Prairie Fresh Eats Thomas Martin

Fresh healthy food, fast! Sit down, pick up, and catering services. 1400 sq ft restaurant in the Stonebridge area

Every menu item can be custom ordered

Target Customers People living in Stonebridge People working in Stonebridge People shopping in Stonebridge Anyone who wants fresh healthy food, fast!

Capital Budget Leasehold Improvements $ 70,000 Equipment $ 24,620 $ 70,000 Equipment $ 24,620 Working Capital $ 20,000 Total Capital Required $ 114,620

Promotion Website - $240 Social Media - $0 Print Material Sign 4’x8’ - $1100 Website - $240 Social Media - $0 Print Material Door Hangers - $135 Business Cards - $21 Flyers - $271 Total = $2000 Year 1

Competition in Stonebridge Area Prairie Fresh Eats Tim Horton's Booster Juice Rock Creek Healthy    Speed of Service Fast Slow Menu Variety

Owners Compensation Year 1 2 3 4 5 Owner Salary 50,000 51,000 52,020 53,060 54,122 Dividends - 31,878 108,508 119,873 132,630 Total 82,878 160,528 172,933 186,752

Sensitivity Analysis Customers Per Day Customers/day Avg 5 Year Profit Net Payback Year 5 Owner Comp 50 Bankrupt 60 $ 34,047 $ 1,136,881 $ 102,416 70 $ 61,059 $ 1,800,234 $ 130,528 80 $ 86,954 $ 2,458,005 $ 158,640 90 $ 112,850 $ 3,115,776 $ 186,782 100 $ 138,745 $ 3,773,547 $ 214,864 110 $ 164,641 $ 4,431,318 $ 242,975

Sensitivity Analysis Average Purchase Avg Purchase Avg 5 Year Profit Net Payback Year 5 Owner Comp $ 7 $ 13,037 $ 635,612 $ 58,114 $ 8 $ 34,047 $ 1,136,881 $ 102,416 $ 9 $ 54,355 $ 1,634,642 $ 123,500 $ 10 $ 74,007 $ 2,129,119 $ 144,584 $ 11 $ 93,428 $ 2,622,448 $ 165,668 $ 12 $ 112,850 $ 3,115,776 $ 186,782 $ 13 $ 132,272 $ 3,609,104 $ 207,836

Feasibility $

Who’s hungry?

Risk Factors Customers Day

Floor Plan 1400 square feet

*Photo taken from Colliers Brochure

*Photo taken from Colliers Brochure

Leasehold Improvements Source: Hoits Contracting $ 70,000.00 Source: Hoits Contracting Equipment Undercounter Refrigeration $ 1,180.00 Source: www.servu-online.com Undercounter Freezer $ 1,465.00 Commercial Walk-In Refrigerator $ 4,520.00 Gas Griddle $ 1,203.00 Commercial Blender $ 1,220.00 Point of Sale Terminal/Software x 2 $ 3,790.00 Source: www.staples.ca Commercial Dish Washer $ 3,764.00 Misc. Kitchen Items $ 5,000.00 Table Unit (6 Person) x 7 $ 566.93 Source: www.restaurantfurniture4less.com Chairs x 46 $ 1,911.00 Total Equipment $ 24,619.93 Working Capital $ 20,000.00 Total $ 114,619.93

Operating Expenses Cost Accounting and Legal 2,000 Advertising (Marketing) General Supplies 6,000 Insurance 2,500 Telephone 1,200 Utilities 17,500 Repair and Maintenance 5,000 Wages and Salaries 128,823 Employee Benefits (salaries) 4,095 Employee Benefits (wages) 11,004 Misc Variable Costs % Sales 1,944 Capital Cost Allowance 9,462 Debt Interest 3,500 Total Operating Expenses 195,028

Financial Budget Bank Debt = $ 60,000 Equity Investment = $ 55,000 Total = $ 115,000 Debt 52% Equity 48%

Average 5 Year Net Income Profitability Average 5 Year Net Income $ 112,850 NPV $ 586,572 IRR 192 %

Cash Conversion Cycle Average Days Inventories 4 Average Collection Period Average Days Payable 14 Cash Conversion Cycle -10

Average Business Day Open 11:00am – 8:00pm Manager Marketing/sales Inventories/orders Food spoilage HR Manage cash levels Supervisors Inventories/orders Scheduling Manage cash levels Part-time Employees Food prep Cashier Cleaning