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This report would cover the financial standing of the company, general information and projected earnings and spending in a twelve month period. The investors start-up capital would be ?60 000 which comes from their savings. 2. Product Description 2.1 Product Sandlicious would produce quality handmade sandwiches, which is mainly focused in this single product. The company wants to project an image that Sandlicious is a small local bakery that provides excellent service and quality food. It is a fast moving consumer food product. The ingredients of the product include meat, wheat and bread and can be considered as a substitute for lunch. It is very handy and can be quickly taken along by people who are on the go. The sandwich is fresh all the time and closing inventory would be kept low to minimize spoilage. The cost of producing each sandwich is estimated at ?3.05.Each sandwich would be sold at 5 GBP. 2.2 Location The bakery/shop will be located on Marylebone High Street in central London since this is a busy area. Many people live and work around this area; hence, the reason for choosing the location. Foot traffic is also high, which means a lot of people can easily drop by and buy a sandwich. Market research conducted revealed that there are very few bakeries around that area. Furthermore, Sandlicious is unique because the sandwich is handmade and has a competitive price. Since Sandlicious is not a franchise, it presents a more special type of sandwich that offers varieties and very-friendly service. The market would perceive the product as fresh at the same time affordable. It is expected that loyal customers would be acquired as the bakery provides consistent quality service. 2.3 Marketing and Promotion Sandlicious is aware of the importance marketing to gain customers which would result to profitability. In fact, Sandlicious would be raising the number of units produced monthly in the hope that more sales would be generated. The company’s marketing campaign would place emphasis on advertising beginning with a ?1000 budgets for the first two months. Distribution of flyers is part of the marketing budget. On the succeeding months, budget for advertising between ?150-300 would be spent to reinforce the product on the market. It is also expected that sales would increase through word of mouth as satisfied customers tell other people about our products. 3. Financing 3.1 Payment All the payments should be by cash or card at the time of purchase. The product can be bought at the store, and the company has not yet considered delivery service at this point. A variety of sandwiches would be offered to the market plus a special for the day. Sandlicious can also have a business to business partnership with other establishments but the main revenue would not be derived from such sales. The customers can choose from whatever is offered for a given day. 3.2 Costs The business operations of Sandlicious would involve several costs such as labor costs and overhead costs. It is imperative for Sandlicious to hire skilled workers who can prepare sandwiches. There would be a need for two workers who would work for eight hours a day, 20 days a month. The salary of a worker is ?7 per hour, which is above the minimum wage. In a month, the fixed costs for two workers would be ?2,240. To further minimize additional salary costs, the owners would act as cashier and supervisor. Instead of receiving a monthly salary, they would just get their share from the monthly profit. Aside ...Show more


Contents 2. Product Description 5 2.1 Product 5 2.2 Location 5 2.3 Marketing and Promotion 5 3. Financing 6 3.1 Payment 6 3.2 Costs 6 3.3 Additional Financing 6 4. Conclusion 7 5. Bibliography 8 The budget report for the company Sandlicious has been conducted by Oscar…
Author : deonte25
Sales Budjets
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