Creative Corner Cafe

Business Plan Prepared ByRyan Michelle RegerPresident5752 Sugarwood CourtJupiter, FL 33458Tel. (561)317-9589Fax (561)747-1550Website: www.creativecorner.comDate PreparedDecember, 2006

This business plan contains confidential and proprietaryinformation associated exclusively with Creative Corner Café.

Table of Contents

1. Executive Summary…………………………………..............................3

2. Vision and Mission Statement…………………………………………..5

3. Company Overview………………………………………………….........6

4. Products/Service Plan……………………………………………............8

5. Marketing Plan……………………………………………..........………… 16

6. Management Plan………………………………………………………….20

7. Operating Plan………………………………………………………………22

8. Financial Plan...…………………………………………………………….24

Executive Summary

The average person often finds him/herself in a sea of stress and anxiety. Creative Corner Cafe can first be recognized as an oasis of relaxation for those people, such as busy college students and business people. The idea of Creative Corner Cafe is to offer this area, Palm Beach County, a place or space for people to come and relax or unwind from life's stresses. In addition, Creative Corner Cafe will give free internet access to people with wireless, unlike some competitors. This will give students an opportunity to study at a fun place and drink coffee or tea. Creative Corner Café will offer Exotic Teas and Gourmet Coffees, along with some unusual beers, sandwiches and pastries. In addition, Creative Corner Café will provide local talent with the opportunity to be seen and heard. There will be a stage found in the back of the café, along with local art hanging and displayed around the main room.

When a new customer walks into Creative Café the first thing they will notice is the rich aromas of the coffee and teas. To the right lies a Coffee area, with gourmet coffees from all around the world, and to the right is the Tea room with exotic teas that range from a basic black tea to a more mysterious herbal and tisane teas. This Café gives people an opportunity to experience coffee and tea on a whole new level. In addition, the Creative Corner Café will offer some exotic beers for people to treat themselves to while they watch the local talents perform during the evening hours. There will also be sandwiches and pastries. The beers and food will be on display towards the back of the café near the stage for performers. The main room will be filled with an arrangement of comfortable couches and chairs, alongside lamps and tables, making the ideal setting for comfort.

In addition, Creative Corner Café will be open late nights offering even people that get out of work late the opportunity to enjoy some coffee or tea. The late nights will also provide an advantage against competition, which normally close no later than 10 pm. The business hours of Creative Corner Café will be from 5:00 am until 1:00 am. Creative Corner Café will be located in the northern area of Palm Beach County; this area is heavily populated with people of all ages. However, it is a well known fact that Florida has a great amount of retires, therefore Creative Corner Café will participate in a senior citizen discount, along with a discount for college students.

The main competition will be the local Starbuck chain and other coffee restaurants as well as some local bars that offer residents the opportunity to perform. However, Creative Corner Café does offer a totally different outlook on coffee, tea and live performances. Another important aspect of the Company will be the management style. The managers will be taught to give everyone, employees and customers an equal level of respect. It is important that management shows the staff and customers they are valued. Many companies forget the main ingredient in a company such as this should be fun. A positive attitude

and mentality coupled with good moral and ethical values will help to make Creative Corner Café thrive and generate a lasting clientele.

Creative Corner Café has an open door policy with its employees; it is important that each member of the team knows their role and feels valued in the company. It is also important that each employee receives ample respect from each team member in the company.

Vision and Mission StatementVisionThe vision of Creative Corner Café is to bring a wide range of people together for various different reasons and give Palm Beach County a Café that is not found everywhere else, to make this area unique. Giving people a place to allow their talents to be heard and seen, will also give this area more of a feeling of pride and joy for locals.

Mission StatementThe mission of Creative Corner Cafe is to provide a new upbeat, creative and relaxing outlet for students and Palm Beach County residents. Tranquility is the key and a place, such as Creative Corner, can be used as a venue for people to allow their creative side to show.

Objectives

The objectives for Creative Corner Cafe are the following:• Bring a new sense of culture and style to the Palm Beach County area.• Create a calm and relaxing café that combines entertainment, style and peace to busy students, business people or anyone that needs a place to relax. • Build a strong clientele through word of mouth, happy customers, guest relations and advertisement• Have Fun!• Give local talent a place to show their skills• Teach people something new about tea and coffee

Company Overview

Ryan Michelle Reger has worked in the service industry for six years now and she understands all the concepts and ideas that go into making this idea work. She has found it rather frustrating trying to find good coffee. In addition, the idea came to her while at a chain coffee store, why not open a fun coffee store for this area that offers exotic teas and coffee. Eventually, the idea of a live stage for poetry and music emerged allowing snowball of ideas to stream off good coffee. The basic nature of this business will be to enjoy a more tranquil and

calm area of fun, unlike most of the places young people go to. This company is an alternative to the loud, smoky clubs and bars that people go to in order to relax.

Company Location

Creative Corners will be located in the Jupiter, FL area in Northern Palm Beach County. This area is the location of the Florida Atlantic University, Palm Beach Community College and Palm Beach Atlantic College. This area also has a melting pot of different people, from different areas of the world. Creative Corner Cafe may also appeal to any specific age group as well as different cultures. This area truly needs a pace for people to relax and express their hidden artistic talents. Another important fact about this location is the large amount of elderly and

Company History

The concept of a coffee and tea house establishment in this area was thought up by Ryan Michelle Reger out of a desire for a more intimate and intellectually stimulating environment than the popular sports/generally heavy drinking oriented bars that were popular in the area. In addition, Ms.Reger sought out a place that she could relax and read for school or do homework for an inexpensive cost. Therefore the idea of offering free wireless internet was a focus as well. Sometimes its difficult to study or read in a person's own home especially if they live with other people who do not live the same lifestyle. In addition, the Palm Beach County area lacks places for local talents to be heard that are not connected with a heavy smoking and bar atmosphere. Creative Cafe is not a bar, but it does offer beer. There should not be any aggressive or rowdy behavior that is associated with Creative Cafe. The general idea is to bring a relaxed atmosphere to the Palm Beach County area. Current situation of the industryChain establishments such as Starbucks, Panera Bread, and Atlanta Bread Co. already provide similar products and services to students in the area. Additionally there are a number of independent drinking establishments providing a fun social atmosphere in the area. However, there are a few things that Creative Corner Cafe will offer that these restaurant chains do not offer. First, Create Corner Café offers a friendly feel of a local business. Next, exotic and gourmet coffee and tea are not normally offered at such volume from the competition. Last the live entertainment and local talent coupled with a relaxing beverage, such as a cold beer or smooth ice tea. Creative Corner Café will have an advantage on the competition because of the variety of different activities and food gathered together and the

friendly atmosphere. The people that come to visit Creative Corner Café are not only customers but neighbors, friends and family, because the owner was raised in the area and is familiar with the people in the area.

The legal form of the organization

This will be a Limited Liability Company to allow all profits to be channeled to the owner (Ryan Reger, with the possibility of future investors) with minimal taxation. Also this will limit the liability to the owner to her initial investment. Creative Corner Café will be a limited liability company with one member so it may be treated as a disregarded entity. Creative Corner Café will be a manager managed company. This will create a two-tiered management structure which will allow the company to convert into a corporation at a later date. This will set Creative Corner Café up for future growth and expansion in possible stocks and shareholders. Therefore, as a limited liability company Creative Corner Café will be able to thrive and possible develop into a franchise.

Products/Service Plan

Product strategyThe idea of Creative Corner Cafe came from a rather anxious student who could not find a comfortable place to do her school work. Also, she had troubles finding gourmet coffees and teas. The main product that is being launched here is a creative outlet, a place people can go to and expand their thought and relax. The concept of a Coffee Café has been around for some time and there are a few that are found in the area but none so unique an idea as Creative Corner Café. Creative Corner Café combines the idea of coffee and tea mixed with relaxing music and a hot spot to allow local talent to shine. In today's day and age it seems that Americans are straying away from their local roots and finding comfort in chain restaurants and cafés (i.e. Starbucks and Mc Donald's), but Creative Corner Café brings the people in West Palm Beach together and creates and atmosphere exclusively to them. Creative Corner Café is in introduction stage of the product life cycle since this is a relatively new concept and completely new business. The main features of the product will be exotic teas and gourmet coffees; however the café will also feature some specialty beers and prepackaged sandwiches and pastries. But, truly the product that is being singled out is just a fun place to relax.The main features of our products

The main features of the Creative Corner Café are the exotic teas and gourmet coffee; in addition there will be light snacks and specialty beers. These are all part of enhancing a relaxing time, such as a music performance or a good book.

Exotic Teas

Black Teas -The production of traditional teas begins with hand harvesting. In black tea, the harvest is shrunken, and then rolled to release the enzymes within the cell structure of the leaves. The leaves are spread out on drying trays to facilitate oxidation or fermentation. The oxidation process changes the leaf color from green to black. Last, the leaves are fired in ovens to stop the process and dried again to remove all moisture.

1 Darjeeing -The champagne of teas, a second flush hand picked from the Darjeeling region of India. Good for afternoon tea time, after dinner or even as iced tea.2 Classic English Blend- A traditional mixture of golden tipped Indian teas with a strong, malty flavor. This tea is classic for its lasting drinking ability and broad appeal. Great with milk and sugar, in the British style3 Ambassador Earl Grey- Natural Italian oil of Bergamot gives this tea its crisp citrusy essence.4 Earl Grey with Lavender-This classic combination of fine black teas, gains intricacy and character from the fresh lightly floral flavor of lavender and scented with citrusy natural Italian bergamot oil.5 Ginger Peach-This tea combines the tender flavor of peaches with a hint of ginger.6 Apricot -Fine Assam Black Tea is combined with Apricots and Apricot Essence. This flavor is well-balanced, lush and naturally fruity. Nice alone or with a drizzle of honey.7 Honey Ginseng-An energizing blend of Assam black tea, natural Siberian ginseng and honey give this tea a tender and soothing character.8 Cinnamon Orange Spice-This spicy blend combines fine Assam black tea blended with cinnamon chips, orange peels, cinnamon & orange spice essence.9 Bourbon Vanilla-Hand picked black tea from the Assam region of India is enhanced with the sweetness of natural vanilla extract.10 Winter Blend-An alluring blend of fine Assam Black Tea with cinnamon chips, orange peel, apple bits, almonds, rose petals, and cinnamon & orange extract.11 Black Currant-The fragrance of lush ripe berries is brilliantly balanced with whole leaf Assam tea with Black Currants, Black Currant essence and leaves.

12 Masala Chai-This warm and mysterious authentic Chai combines Assam Black Tea, cardamom pods, cinnamon pieces & ginger root.

Oolongs- Oolongs tea is semi fermented, partially shrunken, and partially oxidized. The leaves are picked at precisely the right time, then spread several inches deep in baskets. The baskets are set in the sun and shaken frequently to bruise the outer edges of the leaves. Bruising encourages oxidation, and when the desired level is reached, the baskets are passed in and out of a charcoal fire to halt the process.

1 Plum Tree Oolong-A water sprite oolong with the natural essence of sweet juicy plums and safflower petals.2 Shui Hsien Oolong- This water sprite oolong is from the Guan Dong province of China. Orchid notes with fruity undertone and a trace of smokiness adds to the intricacy. Amber looms in the cup, this tea is rather well balanced.

Green Teas-Green teas have a more subtle flavor than black teas. They are fresh and clean tasting. After gathering the leaves are then pan fired, where the leaves are exposed to hot steam to kill the enzymes that would otherwise cause them to ferment. Afterwards, the leaves are rolled on heated tables to further dry the tea. Finally, they are fired, graded, and packed. The entire process takes one day.

1 Dragon Well-This pure green tea is known for its clean taste. The jade green leaves are long and flat and delightfully scented in the cup.2 Gunpowder Temple of Heaven-A classic from China, this tightly rolled leaf unfolds in the water to produce sugary and vaguely smoky liquor with a distinctive copper color.3 Genmai Tea-This traditional Japanese Sencha is combined with fire toasted and popped rice to yield a sincerely strong and nutty flavor.4 Jasmine-These delicate green tea buds are blended with Jasmine blossoms, hand picked under the light of the moon.5 Jasmine Phoenix Pearls-This tea is truly a gem. It is made from the top two leaves and a bud of new season growth. The delicate leaves are hand rolled into small pearls and produce a light fresh slightly sweet tea.6 Mandarin Orange Green- A strong trace of orange, but never overwhelming the mellow flavor of this green tea from China. Pan-fired leaves with safflower blossoms and natural flavoring make for an refreshing cup of tea.7 Green Passion-The most popular of the green teas, this mixture is an vitalizing combination of Japanese Sencha, natural Siberian ginseng, marigold flowers, and exotic passion fruit essence. The flavor is clean and slightly sweet.

8 Rose Sencha-Luxurious, exotic, and brilliantly aromatic. Japanese Sencha is blended with lovely rose petals and rose essence.9 Organic Moroccan Mint-This famous Middle Eastern blend of tightly rolled Formosan gunpowder tea and peppermint create a uplifting cupof tea, it is also great iced.

Herbal Teas (Naturally decaffeinated)-Herbals and Tisanes (the French word for fruit infusions) do not contain leaves from any tea plants, Camellia Sinensis. Therefore, they are naturally caffeine free. Some are lush and mysterious while others are traditional in their simplicity. These teas are skillfully blended for the palette as well as the eye.

1 Tuscan Garden- Full of flavor this charming tea combines orange and lemon peel, apple pieces, hibiscus, sunflower & rose petals, lavender flowers, black currants and natural grape essence. 2 Peppermint Chamomile- A relaxing blend of Egyptian chamomile buds and peppermint leaves. Great after dinner, it helps your body digest food naturally.3 Citrus Chamomile- Egyptian chamomile buds & flowers, lemon peel, orange peel, lemon, orange & vanilla essence.

Tisanes (fruit infusion and decaffeinated)

1 Elderberry Currant- This combination mixes elderberries, currants, hibiscus and cornflower.2 Orchard Blend- A fruity blend of apple pieces, orange peels, hibiscus, rosehip, and marigold flowers.3 Cranberry Hibiscus- This succulent blend contains whole cranberries, elderberries, black currants and Rooibos "Red" Tea. This blend is extremely high in anti-oxidants also this is great iced.

Gourmet Coffees

Roasts and Blends- These are powerful blends roasted to seven delicious intensities—from delicate to wonderfully intense. Each is crafted from prized 100% Arabica beans and roasted to our meticulous, time-honored specifications for flavor, aroma and character.

1 Traditional Roast-Traditional Roast is a highly aromatic, perfectly balanced medium roast coffee with a smooth, rich texture. Made of choice, mountain-grown Arabica beans from East Africa and Central and South America, this premium coffee is gently roasted for exceptional body and flavor.2 Light Roast-A mellow, light-bodied coffee roasted to gentle perfection. Made from a high-quality blend of aromatic, mountain-

grown Arabica beans from East Africa and Central and South America, it offers a remarkably smooth flavor, subtly seductive fragrance3 Dark Roast-This full-bodied coffee is made from a high-quality blend of aromatic, mountain-grown Arabica beans from East Africa and Central and South America that have been roasted longer, for a deeper, darker flavor.4 Expresso Roast-A premium coffee, mountain-grown Arabica beans from East Africa and Central and South America. Highly aromatic with complex caramel undertones and a full-bodied flavor, this unique blend offers the bitter characteristics espresso-lovers demand. Brews in any espresso machine or automatic drip coffeemaker. 5 French Roast-a coffee of impressive richness and dimension, expertly crafted in Europe from prized Arabica beans grown in Colombia and Brazil. Dark-roasted to produce an intense yet well-balanced flavor with a pleasant smoky finish, low acidity and a robust personality. The result is a super-premium coffee of depth, boldness and refinement. Superbly smooth, and perfect with sweet desserts6 Breakfast Blend-A silky smooth taste that's perfect for morning enjoyment. Wonderfully flavorful and highly aromatic, this premium blend is crafted from 100% Arabica beans grown in the renowned coffee growing regions of East Africa and Central and South America.

Regional Blends-Satisfy a taste for the unusual with the eight exceptional coffees called Regional Blends. Made with single origin beans from exotic growing regions across the globe, each has been crafted with infinite care to create delicate nuances and incredible tastes

1 Antigua-Grown in the blue haze of Guatemala's Cordillera Mountains at an altitude of 1400 to 1500 meters.These shiny beans mature slowly and evenly, producing a full-bodied coffee with a perfect balance of sweetness and acidity. This is a truly exceptional SelectVarietal, offering sublimely satisfying flavor that lingers long after the cupful has been enjoyed. 2 Colombia- The rich sparkling flavored beans of Colombian coffee beans are crafted into an impeccably balanced coffee: medium-to-full bodied with a clean winey flavor that's reminiscent of a fine Bordeaux. 3 Costa Rica-Intensely flavorful, with mild acidity and excellent body. Delicately balanced, slightly dark, with a rich aroma and hints of sweetness, you'll want to linger over this splendid coffee. 4 Jamaica-a perfect balance and full flavor, with a subtle sweetness and touch of spiciness. 5 Kenya-Full-bodied and lively, this high-grown SelectVarietal will delight you with a delicate floral aroma, tangy taste, and deep berry undertones characteristic of the best East African coffees.

6 Kona-Hawaii's rich, volcanic soil and idyllic subtropical climate combine to nurture coffee beans of unparalleled flavor. Made from the highest grades of hand-harvested 100% Hawaiian Kona, this is a velvety-smooth coffee with a slight acidity and buttery, nutty overtones7 Mocca Java-Earthy and very full-bodied, with hints of spice and gentle sweetness, This is a truly original blend.8 Peruvian Blend-Light and smooth, with a medium body and pleasing, slightly floral acidity and subtle earthiness

European Blends- The exquisite taste of these exclusive coffees will transport you to four of Europe's most celebrated coffeehouses.

1 Antico Caffe Greco- This is a Spanish Blend it is has a smooth, pleasant aroma with dark caramel sweetness highlights this fine coffee. 2 Cafe de Oriente-This Spanish Blend, originates from Madrid it is an Arabica blend of profound aroma and exquisite flavor. Its classic, rich caramel sweetness and pleasant winey character complements even the most luscious desserts.3 Cafe Le Procope-This blend of 100% Arabica beans is classically French. It has a pleasing, well-balanced floral aroma and warm, smooth character. 4 Cafe Sperl- This blend stems from Vienna, it has a rich velvety flavor and is noted for its exquisit reputation.

Flavored Blends- High-grown Arabica beans, subtly laced with fine spices and flavorings with skill that evokes a winemaker's delicate touch. Discover eight delicious blends of satisfying coffee and delightfully exotic flavors.

1 Amaretto- This coffee has a hearty non-alcoholic amaretto flavoring with hints of cherry almond. Additionally, the smooth taste that comes from its premium blend of aromatic, mountain-grown South American Arabica beans.2 Chocolate Raspberry-Just a touch of rich chocolate flavor combined with the essence of tangy raspberries 3 Cinnamon-A pinch or two of natural cinnamon and a dash of clove flavors results in the subtle, spicy treat.4 French Vanilla-This smooth, rich blend with vanilla flavor notes is crafted from choice mountain grown Arabica beans from South America, and then gently roasted for exceptional body and flavor with a delicate suggestion of honey almond flavor.5 Hazelnut- A mellow blend, with smooth hazelnut flavor and a hint of vanilla flavor. Gently roasted for exceptional body and flavor.

6 Irish Cream-A sweet and caramel-like coffee blended from mountain-grown Arabica beans from South America. Lively and full of fun, it has a creamy gently roasted flavor.7 Mocha-Rich chocolate flavor is blended with mountain-grown Arabica beans from South America, for a sweetly satisfying experience. Roasted gently for exceptional flavor, this delightful blend is one you'll take pleasure in each time you experience its smooth body and bold taste.8 Vanilla Nut-Crafted according to tradition from South American Arabica beans, this luscious coffee is gently roasted for exceptional body and flavor. It has a pungent smell of vanilla with hints of nuts, this is a full bodied flavorful coffee.

Beers- Creative Corner Cafe will offer a small selection of bottled exotic lagers, ales and stouts; this will provide the customers with an opportunity to enjoy a cold beer while watching a live performance, making this coffee shop, not your average cafe.

Lagers-A well blended beer brewed in cool conditions using a slow-acting brewers yeast, known as a bottom-fermenting yeast, and then stored (or "lagered") for a period in cool conditions to clear away particles and certain flavour compounds to produce a clean taste

1 Budweiser and Bud light- This is a traditional beer brewed by Anheiser Bush, this Lager will offer people that enjoy traditional brews an opportunity to indulge.2 Grolsh Premium Lager-Originating from Germany this is a strong boiled-hop flavor, with strong, lingering bitterness, little floral and fruity flavors, hint of straw. Dry. 3 Kirin Lager- A Japanese Lager which is lighter than most but balanced and complex flavors, including green-fruit and cedar. Dry, nicely bitter4 Red Stripe Lager- A Jamaican lager, with a cool and refreshing taste.5 Sapporo Reserve-Brewed with only finest European barley, and the most select European hops. Brewed in accordance to the German Purity Laws.6 Sam Adams Boston Lager-Hoppy, floral aroma, malty, slightly sweet with a dry, complex finish.

Ales- A top fermented brew, which tends to be sweet, fruity and smooth. Compared to lagers, many are higher in alcohol and have a more pronounced taste and flowery aroma

1 Anchor Steam-Dark amber, with fruity, floral, roasted-grain, caramelized-malt, and vanilla flavors and a hint of apricot, but a bit unbalanced because of intense, lingering bitterness2 Bass Ale-Dark amber. Lighter flavor than most, with fruity, green-fruit, floral, roasted-grain, vanilla. Dry, nicely bitter.3 Belhaven Pub Ale- 4 Sam Adams Boston Ale-Dark amber. Dry-hop, floral, fruity flavors with hints of apricot, roasted-grain, caramelized-malt, vanilla. Nicely bitter. Full body5 Sierra Nevada Pale Ale-Medium amber. Lasting foam, fine bubbles. Dry-hop, floral, fruity flavors, with hints of citrus, apricot, vanilla. Dry, nicely bitter.

Stouts-a dark beer made using roasted malts or roast barley.

1 Guinness- a traditional stout that is smooth with coffee flavorings2 Sam Adams Cream Stout-Full-bodied, coffee-like, heavily roasted, sweet finish, creamy head.3 Young's Chocolate Stout-Chocolate malt and real dark chocolate are combined with Young's award winning rich, full flavored dark beer

Prepackaged Sandwiches and Pastries-A small selection of homemade prepackaged sandwiches and Pastries will also be offered for customers to purchase.

Sandwiches- All Sandwiches are made on whole wheat bread and have small containers of mayonnaise and mustard in the prepackaged box. They are all made the day they are sold and thrown away that night.

1 California Sandwich- made with avocado, bean sprouts, lettuce, tomatoes, cucumbers and onions. Some are made with turkey and some are vegetarian.2 Chicken Breast Sandwich- Grilled chicken marinated in a soy mirin glaze, with lettuce tomato and onions3 Ham and Swiss Sandwich- Boars head ham and swiss cheese 4 Turkey Club- Turkey, bacon, lettuce, and tomato on three layers of whole wheat bread.5 Veggie Sandwich- Swiss cheese, lettuce, tomato, cucumbers, carrots and avocado.

Pastries

1 Croissants- flakey crusted pastry2 Chocolate Croissants-flakey crusted pastry laced with dark chocolate

3 Homemade cookies-depending on the day, chocolate chip, oatmeal, sugar cookies or peanut butter cookies4 Scones-a nice pastry for teas5 Tea Cake- a light cake, topped with sugar crumbles

Pottery/ Paintings- There will be pottery and paintings on display throughout the restaurant for sale, providing local artists the opportunity to sell their art.

Service Plans

The service industry is a very rigorous industry to get involved with; the main focus of Creative Corner Cafe will be the clientele's comfort. It is important that the guest relations maintain strong connections with the customers. Knowing the clientele and pleasing them so that they will continue to revisit Creative Corner Cafe in the future is the primary focus of service. The team that will be involved with the production of Creative Cafe must be one with high moral and has a strong interest in the mission statement of Creative Cafe.

Customer service and complaints will be handled by the management team. In addition there will be a section provided on the website for customer comments and suggestions. Each customer's opinions will be held with the utmost respect, especially if they are trying to better the company. Customers are welcome to taste each coffee or tea prior to the purchase of the product. In addition, providing service with a smile will help keep consumers and employee relations positive, and a positive atmosphere is the most conducive to keeping an active clientele.Creative Corner Café's customer information will be in the computer systems. Each profile shows, customer's name, address, phone number, e-mail address, and tea or coffee preference if they have one, therefore if new arrivals come in Creative Corner will be able to contact their regular clientele. E-mail will be sent out to our clients for special promotions, or announcing new products or services. To maintain high level of customer satisfaction we will be sending birthday greeting along with $10 gift certificate to Creative Corner.

Marketing Plan

Market Analysis

The Customer ProfileThe target market1. College Students2. Young people with talent

3. People looking to escape their busy lives4. Older people interested in teas and coffee

Geographical Area1. Jupiter2. Palm Beach Gardens3. Tequesta4. Stuart5. West Palm Beach

The Possible Risk Factors1. Economic Recession2. Lack of local talent3. Natural disasters (i.e. hurricanes)4. Internal problems

The CompetitionStarting a business is difficult regardless of the type of business. Specifically in the Café business, the main issues regarding competition are how strong they captivate the customers. For instance, in the last five years Starbucks has become a phenomenon, there are Starbucks on each corner. Therefore, the industry for specialty coffee and tea shops is prevalent. However, the trend veers towards chain restaurants that are found everywhere in the United States. Going global appears to be a fast and growing trend in most industries.CompetitorsStarbucks Coffee Strengths: Starbucks has become increasingly popular; it is a well known chain that people tend to respond to. They are part of the fortune 500's top ten companies to work for, because they give great benefits and treat their employees well. The employees are

Weakness: Starbucks does not offer a wide range of coffee's to choose from, they also do not offer free wireless services, specialty beers or live music. Starbuck's coffee often has an over roasted taste to it. They are also a chain and often chain's do not value their employees as much as smaller businesses.

Difference: Creative Corner Café offers a much more wide variety of coffee and tea for those people who truly enjoy it. In addition, Creative Corner Café offers some features that are not offered by Starbuck's such as late nights, free wireless, specialty beers and live music and art for sale.

Panera Bread and Atlanta Bread Co.

Strengths: These Company's are already established, they offer very good coffee and a much wider variety of food. They offer free wireless and a friendly atmosphere, which is conducive to studying

Weakness: They do not offer a wide array of tea and coffee, nor do they offer specialty beers. In addition, there is no live music found at either of these places.

Difference: Creative Corner Café does not offer the wide collection of pastries, soups, salads and sandwiches offered by both Panera Bread and Atlanta Bread Co., but Creative Corner Café does offer much more varieties of teas and coffee. In addition, both places offer free wireless and an encouraging studying atmosphere. However, Creative Corner Café offers live music, an outlet for talent and late nights, which are not found at Panera Bread or Atlanta Bread Co.

Local Bars and ClubsStrengths: The local bars and clubs attract a younger crowd with their loud music and alcohol. They offer people a place to gather, smokers a place to smoke and a rowdy atmosphere.

Weaknesses: The weakness and strengths are the same depending on which market is being targeted.

Difference: Local Bars and Clubs do not have a refined and relaxed atmosphere, nor do they sell specialty coffee or teas. In addition, most local bars and clubs do not offer free internet , an opportunity for people to sell art, or snacks( such as sandwiches and pastries).

Future competitorsThe future of Creative Corner Café depends mostly on the industry and what works best for the clientele of this specific area. Depending on how well the live entertainment does and if the teas and coffee purchases are high will help to determine the future competition of Creative Corner Cafe. If the live entertainment and specialty beers seem to launch well, the future competition might veer more towards local bars. However, if the coffee and tea aspect of the company gross a higher amount of sales the competition might bend more towards specialty shops. Therefore the future competition relies on the customers' needs and the state of the market.

Marketing Strategy

Total Products Teas- the teas will be sold by cup and by packages of 15

Black Teas…………………. One cup $1.50 and one package of 15 $8.00

Oolongs ……………………. One cup $2.00 and one package of 15 $10.00

Green Teas…………………. One cup $2.00 and one package of 15 $10.00

Herbal Teas………………… One cup $2.50 and one package of 15 $12.00

Tisanes………………………One cup $2.50 and one package of 15 $12.00Coffees- the coffee will be sold by cup, and by 16 oz packages of grounded and ungrounded

Roast and Blends…………… One cup $1.50 and one 16oz package grounded $8.00 and ungrounded $6.00

Regional Blends……………. One cup $1.65 and one 16 oz package grounded

$8.50 and ungrounded $6.50European Blends…………… One cup $1.65 and one 16 oz

package grounded$8.50 and ungrounded $6.50

Flavored Blends……………. One cup $1.75 and one 16 oz package grounded

$8.75 and ungrounded $6.75Beers- the beers will be sold only during performances after 6pm, they will be sold by the bottle

Lagers………………………. $2.00 a bottleAles………………………… $3.00 a bottleStouts………………………. $5.00 a bottle

Prepackaged Sandwiches and Pastries- The sandwiches and pastries will be sold individually in packages; they will be prepared the morning they are sold.

Sandwiches………………… $5.00 to $7.00Pastries…………………….. $1.50 to $2.50

Legal Rights

The name of Creative Corner Café will be protected by a copyright, which will be obtained from the U.S. copyright office. This will secure the name of Creative Corner Café. In addition, Creative Corner Café will purchase insurance for theft and other misfortunes that are liable to happen to this type of business. Purchasing insurance will help lower internal stress and allow things to move smoother for Creative Corner Café. It is also important that a small business lawyer helps with the legality that may occur during the completion and activity of Creative Corner Café.

The Promotional Plan

Creative Corner Café's key promotional tools will be advertising and networking. Creative Corner will start advertising its "Grand Opening" a few months prior to the big event. Creative Corner Café will use radio and billboard as a source of advertisement. In addition, flyers will be passed out around the local college campuses. The night of the "Grand Opening", Creative Corner Cafe will have a very influential local talent known as Boxelder perform. In addition, some other great talent will be able to give some live performances too. This will draw a strong crowd on the opening night of Creative Corner Café. The last form of advertising, which is probably the most influential, is word of mouth and networking. Luckily, the owner of Creative Corner Café was raised in the Jupiter area and knows many people to help get Creative Corner started in the right direction.

The Distribution Plan

Creative Corner Café will use the wholesaler channel as a distribution channel. This product will be bought from a distributor, who will have bought it from a wholesaler, who originally bought the product from the producer. This will be the most effective distribution channel for Creative Corner Café. Creative Corner Café will buy their products (specifically the coffee and teas) from retail stores online and from coffee and tea conventions. For instance, many of the products can be purchased at www.greenmountaincoffee.com and www.republicoftea.com , these are wholesale websites that will allow Creative Corner Café to buy a large amount of coffee and tea for discounted prices and resell the items.

The Price Plan

The pricing strategy Creative Corner Café will use is follow the leader pricing strategy which uses particular competitor as a model in setting prices. The founders of Creative Corner Café will follow the advice of their competition for pricing. Creative Corner Café needs to keep the prices low enough to compete but high enough to make a profit. The price of the products and services will be very similar to the competitors. The forms of payment that are accepted at Creative Corner Café will be cash and credit cards (Visa, MasterCard, Discover, and American Express).

Break-Even point

Our monthly break-even point is $24,029.00.

Management PlanThe management team- The team members recruited for hire at Creative Corner Café must all be positive individuals with a strong ability to work well with others and feel passionately about the mission of Creative Corner Café.

General Manager- 3 - 5 years in a management position, a minimum of four year degree in business, general knowledge of coffee, tea and beers sold at Creative Corner Café along with a passion for fun.

Assistant General Manager- 2-3 years in a management position, a general knowledge of coffee, tea and beers sold at Creative Corner Café, along with a passion for fun.

Tea and Coffee Manager- a keen leadership quality combined with a strong knowledge of tea and coffee, this member will most likely be hired within the company, because Creative Corner Café promoted individual growth.

Public Relations Manager- 2-3 years experience working with local talent. This position requires a great deal of networking with the people from the Palm Beaches.

Food and Beverage Manager- 2-3 years experience in the food and beverage industry, a well understanding of beers and the art of making sandwiches and pastries.

The Recruitment plans

Accountant- Hiring outside personal to handle financial documents will be part of the financial planning.

Cashiers- No education is required, just friendly personality and disposition and some experience handling money

Tea Experts- Experience in the tea industry and an acute knowledge of teas along with a willing attitude to learn and teach others.

Coffee Specialists- Experience in the coffee industry and an acute knowledge of coffee and the roasting process along with a willing attitude to learn and teach others

All employees will have a 6 month evaluation and there will be a raise depending on performance improvements.

The compensation and benefit plans

Health Insurance: All management and full-time employees are entitling to health plan which include vision and dental. This will be covered by a group insurance provided by blue cross and blue shield of America.

Pay VacationsManagement: 21 days of pay vacations after a six month probation period. After three years of employment, the days will be increased.

Full time employees: 10 days of pay vacations after a six month probation period. After five years of employment, it will increase to 21 days.

Sick Day: Up to 5 days, it will be paid by the company for management and full time employees after three months of employment. A doctor's note will be required to receive the paid sick day(s).

Style of the management

Creative Corner Café's focuses not only on the customers but the employees as well. Therefore, Creative Corner Café will use total quality management techniques as a role model of the management style within the company. Some of the important elements Creative Corner Café will be focusing on are the customers, the local culture, and participation of all the team members. The total quality management style will provide an umbrella under which everyone in the company can strive and create customer satisfaction. The employees' participation is a key element to this particular style. It is imperative that each employee feels they are an important part of the team, because happy employees create happy customers. In addition, Creative Corner Café follows an open door policy which means that the management office is always open for employees and they are all welcome to talk to our managers with respect and get respect in return. Creative Corner Café will have group meetings once a month to discuss issues and goals for the week. All of the employees at Creative Corner Café are an important part of the company, and its success. Therefore each individual's personal opinion is valued as if they were an investor because they are investing their time and energy into the success of Creative Corner Café.

Operating PlanLocation and facilities

The location of Creative Corner Café will help to dictate the success or demise of the company, so it is very important that the location be a place that is convenient for the target market. Therefore the best location for Creative Corner Café will be on Donald Ross Blvd, right off of I-95. This location is across the street from Florida Atlantic University and ten minutes from Palm Beach Atlantic College and Palm Beach Community College. The property that is being considered is located on Donald Ross Rd and Military Trail in the heart of Abacoa. This area is also an office space to Gentle Dental, Exit Realty and Amazon Café. Creative Corner Café will rent this facility to start the business, however depending on growth we may move to a larger facility or buy the property after a period of 3 to 4 years. The length of stay at this location depends entirely on the business and if the company fits in with the surrounding companies.

The site that is being considered for this project cost $2.58 per square feet and total of 2,087 square feet cost $5,391 per month for leasing. It will be a one year contract for our facility and we will continue to renew the contract until further decisions are made on buying the property.

This property is newly built and all the offices and retail spaces have not been used by any other company. This gives Creative Corner Café an advantage because people will want to investigate the new property

Main equipments that will need to be purchased for the opening of Creative Corner Café are the following:

5 end tables2 sofas2 recliners2 large chairs2 Cashiers Drawers4 large shelves for tea and coffee1 Larger Cooler1 large stage (along with speakers and microphone, and stereo

system)This will all need to be purchased in order to start the business but other amenities may be added as the company grows.

Purchasing and inventory management

Creative Corner Café will be purchasing various inventories each month, (coffee, teas and beers). However, the pastries and the sandwiches will be hand made and the supplies for those items will be purchased each week. Creative Corner Café will use the month prior for the first year to help gauge how much inventory is needed and for additional years, we will use the month of the year before. This will help Creative Corner Café to maintain a steady stock of the products which are sold at the store. In addition to this inventory strategy Creative Corner Café will also be using the Just In Time Inventory System. This system will minimize the inventory level to cut inventory caring cost. The Just In Time Inventory System works well to reduce in process inventory and its associated costs. New stock will be ordered when stock reaches the reorder level.

In addition, a perpetual inventory system will be used as our inventory record-keeping system. The perpetual inventory system uses a physical inventory calculation to test the accuracy of separate constant records of quantity increases and decreases in various items of merchandise in the inventory both on the sales floor and in the stock room. In a perpetual inventory system, a physical inventory count must be taken not less frequently than annually, but more often for high value items. These items will include the more expensive coffees and teas. . In addition, a weekly inventory will be taken to account for all beers and prepackaged products.

Financial Plan

Start Up Summary

RequirementsStart –up Expenses Legal $17,000Advertising $9,000Insurance $20,000Rent (First six months) $33,000Retail shop set up $15,000Facility Installation $45,000Total start-up expenses $139,000

Start-Up Assets NeededCash Balance $15,000Start-Up Inventory $4,500Other current Assets $1,500Total Current Assets $21,000

Total Requirements $157,000

With $16,000 money paid out of pocket by Ryan Reger it may be possible to finance the rest of the initial outlay with a small business loan from a bank.

Sales Forecast

Sales Jan 2007 Feb 2007 Mar 2007Coffee/Tea/Beer $8,600 $8,700 $9,000Food $2,400 $2,600 $2,700Pottery/Paintings $800 $800 $1,000Total Sales $11,800 $12,200 $12,700

Direct Cost of Sales Jan 2007 Feb 2007 Mar 2007Rent $5,000 $5,000 $5,000Inventory $3,000 $3,100 $3,300Labor $2,000 $2,100 $2,200Subtotal Direct Cost of Sales $10,000 $10,200 $10,500

Pro Forma Cash Flow Statement

Cash Received Jan 2007 Feb 2007 Mar 2007Cash from operation:Cash Sales $6,800 $7,800 $7,900

Expenditures Jan 2007 Feb 2007 Mar 2007Cash Spending $4,000 $4,100 $4,200Payment of Account Payable $700 $725 $770Subtotal Spent on Operations $4,700 $4,825

$4,970

Net Cash Flow$1,100 $2,975 $2,930