BUSINESS PLAN

UNIT : ENTREPRENEURSHIP

NAME OF THE BUSINESS : SHEIZ SAVORY EVENTS

CATERING BUSINESS ADDRESS : NAIROBI CITY

PO BOX : 13425-00100

TEL : 0792259836

E-MAIL : info@sheizsavoryeventscatering.gmail.com
WEBSITE : www.sheizsavoryevents.co.ke

FACEBOOK : www.sheizsavoryevents.com

NAME OF CANDIDATE : STELAMARIS KATUMBI

MBITHE

INDEX NUMBER : 3031160075

COURSE : CATERING AND

ACCOMMODATION MANAGEMENT

NAME OF THE INSTITUTION : UNIVERSITY OF EMBU TVET

INSTITUTE INSTITUTION

ADRESS : P.O BOX 6-60010 EMBU

PRESENTED TO: KENYA NATIONAL EXAMINATIONS COUNCIL IN PARTIAL

FULFILLMENT OF REQUIREMENT FOR THE AWARD OF DIPLOMA IN
CATERING AND ACCOMMODATION MANAGEMENT.
SUPERVISOR : MR. ERASTUS

SUBMISSION DATE : 09/06/2025

DEDICATION
I hereby dedicate this business plan to my parents, whose unwavering support, guidance,
and belief in my dreams have been the foundation of my success. Their encouragement
and sacrifices have shaped my journey, and for that, I am forever grateful.

I also dedicate this business to my lecturer, whose mentorship, expertise and

encouragement have played a vital role in helping me develop the skills and knowledge
necessary to embark on this entrepreneurial path. Their invaluable insights have inspired
me to pursue excellence and strive for success. I promise to continue exceeding your
expectations always.

i
ACKNOWLEDGEMENT.
First and foremost, I wish to thank my parents for their constant love, support and belief
in my potential. Their encouragement has been a source of strength and this motivated
me pursue this dream with a lot of determination.

I am deeply grateful to my lecture and my supervisor whose mentorship and guidance

have been key in equipping me with the knowledge and skills to navigate the world of
business. This have been a guiding light, helping me think critically.

I would also like to pass my sincere gratitude to various professionals, industry exper
and colleagues who have shared their expertise and provided me with constructive
feedback which has played a big role in my plan.

Finally, I appreciate the support from friends and well-wishers, whose belief in my
vision has been both inspiring and of encouragement.

ii
DECLARATION
I STELAMARIS KATUMBI MBITHE, hereby declare that this is my original work
a personal undertaking that has not been presented there before to the Kenya national
examinations council for certification or any award.

Name: STELAMARIS KATUMBI MBITHE.

Sign

…..

Date

:…

……

This business plan will be submitted to Kenya National Examinations Council for the
award of diploma in CATERING AND ACCOMMODATION MANAGEMENT with
the approval of supervisor:

Name of supervisor:

MR. ERASTUS Sign:

………………………

…………….. Da

iii
TABLE OF CONTENTS

DEDICATION..............................................................................................................................................i

ACKNOWLEDGEMENT. ..........................................................................................................................ii

DECLARATION ....................................................................................................................................... iii

EXECUTIVE SUMMARY .......................................................................................................................vii

1.1 Business description..........................................................................................................................vii
1.2 Marketing plan................................................................................................................................ viii
1.3 Organizational and Management Plan ............................................................................................ viii
1.4 Production and Operational Plan ....................................................................................................... ix
(b)Beverage products..................................................................................................................................... ix
1.5 Financial plan ..................................................................................................................................... x

CHAPTER ONE. ......................................................................................................................................... 1

Business description. ................................................................................................................................... 1

1.0 The sponsor ........................................................................................................................................ 1
1.1 Nature of the business. ........................................................................................................................ 1
1.2 Industry............................................................................................................................................... 1
1.3 Justification of opportunity ................................................................................................................. 2
1.4 Contribution of the business to the community: .................................................................................. 2
1.5 Form of ownership .............................................................................................................................. 2
1.6 Business goals and objectives ............................................................................................................. 3
Short term goals.......................................................................................................................................... 3
1.6.1 Long term goals .............................................................................................................................. 3
1.7 products. ............................................................................................................................................. 4
1.8 business location. ................................................................................................................................ 4
1.9 ENTRY AND GROWTH STRATEGY ................................................................................................... 5
1.9.1 Entry Strategy .................................................................................................................................... 5
1.9.2 Competitive Advantage ..................................................................................................................... 5
1.9.3 Pricing ............................................................................................................................................... 5
1.9.4 Advertising ........................................................................................................................................ 6
1.9.5 Swot analysis table. An example ....................................................................................................... 6

CHAPTER 2 ................................................................................................................................................ 7
2.0 Marketing Plan ......................................................................................................................................... 7
2.0.1 Institutional Customers ...................................................................................................................... 7
2.0.2 Local Community .............................................................................................................................. 7
2.0.3Wholesalers ........................................................................................................................................ 7
2.0.4 Characteristics of potential customers................................................................................................ 7
2.0 COMPETITION ....................................................................................................................................... 8

iv
 2.0 MARKET SIZE AND SHARE .............................................................................................................. 8
2.1 Compe .............................................................................................................................................. 10
2.2 Sales Tactics ..................................................................................................................................... 11
2.3 Advertising and Promotional Strategy .............................................................................................. 11
2.4 Distribution Strategy......................................................................................................................... 11

CHAPTER THREE ................................................................................................................................... 13

3.0 Organization and Management ......................................................................................................... 13
3.2 Key Personnel: .................................................................................................................................. 13
3.2.1 Management .................................................................................................................................... 13
3.2.2 Director ........................................................................................................................................... 14
3.3 Other personnel ...................................................................................................................................... 14
3.3.1 Secretary .......................................................................................................................................... 14
3.3.2 Qualifications .................................................................................................................................. 15
3.2.1 Salespersons .................................................................................................................................. 15
3.2.2 Security Personnel ........................................................................................................................ 16
3.3 Recruitment, Training and Promotion ............................................................................................... 16
3.3.1 Recruitment................................................................................................................................... 16
3.3.2 Training ........................................................................................................................................ 17
3.3.3 Promotion Policy .......................................................................................................................... 17
3.4 Remuneration and Incentives ............................................................................................................ 17
3.4.1 Other Benefits: .............................................................................................................................. 18
3.5 Legal Requirements .......................................................................................................................... 18
3.6 Support Services ............................................................................................................................... 18
3.6.1 Insurance....................................................................................................................................... 18
3.6.2 Banking Services .......................................................................................................................... 18
3.6.3 Communication Services .............................................................................................................. 18

CHAPTER 4 .............................................................................................................................................. 19
4.0 Production and Operational Strategy ................................................................................................ 19
4.1 Production Facilities and Capacity.................................................................................................... 19
4.1.2 Materials ....................................................................................................................................... 19
4.1.3 Expenses ....................................................................................................................................... 20
4.2 Production Strategy .......................................................................................................................... 20
4.3 Production Process............................................................................................................................ 20
4.4 Regulation Affecting Production ...................................................................................................... 21
4.5 Trade Marks...................................................................................................................................... 21
4.6 Risk Reduction Strategy ................................................................................................................... 21
4.6.1 Fire Risk ....................................................................................................................................... 21
4.6.2 Theft ............................................................................................................................................. 21
4.6.3 Loss of Products ........................................................................................................................... 21

v
4.7 Exit and Harvest Strategies ............................................................................................................... 22

CHAPTER FIVE ....................................................................................................................................... 23

5.0 Financial Plan ................................................................................................................................... 23
5.1 Pre-operational Cost ......................................................................................................................... 23
5.2 Working Capital ............................................................................................................................... 23
5.3 Break-even Level Analysis ............................................................................................................... 23
5.4 Proforma Balance Sheet.................................................................................................................... 24
5.5 Sheiz savory events catering Projected first year cash flow .................................................................... 25
5.6 Sheiz savory events catering Projected second year cash flow ............................................................... 25
5.7 Sheiz savory events catering Projected third year cash flow ................................................................... 26

REFERENCE ............................................................................................................................................ 28

APPENDIX ............................................................................................................................................... 29

vi
 EXECUTIVE SUMMARY

1.1 Business description

The proposed business is SHEIZ SAVORY EVENTS CATERING, it will be located at Nairobi
800meters from main road near airport along highway in Nairobi County. The
address of the business will be:

COMPANY NAME: SHEIZ SAVORY EVENTS CATERING

.

BUSINESS TYPE: CATERING SERVICES

BUSINESS ADDRESS: P.O BOX13425-00100

TELEPHONE: 0792259836

EMAIL: info@sheizsavoryeventscaterig.gmail.com

WEBSITE: www.@sheizsavoryevents.co.ke

FACEBOOK: www@sheizsavoryevents.com

For Savory Events Catering, the business will be offering a variety of high-quality
products related to catering services for events such as private parties, functions,
weddings among others. The products will as follows:
(a). food product
 Appetizers and Finger foods such as pastries, sandwiches, chips

 Main meals dishes such as rice and pasta dishes, protein

dishes such as grilled pork, fried chicken roasted beef,
vegetable dishes as well as seafood dishes.

 Desserts such as cake in custard, wedding cakes swizz roll, fruit salads among
others.

(b)Beverage products

 Alcohol beverages examples, wines, beer, cider, cocktails as well as spirits

vii
  Non-alcoholic beverages such as Mocktails, coffee, Tea, soft drinks and
juices.
1.2 Marketing plan
The business products will be intensively marketed by:

Social media marketing

Influencer partnerships: Collaborate with influencers in the industry to market

the products through demos.

Sales team: Engage directly with customers to convert leads into sales

Marketing channels: Create and maintain on platforms such Facebook, website

which will reach the targeted audience.
Digital Marketing

Email marketing by segmenting the email list and sent personalized product
recommendations, promotions and updates to interested customers
Advertising marketing

Though videos: Demonstrate how the products works, customers success stories
and behind the scene footage where applicable.
Articles: Educate and inform potential customers about the benefits and uses of the product

Product positioning
Give the unique features and benefits that differentiate the product from
competitors as well as developing a brand message that resonates with the
target needs of the audience

1.3 Organizational and Management Plan

It is a Partnership where it is owned by more than 2 persons with a maximum

of 20 or else 50. Managed by the active, major, real, and general partners.

Requires partnership deed or partnership act

1963 for its formation. The main source of

capital is partner’s contribution

viii
 1.4 Production and Operational Plan
The business will be starting:
Monday to Friday
8.00 a.m to 6.00 p.m Saturday and
Sunday 8.00 A.m to 9.30 p.m
The main aim will be produce delicious food and an event services for various occasions.

The offerings are:

(a). food products

 Appetizers and Finger foods such as pastries, sandwiches, chips

 Main meals dishes such as rice and pasta dishes, protein dishes such as grilled
pork, fried chicken roasted beef, vegetable dishes as well as seafood dishes.

 Desserts such as cake in custard, wedding cakes swizz roll, fruit salads among
others.

(b)Beverage products

 Alcohol beverages examples, wines, beer, cider, cocktails as well as spir

 Non- alcoholic beverages such as Mocktails, coffee, Tea, soft drinks and
juices.

Other additional catering services

 Event planning
 Beverage service

 Food presentation and display

 delivery and drop off services
Event types catered
 Private parties
 Festival and outdoor events
 banquets
 Corporate events

ix
1.5 Financial plan
The estimated working capital required to keep the business running is kshs.1,000000

Source Amount Percentage

Owner’s contribution 200,000 20%

Parents 300,000 30%

Loan – Cooperative Bank, 500,000 50%

Total 1,000,000 100%

x
xi
CHAPTER ONE.

Business description.

1.0 The sponsor

The sponsor of the business will be STELAMARIS KATUMBI MBITHE a 21 years
old lady. I comes from MAKUENI County. went to Nyaani Primary school and
proceeded to Musalala High School for my secondary education and I am now at
University of Embu TVET Institute pursuing a Diploma in Catering and
Accommodation Management.

I have worked at Peter’s Limited Company for 2years in catering production unit
and 1 year in marketing department as a sales person. In the production unit I gained
a lot of experience in catering production and management and acquired significant
marketing skills and strategies in the marketing department.

1.1 Nature of the business.

The name of the proposed business will be SHEIZ SAVORY EVENTS
CATERING. The name means it’s a place where people can not only enjoy delicious
food but also find a haven refuge from the hustle and bustle of daily life. It’s a
culinary sanctuary where customers can unwind as well as savor the
experience of dining in a welcoming and comfortable environment. This name is
aimed at making it easy for customers to identify the farm for what we offer. This
type of business specializes in providing food and beverage services for events like
wedding, corporate gatherings, parties and special occasions.

The business will offer the following products:

*Appetizers

*Main meals

*Specialty dishes

*Desserts

*Beverages

1.2 Industry
The business is in Food Service Industry (Hospitality Industry) which is the
backbone of Kenya’s economy.

1
1.3 Justification of opportunity
 I have requisite skills to run it

 There is increased demand for event catering.

 It has good profit margins which will help improve my living standards and create
job opportunities mostly for youth.

 Customization and specialized menus

 The business is not labor intensive.

 Flexibility and Mobile catering

 High demand for its products offered

 High population in the proposed location

 Intensive marketing strategies

 Presence of few competitors.

 The trends in the industry which makes it to have a bright future are: Health and
wellness Focus, Sustainability and Eco conscious, Technology integration,
Experiential Catering, Mobile catering among others.

 Goodwill from the government which is encouraging consumption of locally

produced agricultural products.

1.4 Contribution of the business to the community:

*Create employment to youths

*Community Engagement and support

*Supporting local farmers and producers

*Cultural Enrichment
*Inspiration for entrepreneurship

*Health and wellness impact

1.5 Form of ownership

The business will be a partnership

2
 Its features are:

. It is flexible

. It has limited liabilities

. Profit and losses are shared among the partners

. Responsibilities are shared equally

Merits

Different talents are combined hence each partner is assigned the responsibility they

can do best. Consultation and sharing ideas among partners may lead to better

decisions.

There are few legal formalities required to

form the business. Loses are shared equally

among the partners.

1.6 Business goals and objectives

The business aims at being a supplier of strategic direction and serve as a foundation
for setting specific business objectives to maximize profit.
Short term goals
1. Business setup and operation. Register the business and obtain necessary permits and licenses.

2. Marketing and brand awareness. Launch a professional website grow a social medial presence.

3. Client acquisition and sales. Secure at least 10 catering bookings in the first three months.

1.6.1 Long term goals

1. Business growth and expansion. Expand catering services to multiple cities or regions.
2. Customer experience and service excellence. Maintain high customer
satisfaction rate through personalized service.
3. Financial sustainability and profitability. Achieve a profit margin of 30% or
higher through strategic cost management.

4. To buy motor vehicles for supplying products to the market or retail shops to

3
ensure the products are close to the consumers.

1.7 products.
The business will offer the following catering products and services to the clients:

Food products such as starters e.g salads such as tomato

cucumber salad, main meals which may entail a meal like beef stew/vegetable
rice/steamed cabbage, and desserts such as cake in custard, swizz rolls Beverages
among others.

Services: Wedding catering, corporate catering, private party

catering, as well as catering packages such as: Buffet service plated dinner service,
customized menus.

The products will be of high quality since the business will ensure high standards of
hygiene and comply with all regulations governing the catering products and services,
the packaging will be unique in a branded environmentally friendly pack so as to
minimize health complications among customers.

1.8 business location.

The business will be located in Wetlands Sub County near Nairobi town a long
highway. The reason for selecting the place is because the means of transport is
efficiency, raw material are available and the
place is

BUSINESS NAME : SHEIZ SAVORY EVENTS

CATERING

P.O BOX : 134250-0100

TEL : 0792259836

EMAIL :
sheizsavoryeventscatering@gmail.com

WEBSITE : www.sheizsavoryevents .co.ke

FACEBOOK : www. Sheizsavoryevents.com

TWITER : @sheizsavoryevents

4
 1.9 ENTRY AND GROWTH STRATEGY

1.9.1 Entry Strategy

The business will enter the market and gain acceptance due to:

 Its high demand in the sector

 The products and services offered have being accepted by the
government with80% approval
 The products and services have been approved by the health sector.
 The products are of good quality
 The services have skilled personnel

1.9.2 Competitive Advantage

No competition. In the area there is no stiff competition since it is new business
which will be launched and there will be no competition.
1.9.3 Pricing
The business will sell its products at a lower price

whereby it will be viable. The prices will be priced at a

cheap cost at maximum profit percentage.

The services will be delivered at a cost which is accommodatable inconsiderate of the consumer

5
1.9.4 Advertising
The products will be advertised through posters, televisions, as well as social media
platforms among others.
1.9.5 Swot analysis table. An example

Component Strength Weakness Opportunity Threat

Location SHEIZ People who are The business Theft, thieves

SAVORY far from Sheiz will be located may break into
EVENTS savory events in town which the farm and
CATERING will may not easily hosts major steal expensive
be located in a access the farm catering sectors products which
densely as the leeway may cause to
populated and low yields as
well-developed well as low
infrastructure profit thus,
and where drugging the
transport and business
raw materials backwards.
are readily
available.

Competition High market The upcoming Taping to More farmers

share – there are competitor unexploited starting the same
no producers of which has not markets business and
the products yet opened forming
within the which may be companies as
business more well as
location. established. cooperatives

6
 CHAPTER 2

2.0 Marketing Plan

Target consumers for the product are;
 Airways travelers around the neighboring airport.
 Neighboring schools near the business sector.
 Wedding as well as graduation parties and functions since the business is located
around reception area where many functions are conducted mostly.
 Passersby as well as people living around since the area is densely populated.
2.0.1 Institutional Customers
The institutions for the products:

 Secondary schools around

 Hospital facilities within.
 Colleges and universities around.

2.0.2 Local Community

Local community which has high population for accessing the products offered with
ease are people within the locality.
2.0.3Wholesalers

There will be room for wholesalers and customers who will be buying the products
in bulk for resell to final consumers or to others for resale.
2.0.4 Characteristics of potential customers

 Age: The products and services offered will be based on the age especially for
the aged and those with special disabilities with be served inconsiderate of
their state.

 Gender: The products will suite and attract both genders.

 Education – The products will attract educated semi educated as well as uneducated.

 Religion – Products will favor all groups from all religions since will be varieties of products

7
  Comfort – Do-to-door services will be applicable if requested.

2.0 COMPETITION

In the sector of competition, there is no stiff competitor since it is a new business to

be launched at the market.
2.0 MARKET SIZE AND SHARE

An estimate of 50000 people and 20 institutions within the county or outside. The
business targets 10000 customers every month. As the business starts, we expect to
have a market share of 25% at the beginning of the year and 55% at the end of the
year.

Market share of the business at the beginning of the year

Business Name Market Size Market share

Sheiz savory events catering 75,000 75%

Watamu savor restaurant 25000 25%

Total 100,000 100%

pie chart

8
 sheiz savory events catering watamu savor

Market share at the end of the year

Business Name Market Size Market Share

Watamu savor Ltd 95,000 45%

Sheiz Savory Events 175,000 55%

Total 270,000 100%

Pie chart presentation.

9
 sales

sheiz savory events watamu savor

2.1 Co
mpe

Pricing policy

The proposed business will be selling its products at a lower price compared

to its competitors. Factors to consider when setting prices of the products are:

1. Lab
or
Cost
2. Utili
ty
bills
3. Raw material costs
4. Overhead costs
5. Customer demand
6. Seasonality and Events

The selling price of the products will be varying depending on the seasons, during
peak seasons the prices will be higher than on low demand seasons.

10
 The price list for the products:

Item Price in Ksh

Appetizers and Finger foods 900-1800 per person

Main meals i.e for buffet 1000-2500 per person.

Specialty dishes 2000-3000 per person.

Desserts 1200-1800 per person

Beverages: Alcohol and non-alcoholic 1900-2600 per person

Private parties As agreed: ranging between 25,000-45000.

Festival and Outdoor events 70,000-86000 or as agreed.

2.2 Sales Tactics

The sales methods will be both direct to customers and through other distribution
channels such us supermarkets and retailers. Also, the sales personnel will be
promptly motivated.

This will be done through: free delivery, promotions, tips among others.

2.3 Advertising and Promotional Strategy

The following methods will be employed to advertise the products.

o Social media
o Mass media
o Billboards
o Exhibition

2.4 Distribution Strategy

The direct channel will be

Sheiz Savory Events Catering

Customer The indirect

distribution channel:

11
Sheiz Savory Events Catering
Farm

Distributors Customers

The products will be transported by use of vehicles where products will be required
in large quantities while where customers will be offered free delivery will be done
and other customers will deliver their products by their own means

Methods that the business will use to retain its customers by:

 Offering free promotions to the customers.

 Selling products at an affordable selling price of
the products to the customers.
 Offering quality products as well as services.
 Providing products of high quantity to attract customers.

12
CHAPTER THREE

3.0 Organization and Management

3.1 Organization chat

MANAGERIAL

CO-OWNER
CHIEF EXECUTIVE

Secretary
Sales persons,
security
guards
HEADWAITER
AND WAITRESS

3.2 Key Personnel:

3.2.1 Management

Sheiz savory events catering will be co- managed by two partners and each will have
distinct areas of responsibilities based on their expertise since the business is a
partnership.

Their roles and responsibilities:

Partner 1 Stelamaris .K.

Mbithe (Co-Owner)

Partner 2. Edward Onyang Nyong.

(Executive chef) Menu development

The business will be owned by partners who play active role by being responsible
for managing the entire business.

13
3.2.2 Director

3.2.2.1 Qualifications:

Should have a diploma holder in counselling

Has a work experience of over 5years in a

busy company. Should have a strong

background in sales and marketing in full

3.2.2.2 Planning
The directors will be setting the goals and objectives of the business and allocating
resources as required.
3.2.2.3 Staffing

The directors will be in charge of hiring and allocating roles and responsibilities to
employees in the business.
3.2.2.4.Control

The directors will be setting standards and corrective measures of the business.

3.2.2.5. Organizing

It will be director’s mandate to establish structures that will show relationship among
employees and their roles in the business.
3.2.2.6 Supervising

The directors will be supervising the employees to ensure duties allocated to them
are executed as per the required standards and at the right time.
3.2.2.7 Directing

The directors will be providing direction to other employees on how and when they
are supposed to perform their tasks in the business.

3.3 Other personnel

3.3.1 Secretary

3.3.1. Responsibilities

14
  The secretary will be in charge of

the following duties: Keeping all

financial records as well as filing

 Maintain employee records

 Accounting for

the business.

 Supporting

partners

3.3.2 Qualifications

A diploma holder in secretarial studies from a well-

known institution.

Ability to multitask and handle various administrative

task with precision

Computer literate

Work experience of not less than 5 years

3.2.1 Salespersons

3.2.1.1 Qualifications

A diploma in business, marketing, hospitality management or other

related field of study. Should have experience in sales as well as industry

knowledge.

Should have excellent

communication skills.

Should be confident and

persuasive.

15
 A minimum working experience of 3 years in a similar position.

3.2.2 Security Personnel

3.2.2.1 Qualifications:

To have a certificate of completion for security

training program. Work experience not less than

2 years.

Respect and Courtesy

All employees will be respectful to each other and be courteous to the customers by
being sincere and avoiding things which may cause grudges.

Clarity

The employees will communicate clearly to the customers and suppliers by using
well known, familiar and clear words.
Correctness

Correct words and language will be used at all levels of communication.

Consideration

All customers will be given consideration irrespective of their social level,

knowledge, skills and religion to ensure all customers can cope when buying
products from the business.
Completeness

Sharing of full information about the cost, benefits and any other information
important to the customer will be given out by the employees.

3.3 Recruitment, Training and Promotion

3.3.1 Recruitment
The recruitment process will be free, fair and credible, calls for application will be
advertised widely through posters as well as social media platforms. The recruitment
of different employee will be for:

16
Event staff training- They will be taught customer service excellence as well as
catering knowledge in food safety, menu details and proper serving techniques.

Security training- they will be provided with practical training on managing large
groups, operating security equipment and observing suspicious behavior.

Secretary - will be assessed by performing calculations, recording and sorting

records in the computer within a given time. Explain how this will be done based on
different employees of your firm.

3.3.2 Training
The employees will receive requisite training pertaining their roles to ensure they
are able to perform their duties without challenges. This will enhance efficiency,
create confidence to the employees and build trust with the customers.

Training plans for the employees will be as follows:

Newly recruited employees will receive a two-day training on their first day
reporting to work. They will be trained by qualified trainers.
The total number of employees employed will be a total of 10 employees, 2 secretary,
6 salespeople and 2 Security personnel.

3.3.3 Promotion Policy

The promotion of the business products will be done by all employees and happy
customers who will share their experiences of the products to their friends.

Customers who will buy products in bulk will be given a price discount of 15% and
the employees who will connect the business to frequent bulk buying customer will
be earning a commission of 8% on top of their monthly salary.

3.4 Remuneration and Incentives

The remuneration will be as shown below.

Employee Position Numbe Salary per Total Allowance per Total Monthly
r month per monthly pay position per Allowance
position (KSH) month
(KSH)

17
Manager 2 45000 90,000 3,000 6,000

Secretary 2 28000 56,000 1,800 3,600

Sales People 25 20000 500,000 1,005 25,125

Security Personnel 5 15000 75,000 1,150 5750

3.4.1 Other Benefits:

The business will offer tea to all employee as well as providing them with lunch and evening tea.

3.5 Legal Requirements

The business will acquire a trading license from County government Ksh 15000/-.

3.6 Support Services

The business will source for the following supporting services:

3.6.1 Insurance
The insurance will cover the business against fire and theft, comprehensive cover to
the automobiles and cover employees against injuries while at work.

The insurance company will be: www.sheizsavoryevents.com

3.6.2 Banking Services

Business transactions will be done through:0100 NAIROBI.
The selected banks will provide the following services:

Processing Cheque payments

from customers Receive deposits

from the business

Process payments of staff after presentation of

the pay roll acquiring of materials for the

business

3.6.3 Communication Services

The business will seek communication services from Safaricom and Airtel the
leading communication companies in Kenya

18
 CHAPTER 4

4.0 Production and Operational Strategy

4.1 Production Facilities and Capacity

Unit
Total Cost
Item Quantity Supplier Cost

Motor cycles 2 Mark Holdings 50,000 100,000

Motor vehicles 2 A Plus Motors 160,000 320,000

Kanini Kenga
12,000
Wheelbarrows 3 Hardware 1,000

Muliko
200,000
Feeders 100 Hardware 2,000

Total 10 632,000

The functions of the assets identified are:

The fixed assets will be Motor vehicles and motorbikes that will be used to transport
products from the market to the business and deliver products to the customers.

The feeders are equipment which will be used in production and service.

4.1.2 Materials
Explain the materials you will need in the business as shown below.

Materials Quantity Unit Cost Total cost

Starter Crabs 20kgs 10 200

Starter Appetizers 150kgs 50 7500

Proteins starter 10kgs 400 4000

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Vegetable starter 10kgs 20 200

Spices, herbs and 3kgs 100 300

condiments

All materials will be sourced from producers and well-known wholesalers.

4.1.3 Expenses
The following expenses will be incurred by the business.

Service Amount per Month (Ksh) Annual Cost (Ksh)

Electricity 9000 108000

Insurance 3000 36000

Transport 2800 33600

Salaries 261,475 3,137,700

4.2 Production Strategy

Based on monthly basis:
Monthly labour requirements

– 261,475 Monthly Materials

requirements – 500,000

Other monthly costs –Ksh –

22,000

The quality control processes will be followed at every production stage to ensure
quality and standards are met appropriately.

4.3 Production Process

Production process will be done efficiently to ensure that food, beverages and event
materials are delivered on time and efficient manner in order to meet the highest
standards of quality.

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4.4 Regulation Affecting Production
Licensing of the business- There is assurance of business licenses and permits which are in order.

Health and safety regulations- It has been assured that the place is save and complied
with a range of health and safety regulations to protect both employees and the
customers.

Government rules and regulations will be followed as expected.

4.5 Trade Marks

Item Obtaining Cost Source

Service marks 12,000 Registrar of businesses

Certification marks 10,000 Register of businesses

Word marks 8,000 Register of businesses

4.6 Risk Reduction Strategy

4.6.1 Fire Risk

Use fire extinguishers.

Insure the business against fire.

4.6.2 Theft

Can be avoided by: Installing alarms and

cctv cameras. Hiring qualified security

guards.

A receipt will be generated for every product sold.

4.6.3 Loss of Products

Ensure stock records are

recorded day in day out.

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Installation of cctv cameras.

Employees leaving their bags at the chance room or luggage area as a must.

4.7 Exit and Harvest Strategies

After 2.5 years the business will have achieved the following:

Bought a 2ha land and utilize modern technologies where we will be

producing products. Double motor vehicles for supplying products to the

market etc.

Expanded the business by building other rooms for easy production as well as accommodation.

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 CHAPTER FIVE

5.0 Financial Plan

5.1 Pre-operational Cost

This will be

Item Amount

Market Research 5,000

Electricity Installation 20,000

Water Installation 10,000

Feeds, feeders, drinkers and vaccines among 70,000

others

Total 105,000

5.2 Working Capital

Item Year 1 Year 2 Year 3

Cash at Bank 1,000,000 2,500,000 5,000,000

Stock Worthy 950,000 Worthy 1,200,000 Worthy 3,400,000

Debtors 200,000 300,000 600,000

Total 2,150,000 4,000,000 9,000,000

5.3 Break-even Level Analysis

Item Year 1 Year 2 Year 3

Sales 3,000,000 5,500,000 8,000,000

Purchases 1,000,000 3,000,000 5,000,000

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Gross Profit 2,000,000 2,500,000 3,000,000

Expenses

Salaries 721,000 750,000 800,000

Allowances 40,475 50,000 60,000

Transport 20,000 25,000 30,000

Repair and 20,000 20,000 25,000

Maintenance

Electricity 35,000 35,000 40,000

Water 20,000 25,000 30,000

Net Profit 1,143,525 1,595,000 2,015,000

5.4 Proforma Balance Sheet

Db Cr

Assets Amount Liabilities Amount

Fixed Assets Capital 1,392,000

Vehicles 320,000 Drawings 980,000

Motorcycles 100,000 Long term creditors 45,000

Wheelbarrows 12,000

Incubator 35,000

Current Assets

Cash at hand 1,000,000

Stock 950,000

Total 2,417,000 2,417,000

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5.5 Sheiz savory events catering Projected first year cash flow

ITEM JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC
Sales 8000 8400 8800 10000 12000 12100 12200 1300 14000 15000 16000 19000
00 00 00 00 00 00 00 00 00 00 00 00
Purchases 5000 5200 4800 56000 70000 80000 50000 8000 80000 90000 10000 11000
00 00 00 0 0 0 0 00 0 0 00 00
GP 3000 3200 4000 44000 50000 41000 72000 5000 60000 60000 80000 80000
00 00 00 0 0 0 0 00 0 0 0 0
Expenses

Salary 5400 5400 5400 54000 54000 5400 54000 5400 5400 54000 54000 5400
0 0 0
0 0 0 0
Water 300 400 420 410 460 520 610 600 630 630 650 670
Electricity 450 460 460 460 520 530 600 620 630 630 650 670
Advertiseme 200 200 200 2000 2000 2000 2000 200 2000 2000 2000 2000
nt 0 0 0 0
Transport 700 700 700 7000 7000 7000 7000 700 7000 7000 7000 7000
0 0 0 0
Depreciation 200 2400 2100 2000 2000 2200 21000 200 2300 24000 22000 2400
0 0 0 0 0 0
Loan 200 200 200 2000 2000 2000 2000 200 2000 2000 2000 2000
payment 0 0 0 0
Repair/maint 120 100 800 600 900 1000 1200 120 1100 1200 1200 1100
ena 0 0 0
nce
Total 6895 6926 6832 70470 70460 6925 67620 6942 6966 69850 69960 6982
expense 0 0 0 0 0 0 0
Net profit 2417 2507 3316 36953 42954 34075 65238 4305 53034 53015 73004 73018
before tax 00 40 80 0 0 0 0 80 0 0 0 0

5.6 Sheiz savory events catering Projected second year cash flow

ITEM JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC
Sales 20000 21000 22000 21000 23000 24000 25000 25500 26000 26000 26500 28000
00 00 00 00 0 00 00 00 00 00 00 00
0
Purchases 11000 13000 16000 16000 16500 15000 12000 13000 14000 14000 13500 17000
00 00 00 00 0 00 00 00 00 00 00 00
00
GP 90000 80000 60000 50000 65000 90000 13000 12500 12000 12000 13000 11000
0 0 0 0 0 0 00 00 00 00 00 00
Expenses

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Salary 6000 6000 6000 6000 6000 6000 6000 6000 6000 6000 6000 6000
Water 300 400 300 500 400 400 600 700 500 400 300 600
Electricity 500 550 400 450 500 550 600 400 450 450 500 450
Advertiseme 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000
nt
Transport 8000 8500 8500 9000 9100 9200 9250 9250 10000 1050 10200 12000
Depreciation 2100 2000 2200 200 200 200 2500 200 2500 3000 200 2500
Loan 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000
payment
Repair/maint 1200 1000 1000 900 900 1200 900 100 1200 1000 900 900
en
ance
Total 76100 76450 76400 75050 75100 75550 77850 74650 78650 69900 76100 79650
expense
Net profit 82390 72355 52360 42495 57490 82445 12221 11753 11213 11301 12239 10203
before tax 0 0 0 0 0 0 50 50 50 00 00 50

5.7 Sheiz savory events catering Projected third year cash flow

ITEM JAN FEB MAR APR MAY JUN JUL

AU SEPT OCT NOV DEC
G
Sales 30000 32000 32000 33000 34000 34000 35000 35000 36000 38000 38000 40000
00 00 00 00 00 00 00 00 00 00 00 00
Purchases 20000 20000 21000 21000 22000 21000 22000 22000 20000 21000 23000 26000
00 00 00 00 00 00 00 00 00 00 00
GP 10000 12000 11000 10000 12000 13000 13000 13000 16000 17000 15000 14000
00 00 00 0 00 00 00 00 00 00 00 00
Expenses
Salary 70000 70000 7000 70000 70000 70000 70000 70000 70000 70000 70000 70000
0
Water 400 400 500 40 450 500 550 560 600 450 450 500
Electricity 600 550 600 600 600 500 400 450 450 500 600 600
Advertiseme 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000
nt
Transport 9000 10000 1100 11500 12000 12200 12200 12300 12400 12400 12600 13000
0
Depreciation 300 2800 2900 2700 3000 2800 2800 2900 2700 2800 2900 3000
Loan 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000
payment
Repair/maint 1000 1200 1300 1200 1300 1400 1400 2000 1600 1700 1800 200
en

26
ance

Total 88000 88950 9030 90450 91350 91400 91350 92210 91750 91950 92350 88300
expense 0
Net profit 91200 11110 10097 10095 11086 12086 12086 12077 15081 16080 14076 13117
before tax 0 50 00 50 50 00 50 90 50 50 50 00

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 REFERENCE

Innovation and entrepreneur (1985) by Peter Hamad B (1963) cooking explained 3ed edition
Longman group Sriiakshmi B (2006) Cookery.

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 APPENDIX

RECREATIONAL
AIR STRIP
CENTRE

MAIN ROAD

M
A

ROAD
I
N
R
O
A
D

SHEIZ SAVORY EVENTS

CATERING

CONGRE
FUNCTION GATION
HOLDING CAMP
CENTRE CENTRE

IRINGA SECONDARY
ROAD SCHOOL

29