Preface

In the past, the competition between Thai Lanna food businesses is not high and the
size of investment is small. Then the entrepreneurs can make a decision in easily and not
concern about feasibility study. Nowadays is globalization that there is high competition in
any businesses. So, there are many factors that have influence to the investment such as
internal factors, external factors, economic, technology, social, and legal which are more
influence to decision making. So, the entrepreneurs in both of small and large must learn and
understand about the feasibility of project in carefully.
The study of feasibility also concerns details in every parts of administration that
consist of planning, analysis, financing, and marketing until evaluation. We learn about the
feasibility of Thai Lanna food business for use it to be guideline to do the business in the
future.
If our report has any problems, we are apologizing in our mistake and we promise that
we will do it better in the next project.

Regard
Bindu Thai Lanna Restaurant
 Contents

Acknowledgement....................................................................................................................9
Chapter 1: Introduction........................................................................................................10
Background and significance of the project......................................................10
Project objectives.............................................................................................12
Benefits of project............................................................................................12
Activities/ Time frame.......................................................................................13
Chapter 2: Industry Profile...................................................................................................15
Nature of Industry.............................................................................................15
Situation of Industry.........................................................................................17
Product/Service (in General).............................................................................18
Product.......................................................................................................... 19
Service...........................................................................................................21
Vision................................................................................................................ 23
Mission.............................................................................................................. 23
Business Strategy.............................................................................................23
Corporate Level.............................................................................................23
Business Level...............................................................................................24
Functional Level............................................................................................24
Chapter 3: Market Feasibility Study....................................................................................26
Market Analysis................................................................................................ 26
Political Analysis............................................................................................26
Economy Analysis..........................................................................................27
Social and Environment Analysis ..................................................................30
Technology Analysis......................................................................................31
Competition Analysis (3Cs Analysis).................................................................32
Competitor Analysis.......................................................................................32
STP Analysis......................................................................................................39
Segment........................................................................................................ 39
Target............................................................................................................ 41
Positioning.....................................................................................................43
Marketing Mix Strategy.....................................................................................44
Product.......................................................................................................... 44
Price ............................................................................................................ 44
 Place.............................................................................................................. 45
Promotion...................................................................................................... 45
Sale Forecast/ Profit estimate...........................................................................45
Marketing Expense...........................................................................................55
Conclusion........................................................................................................ 61
Chapter 4: Production and Operation Analysis..................................................................63
Product Characteristic......................................................................................63
Production and service process........................................................................66
Location............................................................................................................ 66
Facility Layout.................................................................................................. 70
Logistics Management......................................................................................73
Facility Management........................................................................................73
Cost of investment............................................................................................74
Investment cost................................................................................................79
Depreciation..................................................................................................... 80
Depreciation Year 1.......................................................................................82
Depreciation Year 2.......................................................................................83
Depreciation Year 3.......................................................................................85
Depreciation Year 4.......................................................................................87
Depreciation Year 5.......................................................................................89
Operating cost..................................................................................................92
Management Analysis.......................................................................................92
Chapter 5: Financial analysis................................................................................................93
Income statement.............................................................................................93
Year 1............................................................................................................ 93
Year 2............................................................................................................ 95
Year 3............................................................................................................ 97
Year 4............................................................................................................ 99
Year 5.......................................................................................................... 101
Cash Flow....................................................................................................... 103

Balance sheet.................................................................................................109
NPV and IRR....................................................................................................114
Chapter 6: Risk....................................................................................................................121
Internal risk.................................................................................................... 121
 External risk....................................................................................................123
Chapter 7: Conclusion.........................................................................................................125
Appendices............................................................................................................................128
 Acknowledgement

• Thank Mr Chaiyawat Thongintr for consultation and suggestions about the process
approach.
• Thank my friends from other groups for suggestion the information and to reviews in
report.
• Thank about the Medias such as internet that give information or details to support
our report.
 Chapter 1: Introduction

Background and significance of the project

The Northern of Thailand is mountainous and more temperate than the rest of the
country, with slightly cooler weather year-round. Its location near China and Burma has
made the North a trading center and a crossroads for culture and people like the Tai,
Burmese, Chinese and many various hill tribes who all brought their own foods and cooking
styles. Our business decided to do Khan Tok Lanna restaurant at Chiangrai province.
Chiangrai is the first city of Lanna kingdom by King Mieng rai. When we think about
Chiangrai we must to think to Lanna traditional because it is the origin of Lanna so, it can
represent to Lanna traditional and Lanna cultural very well. And Khan Tok is a food
traditional of northern region. Therefore any reasons that we show to you are the reasons that
we decided to do our Thai Lanna restaurant at Chiangrai province.

Thai food varies from region to region due to geography and history. In the West,
most Thai restaurants serve Bangkok-style cuisine, so travelling in Thailand is a culinary
adventure of discovery. Lanna-style cuisine comes from the mountainous area of the country,
where the winter months are much cooler than anywhere else in Thailand, with some regions
even reaching freezing temperatures on the mountain tops! The region is abundant with wild
mushrooms, forest vegetables and fruits and wildlife which all feature in this less well-known
regional cuisine of Thailand.

The foods of the Northern or Lanna are characterized by this abundance of flavors and
influences, with many typical foods tracing their origins to a number of different cuisines.
The North's historical isolation, thanks to its mountainous terrain, allowed its cuisine to
develop uniquely from that of Bangkok and the rest of Thailand. One of the most notable
characteristics of Lanna food is that it is not spicy and even somewhat bland or sweet in
flavor. (templeofthai, 2011)

The main thing that indicates to Thai Lanna foods is Khantoke, in the Northern dialect
means a wooden tray used for carrying dishes. Round in shape, it is made of wood, varnished
or lacquered with 5 or 6 short legs to support it. At a khantok dinner, the host and the invited
guests sit on the floor around the khantok, which serves 5 or 6 persons. The tradition of
wearing northern mohom costume for a khantok dinner is no longer observed today.
(Thaiwayamagazine, 2011)

So, if we talk about Thai Lanna business, we will think about many kinds of Thai
Lanna foods in restaurant. And there are many businesses in Northern Thailand. But have you
ever thought that how do you do in your business for different to other competitors which
there are a lot of Thai Lanna business in the present. And also how to motivate the customers
to interested in your restaurant. So, we brain storming for think about how our business will
differentiates from others. Eventually, we will build our restaurant to be “The giant of
Khantoke” for motivate the customers. Because of most of Thai Lanna restaurants have same
pattern, it means that some of them are Thai restaurant style, Lanna foods, Lanna
performances, etc. which many of them are same, then we think the main point of our
restaurant for to be the sale point for customers who want differentiate and identity in itself.
Therefore it different from others and difficult to build to be the giant of Khantoke so, we
have to use a lot of money and high investment. In addition to the tasty, clean, and fresh of
foods and the best Lanna performances will help to support for customers’ motivate to
interesting in this restaurant more and more. It will be the best things because most of people
must eat and want entertainment. It will make them happy and enjoy in during their meals. So
we think this business is very important for everybody all of past, present, and future.
Our business is Thai Lanna Restaurant, it provides several of Thai Lanna foods that
have famous both past and present. The reasons that make us to choose this business: first, we
are really interested in Thai Lanna foods because we think it make us to know about the way
of life of local people in the past. Then we really want to learn about Thai Lanna history by
though the Thai Lanna food. And then, we start to learn about the many kinds of Thai Lanna
foods much more for to be a professional. For make it to provide the customers who really
interested in Thai Lanna foods and want to taste it. Moreover, we concentrate to make any
Thai Lanna foods in every process for available to customer satisfaction. And second, we
want to publish Thai Lanna foods for everybody know what is it and how to make it in every
processes for everyone turn to pay attention for eat Thai Lanna foods more and more and also
the Lanna performances that demonstrate Thai Lanna tradition.
 Project objectives

The project Thai Lanna restaurant business has required knowledge and objective as
follow

1. For study in the real situation and analysis situation.

2. For study about marketing and competitors.

3. For study return and risk of project.

Benefits of project

The benefit from project after accomplish from set and learn process of the project,
and it lead you to understand every step to make the project in the real life.

1. Generate the creative ideas

2. Can evaluate and identify the meaning of the Project Feasibility.
3. Have more ability to solve the problem when situation change.
4. Have more skill and efficiency to do the project in the real situation.
5. Have participation of group work.
6. We will know how to manage the restaurant in realistic.
7. We can forecast what will happen or what should we do to operate our
business. We can cut the cost and save money to the future.

8. This project will help us to be young businessman.

 Activities/ Time frame

Ti
me Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9

Activities

1. Meeting and
discussion for
choose the
business that we
want to do.
2. Plan the
operation of
business.
3. Survey the
market of Thai
Lanna restaurant
and choose target
market of
business.
4. Set the budget
of the business.
5. Survey good
location of the
business and buy
the building.
6. Design and
decorate the
business.
7. Buy material
and equipment.
8. Set up
electronic and
equipment.

9. Promote our
business and
advertisement.

Table 1.1: Show activities/time frame of study

 Chapter 2: Industry Profile

Nature of Industry

The history of Kantoke and traditional

Kantoke tradition is the popular traditional of northern

people have to practice together since of ancient tradition.
Kantoke is the dinner party by eating Kantoke and there are many
names call Kin Khao Lang Kontoke and Kantoke tradition or
Satoke.
Kantoke is a container made of wood by take the lathe
cycle like a tray. A small Kantoke have diameter about 14 inches
and big size have diameter about 20 inches or if Kantoke for lord of north or baron will be
modified as luxury and beautiful, sometime Kantoke make by silver or Tong Kalai or lacquer
and gilded.
In the ancient, the north people popular to eat local food. When housewife made cook
completed to take Tok out of kitchen by in Tok have rice and many dishes and when finish to
eating to keep Tok for save the time. It is the culture of north people to practice succession
and Kantok tradition is also popular party to entertain visitors.
The present objectives Kantok tradition has to develop from the ancient for reception
guests visiting to give luxury, equations and for so impression. Addition, hospitality have to
applied by add to entertainment, atmosphere to feel northern city such as decorate stage by
flowers by the flower have to blend together in the concept of northern city for make guests
visiting feel good. So addition of objective for presents the spirit to the guests visiting and
gives equations to guests. It has aims at hidden several ways such
as some local have held Kantoke for conserve and revive the
culture in local, revive a traditional dress, make local food to
promote tourism and some local have built Kantoke party for make
the local people have the money and have jobs.
 Kantoke party will start from participate with people to provide everything include
with place by it have decorate the stage, scenes, and show on stage. The popular place is held
outdoors such as lawn by use mat for sit about5 to 6 people and Kantoke has in the middle.
The most Kantoke have foods about 5 to 6 such as Gaeng Haeng Lay, Keab Moo, Nam Prik
Ong, vegetables, and indispensable thing is sticky rice, sometime northern people call Khao
Neung. The people who make sticky rice have high skill and knowledge to make by start
from take rice to soak with water it call Ma Khao one night then when bring rice to steam and
when the rice ripen bring the rice to Kratip sometime call Aap or Kong Khao.
Kantoke party has often big Kratip it call Kratip Luang.
It have like general Kratip but it have big size and some local
has parade of Kratip Luang or Kantoke by the parade has Thai
dancing before parade of Kantoke and music for congratulate
and celebrate Kantoke party. When Kantoke parade arrive to
the party. The people bring Kratip Luang to the center of party
and divide sticky rice to small Krapit and distribute to people
around Kantoke party.
The people who eating Kantoke often sit on mat or bench and the people have wear
traditional dress of northern people by the men wear Mo Hom shirt, loincloth and jasmine
garland and the women wear sarong and shirt and keep flower in the ears or jasmine garland.
Addition meal dish, Kantoke has dessert for Kantoke party such as Khao Pad, Khao
Tan, fried banana, and Khao kob. For the atmosphere to built the guests visiting impression
by use light from lamp or candle and the stage has to decorate to feel northern city and have
music brand to play when the guests eating Kantoke and have the show of Thai dancing or
Thai Lanna dancing for break the program. The most popular show often have Thai Lanna
dancing and local music.
Now, Kantoke party has to adapt by
bring the arts and culture of northern
people to applied in to the present such
as held to contest of the lantern and
light the firework on the night.
Kantoke party is the identity traditional
of northern part of Thailand and it to
conserve the life style of northern
people, culture, and the way of life.
(khantok.com, 2010)

Situation of Industry
 At the present, The Thai Lanna restaurants around Chiang rai are about 5 restaurants.
There are Salungkam restaurant, Sabun Nga Khun Toke, Tong tung, Phu Lae, and Tok Tong.
It is popular Lanna restaurant style in Chiang rai. Each restaurant provides similar kind of
Thai Lanna menus for example Hung lae curry, Nam prik aong, Nam prik num, Fried
chicken, Fried vegetables, Chicken soup, Cab moo, Fried banana, Noodle box, Sticky Rice or
Boiled Rice, Sai ua, and Fresh fruits. In addition to, in some restaurants like Tok Tong or Sa
Bun Nga Khun Toke provide Lanna Folksong musics and showing Thai traditional dance. All
of restaurant located in the town of Chiang rai. The most popular Thai Lanna restaurant in
Chiang rai is Sa Bun Nga Khun Toke restaurant. It’s located on 226/50 San Kong Noy Road
Muang, Chiang rai. Open time everyday at 17.00 and close at 23.00 p.m. This restaurant has
differentiated among them. There are 50 tables and 2 rooms in their restaurant. The price is
about 100-200 per capita. They are specialty foods and Thai Lanna tradditional show to the
customer. They can attract a lot of tourist and well know restaurant in Chiang rai. And also
they can receive “Clean Food Good Taste” to be guaranteed their products.
According to situation industry in Chiang rai: consumer price index, Chiang rai
average 2550 up from the year 2549 4.6 percent as a result of prices of food and drink percent
increase 8.8, rice prices higher percentage 33.8, chicken percent increase 21.6, fresh
vegetables and fruit 29.5 percent increase is significant. It’s affect to restaurant businesses
can run their business more difficult, therefore the price of raw material increase. So, each
restaurant tries to cut cost but not reflect to the price of foods and customer satisfaction. For
each restaurant need to competition to another for attract new customers and maintain
previous their customer. So, our restaurant must compete with other restaurant by do
everything with high standard and maintain quality of control for keep customer satisfaction.
And develop strategy to deal with new modern technology while maintain Thai Lanna
traditional of our restaurant. (tripadvisor, 2010)

Product/Service (in General)

Present
 Khantoke dinners have long been a popular tourist attraction in areas of Northern
Thailand, particularly around Chiang Mai and Chiang Rai. Tourists are usually treated to
authentic northern Thai cuisine while being entertained by traditional dancers in decorative
costumes.

Traditionally when a northern Thai family eats they sit on small cushions around a
low table called a "toke". Their table features "khan" - an assortment of traditional northern
finger foods in small bowls served on a platter with large wooden spoons.

Eating this style of dinner involves breaking off chunks of " Khao Niew " sticky rice,
and either dipping it into the bowls with sauces or curries, or enjoying it with meat dishes.
There are always a variety of foods shared among the diners, so each can sample sweet, sour
and spicy tastes. Enjoying a Khantoke dinner is one of the best experiences you can choose as
a tourist to Thailand.

Product

There are many kinds of foods in Khantoke, it will include some of these:

Kang Hung Le: Pork Curry Northern Style

A Burmese influenced stewed pork curry which uses
peanuts, dried chilies and tamarind juice in the recipe but
containing no coconut milk.

Kao: Sticky Rice or Boiled Rice Sticky rice,

(called Khao Niew) is an essential and integral
element of Thai cooking and cuisine, and is a
must have accompaniment for certain dishes
such as Lanna foods, etc. In the Northern region, people always eat sticky rice with
their foods same as it is the part of their life.

Namprik Ong: Chopped Pork with Tomato and Herb.

It is a recipe for Northern Thailand's famous red minced
pork Namprik. Spicy pork based dipping sauce for raw
and steamed vegetables and one of Northern Thai
cooking's signature dishes.

Namprik Num: Spicy Chili Sauce Northern Style

with Fresh and Boiled Vegetable. Namprik Num is
chili paste, made from young chilies called numprik in
the Northern Thai dialect. The chilies are long and
light green. The chili paste itself is thick, wet and
fibrous, as a result of pounding together a mixture of
roasted chilies, shallots, garlic, tomatoes, and other
ingredients. Namprik Num is hot, salty, and sweet due to its
various ingredients, and sticky rice.

Kab Moo: Crispy Fried Pork Skin. (A deep fried

crispy pork rinds, often eaten with Namprik Num and
also eaten as a snack.)

Pud Pak: Fried Vegetable with Pork Shrimp

or Beef
 Sai Ua: Grilled Sausage of Ground Pork, a grilled sausage of ground pork mixed
with spices and herbs, similar to Lao sausage; it is often served with chopped fresh
ginger and chilies at a meal.

Kai Tod: Fried Chicken

Fruits and desserts: from

seasonal

Service

There are many varieties of countryside dances, old traditional dances and other local
ceremonial dances. Typical and popular dances you're likely to see while at one of these
shows will include some of these.

Candle dance (Fawn Tian): The typical of the Thai Kheun

tribe, this dance is performed in honor of the Buddha. The female
dancers pay homage to the divinities that protect the eight cardinal
points of the Earth, asking them to pass through the candlelight in
homage to the Buddha.

Sword dance: This dance is inspired by

an ancient martial art that requires tremendous courage and strength,
and excellent reflexes. The dancers balance a number of swords on different parts of their
bodies while fighting off their rival with a sword sheath.

Glong Sabad Chai (Drums ceremony): The

most famous drum in northern, hanging on the
double wooden bars carried by men who must
be puissance a muscular body. In the past,
people will use beat in the war for give spirit
and good luck for the brave soldiers. But now
it’s become to the main performance in
the Northern Thailand.

Salaw Saw Seung: The seung is a lute from the

northern region of Thailand. It made from hardwood
and its strings (numbering either four or six) are
most often made of steel wire. Along with the salaw
(3-string spike fiddle) and pi saw (free reed pipe).
So, all of these called the salaw-saw-seung
ensemble.

Fingernail Dance (Fawn Leb): It usually presented by five pairs of

female dancers. Each dancer will be wearing finger stalls of beaten and
polished brass; these "fingernails" are about 15 cms (6 ins) long and give
a wonderfully graceful extension to already supple fingers. They are also
designed to accentuate the fluid hand movements of Classical Dance.
(LannaGuide, 2010)
 Vision

Our business wants to remain the leading Thai Lanna food restaurant in Chiang Rai,
by presenting 100% of customer and guest satisfaction through quality, service, cleanliness,
and value. We also maintain a profitable operation to continue our product and service, at a
reasonable cost, in a comfortable atmosphere, with exceptional service for driving sales and
increasing profits.

Mission

We will establish partnerships with Thai Lanna catering and restaurant while
providing exceptional with the Thai Lanna shows with high quality experiences for customer
and guest by developing and training of our staff. In other hand, we will corporate citizenship
and support the development of the society and community too.

Business Strategy

Our business use business strategy to operate and manage the standard of Thai Lanna
Restaurant. We divided into 3 categories;

Corporate Level

Corporate Level is refers to the direction of business which used to describe the way
in development. The corporate level is a vision of the executive in the direction of the
organization, and can communicate the vision to employee and customer to realize. Our
business has vision is wants to remain the leading Thai Lanna food restaurant in Chiang Rai,
by presenting 100% of customer and guest satisfaction through quality, service, cleanliness,
and value. So, in corporate level our business in vision and find something to develop follow
this;
- Quality: maintain the quality of Lanna foods in original version for make identity of
our Thai Lanna Restaurant.
 - Service: our business have course to train the employee service personality for
service to customer satisfaction. And make customer know they are important by service
them in high standard quality.
- Cleanliness: foods of our restaurant are clean and fresh every day. We use the fresh
raw material to cooking foods. And we decoration our restaurant pattern to see clean and
clear.
- Value: we use the identity of Lanna to decoration into location for make value into
our restaurant. In our restaurant have Lanna traditional show for support to add value into our
service.

Business Level

Business Level is the strategy that business used in competitive enterprise for
selection an appropriate business strategy to determine what thing in our business should to
do first, for make our business has competitive advantages more than competitors. Our
business use “Differentiation Strategies” to make differentiated our business from the general
Thai Lanna restaurant in Chiang Rai, The form of our restaurant building is created the
building to look like to Tok. Tok is like a small table that put the cup of Thai Lanna foods
which use when Thai Northern people eating. Our Business created the building from look
like Tok because Tok is one symbol of Thai Lanna foods. We created our building
outstanding for make the business different from others and have identity for attract customer
who prefer the exotic Thai Lanna restaurant style.

Functional Level

Functional Level is refers to the policy line for division. The strategies used at the
operational level to achieve the objectives of the business, which can be evaluated in clearly.
From our business divide functional level follows this;
- Marketing: Our building was built different from other restaurants for attract many
customers to come to visit. Therefore in the Northern region have many Thai Lanna
Restaurants so we think if we create the difference thing from others, it has positive impact to
our restaurant. It makes our restaurant has more customers than others and get a lot of profit
in the future. And also we promote Lanna traditional foods and performances to customers. In
the future we will expand the branches in Northern region.
- Manufacturing: Our production process, we bring fresh and clean raw materials to
produce many kinds of Lanna foods for serve our customers.
- Logistic: We buy raw materials from local people because we think it will be
cheaper than others, fresh, clean and safety.
- Finance: We seek the outside investors for invest with our project. It’s about ten
million baht for initial capital.
 Chapter 3: Market Feasibility Study

Market Analysis
General Environment Analysis

Political Analysis
Although, the situation of Thailand will face with many problems such as political
instability, economic slowdown, and the higher of oil prices but Thai people still travel in
domestic continuously.

Number (thousand people) Incomes (million baht)

Number (thousand people)

Incomes (million baht)

So, the government try to solve these problems by offer policies for attract tourists
come to travel and invest more in every year. Then they announce tourism as a national
agenda on 17 April 2552 for every party help to recovery tourism industry crisis which is
main economic base of country to become better as quickly as possible. For these reasons the
government set strategy for stimulates tourism in 2552 – 2555. (thai2learn, 2011)
And then we think the policies that government creates and supports for help tourism
to be better are good ways for every business in country because they can run the business in
easy way. Therefore if the country doesn’t have tourism, business also can’t run. In addition
to tourism is very important that help to businesses in country are growth continuously. So,
it’s same with our business that wants tourists to come to use our service because we must to
use profit and income to run the business to be continues. So, it’s positive impacts to our
business for help our business is growth and run to the future.

Economy Analysis
In 2553, the number of international tourists that come to travel in Thailand is about
7.5 million persons. The growth rate increased by 13.7 percent from receive the number of
international tourists which so high in the first quarter. For the second quarter is decrease
condition from 2552 at 3.6 percent but tourists are still come to travel in Phuket by through
Phuket International Airport in continuously at 40 percent. So the forecast in 2553 about
overall of tourism that it’s better than in 2552 and have chance to growth of the number of
tourists at more than 14.5 million persons.
Although in 2553, Thailand had political crisis in domestic but it’s not direct impact
to tourism of Thai people because they think the tourism is important tool that help to
increase their own happiness and is the main reason to relaxation. So the forecast in 2553 will
have Thai people who come to travel in domestic around 88 million persons and caused the
current income in domestic around 413,000 million baht.
For the tourism situation in 2554, will have inflation problem by expect that the
number of travel in domestic around 91 million persons and can receive incomes from
tourism around 432,000 million baht in increased rate at 4.6 percent. For the international
marketing, will make revenue in tourism at 9 percent from the number of income around
600,000 million baht and the number of tourists around 15.5 million persons. The PATA
forecast the growth of tourists in 2554, which have chance to grow at 6 percent or more by
under the condition that do not impact on politic. In Thailand still have friendship, several of
tourist attractions, and value of money are strengths of Thailand in competition in world
marketing. So, Tourism Authority of Thailand (TAT) will use strategy for built strengthen by
use campaign “Amazing Thailand: Always Amazes You” and concern the charm and the way
of life of Thai people for represent “The charm of Thai” that have special identity. Because of
tourism is one of life that link together to be Thai identity in sustainable. (Ministry of
Tourism & Sports, 2011)
 International Tourist Arrivals to Thailand
By Nationality

Month 2008 2009 % 2010 %

January 1,437,686 1,269,978 -11.67 1,604,179 26.32
February 1,481,458 1,138,220 -23.17 1,614,844 41.87
March 1,407,649 1,237,132 -12.11 1,439,401 16.35
April 1,222,253 1,085,293 -11.21 1,108,209 2.11
May 1,172,310 923,918 -21.19 804,492 -12.93
June 1,155,004 954,772 -17.34 943,900 -1.14
July 1,275,557 1,094,658 -14.18 1,250,355 14.22
August 1,214,678 1,149,288 -5.38 1,251,556 8.90
September 890,066 1,040,538 16.91 1,191,755 14.53
October 1,094,452 1,209,473 10.51 1,313,577 8.61
November 1,076,156 1,361,574 26.52 1,472,752 8.17
December 1,156,951 1,684,997 45.64 1,802,160 6.95
Total 14,584,220 14,149,841 -2.98

Quarter 2008 2009 % 2010 %

Quarter 1 4,326,793 3,645,330 -15.50 4,658,424 27.80
Quarter 2 3,549,567 2,963,983 -16.50 2,856,601 -3.62
Quarter 3 3,380,301 3,284,484 -2.83 3,693,666 12.46
Quarter 4 3,327,559 4,256,044 27.90 3,406,269 -19.96
Total 14,584,220 14,149,841 -2.98

(Ministry of Tourism & Sports, 2011)

 Internal Tourism in Chiang Rai

Type of Data January - December

2007 2006 D (%)
Visitor 1,436,435 1,332,518 + 7.80
Thai 1,135,659 1,043,161 + 8.87
Foreigners 300,776 289,357 + 3.95
Tourist 1,218,331 1,173,563 + 3.81
Thai 952,813 911,665 + 4.51
Foreigners 265,518 261,898 + 1.38
Excursionist 218,104 158,955 + 37.21
Thai 182,846 131,496 + 39.05
Foreigners 35,258 27,459 + 28.40
Average Length of Stay (Day) 3.02 3.07 -
Thai 3.11 3.17 -
Foreigners 2.70 2.74 -
Average Expenditure ( Baht/Person/Day )
Visitor 2,516.41 2,489.10 + 1.10
Thai 2,368.44 2,321.84 + 2.01
Foreigners 3,137.05 3,166.33 - 0.92
Tourist 2,564.18 2,521.13 + 1.71
Thai 2,409.35 2,348.10 + 2.61
Foreigners 3,205.98 3,216.83 - 0.34
Excursionist 1,709.84 1,762.07 - 2.96
Thai 1,704.50 1,744.70 - 2.30
Foreigners 1,737.47 1,845.30 - 5.84
Revenue ( Million Baht )
Visitor 9,818.95 9,374.20 + 4.74
Thai 7,462.35 7,012.43 + 6.42
Foreigners 2,356.60 2,361.77 - 0.22
ACCOMMODATION ESTABLISHMENTS
 Establishments 111 113 - 1.77
Rooms 5,519 5,512 + 0.13
Occupancy Rate ( % ) 35.39 37.62 - 2.23
Average Length of Stay (Day) 1.65 1.72 - 0.07
Number of Guest Arrivals 885,611 862,321 + 2.70
Thai 639,292 621,549 + 2.85
Foreigners 246,319 240,772 + 2.30

(deparetment of tourism, 2010)

Social and Environment Analysis

Chiang Rai is a land of outstanding natural beauty, where visitors looking to avoid the
hordes for relaxation in their holiday. Today, Chiang Rai is a traveler’s paradise, endowed
with abundant natural attractions and antiquities. Attractions range from ruins of ancient
settlements and Buddhist shrines to magnificent mountain scenery and hill tribe villages. For
those interested in the natural side of Chiang Rai, jungle trekking is a magical experience;
explore the mountains of the north along various hiking trails, many of which access the
villages of diverse hill tribes groups, many of whom maintain their traditional lifestyles.
Chiang Rai, the former capital of the great Lanna Kingdom, is a fascinating province
filled with cultural and natural wonders, including the Golden Triangle where Thailand, Laos,
and Burma come together; an area that was once the hub of opium production, a trade that
had much influence on cultural practices and lifestyles. Chiang Rai had stayed off the tourist
radar for many years, its people enjoying very leisurely development and mostly traditional,
rural lifestyles. Until this day, entire clans live together in bamboo houses and each village
has its own individual character.
Recently tourism has boomed in Chiang Rai, where visitors have come to explore the
pristine natural beauty of the countryside, immerse themselves in the indigenous culture, taste
the traditional foods which have many kinds for provide you, including those of a variety of
different hill tribe communities. Fortunately for tourists, Chiang Rai is also a center for
community development projects, helping rural villagers develop their attractions without
adversely affecting their natural and cultural assets. (tourismthailand, 2011)
Technology Analysis
Technology has changed rapidly and has many new innovations in the present. Then
we think about the machine that will help us simply in our restaurant. That is the machine that
helps to order the menu. For example, when customers come to our restaurant, the waiter will
serve the foods and drinks for you. This machine can help you when you want foods and
drinks again, you can press the bottom on your table for call the waiter. And waiter will come
to you and ask what you want to eat something else? You can tell them and they will serve
for you. And therefore, our restaurant quite has many customers then we use the washing
machine for help us to wash the plate and dish. And we think in the future, we will bring new
technology to use in our restaurant for help us to convenience and fast in working.
 Competition Analysis (3Cs Analysis)

Competitor Analysis

For the Thai Lanna restaurant business in Chiang rai is quite competitors. The main
competitor of our Thai Lanna restaurant is Sa Bun Nga Khantoke, Chiang rai. Sa Bun Nga
restaurant is a famous restaurant in Chiang rai. They have identity in Lanna pattern for serve
to their customer. They accommodate tourist both Thai and foreign with experience of
executive for over ten years. Enabling it in mind, of quality and service. They have Thai
Lanna music and dance show. It also passed the citification standards in the “Mued Dang
Guide”, get “Clean Food Good Taste”, and “Thai Food Restaurant to International” rewards.
Sa Bun Nga restaurant is located next to International House Hotel Sa Bun Nga, G-Club as
well as good atmosphere, sweet song and handle private tourists too. They have 50 tables
available, 2 banquet, 50 cars on car park, Visa, Master Card. Tel: 053-123456 , Fax: 053-
987654 , and http://www.sabun-nga.com. Time open 17:00 – 23:00 pm. Hence, Sa Bun Nga
restaurant is famous well know restaurant in Chiang rai for a long time. It is high premium
standard degree of Thai Lanna Khantoke restaurant. (saban-nga khantok, 2010)
SWOT Analysis
Strength
- They are only one Thai Lanna
reataurant in Chiangrai.
- They provide many kinds of Thai Lanna
foods and also have shows.
- They have their own ingredient to make
their food such as Sai Ua.
- They accommodate both of Thai and
foreigner tourists.
Opportunity
- They no have competitor in their
restaurant, so they can earn more money
in khantoke restaurant.
- Around their restaurant have club and
hotel provide to customers.
Weakness
- At the moment, they lack of employees
that are Thai ladies dance about 6 persons
and cashier about 1 person to work with
their restaurant.
- The restaurant can accommodate
tourists not much and not enough car
park.
Threat
- According to Chiangrai citizens said
that, Sa Ban Nga restaurant is the most
expensive Thai Lanna restaurant in
Thailand. About 95% of Chiangrai never
been to eat there.
Food is classified into 2 set - Thai people and Foreign.

- Thai Lanna food for foreign.

1.
Rambutan soup
2.
Hung lae
3.
Namprik Ong
4. Sa
Ban Nga kai tod
5. Kab
Moo
6. Pud Pa
7. Sticky Rice or Boiled Rice
8. Fruits and desserts

- Thai Lanna food for Thai people.

1. Hung Lae

2. Namprik Num

3. Kai tod

4. Sai Ua

5. Kab Moo

6. Namprik Ong

7. Sticky Rice or Boiled Rice

8. Fruits and desserts

Sa Bun Nga restaurant hot promotion

Promotion 2,500/250 PV

1. Heineken 20 bottles + food 500.-

2. Hundred malt 2 bottles + mixer + food 300.-
3. Food 3000.

Sa Ban Nga G-Club Pub & Restaurant

Other accommodation is Sa Ban Nga pub & restaurant. They provide folksong music
and high quality of service with nice waitresses.

Sa Ban Nga Hotel

Sa Ban Nga restaurant also have Sa Ban Nga hotel which cleaning room, low
price, and facility and amenity provide to their customers.
Map

Mae Sai Phayao

Chiang rai bus station

1

Chiang rai Hospital

Sa Ban Nga Restaurant

Customer Analysis

The customer analysis is the tools for researching the customer requirement, and
demands. What is the customers want and what things the customer less concern for adapting
the products and services to meet customer satisfaction. Our Thai Lanna restaurant focus into
a group of tourist who come to visits Chiang rai and population who live in Chiang rai. There
are both Thai and foreign customers because they want to learn Thai Lanna culture, food, and
show. They can get more knowledge and information from our restaurant. We divide group
of people into 3 segments both Thai and foreigner that are the group of people who travel
with a group tour, people who travel alone or by themselves, and also all people who live in
Chiang Rai as follow:

Type of people Number of people

Group Tour 278,636
Travel Alone 1,157,799
Population in Chiang Rai 1,227,317

Factor to determine the customer’s decision

Product: We provide clean, fresh, and tasty food to our customer. We maintain high
quality of food to be a number one of restaurant in Chiang rai. We prepare many kind of Thai
Lanna foods to response both Thai and foreigner customer. So, our customer will receive
high quality of products and satisfied like they need. To make our foods have identity and
differentiate from other.

Service: There are various kinds of countryside dances, old traditional dances and
other local ceremonial dances. Employee have trained and responsibility with hey duty. We
show Thai Lanna traditional while serving food to make customer feel that we concern them
all the time. We will take care all of customers like our family while maintain premium
standard of service.

Environment: We provide both of common room and private room in our restaurant.
We use Thai Lanna style equipments to decorate the whole restaurant. For employee, dress
Thai Lanna cloths. Customer can eat delicious food and looking show together. To make
customer feel that they stay in Lanna atmosphere and feel comfortable to stay in the
restaurant. (Gnetwork, 2010)
 - Competitive Analysis

Sa Bun Nga is major competitor for our business in Chiang rai. We are going
to make our restaurant different from them. Our restaurant located in town of Chiang rai, near
rim of the Kok River. It’s a good location and good environment for attract many tourists.
The tourist can come to restaurant very easy. We give high quality of food while cheaper
price than competitor and also employ well-trained staff. In our restaurant have Lanna
traditional show for support to add value into our service. We also have the souvenir shop
about Thai Lanna food and gift for customer. We are given intensive training to the employee
in takes great care to the customer. We use direct channel to customers and fast delivery
services that make competitive advantage. In fact prices are also determined by competitor's
products and service. If the competitors have the same product, then the price of a product
will go down for attract the customer come to use. In contrast, if our restaurant is popular,
another restaurant has started offering similar products to our restaurant at a lower price and
we are unable to match this. Then we will use high cost to maintain loyalty customer and
attract new customers. Moreover, we think about the machine that will help us simply in our
restaurant and response the need of customer as fast as possible. Nevertheless, we will
support local communities around our restaurant to get benefits form building restaurant near
communities. It is an opportunity for our restaurant to advertise to other people and make
them know and maintain profit too. We welcome all of customer and service them through
our heart. (Dobney, 2010)
 STP Analysis

Segment

1,200,000
1,000,000
800,000
Visitor
600,000
Tourist
400,000 Excursionist
200,000
0
Thai Foreigner

Figure 3.1: Average of people who visit and travel in Chiang Rai.

Segment of our group are visitors, tourists and excursionists in Chiang Rai, 2007,
both Thai and foreigner. Thai visitors are 1,135,659 people and foreigner visitors are 300,776
people. Thai tourists are 952,813 people and foreigners are 265,518 people. Thai
excursionists are 182,846 people and foreigners are 35,258 people. There are divided into two
categories of both visitors are tourists are 1,218,331 people and traveler are 218,104 people.
(department of tourism, 2011)

625,000

620,000

615,000

610,000 Women
Men
605,000

600,000

595,000
Population
 Figure 3.2 Average of people who live in Chiang Rai.
According to the population in Chiang Rai province, all people who live in Chiang
Rai are 1,227,317 people and these all people divide into two groups that are men and
women. The groups of women have 620,542 people and men 606,775 people. (statistic of
population in thailand, 2011)

1,500,000

1,000,000
GroupTour
Alone
500,000 Populationin ChiangRai

0
Thai Foreigner Poppulation

Figure 3.3: Average numbers of people both Thai and foreigner who visit and travel
in Chiang Rai.

We can see the average number of people both Thai and foreigner for the segment
market of our business that we choose the groups tour, visitors who travel alone or travel by
themselves both Thai and foreigner and populations in Chiang Rai because they want to learn
the culture of Lanna with food and show or they want to have more knowledge and
information that our restaurant can serve for them. Then for segment of the people in our
business follow the age. We can divide into 3 segments that are the group of people who
travel with a group tour, Thai is 156,900 people and foreigner is 121,736 people. For people
who travel alone or by themselves, Thai is 978,759 people and foreigner is 179,040 people.
And also all people who live in Chiang Rai are 1,227,317 people. (deparetment of tourism,
2010)
 3500
3000
2500
2000
1500 F&B
1000
Shoping& souvenir
500
0
Millions
Baht

Figure 3.4: Food and beverage average expenditures (per year)

This graph show the average for the food and beverage average expenditure of
tourists, traveler, and visitors in January to March, 2007 are 909.56 million baht per year and
shopping and souvenirs average expenditures are 3,132.28 million baht per year. So, these are
thing that our business chooses the business about restaurant and some souvenir for tourists
and visitors. (Department of tourism, 2010)

Target

The main target is the tourists and visitors in Chiang Rai.

 Purchasing power: If we talking about for this group there are a lot of number in this
segment that we will target because many people in this target group are worked and
 study. They have more money and ability for purchase and consume our product and
service by themselves for respond their want and need.

 Lifestyle: Now a day many people have more educated and knowledge. So, they still
want to have new experiences and new perception of their life that they can talk with
other too. Then it is the good opportunity of our restaurant to open for the tourists and
visitors.

 Influencing Power to buy and consume the product and service: For this target more
influence to buy the product is them self or package tour because of they have more
money and whatever they want they will buy them, some time the advertisement of
product have to support their decision making too.

The second target group is people in Chiang Rai.

 Purchasing power: People in this group come from the different provinces and
countries. So, they also have enough money and freedoms to use the restaurant that
make them receive new experiences. They have ability to buy the product and service
for respond their want and need.

 Lifestyle: Now a day many people in Chiang Rai have less time to cooking dinner.
So, they will seek for the new one can make them receive the new experience with
their local food and appropriate price too. Then it is the good opportunity for our
restaurant to open the business because it can respond to this target group and make
more money for our business.

 Influencing Power to buy and consume the product and service: Tourists and visitors
can decision to buy the product and service. They will receive the quality of our
product and service that they buy. Not only their self for decision to buy but also
including their friend or family to support them too.
Positioning

High Quality Service

Saban Nga Kantoke Bindu Thai Lanna Rest.

Expensive Reasonable Price

Poor Quality Service

The positioning of Bidu Thai Lanna restaurant is in the area that people can access
such as near the bridge over the Kok River, Muang Chiang Rai because it has good
atmosphere and easy to available. We know that they want to make them have more
perception and knowledge about Thai Lanna styles of our restaurant. Then we will make
them satisfy by build the standard of product and service. The structure building of our
restaurant is the Lanna style and it is in the good location and view. Inside the restaurant, we
provide the Lanna food and show for serve to our customer by the expert people who have
more knowledge about food and show. The price of our restaurant have different price, it
depending on the type of age and height that we use and it appropriate for that every people
too. In the other hand, we also have the souvenir shop about Thai Lanna food and gift for
customer. The Employees in our restaurant have to smile for customer and make them
friendly with Thai Lanna dressing and talking in Lanna language. It can make customers are
happy and satisfies for come to use our service again. So, we will get the customer loyalty
and when our customers tell to other it is the word of mouth in the group of our customer.
This is the good reason to make high profit to our restaurant. (saban-nga khantok, 2010)

Marketing Mix Strategy

Product

Our product is Thai Lanna restaurant the heart of product is making differentiated and
the good services quality for creating the values to customers. Our product is the skill of
lanna food and lanna show that serve the special and good service for customer. We offer the
product into two types, there are Kang Hung Le, Sticky Rice, Namprik Ong, Namprik Num,
Kab Moo, Pud Pak, Sai Ua, Kai Tod, Fruits and desserts. For the service that we offer are
Candle dance (Fawn Tian), Sword dance, Glong Sabad Chai (Drums ceremony), Salaw
Saw Seung, and Fingernail Dance (Fawn Leb). We order the good quality materials and show
from the local people that make them have the better life. The responsibilities for maintain
customers satisfy are service and product. So, the employees are the most one that important
of our business, we are given intensive training in takes great care to the customer. Our
branding is Bindu Thai Lanna Restaurant shows the quality of food and service of Thai
Lanna style for customers. We provide the guarantee in our product and services after the
customer use our restaurant.

Price
 We set the price by use flexible level policy for each different customer both Thai and
foreigner such as the set of buffet price is 450 baht per a head for adult. For the children who
have the age not over 15 years old, we set the price is 250 baht per a head, but for the
children who have the height not over 120 centimeters, they can receive free of charge. We
have the 2% commission for the travel agency that led the group of tourist into our restaurant.
For tour guide and driver, we will give free of charge for them. In fact prices are also
determined by competitor's products and service. If the competitors have the same product,
then the price of a product will go down for attract the customer come to use.

Place

We locate near the bridge over the Kok River, Muang Chiang Rai because it is good
atmosphere and easy to available. The main customers are tourists, visitors, and local people.
We use direct channel to customers and fast delivery services that make competitive
advantage.

Promotion

We advertise by use e-advertising and brochure or leaflets. We use the personal

selling have the call center and encounter or face to face between employee and customer.
Sale promotion in our restaurant have special price that offer for customer by come three get
one free in the last week of every three months.

Sale Forecast/ Profit estimate

Chiang rai province has many tourists come to this place divided into 3 groups;
tourist, excursionist and local people and the number of tourists come to Chiang rai about
1,436,435 people per year. We can forecast number of customers to come in our restaurant by
estimated from 1% of total tourist by we compute to quarter of each year, excursionist and
local people in Chiang rai. (Tourist Arrivals in Thailand, 2010)
In first months, we design and decorate the building, buy material equipment and set
up the electronic and equipment. We open our restaurant in 5 month. In our restaurant, 2
month after open the restaurant, our restaurant is not well-know so the numbers of customers
are not too much. It will be 44 people per day that will be 1,320 people per month. We
forecast customer 23% or 304 people is foreigner tourists and 77% or 1,016 people is Thai
people.

The cost of set Kantoke buffet is 450 baths per people and souvenir shop; we have
15,000 baths per month from hiring shop and 5% of total profits of souvenir shop per year.
After that we can forecast income like the table below.

Income forecast in first month after open

Income (bath)
Foreigner Thai People Total
Service
304 people 1,016 people 1,320 people

Set Kantoke Buffet 136,800 457,200 594,000

Table 3.1: Income forecast in first month

Income forecast in second month after open

Income (bath)
Foreigner Thai People Total
Service
304 people 1,016 people 1,320 people

Set Kantoke Buffet 136,800 457,200 594,000

Table 3.2: Income forecast in second month

 For next month income will same the first month. In month 3 after open restaurant
will be well-known more than 2 months ago because we join with group tour. We assume
that our employees can serve service for 10 people per day.

In low season during April to June will customer come to Chiang rai province about
268,907 people. We can forecast customer will come to our restaurant 1% or 2,689 people
per month. We forecast customers 23% or 618 people is foreigner and 77% or 2,071 people is
Thai people. (Department of tourism, 2010)
We can forecast income like the table below

Income forecast during low seasonal

Income (bath)
Foreigner Thai People Total
Service
618 people 2,071 people 2,689 people

Set Kantoke Buffet 278,100 931,950 1,210,050

Table 3.3: Income forecast during low seasonal

In middle seasonal during June to August will customer increase 11% from low
season Therefore, we will have customers 2,985 people. We forecast customers 23% or 687
people is foreigner and 77% or 2,298 people is Thai people. (Department of tourism, 2010)
We can forecast income like the table below

Income forecast during middle seasonal

 Income (bath)
Foreigner Thai People Total
Service
687 people 2,298 people 2,985 people

Set Kantoke Buffet 309,150 1,034,100 1,343,250

Table 3.4: Income forecast during middle seas

In during October to March is high seasonal have many tourist come to Chiang rai
province so our income will increase 76% from low seasonal. After that in year 2 our income
will increase 2% from year 1. In year 3 our income will increase 5% from year 2. In year 4
our income increase 7% from year 3 and in year 5 our income has reached a peak and gain
more loyalty customers. Therefore, our income will increase 10%. (Department of tourism,
2010)
We can forecast income like the table below

Income forecast during high seasonal

Income (bath)
Foreigner Thai People Total
Service
1,089 people 3,644 people 4,733 people

Set Kantoke Buffet 490,050 1,639,800 2,129,850

Table 3.5: Income forecast during high seasonal

 Sale forecast in year 1
Month Income (Bath)
1 -
2 -
3 -
4 -
5 594,000
6 594,000
7 1,343,250
8 1,343,250
9 1,343,250
10 2,129,850
11 2,129,850
12 2,129,850
Total 11,607,300

Table 3.6: Sale forecast in year 1

Figure 3.1: Sale Forecast in year 1

Sale forecast in year 2

Month Income (Bath)
1 2,172,447
2 2,172,447
3 2,172,447
4 1,234,251
5 1,234,251
6 1,234,251
7 1,370,115
8 1,370,115
9 1,370,115
10 2,172,447
11 2,172,447
12 2,172,447
Total 20,847,780

Table 3.7: Sale forecast in year 2

Figure 3.2: Sale Forecast in year 2

Sale forecast in year 3

Month Income (Bath)
1 2,281,069
2 2,281,069
3 2,281,069
4 1,295,964
5 1,295,964
6 1,295,964
7 1,438,621
8 1,438,621
9 1,438,621
10 2,281,069
11 2,281,069
12 2,281,069
Total 21,890,169

Table 3.8: Sale forecast in year 3

Figure 3.3: Sale Forecast in year 3

Sale forecast in year 4

Month Income (Bath)
1 2,440,744
2 2,440,744
3 2,440,744
4 1,386,681
5 1,386,681
6 1,386,681
7 1,539,324
8 1,539,324
9 1,539,324
10 2,440,744
11 2,440,744
12 2,440,744
Total 23,422,479

Table 3.9: Sale forecast in year 4

Figure 3.4: Sale Forecast in year 4

Sale forecast in year 5

Month Income (Bath)
1 2,684,818
2 2,684,818
3 2,684,818
4 1,525,349
5 1,525,349
6 1,525,349
7 1,693,256
8 1,693,256
9 1,693,256
10 2,684,818
11 2,684,818
12 2,684,818
Total 25,764,723

Table 3.10: Sale forecast in year 5

Figure 3.5: Sale Forecast in year 5

Sale forecast for 5 years

Year Income (Bath)
1 11,607,300
2 20,847,780
3 21,890,169
4 23,422,479
5 25,764,723
Total 103,532,451

Table 3.11: Sale forecast in year 5

 Figure 3.6: Sale Forecast for 5 years

Marketing Expense
Bindu Thai Lanna Restaurant has marketing expense for make people know about our
restaurant by make brochure, poster, magazines, radio station, temporary billboard, and
website for make more sale and profit to our restaurant. Which important thing for attract the
customer to come in our restaurant.
In first 2 months after open our restaurant; we spend money about 30,000 baths per
month for advertise and promote our restaurant and we will spend money about 5,000 baths
every month for advertise and promote our restaurant every month. In low seasonal we will
spend money about 10,000 baths during April to June for promote and advertisement our
restaurant.
 Marketing Expense year 1

Month Marketing Expense (Bath) Profit (Bath)

1 - -
2 - -
3 - -
4 - -
5 40,000 554,000
6 40,000 554,000
7 5,000 1,338,250
8 5,000 1,338,250
9 5,000 1,338,250
10 5,000 1,338,250
11 5,000 1,338,250
12 5,000 1,338,250
Total 110,000 9,137,500
Table 3.12: Marketing Expense year 1
Figure 3.7: Marketing Expense in year 1

Marketing Expense year 2

Month Marketing Expense (Bath) Profit (Bath)

1 5,000 2,167,447
2 5,000 2,167,447
3 5,000 2,167,447
4 10,000 1,224,251
5 10,000 1,224,251
6 10,000 1,224,251
7 5,000 1,365,115
8 5,000 1,365,115
9 5,000 1,365,115
10 5,000 2,167,447
11 5,000 2,167,447
12 5,000 2,167,447
Total 75,000 20,772,780
Table 3.13: Marketing Expense year 2
Figure 3.8: Marketing Expense in year 2

Marketing Expense year 3

Month Marketing Expense (Bath) Profit (Bath)

1 5,000 2,276,069
2 5,000 2,276,069
3 5,000 2,276,069
4 10,000 1,285,964
5 10,000 1,285,964
6 10,000 1,285,964
7 5,000 1,433,621
8 5,000 1,433,621
9 5,000 1,433,621
10 5,000 2,276,069
11 5,000 2,276,069
12 5,000 2,276,069
Total 75,000 21,815,169
Table 3.14: Marketing Expense year 3
Figure 3.8: Marketing Expense in year 3

Marketing Expense year 4

Month Marketing Expense (Bath) Profit (Bath)

1 5,000 2,435,744
2 5,000 2,435,744
3 5,000 2,435,744
4 10,000 1,376,681
5 10,000 1,376,681
6 10,000 1,376,681
7 5,000 1,534,324
8 5,000 1,534,324
9 5,000 1,534,324
10 5,000 2,435,744
11 5,000 2,435,744
12 5,000 2,435,744
Total 75,000 23,347,479
Table 3.15: Marketing Expense year 4
Figure 3.9: Marketing Expense in year 4

Marketing Expense year 5

Month Marketing Expense (Bath) Profit (Bath)

1 5,000 2,679,818
2 5,000 2,679,818
3 5,000 2,679,818
4 10,000 1,515,349
5 10,000 1,515,349
6 10,000 1,515,349
7 5,000 1,688,256
8 5,000 1,688,256
9 5,000 1,688,256
10 5,000 2,679,818
11 5,000 2,679,818
12 5,000 2,679,818
Total 75,000 25,689,723
Table 3.16: Marketing Expense year 5
 Figure 3.10: Marketing Expense in year 5

Conclusion

Bindu Thai Lanna restaurant is located near the bridge over the Kok River, Muang
Chiang Rai. The location of our restaurant is in the area that easy to access and good
atmosphere. Bindu Thai Lanna restaurant has total area of approximately 1 rai or around
1,600 square meters. The restaurant building has area around 400 square meters (1/4 of total
area). We designed our restaurant in differentiate form of others Lanna restaurant by created
our restaurant building to look like Toke, for make customers feel exciting and pay attraction
to our restaurant. Our Toke building restaurant is divided into 3rd floor.
The 1st floor we have area for rent to do souvenir shops, and we dividend the rental
area into 4 parts and in every part have area around 80 square meters. Our restaurant has
souvenir shops provide to serve customer, they can buy any Chiang Rai OTOP product in
here!!
 The 2nd floor is the main dining room and main stage show; in this floor can capacity
the customers are 32 persons and have 8 tables provide to customer, in our restaurant have
new technology to make customer to join with us, our technology is the self-order menu;
customer can choose foods that they want and call the staffs by themselves. And in 2nd floor
also have main stage for show Lanna traditional to customer along with have dining Lanna
foods.

The 3rd floor is roof deck; in this floor is open-air atmosphere it suitable for customers
who want to find experience of Chiang Rai environment and our restaurant also provide Thai
Lanna flock songs to let customer to feel relax. In the 3rd floor is suppurating into 2 zones
1. Dinner on Tok; customer capacity are 32 persons, we have 8 Toks provide in there
and one Tok can sit only 4 persons.
2. VIP rooms; customer capacity are 24 persons in total of VIP zone, we have 3 rooms
and in any VIP room can serve customer 8 persons.

Are you often or not? That goes to restaurant and can’t find parking. In the Bindu
Thai Lanna restaurant has large area for parking about 800 square meters; customer can find
parking easily whether it is a car or bus our restaurant also think about it and provide the
large area of parking to serve the problem.
In the future, we have planned to develop and make new things in the Bindu Thai
Lanna restaurant. We forecast to do the next plan net income of our business. We think we
must to use the available area in Bindu Thai Lanna restaurant to make many benefit to our
business in the future.
 Chapter 4: Production and Operation Analysis
Product Characteristic
Our restaurant provides many kinds of products that serve to both Thai and foreigner
tourist. We serve high quality of products with suite to the price from medium class to high
class for our customers. We set buffet foods for each khantoke. The price is 450 Bahr per
person for adults and 250 Bath per person for children.

1). Set Kantoke for Thai customers.

- Clear chicken soup
- Kang hang lay
- Sticky Rice or Boiled Rice
- Namprik Ong
- Namprik Num
- Kab moo
- Sai ua
- Fried Chicken
- Mix fruits and desserts
Price: Adult 450 Baht /1 person
- Fired bananas Children 250 Baht/ 1 person
- Fresh steamed vegetables
2). Set Kantoke for foreigner customers.
- Clear chicken soup
- Pud pak
- Kang hang lay
- Sticky Rice or Boiled Rice
- Namprik Ong
- Kab moo
- Fried Chicken
- Fired Pork
- Mix fruits and desserts Price: Adult 450 Baht /1 person
- Fired bananas Children 250 Baht/ 1 person

- Fresh steamed vegetables

1. Clear chicken soup
We make soup is always refreshing and serve
with hot soup.
2. Kang hang lay
Pork Curry Northern Style which uses peanuts,
dried chilies and tamarind juice in the recipe
but containing no coconut milk.
3. Pud pak
Fried vegetable with pork shrimp or beef.
We use many kinds of vegetable such as carrot,
mushroom, kale, cabbage, broccoli, and lettuce or
vegetable on seasonal witch keep fresh and clean.
4. Sticky Rice or Boiled Rice
It is an essential and integral element of Thai
cooking and cuisine, and is a must have
accompaniment for certain dishes such as Lanna
foods. We serve with warm rice and keep clean.
5. Namprik Ong
Chopped pork with tomato and herb. It is a recipe
 for Northern Thailand's famous red minced pork Namprik. Our restaurant have
own recipe that different from other restaurants.
6. Namprik Num
Spicy chili sauce northern style with fresh and
boiled vegetable. Namprik Num is chili paste, made
from young chilies called numprik in the
Northern Thai dialect. Namprik Num is hot, salty,
and sweet due to its various ingredients, and
sticky rice
7. Kab moo
Crispy fried pork skin. Normally eaten with
Namprick or as a snack.

8. Sai ua
Grilled sausage of ground pork. We include herbal in
ingredient to make Sai ua too.
9. Fried Chicken
We use grade A of chicken with high quality of nutrition
and fresh.
10. Fired Pork
We use grade A of pork with high quality of nutrition and fresh.
11. Fried bananas
We serve fired bananas for the first menubefore main
menu. We choose a good grade of bananas and
suppliers who thoroughly care with bananas.
12. Fresh steamed vegetables
We use organic vegetables to serve for our customer
with fresh and clean. We provide both fresh vegetables
and boiled vegetables.
13. Mix fruits and desserts
We provide fruits on seasonal and keepfresh and
various finds of fruit. For the desserts, we have many
types of desserts and good taste.
Production and service process

Our service process starts from customer walk in to our Thai Lanna Restaurant. We
have beautiful connor with Northern Lanna style for customer to take photos, then hostess
and captain will take welcome at there for meet our product and service. We have staff to
conduct customer with product and service that their chosen. We provide Thai Lanna dance
and Thai Lanna music that make customer pleasingly and enjoy. After finish, customer can
go to the souvenir shop under our restaurant with Thai Lanna food and some gifts of Northern
style that can make customer satisfaction and buy products with suitable price.

Location

Bindu Thai Lanna restaurant is located near the bridge over the Kok River, Muang
Chiang Rai. The location of our restaurant is in the area that easy to access and good
atmosphere. Bindu Thai Lanna restaurant has total area of approximately 1 rai or around
1,600 square meters. The restaurant building has area around 400 square meters (1/4 of total
area) and has parking area around 800 square meters (2/4 of total area) for provided the large
area of parking to serve customer.
 The special thing of our restaurant is designed our restaurant in differentiate form of
others Lanna restaurant by created our restaurant building to look like Tok; Tok is like a
small table that put the cup of Thai Lanna foods which use when Thai Northern people
eating. We think our restaurant building can make customers feel exciting and pay attraction
to our restaurant. Our Tok building restaurant is divided into 3rd floor;

1st floor is souvenir shops area.

2nd floor is the main dining room, kitchen and main stage show
3rd floor is roof deck
 Facility Layout
The facilities Layout management in our Bindu Thai Lanna restaurant are refer to the
layout of restaurant building that we will beginning to build all of plan in our restaurant. We
want to led customer pay attention into our restaurant by laying plan restaurant are
appropriate, differentiate building form with others Lanna restaurant and comfortably by have
wide area enough in the restaurant. When customers come to our restaurant they can park
their car in parking zone, parking zone of our restaurant is provide large area for serve
customer and customer can find parking easily whether it is a car or bus. Then the next zone
is Souvenir Shop Area. In this area is stay at 1st floor this area is rental area of souvenir shops.
We plan Souvenir Shop Area to dividend the rental area into 4 parts and in every part have
area around 80 square meters. Our restaurant has souvenir shops provide to serve customer,
they can buy any Chiang Rai OTOP product in restaurant.
 Figure 4.2

The next zone of our restaurant is 2nd floor; is the main dining room, kitchen and main
stage show. In this floor can capacity the customers are 32 persons and have 8 tables provide
to customer, in our restaurant have new technology to make customer to join with us, our
technology is the self-order menu; customer can choose foods that they want and call the
staffs by themselves. In 2nd floor also have main stage for show Lanna traditional to customer
along with have dining Lanna foods. And in the 2nd floor kitchen is also stay at here for
prepare and cooking delicious Lanna food to serve customer and toilet is stay at this floor too.
 Figure 4.3

The last zone of our restaurant is 3rd floor is roof deck. The 3rd floor is roof deck; in
this floor is open-air atmosphere it suitable for customers who want to find experience of
Chiang Rai environment and our restaurant also provide Thai Lanna flock songs to let
customer to feel relax. In the 3rd floor is suppurating into 2 zones
1. Dinner on Tok; customer capacity are 32 persons, we have 8 Tok provide in there
and one Tok can sit only 4 persons.
2. VIP rooms; customer capacity are 24 persons in total of VIP zone, we have 3 rooms
and in any VIP room can serve customer 8 persons.
 Figure 4.4

Logistics Management

Our Thai Lanna restaurant provides the restaurant that locate near the bridge over the
Kok River, Muang Chiang Rai because it is good atmosphere and easy to available. The main
customers are tourists, visitors, and local people. Our restaurant provide the fresh vegetable
from local people that make income for them and other material we will select the best one
for the customer too.

Facility Management

We provide the facilities through the car park for car, motorcycle, and bus for
customer. Then the customer can choose the table and chair for old people or incompetent
person in the second floor with Thai Lanna show and dance. For the third floor, we provide
for the younger people and people who can squat and receive the Thai Lanna song and music
with the good atmosphere.
 Cost of investment

Pre cost of investment

The stock of furniture and electronic equipment in the restaurant
- Furniture

Price Total
No Product Brand (Bath) Unit (Bath)
1. Set Table KhanToke Mai Boon Decker 10,900 8 87,200
2. Set table modern style (VIP) Tesso/210+Infinity 45,840 3 137,520
Dinner Set

3. Set Khan Toke Benjarong 1,200 10 12,000

Total 236,720

Table 4.1: Cost of furniture

- Electronic Equipment

Price Total
No Product Brand (Bath) Unit (Bath)
1. Air conditional (ceiling) Misubishi 24,700 2 49,400

2. Air condition (VIP room) LG 23,900 3 71,700

3. Freezer food SP Mart (32 Q) 38,000 3 114,000

4. Telephone LG 1,900 2 3,800

Price Total
No Product Brand (Bath) Unit (Bath)
5. Calculator/cashier machine Olympia 1,150 1 1,150

6. Stereo Modify 12,900 1 12,900

7. Loudspeaker (ceiling) Bose Free Space DS 4,280 3 12,840
16F

8. Computer (PC) Sumsung 17,000 1 17,000

Total 282,790

Table 4.2: Cost of equipment

- Equipment in restaurant

Price Total
No Product Brand (Bath) Unit (Bath)
1. Burner PUNCHING 1,500 2 3,000
2. Shelves PUNCHING 1,900 2 3,800

3. Set spoon and fork (20 pairs) Super ware 410 15 6,150

4. Dish / bowl Macman 15 300 4,500

Price Total
No Product Brand (Bath) Unit (Bath)
5. Cup Macman 12 300 3,600

6. Set knife Jaguar 333 3 999

7. Set of kitchen (5 pieces) Zebra 4,500 3 13,500

Total 35,549

Table 4.3: Cost of equipment in restaurant

Investment cost

Investment Cost

1.Land 30,000,000
2. Building 12,000,000
3. Furniture 236,720
4. Electronic equipment 282,790
5. Equipment in restaurant 35,549

Total 42,555,059
Table 4.4: Total of investment cost

Depreciation
No List Price/Unit No. of unit Price Percent
1. Land 30,000,000 70.50%
2. Building 12,000,000 28.20%
3. Set table Khan Toke 10,900 8 87,200 0.20%
4. Set table modern style (VIP) 45,840 3 137,520 0.32%
5. Set Khan Toke 1,200 10 12,000 0.023%
6. Air conditional (ceiling) 24,700 2 49,400 0.12%
7. Air condition (VIP room) 23,900 3 71,700 0.17%
8. Freezer food 38,000 3 114,000 0.27%
9. Telephone 1,900 2 3,800 0.009%
10. Calculator/cashier machine 1,150 1 1,150 0.003%
11. Stereo 12,900 1 12,900 0.03%
12. Loudspeaker (ceiling) 4,280 3 12,840 0.03%
13. Computer (PC) 17,000 1 17,000 0.04%
14. Burner 1,500 2 3,000 0.007%
15. Shelves 1,900 2 3,800 0.009%
16. Set spoon and fork (20 pairs) 410 15 6,150 0.014%
17. Dish / bowl 15 300 4,500 0.01%
18. Cup 12 300 3,600 0.008%
19. Set knife 333 3 999 0.002%
20. Set knife 4,500 3 13,500 0.03%

Total 42,555,059 100%

Table 4.5: Depreciation
 Depreciation Year 1

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Building
12,000,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000
Set table Khan Toke
87,200 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 17,436
Set table modern
style (VIP) 137,520 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 27,504
Set Khan Toke 12,000
200 200 200 200 200 200 200 200 200 200 200 200 2,400
Air conditional 49,400

(ceiling) 823 823 823 823 823 823 823 823 823 823 823 823 9,876
Air condition (VIP 71,700

room) 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 14,340
Freezer food 114,000
1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 22,800
Telephone 3,800
63 63 63 63 63 63 63 63 63 63 63 63 756
cashier machine 1,150
19 19 19 19 19 19 19 19 19 19 19 19 228
Stereo 12,900
215 215 215 215 215 215 215 215 215 215 215 215 2,580
Loudspeaker 12,840

(ceiling) 214 214 214 214 214 214 214 214 214 214 214 214 2,568
Computer (PC) 17,000
283 283 283 283 283 283 283 283 283 283 283 283 3,396
Burner
3,000 50 50 50 50 50 50 50 50 50 50 50 50 600

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Shelves
3,800 63 63 63 63 63 63 63 63 63 63 63 63 756
Set spoon and fork
(20 pairs) 6,150 103 103 103 103 103 103 103 103 103 103 103 103 1,236
Dish / bowl
4,500 75 75 75 75 75 75 75 75 75 75 75 75 900
Cup
3,600 60 60 60 60 60 60 60 60 60 60 60 60 720
Set knife
999 17 17 17 17 17 17 17 17 17 17 17 17 204
Set knife
13,500 225 225 225 225 225 225 225 225 225 225 225 225 2,700
Total
12,555,059 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 2,511,000

Table 4.6: Depreciation year 1

Depreciation Year 2
 Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Building
12,000,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000
Set table Khan Toke
87,200 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 17,436
Set table modern
style (VIP) 137,520 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 27,504
Set Khan Toke 12,000
200 200 200 200 200 200 200 200 200 200 200 200 2,400
Air conditional 49,400

(ceiling) 823 823 823 823 823 823 823 823 823 823 823 823 9,876
Air condition (VIP 71,700

room) 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 14,340
Freezer food 114,000
1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 22,800
Telephone 3,800
63 63 63 63 63 63 63 63 63 63 63 63 756
cashier machine 1,150
19 19 19 19 19 19 19 19 19 19 19 19 228
Stereo 12,900
215 215 215 215 215 215 215 215 215 215 215 215 2,580
Loudspeaker 12,840

(ceiling) 214 214 214 214 214 214 214 214 214 214 214 214 2,568
Computer (PC) 17,000
283 283 283 283 283 283 283 283 283 283 283 283 3,396
Burner
3,000 50 50 50 50 50 50 50 50 50 50 50 50 600

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Shelves
3,800 63 63 63 63 63 63 63 63 63 63 63 63 756
Set spoon and fork
(20 pairs) 6,150 103 103 103 103 103 103 103 103 103 103 103 103 1,236
Dish / bowl
4,500 75 75 75 75 75 75 75 75 75 75 75 75 900
Cup
3,600 60 60 60 60 60 60 60 60 60 60 60 60 720
Set knife
999 17 17 17 17 17 17 17 17 17 17 17 17 204
Set knife
13,500 225 225 225 225 225 225 225 225 225 225 225 225 2,700
Total
12,555,059 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 2,511,000

Table 4.7: Depreciation year 2

Depreciation Year 3

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Building
12,000,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000
Set table Khan Toke
87,200 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 17,436
Set table modern
style (VIP) 137,520 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 27,504
Set Khan Toke 12,000
200 200 200 200 200 200 200 200 200 200 200 200 2,400
Air conditional 49,400

(ceiling) 823 823 823 823 823 823 823 823 823 823 823 823 9,876
Air condition (VIP 71,700

room) 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 14,340
Freezer food 114,000
1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 22,800
Telephone 3,800
63 63 63 63 63 63 63 63 63 63 63 63 756
cashier machine 1,150
19 19 19 19 19 19 19 19 19 19 19 19 228
Stereo 12,900
215 215 215 215 215 215 215 215 215 215 215 215 2,580
Loudspeaker 12,840

(ceiling) 214 214 214 214 214 214 214 214 214 214 214 214 2,568
Computer (PC) 17,000
283 283 283 283 283 283 283 283 283 283 283 283 3,396
Burner
3,000 50 50 50 50 50 50 50 50 50 50 50 50 600

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Shelves
3,800 63 63 63 63 63 63 63 63 63 63 63 63 756
Set spoon and fork
(20 pairs) 6,150 103 103 103 103 103 103 103 103 103 103 103 103 1,236
Dish / bowl
4,500 75 75 75 75 75 75 75 75 75 75 75 75 900
Cup
3,600 60 60 60 60 60 60 60 60 60 60 60 60 720
Set knife
999 17 17 17 17 17 17 17 17 17 17 17 17 204
Set knife
13,500 225 225 225 225 225 225 225 225 225 225 225 225 2,700
Total
12,555,059 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 2,511,000

Table 4.8: Depreciation year 3

Depreciation Year 4

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Building
12,000,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000
Set table Khan Toke
87,200 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 17,436
Set table modern
style (VIP) 137,520 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 27,504
Set Khan Toke 12,000
200 200 200 200 200 200 200 200 200 200 200 200 2,400
Air conditional 49,400

(ceiling) 823 823 823 823 823 823 823 823 823 823 823 823 9,876
Air condition (VIP 71,700

room) 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 14,340
Freezer food 114,000
1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 22,800
Telephone 3,800
63 63 63 63 63 63 63 63 63 63 63 63 756
cashier machine 1,150
19 19 19 19 19 19 19 19 19 19 19 19 228
Stereo 12,900
215 215 215 215 215 215 215 215 215 215 215 215 2,580
Loudspeaker 12,840

(ceiling) 214 214 214 214 214 214 214 214 214 214 214 214 2,568
Computer (PC) 17,000
283 283 283 283 283 283 283 283 283 283 283 283 3,396
Burner
3,000 50 50 50 50 50 50 50 50 50 50 50 50 600

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Shelves
3,800 63 63 63 63 63 63 63 63 63 63 63 63 756
Set spoon and fork
(20 pairs) 6,150 103 103 103 103 103 103 103 103 103 103 103 103 1,236
Dish / bowl
4,500 75 75 75 75 75 75 75 75 75 75 75 75 900
Cup
3,600 60 60 60 60 60 60 60 60 60 60 60 60 720
Set knife
999 17 17 17 17 17 17 17 17 17 17 17 17 204
Set knife
13,500 225 225 225 225 225 225 225 225 225 225 225 225 2,700
Total
12,555,059 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 2,511,000

Table 4.9: Depreciation year 4

Depreciation Year 5

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Building
12,000,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000
Set table Khan Toke
87,200 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 1,453 17,436
Set table modern
style (VIP) 137,520 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 27,504
Set Khan Toke 12,000
200 200 200 200 200 200 200 200 200 200 200 200 2,400
Air conditional 49,400

(ceiling) 823 823 823 823 823 823 823 823 823 823 823 823 9,876
Air condition (VIP 71,700

room) 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 1,195 14,340
Freezer food 114,000
1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 1,900 22,800
Telephone 3,800
63 63 63 63 63 63 63 63 63 63 63 63 756
cashier machine 1,150
19 19 19 19 19 19 19 19 19 19 19 19 228
Stereo 12,900
215 215 215 215 215 215 215 215 215 215 215 215 2,580
Loudspeaker 12,840

(ceiling) 214 214 214 214 214 214 214 214 214 214 214 214 2,568
Computer (PC) 17,000
283 283 283 283 283 283 283 283 283 283 283 283 3,396
Burner
3,000 50 50 50 50 50 50 50 50 50 50 50 50 600

Investment Amount Jan Feb Mar May April June July Aug Sep Oct Nov Dec Total
Shelves
3,800 63 63 63 63 63 63 63 63 63 63 63 63 756
Set spoon and fork
(20 pairs) 6,150 103 103 103 103 103 103 103 103 103 103 103 103 1,236
Dish / bowl
4,500 75 75 75 75 75 75 75 75 75 75 75 75 900
Cup
3,600 60 60 60 60 60 60 60 60 60 60 60 60 720
Set knife
999 17 17 17 17 17 17 17 17 17 17 17 17 204
Set knife
13,500 225 225 225 225 225 225 225 225 225 225 225 225 2,700
Total
12,555,059 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 2,511,000
Table 4.10: Depreciation year 5
 Operating cost

Raw material

Product in restaurant 50,000

Equipment to decorate 50,000
Overhead cost (electricity, water, telephone) 30,000
Total 130,000

Direct labor cost

Actor 16 people 5,000/person 80,000/month

Cooker 2 people 6,000/person 12,000/month
Assistant cooker 3 people 5,000/person 15,000/month
Staff 12 people 5,500/person 66,000/month
Total 173,000/month

Management Analysis

Administration cost
We estimate administration cost per month

No List Amount Remark

1. Infrastructure (electricity, water, telephone) 30,000
2. Fire insurance 500,000 Per every year
3. Equipment 10,000

Total 540,000
Table 4.11 Administration cost
 Chapter 5: Financial analysis

Income statement

Year 1
Income Statement - 12 Months

Period Starting: Month Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Totals
1
Sales
Sales 0 0 0 0 594,000 594,000 1,343,250 1,343,250 1,343,250 2,129,850 2,129,850 2,129,850 11,607,300
Other 0 0 0 0 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 480,000
Total Sales 0 0 0 0 654,000 654,000 1,403,250 1,403,250 1,403,250 2,189,850 2,189,850 2,189,850 12,087,300

Less Cost of Goods Sold

Materials 46,750 46,750 50,000 50,000 50,000 53,400 53,400 53,400 403,700
Overhead 28,080 28,080 30,000 30,000 30,000 32,040 32,040 32,040 242,280
Total Cost of Goods Sold 0 0 0 0 74,830 74,830 80,000 80,000 80,000 85,440 85,440 85,440 645,980

Gross Profit 0 0 0 0 579,170 579,170 1,323,250 1,323,250 1,323,250 2,104,410 2,104,410 2,104,410 11,441,320

Operating Expenses
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 1,384,000
Payroll taxes 2,000 2,000
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 80,000
Insurance 62,500 62,500 62,500 62,500 62,500 62,500 62,500 62,500 500,000
Overhead cost (water,phone) 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 240,000
Marketing/promotion 40,000 40,000 5,000 5,000 5,000 5,000 5,000 5,000 110,000
Total Operating Expenses 0 0 0 0 315,500 315,500 280,500 280,500 280,500 280,500 280,500 282,500 2,316,000

Operating Income 0 0 0 0 263,670 263,670 1,042,750 1,042,750 1,042,750 1,823,910 1,823,910 1,821,910 9,125,320

Interest income (expense) 0

Other income (expense) 0
 Total Nonoperating Income
0 0 0 0 0 0 0 0 0 0 0 0 0
(Expense)

Income (Loss) Before Taxes 0 0 0 0 263,670 263,670 1,042,750 1,042,750 1,042,750 1,823,910 1,823,910 1,821,910 9,125,320

Income Taxes 0

Net Income (Loss) 0 0 0 0 263,670 263,670 1,042,750 1,042,750 1,042,750 1,823,910 1,823,910 1,821,910 9,125,320

Cumulative Net Income (Loss) 0 0 0 0 263,670 527,340 1,570,090 2,612,840 3,655,590 5,479,500 7,303,410 9,125,320 9,125,320

Table 5.1: Income statement Year 1

Year 2
Income Statement - 12 Months

Period Starting: Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Totals

Sales
2,172,44
Sales 2,172,447 2,172,447 1,234,251 1,234,251 1,234,251 1,370,115 1,370,115 1,370,115 2,172,447 2,172,447 2,172,447 20,847,780
7
Other 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 720,000
Total Sales 2,232,44
2,232,447 2,232,447 1,294,251 1,294,251 1,294,251 1,430,115 1,430,115 1,430,115 2,232,447 2,232,447 2,232,447 21,567,780
7

Less Cost of Goods Sold

Materials 55,803 55,803 55,803 53,026 53,026 53,026 53,400 53,400 53,400 55,429 55,429 55,429 652,974
Overhead 33,482 33,482 33,482 31,816 31,816 31,816 32,040 32,040 32,040 33,258 33,258 33,258 391,788
Total Cost of Goods Sold 89,285 89,285 89,285 84,842 84,842 84,842 85,440 85,440 85,440 88,687 88,687 88,687 1,044,762

2,143,16
Gross Profit 2,143,162 2,143,162 1,209,409 1,209,409 1,209,409 1,344,675 1,344,675 1,344,675 2,143,760 2,143,760 2,143,760 20,523,018
2

Operating Expenses
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 2,076,000
Payroll taxes 2,000 2,000
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 120,000
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 500,004
Overhead cost (water,phone) 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 360,000
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 75,000
Total Operating Expenses 259,667 259,667 259,667 264,667 264,667 264,667 259,667 259,667 259,667 259,667 259,667 261,667 3,133,004

Operating Income 1,883,49

1,883,495 1,883,495 944,742 944,742 944,742 1,085,008 1,085,008 1,085,008 1,884,093 1,884,093 1,882,093 17,390,014
5

Interest income (expense) 0

Other income (expense) 0
Total Nonoperating Income
0 0 0 0 0 0 0 0 0 0 0 0 0
(Expense)

Income (Loss) Before Taxes 1,883,49

1,883,495 1,883,495 944,742 944,742 944,742 1,085,008 1,085,008 1,085,008 1,884,093 1,884,093 1,882,093 17,390,014
5
 Income Taxes 0

Net Income (Loss) 1,883,49

1,883,495 1,883,495 944,742 944,742 944,742 1,085,008 1,085,008 1,085,008 1,884,093 1,884,093 1,882,093 17,390,014
5

Cumulative Net Income (Loss) 1,883,49

3,766,990 5,650,485 6,595,227 7,539,969 8,484,711 9,569,719 10,654,727 11,739,735 13,623,828 15,507,921 17,390,014 17,390,014
5

Table 5.2: Income statement Year 2

Year 3

Income Statement - Year 3

Period Starting: Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Totals

Sales
2,281,06
Sales 2,281,069 2,281,069 1,295,964 1,295,964 1,295,964 1,438,621 1,438,621 1,438,621 2,281,069 2,281,069 2,281,069 21,890,169
9
Other 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 720,000
Total Sales 2,341,06
2,341,069 2,341,069 1,355,964 1,355,964 1,355,964 1,498,621 1,498,621 1,498,621 2,341,069 2,341,069 2,341,069 22,610,169
9

Less Cost of Goods Sold

Materials 57,923 57,923 57,923 55,041 55,041 55,041 55,429 55,429 55,429 57,535 57,535 57,535 677,784
Overhead 34,755 34,755 34,755 33,025 33,025 33,025 33,258 33,258 33,258 34,522 34,522 34,522 406,680
Total Cost of Goods Sold 92,678 92,678 92,678 88,066 88,066 88,066 88,687 88,687 88,687 92,057 92,057 92,057 1,084,464

2,248,39
Gross Profit 2,248,391 2,248,391 1,267,898 1,267,898 1,267,898 1,409,934 1,409,934 1,409,934 2,249,012 2,249,012 2,249,012 21,525,705
1

Operating Expenses
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 2,076,000
Payroll taxes 2,000 2,000
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 120,000
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 500,004
Overhead cost (water, phone) 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 360,000
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 75,000
Total Operating Expenses 259,667 259,667 259,667 264,667 264,667 264,667 259,667 259,667 259,667 259,667 259,667 261,667 3,133,004

Operating Income 1,988,72

1,988,724 1,988,724 1,003,231 1,003,231 1,003,231 1,150,267 1,150,267 1,150,267 1,989,345 1,989,345 1,987,345 18,392,701
4

Interest income (expense) 0

 Other income (expense) 0
Total Nonoperating Income
0 0 0 0 0 0 0 0 0 0 0 0 0
(Expense)

Income (Loss) Before Taxes 1,988,72

1,988,724 1,988,724 1,003,231 1,003,231 1,003,231 1,150,267 1,150,267 1,150,267 1,989,345 1,989,345 1,987,345 18,392,701
4

Income Taxes 0

Net Income (Loss) 1,988,72

1,988,724 1,988,724 1,003,231 1,003,231 1,003,231 1,150,267 1,150,267 1,150,267 1,989,345 1,989,345 1,987,345 18,392,701
4

Cumulative Net Income (Loss) 1,988,72

3,977,448 5,966,172 6,969,403 7,972,634 8,975,865 10,126,132 11,276,399 12,426,666 14,416,011 16,405,356 18,392,701 18,392,701
4

Table 5.3: Income statement Year 3

Year 4

Income Statement - Year 4

Period Starting: Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Totals

Sales
2,440,74
Sales 2,440,744 2,440,744 1,386,681 1,386,681 1,386,681 1,539,324 1,539,324 1,539,324 2,440,744 2,440,744 2,440,744 23,422,479
4
Other 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 720,000
Total Sales 2,500,74
2,500,744 2,500,744 1,446,681 1,446,681 1,446,681 1,599,324 1,599,324 1,599,324 2,500,744 2,500,744 2,500,744 24,142,479
4

Less Cost of Goods Sold

Materials 60,124 60,124 60,124 57,132 57,132 57,132 57,535 57,535 57,535 59,721 59,721 59,721 703,536
Overhead 36,075 36,075 36,075 34,280 34,280 34,280 34,522 34,522 34,522 35,834 35,834 35,834 422,133
Total Cost of Goods Sold 96,199 96,199 96,199 91,412 91,412 91,412 92,057 92,057 92,057 95,555 95,555 95,555 1,125,669

2,404,54
Gross Profit 2,404,545 2,404,545 1,355,269 1,355,269 1,355,269 1,507,267 1,507,267 1,507,267 2,405,189 2,405,189 2,405,189 23,016,810
5

Operating Expenses
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 2,076,000
Payroll taxes 2,000 2,000
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 120,000
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 500,004
Overhead cost (water,phone) 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 360,000
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 75,000
Total Operating Expenses 259,667 259,667 259,667 264,667 264,667 264,667 259,667 259,667 259,667 259,667 259,667 261,667 3,133,004
 Operating Income 2,144,87
2,144,878 2,144,878 1,090,602 1,090,602 1,090,602 1,247,600 1,247,600 1,247,600 2,145,522 2,145,522 2,143,522 19,883,806
8

Interest income (expense) 0

Other income (expense) 0
Total Nonoperating Income
0 0 0 0 0 0 0 0 0 0 0 0 0
(Expense)

Income (Loss) Before Taxes 2,144,87

2,144,878 2,144,878 1,090,602 1,090,602 1,090,602 1,247,600 1,247,600 1,247,600 2,145,522 2,145,522 2,143,522 19,883,806
8

Income Taxes 0

Net Income (Loss) 2,144,87

2,144,878 2,144,878 1,090,602 1,090,602 1,090,602 1,247,600 1,247,600 1,247,600 2,145,522 2,145,522 2,143,522 19,883,806
8

Cumulative Net Income (Loss) 2,144,87

4,289,756 6,434,634 7,525,236 8,615,838 9,706,440 10,954,040 12,201,640 13,449,240 15,594,762 17,740,284 19,883,806 19,883,806
8

Table 5.4: Income statement Year 4

Year 5

Income Statement - Year 5

Period Starting: Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Totals

Sales
2,684,81
Sales 2,684,818 2,684,818 1,525,349 1,525,349 1,525,349 1,693,256 1,693,256 1,693,256 2,684,818 2,684,818 2,684,818 25,764,723
8
Other 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 720,000
Total Sales 2,744,81
2,744,818 2,744,818 1,585,349 1,585,349 1,585,349 1,753,256 1,753,256 1,753,256 2,744,818 2,744,818 2,744,818 26,484,723
8

Less Cost of Goods Sold

Materials 62,408 62,408 62,408 59,303 59,303 59,303 59,721 59,721 59,721 61,990 61,990 61,990 730,266
Overhead 37,447 37,447 37,447 35,583 35,583 35,583 35,834 35,834 35,834 37,196 37,196 37,196 438,180
Total Cost of Goods Sold 99,855 99,855 99,855 94,886 94,886 94,886 95,555 95,555 95,555 99,186 99,186 99,186 1,168,446

2,644,96
Gross Profit 2,644,963 2,644,963 1,490,463 1,490,463 1,490,463 1,657,701 1,657,701 1,657,701 2,645,632 2,645,632 2,645,632 25,316,277
3

Operating Expenses
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 2,076,000
Payroll taxes 2,000 2,000
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 120,000
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 500,004
 Overhead cost (water,phone) 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 360,000
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 75,000
Total Operating Expenses 259,667 259,667 259,667 264,667 264,667 264,667 259,667 259,667 259,667 259,667 259,667 261,667 3,133,004

Operating Income 2,385,29

2,385,296 2,385,296 1,225,796 1,225,796 1,225,796 1,398,034 1,398,034 1,398,034 2,385,965 2,385,965 2,383,965 22,183,273
6

Interest income (expense) 0

Other income (expense) 0
Total Nonoperating Income
0 0 0 0 0 0 0 0 0 0 0 0 0
(Expense)

Income (Loss) Before Taxes 2,385,29

2,385,296 2,385,296 1,225,796 1,225,796 1,225,796 1,398,034 1,398,034 1,398,034 2,385,965 2,385,965 2,383,965 22,183,273
6

Income Taxes 0

Net Income (Loss) 2,385,29

2,385,296 2,385,296 1,225,796 1,225,796 1,225,796 1,398,034 1,398,034 1,398,034 2,385,965 2,385,965 2,383,965 22,183,273
6

Cumulative Net Income (Loss) 2,385,29

4,770,592 7,155,888 8,381,684 9,607,480 10,833,276 12,231,310 13,629,344 15,027,378 17,413,343 19,799,308 22,183,273 22,183,273
6

Table 5.5: Income statement Year 5

 Cash Flow

Year 1 Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 TOTAL
CASH ON HAND 42,054,42 42,108,84 42,942,34 43,775,84 44,609,34 46,224,00 47,838,66 309,553,44
- - - - - 0 0 0 0 0 0 0 0
CASH RECEIPTS
11,607,30
Cash Sales 594,000 594,000 1,343,250 1,343,250 1,343,250 2,129,850 2,129,850 2,129,850 0
42,000,00
Loan 42,000,000 0
480,00
Other 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 0
42,654,00 654,00 1,403,25 1,403,25 1,403,25 2,189,85 2,189,85 2,189,85 54,087,30
TOTAL CASH RECEIPTS - - - - 0 0 0 0 0 0 0 0 0
42,654,00 42,708,42 43,512,09 44,345,59 45,179,09 46,799,19 48,413,85 50,028,51 363,640,74
TOTAL CASH AVAILABLE - - - - 0 0 0 0 0 0 0 0 0
CASH PAID OUT
403,70
Purchases (Merchandise) 46,750 46,750 50,000 50,000 50,000 53,400 53,400 53,400 0
1,384,00
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 0
2,00
Payroll Taxes 2,000 0
110,00
Marketing/promotion 40,000 40,000 5,000 5,000 5,000 5,000 5,000 5,000 0
240,00
Overhead costs 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 0
 1,674,00
Depreciation 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 0
80,00
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 0
500,00
Insurance 62,500 62,500 62,500 62,500 62,500 62,500 62,500 62,500 0
Interest -
242,28
Other Expenses 28,080 28,080 30,000 30,000 30,000 32,040 32,040 32,040 0
599,58 599,58 569,75 569,75 569,75 575,19 575,19 577,19 4,635,98
Subtotal - - - - 0 0 0 0 0 0 0 0 0
Loan Principal Payment -
599,58 599,58 569,75 569,75 569,75 575,19 575,19 577,19 4,635,98
TOTAL CASH PAID OUT - - - - 0 0 0 0 0 0 0 0 0
42,054,42 42,108,84 42,942,34 43,775,84 44,609,34 46,224,00 47,838,66 49,451,32 13,907,94
CASH POSITION - - - - 0 0 0 0 0 0 0 0 0

Table 5.6: Cash flow in Year 1

Year 2 Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 TOTAL
CASH ON HAND 1,674,24 3,348,49 5,022,73 5,758,22 6,493,71 7,229,21 8,104,96 8,980,72 9,856,48 11,531,32 13,206,17 81,206,30
- 5 0 5 7 9 1 9 7 5 8 1 7
CASH RECEIPTS
20,847,78
Cash Sales 2,172,447 2,172,447 2,172,447 1,234,251 1,234,251 1,234,251 1,370,115 1,370,115 1,370,115 2,172,447 2,172,447 2,172,447 0
720,00
Other Cash 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 0
2,232,44 2,232,44 2,232,44 1,294,25 1,294,25 1,294,25 1,430,11 1,430,11 1,430,11 2,232,44 2,232,44 2,232,44 21,567,78
TOTAL CASH RECEIPTS 7 7 7 1 1 1 5 5 5 7 7 7 0
2,232,44 3,906,69 5,580,93 6,316,98 7,052,47 7,787,97 8,659,32 9,535,08 10,410,84 12,088,93 13,763,77 15,438,61 102,774,08
TOTAL CASH AVAILABLE 7 2 7 6 8 0 6 4 2 2 5 8 7
CASH PAID OUT
652,97
Purchases (Merchandise) 55,803 55,803 55,803 53,026 53,026 53,026 53,400 53,400 53,400 55,429 55,429 55,429 4
2,076,00
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 0
2,00
Payroll Taxes 2,000 0
75,00
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 0
360,00
Overhead costs 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 0
2,511,00
Depreciation 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 0
120,00
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 0
 500,00
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 4
Interest -
391,78
Other Expenses 33,482 33,482 33,482 31,816 31,816 31,816 32,040 32,040 32,040 33,258 33,258 33,258 8
558,20 558,20 558,20 558,75 558,75 558,75 554,35 554,35 554,35 557,60 557,60 559,60 6,688,76
Subtotal 2 2 2 9 9 9 7 7 7 4 4 4 6
Loan Principal Payment -
558,20 558,20 558,20 558,75 558,75 558,75 554,35 554,35 554,35 557,60 557,60 559,60 6,688,76
TOTAL CASH PAID OUT 2 2 2 9 9 9 7 7 7 4 4 4 6
1,674,24 3,348,49 5,022,73 5,758,22 6,493,71 7,229,21 8,104,96 8,980,72 9,856,48 11,531,32 13,206,17 14,879,01 20,066,29
CASH POSITION 5 0 5 7 9 1 9 7 5 8 1 4 8

Table 5.7: Cash flow in Year 2

Year 3 Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 TOTAL
CASH ON HAND 1,425,23 2,850,47 4,275,71 4,715,52 5,155,32 5,595,13 6,181,97 6,768,81 7,355,64 8,781,51 10,207,37 63,312,72
- 7 4 1 0 9 8 4 0 6 2 8 9
CASH RECEIPTS
21,890,16
Cash Sales 2,281,069 2,281,069 2,281,069 1,295,964 1,295,964 1,295,964 1,438,621 1,438,621 1,438,621 2,281,069 2,281,069 2,281,069 9
720,00
Other Cash 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 0
2,341,06 2,341,06 2,341,06 1,355,96 1,355,96 1,355,96 1,498,62 1,498,62 1,498,62 2,341,06 2,341,06 2,341,06 22,610,16
TOTAL CASH RECEIPTS 9 9 9 4 4 4 1 1 1 9 9 9 9
2,341,06 3,766,30 5,191,54 5,631,67 6,071,48 6,511,29 7,093,75 7,680,59 8,267,43 9,696,71 11,122,58 12,548,44 85,922,89
TOTAL CASH AVAILABLE 9 6 3 5 4 3 9 5 1 5 1 7 8
CASH PAID OUT
677,78
Purchases (Merchandise) 57,923 57,923 57,923 55,041 55,041 55,041 55,429 55,429 55,429 57,535 57,535 57,535 4
2,076,00
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 0
2,00
Payroll Taxes 2,000 0
75,00
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 0
360,00
Overhead costs 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 0
2,511,00
Depreciation 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 209,250 0
120,00
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 0
 500,00
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 4
35,00
Interest 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 4
422,13
Other Expenses 36,075 36,075 36,075 34,280 34,280 34,280 34,522 34,522 34,522 35,834 35,834 35,834 3
565,83 565,83 565,83 566,15 566,15 566,15 561,78 561,78 561,78 565,20 565,20 567,20 6,778,92
Subtotal 2 2 2 5 5 5 5 5 5 3 3 3 5
4,200,00
Loan Principal Payment 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 0
915,83 915,83 915,83 916,15 916,15 916,15 911,78 911,78 911,78 915,20 915,20 917,20 10,978,92
TOTAL CASH PAID OUT 2 2 2 5 5 5 5 5 5 3 3 3 5
1,425,23 2,850,47 4,275,71 4,715,52 5,155,32 5,595,13 6,181,97 6,768,81 7,355,64 8,781,51 10,207,37 11,631,24 28,736,77
CASH POSITION 7 4 1 0 9 8 4 0 6 2 8 4 5

Table 5.8: Cash flow in Year 3

Year 4 Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 TOTAL
CASH ON HAND 1,501,71 3,003,42 4,505,13 4,952,56 5,400,00 5,847,43 6,451,87 7,056,30 7,660,73 9,163,09 10,665,44 66,207,72
- 1 2 3 8 3 8 1 4 7 2 7 6
CASH RECEIPTS
23,422,47
Cash Sales 2,440,744 2,440,744 2,440,744 1,386,681 1,386,681 1,386,681 1,539,324 1,539,324 1,539,324 2,440,744 2,440,744 2,440,744 9
720,00
Other Cash 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 0
2,500,74 2,500,74 2,500,74 1,446,68 1,446,68 1,446,68 1,599,32 1,599,32 1,599,32 2,500,74 2,500,74 2,500,74 24,142,47
TOTAL CASH RECEIPTS 4 4 4 1 1 1 4 4 4 4 4 4 9
2,500,74 4,002,45 5,504,16 5,951,81 6,399,24 6,846,68 7,446,76 8,051,19 8,655,62 10,161,48 11,663,83 13,166,19 90,350,20
TOTAL CASH AVAILABLE 4 5 6 4 9 4 2 5 8 1 6 1 5
CASH PAID OUT
703,53
Purchases (Merchandise) 60,124 60,124 60,124 57,132 57,132 57,132 57,535 57,535 57,535 59,721 59,721 59,721 6
2,076,00
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 0
2,00
Payroll Taxes 2,000 0
75,00
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 0
360,00
Overhead costs 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 0
3,483,00
Depreciation 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 0
120,00
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 0
 500,00
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 4
35,00
Interest 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 4
422,13
Other Expenses 36,075 36,075 36,075 34,280 34,280 34,280 34,522 34,522 34,522 35,834 35,834 35,834 3
649,03 649,03 649,03 649,24 649,24 649,24 644,89 644,89 644,89 648,38 648,38 650,38 7,776,67
Subtotal 3 3 3 6 6 6 1 1 1 9 9 9 7
4,200,00
Loan Principal Payment 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 0
999,03 999,03 999,03 999,24 999,24 999,24 994,89 994,89 994,89 998,38 998,38 1,000,38 11,976,67
TOTAL CASH PAID OUT 3 3 3 6 6 6 1 1 1 9 9 9 7
1,501,71 3,003,42 4,505,13 4,952,56 5,400,00 5,847,43 6,451,87 7,056,30 7,660,73 9,163,09 10,665,44 12,165,80 31,730,03
CASH POSITION 1 2 3 8 3 8 1 4 7 2 7 2 1

Table 5.9: Cash flow in Year 4

Year 5 Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 TOTAL
CASH ON HAND 1,742,12 3,484,25 5,226,38 5,809,01 6,391,64 6,974,27 7,729,14 8,484,00 9,238,87 10,981,67 12,724,47 78,785,87
- 9 8 7 6 5 4 1 8 5 3 1 7
CASH RECEIPTS
25,764,72
Cash Sales 2,684,818 2,684,818 2,684,818 1,525,349 1,525,349 1,525,349 1,693,256 1,693,256 1,693,256 2,684,818 2,684,818 2,684,818 3
720,00
Other Cash 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 0
2,744,81 2,744,81 2,744,81 1,585,34 1,585,34 1,585,34 1,753,25 1,753,25 1,753,25 2,744,81 2,744,81 2,744,81 26,484,72
TOTAL CASH RECEIPTS 8 8 8 9 9 9 6 6 6 8 8 8 3
2,744,81 4,486,94 6,229,07 6,811,73 7,394,36 7,976,99 8,727,53 9,482,39 10,237,26 11,983,69 13,726,49 15,469,28 105,270,60
TOTAL CASH AVAILABLE 8 7 6 6 5 4 0 7 4 3 1 9 0
CASH PAID OUT
730,26
Purchases (Merchandise) 62,408 62,408 62,408 59,303 59,303 59,303 59,721 59,721 59,721 61,990 61,990 61,990 6
2,076,00
Salaries and wages 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 173,000 0
2,00
Payroll Taxes 2,000 0
75,00
Marketing/promotion 5,000 5,000 5,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 0
360,00
Overhead costs 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 0
3,483,00
Depreciation 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 290,250 0
120,00
Utilities 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 0
 500,00
Insurance 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 41,667 4
35,00
Interest 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 2,917 4
438,18
Other Expenses 37,447 37,447 37,447 35,583 35,583 35,583 35,834 35,834 35,834 37,196 37,196 37,196 0
652,68 652,68 652,68 652,72 652,72 652,72 648,38 648,38 648,38 652,02 652,02 654,02 7,819,45
Subtotal 9 9 9 0 0 0 9 9 9 0 0 0 4
4,200,00
Loan Principal Payment 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 350,000 0
1,002,68 1,002,68 1,002,68 1,002,72 1,002,72 1,002,72 998,38 998,38 998,38 1,002,02 1,002,02 1,004,02 12,019,45
TOTAL CASH PAID OUT 9 9 9 0 0 0 9 9 9 0 0 0 4
1,742,12 3,484,25 5,226,38 5,809,01 6,391,64 6,974,27 7,729,14 8,484,00 9,238,87 10,981,67 12,724,47 14,465,26 31,858,36
CASH POSITION 9 8 7 6 5 4 1 8 5 3 1 9 2

Table 5.10: Cash flow in Year 5

 Balance sheet

January February March 31, April 30, May 31, June 30, July 31, August September October November December
31, 2010 28, 2010 2010 2010 2010 2010 2010 31, 2010 30, 2010 31, 2010 30, 2010 31, 2010 Year 1
Assets
Current assets:
Cash 0 0 0 0 -245,580 -245,580 -245,580 575,840 1,109,340 2,424,000 3,738,660 5,051,320 12,162,420
Land 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 6,000,000
Building 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000
Furniture 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 2,840,640
Electronic equipment 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 3,393,480
Equipment in restaurant 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 426,588
Materials 0 0 0 0 46,750 46,750 50,000 50,000 50,000 53,400 53,400 53,400 403,700
Overhead 28,080 28,080 30,000 30,000 30,000 32,040 32,040 32,040 242,280
฿1,255,05 ฿1,255,05 ฿1,255,05 ฿1,084,30 ฿1,084,30 ฿1,089,47 ฿1,910,89 ฿2,444,39 ฿3,764,49 ฿5,079,15 ฿6,391,81
Total asset ฿1,255,059 9 9 9 9 9 9 9 9 9 9 9 27,869,108
Liabilities
701,593. 703,932. 706,278. 708,633. 710,995. 713,365. 715,743. 718,128. 720,522. 722,924. 725,334. 727,752. 8,575,204.6
Bank loan payment 84 49 93 19 30 29 17 98 74 49 24 02 8
Interest Tax ฿140,000 ฿137,661 ฿135,315 ฿132,961 ฿130,599 ฿128,229 ฿125,851 ฿123,465 ฿121,071 ฿118,669 ฿116,260 ฿113,842 ฿1,523,921
841,593. 841,593. 841,593. 841,593. 841,593. 841,593. 841,593. 841,593. 841,593. 841,593. 841,593. 841,593.
Total liabilities 84 84 84 84 84 84 84 84 84 84 85 84 ฿10,099,126
Equity
฿413,465.1 ฿1,069,30 ฿1,602,80 ฿2,922,90 ฿4,237,56 ฿5,550,22
Owner, Capital 6 ฿413,465 ฿413,465 ฿413,465 ฿242,715 ฿242,715 ฿247,885 5 5 5 5 5 17,769,982
฿1,255,05 ฿1,255,05 ฿1,255,05 ฿1,084,30 ฿1,084,30 ฿1,089,47 ฿1,910,89 ฿2,444,39 ฿3,764,49 ฿5,079,15 ฿6,391,81
Total liabilities and equity ฿1,255,059 9 9 9 9 9 9 9 9 9 9 9 ฿27,869,108

Table 5.11: Balance sheet Year 1

 January 31, February March 31, April 30, May 31, June 30, July 31, August 31, September October November December
2011 28, 2011 2011 2011 2011 2011 2011 2011 30, 2011 31, 2011 30, 2011 31, 2011 Year 2

Assets

Current assets:

Cash 1,374,245 2,748,490 4,122,735 4,558,227 4,993,719 5,429,211 6,004,969 6,580,727 7,156,485 8,531,328 9,906,171 11,279,014 72,685,321

Land 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 6,000,000

Building 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000

Furniture 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 2,840,640

Electronic equipment 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 3,393,480

Equipment in restaurant 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 426,588
Materials 55,803 55,803 55,803 53,026 53,026 53,026 53,400 53,400 53,400 55,429 55,429 55,429 652,974
Overhead 33,482 33,482 33,482 31,816 31,816 31,816 32,040 32,040 32,040 33,258 33,258 33,258
391,788

Total asset 2,718,589 4,092,834 5,467,079 5,898,128 6,333,620 6,769,112 7,345,468 7,921,226 8,496,984 9,875,074 11,249,917 12,622,760 88,790,791

Liabilities

Bank loan payable ฿688,397 ฿691,552 ฿694,722 ฿697,906 ฿701,105 ฿704,318 ฿707,546 ฿710,789 ฿714,047 ฿717,319 ฿720,607 ฿723,910 ฿8,472,217

Interest Tax ฿153,197 ฿150,042 ฿146,872 ฿143,688 ฿140,489 ฿137,276 ฿134,048 ฿130,805 ฿127,547 ฿124,274 ฿120,987 ฿117,684 ฿1,626,909
฿10,099,12
Total liabilities ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 6

Equity

Owner, Capital 1,876,995 3,251,240 4,625,485 5,056,534 5,492,026 5,927,518 6,503,874 7,079,632 7,655,390 9,033,480 10,408,323 11,781,166 78,691,665
฿4,092,83 ฿5,467,07 ฿5,898,12 ฿6,333,62 ฿6,769,11 ฿7,345,46 ฿7,921,22 ฿8,496,98 ฿9,875,07 ฿11,249,9 ฿12,622,7 ฿88,790,79
Total liabilities and equity ฿2,718,589 4 9 8 0 2 8 6 4 4 17 60 1

Table 5.12: Balance sheet Year 2

January 31, February March 31, April 30, May 31, June 30, July 31, August September October November December
2012 28, 2012 2012 2012 2012 2012 2012 31, 2012 30, 2012 31, 2012 30, 2012 31, 2012 Year 3
 Assets

Current assets:

Cash 1,478,154 2,956,308 4,434,462 4,927,188 5,419,914 5,912,640 6,552,393 7,192,146 7,831,899 9,310,682 10,789,465 12,266,248 79,071,499

Land 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 6,000,000

Building 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000

Furniture 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 2,840,640

Electronic equipment 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 3,393,480

Equipment in restaurant 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 426,588
Materials 57,923 57,923 57,923 55,041 55,041 55,041 55,429 55,429 55,429 57,535 57,535 57,535
677,784
Overhead 34,755 34,755 34,755 33,025 33,025 33,025 33,258 33,258 33,258 34,522 34,522 34,522
406,680
฿4,304,04 ฿5,782,19 ฿6,270,31 ฿6,763,03 ฿7,255,76 ฿7,896,13 ฿8,535,89 ฿9,175,64 ฿10,657,7 ฿12,136,5 ฿13,613,3
Total asset 2,825,891 5 9 3 9 5 9 2 5 98 81 64 95,216,671

Liabilities

Bank loan payable ฿685,640 ฿689,925 ฿694,238 ฿698,577 ฿702,943 ฿707,336 ฿711,757 ฿716,205 ฿720,682 ฿725,186 ฿729,718 ฿734,279 ฿8,516,485

Interest Tax ฿155,954 ฿151,668 ฿147,356 ฿143,017 ฿138,651 ฿134,258 ฿129,837 ฿125,389 ฿120,912 ฿116,408 ฿111,876 ฿107,315 ฿1,582,641
฿10,099,12
Total liabilities ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 6

Equity

Owner, Capital 1,984,297 3,462,451 4,940,605 5,428,719 5,921,445 6,414,171 7,054,545 7,694,298 8,334,051 9,816,204 11,294,987 12,771,770 85,117,545
฿4,304,04 ฿5,782,19 ฿6,270,31 ฿6,763,03 ฿7,255,76 ฿7,896,13 ฿8,535,89 ฿9,175,64 ฿10,657,7 ฿12,136,5 ฿13,613,3 ฿95,216,67
Total liabilities and equity ฿2,825,891 5 9 3 9 5 9 2 5 98 81 64 1

Table 5.13: Balance sheet Year 3

January 31, February March 31, April 30, May 31, June 30, July 31, August September October November December
2013 28, 2013 2013 2013 2013 2013 2013 31, 2013 30, 2013 31, 2013 30, 2013 31, 2013 Year 4

Assets
Current assets:

Cash 1,554,628 3,109,256 4,663,884 5,164,236 5,664,588 6,164,940 6,822,290 7,479,640 8,136,990 9,692,262 11,247,534 12,800,806 82,501,054

Land 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 6,000,000

Building 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000

Furniture 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 2,840,640

Electronic equipment 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 3,393,480

Equipment in restaurant 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 426,588
Materials 60,124 60,124 60,124 57,132 57,132 57,132 57,535 57,535 57,535 59,721 59,721 59,721 703,536
Overhead 36,075 36,075 36,075 34,280 34,280 34,280 34,522 34,522 34,522 35,834 35,834 35,834 422,133
฿4,460,51 ฿6,015,14 ฿6,510,70 ฿7,011,05 ฿7,511,41 ฿8,169,40 ฿8,826,75 ฿9,484,10 ฿11,042,8 ฿12,598,1 ฿14,151,4
Total asset 2,905,886 4 2 7 9 1 6 6 6 76 48 20 98,687,431

Liabilities

Bank loan payable ฿701,594 ฿703,932 ฿706,279 ฿708,633 ฿710,995 ฿713,365 ฿715,743 ฿718,129 ฿720,523 ฿722,924 ฿725,334 ฿727,752 ฿8,575,205

Interest Tax ฿140,000 ฿137,661 ฿135,315 ฿132,961 ฿130,599 ฿128,229 ฿125,851 ฿123,465 ฿121,071 ฿118,669 ฿116,260 ฿113,842 ฿1,523,921
฿10,099,12
Total liabilities ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 ฿841,594 6

Equity
฿3,618,92 ฿5,173,54 ฿5,669,11 ฿6,169,46 ฿6,669,81 ฿7,327,81 ฿7,985,16 ฿8,642,51 ฿10,201,2 ฿11,756,5 ฿13,309,8 ฿88,588,30
Owner, Capital ฿2,064,292 0 8 3 5 7 2 2 2 82 54 26 5
฿4,460,51 ฿6,015,14 ฿6,510,70 ฿7,011,05 ฿7,511,41 ฿8,169,40 ฿8,826,75 ฿9,484,10 ฿11,042,8 ฿12,598,1 ฿14,151,4 ฿98,687,43
Total liabilities and equity ฿2,905,886 4 2 7 9 1 6 6 6 76 48 20 1

Table 5.14: Balance sheet Year 4

January February March 31, April 30, May 31, June 30, July 31, August September October November December
31, 2013 28, 2013 2013 2013 2013 2013 2013 31, 2013 30, 2013 31, 2013 30, 2013 31, 2013 Year 5

Assets
Current assets:

Cash 1,795,046 3,590,092 5,385,138 6,020,684 6,656,230 7,291,776 8,099,560 8,907,344 9,715,128 11,510,843 13,306,558 15,100,273 97,378,672

Land 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 6,000,000

Building 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 2,400,000

Furniture 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 236,720 2,840,640

Electronic equipment 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 282,790 3,393,480

Equipment in restaurant 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 35,549 426,588
Materials 62,408 62,408 62,408 59,303 59,303 59,303 59,721 59,721 59,721 61,990 61,990 61,990
730,266
Overhead 37,447 37,447 37,447 35,583 35,583 35,583 35,834 35,834 35,834 37,196 37,196 37,196
438,180
฿4,945,00 ฿6,740,05 ฿7,370,62 ฿8,006,17 ฿8,641,72 ฿9,450,17 ฿10,257,9 ฿11,065,7 ฿12,865,0 ฿14,660,8 ฿16,454,5
Total asset 3,149,960 6 2 9 5 1 4 58 42 88 03 18 113,607,826

Liabilities

Bank loan payable ฿688,397 ฿691,552 ฿694,722 ฿697,906 ฿701,105 ฿704,318 ฿707,546 ฿710,789 ฿714,047 ฿717,319 ฿720,607 ฿723,910 ฿8,472,217

Interest Tax ฿155,954 ฿151,668 ฿147,356 ฿143,017 ฿138,651 ฿134,258 ฿129,837 ฿125,389 ฿120,912 ฿116,408 ฿111,876 ฿107,315 ฿1,582,641
฿10,054,85
Total liabilities ฿844,350 ฿843,220 ฿842,078 ฿840,923 ฿839,756 ฿838,576 ฿837,383 ฿836,177 ฿834,959 ฿833,727 ฿832,483 ฿831,225 8

Equity

Owner, Capital 2,305,610 4,101,786 5,897,974 6,529,706 7,166,419 7,803,145 8,612,791 9,421,781 10,230,783 12,031,361 13,828,320 15,623,293 103,552,968
฿4,945,00 ฿6,740,05 ฿7,370,62 ฿8,006,17 ฿8,641,72 ฿9,450,17 ฿10,257,9 ฿11,065,7 ฿12,865,0 ฿14,660,8 ฿16,454,5 ฿113,607,8
Total liabilities and equity ฿3,149,960 6 2 9 5 1 4 58 42 88 03 18 26

Table 5.15: Balance sheet Year 5

NPV and IRR

Solution: NPV of Project is: $49,607,435.26

 "Discount
Cash Cash
Rate" % Cash OUT Discounted
Investment Return Cash IN
assumption at flow by
Year 1 (Cash flow (Cash flow at discounted
for each discounted specific
OUT) IN) value
year value year

Month 1 $0.00 0 0.0% $0 0 0

Month 2 $0.00 0 0.0% $0 0 0
Month 3 $0.00 0 0.0% $0 0 0
Month 4 $0.00 0 0.0% $0 0 0
Month 5 599,580 42,654,000 20.0% $499,650 $42,654,000 $42,654,000
Month 6 599,580 654,000 20.0% $416,375 $654,000 $654,000
Month 7 569,750 1,403,250 20.0% $329,716 $1,403,250 $1,403,250
Month 8 569,750 1,403,250 20.0% $274,764 $1,403,250 $1,403,250
Month 9 569,750 1,403,250 20.0% $228,970 $1,169,375 $669,725
Month 10 575,190 2,189,850 20.0% $192,630 $1,520,729 $1,104,354
Month 11 575,190 2,189,850 20.0% $160,525 $1,267,274 $937,558
Month 12 577,190 2,189,850 20.0% $134,236 $1,056,062 $781,298

Year 1
Solution: NPV of Project is: $1,449,651.89
Month 0 Cash 1 2 Cash 3 4 "Discount 5 6 OUT 7 8 IN 9 10 11 12
Year 2 Cash Cash Discounted
-
Investment Return Rate" % at at discounted flow by
Cash flows 42,000,000
(Cash flow (Cash flow 42,054,420
assumption 42,108,840
discounted 42,942,340 43,775,840
value 44,609,340 46,224,000
specific 47,838,660 49,451,320
OUT) IN) for each value year
year IRR = 101%

Month 1 558,202 2,232,447 20.0% $108,183 $432,663 $324,480

Month 2 558,202 2,232,447 20.0% $90,153 $360,553 $270,400
Month 3 558,202 2,232,447 20.0% $75,127 $300,461 $225,333
Month 4 558,759 1,294,251 20.0% $62,669 $145,159 $82,490
Month 5 558,759 1,294,251 20.0% $52,224 $120,966 $68,742
Month 6 558,759 1,294,251 20.0% $43,520 $100,805 $57,285
Mount 7 554,357 1,430,115 20.0% $35,981 $92,822 $56,841
Month 8 554,357 1,430,115 20.0% $29,984 $77,352 $47,368
Month 9 554,357 1,430,115 20.0% $24,987 $64,460 $39,473
Month 10 557,604 2,232,447 20.0% $20,944 $83,853 $62,909
Month 11 557,604 2,232,447 20.0% $17,453 $69,878 $52,424
Month 12 559,604 2,232,447 20.0% $14,597 $58,231 $43,635
 Year 2
Month 0 1 2 3 4 5 6 7 8 9 10 11 12
Cash -
flows 13,907,940 1,674,245 3,348,490 5,022,735
Solution: 5,758,227
NPV of Project 6,493,719 7,229,211
is: $132,162.65 8,104,969 8,980,727 9,856,485 11,531,328 13,206,171 14,879,014
Year 3 Cash Cash "Discount Cash OUT Cash IN Discounted
Investment Return Rate" % IRR = 34%
at at discounted flow by
(Cash flow (Cash flow assumption discounted value specific
OUT) IN) for each value year
year

Month 1 915,832 2,341,069 20.0% $19,907 $50,887 $30,980

Month 2 915,832 2,341,069 20.0% $16,589 $42,406 $25,817
Month 3 915,832 2,341,069 20.0% $13,824 $35,338 $21,514
Month 4 916,155 1,355,964 20.0% $11,524 $17,057 $5,532
Month 5 916,155 1,355,964 20.0% $9,604 $14,214 $4,610
Month 6 916,155 1,355,964 20.0% $8,003 $11,845 $3,842
Month 7 911,785 1,498,621 20.0% $6,637 $10,909 $4,272
Month 8 911,785 1,498,621 20.0% $5,531 $9,091 $3,560
Month 9 911,785 1,498,621 20.0% $4,609 $7,576 $2,967
Month 10 915,203 2,341,069 20.0% $3,855 $9,862 $6,007
Month 11 915,203 2,341,069 20.0% $3,213 $8,219 $5,006
Month 12 917,203 2,341,069 20.0% $2,683 $6,849 $4,166
 Year 3
Month 0 1 2 3 4 5 6 7 8 9 10 11 12
-
Cash flows 20,066,298 1,425,237 2,850,475 4,275,712 4,715,521 5,155,331 5,595,140 6,181,976 6,768,813 7,355,649 8,781,515 10,207,382 11,631,248

IRR = 21%
 Solution: NPV of Project is: $15,736.33
"Discount
Cash Cash
Rate" % Cash OUT Discounted
Investment Return Cash IN
assumption at flow by
Year 4 (Cash flow (Cash flow at discounted
for each discounted specific
OUT) IN) value
year value year

Month 1 999,033 2,500,744 20.0% $2,436 $6,097 $3,661

Month 2 999,033 2,500,744 20.0% $2,030 $5,081 $3,051
Month 3 999,033 2,500,744 20.0% $1,691 $4,234 $2,542
Month 4 999,246 1,446,681 20.0% $1,410 $2,041 $631
Month 5 999,246 1,446,681 20.0% $1,175 $1,701 $526
Month 6 999,246 1,446,681 20.0% $979 $1,417 $438
Month 7 994,891 1,599,324 20.0% $812 $1,306 $493
Month 8 994,891 1,599,324 20.0% $677 $1,088 $411
Month 9 994,891 1,599,324 20.0% $564 $907 $343
Month 10 998,389 2,500,744 20.0% $472 $1,182 $710
Month 11 998,389 2,500,744 20.0% $393 $985 $592
Month 12 1,000,389 2,500,744 20.0% $328 $821 $492
 Solution: NPV of Project is: $1,845.25
"Discount
Cash Cash
Rate" % Cash OUT Discounted
Investment Return Cash IN
assumption at flow by
Year 5 (Cash flow (Cash flow at discounted
for each discounted specific
OUT) IN) value
year value year

Month 1 1,002,689 2,744,818 20.0% $274 $751 $476

Month 2 1,002,689 2,744,818 20.0% $228 $625 $397
Month 3 1,002,689 2,744,818 20.0% $190 $521 $331
Month 4 1,002,720 1,585,349 20.0% $159 $251 $92
Month 5 1,002,720 1,585,349 20.0% $132 $209 $77
Month 6 1,002,720 1,585,349 20.0% $110 $174 $64
Month 7 998,389 1,753,256 20.0% $91 $161 $69
Month 8 998,389 1,753,256 20.0% $76 $134 $58
Month 9 998,389 1,753,256 20.0% Year 4 $63 $111 $48
Month 10
Month 0 1,002,020
1 2 2,744,818
3 20.0%
4 5 6 $53 7 8 $1459 10 $9211 12
CashMonth
flows 11 - 1,501,711 3,003,423 2,744,818
1,002,020 4,505,134 20.0%
4,952,569 5,400,005 5,847,440 $44
6,451,873 7,056,307 $121
7,660,740 9,163,095 $77
10,665,451 12,165,806
Month 12 28,736,775 1,004,020 2,744,818 20.0% $37 $101 $64

IRR = 15%
 Year 5
Month 0 1 2 3 4 5 6 7 8 9 10 11 12
Cash -
flows 31,730,031 1,742,129 3,484,259 5,226,388 5,809,017 6,391,647 6,974,276 7,729,143 8,484,011 9,238,878 10,981,676 12,724,475 14,465,273

IRR = 16%
 Chapter 6: Risk

Internal risk
1. Hygiene
There is risk of unclean and dirty of the raw materials in our restaurant. that transform the local
communities of the markets, it may be disease or transmission of infection when cooking foods and
desserts.

Managing the Risk

• Make sure the raw materials are cleanliness by rinsing with clean water several times.
• Clean the cooking equipments all the time such as when chef used a knife by cut
vegetables, it should be cleaned before being used with different kind of raw materials.
2. Fire
Fire exit routes or fire escape by stock can prevent escape and provide fuel for fires that have
many products and materials used in our restaurant. It has particularly aerosols, re highly flammable and
potentially explosive if exposed to high temperatures.
Managing the Risk
• Keep all fire exit routes and fire exits clear, and make regular checks to ensure for the
case.
• Store products in stock without particularly aerosols that away from naked flames or
sources of heat or below room temperature and in a dry atmosphere.
• Do not use portable gas heaters as they have a naked flame.
• Switch off and unplug all electrical appliances when finish all works.
• Make sure employees are aware of the action they must take in the event of a fire.
3. Standard service of staffs

Most accidents will occur when staffs offense such as service delays by serve the products, the
amount of food that is not the same standard in each kun toke, the staff does not have the service mild or
does not suggest the product or promotion for the customer like a standard.
Managing the Risk
• Our restaurant must to have meeting with the leader of each department or briefly
before working in every week.
• Developing and training staffs by make them act for standard service by looking for
the product that not the same standard and then tell the leader or chef to do it better.
 • Provide proper step ladders to reach anything not accessible from the ground.

4. Musicain and show

Some accident may be occurring when some of musician or mechanics dance have an accident.
Managing the Risk
• Our restaurant must have the musician backup and mechanics backup for provide the
customer.

• We may have some special show in that they or provide some acidities
that can make customer enjoy.

5. Financial risk in our restaurant

We will example of the risk case of the financial in our restaurant to show the detail of the
financial if our sale is decrease, costs is increase, expenses is increase, and interest is increase.

Income Statement - 5 Years

Period Starting: Year 1 Year 2 Year 3 Year 4 Year 5 Totals

Sales
98,427,82
Sales
11,098,935 19,805,391 20,795,659 22,251,355 24,476,487 7
Other 180,000 180,000 180,000 180,000 180,000 900,000
Total Sales 11,278,93 19,985,39 20,975,65 22,431,35 24,656,48 99,327,82
5 1 9 5 7 7

Less Cost of Goods Sold

Materials 460,000 690,000 690,000 690,000 690,000 3,220,000
Overhead 276,000 414,000 414,000 414,000 414,000 1,932,000
Total Cost of Goods Sold 736,000 1,104,000 1,104,000 1,104,000 1,104,000 5,152,000
10,542,93 18,881,39 19,871,65 21,327,35 23,552,48 94,175,82
Gross Profit
5 1 9 5 7 7

Operating Expenses
Salaries and wages 1,480,880 2,221,320 2,221,320 2,221,320 2,221,320 10,366,160
10,366,16
Payroll taxes
2,000 2,000 2,000 2,000 2,000 0
Utilities 85,600 128,400 128,400 128,400 128,400 10,000
Insurance 500,000 500,004 500,004 500,004 500,004 599,200
Overhead cost 256,800 385,200 385,200 385,200 385,200 2,500,016
Marketing/promotion 117,700 80,250 80,250 80,250 80,250 1,797,600
Total Operating Expenses 15,711,67
2,442,980 3,317,174 3,317,174 3,317,174 3,317,174
6

Operating Income 15,564,21 16,554,48 18,010,18 20,235,31 78,464,15

8,099,955
7 5 1 3 1

Interest 38,500 38,500 38,500 115,500

Total 0 0 38,500 38,500 38,500 115,500

Net Income 15,564,21 16,515,98 17,971,68 20,196,81 78,348,65

8,099,955
7 5 1 3 1
Table 6.1 Financial risk in Bindu Thai Lanna restaurant

You will see that follow the table if our sale is decrease for 5%, costs is increase for 15%,
expenses is increase for 7%, and interest is increase for 10% follow this.

This result makes our business have the less profit every year.

Year Income of our restaurant Income from risk analysis

1 8,771,300 8,099,955
2 16,934,776 15,564,217
3 17,977,165 16,515,985
4 19,509,475 17,971,681
5 21,851,719 20,196,813

Table 6.2 The result makes our business have the less profit every year

External risk
1. Economic factor

For this factor, we receive the risk from the economic recession which it effect to decrease
employment in country and the price of products or raw materials are increase. And also our product and
service are increase as well. Moreover, there are many competitors in the same business so we try to
reduce cost for set the medium price to customer but the food and service are still high quality. Today,
there are high competitions in this business, and then most owners of Thai Lanna restaurant should to
make their product, service, etc. in differentiate from other competitors for attract customer to use our
service again and again.
2. Technology factor

Nowadays, technology has more influence in our daily life. Everybody in urban city can
available and easy to use it in every time that they want. Of course! the technology also has related to
our business, it means that the innovation technology can help our business in working which it make to
convenience, fast, and also effectiveness. Although it has high price but it can use in a long time. So, we
think our business should be update new technology for appropriate with the world today and for attract
customers too. Then we will choose the internet technology or others for promote and advertise our
business in advance, may be our advertisement is 3D in the future. The risk to our business is difficult to
decide of customers because they can compare the service charge with others competitor in easily.

3. Social factor

Most of people in today not quite eat Lanna foods and new generations begin to unknown them
as well. Because of it has effects from the global trend and each generation will change follow each
trend in world’s today. And also have many international foods become more influences to people in
Chiang Rai and others so, Lanna foods started to disappear. Therefore these reasons make us think to do
and run business about Lanna foods for conserves Thai Lanna foods and Lanna tradition to be stable as
possible.
4. Legal factor

Our business should be known and learned about the legal of Food and Drug Administration
because some of Lanna restaurant don’t have foods standard which it has more dangerous to customers.
Then we want to make customers trust in our Lanna foods and business. So we do our foods become the
standard foods and be acceptable in the country as well such as use the fresh and clean raw materials,
cooking equipments must to clean and safety, etc. And before we will buy some raw materials, we will
real check for buy the best raw materials to do the best Lanna foods for serve the customers.
 Chapter 7: Conclusion

Our business is present to Northern Thai Lanna is Khantoke, in the Northern dialect means a
wooden tray used for carrying dishes. Round in shape, it is made of wood, the host and the invited
guests sit on the floor around the khantoke, and we provides several of Thai Lanna foods that have
famous since the past to the present.

Bindu Thai Lanna Restaurant, it provides several of Thai Lanna foods that have famous both past
and present. The reasons that make us to choose this business: first, we are really interested in Thai
Lanna foods because we think it make us to know about the way of life of local people in the past. Then
we really want to learn about Thai Lanna history by though the Thai Lanna food. And then, we start to
learn about the many kinds of Thai Lanna foods much more for to be a professional. For make it to
provide the customers who really interested in Thai Lanna foods and want to taste it. Moreover, we
concentrate to make any Thai Lanna foods in every process for available to customer satisfaction. And
second, we want to publish Thai Lanna foods for everybody know what is it and how to make it in every
processes for everyone turn to pay attention for eat Thai Lanna foods more and more and also the Lanna
performances that demonstrate Thai Lanna tradition.
Bindu Thai Lanna restaurant is located near the bridge over the Kok River, Muang
Chiang Rai. The location of our restaurant is in the area that easy to access and good atmosphere. The
restaurant building has area around 400 square meters (1/4 of total area). We designed our restaurant in
differentiate form of others Lanna restaurant by created our restaurant building to look like Toke, for
make customers feel exciting and pay attraction to our restaurant. Our Toke building restaurant is
divided into 3rd floor.
The 1st floor we have area for rent to do souvenir shops. Our restaurant has souvenir shops
provide to serve customer, they can buy any Chiang Rai OTOP product in here!!
The 2nd floor is the main dining room and main stage show. And in 2 nd floor also have main stage
for show Lanna traditional to customer along with have dining Lanna foods.
 The 3rd floor is roof deck; in this floor is open-air atmosphere. In the 3rd floor is suppurating into
2 zones; Dinner Toke and VIP room.
Bindu Thai Lanna restaurant, we provide many kinds of products that serve to both Thai and
foreigner tourist. We serve high quality of products with suite to the price from medium class to high
class for our customers. We set buffet foods for each khantoke. The price is 450 Bahr per person for
adults and 250 Bath per person for children and we provide Lanna traditional show for the customer. We
think the main point of our restaurant for to be the sale point for customers who want differentiate and
identity in itself. Therefore it different from others and difficult to build to be the giant of Khantoke so,
we have to use a lot of money and high investment. In addition to the tasty, clean, and fresh of foods and
the best Lanna performances will help to support for customers’ motivate to interesting in this restaurant
more and more. We also associate with travel agency to attract many tourists. We provide reservation
and contract through travel agency to take group of tourist come to our restaurant and give special price
with a group tour.
We can forecast number of customers to come in our restaurant by estimated from 1% of total
tourist by we compute to quarter of each year, excursionist and local people in Chiang rai. We forecast
customer 23% or 304 people is foreigner tourists and 77% or 1,016 people is Thai people. Our restaurant
will have more famouse in month 3 because we join with group tour. We assume that our employees can
serve service for 10 people per day. In the future we will expand the branches in Northern region.
For the risk, our restaurant concern both external risk and internal risk that we will face that are
economic, technology, social, legal, hygiene, fire, standard service ok staffs, musician and show, and
financial. We try to handle risk and using risk management.
The last, the benefit we receive from project are know how to manage the restaurant in realistic,
we can forecast what will happen or what should we do to operate our business, we can cut the cost and
save money to the future, we have more ability to solve the problem when situation change and
teamwork is very important to do this project.
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Appendices

Picture of our restaurant

Location
Our restaurant

1st floor is souvenir shops area.

Inside 1st floor

2nd floor is the main dining room, kitchen and main stage show

Inside 2nd floor

3rd floor is roof deck

Inside 3rd floor

- Dinner on Toke (Outdoor)

- VIP Zone
Food and show
Miss Pornhatai Chuankid ID: 5131205035

Tel. 083 – 2963330 Email: mo_loveless_a@hotmail.com

Miss Soraya Kumchoo ID: 5131205073

Tel. 085 – 5365003 Email: hiromasu@hotmail.com

Miss Nattapawee Srifa ID: 5131205119

Tel. 083 – 2964526 Email: nattapawee_srifa@hotmail.com

Miss Apinya Kamcharoen ID: 5131205205

Tel. 086 – 1958637 Email: minty_im33@msn.com

Miss Angkana Tanthawes ID: 5131205211

Tel. 080 – 5302136 Email: veetaa_berry@hotmail.com

[Group 13]

Tourism Management Major

Section 2