DROS: This is a Franchise restaurant which is one of
almost 60 DROS
restaurants all over South Africa.
Opened: 2008
Current Owner: The
current owner is a
very experienced DROS franchisee who has owned various DROS
restaurants.
This DROS caters
for the Families and the general Business community of the area.
Most of the regular clients are frequent visitors to the DROS. The
restaurant also caters for many groups including birthday parties,
Kiddies Parties, Work and Sport groups.
The restaurant is one
of the newer DROS restaurants in the DROS franchise arsenal of
businesses and could be regarded as one of THE TOP DROS restaurants in the Franchise
group.
SWOT Analysis
Strengths: The
fact that the Business is actively involved in the community goes
very far. It is often in peoples minds and is a landmark in the area of Gauteng.
Weaknesses: NONE.
Opportunities:
The World cup Soccer tournament will bring hundreds of thousands to
South Africa. The restaurant is one of the largest and strongest
and will certainly attract a lot of support.
Threats: NONE
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Upgrades and Revamp:
Since the restaurant is still very new no upgrades or revamps will
be necessary for the following two to three years.
Outside Seating:
The restaurant has lovely outdoor seating available for smokers and
non-smokers. This facility lends itself perfectly to musicians
playing classy, non loud music at certain predetermined times during
the week.
The Customer Base:
The average customers are families and business people.
Seating Capacity:
The restaurant is licensed to have over 300 seated customers while there
is space for about 60 more seats especially during the World Cup.
Staff: The staff
are well trained and managed by a experienced, well trained
experienced team of managers.
Management:
I Louis
Kearney, with all my years experience in various Businesses,
will be responsible for the direct management and operations of
the Business supported by an experienced team of six
managers. My son, Sheldon Kearney is very experienced in restaurants
and will also be trained as owner/Manager
by DROS head office. He will be the 2nd GM representing
me as owner, personally in the restaurant everyday. Linda and I will be overseeing the fluent running of the
Business as owners, directly and indirectly.
Insurance: The
Business is comprehensively insured.
Vehicles in the
Business name: Two managers are currently being incentivised by
driving vehicles owned by the Business. They pay for these though
their salaries. One manager also enjoy special reduced
accommodation.
Scope for Improvements:
1.
The
restaurant can accommodate 60 more seats
2. New owners and management will bring new life into the
business bringing a sense of excitement and freshness which will be
picked up by both clients and staff.
3. Internet and WI-FI connections:
The restaurant does not yet offer the facility for customers to surf
the internet.
4. Takeaways can be marketed more
aggressively.
Kiddies Areas: The restaurants boasts
with a very popular, fully equipped Kiddies Area. Many couples with
young children go to this DROS because of its exceptionally nice
Kiddies play area. There are various Play stations, Pinball
machines, TV’s, a permanent large Outdoor jumping castle, a mini
paintball shooting range as well as trampolines with padded
protections against injuries for the little ones. There is also a
pizza oven and the little ones can make their own pizzas with the
professional assistance of the well trained DROS staff.
Financial Statements:
Audited Financial statements are available on request.
Management Accounts:
The Businesses Management accounts have been carefully scrutinized
for the period 1 Jan 2009 till end February 2010.
Cash Flow: More
than 80% of all sales are paid by Credit Card. This result in Banking Fees
being quite high but it saves a lot on Cash Bank deposits.
Payments to suppliers:
Most suppliers are paid cash C.O.D.
Operating Hours:
The staff comes in at 08h00 in the mornings and start cleaning and
prepping procedures for breakfast and lunch. The restaurant does
serve breakfasts and supper till late.
Point of Sale System:
PILOT pay point system
with touch screens
is used. System and staff passwords are thumbprint security
and password based.
Liquor License: The
license is valid and has recently been renewed.
Client Database: A
Client Database is available.
It is currently effectively used as a Marketing tool. We do
plan to use it even more effectively.
Marketing:
One part of the Business which has been
very successful, has been it’s Marketing. The DROS regularly
sponsors sporting events at schools and is often present at Sport
functions. We plan to continue using current, successful methods to
keep DROS Kempton Park in the minds of its customer.
Music: A large variety of music is available
through DSTV with different genres of music for different times of
the day and the kind of customers in the restaurant.
Television: There
is currently 3 different DSTV decoders giving customers the option
to view different channels at the same time on any of the 8 large,
perfectly installed
screen plasma TV’s in different areas of the restaurant.
Equipment Maintenance:
The equipment is regularly maintained.
Stock Check: Stock
is checked daily and balanced on Sunday afternoons ensuring
maximized stock control. There is almost no shrinkage in the
Business.
Staff loyalty: There
is a staff loyalty program in place. We plan to enhance it to
motivate good staff to perform even better.
Client Loyalty:
Regular customers are spoilt discretionally with free meals and
specials.
Kitchen standards:
The kitchen is very functional and produces excellent products. No revamp
of the kitchen is necessary.
Tax payments: We have
obtained a Tax clearance Certificate from S.A.R.S.
BAR: The bar is
not used as a public local drinking spot. This is a restaurant with a Bar, not a Bar with a
restaurant
Assets: The asset
register of the Business is available including all equipment,
furniture, machines, computers, TV’s and printers.
Alarms: The
business has a full Alarm system linked to panic buttons and an
Armed response unit.
Security: 16
Cameras all over the restaurant captures everything that happens in
the restaurant and is recorded and backed up on the In-house
computer.
Lease: A New lease
is being negotiated for five years, with an option to renew for a
further 5 years.
Suppliers: We will
continue using the existing suppliers.
Credit Card machines:
Mobile Credit Card machines are rented from ABSA Bank.
Staff Union: Staff
do not belong to any Union. There are no outstanding legal or other
staff issues.
Cash flow:
Provisions have been made for extra stock, operating expenses, emergencies and break
downs.
Due Diligence: A
thorough very inclusive, Due Diligence comprising 101 Questions have been completed
covering Legal issues, Management Accounts, Staff, Taxes, Management, Promotions, stock
control, Marketing, security and much more.
Legal Entity: We will continue
operating the Business in a Closed Corporation.
Business Bankers:
A new Bank account has been opened.
Waiter Commissions:
Waiters work on commission and receive their commissions at the end
of every shift.
Cash flow requirements:
R450,000 has been budgeted.
Balance sheet: The
Balance sheet shows Current Asset value of R 6 774 830.00. Since the
equipment is still new much in values can still be written off
against tax.
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Financial
Information: All Figures are based on the past 10 Months
figures and EXCLUDES VAT and is very healthy. The Financial
information will only be disclosed to serious partners.
