FEASIBILITY REPORT ON ESTABLISHING THE HARMONY RESTRAURANT In partial fulfillment of Entrepreneurship & Management of Innovations

CONTENTS
SR NO PREFACE ACKNOWLEDGEMENT 1 INTRODUCTION ABOUT THE CONCEPT OF RESTAURANT 1.1 DEFINITION OF RESTAURANT 1.2 CHARACTERISTICES OF RESTAURANT 1.3 DIFFERENCE BETWEEN HOTEL & RESTAURANT 1.4 RESTAURANT CHAIN 1.5 FAST FOOD RESTAURANT 2 3 SCOPE OF THE PROJECT RESTAURANT PROFILE 3.1 OBJECTIVES 3.2 MISSION STATEMENT 3.3 OUR TEAM 3.4 PLUS POINT OF OUR RESTAURANT THAN THE COMPETITORS 3.5 ESTIMATED STAFFS IN RESTAURANT 4 5 6 7 PRODUCT PROFILE PROMOTERS PROFILE MENU OF HARMONY EQUIPMENTS IN RESTAURANT 7.1 F & B EQUIPMENTS 7.2 KITCHEN EQUIPMENTS PARTICULAR

7.3 ELECTRONIC EQUIPMENTS 7.4 BANQUET HALL EQIPMENTS 8 9 10 11 12 13 14 SALARY BUDGET FIXED & VARIBALE COSTS MARKET TRENDS MARKET POTENTIALS MARKETING STRATEGIES ESTIMATED DAYS FOR STARTING THE RESTAURANT FINANCIAL ANALYSIS 14.1 TRADING A/C 14.2 PROFIT & LOSS A/C 14.3 BALANCE SHEET 15 CONCLUSION

CHAPTER 1 INTRODUCTION ABOUT THE CONCEPT OF RESTAURANT 1.1 DEFINITION OF RESTRAURANT

A restaurant is an establishment that serves prepared food and beverages to be consumed on the premises. The term covers a multiplicity of venues and a diversity of styles of cuisine.

Restaurant means a business whose principal purpose is the sale of food or beverage served in paper, plastic or other disposable containers for immediate consumption inside, outside or away from the building, including businesses that provide delivery of food for immediate consumption.

In the restaurants, products and suppliers are used on a first-in, firstout basis to ensure freshness.

All restaurants provide warm and inviting environment and a variety of comfortable seating arrangements to accommodate anyone from a single individual to a large family. .

1.2 CHARACTERISTICS OF RESTRAURANT

1. A business involving the preparation and serving of meals for Consumption on the premises or off the premises. 2. Normally require short amounts of time between the period of ordering and serving of the food. 3. Serve in edible or disposable containers. 4. Provide delivery of food for immediate consumption. 5. All restaurants provide warm and inviting environment and a variety of comfortable seating arrangements to accommodate anyone from a single individual to a large family.

1.3 DIFFERENCE BETWEEN HOTEL AND RESTAURANT

1. Most hotels are family- run establishments and, as such, the services are more personalized than professional.

2. Hotels are classified into A, B, C and Economy category Guesthouses fall under Upper, Medium and Economy class.

while

Tariff quoted in A and B category hotels include all meals, a system followed by most establishments. The guesthouses is a less formal facility offering rooms is a part of a residential house or its annex, where the guests can share the family kitchen for meals.

3. During the peak tourist season i.e. early June to mid-September, it is Advisable to book hotel rooms in advance.

1.4 RESTAURANT CHAIN

Restaurant chain is a set of related restaurants, typically with the same name in many different locations either under shared corporate ownership or franchising agreements.

1.5 FAST-FOOD RESTAURANT

A fast-food restaurant is a restaurant characterized by food which is supplied quickly after ordering and by minimal service. Food purchased may or may not be eaten quickly as well.

CHAPTER 2 SCOPE OF THE PROJECT

The aim of preparing this project report is to know how to establish the restaurant. The location of the restaurant is on Aroma circle, Abad Palanpur highway, Palanpur. The place has been selected to capture the market potentiality and untapped opportunity present on this highway.

The area of the land covers 12000 Sq. Feet. The land is an agricultural land, which is needed to be converted into Non-agricultural land. This procedure requires minimum 4 months. Construction work can be started when the government approves this land as a non-agricultural. The minimum time period for the completion (including approval of N.A. land) is one year.

The restaurant is a part of service industry so that it very difficult is for marketer to provide the services so; its a challenging job.

Service-product mix consists of: -

Restaurant Banquets hall There is a full range of services. And a customer-driven approach will be used. The valuable service will be given a priority.

The earlier survey made and prevailing market trends shows a huge market potential. There is a lack of outstanding quality in the niche market where the restaurant is planning to enter. The survey also shows certain unmet demands of customers in the market, which the restaurant is going to target. Such as, poolside banquet halls, modern styled , a peaceful environment (coffee shop).

Though the cost of the project is very high, the project is expected to generate higher profits in the long run.

CHAPTER 3 RESTAURANT PROFILE

Registered Name HARMONY RESTAURANT Size of Restaurant Medium Scale Restaurant Products Food & Beverages Bankers Name State Bank of India Location of Restaurant Palanpur Ahmedabad Highway, Aroma circle, Palanpur 385001 (B.K.) Partners Limbachiya Hemang D. Patel Bhailal M. Patel Kirankumar J. Prajapati Mahesh S.

3.1 OBJECTIVES OF RESTAURANT

To provide high quality food to the customers. To provide better services to the customers. To provide better sitting facility to the customers. To provide better environment to the customers. To provide better waiting facility to the customers.

3.2 MISSION
The mission of our restaurant is

Every employee strives to provide 100 percent customer satisfaction - for every customer every visit. This includes fast, friendly and attentive service, accuracy in order taking and filling, and anticipation of customers needs.

To achieve the economies of scale to minimize costs while maximizing value to Customers.

To achieve leadership, core and functional competencies restaurant business.

3.3 OUR TEAM

The ultimate aim of our restaurant is to remain the customer satisfaction and we have an energetic professional with proven calibre and the required expertise. Under the partnership of our team, we are never lacking in our efforts to make every single deal a resounding success. Working together as a well-knit team with a common goal to satisfy customer by providing quality food at competitive price and adhering to strict delivery schedules. This team consists of the experienced and dedicated staffs, who work in a team spirit to achieve common goals. In our pursuit for overall excellence, we have evolved pro-active mechanisms and work culture with introducing new food and beverages to satisfy customer and attract new customer. The Success of Organization will always depend on knowledge, experience and skills of the promoters, so it is necessary that whosoever are the owners of the company they must pour their blood to build image of the company.

3.4 PLUS POINTS OF OUR RESTAURANT THAN THE COMPETITORS

1. Give customers high quality foods. 2. Serve quickly than the competitors

3. Location of restaurant at clean and pleasant environment. 4. Serve the customers at a fair price than the competitors 5. Use of highest quality, freshest ingredients to make foods. 6. Use of the most current state of cooking equipment to ensure quality and safety in serving the customers. 7. Our restaurant provides a clean, comfortable environment especially suited for families.

3.5 ESTIMATED STAFFS IN RESTAURANT

TOTAL STAFF : 40

MORNING STAFF:

AFTERNOON STAFF

16

EVENING STAFF

16

40

CHAPTER 4 PRODUCT PROFILE

PRODUCT CHARACTERISTICS

(1) Restaurant - A new concept of restaurant in the city - Special facilities: Membership card - Special discounts on festivals - Wide range of varieties in menu and quality food

(2) Banquets - Lawn-cum-pool side banquet halls are there - Capacity: Lawn side In side : 300 persons : 200 persons

- The main advantage of the design of banquet hall is that at the same time on the one place two parties can be simultaneously arranged. - And second one is in house banquet hall, which in-house hall can be used as a banquet hall when it is unused for discotheque - In-house is specially designed for conferences, with extra chargeable services. - Environment, which customers must consider at the time of decision-making. Customers can get here very different, peaceful, enjoyable and unique environment.

CHAPTER 5 PROMOTERS OF PROFILE

Name Address Age Qualification Mr. Prajapati Mahesh S. Palanpur 22 Years. M.B.A (Marketing), B.B.A (Marketing & finance)

Name Address Age Qualification

Mr. Limbachiya Hemang D. Patan 22 Years. M.B.A (Marketing), B.Com (Accounts & Auditing)

Name Address Age Qualification

Mr. Patel Kiran J. Palanpur 23 Years. M.B.A (Finance), B.B.A. (Finance & Marketing)

Name Address Age Qualification

Mr. Patel Bhailal M. Mehsana 23 Years. M.B.A (Marketing), B.B.A. (Export & Marketing)

CHAPTER 6 MENU OF HARMONY

SOUP Tomato Soup Sweet Corn Soup Sweet Corn Veg. Soup Veg. Hot & Sour Soup Veg. Man-Chow Soup Cream Of Veg. Soup Veg. Noodle Soup 30.00 40.00 45.00 40.00 45.00 40.00 40.00

APPETISERS Paneer Tikka Dry Veg. Manchurian Dry Mushroom Manchurian Dry Paneer Chilly Dry Veg. Spring Roll Spicy Capsicum 55.00 40.00 50.00 45.00 55.00 45.00

SALAD Green salad Tomato salad Cheese cherry pineapple stick Cucumber salad 25.00 20.00 30.00 25.00

INDIAN PANJABI HARMONY Sp. Veg. Paneer Toofani Paneer Tikka Masala Paneer Butter Masala Paneer Bhurjee Paneer Tava Masala Paneer Handi Paneer Lajavab Kadai Paneer Paneer Do-Pyaza Kesari Handi Mutter Paneer Palak Paneer Dam Aloo Sp. Veg. Handi Mix Veg. Veg. Kadai Veg. Kolhapuri Veg. Jaipuri Veg. Makhanwala Veg. Hydrabadi Veg. Handi Veg. Dilruba Veg. Tava Masala Veg. Shoal Aur Shabnam Kaju Butter Masala 60.00 55.00 60.00 55.00 60.00 65.00 60.00 60.00 55.00 60.00 55.00 50.00 45.00 40.00 50.00 45.00 50.00 50.00 50.00 55.00 55.00 45.00 50.00 55.00 55.00 60.00

KOFTA Malai Kofta Nargish Kofta Kashmiri Kofta Veg. Kofta 40.00 45.00 45.00 40.00

SWEET DISH Shahi Paneer Navratna Korma Veg. Singapori Khoya Kaju Dum Aloo Kashmiri Paneer Mogalai 45.00 50.00 50.00 50.00 45.00 55.00

TANDOORI Roti Butter Roti Parotha Butter Parotha Stuffed Parotha Methi Parotha Kulcha Butter Kulcha Stuffed Kulcha Nan Butter Nan Stuffed Nan 8.00 10.00 12.00 15.00 18.00 15.00 15.00 18.00 20.00 15.00 18.00 18.00

Cheese Nan Kashmiri Nan

20.00 20.00

RICE HARMONY Pulav Steam Rice Jeera Rice Veg. Pulav Kashmiri Pulav Veg Biryani Veg Hydrabadi Biryani Handi Biryani 50.00 40.00 45.00 50.00 55.00 55.00 60.00 60.00

FRIED RICE Veg. Fried Rice Noodles Fried Rice Garlic Ginger Fried Rice Mushroom Fried Rice Jeera Fried Rice Veg. Hong Kong Fried Rice Szechwan Fried Rice 45.00 50.00 50.00 55.00 50.00 60.00 60.00

DAL Dal Tadka Dal Fry Butter Dal Makhani 35.00 40.00 45.00

RAITA Pineapple raita Boondi raita Mix raita Tomato raita Onion raita Curd 25.00 25.00 30.00 25.00 20.00 15.00

CHINESE American Chopsuey Chinese Chopsuey Paneer Chilly Mushroom Manchurian Szechwan Hakka Noodles Veg. Manchurian Veg. Hong Kong Veg. Chow Mien Veg Chow-Chow Veg Singapore Veg Boll In Garlic Sauce Veg Hakka Noodles 50.00 50.00 55.00 50.00 45.00 40.00 45.00 45.00 50.00 60.00 50.00 55.00

CONTINENTAL HARMONY Sp. Sizzler Veg. Grilled Sizzler Backed Macroni With Pineapple Backed Veg. With Pineapple 75.00 60.00 50.00 45.00

Backed Spaghetti With Pineapple French Revoling Backed Macroni Backed Spaghetti Backed Veg.

50.00 40.00 45.00 45.00 40.00

PAPAD Roasted Papad Fry Papad Masala Papad 5.00 8.00 10.00

SOUTHINDIAN HARMONY Sp. Dhosa Sada Dhosa Masala Dhosa Rava Sada Dhosa Rava Masala Dhosa Paper Sada Dhosa Paper Masala Dhosa Family Dhosa Spring Dhosa Mysore Dhosa Mysore Masala Dhosa Plain Uttapam Tomato Uttapam Masala Uttapam Six In One Uttapam 35.00 25.00 30.00 30.00 35.00 25.00 35.00 50.00 45.00 35.00 40.00 25.00 30.00 35.00 45.00

Idly Sambhar Fry Idly Mendu Wada Sandwich Uttapam Upma

30.00 35.00 30.00 40.00 30.00

SNACKS HARMONY Break Fast Bread Butter Bread Butter Jam Veg. Sandwich Veg Toast Sandwich Veg Grill Sandwich Veg Cheese Sandwich Veg Cheese Toast Sandwich Veg Cheese Grill Sandwich Garlic Toast Sandwich Veg Club Sandwich Cutlet Samosa Finger Chips Masala Sandwich Chana Chat Wafer 65.00 15.00 20.00 20.00 20.00 25.00 25.00 30.00 35.00 25.00 30.00 25.00 20.00 25.00 25.00 35.00 15.00

HOT BEVERAGES Tea 8.00

Masala Tea Coffee Milk Bournvita Corn Flakes with Milk

10.00 10.00 10.00 15.00 25.00

COLD BEVERAGES Butter Milk Lassi Special Lassi Fresh Lemon Water Lime Soda Jal Jeera Jal Jeera Soda Soft Drinks Soda Mineral Water Cold Coffee Cold Coffee With Ice Cream 10.00 25.00 30.00 10.00 15.00 10.00 15.00 12.00 10.00 15.00 25.00 30.00

FROZEN DESERTS Raj Bhog Ice Cream Butter Scotch Ice Cream Anjeer Ice Cream Kaju Draksh Ice Cream Kesar Pista Ice Cream Cassata Ice Cream 35.00 30.00 30.00 25.00 25.00 25.00

Vanilla Ice Cream Strawberry Ice Cream Pineapple Ice Cream Chocolate Ice Cream

20.00 20.00 20.00 20.00

CANDY Mango Dolly Chocobar Raspberry dolly Chocolate cone Butterscotch cone 10.00 15.00 10.00 20.00 15.00

MILK SHAKE Kaju Draksh Kesar Pista Raj Bhog Butter Scotch Anjeer Vanilla Strawberry Pineapple 30.00 30.00 40.00 35.00 35.00 25.00 30.00 30.00

MILK SHAKE WITH ICE CREAM Kaju Draksh Kesar Pista Raj Bhog Anjeer 35.00 35.00 45.00 40.00

Vanilla Strawberry Pineapple Chocolate

30.00 30.00 30.00 30.00

CHAPTER 7 EQUIPMENTSIN RESTAURANT

7.1 F & B EQUIPMENTS

ITEM

QTY

UNIT PRICE (Rs.)

TOTAL COST (Rs.) 115 115 115 200 200 120 725 458 420 540 90 90 225 95 45 47 150 2300 2300 1150 1000 1000 600 4350 2748 2520 3240 270 270 900 190 900 940 12000

SPOON FORK KNIFE SERVICE SPOON SERVICE FORK SOUP SPOON LARGE PLATE SMALL PLATE SERVING BOWL DESSERT PLATE DESSERT FORK DESSERT SPOON CUPS AND SAUCERS TEA SPOONS MILK POT SUGAR POT WATER GLASS

20 Doz. 20 Doz. 10 Doz. 5 Doz. 5 Doz. 5 Doz. 6 Doz. 6 Doz. 6 Doz. 6 Doz. 3 Doz. 3Doz. 4 Doz. 2 Doz. 20 Nos. 20 Nos. 80 Nos.

SOUP BOWL WATER JUG SERVICE TRAY NAPKIN STAND JUICE GLASS (250 ML) JUICE GLASS (300 ML) SOUP CUP CANDLE STAND STRAW STAND TOOTH PICK STAND SERVICE TRAY (CONTINENTAL) BOTTLE OPENER BUFFET TABLES ROUND TABLES ROUND TABLES ( SMALL ) WOODEN CHAIRS TOTAL COST

3 Doz. 2 Doz. 20Nos. 5 Nos. 5 Doz. 5 Doz. 4 Doz. 20 Nos. 10 Nos. 20 Nos. 10 Nos.

360 3000 225 96 130 150 225 22 13 4 275

1080 6000 4500 480 650 750 900 440 130 80

2750 10 Nos. 5 8 20 25 6 300 350 200 110 60 1500 2800 4000 2750 65,548

7.2 KITCHEN EQUIPMENTS

ITEM QTY. UNIT PRICE (Rs.) 3 BURNER GAS RANGE 2 17,000 TOTAL COST (Rs.) 34000

FOR CHINESE 2 BURNER GAS RANGE FOR INDIAN 4 BURNER GAS RANGE CONTINENTAL BULK COOKER 3 SINK WASH UNIT WORK TABLE WITH SHELVES HOT PICK UP COUNTER 4 DOORS REFRIGERATOR SALAMANDER / TOASTER SANDWICH GRILLER DEEP FAT FRYER MIXER GRIENDER WATER COOLER JUICER DEGCHI (SMALL) ROUND SPOON FLAT SPOON GARBAGE CANS STEEL BOX ROLLING PIN HOT PLATE LARGE KNIFE 3 2 2 2 2 2 2 2 5 10 8 4 4 4 4 6 5,000 20,000 12,000 11,500 5,500 2,500 32,000 9,700 125 40 50 350 350 20 1,000 100 15000 40000 24000 23000 11000 5000 64000 19400 625 400 400 1400 1400 80 4000 600 2 2 2 3,000 12,000 4,000 6000 24000 8000 2 20,000 40000 6 16,000 96000

WET MASALA GRINDER BUTTER KNIFE ICE CREAM SCOOPER FRY PANS KADAI SLICER KNIVES SMALL OVEN TEA CUM MILK BOILER MOBILE TANDOOR DINNING TABLE TOTAL COST

2 4 4 8 5 5 10 2 2 4 10

700 63 45 40 50 35 90 600 2,200 1,100 1,800

1400 252 180 320 250 175 900 1200 4400 4400 18000 4,49,782

7.3 ELECTRONIC EQUIPMENT

Sr. No EQUIPMENT

QTY

PRICE PER QUANTITY

TOTAL COST 3,000 5,355 6,250 520 4,000 14,400 1,01,200 1,980

1 2 3 4 5 6 7 8

TUBE LIGHT FANS BIG FANS SMALL BULBS SALAMANDER WATER COOLER A.C. EXHAUST FANS

15 7 5 13 2 2 4 4

200 765 1250 40 2000 7200 25300 495

9 10 11 12

WEIGHT MACHINE REFRIGERATOR GRILLER OVEN TOTAL COST

1 2 2 2

5500 19700 1375 3750

5,500 39,400 2,750 7,500 1,91,855

7.4 EQUIPMENTS IN BENQUIT HALL

Sr. No.

EQUIPMENT

QTY.

PRICE PER THE EQUIPMENT

TOTAL COST

1 2 3 4

TUBE LIGHT BULBS A.C. VACCUM CLEANER

14 25 10 2

200 40 25300 5000

2800 1000 253000 10000

TOTAL

51

30,540 2,66,800

CHAPTER 8 SALARY BUDGET

FRONT OFFICE BUDGET

Sr. No.

DESIGNATION

NO. OF STAFF

SALAR Y PER STAFF

MONTHL Y PAY

Yearly PAY

RESTAURANT MANAGER

10,000

10,000

1,20,000

2 3

GATE KEEPER ACCOUNTANT TOTAL

1 1 3

1,500 5,000 16,500

1,500 5,000 16,500

18,000 60,000 1,98,000

KITCHEN DEPARTMENT

Sr. No.

DESIGNATION

NO. OF STAFF

SALARY PER STAFF

MONT HLY PAY 6,000

YEARLY PAY

EXECUTIVE SHEAF

6,000

72,000

2 3

OTHER SHEAFS KITCHEN STEWARD TOTAL

7 4

3,000 1,200

21,000 4,800

2,52,000 57,600

12

31,800

3,81,600

FOOD & BEVERAGE DEPARTMENT

Sr. No.

DESIGNATION

NO. OF STAFF

SALARY PER STAFF

MONTH LY PAY

YEARLY PAY

1 2

F & B MANAGER STEWARD

1 25 26

6,000 1,500 7,500

6,000 37,500 43,500

72,000 4,50,000 5,22,000

TOTAL

TOTAL SALARY OF ALL DEPARTMENTS

Sr. No. 1 2 3

NAME OF DEPARTMENT

MONTHLY PAY

YEARLY PAY

FRONT OFFICE FOOD & BEVERAGES KITCHEN TOTAL

16,500 43,500 31,800 91,800

1,98,000 5,22,000 3,81,600 11,01,600

CHAPTER 9 FIXED (INSTALLATION) COST

Sr. No. 1 2 3 4 5 6 7 8 9 TOTAL CIVIL WORK COST LAND COST KITCHEN COST GAS CONNECTIONS TELEPHONE CONNECTIONS COMPUTERS FURNITURE FIRE FIGHTING PLAN GENERATORS 27,00,000 35,00,000 6,65,475 2,09,467 5,000 25,000 6,65,091 16,300 65,000 7851333 PARTICULARS AMOUNT

VARIABLE COST

Sr. No. 1 1.1 1.2 2 3 5

PARTICULARS

AMOUNT

LABOUR COST SALARY STAFF MEAL ELECTRICITY TELEPHONE MISCELLANEOUS 91800 28250 61000 21500

5.1 5.2 5.3 5.4

STATIONARY CLEANING AGENTS GAS NEWSPAPERS TOTAL

8750 18000 13,600 1800 2,44,700

CHAPTER 10 MARKET TRENDS

There are certain restaurant in proper city, in Palanpur and deesa Such as, o Way wait o Lajvanti o Ramdev o Sudama o Khodiyar o Ramzumpdi o Banas But in the surrounding 2 5 k.m.s of area, from the region choosen, there is no availability even of any restaurant. Lajvanti and Way wait are, a very popular and good restaurant, once upon a time has suffered a lot due to the inconsistency in terms of product and service quality. Due to Way wait lost quality people are looking forward for that quality to come back into the market. People want a place where they can get everything from fun to rest. Highest traffic is being noted on this highway. This highway meets to the way of Ahmedabad.

CHAPTER 11 MARKET POTENTIAL

Lot of developments already done as well as still to be done on the highway. Very long distance from Palanpur and Ahmedabad. Road having a lot of traffic. Surrounding residential area. Major entertainment and other sources on highway. E.g. multiplexes, temples, Automobile showrooms, Car repairers. Adoptive nature and culture of people in region. People in search of a high standard/ quality service to come back into the market. Away from city area. Generally people like to have a peaceful and different place for the parties.

CHAPTER 12 MARKETING STRATEGIES

ADVERTISING o Advertisement in all the local news paper Gujarat Samachar Sandesh Divyabhashkar

INTERACTIVE MARKETING All the customers are targeted through interactive marketing. Helps managers or marketer to know customers satisfaction level as well as to know new expectations. Also helps to think towards serve new segments. One way to get customer as well as stakeholders feedback and thus help to increase the value.

MEMBERSHIP CARDS Membership cards for regular/ special customers. Regular customers will be included in the membership card scheme. Under this scheme the special benefits that customer can get 15 % discount in Restaurant 10 % discount in Banquets

ENTERTAINMENT PROGRAMS Food Festival Musical and cultural nights Exhibition of arts of different states Fix rate of dish and Buffet

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Customer relationship management to build long-term relationship with customers and to retain existing customers.

CRM practices would include: Greetings on birthday and special occasions Gifts to valuable customer. Cards customers on birthday and special occasions with an attractive offer to the customers for special occasion in the restaurant.

CUSTOMER QUERY HANDLING Query handling on the telephone as well as personally.

CHAPTER 13 ESTIMATED DAYS FOR THE STARTING THE RESTAURANT Work

Start Execution Foundation Up to Plinth Coping Bricks works up to linther Bricks works up to celing level Electrical work Slab Work Bricks works up to linther Bricks works up to celing level Electrical work Plaster work P.O.P work Furniture Other End

Estimated day
0 day 15 days 22 days 28 days 34 days 53 days 66 days 85 days 98 days 107 days 122 days 129 days 165 days 195 days 235 days 255 days 270 days

CHAPTER 14 FINANCIAL ANALYSIS

14.1 TRADING ACCOUNT FOR THE YEAR ENDED 31, MARCH 2006

PARTICULARS

AMOUNT

PARTICULARS

AMOUNT

To Purchase To Food Purchase To Transportation Cost To Inventory Maintenance Cost To Gross Profit (Transferred To The P & L A/c) 10,58,682 24618 7,65,715 71200

By Sales By Food Sales 19,20,215

Total

19,20,215 Total

19,20,215

14.2 PROFIT & LOSS ACCOUNT FOR THE YEAR ENDED ON 31

MARCH - 2006

Dr. PARTICULARS Expenditure Amounts PARTICULARS To Gross Profit (Transferred from trading Beverages Consumed To Salaries To Staff Meal Expenses A/c To Electricity Expenses To Telephone Expense To Administrative Expenses To Stationary Expenses To Cleaning Agents To Maintenance & Repairs A/c To Gas A/c To Newspaper Expenses A/c To Decoration Expenses A/c To Generator & Diesel A/c To Panchayat Tax To Fire Fighting A/c To Depriciation : 93000 13600 1800 65000 53025 3500 16300 70000 A/c 1161600 Income 28250 Sale Of Food, Beverages 21000 Income from banquet hall 61500 69780 8750 18000

Cr. Amounts 10,58,682

2220000 675000

Building Equipment Furniture

160000 35359 19000 214359 380000

To Interest On Loan To Interest On Capital Kiran A/c Bhaillal A/c Hemang A/c Mahesh A/c

60000 60000 60000 60000

Net profit (transferred to B/S) Total 3,75,536 28,95,000 Total 28,95,000

14.3 BALANCE SHEET FOR THE YEAR ENDED 31st MARCH,

2006

Liabilities

Amount Assets

Amount

Capital A/c Kiran A/c Bhaillal A/c Hemang A/c Mahesh A/c 1000000 1000000 1000000 1000000

Land & Building F& B equipment Kitchen Equipment Gas connections Telephone connections Computers

6200000 65548 665475 209467 5,000 25,000 665091 191,855

Net profit loan from SBI

3,75,536 4000000

Furniture Electronic equipment Equipment in restaurant and banquets hall fire fighting equipment Generators

266800 16300 65000 8375536

Total

8375536

Total

CHAPTER 15 CONCLUSION
After preparing the project report on Entrepreneurship & Management of Innovations, we conclude that establishment of any organization is really a crucial task. The promoters have to deal with many circumstances which require high involvement in decision making and strategic planning regarding proper innovations.

However it is essential that the good top management personnel for the entire Unit who carry out their responsibilities in well manner.

The motto of our restaurant is:TO SERVE THE CUSTOMERS AT FAIR PRICE.

The only thing that we have to keep in mind that as the market potential for restaurant is increasing, we have to maintain our reputation by maintaining the quality of the services and customer relationship also. The net profit of our restaurant in the year 2006 is Rs. 3,75,536 and we always try our best to achieve the targeted profit in the later years.

We have tried our level best to prepare this entrepreneurship & management of Innovation report. If any mistake is there in preparing this report, please excuse us.