Académique Documents
Professionnel Documents
Culture Documents
UCS 1343
BUSINESS REPORT
MAY 2014
PREPARED BY:
PREPARED FOR:
SIR ANWAR
SUBMISSION DATE:
14 JULY 2014
Stick N Grill Sdn.Bhd
Lot 16-68, Jalan P Ramlee, Kuala Lumpur City Centre, Kuala Lumpur,
Wilayah Persekutuan Kuala Lumpur,Malaysia.
Tel: 03-80812699
Your ref:
Date:
General Manager
Maybank Berhad,
Dear Sir,
I, Faizuddin bin Abdullah, as the General Manager of Stick N Grill Sdn.Bhd, would like to draw your attention to the matter
mentioned above.
For your information, we are a new restaurant with a plan to start a business venture that serve western cuisine around Kuala
Lumpur and to expand to other areas such as Selangor and Johor.
Our business is located at Lot 16-68, Jalan P. Ramlee, Kuala Lumpur City Centre, Kuala Lumpur and all the facilities
needed to operate our business can be found there. This business has the potential to gain profits due to the unique of our
food that cannot be found in any restaurant.
However, we do not have sufficient amount of capital to run the business. This business needs capital of RM 300,000.00. As
for now, we only have an amount of RM 200,000.00. Therefore we would like to apply for a loan from your bank for an
amount of RM 300,000.00.
We would be much obliged if you could provide a business loan. We look forward to hearing from you soon. I can be
contacted at 03-8081 2699 if you wish to discuss any of the above points. We are ready to furnish you with additional
materials with regards to this matter.
Thank you,
Yours faithfully,
……………………………
General Manager
General Manager
Lot 16-68, Jalan P Ramlee, Kuala Lumpur City Centre, Kuala Lumpur,
Wilayah Persekutuan Kuala Lumpur,Malaysia.
stickNgrill@gmail.com
Table of Contents
Item Page
1.0 Introduction
1.1 Name of the company
1.2 nature of business
1.3 Industry Profile
1.4 Location of the business
1.5 Date of commencement
1.6 Factors in selecting the proposed venture
1.7 Future prospect of the business
2.0 Purpose of Preparing a Business Plan
3.0 Business/Company Background
3.1 Name of the company
3.2 Address (business and correspondence)
3.3 Telephone number/Fax number/E-mail address
3.4 Form of business
3.5 Main business activities
3.6 Date of commencement
3.7 Date of registration and registration number
3.8 Name of bank and account number
4.0 Background of Owner/Partners/Directors
4.1 Personal particulars of partners
4.2 Partnership agreement
5.0 Background of Proposed Object
5.1 Physical location
5.2 Price of premise
5.3 Availability of manpower
5.4 Transportation facilities
5.5 Distance from customers
5.6 Basic amenities
6.0 Organization/Management/Administration Plan
6.1 Organization’s mission, vision and objectives
6.2 Organizational chart/structure
6.3 Manpower planning
6.4 Schedule of task and responsiblilities
6.5 Remuneration plan
6.6 List of office equipments and supplies
6.7 Administrative budget
7.0 Marketing Plan/Analysis
7.1 Description of products or services
7.2 Target market
7.3 Market size
7.4 Competitors
7.5 Market share
7.6 Sales forecast
7.7 Marketing strategy
7.8 Marketing budget
8.0 Operational Plan/Production Strategy
8.1 Operational/innovation process
8.2 Process flow chart
8.3 Production schedule/Capacity planning-output in units
8.4 Material requirement
8.5 Machine and equipment requirement
8.6 Operation layout
8.7 Location of operations
8.8 Operational overheads
8.9 Operational budgets
9.0 Financial Plan/Strategy/Analysis
9.1 Project implementation cost schedule
9.2 Schedule of financial sources
9.3 Fixed assets depreciation table
9.4 Loan amortization
9.5 Hire purchase repayments schedule
9.6 Pro forma cash flow statements
9.7 Pro forma profits and loss accounts/income statements
9.8 Pro forma balance sheet
10.0 Conclusion/Summary and Recommendation
11.0 Appendices
Executive Summary/Abstract
Afterschool Sdn.Bhd provides variation of digital services at a reasonable price. Our main
objective is to become a market leader of digital industry in Malaysia within 10 years from
now and to make our cybercafe become user first choice. The company plans to distinguish
itself from other competing cybercafe as our cybercafe provides variation of services using
education and entertainment concept as we merge the concept together which indirectly
involve our specialization in managing .
Our cybercafe will be a luxurious in a form of modern pop culture that located in one of the
strategic location between a cluster of school in Kuala Lumpur. Our cybercafe will serve
especially students but not limited to other individual. Currently there is a competition in the
same category as Afterschool across Malaysia. We took this opportunity in monopolize our
geographic area in Kuala Lumpur by reaching out to students from any place.
Afterschool will operate seven days in a week under experienced management, headed by our
General Manager, Faizuddin bin Abdullah. The company uses an organizational structure
based on functions in the organization. The cybercafe will have a Financial Advisor, Head
Chef and Marketing Manager. This structure suits Afterschool Sdn.Bhd as this organization
emphasizes functional specialities to perform tasks.
This document will demonstrate the need for a business of this calibre in Kuala Lumpur and
it chances for success. It will serve as a road map that will set the course for further planning
and for the implementation process. Anticipated financing is RM 200,000.00 for the total
start-up cost of RM 40,500.00, with RM 33,100.00 to be used as an operating funds for the
first months. This financing will help ensure a timely start to the business in order to take
advantage of the crowded students in Kuala Lumpur.
1.0 Introduction
1.1 Name of the company
Afterschool Sdn. Bhd
1.2 Nature of the business
Afterschool Sdn. Bhd is a private company that focuses on cybercafe services that
meets the need of the students. We specialize in providing user friendly cybercafe
services.
1.3 Industry Profile
The main idea for developing this business is due to lack of medium for students
to study in a fun way in Malaysia. We find that many cybercafe in Malaysia
provided common services such as Chicken Chop and Fish and Chips which there
is no variation in serving the customer the unique western cuisine from America
and Europe. This would give us an opportunity in bringing variation in western
cuisine that meets the needs of customers. Other than that, our restaurant also
sells at reasonable price which give to all segments of customer.
1.4 Location of business
Stick N Grill Sdn. Bhd is located at Suria, Kuala Lumpur Convention Centre
(KLCC). We chose this location because it is a strategic location for the customer
to find our place. KLCC is well known by Malaysia due to the twin towers that
located besides KLCC. Besides, this location considered as a tourist attraction
for them to visit and convenient for customer to find sufficient parking lots as
provided by KLCC.
1.5 Date of commencement
Our company will commence operations on 30th October 2014.
1.6 Factors in selecting the proposed venture
We chose this business because there is an opportunity in introducing variety of
western cuisine that is not yet exists in Malaysia. We believe that many of our
competitors served limited choice of western foods that enable us to take an
advantage in bringing new western food in the market with reasonable price. We
also have confidence that our customers will love our authentic food.
1.7 Future prospects of the business
Our future plans for this business is to open more branches in Malaysia. Besides
that, we hope that our business operation will be recognized throughout Malaysia.
2.0 Purpose of Preparing the Business Plan
This business plan is prepared by Stick N Grill Sdn. Bhd for the purpose of obtaining a
working capital loan from Maybank Berhad for an amount of RM 300,000. This business
plan is also prepared as a guideline for managing the proposed venture.
Business address: Lot 16-68, Jalan P Ramlee, Kuala Lumpur City Centre, Kuala Lumpur,
Wilayah Persekutuan Kuala Lumpur, Malaysia.
Correspondence address: 54, Jalan USJ 4/1M, Subang Jaya, 47600, Selangor Darul Ehsan.
Stick N Grill
Partnership
Lot 16-68, Jalan P Ramlee, Kuala Lumpur City Centre, Kuala Lumpur
Wilayah Persekutuan Kuala Lumpur,
Malaysia.
4.2.4 Equity contribution
The capital of our business is RM 200,000 and the equity contributions
are as follows.
1) Vikneswary Sundram RM 100,000
2) Chen Yee Juin RM 100,000
4.2.5 Financial matters
The profit and loss of the company is distributed among the
shareholders according to the percentage of their capital equity. If one
of the shareholders is declared bankrupt or has many liabilities or has
been proven cheating, all the other shareholders have the right to
remove the guilty shareholder.
If a shareholder does not want to continue his or her involvement in the
company, his or her capital will be given back after the profit and loss
of the company has been taken into consideration.
The financial manager keeps all the accounts and all shareholders are
allowed to view the accounts.
4.2.6 Management and position
1) Vikneswary Sundram Finance Manager
2) Cheen Yee Juin Operations Manager
4.2.7 Death and dissolvement
Dissolvement depends on the agreement of all the shareholdersin
matters concerning death or loss of sanity. However, the shareholder
should get the profit or capital until the shareholder quits.
4.2.8 Labour rights
All shareholders should acknowledge the rights of staff according to
the law.
4.2.9 Other matters
Dismissed notice should be given by the shareholder who wishes to
quit from the business within 30 days from dismissed date and agreed
by other shareholders. The contribution by the shareholder can be
claimed whether the company gains profit or loss depending on the
ratio of contribution. This dismissal will be enforced within 3 days of
notice.
4.2.10 Signature of shareholders:
1) Vikneswary Sundram …………………..
Stick N Grill Sdn. Bhd has chosen Suria KLCC, Kuala Lumpur as the location for selling
its products. The following section will explain the details of chosen location.
Table BP 1.1 Logo, vision, mission and objectives of Stick N Grill Sdn. Bhd
Logo
BOARD OF DIRECTORS
GENERAL MANAGER
FINANCE AND
ADMINISTRATIVE MARKETING DIVISION OPERATION DIVISION
DIVISION
FINANCE AND
ADMINISTRATIVE
DIVISON
Marketing Division
MARKETING DIVISON
MARKETING MANAGER
Operation Division
HEAD OF DEPARTMENT
Stick N Grill Sdn. Bhd has two partners and they manage and execute the operation of the
business as shown in Table BP 1.2. Stick N Grill Sdn. Bhd has one general which under
finance and administrative division, it has one financial advisor and one accounting. Under
marketing division, it has one marketing manager. Under operation division, it has one head
chef, seven kitchen helper, five beverages, one front office, one cashier and eight servers.
Table BP 1.2 Position and number of managing personnel in Stick N Grill Sdn. Bhd
Each stakeholder has his own responsibilities to execute the operations of the business. It is
very important for every stakeholder to know their tasks and responsibilities in the company
as it will guide them in accomplishing their tasks and increases their specialities. Table BP
1.3 describes the tasks and responsibilities of every position. The following functions and
responsibilities have been identified and will be delegated to the respective individual to
ensure the smooth operation of the business.
For our company, we have chosen the EPF (Employee Provident Fees) and SOCSO (Social
Security Organization) scheme to be given to all employees. EPF is a compulsory savings for
employees so that they will have money to support themselves once they retire. As a general
guideline, employers are required to contribute at least 12% of their basic salary and
company need to contribute 3% of their profits. Stick N Grill Sdn.Bhd also provides SOCSO
(Social Security Organization) contributions to ensure that employees receive compensation
in situations of work-related accidents or illness. Table BP 1.4 illustrates the remuneration
plan for each employee in Stick N Grill Sdn.Bhd.
Stick N Grill Sdn.Bhd has bought dining furniture, fittings and equipment from Nailul
Furniture Mall as listed in Table BP 1.5 below. We bought seventy sets of dining furniture,
one cash register, one system order computer and two kitchen equipment sets.
Aside from dining furniture, fittings and equipment, Stick N Grill Sdn.Bhd also purchased
restaurant supplies such as stationary and paper for the restaurant purposes as indicated in
Table BP 1.6. The administrative budget also includes rental for shop lot to be paid every
month to the Suria KLCC Management. A rental deposit equal to five months’ rent and rent
utilities deposit for water, telephone and electricity are also included.
Administrative expenditure
RM RM
Fixed Assets/Capital expenditure
Dining Furniture 125,900.00
125,900.00
Working Capital/Monthly expenditure
Salaries 26,500.00
Restaurant Supplies 2,500.00
Rental 50,000.00
Utilities 1,500.00
80,500.00
Other Expenditures
Rental Deposit 250,000.00
Utilities Deposit 3,000.00
253,000.00
TOTAL 459,400.00
7.0 Marketing Plan/Analysis
Stick N Grill is a restaurant that specializes on western cuisine. We serve variation kinds of
food along with reasonable price. Our materials before producing to finished goods are
imported from foreign countries. Some of our foods and beverages are not even exist in
Malaysia, therefore we would like to grab this opportunity in bringing new western food in
Malaysia with reasonable price. Our foods and beverages is suitable for all types of
customers including veggie. Our restaurant was developed to fulfil the demands and
satisfaction of customer.
Stick N Grill Sdn. Bhd. Is a new company that is situated at Suria, Kuala Lumpur Convention
Centre (KLCC). We chose this location because it is a strategic location for customers to find
our place. Our target market would be both local and foreign customer of all ages. Since we
are specialize in serving quality western foods, we will get a big crowd especially from
westerners and also people who are looking for a fine western dining with a spectacular view
of KLCC scenery.
Stick N Grill intends to cater to a wide group of people. We want everyone to feel welcome
and relaxed in a cozy atmosphere with a wide and varied menu. It is our goal to have
"something for everyone" every day on our menu. In looking at our market analysis, we have
defined the following groups as targeted segments.
The Business Man: They work hard all day and often stay overnight in a strange city. He
needs a competent establishment that helps impress his clients and prospects. Afterward, they
want to relax and use the money they are making. They are the people that spend the most on
drinks, food and tips.
Happy Couples: The restaurant will have an intimate, romantic, sophisticated atmosphere that
encourages people to bring dates and to have couples arrive. Stick N Grill’s wants to be a
search place where people meet each other and develop a network. These young couples are
generally very successful but balanced and won't be spending as much on drinks.
The Family: The perfect place for a family dinner. Families will come for the accommodative
menu and friendly service. The excellent value in their meals will keep Stick N Grill’s in
favor with the parents.
High-end Singles: We will attract them with our decor and layout. Our international menu,
striking artwork, wine tasting evenings and events, excellent service and engaging clientele
will confirm the feeling of being in "the coolest place" in Kuala Lumpur.
Tourists: Kuala Lumpur is a city that attracts many vacationers for the whole year. Stick N
Grill will be a destination with its attractive atmosphere, international menu, and outdoor
patio.
There are many competitors that we have to compete due to the restaurant that is on the same
industry which is western cuisine. Table BP 1.7 shows the strength and weaknesses among
competitors.
Stick N Grill Sdn.Bhd speacilizes its food more on western cuisine that are from Europe and
America. It is located in the golden triangle of a shopping mall in Kuala Lumpur. We are not
able to identify real market share for our business as the data is ambiguous. However, we
have taken our market share as 10% of the number of population in the age of 25-65 years old
who live or work in Kuala Lumpur and the areas are particularly in Jalan P.Ramlee.
Competitors Before Entrance Adjusted Market After Entrance
Percentage of Amount Percentage of Percentage of Amount
market share (RM) loss of market share (RM)
market share
Tony Roma’s 45% 90,000.00 10% 35% 70,000.00
TGI Fridays 55% 110,000.00 5% 65% 130,000.00
TOTAL 100% 200,000.00 100% 200,000.00
The sales forecast for three consecutive years of the competitors of Stick N Grill Sdn.Bhd is
shown in Table BP 1.9.
Table BP 1.9 Sales forecast for three consecutive years of the main competitors
The marketing starategy of Stick N Grill Sdn. Bhd is summarized in Table BP 1.10
Table BP 1.10 Marketing Strategy
The marketing budget of Stick N Grill Sdn.Bhd includes capital, monthly and other
expenditures as shown in Table BP 1.11.
Table BP 1.11 Stick N Grill Sdn Bhd marketing expenditure
MARKETING EXPENDITURE
RM RM
Other Expenditures
Discount Coupon Rate 30,000.00
Promotion 4,000.00
Grand Opening 5,000.00
TOTAL 39,000.00
To date, we have completed our market research and lease has been secured located in Suria
KLCC area. Food and furniture purchased have been pre-negotiated. The next steps in the
operational plan are as follows :
READY TO BE SERVED
We calculated our raw material based on our sales per month. Our monthly sale is 110900kg.
By dividing the sales per month to the capacity of box, we can get the total number of the
boxes that is needed in a month 240 boxes. The cost of the item is based on the quantity per
kg. Hence, the table show the cost of different item per month :
TOTAL 6621.80
8.5 Machine and equipment
We required our operatios to transfer the raw material from the lorry to our restaurant
efficiently. The cost of this transport is RM15,000.
The operation layout paln of Steak N Grill Sdn. Bhd. Is shown below :
8.8 : Operational Budget
OPERATIONAL EXPENDITURE RM RM
FIXED ASSET / CAPITAL EXPENDITURE
Kitchen 50,000
Lorry 30,000
80,000.00
WORKING CAPITAL/MONTHLY EXPENDITURE
Lorry driver salary (2 person) 2,000
Employee Salary (10 person inc chef, manager) 20,000
utilities 2,000
Rent 5,500
Electric and water bill 350
29,850.00
OTHER EXPENDITURES
-
TOTAL 109,850.00
9.1 Financial Strategy Analysis/Plan
Steak N Grill Sdn Bhd fixed assets including shop lot, kitchen equipment, furniture and
fittings which cost a total of RM 60000. The restaurant’s working capital for three months of
administration, marketing and operation cost is RM 36000. Other expenses such as business
registration, insurance and sundries together with the deposit costs RM 7100. Therefore our
total project implementation costs amount of RM 103100 as shown in the table below. We
might also add a contingency cost (10 percent) to manage any variances that might occur
between the actual expenditure from the budgeted expenditure.
COST
REQUIREMENTS RM RM
FIXED ASSETS
SHOPLOT 23000
EQUIMENTS 15000
FURNITURES 10000
FITTINGS 2000
SUBTOTAL 60000
WORKING CAPITAL
ADMINISRATION 3000
UTILITIES 1000
SUBTOTAL 4000
MARKETING
PROMOTIONAL COST 12000
SUBTOTAL 12000
OPERATIONS
SUBTOTAL 20000
OTHER EXPENDITURES
PRE-OPERATING
SUBTOTAL 100
DEPOSITS
RENTAL 5000
SUBTOTAL 7000
TOTAL 103100
The breakdowns of financial sources are shown in table below. The financing sources
required will be obtained from our own capital amounting to RM 200,000.00 whereas the
balance of RM 300,000.00 will be obtained through financing from Maybank.
The depreciation schedules of Steak N Grill Sdn Bhd fixed assets are shown in table below.
: RM 20000/ 10 YEARS
: RM 2000
STEAK N GRILL SDN BHD
DEPRECIATION SCHEDULE
FIXED ASSET FURNITURES AND ORIGINAL COST 15000 (RM)
FITTINGS OF ASSET
METHOD STRAIGHT LINE ECONOMIC LIFE 10 YEARS
METHOD
YEAR ANNUAL ACCUMULATED BOOK
DEPRECIATION DEPRECIATION VALUE
0 - - 12000
1 2400 2400 9600
2 2400 4800 7200
3 2400 7200 4800
4 2400 9600 2400
5 2400 12000 0
: RM 12000/ 5 YEARS
: RM 240
9.4 Loan Amortization Schedule
Table below shows the loan amortization schedule of Steak N Grill Sdn Bhd.
: RM 300,000.00/ 5 YEARS
: RM 60,000.00
: RM 300,000.00 × 10%
: RM 30,000.00
9.5 PRO FORMA CASH FLOW STATEMENT
Table below shows the pro forma cash flow statement of Steak N Grill Sdn Bhd throughout
the planned period.
Table below shows the income statement of Steak N Grill Sdn Bhd.
Table below shows the pro forma balance sheet statement of Steak N Grill Sdn Bhd.
RM RM
ASSETS
FIXED ASSET
(NON CURRENT
ASSET)
FURNITURE AND 70,000
FITTINGS
KITCHEN EQUIPMENT 12,000
82,000
CURRENT ASSETS
STOCK OF 150,000
FINISHED GOODS
ACCOUNTS
RECEIVABLE
CASH BALANCE 82,000
BANK
150,000
OTHER ASSETS
DEPOSIT 60,000
60,000
TOTAL ASSETS 130000
OWNERS EQUITY
CAPITAL 200,000
ACCUMULATED 1000
PROFIT
151000
NON CURRENT
LIABILITIES
BANK LOAN 300,000
CURRENT LIABILITIES
ACCOUNTS PAYABLE
REVENUE (121000)
TOTAL EQUITY AND 130000
LIABILITIES
\
Table below shows the pro forma balance sheet statement for Steak N Grill to show the
company’s position for its assets, liabilities and owner’s equity at the end of financial year.
As a summary, Stick N Grill Sdn.Bhd is a company that wants to venture into food industry.
This restaurant is solely unique from others due to the variation of western cuisine.
Furthurmore, Stick N Grill Sdn.Bhd has increase its effort by making the menu interesting
that will attract many group of customers. This approach is important in order to capture the
market attention.
In connection with that, we aim to serve western cuisine that meets the needs and satisfaction
of the customer. Stick N Grill Sdn.Bhd will continuously use promotion and advertising
approach in order to gain consumers attention. Based on the planning and projection, we are
very confident that this business venture will create a very satisfactory return on investment
from the third year of operation. For the first year, we are estimating of sales and expenses
minimal due to the fact that the company has just started the operation.
The business will continuously implement strategy especially on the marketing approach to
ensure that the business is very well known to the customers and we hope to build loyal
customer base in the third year of operation. We hope this application of financing will be
given due consideration from Maybank Berhad for us to start business. We also hope our
business will increase national economy and bring much welfare to the society.
11.0 Appendices
- Promotional discount coupon or advertisements that describe the product and service.