Model Project Report

Model Project Report

On
Commercial Café Cum Restaurant Business

Café cum restaurant with 20 sitting capacity

and 1000 square foot area

Cost of Project: Rs 76,72,800/-

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Introduction
Restaurant business in India is always evolving. More Indians are warming up to the
idea of eating restaurant food whether by dining outside or getting food delivered.
While the industry is fragmented and coming up with newer business models.

So what is this market like and what you should know to touch profitability here?
We’re covering this and a lot more like:

Market Size
Challenges
Delivery Disruption
Commission Fatigue
Dark Kitchens
Customer Experience
Investment
Current Trends
Restaurant of the Future
More Resources
Let’s dig in!

Market Size of Restaurant Business in India

India is one of the largest consumer markets globally, and one of the youngest with
more than 45% of the population under the age of 25.
Disposable income is on the rise; according to data from the Economist Intelligence
Unit, personal disposable income in India should grow about 10.5% annually through
2020.
Further Rahul Singh, India President, National Restaurant Association mentions:
“Restaurant business in India is the largest service sector in India after retail and
insurance and is 20 times of the film industry, 4.7 times of hotels and 1.5 times of the
pharmaceutical sector.”
According to the NRAI India Food Services Report, the food services market in the
country stands at Rs 3,09,110crore, and is estimated to grow to close to Rs
85,35,28crore by 2025, at a compounded annual rate of 10%. The fine and casual
dining segments are expected to register market growth of more than 18%–20% and
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15%–17%, respectively. This growth is fuelled by a young and upwardly mobile

middle class, hungry for new eating-out adventures.
Reed Seed Management’s research found out that consumers on average spend
INR 2100 per month on restaurants. The spend is higher in metros with Mumbai and
Kolkata leading the table.
Dine-in is the most preferred medium followed by delivery with the spend on
takeaway being the least. With the growing online penetration consumers are getting
comfortable with online services. And hence we expect the online food delivery apps
to take up more and more share of the delivery spend of consumers.
Challenges of Running a Restaurant Business in India
“Today, keeping a restaurant alive and relevant for four or five years is extremely
challenging. If India has a big appetite for eating out, the economics of running a
restaurant— or indeed any other joint — aren’t keeping up”, said one restaurant
owner in an interview to Restaurant India.
While the market is booming with opportunity, these are the challenges that most
restaurants are facing:
Unaffordable rent cost
The amount of real estate available to restaurateurs is limited, rentals are constantly
increasing and yet consumers are going for (cheaper) casual dining. “Throughout the
world rent and electricity makes up 5% of restaurant earnings, but in India, this is 20-
25%” – said one of the restaurateurs in an interview to The Economic Times.
Constantly increasing food costs
Food costs are very high and not just due to inflation. The cost of importing
ingredients, or finding and getting them from local vendors has made sourcing a
challenge for even seasoned chefs. Controlling these rising costs will be much
simpler if your restaurant takes control of its inventory management. We’ve got you
covered here with the right inventory management tips.
Increasing competition for restaurant business in India
New restaurants are popping up every few days in the Indian restaurant industry.
While global players are increasingly entering India, localized brands with unique
menus and cuisines are also taking over the market. Finding out where your
restaurant stands in this arrangement and making it stand out is of utmost
importance.
Hiring and retaining employees
Restaurant business in India employed 7.3 million people in 2018-19. But the staff
turnover is high in the market, also increasing the hiring costs. Restaurants have to
plan their hiring needs well in advance for peak seasons. They also have to dedicate
time & money towards employee retention activities. Hearing what their employees
have to say and how their experience has been.
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Slim profit margins

An analysis report by NRAI suggested that – most restaurant companies aim for an
operating margin of 15-20% and even efficient ones could just about manage a net
profit margin of 5-6%; anything in double digits is regarded as an exception.
Tangible proof of the lack of profitability is that Industry watchers estimate that
almost 80 or more outlets may have shut in the past 6 to 12 months.

Delivery Disruption takes on Tier 2,3 Cities

Consumers show a growing preference for eating at home and consuming healthier
dining options, so restaurant brands are faced with delivery challenges.
Restaurant companies have started to rethink their real estate approach and their
delivery integration approach. In fact, to avoid bottlenecking traditional dine-in/drive-
thru operations – chains have started adding fulfilment locations (kitchens) devoted
entirely to delivery.
Further on, the food delivery flight is ready to grip small towns in India, especially
Tier 3 cities. According to LiveMint, in 2019 alone, Swiggy and Zomato have
launched operations in 185 and 300 towns and cities, respectively. For Swiggy, the
new cities form 15% of their business, while for Zomato non-metros contribute 40%
of the order volume.
Food Tech has seen a lot of momentum in the past year with third-parties picking up
funding from investors and parent companies. This has led to further expansion
plans in other tier 1 and 2 cities.
According to ReedSeed Management, with increasing competition, these third-
parties are using discounting strategies based on events, meal types and cuisines
leading to decrease in industry AOV (average order value) by almost 18% but still
strongly driving growth.
But the Commission Fatigue will grow
With third-party aggregators, the issue is that they have control over the customer’s
experience. They’re the ones being a touchpoint for consumers. Not to forget the
high commissions they charge on every order.
Restaurant businesss in India are now realizing this problem.
In fact, Members of the Kerala Hotel and Restaurant Association (KHRA), which has
decided to boycott the aggregators, are worried that aggregators will do to them what
Ola and Uber did to drivers: initially help widen their reach but eventually kill their
earnings, especially through heavy discounting.
In an interview to Quartz , Suhaib V, owner of Kochi-based Ceylon Bake House said
– “Uber Eats and Swiggy take a 33% commission and Zomato charges around 22%.
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Only if the delivery apps reduce their commissions to around 10% will we potentially
stop losing so much money.”
While in an analysis, Forbes found out –
Restaurant business in India will continue to grow commission fatigued in supporting
third-party aggregator fees (which range anywhere from 15 to 30%), and a few will
start to wean off of these services by implementing their own platform and delivery
fleets.

More players are now setting up their own online ordering platforms. Want to see
some examples? Go here.

Dark Kitchens and Meal Delivery Services

A dark kitchen, cloud kitchen or ghost kitchen is a restaurant that exists only online,
without an actual storefront for guests to visit. They run on online ordering and
delivery.
“Dark kitchens are red hot because they add a fast-delivery layer on top of restaurant
brands, allowing them to scale quickly,” says G.V. Ravishankar, the Bangalore-
based managing director of Sequoia Capital India
Faasos, Box8, FreshMenu, and Biryani By Kilo are brands having more than 10-20
outlets each and are expanding rapidly.
Not just startup restaurants but full-fledged brands like KFC are also exploring the
dark kitchen model.
Samir Menon, managing director, KFC India said:
“The company’s pilot of its dark kitchen has done much better than what we
expected. We believe it is another way to increase access to the consumer and
we’re already in discussions to expand it.”
Read all our dark kitchen, cloud kitchen, and ghost kitchen guides here.
Meal delivery and home-based chefs are two more concepts taking up the Indian
market by storm. Brands like FreshMenu and Lunchly are giving affordable meal
options and home chefs are tying up with delivery partners to take their business a
step higher.

Customer Experience is Key for Restaurant Business in India

For restaurants in this competitive, fast-moving space, being able to engage and
delight guests won’t be nice to have, it will be a must-have. Here are some facts:
As a group, Millennials are willing to spend the most (21% additional!) for great
customer service.
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People tell an average of nine people about good experiences and tell 16 (nearly two
times more) people about poor experiences.
Providing good customer experience actually costs less than providing a bad
customer experience in the long run. Moreover, great customer experience also
makes customers willing to spend more money with you.
As Scott Cook has mentioned before – “Instead of focusing on the competition, focus
on the customer.”
This way you’ll never have to worry about the competition.
How to work on your customer experience?
Gather data about your customers, turn that data into insights, and place those
insights into action. Always be honest with them and connect on a human level.

Investors want scalability and sustainability from restaurant

business in India
India’s food and beverages (F&B) market saw around US$100 million of investment
in 2018, with the amount of space dedicated to the sector rising to a record 18
percent, as per a JLL report.
While shows like Shark Tank, Dragon’s Den, or Restaurant Startup give you a look
at the experience of pitching your restaurant idea to investors. It’s a whole new game
when you are doing it yourself.
For restaurant business in India that are looking out for money from investors, here’s
what investors say:
“The issue which has come in the past in the restaurant space is about the scalability
of the concept and the model, pricing it in the right way to make the investors earn
money. I think investors have gone through a cycle in which they understand which
formats can scale.” – said Sumer Juneja, Partner, Norwest Venture Partners in an
interview to Restaurant India.
While Biju Thomas, CFO, Adiga’s pointed out that – “A key factor in investing in a
restaurant is the sustainability. It all depends on the life span of a brand. For eg:
earlier the lifespan of a casual dine was 4-5 years which is now coming down to 2-3
years. So, you should always look at the flexibility and how food is adapted to the
change and constant menu innovation because most of the time restaurants that
don’t adapt themselves to the change fail to sustain in the long run.”
So the mix to get your investment pitch right is a combination of innovation,
scalability, and sustainability that you’re bringing to the table.

Current Trends for Restaurant Business in India

Healthy food – still for the win
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Overall, the demand for healthy food will continue to grow as consumers become
more conscious about their diet by trying to eat healthy, going for farm-to-table
lunches, growing their own garden herbs, buying organic produce, trying new grains
and consciously avoiding junk as much as possible. Dairy alternatives like almond
and soy milk will also continue to grow popular with millennials.
Home chefs, another growing trend, are likely to drive this trend as they run small
kitchens where the recipe for success is a mix of experimentation and quality control.
Though health food is still largely an urban, metro phenomenon. Awareness has not
yet trickled down to other cities. But with growing consumer preference, it is only a
matter of time before the health and wellness foodservice industry expands its base
into the non-metro cities as well.
Restaurant tech will come together with more automation
These are the early days of AI and machine learning-based automation in the
restaurant industry.
“Consumer demand for greater convenience and speed will continue to accelerate,
and restaurants are responding by adopting and incorporating more sophisticated
layers of technology into day-to-day operations,” said Hudson Riehle, senior vice
president, research and knowledge group, National Restaurant Association.
Restaurants business in India will redesign for off-premise business
In a Restaurant Delivery survey, it was found that:
Nearly 4 in 10 operators plan to invest more capital in expanding their off-premises
business.
A solid majority of casual-dining (72 per cent), family-dining (63 per cent) and fast-
casual operators (64 per cent) say their delivery sales are higher than they were two
years ago.
Delivery optimization is key for the majority of restaurants.
Kiosks to take the front place
Major chains have started accelerating their kiosk rollouts, normalizing the habit of
ordering from a touchscreen versus front-of-the-house employees. Kiosks and self-
ordering will be seen adapted by more QSRs and fast-casual restaurants.
Fast-casual everything for restaurant business in India
“There are many things happening, but my prediction is that fast casual will make
significant inroads. We’ll continue to see luxury ingredients served in a very simple
fashion with self-service.” – Geoffrey Zakarian, chef, restaurateur and TV
personality.
Reusable packaging
73% of millennials say they try to buy food in packaging that is recyclable, while 59%
say they look for beverages in packaging that is made with renewable materials.
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69% have changed what they buy in order to avoid artificial foods and beverages.
(Source: EcoFocus Trend Study)
With the plastic ban hitting more and more cities in India, cloth bags, non-plastic
packaging of foods, carrying your own cups/bottles to cafes is all set to take over in a
big way. Consumers will also expect restaurants to provide and promote these
reusable/recyclable options.
Cocktail culture
Have you heard of Espresso Whisky? There’s much more happening in the cocktail
side of things. Resto-bars in India are happily creating larger drinks menus than food
menus. Hiring bar consultants to set it up is also becoming a common practice. All
this is leading to a thoughtful range of cocktails that have a story to tell or have an
interesting origin. And consumers are excited about this trend.
Eating where you shop
Restaurants business in India are coming up with new ways to innovate and provide
a complete experience to their customers. One of which is combining retail and food.
Going beyond food, restaurants are turning retail destinations with millennials being
the prime takers for this concept. The retail industry, which is expected to grow to
$1.1 trillion by 2020, has a lot in common with the restaurant industry.
Places like Cafe Dori, Plum by Bent Chair in Delhi are a few examples of this shift.
At Plum Café, visitors can buy anything they see and anything that they like, quite
literally. “It could be the spoon they are eating from or a piece of art hanging on the
wall; if a customer sees it, he can buy it. Everything in the restaurant has a price tag
attached to it,” says Sukhija, who will be retailing Bent Chair décor products at his
restaurant.
Targeting younger consumers for restaurant business in India
Restaurant operators across all segments are focusing on building business among
younger consumers (Millennials and Gen Z). To attract these tech-savvy consumers,
a majority of operators expect to devote more resources to social-media marketing
and personalized communication.
Need for usable restaurant data
In our Restaurant Technology Report, 81.2% restaurant operators said that analytics
is an important part of their business.
While restaurants are collecting and looking at data, there’s still a barrier in
understanding it and using it to derive insights. Time now is calling for a data
ecosystem that is usable and connected to your restaurant management system. An
ecosystem that gives them insights into sales, marketing, operations, front-of-house,
back-of-house, customers, and retention.
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More appetite for technology

Technology influences nearly all core functions of a restaurant business in India –
acquiring customers, booking tables, processing orders, Kitchen displays, billing,
payments, inventory, marketing and retaining customers.
In NRAI’s survey, the majority of consumers say they would like to see restaurants
incorporate more technology with a focus on improving customer service, making
ordering and payment easier, and offering more convenient takeout and delivery
options. This means more opportunities for personalised interactions, cashless
economy and delivery innovations.
The restaurant of the future
Today’s restaurant customer is technologically savvy, connected, and has high
expectations.
Restaurant business in India who understand their customers, capitalize on
digital/technology investments and analytics, take the opportunity to engage
customers in a highly personalized way. They can drive increased dining frequency,
better average basket size, customer conversion, and loyalty. Are you ready for the
future?

How to Start a Restaurant in India

Considering the opportunity that the Indian F&B industry holds for both future &
existing restaurant businesses, it certainly is the right time to enter into this lucrative
domain.
This step by step guide will solve all your queries on how to open a restaurant
business in India:
 Decide the concept of your restaurant
 Get investment to fund your restaurant business
 Evaluate restaurant costs involved
 Decide the location of your restaurant
 Get all the licenses required to start the restaurant business
 Get the workforce for your restaurant business
 Design a stellar menu
 Arrange vendors and suppliers for your restaurant
 Install the right technology at your restaurant
Now that you have garnered the knowledge about the steps that are important for
you to start a restaurant business in India, let’s dive deeper and know what exactly
needs to be done that will help you to open a successful restaurant.
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1. Decide the Concept of Your Restaurant

The first thing to consider while starting a restaurant business is deciding the idea.
You need to keep many things in mind before deciding on a concept, the major one
being the amount of capital you have for investment. The Average Price per
Customer (APC) gives you a fair idea about the average amount of money a
customer would spend in your restaurant.
Once you have decided on the concept, you must ponder the theme and cuisine of
your restaurant. The interiors must be in sync with your restaurant theme. Next, you
should prepare a business plan for your restaurant as it would help you in planning
the future development of your restaurant business, and you can present it to any
potential investor. Learn how you can write a winning restaurant business plan here.
2. Get Investment to Fund Your Restaurant Business
Most aspiring restaurateurs’ dreams never see the light due to a lack of funds, and
this is one of the most important things to consider when you think of opening a
restaurant business. Firstly, depending on the concept of your restaurant you must
finalize how much capital is required to start a restaurant in India. When you have
the numbers, then you can go about with these three ways through which you can
raise money for your dream restaurant:
Self-funding – If you have enough money in the bank, then congrats, you have
crossed the first hurdle of opening a restaurant. It is also a good idea to open a
restaurant in partnerships, as it reduces the risks of investment.
Loan- You can take a loan to fulfil your restaurant dream. However, securing a loan
from a bank may include hassles as they look for collateral or someone who can
underwrite the loan.
VC/Angel funding- Getting investors on board can be difficult, especially if yours is a
first-time venture. Investors usually look for your restaurant venture’s growth
potential, quality, and scalability of your business model. The performance of your
first few outlets is taken into consideration before one agrees to invest in your
business.
3. Evaluate All Restaurant Costs Involved
Restaurant costs are a significant part of running a restaurant and need to be
evaluated and planned carefully. Below are the significant costs involved in starting a
restaurant business:
Food Costs- Food cost is the cost of all the raw materials used in preparing a dish.
Ideally, the food cost should be around 30% of your menu price. You should finalize
the vendors for sourcing the raw materials beforehand to ensure a smooth supply of
stock ingredients.
Labor Costs – Labor cost is the second most important restaurant cost that adds up
to the expenditures while opening a restaurant. We have discussed the manpower
you need to start a restaurant in detail, ahead.
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Overhead Costs– Overhead costs are the other expenses that are not related to food
or labor. These include:
Rent- The rent covers a significant part of your restaurant costs, and is profoundly
affected by the location of the restaurant. However, the rent should never exceed
10% of your total revenues.
Interiors– You can decide on the interiors based on your restaurant concept and
theme, and your budget.
Kitchen equipment- Purchasing the right quality equipment may seem heavy on the
pockets, but they always recover their costs in the long run. Know about the various
types of essential equipment without which you cannot run a successful restaurant,
here.
License- Restaurant licenses are an essential expense of your restaurant, and
cannot be ignored. Based on your establishment type, the license fee varies. We
have covered the topic of the restaurant license in detail below.
POS- The new age, modern technology POS can smoothen your restaurant
operations like never before. The price of POS depends on its features and
functionalities, which should be chosen considering your restaurant needs. We have
covered the topic of POS below in detail.
Marketing- You should ideally spend 1-2% of your revenues on marketing your
restaurant. There should be a perfect balance between offline and online marketing.
Word of mouth marketing, along with digital marketing can do wonders for your
restaurant.
4. Decide the Location for Your Restaurant
Location is an essential factor to consider while discussing how to start a restaurant
business, as it can determine the success of your restaurant. When choosing your
restaurant’s location, it is a good idea to identify your competitor in that area and
gauge their progress and understand their business model. The competition needs
to be assessed not just in terms of cuisine, but also the type of dining experience
they are offering to their customers – casual dining, fine dining, QSR, etc. Evaluating
the competition would help you understand the customer base that hovers in that
area, their pocket size, and their preferences.
Other factors to be considered while deciding the location of the restaurant business
in India, are-
Visibility and accessibility- The restaurant should be located in a place that is easily
visible as well as accessible. Upper floor locations are generally not considered
suitable as their visibility is low, and customers also find them difficult to locate. A
restaurant right in front of the road and on the ground floor has higher footfalls.
NOC- Before you open your restaurant, you would also need a No Objection
Certificate (NOC) from at least three of your neighbors.
Find out how to choose the perfect location for your restaurant here.
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5. Get All Licenses Required To Start a Restaurant Business

You need to acquire licenses from the government to run a restaurant business in
India. The cost of obtaining these licenses varies, depending on the size of your
venture. It is advisable to apply for the permits early, as they may take a lot of time to
get approved. Here is the list of significant licenses required to open a restaurant
business in India:
Trade license from the municipal corporation- Depending on the size of the
restaurant, the cost incurred is from Rs 10,000 to 1 lakh. However, the actual license
fee ranges from Rs 5000 to 10,000 for a small restaurant. The licenses are issued
for a financial year and need to be renewed in March every year.
FSSAI-One needs to get a license from the Food Safety and Standards Authority of
India (FSSAI) to operate a food business. The size of your venture, turnover,
installed capacity, location, etc. are factors in obtaining an FSSAI license and costs
around Rs 5000 to 10000. For more help on FSSAI Registration, you can refer to this
guide.
GST Registration- Restaurants are required to register under GST and get their
GSTIN Number. GST registration is state-specific, so if your restaurant has outlets in
different states, then you need to have a separate registration for each state. You
can read more about GST Registration for Restaurants here.
Professional Tax license- You need a professional tax license for employing
salaried staff. This is payable on a monthly basis for all restaurant staff earning
above Rs 10,000.
Liquor License- Obtaining a liquor license is the trickiest of all and is also pretty
expensive. It is advisable to apply for the liquor license early, as this permit takes a
lot of time as well.
Business Registration- You need to register your business as a partnership firm or
a Pvt Ltd company. You’ll need to file annual returns, audit your finances, etc. Hire a
CA to help you with the economics of your business.
6. Get Manpower for Your Restaurant Business
Hiring the right talent and retaining them is one of the biggest challenges while
running a restaurant business in India. Hiring through referral is very well accepted,
with existing employees referring to their friends and family. As a first-time
restaurateur, you can hire through the traditional way: set up an advertisement in the
newspaper, put up ‘We’re hiring’ posters, or hire through agencies. There are also
many active groups on Facebook and Linkedin, from where you can source talent.

There are three types of staff required in a restaurant:

1. Kitchen staff- Your kitchen staff, comprises the cooks, food preparation staff,
support staff, etc. They will mostly be unskilled labour.
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2. Service staff- The waiters, housekeeping staff, busboys, etc. are your service
staff. Since they have to interact with customers, they need to be good at
communication and must be trained appropriately.
3. Management staff- Your restaurant’s manager, chef, cashier, store manager,
etc. comprise the management staff, and they need to be educated as well as
experienced.
Hiring the right chef is extremely important for your restaurant as your food is what’s
going to attract your customers. Apart from cooking, your chef also designs your
menu, keeping in mind the ingredients that are readily available, and train and lead
the staff to prepare and present the dish. Therefore, an experienced chef is a must
for your restaurant. Before you start a restaurant business, you must also remember
to train your staff not only regarding their job but also on how they should serve their
customers to deliver stellar customer service. Find out how to create a Human
Resource Structure for your restaurant here.
7. Design a Stellar Menu
The next step to starting a restaurant is designing a menu. A smartly designed menu
can make a significant impact on your restaurant’s food costs. The menu should
comprise items that can be prepared quickly and use local or readily available
ingredients. It is advisable to serve dishes that use similar ingredients, which will
help you to reduce your overall food cost and the scope of the generation of waste.
The menu also needs to be designed in a way that lures customers to spend more.
You should decide on the cuisine that you want to serve and choose the menu items
based on the audience’s demands.
Find out how you can create an attractive menu that would boost sales in your
restaurant here.
8. Arrange Suppliers & Vendors for Your Restaurant
A healthy relationship with your supplier and vendor is essential for the smooth
functioning of your restaurant. You must have at least two-three vendors in each
category. This would help compare prices, and will also serve as a backup in case
some problem comes up with one.
You must always have two days’ worth of stock in your inventory in case of
emergency situations. The items must always be delivered in the morning and
checked every day. Both quality and quantity checks must be done at the closing
time of your restaurant.
It is always preferable to have long-duration contracts with the vendor as it helps in
maintaining the consistency of your raw materials. You also need to check the Trade
Identification Number (TIN) of the vendor before you give him your restaurant’s
supply contract.
9. Install Right Technology at Your Restaurant
Restaurant technology is often the most ignored part of running and managing a
restaurant, though perhaps the most important. With new-age modern technology,
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the robust POS has come up with a number of integrated features that have
streamlined the restaurant operations to a great extent. Niche restaurant technology
solutions are available for different types of restaurants.

LICENSES REQUIRED TO START A RESTURANT IN INDIA

Stage Licenses required Issued by
BEFORE Company & GST Registration Govt.of India
LAUNCH FSSAI License FSSAI
Trade License Municipality Corporation
Fire Dept. NOC Fire Department
Eating House License Police Commissioner
Environmental Clearance State pollution control committee
Signage License Municipality Corporation
BASED ON Music License Phonographic Performance Ltd/Indian performing
OUTLET Right Society
Lift Clearance Electrical Inspector
Liquor License Excise Commissioner
SOON AFTER Shop & Establishment Act State Govt
LAUNCH ESI & PF Registrations Labour Commissioner
Shop & Liability Insurance Any Insurance Company

PROJECT COST
Capital Investment:
Particulars Specifications Units Unit Cost Total Cost(Rs)
Infrastructure
Space ( 2 year Lease ) 1000 sqft 24 month 50,000/month 12,00,000/-
Interior 1000 sqft 1000/sqft 10,00,000/-
Chair 20 1500 30,000/-
Table 10 2000 20,000/-
Miscellaneous 50,000/-
23,00,000/-
Kitchen setup
Range 200cm, 1 90,000/-
Stainless
steel, 5 Burner
Oven 65 litre 1 35,000/-
Grill 100cm 1 15.000/-
Stainless steel
Deep Fryer Commercial 1 7,000/-
Stainless Steel
Double Deep
Fryer 6+6
Litres
Freezer 500 litre 1 30,000/-
Sauté pans 3 1500/- 4,500/-
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Stock/soup pots 2 5500/- 11000/-

Saucepans 3 200/- 600/-
Baking Sheets 1000 2/- 2000/-
sheets
Baking pan 2 600/- 1800/-
Tongs 3 200/- 600/-
Spatula set 9 piece 2 set 1000/- 2000/-
Ladles set 6 piece 2 set 700/- 1400/-
Chef’s Knives 9 piece 1 set 15000/- 15000/-
Whisks electric 1 2500/- 2500/-
Mixing bowl set 7 piece 1 set 900/- 900/-
Entrée Plates set 12 piece 2 set 1200/- 2400/-
Bowls set 12 piece 2 set 1000/- 2000/-
Appetizer plates 12 piece 2 set 900/- 1800/-
Salad plates 12 piece 2 set 800/- 1600/-
Dessert plates 12 piece 2 set 800/- 1600/-
Cleaning Rags 20 50/- 1000/-
Cleaning bucket 15 litre 3 500/- 1500/-
Rubber floor mats 80 sqft 50/sqft 4000/-
Hand soap and automatic 2 250/- 500/-
sanitizer dispensers
Fire extinguisher 3 1700/- 5100/-
240800/-
Total Capital Cost 25,40,800/-

Recurring Cost for two years:

Particulars Specifications Units Unit Cost Total Cost(Rs)
Manpower
Manager 1 50,000/ 12,00,000/-
month
Head Chef 1 35,000/month 8,40,000/-
Asst. Chef 2 25,000/month 12,00,000/-
Accountant cum order 2 15,000/month 7,20,000/-
delivery executive
Cleaning Staff 2 8,000/month 16,000/-
Maintenance
Electricity 10,000/month 1,20,000/-
miscellaneous 3,000/month 36,000/-
Total Recurring Cost 41,32,000/-

DISCLAIMER:
The view expressed in this project report are indicative and advisory in nature. The
actual cost & returns may differ considering the specific requirement of the project.