The purpose of this business plan is for the provision of a roadmap of the future of the buns and teas industry in Ireland and specifically in the Dublin County. Here, all the goals, strategies and plans will be implemented when it comes to the actualization of the plan. Another aim for this business plan is to clarify and structure my ideas into a formal document which can assist the plan in the long run. Similarly, the need for the formalization of the business plan and mapping out of how the market will be a crucial element in the management of the business the implementation is started.

Sri Lankan banis

The need to start this kind of business named Buns and Teas which would be situated on Grafton Street, Dublin City Centre in Ireland was brought after a number of considerations were made in regards to the residents of this area.

Therefore the business plan is ideal for the buns and teas will have to be carefully constituted so that it is able to meet all its objectives in the proposed market. Thus bringing to the locals a new kind of a restaurant where the residents can not only come for the tastiest teas and buns but also to connect with friends and family in a homely kind of an environment.

Through this business plan, I would wish to achieve a number of issues in relating to the restaurant industry and how it would be able to help the locals. For instance, this plan is ideal for the investors and lenders to be able to understand the kind of market that they are getting themselves into. Indeed a well structured and fact based plan is in a better position to demonstrate to the bank and other investors that all the important considerations have been looked into adequately.

This plan will help me track all my progress in relation to the set goals and objectives which would prove vital in assessing my progress in the business. Similarly through the plan, I will be able to ensure that all the feasibility aspects of my business ideas are tested in the long run. It is through the feasibility study that will greatly examine whether my business plan for the Buns and Teas will really work. Indeed some other elements such as adjusting the structure and the finances needed for the business plan will be vital for the overall success of this business plan.

2.0 Target Market

Buns and Teas is a unique kind of restaurant which would target the general public. Thus our location is at Grafton Street which is ideal especially because of its central location to most of the business within Ireland. Similarly the fact that there are millions of tourist and shoppers who frequent the area makes it perfect for attracting a wide range of consumers. Through this factor we have decided to target the average person who mainly comes around these areas of Grafton Street, Dublin City Center.

The aspect of demographics is of importance since it allows for an analysis of the overall characteristics which identify the kind of target audience that one is in. This is important with the construction of the demographics profile structured for the needs of the different customer segment. In this case, Buns and Teas will be able to incorporate all the ages since it is a public restaurant which focuses on the general public.

Gender is also not a factor as neither of each gender is discriminated against. Location of the target audience will be majorly from Dublin and its environs although having tourist and shoppers who come from a far will be quite advantageous for the business. Thus the essence of the target market is expected to be quite wide and capable of meeting all their needs in relation to enjoyment, luxury and comfort.

The income level of the target market is based on average income of the customers. This does not mean that the services will be substandard or low, but rather will be a new and innovative way in which the needs of the consumers earning an average income will be met in a more professional and cheaper way. The social class and the occupation of the target market is also not a major factor. However, the market will majorly target the middle class. Education as a demographic aspect is also not of importance in this particular business plan.

The size of the target market is large and thus the essence of having measures that can adequately cater for the needs of the customers will be our top most priority. Through our previous done analysis, we have identified that this market is growing particularly on this part of Ireland. Our preliminary analysis showed that the hospitality industry still needs to be more streamlined other than the way it is now. Therefore we identified the major problems facing the hotels and restaurant and sought to solve it.

Some of the established business in Ireland have shown a positive response to the market and continued to thrive in all their operations. Through our entry in the market, we can be able to project that the market will continue to grow in a big way as the needs of the consumers are ever changing through our flexibility plans, we can be able to adapt to some of this changes and thereby stay relevant in the market.

The export potential of this market has been projected to be quite high especially when it comes to the restaurant business. Here, Irish has offered in the past a new and secret ingredient towards their tourism and exportation of food. For instance, the varieties of the diverse groups of restaurants available in Irish have been profit making and excellent in taking care of the needs of their consumers.

Thus the Irish premium food and the general hospitality are full of potential within and outside of Ireland. This aspect has been facilitated by the projections made that show the amount of exports in terms of Irish foods and drinks to the Middle East would double within a few years to come. According to Kusluvan, Kusluvan, Ilhan & Buyruk (2010) this was reached following an analysis of the potential of the new customers, various farms, as well as factories that network with the local business in Ireland and especially in Dublin.

In Dublin City Center, there are a number of businesses and enterprises which we believe are our main competitors. Some of this companies and restaurants have been in the business for long and include Zen Hotel which is located at 89 Upper Rathmines Road in Dublin.

This exotic hotel specializes with authentic Sichuan food in a unique way based on the fact that it has been in the hospitality industry for the last 20 years. Another competitor would be Diep le Shaker which is located at the City Center South of the Dublin. This restaurant has been designed stunningly and has been able to enjoy several years of international acclaim for business and meeting gatherings.

The Buns and Tea Business will seek to counteract this position and offer stiff competition especially internationally and among the residents and shoppers of Dublin. Another competitor is the Terrace Restaurant which is located at the National Concert Hall, Earl soft Terrace, and City Center South in Dublin. This hotel has been praised for its luxurious surrounding and relaxed atmosphere it gives to the customers among other benefits. The Buns and Tea Restaurant will factor in all this unique characteristics of our competitors to ensure our presence is felt.

Understanding our competitors has given us a chance to be able to strategize on the ways and means in which we can be able to counterattack them and stay relevant in the market. One of the most important aspects will be to offer competitive prices which can sway the customer to come and taste our services and goods.

The second aspect would be to improve our services to be quite professional especially when it comes to dealing with customers. According to Nolan et al (2010) customers’ service can come in offering some extra service to the customers from proper communication to follow up calls to assess the quality of goods and services offered. Other aspects that can help in better training and offering competition include, selection of an ideal brand, strategizing our business at an ideal location, employing our experience and knowledge in the hospitality industry among others.

We had to carry out an extensive research so as to establish our market through following a line of investigation. This was carried out through using various methods and approaches that can help in staying relevant in the market.

Some of this includes consumer marketing research through both qualitative and quantitative marketing research. Through identifying the different marketing research types, we can comfortably use the advertising research, concept testing and customer satisfaction research (Mooi & Sarstedt, 2011).

Thus we have found out that through the market research, we have been able to adequately identify the target markets as well as significant in the identification of the strategies to be used. Similarly, the market research has prepared the marketing plans thereby giving us the chance to make the decisions on how to identify the most effective marketing activities.

Majorly, our marketing plan has also included the needs of outsiders of the Buns and Tea business to understand some of the areas of concern that affect our business. In this regard, confidence will be built as well as providing a fundamental arena for our marketing proposal.

In the course of the preparation of this business plan, we have been able to identify a number of major changes which are ongoing in the field of hospitality more so in Ireland. Some of these aspects have been seen as potential trends, dilemmas and drivers which have been projected to affect the business industry in Ireland. In terms of the demographics of Ireland, it has been stated that by 2022 the country’s population will hit 5 million of which approximately 2 million will live in the greater part of Dublin area.

Socially also, the influx of increased education levels among the residents are likely to affect gender roles and even greater demands for their participation of the social needs. Environmental wise, the needs to have companies and organizations to deal with safer and cleaner sources of energy is ever growing based on some of the environmental degradation issues that have occurred in the world over time. Buns and Teas Restaurant will carefully evaluate all this factors so as to satisfy not only the market but also the society, state its obligations to environmental responsibility.

3.0 New Product, Sale and Its Distribution

Buns and Teas Restaurant is a new innovative and the best places where people can meet connect and share their needs with other people. The fact that we are based in Dublin, Ireland gives us a better chance to explore the market to our greatest potential. Our services are our top most priority that has not been offered before in Dublin. We bring a revolution into the hospitality industry. Here, we have a menu which has been carefully customized to fit the needs of the consumers. For instance, the customers have the chance of self serving them the quantity of food that they wish to serve.

Similarly, we shall adhere to all their tastes and likes based on a simple press tab button on the tables of each part of the restaurant. Unlike our competitors, we shall have a suggestion box in which our customers will be able to give use their views of the kinds of services that we offer. All the suggested elements will be catered for by our experienced experts in customer care services and will be discussed to ensure their implementation of the customers’ satisfaction.

Branding is a unique aspect which when incorporated by other methods such as design and packaging can result to the overall acceptance of the product to the public. Unlike what many business corporate think branding is the domain of the advertising industry our company the Buns and Teas will dispute this argument by ensuring that our innovation in products and services are professionally done. Similarly, our product life cycle of all our products will be well analyzed to ensure that they have a longer shelf life and achieve customer satisfaction.

Our projected sales will be at 1,305,000 for the first one year and approximately 1,374, 564 and 1, 522, 868 for the second and third year respectively. This will be after all the considerations have been factored in the sales projections for the business set up in Dublin.

Our market share is also expected in Dublin to be approximately 40% of the total market. This is drawn from the overall calculation of our major competitors in the hospitality industry. Indeed over time we expect our market share to increase substantially over a 5 year time period.

Our pricing details have been kept similar to our competitors but lower so as to increase the attractiveness of the goods and service. In this case, we shall be able to structure our prices as in the following. Teas and Buns accompanied by a full course meal for two at 20 Euros. This less by 5 Euros as compared to our competitors such as Mark and Spencer Restaurant.

The sale of our products and services will revolve around the use of online means that will allow our customers to make reservations for certain drinks and foods. This will give us an upper hand against our competitors.

This business plan was able to come up with the best promotional and advertising strategizes so as to capture the market in a big way. For instance we shall embrace the use of the push and pull factors that will allow customers to embrace our products and services in an easy manner.

Similarly, the marketing mix will come in handy in ensuring the Buns and Teas excels in the industry. We shall put strategies such as persuading the consumers on why they should select our products based on real facts of our business. Customers also have a chance to win goodies and rewards by being part of us.

Earl Grey Hot Cross Buns

4.0 Keyperson Details

Our names will be Buns and Teas Restaurant situated on Grafton Street, Dublin City Centre. Our telephone numbers are +353 1 777379 Fax +353 1 629628. Our efefcinet staff will always be on the line day and night to cater for all your needs.

5.0 Management

The management of Buns and Teas Restaurant will be structured as follows. Sara and Mohamed are the owners as well as the managers which have a large experience in matters of the hotels and related industries. However an extra outsourced manager will also be included in the duties to be performed in the organization.

In terms of management, it is critical to ensure that the best management practices mark the point between making profits and the enterprise collapsing. According to Mooi & Sarstedt (2011) the levels can either be internal best management practices or external management practices. However, there are five distinct areas which are fundamental that should be focussed. This includes communication, leading by example, setting and demanding realistic and attainable goals, using an ideal management method of administration as well as strategic planning (Mooi & Sarstedt, 2011).

Roles and Responsibilities of the General Manger

Their roles will be to manage Buns and Teas Restaurant according to the set standards set out by owners.
Ensuring that good relations within the police and other authorities.

Ensure that all operations are in accordance with the safety conducts that relate to health and hygiene.

Staff Management

Interviewing and recruiting staff

Designing the personnel policy

Overall management of the staff training

Management of the overall work schedules for all staff.

Operations management

Ensuring customer service policy is adhered to.
Guarantee customers satisfaction in terms of service provision.

Maintain excellent operational standards through the restaurant.

Cleanliness is maintained in both the exterior and interior parts of the restaurant.

Serving Waiters

Performing all the duties to ensure that the restaurant is opened on time.
Serving food and beverages to customers while ensuring that correct food is served according to the right specifications.

Ensuring high standards of cleanliness in the restaurant throughout.

Chef

Ensure operational efficiency possible in the kitchen.
Ensure that customers are able to get excellent food and beverages services.

Various skills will have to be bought in so as to facilitate the existing skills available in the restaurants. For instance, we shall have a chef from the United Kingdom who has a great experience in the bakery and pastry area. This is to ensure that our products which are tea and buns can be professionally prepared for the best customer satisfaction.

6.0 Business Details

The business name of the restaurant will be “buns and teas”. The name is the best as it explains to the customers in brief about the products that the restaurant deals in, and creates an interest in them to find out more. Teas and buns will use the same number for fax and telephone which is +353 123 849, to communicate with customers, suppliers, employees among other parties that will be interested in communicating with the restaurant. All mail sent to the restaurant will be received through the address (100) 48795, Grafton Street, Dublin city centre, Ireland.

Buns and teas is a partnership between Sara and Mohammed. Mohammed is the major financier in the business, while Sara is an expert in the hospitality field. Ms Sara Bouguerra in newly graduated from hospitality and business management and has 3 years experience whereas Mr Mohamed Al Mazrouie has 7 years experience in the business field of entertainment and food and beverage.

With their combination of skills and experience in the business field, and with the help of experts such as the accountant and the legal advisor, the business should pick up within the first year. In the second and third years, it is projected that profits will be realised in greater amounts as more clients will have known the restaurant and got used to their quality services. The partnership between Sara and Mohammed, considers equal sharing of profits and losses and equal sharing of responsibilities in the running of the business.

The restaurant is set to begin on 1^st September 2014 after all concepts such as acquisition of machinery and equipment, workers, licences among others have been put in place. September is also an ideal month to start the business as it is considered a peak season for tourists in Dublin city. It is also considered an ideal time as there are also many shoppers visiting Dublin city around this time apart from the tourists. As more people will be visiting the restaurant, this will serve as a great strategy to market the business in its early stages to as many people as possible.

Hilger and Gole (2013) argued that the success of any business is determined by the quality of experts involved. According to them, legal advice is crucial to the success of a business as it helps the business in avoiding illegal activities that could see the business collapse. They also considered the importance of a competent accountant to oversee all financial matters of a business. A competent accountant is very crucial as any business revolves around finance, and any mistake in financial matters may lead to the collapse of a business.

In this view, Karl Stephenson has been selected as the legal advisor of Teas and Buns. Karl is well educated and experienced. He holds a masters degree in law and has worked as a legal advisor in world class hotels for more than 8 years. Karl will be responsible for handling all legal matters in teas and buns. Such matters include licence acquisition, brand name protection, advising the owners on legal matters arising in the hotel industry among others.

John Peter will be the accountant for teas and buns restaurant. Being a certified public accountant with a masters degree in business administration and 12 years of experience as an accountant in the hotel industry, John will be responsible for all financial matters of buns and teas restaurant. He will be responsible for maintaining all accounting books of records that are used in determining how the business is doing. The records are also used by financial institutions to determine whether the business is capable of repaying a loan.

The government will also use these records to determine the amount of taxes that teas and buns should remit at the end of every trading period. Apart from keeping books of accounts, Peter is also responsible for giving financial advice to teas and buns. He will advise the restaurant on matters pertaining efficiency in the use of funds, sources of funds and financial matters pertaining to the human resource among others. Teas and buns will remit the taxes through the VAT registration number AWD875462T to the government.

7. 0 Profit and Cashflow Forecasts

According to Pilson (2008), a business plan is not important without the forecasts for the business cash flows. He argued that the cash flow help a person starting a business to view the business performance in a more realistic manner. He considered the most important projections to be the sales forecast, sources of funding, the balance sheet and the profit and loss account.

7.1 Start-up Expenses

	Euros	Units	Total amount
Construction of doors, windows, walls and windows
Semi hard wood oak	26.5	75	1987.5
Internal fire doors	220.00	11	2420
Main door front	2800	1	2800
windows	850.00	6	5100
Toilets and fittings
Floor tiles	16.25	34	552.5
Wall tiles	44.05	120	5286
toilets	510.00	17	8670
Sinks	300.44	16	4807.04
Urinals	125.00	8	1000
Hand dryers	420.22	6	2521.32
Seating and tables
Seats	8.5	300	2550
Tables	12.3	75	922.5
Other equipment
Freezers	822.00	5	4110
Ice machine	2500	1	2500
Kitchen and Equipment
Salamander	250	1	250
Electric baking oven	500	1	500
Display cabinet	500	1	500
12l water boiler	300	1	300
Stainless steel racks	200	6	1200
Flat top	240	1	240
General expenses	10000		10000
Total			55,666.86

The above table represents the start up costs that Teas and Buns is bound to incur before the restaurant can start operating.

7.2 Cost of Sales Projections, Expenses in General

Cost of sales projections for the Next Three Years, Expenses in General-

Annual sales projections 2014 2015 2016

Sales (Euros) (Euros) (Euros)

Revenue from buns and teas 1,305,000 1,356,564 1,496,868

Additional revenues 0 18,000 56,000

Total sales revenues 1,305,000 1,374,564 1,552,868

Controllable costs

Cost of sales 421,838 438,500 450,237

Payroll 250, 535 255,400 275,000

Total prime cost 672,373 693,900 725,237

Controllable profits 632,627 680,664 827,631

7.3 Proposed Funding

Sources and use of funds

Sources of funds	(Euros)
Owners and other investments	793,460
Bank loan	100,000
Total amount of funds	893,460
Use of funds		(Euros)
Purchase of premises		220,000
Machinery		50,000
Office equipment		100,000
Administration expenses		15,000
Opening inventory		55,000
Purchase and lease of motor vehicles		300,000
Promotional expenses		4,800
Working capital		146,860
Other expenses		1,800
Total use of funds		893,460

7.4 Balance Sheet

Assets year 1 year 2 year 3

Current assets

Cash 120,000 125,000 180,000

Bank 210,000 255,000 305,000

Account receivables 15,590 10,400 12,600

Total current assets 345,590 390,400 497,600

Fixed assets

Premises 220,000 215,000 210,000

Motor vehicles 300,000 290,000 350,000

Machinery 50,000 60,000 85,000

Office equipment 100,000 120,000 130,000

Total fixed assets 620000 690000 817,000

Total assets 965,590 1080400 1310600

Liabilities and capital

Current liabilities

Accounts payables 43,800 58,200 62,200

Other current liabilities 28,330 32,800 45,300

Total current liabilities 72,130 91,000 107,500

Long-term liabilities

Bank loan 100,000 82,600 28,900

Total Liabilities 172,130 173,600

Invested capital 1,073,460 1,186,800 1,458,200

Total liabilities+ capital 1,245,590 1,360,400 1,594,600

7.5 Profit and Loss Account

Sales 1,305,000 1,356,564 1,496,868

Cost of goods sold 421,838 438,500 450,237

Gross profit 883,162 918,064 1,046,631

Expenses

Wages and salaries 244,000 252,060 265,000

Insurance 22,300 23,350 24,000

Electricity and water 2,080 2,100 2,500

Permits and licences 3,300 3,300 3,500

Credit card fees 800 950 1,020

Payroll taxes 11,200 13,500 14,080

Miscellaneous 3,000 2,200 3,500

Total expenses 286,680 297,460 313,600

Net profit 596,482 620,604 733,031

8.0 Other Information Required:

Teas and buns will be located in Dublin City centre, Ireland, along Grafton Street. This site has been considered the best given that tourists visit the area quite often. Other several shoppers also visit the area since it has many other businesses that attract shoppers. All these visitors would be interested in the unique services of teas and buns making the perfect market and ideal location.

Teas and buns will have a sitting capacity of 300 clients. The sitting capacity was found suitable since during the peak tourist season the restaurant is expected to be full almost all the time. The sitting capacity could have been made bigger but with the consideration of the low season, an average of 300 was found most suitable as it ensured efficiency since there was no much idle space in low seasons.

After careful considerations on whether to lease, rent or purchase the premises it was found that purchasing was the best option. As the restaurant is meant to operate for a long period, renting or leasing is a very expensive process, which could lower the amount of profits expected. The cost of the premises was found to be 500,000 Euros, which is so cheap compared to other types of acquiring the premises. Other fixed assets that are to be acquired include refrigerators, deep freezers, cookers, blenders, tables, ovens, chairs, computers and vehicles.

All these assets are to be purchased since it is cheaper and more convenient. For the vehicles, only one van is to be purchased for the purpose of supplies. However, the restaurant is to lease two more vans for transporting especially tourists to and from the restaurant. This will be an advantage to the restaurant as it will be a way of inviting more clients to the restaurant through the after sale services given. This will help the restaurant make more profits given these unique and comfortable services.

9.0 Bank Considerations

9.1 Financial Information-

PERSONAL FINANCIAL STATEMENT FOR SARA AND MOHAMMED

Assets	Amount in Euros
Cash- checking accounts	10,000
Cash- savings accounts	26,000
Securities	3,500
Personal property	30,000
Real estate (market value)	480,000
Total Assets	549,500
Liabilities
Current debt( credit cards, accounts)	1,875
Notes payable	2,200
Taxes payable	6,200
Real estate mortgages	45,000
Total liabilities	55,275
Net worth	494,225

According to Hull (2012), “Internal credit ratings: most banks have procedures for rating the creditworthiness of their corporate and retail clients. The internal ratings based (IRB) approach in Basel II allows bank to use their internal ratings in determining the probability of default, PD.

Under the advanced IRB approach, they are also allowed to estimate the loss given default.” Financial institutions seek to find out details that enable them determine the credit worthiness of a client and estimate the extent of loss they are likely to incur in case a default arises. Part of the funds meant to start this restaurant is to be got from the bank as a loan of 100,000 Euros. The amount got as a loan is meant to facilitate the purchase of kitchen equipment and the leasing of the vehicles that are meant to ferry clients as a means of promoting the restaurant.

According to hull (2012), before a bank can extend credit to any of its clients, several factors have must be considered to lower the risk of bad debts. Such factors include experience and abilities of the borrower, collateral, business record of accomplishment and type of business among others. The following factors are analysed to support the fact that Teas and buns is in a position to repay the loan that is to be borrowed of 100,000 Euros.

The managerial team comprises of Sara, Mohammed and one outsourced manager. Sara is well educated and experienced in the hospitality industry with a degree in hospitality and 3 years of experience in the same industry. Sara has worked in the food and beverage sector for quite a while gaining adequate experience on how to handle foods and the minimization of losses in the sector. Sara also understands clearly how to acquire and maintain customers in the industry to ensure maximum profits.

On the other hand, Mohammed is a successful businessperson who runs several businesses. He has been in business for a period of over 7 years and he has acquired several degrees in his successful journey. He is well skilled in the running of business in all aspects including management of funds, acquisition and maintenance of customers, handling of employees, and compliance with government requirements among others. Having handled funds before in the existing businesses, the couple is in a position to repay the loan as they have adequate skill and expertise in handling financial matters.

Teas and burns restaurant is located along a street frequented by shoppers. It also offers unique products that cannot be found anywhere else in Ireland. This means that there is no competition for this restaurant and therefore customers will never go dry even during the low seasons.

The constant presence of customers ensures constant cash flows that will enable the business meet its regular expenses such as paying the suppliers, employees and the bank loan acquired among other expenses. Lack of competition also provides a good atmosphere for the business to thrive and eventually grow. This should act as a motivator to the financial institution to grant a loan to teas and buns restaurant as it exhibits signs of becoming a great client in the future.

Sara and Mohammed have also invested in other areas such as the gaming centre owned by Mohammed and the hotel industry among others at the UAE. All these businesses are stable and very profitable. In fact, the better part of the capital used to start teas and buns restaurant will be got from these businesses as part of their profits.

This means that the owners of the business are stable and therefore, they will not rely on teas and buns restaurant as their sole source of money. This should encourage the financial institution to give them a loan because even if the restaurant fails to repay the loan, the couple can use one of their many sources to clear the same.

Teas and buns restaurant is categorized in the hospitality industry. It deals with highly perishable goods, which requires extra caution. This is because foods are very sensitive and any form of contamination can lead to illnesses that can ruin the image of the restaurant. Extra care also has to be taken on the amounts of foods prepared as any that is spoilt can lead to many losses to the owners.

Teas and buns will concentrate in sweet buns and teas from across the world that have some degree of uniqueness. Due to the uniqueness of this business, the demand of these products may shoot within a very short time. Through Sara’s experience, demand will be taken care of to ensure adequate amounts such that customers will not lack their orders nor will any product be wasted.

Although Teas and buns restaurant is a new business with which the couple does not have previous experience, they have plenty of experience in the running of businesses in other fields. Through Sara’s experience in the food and beverage sector for several years, she has understood how to handle different types of foods, how to handle customers in the sector, how to attract customers and maintain them, how to handle employees and how to handle suppliers among others.

Mohammed on the other hand is very knowledgeable with several degrees and a lot of experience in the business field. With this combination, it is very clear that teas and buns restaurant is likely to grow and expand in other parts of the world. Mohammed’s business record of accomplishment is good with a very successful gaming centre among other businesses.

Another aspect that the financial institution considers is the amount of loan requested. The couple is set to contribute 1,073,460 Euros and get a loan of 100,000 Euros from the bank. This shows that the amount requested is not so much in comparison to what the couple can raise and therefore it can never be a burden during repayment. This should act as a motivator to the bank since it shows their money is not at risk of not being repaid, as the client is financially stable.

Moreover, the couple has achieved a successful business record of accomplishment, which should encourage the bank the bank to extend the requested credit to the couple. Mohammed has been successful in the gaming centre business, which most people have been unable to handle over the years as their businesses end up collapsing. This shows his diligence in running businesses as he ensures careful and close monitoring of his businesses to gain their success. With these excellent records, the financial institution is in a position to trust the couple with their money.

Finally, Abrams (2003) notes that a good business plan acts as a very important tool in the acquisition of funds to start or run a business. The reason behind this argument is that a business plan summarizes all the factors that a financial institution needs to determine whether the business to be funded can actually repay a loan if it is extended to it. This is determined through the stability of the business in question through such factors as the business continuity, the skills and abilities of the management and the staff at large and alternative sources of funds among others.

In this case, given that, the business to be funded is new, it lacks competition, it is attractive and unique, and therefore it stands a better chance of performing excellently and giving quick and high returns. Moreover, the owners of the business have adequate knowledge, skills and ability to run such a business efficiently through keen management of funds.

In addition, the clients are financially stable as they operate other businesses that are very profitable such that in case the restaurant cannot repay the loan, income from these other businesses will be used to clear the same. This shows that the business and the client are in a position to repay the loan if the financial institution extends it to them.

References

Abrams, R. (2003). The successful business plan : secrets & strategies. Palto Alto, Calif: Planning Shop

Hilger, P. & Gole, W. (2013). Due diligence an m & a value creation approach. Hoboken, N.J: Wiley

Hull, J. (2012). Risk management and financial institutions. Hoboken, N.J: John Wiley & Sons.

Kusluvan, S., Kusluvan, Z., Ilhan, I., & Buyruk, L. (2010). The human dimension a review of human resources management issues in the tourism and hospitality industry. Cornell Hospitality Quarterly, 51(2), 171-214.

Mooi, E., & Sarstedt, M. (2011). A concise guide to market research: The process, data, and methods using IBM SPSS statistics. Springer.

Nolan, C., Conway, E., Farrell, T., & Monks, K. (2010). Competency needs in Irish hotels: employer and graduate perspectives. Journal of European Industrial Training, 34(5), 432-454.

Pinson, L. (2008). Anatomy of a business plan : the step-by-step guide to building your business and securing your company’s future. Tustin, CA: Out of Your Mind … and into the Marketplace.

History Essays Help

The buns and teas industry

1.0 Objectives: