I. Executive Summary
This Section's Contents
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Business Overview
[Company Name] is a new butcher shop located in [insert location here]. Our mission is to provide local residents with the best high-quality cuts for a moderate price. More than ever before, people are demanding better quality meat that isn’t significantly processed. [Company Name] will offer many options that fit the bill, including steak, ham, and poultry.
Products Served
[Company Name] will sell several types of meats. Some popular options available on our initial menu include:
- Steak
- Poultry
- Beef
- Ham
- Deli meats
- Sausage
Though not on the initial menu, [Company Name] may offer seasonings and rubs for sale in the future.
Customer Focus
[Company Name] will primarily serve the residents who live within a 5-mile radius of the shop. The demographics of these customers are as follows:
- 42,547 residents
- 10,582 office workers
- Average income of $52,000
- 45% married
- 52.4% in professional occupations
- Median age of 37 years
The demographics show that [insert location here] is a town of hard-working middle-class folks in need of high-quality, reasonably priced meats for their meals. To accommodate this demographic, we will offer family-sized packages and deals and keep all of our products at a moderate price.
Management Team
[Company Name] is led by [Founder’s Name], who has been in the butcher business for [X] years. Though [Founder’s Name] has never run a butcher shop himself, he has worked for butcher shops for [X] years and spent most of the time as a trainer and manager. As such, [Founder’s Name] has an in-depth knowledge of the butcher business, including the operations (e.g., running day-to-day operations) and management (e.g., staffing, marketing, etc.) sides of the industry.
Success Factors
[Company Name] is uniquely qualified to succeed due to the following reasons:
- There is currently no butcher shop in the neighborhood we are entering. In addition, we have surveyed the local population and received highly positive feedback saying that they explicitly want to frequent our business when it launches.
- Our location is in a high-volume area and will thus be highly convenient to a significant number of passersby each day.
- The management team has a track record of success in the butcher business.
- Butcher shops are proven businesses and have succeeded in communities throughout the United States.
- Meat is something that almost everyone consumes and is always in demand.
Financial Highlights
[Company Name] is currently seeking a total funding of $420,000 to launch. Specifically, these funds will be used as follows:
- Shop design/build: $200,000
- Equipment, software, and supplies: $100,000
- Working capital: $120,000 to pay for marketing, salaries, and lease costs until [Company Name] reaches break-even
Top line projections over the next five years are as follows:
| Financial Summary | FY 1 | FY 2 | FY 3 | FY 4 | FY 5 |
|---|---|---|---|---|---|
| Revenue | $560,401 | $782,152 | $1,069,331 | $1,379,434 | $1,699,644 |
| Total Expenses | $328,233 | $391,429 | $552,149 | $696,577 | $776,687 |
| EBITDA | $232,168 | $390,722 | $517,182 | $682,858 | $922,956 |
| Depreciation | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 |
| EBIT | $225,168 | $383,722 | $510,182 | $675,858 | $915,956 |
| Interest | $6,016 | $5,264 | $4,512 | $3,760 | $3,008 |
| Pre Tax Income | $219,152 | $378,458 | $505,670 | $672,098 | $912,948 |
| Income Tax Expense | $76,703 | $132,460 | $176,985 | $235,234 | $319,532 |
| Net Income | $142,449 | $245,998 | $328,686 | $436,864 | $593,416 |
| Net Profit Margin | 25% | 31% | 31% | 32% | 35% |
