Budget
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Diamond Design has many establishment costs due to it being a new business. One of the main costs that the business will be confronted with is the building. We plan on purchasing our warehouse in Ballajura due to it been best suited for our business and have the facilities and space required outweighed the costs of renting. For the shop front and to have the best exposure we are plan on renting in the new Claremont Quarters.
The business has to purchase an extensive amount for the initial out lay. It can be broken up into different sections of the business. Not all purchases will be outlaid to start the business due to the costs and not having the financial stability yet.
The Kitchen costs will include; benches, Ovens, Fridge, freezer, Cool Room, kitchen utensils, mixer, commercial equipment and Storage For equipment.
Classes section of the business will need to purchase furniture including benches and chairs to begin with. With the benches they will have the ability to allow for expansion to have an oven and cook top per bench until such time there will be one oven and cook top for the room. There will also be a sink per bench and that will be installed before classes commence. There will be a set of kitchen utensils per bench along with a mixer. For the presenter of the class a projector, screen and laptop will be required to show recipes and designs.
The store and café has many initial costs due to it been a main part of our business that everybody can see. The business will need shelving to display products as a well as a glass front cabinet to have our cupcakes and cakes in. This will allow the business to show the customers what there is on offer and keep the food cold to meet health and food regulations. For the other shelving it will be used for displaying stock, for example ingredients, stands, utensils, moulds, sugar decorations, icing and cook books. These are just some examples in which will be for sale in the store. For the café the purchase of table and chairs, coffee machine, coffee beans and tea are needed to begin business. Front counter bench, computer, software for front of house and docket printer can be used conjointly for both the café and store to minimise costs. There will also be on display design books to allow customers to look at our range and help with there ordering process.
The office equipment includes desk, chair, office stationary and printer with the inclusion of a laptop in future. Until such time the laptop from the classes will be used until demand is high enough to need a second laptop. Accounting software will be have to be purchased, this should include a link between the front of house system to allow for maximum efficiency and no overlapping.
Due to Diamond Design having a commercial kitchen and selling food and beverages permits are required by law. This can be retained from the local government and will have to purchase two due to the business been in two different areas and the foods been produced in both areas. A permit will also be required for registration of business and also an ABN will need to be applied for.
Diamond Design also needs to include the promotional costs of the website, app software, the flyers and the cost to distribute the flyers.
This is an extensive list of costs to commence business and if there is insufficient funds to purchase all of the items that have been mentioned we are prepared to start on a smaller scale and look at alternatives until sufficient profit is made and revaluate to wether expanding the business is viable option.
The business will be employing two pastry chefs, one head pastry chef and the other and assistant pastry chef. They will be employed on a salary basis, on a trail period of three months, with a review and meeting of KPI’s at this point an increase may be offered. No other staff will be employed at this stage due to there being five business partners and we will be able to cover all areas of the business. This will be reviewed regularly, weekly in the beginning. Uniforms are to be purchased for both the chefs and the business partners. We believe this is a must and we want to show professionalism and a team/ family environment to our customers.
We will have continual ongoing costs contributing to the business. They will consist of electricity, water, repairs and maintenance and up keep of equipment, insurance, salaries, loan repayments, raw materials.
Our revenue will be derived from the café, classes, the store, cakes, cupcakes and our designer cakes. Our main projected revenue is to be derived from classes. We will be offering different types of classes to cater for all needs and wants. The class categories will consist of Kids, Adults, Advanced and group functions. As there is diversity it will cater for all target groups allowing for maximum revenue.
Our Cakes and Cupcakes have large target market and are not only limited to walk in customers but also through our app and website. As our business does cater for large orders for special occasions with our designer cakes for example weddings it allows for maximum exposure. Our store not only sells cupcakes and cakes but also accessories, moulds, decorations, equipment for cooking, ingredients and cooking books.
The Cafe will sell tea and coffee and our very own cakes and cupcakes. This will also be a take away option to maximise our cliental. We have many avenues of potential revenue. This allows the business to not solely rely on one area of income.
The business has to purchase an extensive amount for the initial out lay. It can be broken up into different sections of the business. Not all purchases will be outlaid to start the business due to the costs and not having the financial stability yet.
The Kitchen costs will include; benches, Ovens, Fridge, freezer, Cool Room, kitchen utensils, mixer, commercial equipment and Storage For equipment.
Classes section of the business will need to purchase furniture including benches and chairs to begin with. With the benches they will have the ability to allow for expansion to have an oven and cook top per bench until such time there will be one oven and cook top for the room. There will also be a sink per bench and that will be installed before classes commence. There will be a set of kitchen utensils per bench along with a mixer. For the presenter of the class a projector, screen and laptop will be required to show recipes and designs.
The store and café has many initial costs due to it been a main part of our business that everybody can see. The business will need shelving to display products as a well as a glass front cabinet to have our cupcakes and cakes in. This will allow the business to show the customers what there is on offer and keep the food cold to meet health and food regulations. For the other shelving it will be used for displaying stock, for example ingredients, stands, utensils, moulds, sugar decorations, icing and cook books. These are just some examples in which will be for sale in the store. For the café the purchase of table and chairs, coffee machine, coffee beans and tea are needed to begin business. Front counter bench, computer, software for front of house and docket printer can be used conjointly for both the café and store to minimise costs. There will also be on display design books to allow customers to look at our range and help with there ordering process.
The office equipment includes desk, chair, office stationary and printer with the inclusion of a laptop in future. Until such time the laptop from the classes will be used until demand is high enough to need a second laptop. Accounting software will be have to be purchased, this should include a link between the front of house system to allow for maximum efficiency and no overlapping.
Due to Diamond Design having a commercial kitchen and selling food and beverages permits are required by law. This can be retained from the local government and will have to purchase two due to the business been in two different areas and the foods been produced in both areas. A permit will also be required for registration of business and also an ABN will need to be applied for.
Diamond Design also needs to include the promotional costs of the website, app software, the flyers and the cost to distribute the flyers.
This is an extensive list of costs to commence business and if there is insufficient funds to purchase all of the items that have been mentioned we are prepared to start on a smaller scale and look at alternatives until sufficient profit is made and revaluate to wether expanding the business is viable option.
The business will be employing two pastry chefs, one head pastry chef and the other and assistant pastry chef. They will be employed on a salary basis, on a trail period of three months, with a review and meeting of KPI’s at this point an increase may be offered. No other staff will be employed at this stage due to there being five business partners and we will be able to cover all areas of the business. This will be reviewed regularly, weekly in the beginning. Uniforms are to be purchased for both the chefs and the business partners. We believe this is a must and we want to show professionalism and a team/ family environment to our customers.
We will have continual ongoing costs contributing to the business. They will consist of electricity, water, repairs and maintenance and up keep of equipment, insurance, salaries, loan repayments, raw materials.
Our revenue will be derived from the café, classes, the store, cakes, cupcakes and our designer cakes. Our main projected revenue is to be derived from classes. We will be offering different types of classes to cater for all needs and wants. The class categories will consist of Kids, Adults, Advanced and group functions. As there is diversity it will cater for all target groups allowing for maximum revenue.
Our Cakes and Cupcakes have large target market and are not only limited to walk in customers but also through our app and website. As our business does cater for large orders for special occasions with our designer cakes for example weddings it allows for maximum exposure. Our store not only sells cupcakes and cakes but also accessories, moulds, decorations, equipment for cooking, ingredients and cooking books.
The Cafe will sell tea and coffee and our very own cakes and cupcakes. This will also be a take away option to maximise our cliental. We have many avenues of potential revenue. This allows the business to not solely rely on one area of income.