FOOD VENDING
Introduction
This business idea involves preparing different kinds of foodstuffs. The food
is prepared and served to people at their work places. The various local dishes
prepared include: matooke, groundnuts, beef stew, rice, sweet potatoes, beans,
cassava, peas chicken and greens. The most commonly used method for cooking is
using a charcoal stove or a firewood stove. The business idea is premised on
production of 130 plates of food per day which translates into 3,380 plates of
food per month and 40,560plates per year. The revenue potential is estimated at
US $320 per year.
Production process
Raw food stuffs are procured from the market and processed through various
preparations then cooked using either a charcoal stove or firewood. Various
additions can be added through frying the sauce to add flavor.
Market Analysis
There is ready market for food in workplaces since people do not want to move
to eating places outside their workstations. There are many players in this
business especially women.
Capital Investment Requirements in US $
|
Capital investment item |
Units |
Qty |
Unit |
Amount |
|
Chairs and tables |
No. |
300 |
13 |
3,900 |
|
Charcoal stove (big size) |
No. |
5 |
43 |
215 |
|
Table |
No. |
2 |
10 |
20 |
|
Saucepans |
No. |
10 |
50 |
500 |
|
Utensils (Plates, cups ,spoons, |
N0 |
400 |
150 |
60,000 |
|
Washbasins |
No |
4 |
2 |
6 |
|
Total cost on equipment |
64,491 |
Production and Operating Costs in US $
|
Cost |
Units |
Unit |
Qty/ |
Prod |
Prod |
Prod |
||
|
Charcoal |
sacks |
13 |
2 |
25 |
650 |
7,800 |
||
|
Matoke |
Bunches |
6 |
3 |
18 |
468 |
5,616 |
||
|
Beans |
kg |
1.3 |
3 |
4 |
98 |
1,170 |
||
|
Rice |
kg |
1.2 |
7 |
8 |
209 |
2,512 |
||
|
Kalo |
kg |
1 |
4 |
4 |
104 |
1,248 |
||
|
G. nuts |
kg |
1.2 |
3 |
3 |
90 |
1,076 |
||
|
Meat |
kg |
3 |
8 |
20 |
520 |
6,240 |
||
|
Peas |
kg |
0.6 |
2 |
1 |
31 |
374 |
||
|
Greens |
Bundles |
0.5 |
2 |
1 |
26 |
312 |
||
|
Chicken |
No. |
6 |
4 |
24 |
624 |
7,488 |
||
|
Salt |
Grams |
0.3 |
2 |
1 |
16 |
187 |
||
|
Sub-totals |
84 |
2,835 |
34,024 |
|||||
|
General costs(overheads |
||||||||
|
Utilities (water and power) |
100 |
1,200 |
||||||
|
Labour |
125 |
1,500 |
||||||
|
Rent |
150 |
1,800 |
||||||
|
Miscellaneous costs |
50 |
600 |
||||||
|
Depreciation(Asset write off) Expenses |
1,250 |
15,000 |
||||||
|
Sub -total |
1,675 |
20100 |
||||||
|
Total Operating Costs |
4,510 |
54,124 |
||||||
1, Production costs assumed 312 days per year with a daily
capacity of 130 plates of food.
2, Depreciation (fixed assets write off) assumes 4 years life of assets written
off at 25% per year for all assets
3, Direct costs include materials, supplies and other costs that directly go
into production of the product.
Project Product Costs and Prices
Structures in US $
|
Item |
Qty |
Qty/yr |
Unit |
Prod |
Unit |
Total |
|
Plate of food |
30 |
9,360 |
1.33 |
12,490 |
2.0 |
18,720 |
|
Plate of food |
100 |
31,200 |
1.18 |
36,816 |
1.8 |
54,600 |
|
Total cost |
40,560 |
73,320 |
Profitability Analysis
|
Profitability Item |
Per day |
Per |
Per |
|
Revenue |
235 |
6,110 |
73,320 |
|
Less production and operating Costs |
173 |
4,510 |
54,124 |
|
Profits |
62 |
1,600 |
19,196 |