i have decided to open a new restaurant called

8/4/2019 I Have Decided to Open a New Restaurant Called

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I have decided to open a new restaurant called `PITA PAL` that will

serve fresh and healthy pita sandwiches. My aim is to make PITA PAL

the premier lunch destination in town serving locals and students.

I have identified three keys that will be instrumental in its success. The

first is the design and implementation of strict financial controls, whichwill be important, since the restaurant industry is quite competitive. The

second requirement is that it offers high-quality fresh and healthy food to

clearly stand out from the competition. The last key is the need to ensure

proper visibility. Pita Pal must have an effective, targeted marketing

campaign to support the opening of the store in order to ensure enough

business.

Pita Pal will offer the community an exciting menu of pita sandwiches,

salads, desserts and coffee beverages. Pita bread, Middle Eastern flat

bread, is used as a healthy, tasty foundation for a variety of sandwiches.

The customers will have the choice of Middle Eastern filling such as

Hummus and Tabouli or more traditional fillings.

Pita Pal will be managed by Steve Jones, a veteran of the restaurant

industry. Steve worked for his parents at their family's restaurant for

several years before moving on to work in one of Durban's finest

restaurants while in college. With the experience of Steve Jones I am

sure that the food sold by PITA PAL will be of high quality and will not

leave any customer dissatisfied.

It is Pita Pal's mission to offer the finest, healthiest and best tasting pitasandwiches town. Pita Pal will offer the finest customer service.


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Pita Pal will be owned in partnership between Steve Jones and me

(Ridhwaan Moosa). The reason I have chosen to go in partnership isbecause I have no experience in the food business and Steve Joneswas highly recommended by many people.I will be in charge of the financial and marketing part of the businesswhile Steve will take care of the quality of food that Pita Pal will sell. Hewill make sure that the food sold will be of utmost quality. We havedecided that Steve and I will each put 50% capital into the businessthereby the profits/losses will be shared equally. We will investapproximately R100 000 into Pita Pal.

We will share the decision making and will help each other when weneed to. Due to the fact that it is highly possible that we will not agree oneverything we have signed a deed of partnership so that we both areaware of the necessary procedures that will be in place in case ofdisagreement and what will happen if the partnership is dissolved.

AGREEMENT OF PARNERSHIP

This Partnership Agreement is made on 08/09/2011 between Ridhwaan Moosa and Steve Jones.

Name of Business

The parties hereby form a partnership under the name of Pita Pal.

Term

The partnership shall begin 20/09/2011 and shall continue until terminated.

Capital

The capital to the business shall be contributed equally,

Profit and Loss

The net profits/losses shall be shared equally by both partners.

Salaries and Withdrawals

Neither partner shall receive any salary for services rendered to the partnership. Each partner may, from time to time,withdraw the credit balance in their income account.

Decision Making

Both partners will have an equal responsibility in the decision making of the business. Should any conflict occur an arbitrator

shall be brought in to deal with the matter. Should any partner not be happy with the final decision, he has the right to take

the matter further i.e. to court.

SIGNED BY:

RIDHWAAN MOOSA STEVE JONES


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Pita Pal's business strategy will be to emphasize its healthy, customfood alternatives. Most of the competitors cannot compete with Pita Pal'shealthy menu. Most places use a lot of fried foods, compromising thenutritional value of their food. Additionally, no one offers the sameflexibility or ability to customize the product offerings. This competitiveedge will also be stressed in the marketing campaign.

Pita Pal has two competitive edges that will help it succeed in itsbusiness. The first edge is its healthy menu. Pita Pal takes pride in the

fact that the only thing fried on the menu is falafel. Everything else is oilfree, or at least free of any oils other than olive oil. In addition to theabsence of oil based fats, much of its offered ingredients are vegetables,ensuring a healthy meal.

The other competitive edge that Pita Pal will leverage is customization.Customers are offered a laundry list of ingredients that they get tochoose from. It is Pita Pal's goal to serve the customer in whatevercapacity is needed. This takes the form of its competitive edge where itwill build the patrons pita pocket any way that they want.

Pita Pal will employ a two pronged marketing strategy in an attempt toreach potential customers .To reach the students, Pita Pal must useresources that are successful in reaching the students. Recognizing thatthe students spend the majority of their time on campus, Pita Pal will relyon print advertisements and coupons within the student publications.The print advertisements will serve to draw notice to Pita Pal, increasingthe student's awareness about this new restaurant alternative. Pita Palwill emphasize its menu as a tasty, healthy alternative to the campus

meal plan as well as other local food vendors. Pita Pal will also usecoupons as a way drawing in students. Coupons are quite effective forstudents; most of them are on a fixed budget and jump at the chance tosave money by using a coupon.

Print advertising will be used for the locals; however, Pita Pal will choosea different media source to reach these people. The readership levels forthe daily paper, The Mercury, are 67% of the targeted population. Thiswill prove to be an effective method for reaching this group. Since the

majority of locals work in the Durban CBD, flyers will be passed aroundthe CBD area attracting attention to Pita Pal's opening.


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Pita Pal will emphasize its 100% customer satisfaction to win overcustomers. The fact that it advertises 100% satisfaction is far lesssignificant relative to its actions that ensure total satisfaction. This effortis based on the philosophy that it is far cheaper to maintain a currentcustomer than it is to attract a new customer. Additionally, it is far easierand cheaper to remedy any problems with a customer as it occursinstead of dealing with an unhappy customer. With this in mind, theorganization has the firm belief that if all customers leave the storehappy, there will be a significant increase in sales in the long term,directly correlated with the fact that customers are being properly taken

care of.

This sales philosophy is a way of treating customers. While the serviceoffered to customers is quite important, there is a need to have a qualityproduct, otherwise the service aspect is in vain in the long term becausethe customers are treated well but do not perceive value in the food thatthey are buying. That being said, Pita Pal must offer fresh, healthy,quality food in order to fully support its customer-centred service. Themenu has been devised in order to offer a wide selection with menu

items that are easy to prepare, remain fresh, and are cost effective toserve. Having both a quality product and excellent service will ensurerealization of the sales forecast.


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Pita Pal is a Durban based sandwich shop serving the lunch time houras well as early evening, weekdays from 10-6 pm. Pita bread is chosen

for several reasons: it is unusual, healthy, and quite versatile. Eachcustomer will have their choice of different fillings for the pitasandwiches. The range of options for fillings is: tofu pate, falafel,hummus, baba ganouj, tabouli, turkey, chicken, pesto, assortedvegetables and assorted cheeses. In addition to the pitas, there will beseveral different salads available, both green as well as pastas, assorteddeserts, espresso and coffee. All items will be strictly HALAAL.

Pita Pal will be based in the CBD of Durban. The reason I have chosenthis venue is that there is an on-going demand for healthier alternativesfor lunch in this area. My target market will be locals as well as studentsfrom UKZN, DUT, and Westville campus. More and more people arelooking for easy, healthier alternatives for lunch. Pita Pal will provideexactly that.

Not to leave any customer dissatisfied. To continually draw students off campus for lunch. To have a monthly questionnaire for customers asking them

about the quality of the food and the type of service they receive.

To become the premier sandwich shop in Durban.

To become profitable within two years

To open a franchise business all over South Africa.To come up with a

new sandwich every 6 months.sssssssssssssssssssssssss


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Steve Jones has tremendous experience and knowledge in thefood industry.

There is a high demand for healthy food outlets. Variety of sandwiches to choose from. Customers can have their sandwiches made exactly how they

desire to eat it.

An excellent sales strategy is implemented in the business. Pita Pals service style is new to the area Pita Pals restaurant will be clean and tidy Pita Pals offer foods that no other restaurant nearby offers.

Lack of capital. Many other different food outlets are situated in the same area. I have limited experience in the food industry. Strong possibility that disagreement may occur between Steve &

me.

To make Pita Pal a franchise and expand it all over South Africa. To become the premier sandwich shop in Durban. To develop different, unusual sandwiches. To expand the menu to different foods.


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Competition from local restaurantsA slump in the economy reducing customers income on eating

out.

More expensive than normal restaurants Possibility of other restaurants starting to offer the same foods as

Pita Pals.


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PRODUCTThe food Pita Pal will be selling is going to be new to the area. The

sandwiches sold will be of high quality and extremely healthy. Pita

Pal will offer customers a unique experience of being able to

choose exactly how they want their sandwiches made. This will

make customers excited as hardly any restaurant offer such.

PRICEUnfortunately the only disadvantage of Pita Pal is the pricing. The

pricing of sandwiches are slightly higher than other food outlets.

This is because of the different type of pitas used as well as the

wide variety of fillings in each sandwich. Although the pricing is a

bit high Pita Pals sandwiches are of high quality and are much

healthier and tastier than many of the competitors.

PLACEThe location of Pita Pal is in based in the CBD of Durban. This is

an ideal location as it is buzzing with people the entire day. It is in

such a place that it makes it easy for students from local

campuses and local businessmen to visit the shop.

PROMOTIONFlyers will be handed out to everyone in the CBD of Durban. Pita

Pal will also advertise in the local paper as research shows that a

high percentage of the target markets follow the local paper.

Coupons will be given to students as many of them are on a fixed

budget and are always looking at ways to save money. As the

business flourishes Pita Pal could even advertise though television

and billboards on famous highways.


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All advertisements that Pita Pal will have will striking to the eye

and will easily catch the attention of the target market.Advertisements will be colourful and attractive. The advertisements

will be designed in such a way that after catching the attention of

the target market it will keep them interested and will create a

desire within them to eat the product immediately. They will then

eagerly anticipate their lunch break and finally they will indulge in a

scrumptious and healthy meal at Pita Pals.

After people start tasting Pita Pals delicious sandwiches they willstar spreading the news of gastronomic experience that they felt at

Pita Pals. This will create hype in the food market as more and

more people will come to know of the exciting experience of

choosing how you want your sandwich made and people will flock

like sheep to Pita Pals.

Pita pals will also hold a free tasting day every month where

people will get to taste samples of the different items sold at PitaPals.


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As a start-up organization, Pita Pal will require a decent amount ofequipment to begin operations. The following is a somewhat completelist of the needed equipment:

Cash register; - R 5 000Computer system, Internet connection; - R 15 000

Convection oven; - R 7 000 Refrigeration unit; - R 8 000 Blender/food processor; - R 2 000

Assorted knives, cutting boards, serving dishes, silverware, foodcontainers; - R 10 000 Shelving units; - R 8 000 Tables, chairs, table clothes and other table accessories; - R7 000 Lighting units; - R 4 000 Espresso machine and coffee - R 5 000

TOTAL COSTING ON EQUIPMENT - R 71 000

Costing of ingredients to make sandwiches - R20 000

RENT - R 10 000STATIONERY - R 3 000TELEPHONE - R 1 000ELECTRICITY R 2 500

TRANSPORT COSTS R 4 500ADVERTISING - R 10 000SALARIES - R 5 000DCOR AND SIGNAGE R 6 500

TOTAL MONEY SPENT ON COSTING - R 133 500


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All the sandwiches, beverages, etc. will have different costs. Pita

Pal will have a 25% mark up from the costing of each sandwich.

The approximate price for the sandwiches will range between R35-

00 and R60-00.


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JUNE JULY AUGUST TOTAL

MONEY RECEIVED

SALES 80 000 100 000 140 000 320 000

CAPITAL 100 000 - - 100 000

TOTAL MONEY RECEIVED 180 000 100 000 140 000 420 000

MONEY PAID

ALL EQUIPMENT 71 000 - - 71 000

INGREDIENT

SANDWICHES

20 000 20 000 20 000 60 000

RENT 10 000 10 000 10 000 30 000

STATIONERY 3 000 3 000 3 000 9 000

TELEPHONE 1 000 1 000 1 000 3 000

ELECTRICITY 2 500 2 500 2 500 7 500

TRANSPORT COSTS 4 500 4 500 4 500 13 500

ADVERTISING 10 000 10 000 10 000 30 000

SALARIES 5 000 5 000 5 000 15 000

DCOR AND SIGNAGE 6 500 - - 6 500

TOTAL MONEY PAID 133 500 56 000 56 000 245 500

CASH SURPLUS 46 500 44 000 84 000 174 500


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INTRODUCTION - 1SERVICES - 2LOCATION - 2GOALS OF PITA PAL - 2OWNERSHIP OF BUSINESS - 3MARKETING STARTEGY - 4SALES SRTATEGY - 5MARKETING PLAN - 6MARKETING CAMPAIGN - 7

SWOT ANALYSIS - 8,9FINANCIAL PLAN: COSTING - 10FINANCIAL PLAN: S.PRICE - 11FINANCIAL PLAN: BUDGET - 12


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i have decided to open a new restaurant called

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