SATE FOODS

“EXCEEDS THE BOUNDARY OF SATISFACTION”

BUSINESS
PLAN
[2024]

Oriolowo Abdulazeez 24, Joke Adebayo Street, Moro Bakery, Ikorodu (+234)
8032-510007
azeezoluwatobi@gmail.com http://www.satefoods.com

NB: Information provided in this business plan is unique to this business and confidential; therefore, anyone reading
this plan agrees not to disclose any of the information in this business plan without prior written permission of the
Company.
Table of Contents
Executive Summary 6
Overview
Market Opportunity
Management
Financial Projections & Funding

Sate Foods 9
The Restaurant Concept
Technology
Business Model
Objectives
Keys to Success
Long Term Strategy
Intellectual Property
Sustainability

Sample Menu 13
Menu Items

Restaurant Operations 16
Customer Service
Operating Policies
Strict Inventory Controls
Purchasing Cost Controls
Recipe Portion Controls
Menu Blending
Sanitation of Food Handling
Operating Standards
Management's Role
Software and Systems
Money and Profit Management
Training
Hiring the Best
Training for Excellence
Retaining the Best
Controlling Costs
Food Costs
Equipment Costs
Staff Turnover /Training Costs

Location 22
Operating Details

Industry Analysis 24
Industry Overview
Restaurant Demographics
Millennials
Contemporary Casual Food Vending
Demographic Data

Competition 28
Competitive Landscape
Direct Competitors
Competitive Advantages

Marketing 30
Target Market Overview
Market Positioning & Brand
Marketing Strategies

Company & Management 32

Company
Management Team
Abdulazeez Oriolowo
Kate Esitikot
Staffing Plan
External Issues
Financial Plan 36
Projected Revenue
Personnel Expenses
Startup Expenditures
Revenue Assumptions
Cost of Goods Sold
Operating Expense Assumptions
Balance Sheet Assumptions
Bank Loan Assumptions
Projected Balance Sheet
Projected Profit and Loss
Projected Cash Flow
Executive Summary
Overview
Market Opportunity
Management
Financial Projections & Funding

Overview
SATE Foods will be a contemporary casual restaurant concept that's intended to appeal first and
foremost to the millennial generation (15-35) along with the generations which follow it. SATE Foods
will interest Millennials since they are clean, well packaged, healthy, economical, and satisfying.
Customers will have the ability to order online, dine in a friendly environment, and take-out our foods.
Market Opportunity
Though, a smaller portion of the general market than the restaurant, contemporary casual restaurant
concepts are exploding on the scene and gaining popularity every year. According to Techno Inc., the
market research company, the contemporary casual restaurant segment increased sales by 12%.
Management
Oriolowo Oluwatobi Abdulazeez, the founder and visionary behind the SATE Foods notion has spent
his whole career serving excellent meals to hungry customers. He possessed 2 food outlets in Ibadan
before moving into the city of Lagos and producing the SATE Foods notion.

Financial Projections & Funding

Oriolowo Oluwatobi Abdulazeez plans to start 1partership-owned food outlet. The food outlet is of this
sum, #3,000,000:00k, which will be supplied by an Islamic financial institution named STECS. The
food outlet will utilize this funding effectively.

Please beware that the financial details pertain only to the very first outlet.

Once proof of concept has been attained with this outlet, Abdulazeez will proceed to a master business
plan with growth programs for other outlet locations and then moving to other major cities within Lagos
and across Nigeria.

Test run
Month1 Month2 Month3 Month4
Month
Revenue 150,000 300,000 450,000 600,000 950,000

Cost of Sales 50,000 100,000 150,000 200,000 300,000

Employee
Expense 93,000 180,000 230,000 164,000 205,000

Operating
Expense 112,451 121,451 134,451 145,451 152,451

EBITDA 116,451 216,451 516,451 641,451 895,452

The Food Outlet Concept
Business Model
Objectives
Keys to Success
Long Term Strategy
Intellectual Property

+
The Food Outlet Concept
SATE Foods is a contemporary casual restaurant inspired food vending idea. It'll be perfectly positioned
to benefit from the fastest-growing food segment within the Ikorodu city of Lagos. Ikorodu, a city in
Lagos, is now becoming the model attraction for Lagos' new economic boom. With inhabitants of over
1 million on average, Ikorodu's economic dimensions is becoming the 2nd strongest in Lagos Sate with
its new University (LASUSTECH) capacity.

In targeting the millennial era category, SATE Foods has discovered a “technological link” that needs
to happen to attract and participate in this age category as foods vendor. That is the reason why the food
outlet will use the most recent technologies to promote the business.

Business Model
The food outlet’s business model is going to be dependent upon operational competence, a fantastic
tasting, and wholesome menu. The company model is persuasive for the easy reason that form the own
large, nicely equipped and branded kiosk. SATE Foods will prepare dishes which are available in its;
Regular, Large, Extra Large, Family Size options.

Objectives
SATE Foods has established the following goals for the first twelve months of operation, following
launching the food outlet:
• To establish a presence as a successful food outlet and gain a market share in Lagos’ food
industry.
• To make SATE Foods a food destination spot for students, workers and tourists.
 • To expand into a number of outlets by year two, and sell the franchise to metropolitan cities,
such as; Abuja, Ibadan, Kano and Port-Harcourt.

Keys to Success
The founder considers he has the ideal mixture of experience, vision, and skill to swiftly place the food
outlet on a quick track for profit and growth. These keys will contribute to its achievement.

Long Term Strategy

SATE Foods plans to open 3 outlets in metropolitan cities in its first 1 year of operation. Those outlets
will be business owned. When the outlets are open and operating profitably, SATE Foods will establish
a franchise plan. The plan involves developing master franchisees which would suit local and
international investors towards an attractive profit maximization.

Intellectual Property
The name, SATE Foods will be registered with the Corporate Affair Commissions. Along with this
name, a URL will be registered. It's the proprietor's intention to trademark its packaged products. All
recipes are owned and proprietary by the brand.

Sustainability
SATE Foods believes in getting a positive effect on the community. The founder will take the additional
steps required to be useful, accountable neighbors by integrating sustainable practices at every
opportunity. SATE Foods will attain environmental sustainability through;
• Sustainable Sourcing:
• Use locally sourced ingredients to reduce transportation emissions and support local
farmers.
• Opt for organic produce and ethically sourced meats and seafood.

• Waste Management:
• Implement a composting system for organic waste.
• Use recyclable or biodegradable packaging for takeout and delivery.
• Establish a food donation program for excess food to charities.

• Energy Efficiency:
• Invest in energy-efficient appliances and LED lightning to reduce energy consumption.
 • Consider using solar panels to generate renewable energy for the restaurant.

• Water Conservation:
• Install low-flow faucets and toilets to minimize water usage.
• Use water-efficient dishwashers and encourage staff to adopt water-saving practices.

• Sustainable Practices:
Train staff on sustainability practices, including minimizing food waste and efficient energy use.
• Create a green team among staff to promote and implement sustainability initiatives.

• Eco-Friendly Décor:
• Use reclaimed or sustainably sourced materials for furniture and décor.
• Incorporate plants and greenery to improve air quality and ambiance.

• Community Involvement:
• Partner with local environmental organizations for initiatives and events.
• Host workshops or events focused on sustainability and healthy eating.

• Menu Innovation:
• Include plant-based options on our menu to reduce the carbon footprint associated with
meat production.
• Highlight seasonal dishes that use ingredients at their peak freshness.

By integrating the above strategies, our outlet can not only reduce its environmental impact but also
attract eco-conscious customers who appreciate sustainability efforts.

Menu Items
Developing the abilities to produce and prepare an exciting menu of excellent African dishes comes
from traveling, tasting and experiencing African meals across countries. The end result is a combination
of traditional African cuisine with a dab of contemporary packaging.
We want to focus only on selling foods. Alcoholic drinks will not be sold in our outlet(s), as SATE
Foods promotes a healthy and positive Islamic lifestyle. Instead, we will offer Specialty drinks to
complement the foods. We will feature a diverse menu that includes:
 • Affordable Meal Combos – combo meals (Fried & Jollof Rice with plantain and grilled
chicken or turkey, Spaghetti or Noodles with grills, Fries, pounded yam, Amala, Eba, Fufu,
Semo and assorted meat - with soup of your choice, egusi, efo riro, abula, okra and more) that
caters to students, workers and tourists’ budget.
• Healthy Options – Salads, Wraps, Grills, Confections, And Smoothies for health-conscious
individuals.
• Local Cuisine – tribal dishes that resonate with the local palate.
• Specialty Drinks – Fresh juices, smoothies, and affordable coffee options.

Customer Service

Operating Policies

Operating Standards

Training

Controlling Costs

Customer Service

The hospitality business recognizes the client's support experience as the critical driver to replicate
business. The direction will offer a superior degree of professionalism by hiring individuals who deliver
the ideal attitude to work and teaching them the skills required to satisfy and retain customers.

Operating Policies

The managing of SATE Foods is going to be contingent upon operating policies and strategies which
the founder and the staff have grown and successfully employed in other profitable food outlet projects
such as i~BITE Foods. The founder has expertise in the food service company and the required skills
towards achieving the company’s goals.
SATE Foods will utilize the most recent technology available, while the Stecs app will be used to closely
monitor and handle foods and beverages sales, allowing management to correctly ascertain operating
production, sales and expenses, as well as manage the loss. Manual inventories will be run on a weekly
basis.

Management will always monitor provider bids to gain the best pricing for many foods along with other
components. Market price changes will direct buying, menu composition, and menu pricing to guarantee
the food outlet matches and exceed gain expectations.

Food preparation personnel will follow standardized recipes developed by the founders to control food
costs and ensure consistency. The Food outlet will offer an innovative menu with nutritious food while
achieving the greatest margin yield.

Menu blending enables the Food Outlet to maintain a perception of affordability. This is achieved by
taking certain items and reducing the price in order to maintain interest in specific items, while
delivering higher margins on others, therefore blending costs.

SATE Foods will maintain a 100% compliance policy for sanitation and food handling to ensure the
safety and health of all customers and employees. The food outlet will always comply with all City,
County, and State Department of Health sanitation and food handling.

Operating Standards

The founder will be responsible for hiring and training managers who, in turn, will be responsible for
ensuring that the day-to-day operations will comply with the standards set by the food outlet policy.
Weekly management meetings will provide a forum to review and discuss issues affecting and ideas
promoting the company’s goals.

Management's Role

SATE Foods will utilize an integrated information system to manage the flow of information within
each of the future food outlets and the home outlet. This system will include a point-of-sale local area
network that helps facilitate the operations of the outlets by recording sales and backing up
inventories.
While the quality of the cuisine and dining experience contributes significantly to a food outlet’s
profitability, it is attention to business and financial details that can transform small changes into
large returns. While all decisions are made with the customer and employee in mind, they …

The successful implementation of the culinary and dishing concepts outlined within this business plan
demands excellence from each and every employee. To achieve excellence, the food outlet will focus
on hiring, training, and retaining the very best employees.

Training

Employees with a good attitude, a strong work ethic, an eye for detail, and a passion for providing
excellent service will be recruited.

An ongoing program of training and education will ensure that each staff member learns and
implements SATE Foods' exacting standards for service and operational procedures. Staff meetings
will reinforce service standards and principles.

The food outlet embraces the concept of promoting from within. Excellence in one function typically
leads to excellence in another. There will be regular staff evaluations to ensure motivation and address
key issues.

Controlling Costs

A menu that is easy to execute will minimize errors. Fewer menu items will mean reduced volumes
of perishable foods and therefore less likelihood of waste. Ordering should be quick and simple as
there are relatively few items to order. Even with the use of high-quality all-natural ingredients.

The Food outlet requires comparatively fewer items of equipment to run an efficient operation,
resulting in lower startup costs. This will, in turn, result in lower ongoing maintenance costs.

Staff turnover rates in the food industry run at over 70% p.a. and food outlet is even higher.
Maintaining quality standards with such high turnover rates is an ongoing challenge. Lower than
normal staff turnover due to sound management philosophy and a rewarding working ethics.

Location

SATE Foods will negotiate to lease a 1600-1800 square feet space in Ikorodu in close proximity to
LASUSTECH. Our main priority is to establish one outlet at LASUSTECH gate, preferably vertically
opposite the 1st or 2nd gate for other passersby’ easy accessibility. Later, our effort will be a further
development of more food outlets in other residential areas congested by students, workers and
tourists.

Operating Details

SATE Foods will be open from 9:00 am to 10:30 pm Monday through Saturday and 11:00 am to 8:00
pm Sunday. The store will be clean, safe, and well lit. Customers will be able to pay for their orders
with cash, credit card, or through a mobile app on or before delivery.

Industry Overview

Market Context

The food industry in Nigeria has experienced significant growth over the past decade, driven by
urbanization, a growing middle class, and changing consumer lifestyles. Ikorodu, a rapidly
developing area within Lagos State, presents a unique opportunity for food businesses due to its
increasing population and economic activities.

Consumer Demographics

Ikorodu is characterized by a diverse population, including a mix of young professionals, families,

and students. The youth demographic, in particular, is drawn to readymade food due to its
convenience, affordability, and variety. With a growing number of schools, offices, and residential
areas, the demand for quick and accessible meal options is on the rise.

Competitive Landscape

The food sector in Ikorodu features a mix of local and international brands. While established chains
like KFC, Jendol, KD and Mr. Biggs have a presence, there is still ample room for new entrants,
especially those that offer unique products or cater to local tastes. Local eateries and informal food
vendors also compete, emphasizing the importance of differentiation through quality and service.

Key Trends

o Health Consciousness: There's a rising awareness of health and wellness among consumers,
leading to a demand for healthier menu options, including salads, grilled items, and vegetarian
choices.
o Delivery Services: The popularity of food delivery apps has surged, especially post-COVID-19,
making it essential for food outlets to integrate delivery services to reach a broader customer base.
o Digital Engagement: Social media and online marketing are critical for attracting customers,
particularly the younger demographic. Engaging content and promotions can significantly
enhance brand visibility.

Regulatory Environment

Operating within Nigeria requires adherence to various health and safety regulations, including food
safety standards set by the National Agency for Food and Drug Administration and Control
(NAFDAC). Obtaining the necessary permits and licenses is crucial for compliance and successful
business operation.

Challenges

o Supply Chain Issues: Fluctuations in the supply of raw materials can impact pricing and menu
consistency.
o Economic Factors: Inflation and economic instability can affect consumer spending habits,
necessitating flexible pricing strategies.
o Competition: The increasing number of food outlets may lead to price wars and reduced profit
margins.

Opportunities

o Niche Markets: Catering to specific dietary preferences, such as vegetarian or gluten-free options,
can attract a loyal customer base.
o Brand Partnerships: Collaborating with local farmers for fresh ingredients can enhance menu
quality and support the local economy.
o Franchising: Exploring franchise opportunities with established brands can provide a ready-made
business model and brand recognition.

The food industry in Ikorodu offers promising opportunities for new entrants, particularly if they can
navigate the local market dynamics and consumer preferences effectively. A well-researched
business strategy that leverages current trends and addresses potential challenges will be key to
success in this vibrant market.

Food Demographics
The food industry has historically been measured in three categories; fast food, casual dining, and
fine dining. This changed in the 1990s with the addition of the Contemporary Casual classification.
Typically, food outlets in this category combines casual dining with a trendy atmosphere, creative
dishes, and moderate prices while providing a high – quality menu that are budget friendly. Fast food
or Quick Service restaurant is known for its quick preparation of the menu where its ingredients are
precooked or frozen only to be reheated and casual restaurant for its comfortable waiting room for
the menu to be processed and served, contemporary casual restaurant combines a sit-down table
option for ‘FOR HERE’ customers and a quick order processing service for ‘TO GO’ customers. It
is however for this reason that we adopt the contemporary casual concept to capture the younger
generations.

Competitive Landscape

Direct Competitors

Competitive Advantages

Competitive Landscape

The Food outlet recognizes that in the Ikorodu metropolitan area there are many quick serves, fast-
casual, and casual dining food outlets, and other retailers where consumers can purchase food at an
affordable price and consume the food on the premises. Ikorodu, a rapidly developing area in Lagos
State, boasts a diverse food scene that attracts both locals and visitors. The growing population,
combined with an increasing interest in contemporary dining experiences, has led to a rise in casual
dining outlets. Understanding the competitive landscape is crucial for positioning our food outlet
effectively.

Direct Competitors

1. Local Traditional Restaurants:

o Examples: Buka joints offering local dishes like jollof rice, pounded yam, and assorted
soups.
o Strengths: Established customer base, familiarity with traditional cuisine, often lower
prices.
 o Weaknesses: Limited menu variety, less appeal to younger demographics seeking
contemporary dining experiences.
2. Fast Food Chains:
o Examples: KFC, Sweet Sensation, Mr. Biggs and local burger joints are chain of quick-
casual food outlets.
3. Health-Conscious Eateries:
o Examples: Outlets focusing on organic, vegan, or gluten-free options.
o Strengths: Growing trend towards healthy eating, attracting a niche market.
o Weaknesses: May alienate customers looking for traditional flavors or indulgent dining.

Survival Plan

1. Unique Selling Proposition (USP):

o Developing a strong USP by offering a diverse menu that blends contemporary dishes with
local flavors. This can attract a broader audience and differentiate our outlet from
competitors.

2. Quality and Freshness:

o Emphasizing the use of fresh, high-quality ingredients. Consider sourcing locally to enhance
flavor and support the community, which can also be a marketing point.

3. Ambiance and Experience:

o Create an inviting and modern atmosphere that encourages customers to linger. Incorporate
elements like live music, art displays, or themed nights to enhance customer experience.

4. Strong Online Presence:

o Utilizing social media and a user-friendly website to engage with customers. Share appealing
food photography, customer testimonials, and special promotions to build a community
around our brand.

5. Loyalty Programs and Promotions:

o Implementing loyalty programs that reward repeat customers. Regular promotions, such as
discounts on certain days or combo deals, to attract more foot traffic.

6. Collaborations and Events:

 o Partnering with local businesses for events, food fairs, or pop-ups. This can increase visibility
and customer engagement while fostering community ties.

7. Feedback Mechanism:

o Establishing channels for customer feedback to continuously improve service and offerings.
Actively responding to reviews and suggestions to show customers that their opinions matter.

8. Adaptability:

o Staying responsive to market trends and customer preferences. Regularly updating our menu
and service offerings based on feedback and emerging food trends.

By focusing on these strategies, our contemporary casual food outlet can carve out a unique niche in
the Ikorodu market, ensuring its survival and success despite fierce competition.

Target Market Overview

Market Positioning & Brand

Marketing Strategies

Target Market Overview

1. Demographics:

o Age: Primarily targeting millennials and Generation Z (ages 18-40).

o Income Level: Middle to upper-middle class, with disposable income for dining out.

2. Location: Urban areas with a vibrant food culture, particularly near business districts, college
campuses, and popular entertainment venues.

3. Psychographics:

o Lifestyle: Health-conscious individuals who value fresh, high-quality ingredients and

innovative cuisine. They enjoy social dining experiences and are likely to share their dining
experiences on social media.
4. Interests: Food enthusiasts, trend-seekers, and those who appreciate diverse culinary influences.
They often seek out new dining experiences and are receptive to unique concepts.

Market Positioning and Brand

1. Positioning Statement: SATE positions itself as a contemporary casual restaurant that blends
traditional flavors with modern culinary techniques, offering a unique dining experience that is
both relaxed and sophisticated. The focus is on vibrant, flavorful dishes that cater to a diverse
palate, making it the go-to spot for friends, families, and food lovers looking for something fresh
and exciting.

2. Brand Identity:

o Visual Elements: A modern, minimalist logo with earthy tones that reflect the natural
ingredients used in the dishes. Clean, contemporary design elements in the food outlet's decor
to create a welcoming atmosphere.
o Brand Voice: Friendly, approachable, and knowledgeable, with an emphasis on the
storytelling behind each dish. Engaging and interactive on social media platforms, inviting
customers to share their experiences.

Marketing Strategies

1. Digital Marketing:
 o Social Media Campaigns: Use platforms like Instagram, Facebook, and TikTok to showcase
visually appealing dishes, behind-the-scenes content, and customer testimonials. Engage
users with contests and hashtags to promote user-generated content.
o Influencer Partnerships: Collaborate with local food bloggers and influencers to create buzz
around the restaurant and attract their followers.

2. Community Engagement:

Local Events: Participate in food festivals, farmers' markets, and community gatherings to enhance
visibility. Host pop-up events or food tastings to introduce SATE to potential customers.

o Sustainability Initiatives: Implementing eco-friendly practices and partner with local farms to
source ingredients. Promote these initiatives to attract environmentally conscious consumers.

3. Loyalty Programs:

o Membership Discounts: Creating a loyalty program offering discounts, exclusive menu items,
or special events for repeat customers to encourage frequent visits.
o Referral Incentives: Encouraging customers to refer friends by offering discounts or rewards
for both the referrer and the new customer.

4. Seasonal and Thematic Promotions:

o Limited-Time Menus: Introducing seasonal dishes or themed menus (e.g., holiday specials,
cultural cuisine nights) to keep the menu fresh and exciting.
o Happy Hour Specials: Offering promotions during slower hours to attract customers looking
for a casual dining experience at a lower price point.

By focusing on these strategies, SATE would effectively capture its target market, establish a strong
brand presence, and create lasting relationships with customers.

Company
Management Team

Staffing Plan

External Issues

Company

The first SATE Foods and the two Food Outlets to follow will be owned by Mr. Abdulazeez and his
investor group (Stecs). The legal entity is called SATE Enterprises LLC, a Nigeria limited liability
company. Mr. Abdulazeez will be the Managing Member.

Management Team

SATE Foods is the vision of a successful businessman who brings a number of important skills and
culinary experiences to the Company, including: food vending, event planning, catering service, and
consultancy.

Abdulazeez, Oriolowo

Founder & CEO – azeezoluwaoluwatobi@gmail.com

Mr. Abdulazeez was born and raised in Nigeria. After graduating from the University of Ibadan, he
established a food outlet business and execute all aspect of the business from taking care of customers
to managing a busy kitchen. After selling the i~Bite food outlets in Ibadan, Mr. Abdulazeez decided
to relocate with his wife to Lagos State. After studying a number of food outlet concepts, Abdulazeez
created SATE Foods. He is driven by how the contemporary casual dining concept seems to fit the
way Lagosians like to eat.

Kate, Esitikot

Store Manager

Reporting to Mr. Abdulazeez, the Store Manager will be responsible for the entire store operation. In
addition to enforcing all policies of the Food outlet as outlined, the Store Manager will oversee daily
operations concentrating primarily on ensuring standards are adhered to during all times of the day.
She will be responsible for hiring, training, disciplining and terminating service and staff, with
assistance as needed from the founder. She will be expected to have a complete understanding of the
technology that will be an integral part of the operation from customer orders, payments, and delivery.
During meal service, the Store Manager will be expected to control the flow of all activities
overseeing, service staff and communicating with the kitchen to ensure a smooth flow to the Food
outlet and will be expected to maintain clean and organized ordering and dining areas.

Staffing Plan

The Company aims to create a successful and rewarding work environment. It is Mr. Abdulazeez’s
firm belief that employee satisfaction represents a key contribution to customer satisfaction. The
management team will consist of one General Store Manager and an Assistant Manager. They will
be paid #50,000 and #35,000 respectively. The remaining employees will be hourly. For the first 3
month of operation, there will be no employee benefits offered to employees. Down the road, this
will be reviewed for it is the desire of ownership to offer a benefits program that will allow SATE
Foods to be competitive in the workplace and take care of employees. SATE Foods will be staffed as
follows:

Food outlet Front of the House Starting Month Count Salary/Wages

Manager 1st 2 85,000

Serving Staff 1st 3 90,000

Bartender 3rd 1 20,000

Receptionist 3rd 1 25,000

Food outlet Back of the House Starting Month Count Salary

Head Cook 1st 1 35,000

Cooks 1st 3 20,000

Servents 3rd 2 15,000

Cleaners 1st 1 15,000

External Issues

There are no regulatory issues related to EPA, OSHA, IRS, or other governmental agencies. There
are no unions represented at the Food outlet and there is no pending or anticipated litigation.

Startup Expenditures

Revenue Assumptions

Cost of Goods Sold

Operating Expense Assumptions

Balance Sheet Assumptions

Bank Loan Assumptions

Projected Balance Sheet

Projected Profit and Loss

Projected Cash Flow

Startup Expenditures

2024 2025 2026

Dine in-sales #1,000,000 #22,000,000 #45,000,000

Unit Sales #13,500 #16,000 #19,500

Unit Price #3,500 #3,500 #3,500

Gross Revenue $15,000 $22,000

Gross Margin
Gross Margin
(%)

Catering services #85,000,000 #158,007,000

Unit Customers #650,000 #1,285,000 #2,800,000

Charges Per #4,550 #8,650 #12,850

Customer

Gross Revenue

Gross Margin

Gross Margin
(%)

Online Food
Delivery

Ending Users

Starting Users

New Users

Lost Users

Setup Charges

Recurring
Charges

Gross Revenue
 Gross Margin

Gross Margin
(%)

2024

Summary

Total Revenue

Total Refund

Net Revenue

Total Cost of Sales

General Costs

Revenue Specific Costs

Personnel Costs (Direct Labor)

Gross Margin

Gross Margin (%)

Personnel Expenses

2024 2025 2026

Head Count 8 125 140

Average Salary 400,000 6,250,000 7,400,000

Revenue Per Employee 24,000,000 36,000,000 72,558,777

Net Income Per Employee

Kitchen Staff

Indirect Labour

Chef

Salaries & Wages

Eployee Related
Expenses(15%)

Sous Chef

2024

Summary

Total Personnel
Expenses

Direct Labor (COS)

Salary & Wages

Employee Related
Expenses

Indirect Labor

Salary & Wages

 Employee Related
Expenses

% of Revenue

Startup Expenditures

The following table highlights how the startup capital will be utilized:

Pre-Opening Cash Outlays

Buildout/Tenant Improvements

Tenant Improvements 500,000

Total Buildout/Tenant Improvements 500,000

Fixed Assets

Furniture, Fixtures, and Equipment 1,200,000

Total Fixed Assets 1,200,000

Inventory

Pre-Opening Cash Outlays

Food 200,000

Specialty Drinks 150,000

Total Inventory 15,000

Capitalized Start-Up Expenses (Pre-Opening)

Employee Expenses 120,000

Grand Opening 75,000

Labor Recruitment 50,000

 Legal Fees 50,000

License 80,500

Menus/Imprinted Materials 100,500

Miscellaneous 35,850

Other 15,500

Office Supplies 10,000

Pre-opening Advertising 35,000

Utilities 11,500

Rent 400,000

Supplies 20,000

Training Dry Run COGS 2,000

Training Materials 32,000

Uniforms 55,500

Working Capital 500,000

Total Capitalized Start-Up Expenses (Pre-Opening) 1,593,350

Total Start-Up Costs 2,793,350

Revenue Assumptions

The financial forecast assumes that SATE Foods will process an average of 250 customer transactions
per day, seven days a week. It further assumes that the average food purchase will be #6,500 and the
average beverage purchase will be #2,500. Lastly, prices are forecast to grow.

Cost of Goods Sold

The forecast assumes that food costs will run at 27% of the food sales price and beverage costs will
be 20% of beverage cost. A 1% factor has been forecast for comps and promotions. COGS are
forecast to increase by 3% per year.
Operating Expense Assumptions

The operating expenses that appear in the income statement forecast that follows are assumed to grow
by 3% per year with the exception of credit card fees which are based on gross revenue.

Balance Sheet Assumptions

It is assumed that there are no accounts receivable as products are paid for at the time of purchase.
Account payable are assumed to be paid for in the month in which they are incurred or in the month
following the month they are incurred depending upon timing and supplier.

Bank Loan Assumptions

A #3,000,000 Islamic bank loan is assumed to fully amortize over a period of 12 months without
interest, but a profit sharing.

Projected Balance Sheet

2024 2025 2026

Assets

Current Assets

Cash

Accounts Receivable

Inventory

Other Current Assets

Gross Long-Term Assets

Accumulated
Depreciation

2024 2025 2026

Liabilities & Equity

Liabilities

Current Liabilities

Account Payable

Income Tax Payable

Sales Tax Payable

Short Term Debt

Long Term Liabilities

Long Term Debt

Equity

Paid in capital

Common Stock

Preferred Stock
Owner’s Contribution

Retaining Earnings

Projected Profit and Loss

Catering Services

Unit Sales

Unit Price

Online Food Delivery

Users

Recurring Charges

Cost of Sales

General Cost

Kitchen Supplies

Fresh Produce

Meat Poultry
Beverages

Specialty Drinks

Revenue Specific Costs

Personal Costs (Direct Labor)

Gross Margin

Gross Margin (%)

Operating Expenses

Payroll Expense (Indirect labor)

Kitchen Staff

Chef

Sous Chef

Kitchen Helper

Service Staff

Waiter

Bartender

Administrative Staff

Manager

Accountant

General Expense

Utilities
Electricity

Water Supply

Gas Consumption

Maintenance & Repairs Costs

Kitchen Equipment

Building Repairs

Marketing & Advertising

Social Media Ads

Print Advertising

Promotional Events

Bad Debts

Amortization of Current Assets

Additional Expense

Long Term Depreciation

Gain or loss from sale of

Assets

EBIT

Interest Expense

EBT
Income Tax Expense/Benefit

Total Expense

Net Income

Net Income (%)

Retain Earning Opening

Owner’s Distribution

Retained Earnings Closing

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Salary & Wages

Interest

Sales Tax

Income Tax

Net Cash from Operations

Asset Sells
Asset Purchase

Net Cash from Investments

Amount Received

Loan Received

Common Stock

Preferred Stock

Owner’s Contribution

Amount Paid

Loan Capital

Dividends 7 Distributions

Net Cash from Financing

Summary

Starting Cash

Cash In

Cash Out