Post on 16-Dec-2015
transcript
What is 16 Handles? A frozen yogurt store!What’s with the name? 16 different flavors of frozen yogurt50 toppings you can add to your creationBuy frozen yogurt prepackaged or to-go in
the storeUnlike other ice cream/gelato/ frozen yogurt
shops, our frozen yogurt machines are self-serve!
Prices are based on weight of the dessertStore is open year round
• It’s near other restaurants/food vendors, and would be easily accessed by students attending Union College, Schenectady High, Niskayuna, and Scotia-Glenville
• It also has a decent parking lot (approx. 15 spots)
Number of Employees
1 person at toppings1 person at the register3 people in the back loading the frozen
yogurt dispensers and setting up supplies
2 janitors3 people part time
Perceived Need
The 16 Handles in Clifton Park is doing very well
Many people outside of the Clifton Park area are going out of their way to get frozen yogurt
Why would it be successful?
People love frozen yogurt! Healthier ice cream alternatives that
people with certain diet restrictions can still enjoy (lactose intolerant, diabetes). There are non-fat, non dairy, and no sugar added options
The Sixteen Handles at this location would be accessible to students from the surrounding areas, and students are our target customers.
Advantages
• Atmosphere: It’s well lit, painted with bright fun colors, has contemporary furniture, and upbeat music is playing all the time
• Healthier than ice cream
• You can make your dessert as unique as you’d like
Potential Users
There are approximately 90,252 people in Niskayuna, Schenectady, and Scotia-Glenville
It is expected that about 1,855 students (25% of students) will buy frozen yogurt about 4 times a year and the average profit from that will be $8.50 per purchase.
At least 6% of the other population will be customers at our store, 4800 people, and will get frozen yogurt at least twice a year.
This is the calculation for the first year. We expect to be more popular the second year and
have more faithful customers that will recommend us to friends and family.
Chart of Expected Growth
100110120
130140150160170
180190200
1 2 3 4
Annual Profits
Time (years)
Profit (thousands of dollars)
Similar Businesses in the Area
Friendly’s, 2 Stewart’s Shops, Curry Freeze, Hershey’s Ice Cream, Poppy’s Ice Cream, Bumpy’s Polar Freeze Inc., Big Scoop and More LLC, Corner Ice Cream Store, Villa Italia, Civitello’s, Big boy Ice Cream, and Ice Cream Pub
13 places that sell ice cream or gelato
Zoning Requirements
Since we plan on building the 16 Handles where commercial development already is, we don’t have to worry about zoning requirements
Franchise Requirements
The potential owner must have… Liquid assets $500,000 Minimum net worth $750,000 Store must be between 1200-1500 sq ft 16 Handles estimates the cost of starting
up a store to be about $450,000-$650,000
Ownership Info.
Cadence Trapini owns 50% of the business, Annette Trapini 20%, Karen Trapini owns 13%, James Trapini owns 10%, Kristen Trapini 5%, Nick Trapini owns 2%
Management and Departments
Management team: Cadence, Annette, Karen, James, Kris, and Alex Cadence is head manager Sales management team is the same as the management teamThe 16 Handles franchise team will assist us with a design and architect team to create an optimal layout for the storeManagers will also receive training at a 16 Handles corporate location
Financial Need The particular lot that I’m looking to place 16
Handles will probably cost about $330,000 Site improvements will probably cost about
$49,599 to redecorate, furnish, and buy the right equipment to make and serve the frozen yogurt ($3,699 per yogurt machine)
$114.00: Fee for Food Protection Course. $25.00 permitting fee to manufacture and sell frozen desserts.
Total: $379,738 if we don’t have to demolish and rebuild a store (just fix up)
A small portion of funding will come from the owners of the store, and the majority will be from large loans from banks
Future Funding Needs
If the franchise decides that we need to update the design, layout, and/or décor of the store we will most likely need surplus funding for that too