Opportunity

Problem

The Sweet Auborn District in Atlanta Georgia is in need of a cafe that serves the residents and people that work in the area. People are growing in the area and there is a shortage of places to get food. Cafe Apres/Diem, the cafe that served the function, left the area and opened a new location.

Solution

The Watertower in Atlanta’s Sweet Auburn District is a full service restaurant/cafe. The restaurant offers a full menu with moderately priced comfort food, influenced by African and French cooking traditions but based on time-tested recipes from all over the globe. The Watertower has a cafe section with a dessert shop, magazines, as well as a space that can be used for live music.

Market

The casual dining/full service restaurant market is a $100+ billion industry in the United States, with annual increases in revenue outpacing 5% yearly. There is an increasing number of people who prefer to eat at restaurants. Restauranteurs and industry groups often point out that record numbers have been added by women to the workforce. Actually, between 1955 and 1995 the amount of money spent away from home grew by almost 20%. This is in correlation with the increasing number of women entering work. Because there are two incomes per household, it is possible that one person will not have the time to cook. As people increasingly find eating out of the home more appealing, food service sales have increased significantly since the 1950s.

Competition

The competition’s general structure is a 70-150 seat restaurant with outside seating. Prices for entrees can range from $7.00 up to $25.00. All the nearby establishments serve beer and wine at minimum. Most also serve liquor-spirits.

Why Us?

The Watertower will offer affordable, high-quality, high-quality food and coffee-based products to thousands of hotel guests and residents within a 5-mile radius. The Watertower will become a popular destination for many residents in the Greater Atlanta area and visitors from out of town.

Expectations

Forecast

We anticipate income to exceed $2.1 million for calendar in the first year. It should grow to $2.57million in the third year.

Financial Highlights per Year

Financing Required

We will start by getting $214,000 from investor 1 to get started. It is $124,000 from investor 1 or $64,000 from Investor 2. A $30,000 loan will be also available to us. We will be in a position to repay the loan as well as the investment within 3 years.