Professional Documents
Culture Documents
Business Plan
Business Plan
Business Plan
BEAN STREET
PHILIPINES
beanstreet@gmail.com
BUSINESS DESCRIPTION
Business Description
The Bean Street provide a good service. We offer a variety of choices to the
customers. Coffee, tea, and dessert/ appetizer of all sorts can also be offered here at
the coffee house. Also the choices will be range from regular flavor to special
Expressionist coffee. The teas will be range from English to Korean flavor varieties.
The desserts/appetizers will range donuts into french pastries.
The interior design of this coffee house focus on providing a relaxed atmosphere,
beautiful ambiance and other creative design that is good to us and also to our
customers. The color/design on it is an aesthetic or minimalist feels. We, also have
some kinds of plants for a beautiful and relaxing atmosphere, and the colors of our
coffee house/restaurant are white, light brown, and forest green color theme.
Coffee house/restaurant ‘’BEAN STREET’’ is divided into different areas. This have
an advantage to the costumer, they can enjoy and have a different activities without
bothering each other.
Product Description
The Coffee House/Restaurant ‘’Bean Street’’ will carry a variety of quality products
that will enable us to provide full service delivery to espresso stands and coffee
houses. Our underlying philosophy in selecting products is to choose lines that will
bring consistent quality, competitive prices, and product satisfaction to our customers.
We have personally researched and sampled each of the following products that we
offer to ensure the quality we guarantee.
At the Ateneo Avenue Naga City was our chosen location of the business because it is
nearby schools and lots of people go there it’s either students or staff.
This is because the food and drinks they’re offer are cheap so that we choose to have
a business there so we can have more customers.
Chart: Highlights
Highlights
500000
450000
400000
350000
300000 net profit 1
250000 gross margin 2
200000 sales 3
150000
100000
50000
0
year 1 year 2 year 3
EXECUTIVE SUMMARY
VISION, MISSION, GOAL, AND OBJECTIVES OF THE BUSINESS
VISION
To provide a beautiful and comfortable atmosphere wherein customers can
receive a high quality food, service, and even an entertainment. This may
establish Bean Street as the premier, leading provider, and to be recognized as
the ultimate coffee experience in our worldwide marketing. We’re also commit
to share an extraordinary experience to our dear customers.
MISSION
To inspire and to provide the customers a high quality product, service,and
environment, not only the customers but also the team members and other person.
Beside of that Bean Street has a passion and excellence that makes our products
unique.
GOAL
The goals of the business are to provide a substantial income, to provide a good
quality of products and service, and also to create a business and working
environment wherein both customer and employee are treated with dignity and
respect by giving a hospitality experience.
OBJECTIVES
To achieve our goal, we will focus on the following objectives
To open and operate a successful coffee and new age beverage distributorship in
the market industry, employing three to five employees the first year.
By improving our menu offerings and service to meet our guests’ expectations.
By maintaining a high standards of cleanliness, sanitation, and safety in our
coffee house/restaurant.
Strengthen relationships between employees and guests.
Innovative quality products.
Individualized customer service - providing our customers with what they want,
when and how they want it.
Fully integrated programs to help customers increase sales through menu
development, creative promotions, advertising, and custom marketing material.
Ensure a friendly comfortable atmosphere
Offer discount coupons
TARGET CUSTOMER
The customers will be the students, workers, or staff in the chosen place. The
income level is between php 120,000 to php 125,000 per year. A majority of
customers will be persons who enjoy a relaxing atmosphere and entertainment.
BUSINESS MODEL
SERVICES
PRODUCT COST
DISTRIBUTION MANAGEMENT
PARTNERS
CUSTOMERS
ACTIVITIES
PARTNERS
SERVICE MANAG
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Business Description
Bean Street is a coffee house and restaurant located in a bustling downtown area. Our
mission is to provide high-quality coffee and food in a cozy and welcoming
atmosphere. We strive to create a space where people can gather, relax, and enjoy a
delicious meal or beverage.
At Bean Street, we offer a variety of coffee drinks made with locally roasted beans, as
well as a selection of teas and other beverages. Our menu includes breakfast items
such as croissants, bagels, and breakfast sandwiches, as well as lunch options such as
salads, sandwiches, and soups. We also have a selection of baked goods, including
cookies, muffins, and pastries.
In addition to our coffeehouse and restaurant, we also offer catering services for
events such as business meetings, parties, and weddings. Our team can create custom
menus and provide delivery and setup services to make your event a success.
At Bean Street, we are committed to using sustainable and locally sourced ingredients
whenever possible. We believe in supporting our local community and reducing our
environmental impact.
Overall, Bean Street is a coffeehouse and restaurant that offers high-quality coffee
and food in a cozy and welcoming atmosphere. We are committed to providing our
customers with an exceptional experience and creating a space where people can
gather, relax, and enjoy good food and drink.
Business and Product Position
Business Positioning:
Bean Street is a high class Coffee House/Restaurant that the foreign want to experience
exceptional service, fine dining, and relaxing atmosphere. We provide a good quality of service
and products.
Product Positioning:
Bean street offers the cleanest, coziest, and most enjoyable environments, all of which were
created with comfort in mind. Additionally, a variety of regional and international cuisines are
available at our coffee house/ restaurant. These dishes are made by skilled local chefs utilizing
top-notch tools and premium products. The beverages are created by talented bartenders and
barista.
Invest in marketing:
Set aside money for promotional activities like advertising, fliers, and billboards to raise brand
recognition and draw in new clients.
Investors:
These are individuals or organizations that provide financial support to the business in exchange
for a share of ownership or return on investment.
Suppliers:
These are companies or individuals that provide the coffee house/restaurant with the necessary
equipment, supplies, and ingredients needed.
Employees:
These are the people who work for the coffee house/restaurant, including managers, chefs,
barista, bartender, servers,other staff, and maintenance workers.
Local Government:
The local government can support the business by providing permits, licenses, and tax
incentives.
Tourist Board:
The tourist board can promote the coffee house/restaurant to attract tourists to the area.
Local Community:
The local community can support the business by becoming loyal customers and spreading
positive word-of-mouth.
Insurance Companies:
These companies can provide the coffee house/restaurant with insurance coverage to protect
against potential risks and liabilities.
Marketing Strategy
In addition to an overall strategy, different actions and methods will be used for each of the
target markets.
Marketing Actions Local Residents & Workers - Small ads will be placed weekly in the dining
section of the local newspaper. Specials will be promoted with an A-frame sign and during slow
periods coupons and ‘2-for-1 deals will be offered.
Menus will be distributed to local businesses and the faxing-in of orders will be encouraged.
Take-out will be attractively boxed and given equal priority to sit-down services. Tourists -
Menus will be distributed to the local lodging establishments to encourage their guests to come
to the coffee house/restaurant.
Advertisements and listings will be placed in state wide and regional tourist guides and
publications. Menus will also be placed at information booths and other spots likely to have
tourist traffic. Other - Pricing will be competitive and customer service excellent.
If anyone is not satisfied, the item will be replaced or taken off the bill. The coffee
house/restaurant will leverage the internet as part of its marketing presence.
ENVIRONMENTAL ANALYSIS
Environmental analysis of Bean Street coffee house/restaurant:
Political analysis:
The coffeehouse is subject to various government regulations, such as food safety and
health regulations. Changes in government policies, such as changes in taxes, can also
affect the business.
Economic analysis:
Social analysis:
The coffeehouse is affected by the social and cultural trends of the local community,
including dietary preferences, lifestyle choices, and demographics.
Technological analysis:
Environmental analysis:
Legal analysis:
Bean Street's coffee house/restaurant must comply with various legal regulations, such as
labor laws, food safety laws, and licensing requirements.
In summary, Bean Street's coffee house/restaurant is affected by various external factors that can
impact its operations, profitability, and sustainability. The business must be proactive in
identifying and addressing these environmental factors to remain competitive and successful.
TREND IN INDUSTRY
Bean Street is a coffee house and restaurant located in a bustling downtown area. Our mission is
to provide high-quality coffee and food in a cozy and welcoming atmosphere. We strive to create
a space where people can gather, relax, and enjoy a delicious meal or beverage.
At Bean Street, we offer a variety of coffee drinks made with locally roasted beans, as well as a
selection of teas and other beverages. Our menu includes breakfast items such as croissants,
bagels, and breakfast sandwiches, as well as lunch options such as salads, sandwiches, and
soups. We also have a selection of baked goods, including cookies, muffins, and pastries.
Our coffeehouse is designed to be a comfortable space for customers to work, meet with friends,
or simply relax. We have free Wi-Fi, plenty of seating options, and a cozy fireplace for chilly
days. We also offer outdoor seating for customers who prefer to enjoy their coffee or meal Al
fresco.
In addition to our coffeehouse and restaurant, we also offer catering services for events such as
business meetings, parties, and weddings. Our team can create custom menus and provide
delivery and setup services to make your event a success.
At Bean Street, we are committed to using sustainable and locally sourced ingredients whenever
possible. We believe in supporting our local community and reducing our environmental impact.
Overall, Bean Street is a coffeehouse and restaurant that offers high-quality coffee and food in a
cozy and welcoming atmosphere. We are committed to providing our customers with an
exceptional experience and creating a space where people can gather, relax, and enjoy good food
and drink.
CONSUMER ANALYSIS
When analyzing the potential consumer base for coffee house/restaurant "Bean Street," several
factors need to be taken into consideration.
Firstly, the location of the establishment is crucial. Is it situated in a busy area with high foot
traffic, or is it tucked away in a quieter neighborhood? The surrounding demographic should also
be considered. Is it a young and trendy area with a lot of students and young professionals, or is
it a more family-oriented neighborhood?
Next, the menu and offerings of "Bean Street" should be examined. Are they catering to a
specific dietary need or preference, such as vegan or gluten-free options? Do they serve a variety
of coffee and tea drinks, or do they offer a more extensive food menu? Additionally, the price
point of the establishment should be taken into account. Are they catering to a more budget-
conscious consumer, or are they aiming for a higher-end market?
Social media is also an essential tool for analyzing the potential consumer base. What is the
online presence of "Bean Street"? Do they have a strong following on InSstagram or Facebook,
and are they engaging with their audience? By examining the online conversation about "Bean
Street," you can gain valuable insights into what potential customers are looking for in a coffee
house/restaurant.
Lastly, the competition in the area should be considered. Are there similar establishments nearby,
and how does "Bean Street" differentiate itself from them? By analyzing the competition, "Bean
Street" can better understand what they need to do to stand out and attract customers.
Overall, by considering these factors, "Bean Street" can better understand its potential consumer
base and tailor its offerings to meet their needs and preferences.
COMPETITORS ANALYSIS
To conduct a competitor analysis for "Bean Street," we need to identify the coffee
house/restaurant's main competitors in the area. Once we have identified the main competitors,
we can analyze their strengths and weaknesses, as well as their unique selling points.
One potential competitor for "Bean Street" could be a chain coffee house like Starbucks.
Starbucks has a well-established brand and a loyal customer base, which could make it
challenging for a new coffee house like "Bean Street" to compete. However, "Bean Street" could
differentiate itself by offering more locally sourced and sustainable ingredients, which would
appeal to customers who prioritize these values. Additionally, "Bean Street" could focus on
creating a more cozy and welcoming atmosphere, which could be a selling point for customers
who find Starbucks too corporate.
Another potential competitor could be a local coffee house like Joe's Coffee. Joe's Coffee might
have a loyal local customer base and a reputation for offering high-quality coffee and food,
which could make it challenging for "Bean Street" to compete. However, "Bean Street" could
differentiate itself by offering a wider variety of food options or by focusing on sustainability
and locally sourced ingredients.
A third potential competitor for "Bean Street" could be a bakery or cafe like The Bread Box. The
Bread Box might offer a similar menu of baked goods and coffee drinks, which could make it
challenging for "Bean Street" to stand out. However, "Bean Street" could differentiate itself by
offering a more extensive food menu or by focusing on creating a cozy and welcoming
atmosphere.
Overall, to compete successfully, "Bean Street" needs to identify its unique selling points and use
them to differentiate itself from competitors. By doing so, it can attract customers who are
looking for something different and build a loyal customer base.
MARKET FORECAST
Based on market research and analysis, the forecast for the coffee house/restaurant Bean Street
looks promising. The coffee industry is expected to continue to grow, with an estimated global
market size of PHP 134.25 billion by 2022. Additionally, the trend towards specialty coffee and
food is becoming increasingly popular, which aligns well with Bean Street's focus on using high-
quality ingredients and offering a unique dining experience.
Bean Street's location, menu offerings, and overall atmosphere will play a significant role in its
success. A prime location in a high-traffic area with easy accessibility will attract a larger
customer base. The menu should offer a variety of options to cater to different tastes and dietary
restrictions, including vegan and gluten-free options. The atmosphere should be inviting and
comfortable, with a focus on creating a welcoming space for customers to relax and enjoy their
coffee or meal.
Marketing efforts will also be crucial for Bean Street's success. Social media platforms like
Instagram and Facebook can be used to showcase the restaurant's unique menu items and
atmosphere, while targeted advertising can help reach potential customers in the local area.
Partnering with local businesses and hosting events can also help increase brand awareness and
attract new customers.
Overall, with the right location, menu, atmosphere, and marketing strategies, Bean Street has the
potential to be a successful coffee house/restaurant in the growing specialty coffee industry.
MARKET POSITION
In the specialty coffee industry, there is an increasing demand for high-quality ingredients,
artisanal food, and a unique dining experience. Based on the information provided, it seems that
"Bean Street" is catering to these trends by focusing on offering high-quality ingredients and a
unique dining experience. This could potentially position the restaurant as a premium brand in
the industry, which could attract a niche market of customers who are willing to pay a premium
for high-quality coffee and food.
Additionally, the restaurant's location and marketing efforts will play a significant role in its
market position. If the restaurant is located in a high-traffic area and has a strong social media
presence, it could potentially attract a larger customer base and increase its market position.
Overall, "Bean Street" has the potential to position itself as a premium brand in the specialty
coffee industry by focusing on high-quality ingredients and a unique dining experience.
However, its exact market position will depend on factors such as location, competition, and
marketing efforts.
MARKET STRATEGY
A successful market strategy for "Bean Street" would involve a combination of different tactics
to attract and retain customers. Here are some potential strategies:
1. Focus on quality:
"Bean Street" should prioritize offering high-quality coffee, food, and service to its customers.
This will help to differentiate the restaurant from its competitors and attract a loyal customer
base.
4. Host events:
Hosting events like live music, trivia nights, or coffee tastings can help to attract new customers
and create a sense of community around the restaurant.
Overall, a successful market strategy for "Bean Street" will involve a combination of quality,
branding, social media, events, partnerships, and loyalty programs to attract and retain customers
ORGANIZATIONAL PLAN
A. FORM OF THE BUSINESS ORGANIZATION
1.Sole proprietorship: This is a type of business where the owner/owners of the coffee
house/restaurant ‘’Bean Street’’ is the sole person/s responsible for managing and operating
the business. This form of business is easy to set up and has complete control over the
business, but the owner/s is also responsible for all debts and liabilities.
2.Partnership: This is a type of business where two or more people share ownership and
responsibility for the business. Partnerships are divided into general and limited
partnerships, which have different levels of responsibility for the business's debts and
liabilities.
3.Limited liability company (LLC): This is a hybrid form of business that provides the
liability protection of a corporation but the tax benefits of a partnership. This type of
business offers limited liability protection to its owners, which means that their personal
assets are usually protected from business debts.
4.Corporation: This is a type of business that is treated as a separate legal entity from its
owners. Corporations have more complex tax filing requirements, but owners are usually
not personally liable for the business's debts and liabilities.
5. Franchise: This is a type of business where the owner of the coffee house/restaurant
licenses the right to use the parent company's name, products, and business model in
exchange for a fee. Franchising offers a proven business model, but franchisees must adhere
to strict rules and regulations set by the parent company.
The liability of the owners of a coffee house/restaurant "Bean Street" would depend on
the specific circumstances surrounding the incident in question. The owners may be
responsible for any injuries, damages, or losses suffered by customers or employees if it can
be shown that the owner was negligent or failed to exercise reasonable care to prevent such
incidents from occurring. This could include slip and fall accidents, food poisoning, or
other types of injuries or incidents. Additionally, the owner may also be liable for any
damages caused by employees, such as if an employee causes a car accident while driving a
company vehicle. It is essential for business owners to have liability insurance to protect
against potential claims.
C.ORGANIZATIONAL STRUCTURE
The proposed business will adopt the line type organizational set-up in a simple reason that it
directly shows the line of responsibility and authority of each individual and organization. The
proposed business will be composed of manager, cook, baristas, supervisor, dishwasher/busser,
bakers, and ,financial manager.
The organizational structure of a coffee house/restaurant typically includes the following:
1. Executive leadership:
This group includes the owners, CEO, CFO, and other high-level executives who oversee the
overall strategic direction of the company.
2. Operations:
This team is responsible for managing the day-to-day operations of the coffee
house/restaurant, including inventory management, menu development, food preparation, and
staff management.
3. Front of house:
The front of house team includes servers, baristas, and other customer-facing staff who are
responsible for ensuring a positive customer experience.
4. Back of house:
This team includes chefs, cooks, and other kitchen staff who are responsible for food
preparation and production.
5. Human resources:
This team is responsible for hiring, training, and managing staff members across all
departments.
Overall, the organizational structure of a coffee house restaurant is designed to ensure that all
aspects of the business are managed effectively, from the front of house to the back of house, to
finance and marketing.
D.ROLES AND RESPONSABILITIES
a). BARISTA
- Responsible for making and serving coffee-based beverages, as well as maintaining the
espresso machine, grinder, and other equipment.
b).CHEF/COOK
-Prepares food items such as sandwiches, pastries, salads, and other menu items. - Server:
Greets customers, takes orders, and delivers food and beverages to tables. May also handle
cash transactions and answer customer questions.
c).MANAGER
- Oversees the operation of the restaurant, including staffing, inventory management,
scheduling, and customer service.
d).DISHWASHER/BUSSER
-Responsible for cleaning dishes, utensils, and kitchen equipment, as well as clearing tables
and keeping the dining area clean and presentable. Other possible roles could include
marketing and social media management, event planning, and purchasing/procurement.
e).MARKETING MANAGER
-Responsible in the research, planning/creating and even execution of marketing and
promotional activities.
f).FINANCIAL MANAGER
-Responsible in all aspects of financing, payroll,billing, sales, and others.
g).SUPERVISOR
-Monitors the sanitation, standard performance and work methods.
h).BAKERS
-Is the responsible or capable of baking pastries and making sweets.
Overall, the goal of "Bean Street" employees would be to provide a welcoming and satisfying
experience for their customers.
MANAGER
↓
SUPERVISOR
↓
FINANCER BARISTA COOK/ BUSSER
CHEFFF
E. SALARY REQUIREMENTS
The salary requirements for coffee house and restaurant jobs can vary depending on the specific
position, the location, and the level of experience required. Here are some estimated salary
ranges for the positions in the industry:
Barista:
497.43 - 884.31 per hour
Shift supervisor:
607.96 - 994.85 per hour
Cook:
552.70 - 994.85 per hour
Server:
110.54 - 386.89 per hour plus tips
Manager:
193432.50 - 3316170.00 per year
PRODUCTION SCHEDULE
Monday:
- Clean and sanitize all kitchen equipment and utensils
- Order supplies and ingredients for the week - Prep vegetables for the week (wash, chop, and
store in containers)
- Make chicken stock for soups and sauces
- Precook rice and pasta for use during the week -Bake off any desserts or baked goods needed
for the week
Tuesday:
- Prep meats for the week (portion, marinate, and store in containers)
- Make dressings, sauces, and marinades for the week - Make soup for the day
- Prep and cook any menu items with longer cooking times (e.g. slow-cooked meats)
Wednesday:
- Prep and cook any menu items with longer cooking times (e.g. slow-cooked meats)
- Make soup for the day - Prep and chop any fruits needed for the week
- Bake off any bread or pastries needed for the day
Thursday:
- Prep and cook any menu items with longer cooking times (e.g. slow-cooked meats)
- Make soup for the day
- Prep ingredients for weekend specials or events
Friday:
- Prep and cook any menu items with longer cooking times (e.g. slow-cooked meats)
- Make soup for the day
- Check inventory levels and order any additional supplies or ingredients needed for the
weekend
Saturday:
- Prep and cook any menu items with longer cooking times (e.g. slow-cooked meats)
- Make soup for the day - Prep any ingredients needed for brunch or weekend specials
- Bake off any bread or pastries needed for the day Sunday:
- Prep and cook brunch menu items
- Make soup for the day
- Restock and organize kitchen for the following week
- Clean and sanitize all kitchen equipment and utensils.
Of course, this schedule will vary depending on the size and complexity of the menu, as well as
the number of staff members available to help with preparations and cooking tasks. It's important
to adjust and modify the schedule as needed to ensure that everything is ready and available for
customers during operating hours.
Products that are in high demand in coffee houses/restaurants:
1. Coffee:
This is the primary product that coffee houses and restaurants sell, and it's always in high
demand. Many customers visit coffee houses and restaurants specifically for the coffee.
3. Tea:
While coffee is the main attraction in coffee houses, tea is also a popular choice for many
customers. Offering a variety of tea options can help attract more customers.
4. Baked goods:
Coffee houses and restaurants often offer baked goods like muffins, croissants, and scones to go
along with the coffee.
In general, it's important for coffee houses and restaurants to offer a variety of products to meet
the diverse needs and preferences of their customers.
1. Coffee beans:
To make coffee, a coffee house or restaurant would need a steady supply of coffee beans. This
could come from a local roaster or a larger distributor.
2. Tea leaves:
To offer tea, a coffee house or restaurant would need a variety of tea leaves, which could also
come from a local supplier or a distributor. 3
4. Equipment:
A coffee house or restaurant would need equipment like coffee and espresso machines, ovens,
refrigerators, and freezers to prepare and store food and drinks.
5. Staff:
A coffee house or restaurant would need employees to work behind the counter, prepare food
and drinks, and manage the business.
6. Financial resources:
Starting and managing a coffee house or restaurant requires a significant amount of financial
resources, which could come from investors, loans, or personal savings.
7. Utilities:
A coffee house or restaurant would need access to utilities like electricity, water, and gas to
operate equipment and maintain a comfortable environment for customers.
PRODUCTION PROCESS
The production process for a coffee house or restaurant would typically involve the following
steps
2. Preparation:
This step involves preparing the ingredients and setting up the equipment for cooking, baking,
and brewing.
3. Cooking/baking:
This step involves using the equipment and ingredients to cook or bake the menu items, such
as coffee, pastries, sandwiches, salads, soups, and entrees.
4. Serving:
This step involves presenting the menu items in an attractive and appetizing manner and
serving them to customers in a timely and friendly manner.
5. Clean-up:
This step involves cleaning and sanitizing the equipment, dishes, and utensils, as well as
maintaining a clean and safe work environment.
6. Inventory management:
This step involves keeping track of the inventory of ingredients, supplies, and equipment, and
ordering more when necessary.
7. Quality control:
This step involves monitoring the quality of the food, beverages, and service, and making
adjustments as needed to ensure customer satisfaction.
Overall, the production process for a coffee house or restaurant requires careful planning,
attention to detail, and a focus on quality and customer satisfaction.
PROCESSING PLANT AND EQUIPMENT
The processing plant and equipment required for a coffee house or restaurant will depend on the
menu items and the scale of the operation. Here are some common equipment used in a coffee
house/restaurant:
Coffee equipment:
This includes espresso machines, coffee grinders, and coffee brewers.
Bakery equipment:
This includes ovens, mixers, proffers, dough sheeters, and dough dividers.
Cooking equipment:
This includes ranges, grills, fryers, ovens, steamers, and microwaves.
It is important to select high-quality, durable, and efficient equipment that meets the specific
needs of the coffee house or restaurant. Regular maintenance and cleaning of the equipment is
also essential to ensure optimal performance and longevity.
SOURCESS OF MATERIAL
There are several sources of materials for coffee houses and restaurants, depending on what you
need.
1. Furniture suppliers: Look for suppliers of chairs, tables, counters, and other furniture pieces.
You can find them online or at local furniture stores.
2. Kitchen equipment suppliers: If you're opening a restaurant, you'll need a variety of kitchen
equipment, such as ovens, grills, refrigerators, and dishwashers. Look for suppliers that
specialize in commercial kitchen equipment.
3. Food and beverage suppliers: You'll need to stock your coffee house or restaurant with a
variety of food and beverage items. Look for suppliers of coffee beans, tea, pastries, fruits,
vegetables, meats, and other ingredients.
4. Decor suppliers: You can find a variety of decor items to enhance the ambiance of your
coffee house or restaurant. Look for suppliers of lighting fixtures, wall art, tableware, and other
decorative items.
5. Uniform suppliers: Depending on your business, you may need uniforms for your employees.
Look for suppliers that offer custom uniforms for restaurants and coffee houses.
6. Cleaning suppliers: A clean establishment is important for any restaurant or coffee house.
Look for suppliers of cleaning products and equipment, such as mops, brooms, and disinfectants.
PRODUCTION COST
The production cost for a coffee house/ restaurant can vary depending on various factors such as
the location, menu offerings, size of the establishment, and labor costs. However, some common
expenses that can be included in the production cost of a coffee house/restaurant are:
1.Raw materials and ingredients (coffee beans, tea leaves, dairy products, meat, vegetables,
etc.)
1. Ingredients - This includes the cost of coffee beans, milk, sugar, syrup, fruits, vegetables,
meat, and other ingredients used in preparing food and beverages.
2. Labor - This includes the cost of wages, salaries, and benefits for employees such as baristas,
chefs, waiters, and managers.
3. Rent - This includes the cost of renting the space for the coffee house/restaurant.
4. Utilities - This includes the cost of electricity, water, gas, and other utilities used in the coffee
house/restaurant.
5. Equipment - This includes the cost of purchasing and maintaining equipment such as coffee
machines, ovens, refrigerators, and dishwashers.
6. Marketing - This includes the cost of advertising, promotions, and other marketing activities
to attract customers.
7. Taxes and licenses - This includes the cost of taxes, permits, and licenses required to operate
the coffee house/restaurant.
Production costs refer to the expenses incurred in creating a product or providing a service. For
a coffee house/restaurant ‘’bean street’’, production costs would include the cost of ingredients,
labor, and overhead expenses such as rent, utilities, and equipment. The goal of analyzing
production costs is to determine the profitability of the business and identify areas where costs
can be reduced.
A chart that could be used to analyze production costs for a coffee house/restaurant is a cost of
goods sold (COGS) chart. This chart breaks down the cost of the ingredients used to make each
menu item. It can help the business owner identify which menu items are more profitable and
which ones may be costing the business more than they are generating in revenue.
The cost of ingredients for each menu item is listed along with the selling price and the gross
profit. The gross profit is calculated by subtracting the ingredients cost from the selling price.
By analyzing this chart, the coffee house owner can see that the latte and cappuccino have a
higher gross profit than the muffin and croissant. This information can be used to adjust the
menu prices or the ingredients used in each menu item to increase profitability.
In conclusion, analyzing production costs is an essential step for any cost. A COGS chart is a
useful tool for identifying which menu items are the most profitable and where costs can be
reduced.