Business-Plan - Jeramae Suson Final

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Republic of the Philippines

Department of Education
REGION V
SCHOOLS DIVISION OF MASBATE PROVINCE
DIMASALANG DISTRICT
DIMASALANG NATIONAL HIGH SCHOOL
Poblacion, Dimasalang, Masbate

BUSINESS PLAN

MAE'S COFFEE SHOP

In Compliance to Entrepreneurship 12

Jeramae A. Suson
Grade-12 Hermes

January 2024

1
Table of Contents
page
List of Tables ...................................
List of Figures...................................
List of Appendices ...............................
Introduction
Proposed name of the business..................
Address of the business........................
Name of the owner or owners....................
Description of the business....................
Location of the business ......................
Funding requirements and sources...............
Executive Summary
Vision, mission, goals and objectives of the
business ...................................
Business model.................................
Business and product positions.................
Wealth improvement approaches .................
Parties supporting the business................
Environmental Analysis
Global analysis ...............................
Social analysis ...............................
Political forces ..............................
Economic forces ...............................
Socioeconomic forces ..........................
Technological dances ..........................
Ecological forces .............................
Legal forces ..................................
Industry analysis .............................
Customers .....................................
Competitors ...................................
Creditors......................................
Suppliers .....................................
Government ....................................
Shareholders ..................................
Employees .....................................
Trade associations ............................
Market forecast ...............................
Market share ..................................
Market position ...............................
Marketing strategy.............................
Business Description
Nature of the organization ....................
Product or service that it plans to
produce or serve ..............................
Various plant and office equipment.............
Size of the proposed business .................
Future parties with whom contracts
may be necessary ..............................

2
Personnel requirements ........................
Administrative operation ......................

Organizational Plan
Form of business organization .................
Liability of the owner or owners ..............
Organizational structure ......................
Roles and responsibilities ....................
Salary requirements ...........................
Production Plan
Production schedule............................
Production process ............................
Processing plant and equipment ................
Sources of materials ..........................
Production cost ...............................
Operation Plan
Evaluation of supplier ........................
Materials requisition and
receiving procedures ..........................
Storage and inventory control system...........
Shipment system and control ...................
Functions of support services..................
Marketing Plan
Product .......................................
Place ..........................................
Price .........................................
Promotion......................................
People ........................................
Packaging......................................
Positioning ...................................
Financial Plan
Major assumptions .............................
Projected statement of comprehensive income....
Projected statement of cash flows .............
Projected statement of changes in equity ......
Projected statement of financial position......
Financial statement analysis ..................
Appendix.......................................

3
Introduction

PROPOSE NAME OF THE BUSINESS


-Mae's coffee shop

ADDRESS OF THE BUSINESS


-Poblacion, Dimasalang,Masbate

Name of the owner or owners


Jeramae A.Suson

Description of the business


-the Mae's coffee shop will provide a first class
delivery service of quality hot and cold beverage related
supplies, including whole bean or ground coffee flavor
syrups,jet teas concentrated milk fresh baked goods and
assorted paper our services will include invaluable trade
resources effective promotion programs customs designed
marketing materials informative monthly newsletters
training and product demonstration as well as internation
on the latest market trends in the coffee specially
beverage industry.

Location of the business


-Poblacion Dimasalang Masbate

Funding requirements and sources


200k,by loan from the bank

Executive Summary

MISSION
-our mission is to create a haven for coffee lovers
offering a wide range or premium coffee blend expertly
crafted beverage and Delectable treats we strive to
provide a memorable coffee experience that delights the
senses and forters a sense and fosters a sense of
belonging within our community.

VISION
-mae's coffee shop is a cozy and welcoming cafe dedicated
to providing exceptional coffee and a warm atmosphere for
coffee enthusiasts and community members alike our vision
is to become the go to destination for coffee lovers

4
where they can indulge in delicious beverage connect with
others and experience the joy of a perfect cup of coffee.

GOALS
1.Serve outstanding coffee:
-we are passionate about coffee and are committed to
serving only the highest quality Beans we will partner
will reputable coffee suppliers ensuring that every cups
is brewed to perfection show casing the unique flavor and
aromas of each blend.
2.Create a welcoming environment:
-at Mae's coffee shop we believe they a great coffee
experience goes beyond the beverage itself we will create
a warm and inviting atmosphere wh
3.Foster community Engagement:
-we aim to become a hub for the local community providing
a space where people can come together connect and build
relationships we will hast community events support local
artists and collaborate with neighboring business to
create a vibrant and inclusive environment
4.Embrace sustainability:
-we are committed to minimizing our environmental
footprint and promoting sustainable practice we will
source ethically and locally produced ingredients
implement eco friendly packaging and priorities waste
reduction and recycling initiatives.
5.Expand and Innovate:
-as we establish ourselves in the local market we plan to
our offerings and explore new avenues for growth this
includes introduction specially coffee workshop expanding
our menu to cater to diverse taste and potential openings
additional locations in the future.

BUSINESS MODEL

1.VALUE PROPOSITION:
*Mae's coffee shop offers high quality coffee and cozy
ambiance providing customer with a welcoming and
compostable space to enjoy premium coffee and parties.
*Emphasis on excellent customer service personalized
experience and a commitment to sourcing quality Beans.
• BUSINESS PLAN

• MAE'S COFFEE SHOP

• In Compliance to Entrepreneurship 12

5
• Jeramae A. Suson

• Grade-12 Hermes

Table of Contents

List of Tables ...................................

List of Figures...................................

List of Appendices ...............................

Introduction

Proposed name of the business..................

Address of the business........................

Name of the owner or owners....................

Description of the business....................

Location of the business ......................

Funding requirements and sources...............

Executive Summary

Vision, mission, goals and objectives of the

business ...................................

Business model.................................

Business and product positions.................

Wealth improvement approaches .................

Parties supporting the business................

Environmental Analysis

Global analysis ...............................

Social analysis ...............................

Political forces ..............................

6
Economic forces ...............................

Socioeconomic forces ..........................

Technological dances ..........................

Ecological forces .............................

Legal forces ..................................

Industry analysis .............................

Customers .....................................

Competitors ...................................

Creditors......................................

Suppliers .....................................

Government ....................................

Shareholders ..................................

Employees .....................................

Trade associations ............................

Market forecast ...............................

Market share ..................................

Market position ...............................

Marketing strategy.............................

Business Description

Nature of the organization ....................

Product or service that it plans to

produce or serve ..............................

Various plant and office equipment.............

Size of the proposed business .................

Future parties with whom contracts

may be necessary ..............................

7
Personnel requirements ........................

Administrative operation ......................

Organizational Plan

Form of business organization .................

Liability of the owner or owners ..............

Organizational structure ......................

Roles and responsibilities ....................

Salary requirements ...........................

Production Plan

Production schedule............................

Production process ............................

Processing plant and equipment ................

Sources of materials ..........................

Production cost ...............................

Operation Plan

Evaluation of supplier ........................

Materials requisition and

receiving procedures ..........................

Storage and inventory control system...........

Shipment system and control ...................

Functions of support services..................

Marketing Plan

Product .......................................

Place .........................................

Price .........................................

8
Promotion......................................

People ........................................

Packaging......................................

Positioning ...................................

Financial Plan

Major assumptions .............................

Projected statement of comprehensive income....

Projected statement of cash flows .............

Projected statement of changes in equity ......

Projected statement of financial position......

Financial statement analysis ..................

Appendix.......................................

9
Introduction

PROPOSE NAME OF THE BUSINESS

-Mae's coffee shop

ADDRESS OF THE BUSINESS

Poblacion dimasalang Masbate

• Name of the owner or owners

• Jeramae A.Suson

• Description of the business

• -the Mae's coffee shop will provide a first class


delivery service of quality hot and cold beverage related
supplies, including whole bean or ground coffee flavor
syrups,jet teas concentrated milk fresh baked goods and
assorted paper our services will include invaluable trade
resources effective promotion programs customs designed
marketing materials informative monthly newsletters
training and product demonstration as well as internation
on the latest market trends in the coffee specially
beverage industry.

• Location of the business

• -Poblacion Dimasalang Masbate

• Funding requirements and sources

• 200k,by loan from the bank

10
Executive Summary

MISSION

• -our mission is to create a haven for coffee lovers


offering a wide range or premium coffee blend expertly
crafted beverage and Delectable treats we strive to
provide a memorable coffee experience that delights the
senses and forter a sense and fosters a sense of
belonging within our community.

• VISION

• -mae's coffee shop is a cozy and welcoming cafe


dedicated to providing exceptional coffee and a warm
atmosphere for coffee enthusiasts and community members
alike our vision is to become the go to destination for
coffee lovers where they can indulge in delicious
beverage connect with others and experience the joy of a
perfect cup of coffee.

• GOALS

• 1.Serve outstanding coffee:

• -we are passionate about coffee and are committed to


serving only the highest quality Beans we will partner
will reputable coffee suppliers ensuring that every cups
is brewed to perfection show casing the unique flavor and
aromas of each blend.

• 2.Create a welcoming environment:

• -at Mae's coffee shop we believe they a great coffee


experience goes beyond the beverage itself we will create
a warm and inviting atmosphere.

• 3.Foster community Engagement:

• -we aim to become a hub for the local community


providing a space where people can come together connect
and build relationships we will hast community events
support local artists and collaborate with neighboring

11
business to create a vibrant and inclusive environment

• 4.Embrace sustainability:

• -we are committed to minimizing our environmental


footprint and promoting sustainable practice we will
source ethically and locally produced ingredients
implement eco friendly packaging and priorities waste
reduction and recycling initiatives.

• 5.Expand and Innovate:

• -as we establish ourselves in the local market we


plan to our offerings and explore new avenues for growth
this includes introduction specially coffee workshop
expanding our menu to cater to diverse taste and
potential openings additional locations in the future.

• BUSINESS MODEL

• Retail Model: This is the most well-known business


model used by coffee shops. They sell coffee and related
products directly to customers in a physical location.

• Specialty Model: This model focuses on offering


specialty or high-quality coffee products. Coffee shops
using this model often source their beans from specific
regions or work with local roasters to provide unique and
premium coffee options.

• Franchise Model: Coffee shops can also operate as


franchises, where they follow a proven business model and
brand established by a larger coffee chain. This model
offers the advantage of brand recognition and support
from the franchisor.

• Community Model: Some coffee shops adopt a


community-focused approach, aiming to benefit the local
community. They may organize events, support local
artists, or provide a gathering place for community
members to connect.

• It's Important for Mae’s Coffee Shop to choose a


business model that aligns with its goals, target market,
and unique selling proposition. Conducting market
research, developing a financial plan, and creating a
menu that reflects the brand are essential steps in
creating a successful coffee shop business

12
• BUSINESS AND PRODUCT POSITION

• Mae’s Coffee Shop aims to position itself as a


unique and high-quality coffee destination, offering a
range of products and creating a memorable customer
experience. Here are some key aspects of Mae’s Coffee
Shop’s business and product position:

• Product Offering: Mae’s Coffee Shop offers a diverse


menu of products, including coffee and specialty espresso
drinks, non-coffee beverages, bottled drinks, and food
items. The menu is carefully curated to cater to the
preferences and tastes of the target market.

• Unique Products: Mae’s Coffee Shop strives to


differentiate itself by offering unique and innovative
coffee products. This could include signature coffee
blends, specialty brewing methods, or creative flavor
combinations. These unique offerings set Mae’s Coffee
Shop apart from other coffee shops in the area.

• Branding and Storytelling: Mae’s Coffee Shop pays


attention to its brand identity, including the company
name, logo, colors, and overall vibe. The brand aims to
create a strong first impression that attracts customers,
whether through the website, social media presence, or
physical store design. The brand also tells a compelling
story, emphasizing the passion for coffee and the
dedication to providing a memorable experience.

• Customer Experience: Mae’s Coffee Shop focuses on


creating a welcoming and comfortable environment for
customers. This includes friendly and knowledgeable
staff, cozy seating areas, and a relaxing ambiance. The
goal is to ensure that customers feel valued and enjoy
their time at the coffee shop.

• Competitive Advantage: In a competitive market,


Mae’s Coffee Shop strategically positions itself to gain
a competitive advantage over other coffee shops. This
could be through unique product offerings, exceptional
customer service, or a specific target market focus. By
finding its unique selling points, Mae’s Coffee Shop aims
to stand out and attract loyal customer

• WEALTH IMPROVEMENTS APPROACHES

• To improve wealth and financial status, Mae’s Coffee


Shop can consider implementing the following approaches:

13
• Strategic Marketing: Developing a strong marketing
strategy can help increase brand awareness and attract
more customers. This can be achieved through targeted
advertising, social media marketing, collaborations with
local businesses, and creating a unique brand identity.

• Enhancing Customer Experience: Providing exceptional


customer service and creating a welcoming atmosphere can
help retain existing customers and attract new ones. This
can include well-trained staff, personalized
interactions, comfortable seating areas, and a pleasant
ambiance.

• Efficient Financial Management: Implementing


effective financial management practices can contribute
to improving the financial health of the coffee shop.
This includes tracking expenses, optimizing inventory
management, negotiating favorable supplier contracts, and
monitoring key financial metrics.

• Product Differentiation: Offering unique and high-


quality coffee products can set Mae’s Coffee Shop apart
from competitors. This can involve sourcing specialty
coffee beans, introducing innovative flavors or brewing
methods, and providing a diverse menu that caters to
different customer preferences.

• Streamlined Operations: Optimizing the coffee shop’s


operations can lead to cost savings and improved
efficiency. This can involve evaluating and improving the
layout of the shop to enhance customer flow, investing in
quality equipment that improves productivity, and
implementing effective staff scheduling and training
programs.

• Building Strong Relationships: Cultivating strong


relationships with suppliers, customers, and the local
community can contribute to long-term success. This can
include partnering with local farmers or roasters,
participating in community events, and actively engaging
with customers through loyalty programs or feedback
mechanisms.

• It’s important for Mae’s Coffee Shop to regularly


review and assess its financial performance, make data-
driven decisions, and adapt strategies as needed to
ensure ongoing growth and financial improvements .

14
• PARTIES SUPPORTING THE BUSINESS

• There are several parties that can support the


business of Mae’s Coffee Shop. Here are some examples:

• Consumers: Consumers play a crucial role in


supporting the business by patronizing Mae’s Coffee Shop
and enjoying its products and services. Positive
feedback, repeat visits, and word-of-mouth
recommendations from satisfied customers can contribute
to the success and growth of the coffee shop.

• Local Businesses: Collaborating with other local


businesses can be mutually beneficial. Mae’s Coffee Shop
can partner with nearby businesses, such as bakeries,
bookstores, or boutiques, to cross-promote each other’s
offerings and attract a wider customer base. This can
include joint marketing efforts, shared loyalty programs,
or hosting events together.

• Suppliers: Building strong relationships with


suppliers is important for a coffee shop. Reliable and
quality suppliers can provide Mae’s Coffee Shop with
fresh coffee beans, ingredients, and other necessary
supplies. Good supplier partnerships can ensure
consistent product quality, timely deliveries, and
potentially favorable pricing terms.

• Community Organizations: Engaging with community


organizations can help Mae’s Coffee Shop establish a
positive reputation and support local initiatives. This
can involve sponsoring local events, participating in
fundraisers, or collaborating with non-profit
organizations. Such involvement can enhance the coffee
shop’s visibility and build goodwill within the
community.

• Industry Associations: Joining industry associations


or coffee shop networks can provide Mae’s Coffee Shop
with access to valuable resources, industry trends, and
networking opportunities. These associations often offer
educational programs, workshops, and conferences that can
help the coffee shop stay updated with the latest
industry practices.

• It's Important for Mae’s Coffee Shop to actively


seek and nurture relationships with these parties to
create a supportive network and enhance its business

15
operations.

• ENVIRONMENTAL ANALYSIS

• In conducting an environmental analysis of Mae’s


Coffee Shop, it is important to consider various factors
that can impact its operations and sustainability. Here
are some key aspects to consider:

• Political Factors: Evaluate the political landscape


and regulations that may affect the coffee industry, such
as trade policies, taxation, and labor laws. Stay updated
on any changes in government policies that could impact
the coffee shop’s operations.

• Economic Factors: Assess the economic conditions and


trends that can influence the coffee industry, including
interest rates, inflation, consumer spending patterns,
and disposable income levels. Understanding the economic
climate can help Mae’s Coffee Shop make informed
decisions regarding pricing, expansion, and investment.

• Sociocultural Factors: Consider the social and


cultural factors that can shape consumer preferences and
behaviors. This includes trends in coffee consumption,
health-consciousness, sustainability awareness, and the
demand for ethically sourced products. Adapting to
changing consumer preferences can help Mae’s Coffee Shop
stay relevant and attract a loyal customer base.

• Technological Factors: Stay abreast of technological


advancements that can impact the coffee industry, such as
coffee brewing equipment, online ordering platforms,
digital marketing strategies, and sustainability
initiatives. Embracing technology can enhance operational
efficiency, customer engagement, and sustainability
efforts.

• Environmental Factors: Recognize the environmental


impact of the coffee industry and identify opportunities
to minimize the coffee shop’s carbon footprint. This can
involve sourcing sustainable coffee beans, implementing
waste reduction strategies, using eco-friendly packaging,
and promoting recycling and composting initiatives.

• Legal Factors: Understand the legal requirements and


regulations that govern the coffee industry, including
food safety standards, licensing, labeling, and
employment laws. Complying with legal obligations is
crucial for the smooth operation of Mae’s Coffee Shop and

16
maintaining a positive reputation.

• By conducting a comprehensive environmental


analysis, Mae’s Coffee Shop can identify potential
opportunities, anticipate challenges, and develop
strategies to thrive in a sustainable and socially
responsible manner.

• GLOBAL ANALYSIS

• Mae’s coffee shop is part of the global coffee shop


industry, which has seen both challenges and
opportunities in recent years. Here are some key findings
from my search:

• Market Value: The coffee shop industry in the United


States is projected to have a market value of $90,277
million in 2022. Globally, the industry’s revenue was
projected at $90,277 million in 2022.

• Growth: Despite the impact of the COVID-19 pandemic,


the coffee shop industry is steadily recovering. U.S.
coffee chain sales grew by 10% from June 2021 to June
2022, getting very close to reaching pre-pandemic sales.
Chains have also expanded their footprint, resulting in a
2.8% increase in the total number of branded coffee shops
in the US.

• Market Size: The global coffee shop market is


expected to reach nearly US$ 261.80 billion by 2029, with
a projected growth rate of 3.5% from 2023 to 2029.

• Challenges: The UK and US branded coffee shop


markets were hit particularly hard by the pandemic,
losing a combined $14.3 billion in sales in 2020.
Industry leaders in both countries reported significant
sales declines, with 59% in the UK and 50% in the US
experiencing a decline greater than 5% over the last 12
months.

• SOCIAL ANALYSIS

• The social analysis of Mae’s coffee shop can provide


insights into the social dynamics and significance of
coffee shops in urban life. Here are some key findings
from my search:

17
• Social Meaning: Coffee shops serve as social spaces
where people gather, interact, and engage in various
activities. They play a role in fostering sociability and
creating a sense of community within the urban
environment.

• Third Places: Coffee shops are often considered


“third places,” distinct from home (first place) and work
(second place). They provide a neutral and comfortable
environment for individuals to socialize, relax, and
spend time outside of their usual routines.

• Social Class: Coffee shops can also reflect social


class dynamics. Studies have explored how different
social groups utilize coffee shops and how these spaces
can be associated with certain lifestyles, tastes, and
cultural practices.

• Evolution of Coffee Shops: The meaning and function


of coffee shops have evolved over time. Traditional
coffee shops have transformed into modern spaces equipped
with facilities such as television, newspapers, and
internet networks to meet the needs and satisfaction of
visitors.

• POLITICAL FORCE

• The political forces that can impact Mae’s coffee


shop can be analyzed through the PESTEL framework, which
considers various factors that influence businesses. Here
are some key political factors that may affect the coffee
industry, including coffee shops:

• Trade Relationships: The coffee industry heavily


relies on international trade. Coffee-producing countries
in Asia, South America, and Africa export their products
to Europe and North America, where coffee consumption is
high. Changes in trade policies, tariffs, or
international relations can impact the availability and
cost of coffee for coffee shops.

• It’s important to note that the specific political


forces that directly affect Mae’s coffee shop may vary
depending on its location and the local political
environment. Understanding local regulations, taxation
policies, and government support for small businesses is
crucial for assessing the political impact on Mae’s
coffee shop.

18
• If you are interested in a more detailed analysis of
the political forces specifically affecting Mae’s coffee
shop, I recommend conducting a targeted analysis or
consulting with experts familiar with the local political

• ECONOMIC FORCES

• The economic forces that can impact Mae’s coffee


shop can be analyzed through various factors that
influence the coffee industry and businesses in general.
Here are some key economic factors that may affect Mae’s
coffee shop:

• Growing Incomes: As economies grow, consumers tend


to have increasing incomes, which means they have more
disposable income to spend on coffee and other products.
This can contribute to the growth of the coffee industry
and potentially increase customer demand for Mae’s coffee
shop.

• Market Growth: The coffee market has experienced


growth in recent years, driven by increasing demand for
specialty and premium coffee products. This presents
opportunities for coffee shops to cater to specific
consumer preferences, such as organic, fair-trade,
single-origin, or robusta coffee.

• High Running Costs: Coffee shops often have high


overhead costs, including rent, utilities, marketing
budgets, and labor. Managing and controlling these costs
is crucial for maintaining profitability, especially if
sales are not meeting expectations.

• It's Important to note that the specific economic


forces impacting Mae’s coffee shop may vary depending on
its location, local economic conditions, and consumer
behavior. Conducting a detailed analysis of the local
market, competition, and economic indicators would
provide more accurate insights into the economic forces
affecting Mae’s coffee shop.

• SOCIOECONOMIC FORCE

• The ecological impact of coffee shops, including


Mae’s coffee shop, can be significant and should be
considered for sustainability and environmental

19
conservation. Here are some key findings regarding the
ecological force of coffee shops:

• Deforestation: The coffee industry, including


coffee-growing countries, has contributed to
deforestation. Open plantations for sun-grown coffee
often require clearing large areas of forests, leading to
habitat destruction and loss of biodiversity.

• Water Usage: Coffee production requires significant


amounts of water, both for growing coffee plants and
processing coffee beans. Unregulated water usage can
strain local water sources and ecosystems, especially in
regions with water scarcity.

• Waste Management: Coffee shops generate waste,


particularly from disposable cups, packaging, and coffee
grounds. Proper waste management practices, such as
recycling, composting, and promoting reusable cups, can
help reduce the ecological impact.

• Carbon Footprint: Coffee production and


transportation contribute to greenhouse gas emissions.
From the cultivation of coffee plants to the roasting and
distribution processes, energy consumption and carbon
emissions can have ecological consequences.

• To mitigate the ecological impact, coffee shops like


Mae’s can adopt sustainable practices such as sourcing
coffee beans from certified sustainable farms,
implementing recycling and waste reduction programs,
promoting reusable cups, and investing in energy-
efficient equipment.

• It's Important for Mae’s coffee shop to prioritize


sustainability and consider the ecological impact of its
operations. By implementing environmentally friendly
practices, Mae’s can contribute to a more sustainable
coffee

• TECHNOLOGICAL DANCE

• Technological advancements have significantly


impacted the coffee industry, including coffee shops like
Mae’s. Here are some key findings on the technological
advancements in coffee shops:

20
• Online Ordering: One of the biggest technological
advancements in coffee shops is the implementation of
online ordering systems. This allows customers to
conveniently place their orders through websites or
mobile apps, reducing waiting times and improving overall
customer experience.

• Automation: Coffee shops are adopting automation


technologies to streamline operations and increase
efficiency. Automated espresso machines, self-service
kiosks, and robotic systems for brewing and serving
coffee are examples of how automation is transforming the
coffee shop industry.

• Back-of-House Efficiency: Technology is being used


to improve back-of-house operations in coffee shops.
Inventory management systems, digital scheduling tools,
and employee management software help optimize workflow
and reduce administrative tasks.

• Mobile Payment Solutions: Mobile payment solutions,


such as digital wallets and contactless payment options,
have become increasingly popular in coffee shops. These
technologies offer convenience and speed during the
payment process.

• Loyalty Programs and Customer Engagement: Coffee


shops are utilizing technology to enhance customer
loyalty and engagement. Mobile apps with loyalty
programs, personalized offers, and digital rewards
systems help build customer loyalty and encourage repeat
visits.

• It's Important for Mae’s coffee shop to stay up-to-


date with technological advancements to remain
competitive in the industry. Implementing technologies
that improve customer experience, streamline operations,
and enhance efficiency can contribute to the success of
the coffee shop.

• LEGAL FORCE

• The legal requirements for Mae’s coffee shop may


vary depending on the specific location and regulations.
However, in general, there are several legal aspects that
coffee shop owners need to consider. These include
obtaining the necessary permits and licenses such as a
business license, food service permit, health department
permit, and potentially a liquor license if alcohol is

21
served. It is also important to comply with health and
safety regulations, employment and labor laws, lease
agreements, and zoning regulations. Intellectual property
protection, insurance coverage, accounting, and tax
considerations are also important legal aspects to
consider.

• INDUSTRY ANALYSIS

• The coffee shop industry has been steadily


recovering, with U.S. coffee chain sales growing by 10%
from June 2021 to June 2022, approaching pre-pandemic
levels. The market value of the coffee shop industry in
the U.S. exceeded $48 billion in 2022, with approximately
38.4 thousand coffee shops in the country. This indicates
a strong market for coffee shops.

• In Singapore, the coffee industry has also seen


significant growth. There is a blog that provides an
analysis of the past, present, and future of Singapore’s
coffee culture, which might offer insights into the
industry.

• An Industry analysis report by Mordor Intelligence


provides statistics and forecasts for the coffee market,
including market share, size, and revenue growth rate.
This report offers a comprehensive overview of the
industry and can provide valuable insights.

• Additionally, a PESTEL analysis of the coffee


industry explores the various factors that can impact the
industry, including political, economic, social,
technological, environmental, and legal factors.

• It's Important to note that the specific analysis of


Mae’s coffee shop would require more detailed information
about its location, target market, competition, and other
factors. Conducting a thorough market analysis specific
to Mae’s coffee shop would provide more accurate insights
into its industry position.

• CUSTOMER

• The customers of Mae’s coffee shop can vary


depending on its location and target market. Coffee shops

22
generally attract a diverse range of customers,
including:

• Local Residents: Coffee shops often serve as a


gathering place for people in the community. Local
residents may visit Mae’s coffee shop for their daily
caffeine fix, to catch up with friends, or to work
remotely.

• Students: Coffee shops are popular among students as


study spaces or for socializing. Mae’s coffee shop may
attract students from nearby schools or universities who
are looking for a comfortable and conducive environment
to study or relax.

• Professionals: Coffee shops are also frequented by


professionals who may use them as informal meeting
spaces, work remotely, or take a break from their busy
schedules. Mae’s coffee shop may attract professionals
from nearby offices or businesses.

• Tourists: Depending on its location, Mae’s coffee


shop may also attract tourists who are exploring the area
and looking for a place to relax, enjoy a cup of coffee,
and experience the local coffee culture.

• It's Important for Mae’s coffee shop to understand


its target market and tailor its offerings and ambiance
to cater to their preferences and needs. By creating a
welcoming and comfortable environment, providing quality
coffee and food, and offering excellent customer service,
Mae’s coffee shop can attract and retain a loyal customer
base.

• COMPETITORS

• Old Hen Coffee Bar: Located along Rangoon Road in


Singapore, Old Hen Coffee Bar is a specialty coffee shop
that has been operating since 2014. It offers a range of
specialty coffee and has gained popularity among coffee
enthusiasts.

• Other Local Coffee Shops: There are numerous other


local coffee shops in the area that may compete with
Mae’s coffee shop for customers. These coffee shops may
offer similar products and services, creating competition
within the local market.

23
• Coffee Chains: Depending on the location, Mae’s
coffee shop may also face competition from larger coffee
chains such as Starbucks, Costa Coffee, or The Coffee
Bean & Tea Leaf. These chains have a strong presence and
brand recognition, attracting customers with their
established reputation.

• Cafes and Restaurants: Mae’s coffee shop may also


face competition from cafes and restaurants that offer
coffee as part of their menu. These establishments may
attract customers looking for a dining experience along
with their coffee.

• CREDITORS

• . The creditors of a coffee shop can vary depending


on its financial arrangements, loans, and credit
agreements. Common creditors for coffee shops may include
banks or financial institutions that have provided loans
or lines of credit, suppliers or vendors who provide
goods or services on credit, and landlords if the coffee
shop operates on leased premises.

• To obtain accurate and up-to-date information about


the creditors of Mae’s coffee shop, it would be best to
directly contact the coffee shop’s management or consult
their financial records. They would have the most
accurate information regarding their specific creditors
and financial obligations.

• SUPPLIERS

• These suppliers may include:

• Coffee Bean Suppliers: Mae’s coffee shop may have a


specific coffee bean supplier or work with multiple
coffee bean suppliers to source high-quality beans for
their coffee. These suppliers could be local or
international coffee bean roasters.

• Food and Beverage Suppliers: Coffee shops often


offer a variety of food and beverage options alongside
coffee. Mae’s coffee shop may have suppliers for baked
goods, pastries, dairy products, syrups, and other
ingredients used in their menu items.

• Equipment Suppliers: Coffee shops require specific


equipment for brewing coffee, such as espresso machines,
coffee grinders, and brewing equipment. Mae’s coffee shop

24
may have suppliers for these equipment needs.

• Packaging and Paper Goods Suppliers: Coffee shops


often use disposable cups, lids, napkins, and other paper
goods. Mae’s coffee shop may have suppliers for these
packaging and paper good

• Sources:

- Essential Coffee Shop Suppliers and Where to Find


Them

• GOVERNMENT

• Mae’s coffee shop is located, the government plays a


role in regulating and overseeing various aspects of the
food and beverage industry, including coffee shops. Here
are some key government agencies and initiatives related
to coffee shops in Singapore:

• Housing and Development Board (HDB): HDB is


responsible for managing public housing in Singapore,
including the rental of commercial units, including
coffee shops, within HDB estates.

• Government Technology Agency (GovTech): GovTech


works with various government agencies to develop and
implement digital solutions. They have collaborated with
HDB on initiatives such as the “Great Budget Meal Hunt,”
which aims to identify and promote affordable food and
drink options in coffee shops across Singapore.

• Ministry of National Development: The Ministry of


National Development oversees urban planning, housing,
and development in Singapore. They may have policies and
regulations related to the operation and management of
coffee shops.

• Food Safety and Standards Authority of Singapore


(FSSA): FSSA is responsible for ensuring food safety and
hygiene standards in Singapore. They set guidelines and
regulations that coffee shops must adhere to in terms of
food preparation, handling, and storage.

• National Environment Agency (NEA): NEA is


responsible for maintaining environmental standards and
cleanliness in Singapore. They may conduct inspections
and enforce regulations related to cleanliness and waste
management in coffee shops.

25
• It's Important for Mae’s coffee shop to comply with
the relevant regulations and requirements set by the
government agencies to operate legally and ensure the
safety and quality of their products and services.

• Please note that the specific government entities


and initiatives may vary depending on the location and
jurisdiction of Mae’s coffee shop. It’s advisable to
consult the local government authorities or relevant
industry associations for more specific information.

• SHAREHOLDER S

• . The ownership structure and shareholders of a


coffee shop can vary depending on its legal structure
(e.g., sole proprietorship, partnership, corporation) and
the preferences of the owners. In some cases, coffee
shops may be privately owned by individuals or a group of
individuals, while in others, they may be part of a
larger corporation or have external investors.

• To obtain accurate information about the


shareholders of Mae’s coffee shop, it would be best to
contact the coffee shop directly or consult their
financial records. They would have the most up-to-date
information regarding their ownership structure and
shareholders

• EMPLOYEES

• Generally, coffee shops have a team of employees who


perform various roles and responsibilities to ensure
smooth operations and provide excellent customer service.
Here are some common roles and responsibilities of coffee
shop employees:

• Baristas: Baristas are responsible for preparing and


serving coffee and other beverages. They are skilled in
coffee-making techniques, latte art, and have a good
understanding of different coffee beans and brewing
methods.

• Cashiers: Cashiers handle customer transactions,


operate the point-of-sale system, and ensure accurate
billing and cash handling. They may also assist with

26
taking orders and providing customer service.

• Servers: Servers take orders from customers, serve


food and beverages, and ensure that customers have a
positive dining experience. They may also handle table
set-up, clearing, and cleaning.

• Kitchen Staff: In coffee shops that offer food


items, there may be kitchen staff responsible for food
preparation, cooking, and ensuring food safety and
hygiene standards.

• Customer Service Representatives: Customer service


representatives assist customers with inquiries, provide
information about menu items, and handle customer
feedback or complaints.

• Cleaning and Maintenance Staff: Coffee shops require


regular cleaning and maintenance. Cleaning and
maintenance staff are responsible for keeping the
premises clean, sanitizing equipment, and ensuring a
hygienic environment.

• TRADE ASSOCIATION

• The trade association that Mae’s coffee shop can be


associated with is the Singapore Coffee Association
(SCA). The SCA was established in the late 1950s by a
group of pioneering coffee traders. It represents the
coffee industry in Singapore and aims to connect
Singapore and its members to the world of coffee through
internationalization, education, and more. The
association has members from various sectors of the
coffee industry, including coffee traders, roasters, café
owners, equipment suppliers, and baristas.

• The SCA plays a crucial role in promoting and


advancing the coffee industry in Singapore, fostering
collaboration and knowledge-sharing among its members,
and representing the interests of the coffee community.
They organize events, workshops, and networking
opportunities to support the growth and development of
the coffee industry.

• MARKET FORECAST

• The specific market forecast for Mae’s coffee shop


would depend on various factors such as its location,
target market, competition, and overall industry trends.
While I couldn’t find a specific market forecast for
Mae’s coffee shop, here are some general market insights

27
and forecasts for the coffee industry that may provide
some context:

• Singapore Coffee Market: According to Statista, the


revenue in the coffee market in Singapore was projected
to be around US$166.2 million in 2024, with an annual
growth rate of 3.13% (CAGR 2024-2028). This indicates a
positive outlook for the coffee market in Singapore.

• Global Coffee Shop Market: The global coffee shop


market is expected to grow at a CAGR of 3.5% from 2023 to
2029, reaching a total revenue of nearly US$261.80
billion, according to a report by Maximize Market
Research. This suggests continued growth and
opportunities in the coffee shop industry on a global
scale.

• Coffee Shop Industry Trends: The coffee shop


industry continues to evolve, with trends and preferences
changing over time. Millennials and Gen Z consumers, in
particular, are known for their interest in trying new
coffee and tea trends. Staying updated with industry
trends and catering to the preferences of these consumer
segments can contribute to the success of coffee shops.

• It's Important to note that these market forecasts


and insights are general and may not specifically reflect
the market forecast for Mae’s coffee shop. Conducting a
detailed market analysis, considering local market
conditions, and understanding the specific target market
of Mae’s coffee shop would provide more accurate insights
into its market forecast.

• MARKET SHARE

• Market share refers to the portion or percentage of


the total market that a company or brand holds. It is
typically based on sales revenue, customer base, or other
relevant metrics.

• To determine the market share of Mae’s coffee shop,


it would require access to the company’s financial data
and a comparison with the overall coffee market in the
specific location where the coffee shop operates. Market
share can vary widely depending on factors such as
competition, location, marketing efforts, and customer

28
preferences

• MARKETING STRATEGY

• Mae’s coffee shop would depend on its goals, target


market, location, and competitive landscape.

• Branding and Unique Selling Proposition (USP):


Developing a strong brand identity and a unique selling
proposition can differentiate Mae’s coffee shop from
competitors. This includes creating a memorable logo,
tagline, and overall brand image that resonates with the
target market.

• Social Media Marketing: Utilizing social media


platforms such as Instagram, Facebook, and Twitter to
showcase the coffee shop’s products, atmosphere, and
engage with customers. Posting appealing visuals, sharing
updates, running promotions, and responding to customer
inquiries can help build brand awareness and customer
loyalty.

• Local Partnerships and Collaborations: Collaborating


with local businesses, influencers, or organizations can
help increase visibility and attract new customers. This
can include hosting events, cross-promotions, or
participating in community initiatives.

• Online Presence and Website: Maintaining an


informative and user-friendly website that highlights the
coffee shop’s menu, location, operating hours, and
contact information. Optimizing the website for search
engines can improve online visibility and attract
potential customers searching for coffee shops in the
area.

• Customer Loyalty Programs: Implementing a customer


loyalty program to reward repeat customers and encourage
them to return. This can include offering discounts,
freebies, or exclusive perks for loyal customers.

• Offline Marketing: Utilizing offline marketing


strategies such as distributing flyers, participating in
local events or festivals, and partnering with local
publications for advertisements. This can help reach a
wider audience within the local community.

• Quality and Consistency: Ensuring that the coffee


shop consistently delivers high-quality products and
excellent customer service. Positive word-of-mouth and
customer reviews can be powerful marketing tools.

29
• It's Important for Mae’s coffee shop to regularly
evaluate and adjust their marketing strategies based on
customer feedback, industry trends, and the effectiveness
of their campaigns. Understanding the target market’s
preferences and needs can help tailor marketing efforts
to attract and retain customer

• BUSINESS DESCRIPTION

• Mae’s coffee shop is a cozy and welcoming


establishment that aims to provide a delightful coffee
experience to its customers. Located in a prime location,
Mae’s coffee shop offers a comfortable and inviting
atmosphere where customers can relax, socialize, or work
while enjoying their favorite coffee beverages.

• At Mae’s coffee shop, the focus is on serving high-


quality coffee made from carefully selected beans sourced
from reputable suppliers. The skilled baristas are
passionate about their craft and are dedicated to brewing
the perfect cup of coffee for every customer. They are
trained in various brewing techniques and can create a
wide range of coffee-based beverages, from classic
espresso shots to specialty lattes and cappuccinos.

• In addition to exceptional coffee, Mae’s coffee shop


also offers a selection of delicious pastries and snacks
to complement the coffee experience. The menu features
freshly baked goods made with quality ingredients,
providing customers with a delightful accompaniment to
their coffee.

• Customer satisfaction is a top priority at Mae’s


coffee shop, and the friendly and knowledgeable staff
strive to provide excellent service to ensure a positive
and memorable experience for every customer. Whether it’s
a quick coffee on the go, a catch-up with friends, or a
productive work session, Mae’s coffee shop aims to create
a warm and inviting environment that customers will want
to return to time and time again.

• Overall, Mae’s coffee shop is dedicated to


delivering a superior coffee experience, combining
quality ingredients, skilled baristas, and a welcoming
atmosphere to create a haven for coffee lovers and
enthusiasts.

• NATURE OF THE ORGANIZATION

• The nature of the organization of Mae’s coffee shop


can be described as a small-scale independent coffee

30
shop. It operates as a privately owned business,
typically owned by an individual or a small group of
owners. The coffee shop may be registered as a sole
proprietorship, a partnership, or even a small limited
liability company (LLC), depending on the legal structure
chosen by the owners.

• As an independent coffee shop, Mae’s coffee shop has


the flexibility to make decisions and tailor its
offerings to meet the specific needs and preferences of
its target market. It may have a unique brand identity, a
distinct menu, and a personalized approach to customer
service. The owners have direct control over the
operations, management, and overall direction of the
coffee shop.

• The organization of Mae's coffee shop may involve a


small team of employees, including baristas, cashiers,
servers, and kitchen staff, who work together to ensure
the smooth functioning of the coffee shop and provide
excellent customer service. The owners may be actively
involved in day-to-day operations, overseeing various
aspects such as procurement, menu development, marketing,
and financial management.

• Being an independent coffee shop, Mae’s coffee shop


may have a close connection to the local community,
establishing relationships with customers, suppliers, and
neighboring businesses. It may also participate in
community events, support local initiatives, and
contribute to the local economy.

• The primary goal of the organization is to provide a


high-quality coffee experience, create a welcoming
atmosphere, and build a loyal customer base. Mae’s coffee
shop may prioritize customer satisfaction, product
quality, and a personalized approach to differentiate
itself from larger chain coffee

• PRODUCT OR SERVICES THAT IT PLANS TO PRODUCTION OR


SERVE

• Mae’s coffee shop offers a wide range of products


and services to cater to the diverse preferences of its
customers. Here are some of the products and services
that Mae’s coffee shop plans to produce and serve:

• Coffee Beverages: Mae’s coffee shop takes pride in


serving high-quality coffee beverages made from carefully
selected coffee beans. Customers can expect a variety of
options, including espresso shots, cappuccinos, lattes,

31
macchiatos, Americanos, and more. The coffee beverages
are crafted by skilled baristas who are passionate about
delivering the perfect cup of coffee.

• Specialty Drinks: In addition to classic coffee


beverages, Mae’s coffee shop offers a selection of
specialty drinks to provide unique and innovative
flavors. This may include seasonal drinks, signature
creations, or customized options that incorporate various
syrups, flavors, and toppings.

• Tea and Non-Coffee Beverages: To cater to non-coffee


drinkers or those who prefer alternative options, Mae’s
coffee shop also serves a range of teas, including herbal
teas, black teas, green teas, and specialty tea blends.
Non-coffee beverages such as hot chocolate, chai lattes,
and fruit-infused drinks may also be available.

• Freshly Baked Goods: Mae’s coffee shop takes pride


in offering freshly baked goods to complement their
coffee experience. Customers can enjoy a variety of
pastries, muffins, croissants, cookies, and cakes, all
made with quality ingredients and baked with care.

• Light Fare and Snacks: In addition to baked goods,


Mae’s coffee shop may also offer a selection of light
fare and snacks, such as sandwiches, wraps, salads, and
other quick bites. These options provide customers with a
convenient and satisfying option for a quick meal or
snack.

• Catering Services: Mae’s coffee shop may extend its


services to cater for events, meetings, or special
occasions. This could include providing coffee and
beverage services, along with a selection of pastries and
snacks, tailored to the specific needs of the event.

• Mae’s coffee shop aims to provide a comprehensive


menu that caters to different tastes and dietary
preferences. The focus is on using high-quality
ingredients, ensuring freshness, and delivering a
memorable coffee experience to every

• VARIOUS PLANS AND OFFICE EQUIPMENT

• Mae’s coffee shop has various plans and office


equipment in place to ensure smooth operations and
provide a comfortable environment for both customers and
staff. Here are some of the plans and office equipment
commonly found in coffee shops:

32
• Floor Plan and Layout: Mae’s coffee shop has a well-
thought-out floor plan and layout that optimizes the use
of space and creates a welcoming atmosphere. The seating
arrangement, counter placement, and flow of customers and
staff are carefully considered to maximize efficiency and
create a pleasant environment.

• Commercial Coffee Machines: Mae’s coffee shop has


invested in commercial-grade coffee machines to ensure
the consistent production of high-quality coffee
beverages. These machines are designed to handle the
demands of a busy coffee shop and may include espresso
machines, coffee grinders, and milk frothers.

• Point-of-Sale (POS) System: Mae’s coffee shop


utilizes a modern POS system to streamline order
processing, inventory management, and payment
transactions. This system may include touchscreen
monitors, receipt printers, and card payment terminals.
It helps to enhance efficiency and accuracy in managing
customer orders and transactions.

• Furniture and Seating: Mae’s coffee shop has


carefully selected furniture and seating options to
provide comfort and accommodate different group sizes.
This may include a combination of tables, chairs, bar
stools, and cozy seating areas to cater to various
customer preferences.

• Display Cases and Shelving: Display cases and


shelving units are used to showcase the freshly baked
goods, pastries, and snacks offered by Mae’s coffee shop.
These displays are designed to be visually appealing and
easily accessible to customers.

• Office Equipment: In the back office, Mae’s coffee


shop may have standard office equipment such as
computers, printers, and scanners for administrative
tasks, inventory management, and record-keeping. These
tools help in managing orders, tracking sales, and
maintaining efficient communication.

• Wi-Fi and Internet Connectivity: To cater to


customers who may want to work or browse the internet
while enjoying their coffee, Mae’s coffee shop provides
Wi-Fi connectivity. This allows customers to stay
connected and enhances their overall experience.

33
• Additionally, Mae’s coffee shop may have plans in
place for marketing strategies, employee training and
development, customer service protocols, and quality
control. These plans help guide the overall operations
and ensure consistent delivery of products and services.

SIZE OF THE PROPOSED BUSINESS

Mae’s coffee shop is a neighborhood restaurant called


Mae’s Market & Café, located inIt is part of a collection
of idiosyncratic neighborhood restaurants called Modest
Bread, which also includes Bagel Uprising, and
Virginia’s Darling. Unfortunately, I couldn’t find
specific information about the size of Mae’s coffee shop
or its proposed business. However, opening a coffee shop
requires careful planning and understanding the market
size. Coffee consumption has been increasing in recent
years, and coffee shops have become popular centers for
work, socialization, and leisure activities.

If you’re interested in opening a coffee shop, it’s


essential to have a clear vision and objectives for your
business. A well-defined business plan can help establish
your goals and guide your decision-making process. It’s
also important to consider factors such as the types of
coffee shops, sources of revenue and operating expenses,
startup costs, funding options, and pricing strategies.

FUTURE PARTIES WITH WHOM CONTRACTS

Mae’s coffee shop may have contracts with various parties


depending on the specific needs of the business. Here are
some potential parties with whom Mae’s coffee shop might
have contracts:

1. Coffee Suppliers: Coffee shops often have contracts


with coffee suppliers to ensure a steady and reliable
source of high-quality coffee beans. These contracts may
outline the terms of the coffee supply, including
pricing, quantity, quality standards, and delivery
schedules.

2. Food Suppliers: If Mae’s coffee shop offers food


items, they may have contracts with food suppliers to
provide ingredients and other food products. These
contracts would cover aspects such as pricing, quality
standards, delivery schedules, and any specific
requirements for the food items.

34
3. Equipment Suppliers: Coffee shops require various
equipment, such as coffee machines, grinders,
refrigerators, and more. Contracts with equipment
suppliers ensure that the coffee shop has access to the
necessary equipment and may include terms related to
warranties, maintenance, and support.

4. Service Providers: Mae’s coffee shop may contract with


service providers for services such as cleaning,
maintenance, security, or IT support. These contracts
would outline the scope of services, terms of payment,
and any other relevant details.

5. Employees: While not a traditional contract, coffee


shops typically have employment agreements with their
staff. These agreements outline the terms of employment,
including job responsibilities, compensation, working
hours, and other employment-related terms.

MAY BE NECESSARY

To open Mae’s coffee shop, there are several necessary


requirements that you need to consider. Here are some key
requirements:

1. Permits and Licenses: You will need to obtain the


necessary permits and licenses to operate a coffee shop.
These may include business licenses, food service
permits, health department permits, and zoning permits.
Each jurisdiction may have specific requirements, so it’s
important to research and comply with the regulations in
your area.

2. Business Structure and Registration: You will need to


determine the legal structure of your coffee shop, such
as a sole proprietorship, partnership, or corporation.
Registering your business with the appropriate government
authorities is also necessary.

3. Health and Safety Regulations: Compliance with health


and safety regulations is crucial for a coffee shop. This
includes proper food handling and storage practices,
maintaining cleanliness and hygiene, and following health
department guidelines. Regular inspections may be
required to ensure compliance.

4. Employment Laws: When hiring staff for your coffee


shop, you need to consider employment laws and
regulations. This includes issues such as minimum wage
requirements, working hours, employment contracts, and

35
employee benefits.

5. Insurance: It is important to have appropriate


insurance coverage for your coffee shop, such as general
liability insurance, workers’ compensation insurance, and
property insurance. This helps protect your business and
employees in case of accidents, injuries, or property
damage.

PERSONNEL REQUIREMENTS

The personnel requirements for Mae’s coffee shop


typically include various roles to ensure smooth
operations. Here are some common roles in a coffee shop:

1. Barista: Baristas are responsible for preparing and


serving coffee and other beverages. They should have
knowledge of different coffee brewing methods, be skilled
in latte art, and have excellent customer service skills.

2. Cashier: Cashiers handle customer transactions,


operate the cash register, and maintain accurate records
of sales. They should have good math skills, be attentive
to detail, and provide friendly and efficient service to
customers.

3. Shift Supervisor: A shift supervisor oversees the


daily operations of the coffee shop. They manage the
staff, ensure quality control, handle customer
complaints, and maintain a smooth workflow. Supervisors
should have leadership skills, problem-solving abilities,
and experience in the coffee industry.

In addition to these roles, depending on the size and


scope of the coffee shop, you may also need other
positions such as kitchen staff, food prep personnel,
cleaning staff, and managerial roles.

It's Important to consider the qualifications,


experience, and skills required for each position when
hiring personnel for Mae’s coffee shop. Providing proper
training, clear guidelines, and adhering to rules and
regulations can help ensure the success of your coffee
shop and create a positive work environment for your
employees.

36
ADMINISTRATION OPERATIONS

The administration operations of Mae’s coffee shop


involve various aspects to ensure smooth and efficient
management’s .

1. Operational Management: This includes overseeing all


aspects of the coffee shop’s operations, such as
purchasing coffee beans, roasting, and ensuring the
freshness of the coffee. It also involves maintaining a
flexible work environment and applying the highest
standards of service excellence.

2. Operations Plan: Developing a comprehensive operations


plan is essential for the success of a coffee shop. This
plan outlines the day-to-day activities, from preparation
to service to closing, to ensure a smooth workflow and
maximize profit potential. It includes details on
staffing, inventory management, customer service, and
equipment handling.

3. Standard Operating Procedures (SOPs): Implementing


SOPs ensures consistency and efficiency in the coffee
shop’s operations. These procedures cover various areas
such as health and hygiene regulations, equipment
handling, safety measures, food and beverage preparation,
customer service, cleanliness, and payment processing.

4. Operations Manager: Having an operations manager is


crucial for overseeing the day-to-day operations of the
coffee shop. This role involves managing staff, ensuring
customer satisfaction, maintaining inventory levels,
implementing efficient processes, and addressing any
operational challenges that may arise.

It's Important to develop clear guidelines, train the


staff on SOPs, and regularly review and update the
operations plan to adapt to changing circumstances. By
effectively managing the administration operations, Mae’s
coffee shop can provide a seamless experience for
customers and maintain a successful business.

ORGANITIONAL PLAN

1. Owner/Management: At the top of the hierarchy is the


owner or management team. They make high-level decisions,
set the overall direction, and oversee the entire
operation of the coffee shop.

37
2. Managerial Staff: This includes positions like the
General Manager, Assistant Manager, and Shift
Supervisors. These individuals are responsible for the
day-to-day management of the coffee shop, including
overseeing staff, handling customer service, managing
inventory, and ensuring smooth operations.

3. Baristas: Baristas are the frontline staff who prepare


and serve coffee and other beverages. They should have
excellent knowledge of coffee brewing techniques,
customer service skills, and the ability to create a
welcoming atmosphere for customers.

4. Cashiers: Cashiers handle customer transactions,


operate the cash register, and maintain accurate records
of sales. They should have good math skills, be attentive
to detail, and provide friendly and efficient service to
customers.

5. Support Staff: Depending on the size and needs of the


coffee shop, there may be additional support staff such
as kitchen staff, food prep personnel, cleaning staff,
and maintenance personnel. These individuals play a
crucial role in ensuring the smooth functioning of the
coffee shop.

It's Important to note that the organizational plan may


vary based on the specific requirements and size of Mae’s
coffee shop. The plan should clearly define roles,
responsibilities, reporting structures, and communication
channels to ensure effective teamwork and efficient
operations.

BUSINESS ORGANIZATI

1. Legal Structure: Mae’s coffee shop may operate as a


sole proprietorship, partnership, limited liability
company (LLC), or corporation. The chosen legal structure
determines the ownership, liability, and tax obligations
of the business.

2. Ownership and Management: The business organization


may involve one or more owners who are responsible for
the overall management and decision-making. They oversee
the operations, finances, and strategic direction of
Mae’s coffee shop.

3. Staffing: The coffee shop would have a team of


employees, including baristas, cashiers, kitchen staff,
and other support personnel. The number of staff members
and their roles depend on the size and scope of the
coffee shop.

38
4. Organizational Structure: The organizational structure
of Mae’s coffee shop defines the hierarchy and reporting
relationships within the business. It may include
positions such as the owner/manager, shift supervisors,
baristas, cashiers, and support staff.

5. Roles and Responsibilities: Each position within the


coffee shop has specific roles and responsibilities.
Baristas are responsible for coffee preparation, cashiers
handle transactions, and support staff assist with
various tasks like cleaning and maintenance.

LIABILITY OF THE OWNER OR OWNERS

The liability of the owner or owners of Mae’s coffee shop


depends on the legal structure of the business. Here are
some common legal structures and their corresponding
liability implications:

1. Sole Proprietorship: In a sole proprietorship, the


owner is personally liable for the debts, obligations,
and legal liabilities of the business. This means that if
the coffee shop faces financial or legal issues, the
owner’s personal assets could be at risk.

2. Partnership: In a general partnership, each partner


shares the liability for the business’s debts and
obligations. This means that the partners are personally
liable for the partnership’s actions and can be held
responsible for any financial or legal issues that arise.

3. Limited Liability Company (LLC): An LLC provides


limited liability protection to its owners, known as
members. In this structure, the owners’ personal assets
are generally protected from business debts and
liabilities. However, this protection is not absolute,
and certain circumstances may allow creditors to pierce
the corporate veil and hold owners personally liable.

4. Corporation: In a corporation, the owners, known as


shareholders, generally have limited liability for the
company’s debts and obligations. Their personal assets

are typically protected, and their liability is limited⚫

ROLES AND RESPONSIBILITY

The roles and responsibilities within Mae’s coffee shop


may vary depending on the size, structure, and specific
needs of the business. However, here are some common
roles and their associated responsibilities in a coffee

39
shop:

1. Owner/Manager: The owner or manager is responsible for


overseeing the overall operations of the coffee shop.
Their responsibilities may include setting business
goals, developing strategies, managing finances,
overseeing staff, ensuring customer satisfaction, and
handling any administrative tasks.

2. Baristas: Baristas are responsible for preparing and


serving coffee and other beverages. Their duties may
include grinding and brewing coffee, operating espresso
machines, creating latte art, taking customer orders,
providing excellent customer service, maintaining
cleanliness and organization in the coffee bar area, and
ensuring the quality and consistency of drinks.

3. Cashiers: Cashiers handle customer transactions,


operate the cash register, and maintain accurate records
of sales. They are responsible for processing payments,

SALARY REQUIREMENTS

The salary requirements for Mae’s coffee shop will depend


on various factors, including the location, job
responsibilities, experience level, and local labor
market conditions. It’s important to ensure that salaries
are fair and competitive to attract and retain talented
employees. Here are some general considerations regarding
salary requirements:

1. Minimum Wage: Ensure that all employees are paid at


least the minimum wage mandated by local labor laws.
Minimum wage rates can vary by country, state, or region.

2. Job Responsibilities: Determine the salary range based


on the specific roles and responsibilities within the
coffee shop. For example, baristas may have a different
salary range compared to cashiers or kitchen staff.

3. Experience and Skill Level: Consider the experience


and skill level required for each position. More
experienced and skilled employees may command higher
salaries.

4. Market Research: Research the local labor market to


understand the prevailing salary ranges for similar
positions in the coffee shop industry. This will help

40
ensure that your salary offers are competitive.

5. Benefits and Perks: In addition to base salaries,


consider offering benefits and perks such as health
insurance, retirement plans, paid time off, employee
discounts, or performance-based bonuses. These can
enhance the overall compensation package and attract
quality employees.

PRODUCTION PLAN

Creating a production plan for Mae’s coffee shop involves


outlining the processes and activities related to the
production and serving of coffee and other beverages.
While I couldn’t find specific information about Mae’s
coffee shop, here are some general considerations for a
production plan:

1. Menu Design: Determine the range of coffee and


beverage options that will be offered on the menu.
Consider the types of coffee beans, brewing methods,
specialty drinks, and any additional offerings such as
pastries or snacks.

2. Coffee Sourcing: Identify reliable suppliers for


coffee beans to ensure a consistent and high-quality
supply. Consider factors such as the origin, quality, and
sustainability of the coffee beans.

3. Equipment and Supplies: Determine the necessary


equipment and supplies for coffee production

PRODUCTION SCHEDULE

The production schedule of Mae’s coffee shop will depend


on various factors, including the menu offerings,
customer demand, and operational capacity.

1. Coffee Bean Ordering: Determine the frequency and


quantity of coffee bean orders based on the expected
demand and consumption rate. Consider factors such as the
shelf life of the beans and the storage capacity of the
coffee shop.

2. Preparation and Brewing: Create a schedule for coffee


preparation and brewing based on the anticipated peak
hours and customer flow. This includes grinding the
beans, brewing coffee, and preparing specialty drinks.

41
3. Inventory Management: Regularly monitor and manage
inventory levels of coffee beans, milk, syrups, and other
ingredients. Adjust the production schedule to ensure
that there is sufficient stock to meet customer demand
while minimizing waste and spoilage.

4. Cleaning and Maintenance: Allocate time for cleaning


and maintenance tasks to ensure the cleanliness and
proper functioning of equipment and workstations. Regular
cleaning and maintenance help maintain the quality of the
coffee and ensure a safe and hygienic environment.

5. Staff Scheduling: Develop a staff scheduling plan that


aligns with the expected customer traffic and production
needs. Consider factors such as peak hours, breaks, and
shift rotations to ensure adequate coverage and efficient
operations.

It's Important to customize the production schedule based


on the specific needs and goals of Mae’s coffee shop.
Continuously evaluate and adjust the schedule based on
customer feedback, sales data, and operational efficiency
to optimize production and meet customer demand
effectively.

PRODUCTION PROCESS

The production process of Mae’s coffee shop involves


several steps to ensure the preparation and serving of
high-quality coffee and beverages. While the specific
details may vary, here is a general outline of the
production process:

1. Coffee Bean Selection: Choose high-quality coffee


beans based on flavor profiles, origin, and customer
preferences. Consider factors such as the roast level,
blend or single-origin, and any specialty options.

2. Grinding: Grind the coffee beans just before brewing


to maintain freshness and flavor. Adjust the grind size
based on the brewing method, such as espresso, drip, or
French press.

3. Brewing: Use the appropriate brewing method to extract


the desired flavors from the coffee grounds. This can
include techniques such as espresso extraction, pour-over
brewing, or using coffee machines.

42
4. Specialty Drink Preparation: If Mae’s coffee shop
offers specialty drinks like lattes, cappuccinos, or
flavored coffees, follow specific recipes and techniques
to create these beverages. This may involve frothing
milk, adding syrups or flavorings, and creating latte
art.

5. Presentation and Garnishing: Pay attention to the


presentation of the beverages. Serve coffee in clean and
appropriate cups, and garnish with optional toppings or
decorations like cocoa powder, cinnamon, or whipped
cream.

6. Quality Control: Regularly taste and evaluate the


coffee to ensure consistency and high quality. Adjust the

brew⚫

PROCESSING PLAN AND REQUIREMENTS

The processing plan and requirements of Mae’s coffee shop


involve various aspects to ensure the smooth operation
and production of coffee and other beverages.

1. Equipment: Determine the necessary equipment for


coffee processing, such as coffee grinders, espresso
machines, brewing equipment, milk frothers, and other
related tools. Ensure that the equipment is of good
quality, properly maintained, and suitable for the
desired production volume.

2. Coffee Bean Storage: Establish proper storage


conditions for coffee beans to maintain freshness and
quality. Consider factors such as temperature, humidity,
and exposure to light. Use airtight containers or bags to
protect the beans from moisture and air.

3. Inventory Management: Develop an inventory management


system to track coffee bean quantities, monitor
expiration dates, and ensure a consistent supply. This
helps in maintaining optimal stock levels and minimizing
wastage.

4. Quality Control: Implement quality control measures to


ensure the consistency and high quality of the coffee
products. This may involve regular cupping sessions to
evaluate the flavor and aroma of the coffee beans, as
well as periodic checks on the brewing process and
beverage preparation.

43
5. Standard Operating Procedures (SOPs): Establish clear
SOPs for all aspects of coffee processing, including
grinding, brewing, specialty drink preparation, and
cleanliness protocols. SOPs ensure consistency,
efficiency, and adherence to quality standards.

6. Staff Training: Provide comprehensive training to the


staff involved in coffee processing. This includes
training on equipment operation, brewing techniques,
drink preparation, and adherence to SOPs. Regular
training sessions can help maintain consistency and
improve skills.

7. Waste Management: Implement strategies to minimize


waste during coffee processing. This may include proper
measurement of coffee grounds, efficient use of resources
like water and milk, and recycling or composting
initiatives.

8. Compliance with Regulations: Ensure compliance with


local health and safety regulations, food handling
guidelines, and any other applicable regulations related
to coffee processing and production.

It's Important to customize the processing plan and


requirements based on the specific needs and goals of
Mae’s coffee shop. Continuously evaluate and improve
processes to optimize efficiency, quality, and customer
satisfaction.

SOURCE OF MATERIAL

The source of materials for Mae’s coffee shop can vary


depending on the specific needs and preferences of the
business. Here are some potential sources of materials
for a coffee shop:

1. Coffee Beans: Coffee beans can be sourced from local


coffee roasters, specialty coffee suppliers, or directly
from coffee farms. Building relationships with reliable
suppliers ensures a consistent and high-quality supply of
coffee beans.

2. Syrups and Flavorings: Syrups and flavorings for


specialty drinks can be obtained from suppliers
specializing in coffee shop supplies. Local distributors
or national suppliers can provide a variety of options to
suit different flavor preferences.

44
3. Dairy Products and Milk Alternatives: Milk and dairy
products can be sourced from local dairy farms or through
distributors. For milk alternatives like soy, almond, or
oat milk, suppliers specializing in plant-based products
can be considered.

4. Paper Cups and Containers: Paper cups and containers


for serving coffee and other beverages can be sourced
from packaging suppliers or specialty coffee shop
suppliers. Consider eco-friendly option.

PRODUCTION COSTS

Determining the production cost of Mae’s coffee shop


requires a detailed analysis of various factors,
including the cost of raw materials, labor, overhead
expenses, and other operational costs.

1. Raw Materials: Calculate the cost of coffee beans,


milk, syrups, flavorings, and other ingredients used in
the production of coffee and specialty beverages.
Consider the quantity used per serving and the purchase
price from suppliers.

2. Labor Costs: Determine the wages and benefits for the


staff involved in the production process, including
baristas, kitchen staff, and cleaning personnel. Take
into account the number of hours worked and the
applicable wage rates.

3. Overhead Expenses: Include overhead costs such as


rent, utilities, insurance, licensing fees, and other
operational expenses. These costs.

OPERATIONAL PLAN

The operational plan of Mae’s coffee shop outlines the


day-to-day activities and processes necessary for the
smooth functioning of the business.

1. Opening and Closing Procedures: Define the procedures


for opening and closing the coffee shop, including tasks
such as turning on/off equipment, setting up displays,
preparing the cash register, and ensuring cleanliness.

2. Staffing and Scheduling: Determine the staffing


requirements based on customer demand and the size of the

45
coffee shop. Develop a staffing schedule that ensures
adequate coverage during peak hours and considers factors
such as breaks and shift rotations.

3. Customer Service: Establish guidelines for providing


excellent customer service. Train staff on greeting
customers, taking orders accurately, maintaining a clean
and welcoming atmosphere, and resolving customer
inquiries or complaints.

4. Menu and Product Offerings: Regularly review and


update the menu based on customer preferences and market
trends. Consider.

### Assumptions:
1. Coffee shop located near a school with 2500 potential
customers.
2. Average daily customers: 40
3. Average transaction value: 25 pesos
4. Production cost per cup: 9 pesos
5. Operating hours: 6 hours per day, Monday to Friday
during the school term.

### Projected Statement of Comprehensive Income (3


Years):

| Year | Revenue (Daily) | Operating Cost (Daily) |


Gross Profit (Daily) | Operating Days | Gross Profit
(Annual) |
|-------|------------------|------------------------|----
------------------|----------------|---------------------
-|
| Year 1| 1,000 | 360 |
640 | 200 | 128,000
|
| Year 2| 1,000 | 360 |
640 | 200 | 128,000
|
| Year 3| 1,000 | 360 |
640 | 200 | 128,000
|

### Projected Statement of Cash Flows (3 Years):

| Year | Cash Inflows (Daily) | Cash Outflows (Daily) |


Net Cash Flow (Daily) | Operating Days | Net Cash Flow
(Annual) |
|-------|----------------------|------------------------|
-----------------------|----------------|----------------
--------|

46
| Year 1| 1,000 | 360 |
640 | 200 | 128,000
|
| Year 2| 1,000 | 360 |
640 | 200 | 128,000
|
| Year 3| 1,000 | 360 |
640 | 200 | 128,000
|

### Projected Statement of Changes in Equity (3 Years):

Assuming the initial equity is invested by the owner,


changes in equity will be based on profits generated.

| Year | Beginning Equity | Net Income | Ending Equity |


|-------|------------------|------------|---------------|
| Year 1| - | 128,000 | 128,000 |
| Year 2| 128,000 | 128,000 | 256,000 |
| Year 3| 256,000 | 128,000 | 384,000 |

### Projected Statement of Financial Position (Balance


Sheet) (3 Years):

| Assets | Year 1 | Year 2 | Year 3 |


|--------------------|--------|--------|--------|
| Cash | XXX | XXX | XXX |
| Equipment | XXX | XXX | XXX |
| Total Assets | XXX | XXX | XXX |

| Liabilities and Equity | Year 1 | Year 2 | Year 3 |


|------------------------|--------|--------|--------|
| Accounts Payable | XXX | XXX | XXX |
| Equity | XXX | XXX | XXX |
| Total Liabilities and Equity | XXX | XXX | XXX |

### Financial Statement Analysis:

1. **Profitability:** Analyze the gross profit margin and


net profit margin. For example, Gross Profit Margin =
(Gross Profit / Revenue) * 100.
2. **Liquidity:** Assess the cash position and the
current ratio (Current Assets / Current Liabilities).
3. **Return on Investment (ROI):** Evaluate the return on
equity (Net Income / Equity) to understand the
profitability relative to the investment.
4. **Sensitivity Analysis:** Consider different
scenarios, such as changes in the number of daily
customers or fluctuations in production costs, to
understand the business's sensitivity to changes.

47
Appendix

Location Map

48
Logo

49

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