Running Head: STARTUP BUSINESS PROPOSAL 1

STARTUP BUSINESS PROPOSAL 5

Startup Business Proposal

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Executive Summary

The current economic growth experienced across the globe has created surplus income among many individuals. This has necessitated the need for groups, families, couples, and individuals to tour places to relax after spells of work. Consequently, the food industry has been influenced significantly as a result of this economic growth and need to relax in work-free environments. Various foods have been prepared throughout different regions to cater to the rising demand created by many visitors in different leisure joints. Tu Cocina will be established to provide various delicious foods and dishes for visitors (City of Temecula, 2015). This restaurant will be considerate of the various cultures exhibited by different people across the globe. The idea of this establishment is to bring competition to the dominant Mexican Restaurant and the Salvadoran Pupuseria. Tu Cocina will offer virtually all dishes and drinks in high demand, which consequently increases the profit margin for the business. These dishes will be deliciously prepared to attract a high number of customers (Harold, 2009). Tu Cocina will be created in an environment that is lively for the visitors. The beautiful gardens and fountains will be effective for providing the perfect experience to the customers. The restaurant will be located strategically at busy intersections and Temecula Mall, where there is human traffic, thus attracting many customers (City of Temecula, 2015).

Mission Statement

Tu Cocina’s mission statement will be: To Offer Food to Your Liking! In accordance with the mission statement, the restaurant will seek to provide the best experience to customers with regard to their individual tastes and preferences (Harold, 2009). This will be achieved through thorough market research on various cultures to ascertain the best dishes in the most prominent cultures.

Business Description

Tu Cocina will be established as a limited company; thus, the shareholders will not be liable to debts incurred by the company. However, the current structure guarantees a promising and profitable business. Business growth will enhance opportunities to open subsidiaries to reach as many customers as possible. The top managers for the business will be Maria Generic, Joe Blow, and Sandy Alfaro.

Maria Generic: Business Management

Under this role, Maria will be mandated to administer the various duties related to business attributes for the Tu Cocina. She will undertake the roles of Marketing Director, Chief Finance Officer, and Chief Executive Officer. Some of her responsibilities will include monitoring liabilities, cash flow, financial obligations, performance, and record controls. With 6 years’ experience as a manager and graduate with a business degree, she is equipped with the right skills, knowledge, and prowess to take the Tu Cocina’s business to the next level. It is expected that the business will flourish and stand out from the crowd under her management (Harold, 2009).

Joe Blow: Restaurant Manager

As a restaurant manager, Blow will administer responsibilities influencing the employees. He will keep track of equipment, food, and supplies for the restaurant. In this regard, he will oversee the various activities undertaken by the employees in the kitchen and dining area. Joe Blow is an ideal candidate for the position since he has vast experience dealing with supplies and cooking. As a former cook, he will ensure the dishes prepared in the restaurant are of best quality and in the right mix. His experience in handling supplies will give the business an upper hand in ensuring adequate supplies and proper management of inventory.

Beyoncé Knowles: Lead Cook

Beyoncé Knowles is experienced in the cooking industry as she has previously worked in Salvadoran restaurant and Tu Comal Mexican restaurant for a period not less than 10 years. As a lead cook, Beyoncé will be in charge of other cooks and will assist them in the preparation of dishes. Beyoncé will be a valuable asset for the restaurant, as she will guide the less experienced employees in perfecting their cooking. Beyoncé will work in conjunction with Blow to ensure quality is maintained as far as dishes are concerned.

Problem

Temecula is among the fastest growing cities in Latin America. The high rate of population growth experienced in the region and the world has created a sufficient market for Latin American restaurants. However, the existing restaurants are limited in terms of the various products they offer their customers (Naji, 2016). This is because the restaurants offer only small amounts and varieties of dishes. The current restaurants are known to provide Salvadoran Pupusas and Mexican Food. In these restaurants, only foods from two countries are represented, implying there are foods from 16 countries not available in the restaurants. Tu Cocina will, however, incorporate foods from all Latin American countries, an attribute that offers the business an incredible potential for growth in the market (Ica, 2009).

Solution

In all 18 Latin American countries, the dishes are quite similar and are differentiated on the basis of preparation. Tu Cocina will seek to identify the food mix that represents all the countries, thus fetching a high market share. For instance, Tu Cocina will prepare red rice, white rice, Peruvian beans, and black beans. A masa will be created in the kitchen, and various vegetables and meats will be prepared to customize the different meals with respect to the dish ordered by the customers. This strategy will offer a great solution to the poor food representation in the existing Latin American restaurants (Ica, 2009).

Location

The Tu Cocina will be located at 300 Antelope Road Temecula, CA 92530. This is a famous road in the city and will be easy to locate for both locals and foreigners. Specifically, the Tu Cocina will be located next to Costco and the Temecula Valley Mall (City of Temecula, 2015). This is an indication that the location is ideal as there are many people that pass nearby for shopping purposes and other endeavors. The junction nearby is also an implication that there is high human traffic in the area; thus, the restaurant will eventually receive many guests and customers.

Interior

The interior and exterior of the Tu Cocina will be modeled after many Haciendas commonly found in the entire Latin America. This will create a sense of beginning an adventure in Latin America, as almost every country will be represented in this aspect. The customer will gain a perception of “being home away from home”, making it attractive to more people (Shiyo & Keter, 2012).

Hours of Operation

The restaurant will be open from 8.00 am to 9.00 pm from Monday to Thursday and 8.00 am to 10.00 pm from Friday to Sunday. However, these timelines are subject to amendment based on specific days, such as holidays and special events.

Service

The Tu Cocina restaurant will prioritize quality customer service and dishes as the major foundations for growth. When a customer arrives at the restaurant, s/he will be greeted at the door and taken to a table. The waiter/waitress will take the drink order from the customer and bring over a platter that contains bean dip, a cream, guacamole, salsa, and chip (Ica, 2009). This platter will act as an introduction of the various options that the customer will be able to order. The customer will then be requested to order for the dinner, which will be brought quickly as per the order. First time customers will be offered a free dessert as a way of introducing them to the various delicacies they can choose from in their subsequent visits to the Tu Cocina restaurant. The various components of the platter and the free dessert are meant to offer the customer an opportunity to try something different without incurring any charges. The dessert and platter are meant to spark curiosity to encourage them to be consistent customers in terms of taking different meals or the same meal with another combination (Harold, 2009).

Marketing

Market Analysis

The Tu Cocina will target customers between the age of 16 and 64 years. These individuals may be single, married, have families, or fall within the aforementioned age bracket. On average, the meals will cost the customers about $12, which is quite affordable considering the excellent customer service and quality and delicious combination of dishes. The location of the Tu Cocina is very conducive, surrounded by businesses and students from the Cal State San Marcos Extension Campus. There are also Auto Center dealerships across the street and a number of automobile shops on the other end of the Winchester Road. Over the weekends, the Tu Cocina restaurant is expected to experience many customers. This is because the Temecula Mall, Costco warehouse, and Temecula Promenade are filled with hungry customers and shoppers who usually look for exciting restaurants to quench their hunger (Hirschman, 2013). They will be eager to experience the new restaurant with unique dishes and combinations. The population in Temecula is estimated to be in excess of 110 thousands. This population offers a strong foundation for Tu Cocina restaurant. However, Tu Cocina will benefit more from customers in the entire region due to the adequate representation of the entire Latin America in terms of food varieties and interior design (Hirschman, 2013).

Projections

Competition

The main competing restaurants for Tu Cocina will be Karl Strauss Brewing Company, Famous Dave’s, TGI Friday’s, and the Love Boat Sushi. However, exceptional customer service, variety of Latin America dishes, and quality food will go a long way in winning the largest market share for the business. The atmosphere for Tu Cocina will be completely different. The prices charged for the meals will be relatively less than that offered by competitors by a margin of about $6 on average. The Tu Cocina will also offer a dual atmosphere, whereby customers can choose from a quiet dinner or an upbeat dinner area based on their preferences.

Business Model

Tu Cocina will offer its customers low price meals at a cost of $8.99 as well as an exceptional dining experience of a sit-down restaurant with a convenient fast-casual restaurant (Shiyo & Keter, 2012). The restaurant will also combine the best offers in the restaurant industry to beat the competition towards reinventing the business model for the restaurant. Special offers and other promotional attributes will be advertised through social media, mobile App Tu Cocina, and the company’s website, TuCocina.com. A new offer deal will be offered on a quarterly basis to attract new customers and retain the existing ones (Shiyo & Keter, 2012).

Financial Management

Maria Generic, Joe Blow, and Sandy Alfaro have made individual investments of $50,000 each to finance the initial stages and expenditure of the company. However, a funding of at least $300,000 will be required for remodeling, equipment, furniture, food, restaurant supplies, legal fees, remodeling, marketing, personnel, and working capital. Below is a summary of the projected initial expenses for Tu Cocina Company.

Conclusion

The financing proposal for the Tu Cocina will be helpful for the company, especially to the investors, who may be willing to invest their funds in the company. Financial institutions, such as banks, will also evaluate this proposal to ascertain the creditworthiness and viability of the business. However, with the established strategies for the business startup, there is large potential for business growth and profitability. Building on gaining a competitive advantage for the business is a strong basis for the company’s growth. Excellent customer experience, quality service and dishes, and well as competitive prices will ensure the business attracts more customers and the existing customers remain loyal to the brand.

http://latinacreativeagency.com/dos-and-donts-of-marketing-to-latinos/

http://www.cityoftemecula.org/Temecula/Businesses/demographics/

https://upload.wikimedia.org/wikipedia/commons/thumb/7/75/Cartography_of_Latin_America.svg/350px-Cartography_of_Latin_America.svg.png

Ica. (Creator). (2009). The Do’s and Don’ts When Marketing to Latinos [image]. Retrieved from

Naji, J. (2016). Old Town Temecula Market Analysis and Recommendations.

Shiyo, A., & Keter, N. (2012). Business plan for a restaurant.