FeelGood Boston University Business Plan

FeelGood World

Boston University Chapter Business Plan

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Table of Contents

Executive Summary

Company Summary

Products and Services

Market Analysis Summary

Strategy and Implementation Summary

Management Summary

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Executive Summary

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More than 1 billion members of our human family suffer from chronic, global hunger. It’s a reality that lies at the root of many of humanity’s most pressing challenges.

To respond to this global crisis, FeelGood students earn money to help put an end to global hunger by running FeelGood Grilled Cheese Delis on their college campuses, some of which include Columbia University, University of California-­‐Berkeley, and Clemson University.

Highly profitable, all deli proceeds—100%—are invested in organizations with a proven track record of sustainably eradicating global hunger.

More than a point of sale, FeelGood Delis are also a point of dialogue—a place to engage customers in an exploration of the causes, consequences and solutions to global hunger, from the broader perspective of our interconnected and interdependent world.

FeelGood students also take initiatives beyond the Deli, designing and executing events and campaigns to bring the message of ending global hunger to the extended campus community and beyond.

The FeelGood BU will be the established FeelGood World chapter on Boston University’s campus. We plan to hold our first deli sales day in mid-­‐October.

1.1 Mission

The purpose of FeelGoodBU is to be an innovative, non-­‐profit food service, and event planning business working towards a world free from suffering, hunger, and gender discrimination by raising money for CHOICE Humanitarian. We believe that proven, altruistic business practices and the inherent goodness in people, when combined, provide the needed synergy to make this world a better place.

1.2 Objectives

The goals of FeelGoodBU shall be: a. raise over $10,000 annually at Boston University for CHOICE Humanitarian. b. provide a simple opportunity for students and faculty to take an active role in ending hunger with their time, treasures, and talents, and to create an awareness of social responsibility in a friendly, inviting, and engaging atmosphere.

1.3 Organization Summary

FeelGoodBU is a nonprofit deli serving the Boston University community. The organization’s focus is to identify and utilize resources for bread, dairy, and produce products in the Boston area to make the grilled cheeses.

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The organization performs the following: a Solicits food donations from the local community. b Uses the donated food to set-­‐up a weekly deli on campus. c Organizes various awareness and fundraising events throughout the school year.

The website of FeelGood World: http://www.feelgoodworld.org/cheeseworld/ The website of CHOICE Humanitarian: http://choicehumanitarian.org/

1.4 Keys to Success

The keys to FeelGoodBU’s success are: a. Repeat business. Every customer who comes in once should want to return, and recommend us. Word-­‐of-­‐mouth marketing is a powerful ally. b. Location. Convenience is essential to us; we need to be close to our market because we are not trying to get people to travel to reach us. c. A great menu. We need a variety of tasty grilled cheese sandwiches, with s suggested donation price high enough to make a reasonable profit, but not so high as to limit our customers.

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Company Summary

2.1 Start-­‐up Summary

FeelGoodBU’s start up cost is ______. A significant portion of the costs is the Boston Public Health Commissions health code compliance certificate and a food cart. The remainders of the expenses are associated with the costs of running a small-­‐scale restaurant. The organization is funded by large donors to FeelGood World, small-­‐scale donors to the chapter, corporate sponsors, and a small portion of grilled cheese profits.

FeelGoodBU Projected Income Statement For the 2012 - 2013 School Year Revenue: Sandwiches Events Donations Total Revenue

Annual Operating Expenses (1) Permits Sanitation Supplies Other Food Supplies Propane Total Operating Expenses Net Income

$11,250 $1,520 $2,000 $14,770

$650 $300 $300 $100 $1,350 $13,420

(1) - Excludes donated food, equipment and labor.

Revenue Assumptions: Deli: Weeks of Deli Operation Ave. Number of Sandwiches Sold/Week Ave. Donation Per Sandwich

25 150 $3.00

6 Projected Total Deli Revenue

Events: Number of Events Held Ave. Number of Sandwiches Sold/Event Ave. Donation Per Sandwich Ave. Attendees Per Event Ave. Ticket Cost Per Event Projected Total Event Revenue

$11,250

8 30 $3.00 50 $2.00 $1,520

We anticipate our only start-­‐up cost to be the price of the food cart. However, the Boston University Student Activities Office will cover this cost.

2.2 Legal Entity

FeelGoodBU is a Massachusetts nonprofit organization. We have legal nonprofit status under FeelGood World, but, as a Boston University student organization, we will be operating under Boston University’s nonprofit status.

2.3 Company Locations and Facilities

FeelGoodBU’s food cart will be located on the Boston University campus in the parking lot on Commonwealth Avenue between the College of Arts and Sciences and Sargent College.

FeelGoodBU will be borrowing a portable sanitation station provided by Boston University Dining Services.

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Products and Services

The FeelGoodBU offers a full menu of unique grilled cheeses for take away.

3.1 Product and Service Description

Classics:

Cheddar Grilled Cheese (country white bread with yellow cheddar cheese) Swiss Grilled Cheese (country white bread with baby Swiss cheese)

Monster Sandwich (country white bread with 3 layers of melted Muenster Cheese)

Breads:

Country White Country Whole Wheat Country Whole Grain German Dark Wheat Country Oat Bran

Cheeses:

American Provolone Baby Swiss Muenster Shredded White Cheddar Shredded Mozzarella Brie Pepper Jack Feta Cream Cheese Monterrey Jack

Add-­‐Ons:

Basil

Apple

Cinnamon

Nutella

Banana

Olive Spread

$2.50 $2.50 $2.50

$0.50 $0.50 $0.50 $0.50 $0.50 $0.50

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Mariana Sauce

$0.50

Specials:

Holy Cheesus (mash-­‐up of ever cheese we have on tap)

$3.00 The ABC (apples, Brie, and cinnamon)

$3.00 Pizza Dippers (melted shredded cheddar cheese and basil cut into strips with marinara dipping sauce on the side)

$3.00 NBD (Nutella, banana, and desire)

$3.00 Tomato Basil (slice tomato and basil flakes with your favorite cheese)

$3.00 The Pelopocheesian (feta cheese with olive spread)

$3.00

3.2 Sales Literature

A sample copy of a menu will be featured on the Student Activities Office’s website, and our Facebook page. We will also have brochures about FeelGoodBU, FeelGood World, and CHOICE Humanitarian.

3.3 Sourcing

FeelGoodBU will seek in-­‐kind donations of food products from a select group of Boston restaurant suppliers and restaurants.

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Market Analysis Summary

We have three main markets: a. Students, faculty, and staff on Boston University’s campus, who will be looking for good food, convenience, and making a difference in the world. b. Individuals attending events organized and catered by FeelGoodBU. c. Individuals visiting Boston University’s campus.

Each of these market segments consist of people who are students or employees of Boston University or are flowing through the area during the normal work week. As such, there will be an undetermined percentage of each market that will be seeking an eating establishment that will meet the requirements of healthy food, fast services, and pleasant atmosphere.

Furthermore, FeelGoodBU will cater to individuals not only looking for delicious food, but who also want to make a difference in the world.

4.1 Market Segmentation

Service Geographics: FeelGoodBU serves the Boston University’s community with a total population in excess of 20,000 people.

Service Demographics: It is estimated that 75% of our customers will be relatively low-­‐income as they are primarily students, rather than individuals in the work force. The remaining 25% of our customers will be employees of Boston University, employees of local businesses, and other downtown traffic.

4.2 Target Market Segment Strategy

For the student market, we will need to focus on specific clubs and organization with specific opportunities, such as Greek organization events. We will also need to leverage word-­‐of-­‐ mouth recommendations.

The student and BU employee market has the potential of providing large volume sales to the nonprofit deli during peak ours of 11 a.m. to 2 p.m. Satisfaction of this group will provide a vital long-­‐term revenue stream. For the student and BU employee market, FeelGoodBU plans to do specific marketing through flyers, posters, and taste testing.

For the individual groups seeking lunch downtown, or take-­‐home meals, it is necessary for FeelGoodBU to develop a prominent presence on Commonwealth Avenue in order to draw their attention.

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4.2.1 Market Trends

One of the most important recent trends in eating is the rise of interest in consuming local foods. The best-­‐known example of this is the growing popularity of farmers markets.

FeelGoodBU realizes that there is a significant percentage of the population in Boston that is demanding more and more naturally grown, organic dairy products and vegetables and the deli is well positioned to take advantage of this change. We will conclude preliminary deals with local organic growers and suppliers that will allow the company to take advantage of this new market need.

4.3 Competition and Buying Patterns

The core values of FeelGoodBU’s competition and buying patterns are: a. Location is critical to success. Convenience for students is the most important aspect of our business. b. Suggested donation price is not very sensitive. We cannot be too high so as to eliminate our student base, but we cannot be too low so as not make a profit. c. Quality of food matters. If the price isn’t too high and the food is good, we will have growth through repeat business. d. Focus is an advantage; focusing on the Boston University community will draw customers from the competition.

4.3.1 Competitive Comparison

The competition facing FeelGoodBU is vast. This includes every eating establishment operated

by Boston University Dining Services, as well as independent eating establishments, including food trucks parked on campus.

FeelGoodBU plans to leverage its nonprofit and student organization status to create higher profits that will in turn fuel marketing efforts. FeelGoodBU also plans to promote its local favor and unique cuisine to draw in individuals who may find other food alternatives in the surrounding areas as unhealthy or of low quality. Therefore the members of FeelGoodBU believe that there is significant opportunity to gain local market share.

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Strategy and Implementation Summary

The main thrust of our strategy is to lever our ideal location, specialized cuisine, and nonprofit status into high profits through sales volume and moderate prices. We understand the underlying needs and wants of our community and are providing for their needs and wants.

5.1 Marketing Strategy

Most of our marketing efforts have already been mentioned. Our marketing strategy focuses mainly on making our existence known to the people going to school or working close to our location.

We can focus on local marketing: our signage, flyers, and social media campaigns.

5.1.1 Promotion Strategy

The company plans to use Boston University radio, television, and newspapers as some of the means for promotion. FeelGoodBU is also planning to send flyers to on-­‐campus organizations and put up posters. Lastly, we are going to heavily promote our organization on Twitter and on Facebook. We are hoping to use social media as a way of gaining more volunteers and customers, sharing information about our organization, and advertising promotional opportunities. One fortunate aspect of the restaurant business is that once a potential customer steps into the establishment, he chances of purchase are very high. The promotional plan will be draw people in to the deli and then seek to provide them with a superior eating experience.

5.1.2 Positioning Statement

FeelGoodBU’s most important market segment, given its location will be the student segment.

Customers in this segment have a limited amount of time and money for lunch.

5.1.3 Pricing Strategy

Our pricing strategy will focus on providing high quality, healthy food that is quick and has a unique flair. However, our price of $3 per sandwich is a suggested donation amount. Some people will be willing to pay $20 for a grilled cheese, while other people won’t pay anything for their grilled cheese.

5.2 Sales Strategy

We need to offer fast service at peak times. The key is a good crowd balance, so that we never look empty, but we are never too busy that we turn away people. Lines have to move fast.

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We need a good selection of grilled cheese styles.

Our most important sales strategy is to develop repeat business. FeelGoodBU intends to keep an accurate track of what types of sandwiches sell well and create a program of customer feedback through surveys. With this information we will be able to streamline our food line to match the local tastes and encourage more people to eat at the FeelGoodBU deli.

Management Summary

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This is a small nonprofit deli with our volunteer worker categories including cashier, sandwich builder, griller, and greeter.

There will always be at least one leadership council member in attendance during normal business hours, 11 a.m. to 3 p.m., on Monday and Friday.

6.1 Management Team

The management will consists of the seven leadership council members with the Deli Manager as the official supervisor. The Deli Manager must be involved with the cooking profession and be able to create inventive, tasty recipes.

6.2 Management Team Gaps

Currently FeelGoodBU lacks an Event Planning Chair. The Chair’s responsibilities will be split amongst the other positions for the time being.