitors, and workers who seek a
sophisticated yet casual coffeehouse experience. Members of this audience
dine out three or more times per week and prefer pedestrian-friendly, social
environments. The following chart shows the potential growth in this market.

The east side location is in the Galleria center and the west side location is in the
Rocky Ridge enterprise zone.

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Sales Forecast
The sales forecast assumes no change in the price of goods sold at the three
Blue Chair Coffee locations.
The owners expect to increase sales from $1.5 million at the end of 2016 to $2.3
million by the end of 2018. This growth is average for coffeehouses and
restaurants in Denver and takes into account the projected increase in
population in the Denver area.
The following table summarizes projected sales in the three Blue Chair Coffee
locations from 2016 to 2018.

Year

2016

2017

2018

Downtown

$727,600

$910,000

$1,150,000

East Side

$360,000

$525,000

$550,000

West Side

$367,000

$584,000

$600,000

Total Sales

$1,454,600

$2,019,000

$2,300,000

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Roberta Jackson

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Assistant Managers

Bruce Glaze and Lucy Tennyson

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Executive Chef

Zachary Mallon

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Pastry Chef

Leslie Garcia

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Management Team
General Manager

The east side location is in the Galleria center and the west side location is in the
Rocky Ridge enterprise zone.