Business 10 Lunchtime Market

Project
By: Max and Kara

Ideas and Available Means

List of Skills and Interests
Cooking
Baking
Market Idea- Product
We have chosen to create a sandwich selling business.
Since this is only the start of our business we have selected only
one type of sandwich to sell; this being the classic ham and
cheese sandwich. Our business is a manufacturing business as
we will be producing and selling the goods ourselves.
Why this Product
We chose this business because many kids at Mount Doug dont
bring their own lunch to school, and we dont have a cafeteria
here for them to buy a lunch. We thought this business would be
an easy success and quite popular choice.

Forecasting
Ham & Cheese Sandwich
Using recipe that makes roughly 50 sandwiches.
Ingredients
Ingredient
Bread
Cheese
Mustard
Mayonnaise
Lettuce
Tomatoes
Ham

Amount
4 loafs
2 blocks
1 large bottle
1 large container
4 heads
3 pounds
2 kg. (2000g)

Cost
$3.37 per loaf
$6.97 per block
$2.27
$5.17
$1.00 per head
$1.99/pound
$1.00 per 100g.

Cost
Tax GST 6%
TOTAL COST

$64.83
$3.89
$68.72

Note: All ingredients and prices are from Thrifty Foods.

Supply
Amount
Cost
Cutting Board
2
$13.94
Large Knife
1
$6.97
Butter Knife
1
$1.00
Paper Plates
50
$2.97
Cost
Tax PST & GST
TOTAL COST

$24.88
$2.99
$27.87

Supplies
Note: All supplies and prices are from Walmart.

Other Costs
Time
Prep time to prepare ingredients = 10 minutes
Clean up time
= 15 minutes
Total Time = 25 minutes
Cost for Production
2 employees at $10.25 per hour
1 hour and 15 minutes X ($10.25 x 2) = $20.50 X 75
minutes = $25.63
Cost for Sales and Promotion
Sales
Total time to sell items at lunch = 5.5 hours
2 employees at $10.25 per hour each = 5.5 X
2(10.25) = $112.75
Promotion
signs and posters = $10.00
Announcements = free
Total Costs for Sales and Promotion = $112.75 + $10.00 =
122.75

Supplies and Materials

Production Costs
Sales and Promotion Costs

$68.72+ $27.87 = $96.59

$25.63
$122.75

TOTAL

$244.97

Total Costs
Financing
We have decided to only use money from our own personal
savings for the business.
$122.50- Max
$122.50 Kara
ADVANTAGES:
No interest involved with putting our own money in
We dont have to go through other people/businesses
We dont owe anyone anything
We can directly reimburse ourselves
DISADVANTAGES:
Less money for ourselves (spending money)
Might not always have money on demand
Questions
1. They would ask about our experience in running a business,
what we plan on putting our money towards and our
general plan for our business, what we would be selling our
goods for.
2. The questions they asked us would play a big role in their
decision although if they generally like the idea of our
business and think it would be successful they would be a
lot more willing.
3. Low interest loan.

Pricing
Calculation:
Total Costs = $315.75
To break even we would need to sell 50 sandwiches for $244.97/ 50 sandwiches = $4.90
Therefore, to make some profit we will sell the sandwiches
for $6.00 each.

Revenue and Profit

Revenue Calculation:
50 sandwiches x $6.00/sandwich = $300.00
Profit Calculation:
Revenue Expenses = Profit $300.00- $244.97= $55.03
Max- $27.52
Kara- $27.52

Risks

People may not be willing to pay such a high price.

May have vegetarian customers = losing customers.
People may not like the 1 option.
Rivalry stores offer better choices.

Reflection
Through the process of organizing our own business we learned
many things. We learned how to properly plan out all the
necessary steps to create a business and stay organized while
doing so. Pricing and the ability to assess prices is a skill we
learned. We realized that it isnt an easy process to organize a
business; especially a manufacturing business. We learned that

you have to make sacrifices in order to succeed and put

everything you have on the table. You win some you lose some
when making your own business, so we noticed that at first you
may not be making very much money until you alter the ways of
your business for greatest success.