Upload
ashwinfnb
View
215
Download
2
Tags:
Embed Size (px)
DESCRIPTION
Indian Fusion Concept - seeks funding
Citation preview
NINA- A Concept in Hospitality
Brainwave Hospitality
NINA
Indo-Euro Fusion
NINA
Confidential Information3
NINA Concept
The Concept Indian - Euro Fusion
Design Concept
Trendy & Chic modern designs with a Indo / European twist
Food Concept
Multi-Mix of Indian & Asian flavors, with the stress on Flavor of Spice - Not Hotness .
Europe by look & Asian by taste
Beverage Concept
Wide Selection of Asian Bottle Beers & Few selection of Western Beers,
Mouth-watering Fresh Juices, Smoothies & Special Refreshments
Location
Best fit for Commercial Area, Center office Establishments
Smart Casual Fusion Indian European Cuisine Experience with a Contemporary Western Twist and Serviceable Design service
Confidential Information4
NINA Concept
The Concept Indian - Euro Fusion
Confidential Information5
NINA Concept
The Concept Indian- Euro Fusion
Space Required
3000 – 4000 square feet
Seating Capacity
40-60 pax indoor
20 pax outdoor (location dependent)
Price Range
Rs.150-500 for Food
Rs.50-2000 for Beverages
Confidential Information6
NINA Concept
First Look at Menu
Savouries
Garlic & Pepper Tiger Prawn Rolls
Chickpea & Pumpkin Curry Puffs
Lobster Coconut Crepes
Salads
Ginger Salmon Tartare, Pickled Vegetables & Avocado
Spiced Watermelon & Calamari w/ mint cucumber
Breads
Roti/Naan/Parathas/Kashmiti Kulcha
Vegetables
Zucchini & Onion Fritters /w ming & Tamarind chutnies
Spiced Pumpkin & Cauliflower, Yellow Lentils & Corriander
Confidential Information7
NINA Concept
First Look at Menu
Stir Fry, Noodles & Rice
Stir fried green beans /w Tandoori Chicken, Cashew Nuts & Roasted Coconut
Chilli Garlic Fresh Prawns /w Saffron Rice
Curried Vegetable rice/noodles
Curries
Eggplant & Cherry Tomato Masala, Steamed Lentil Cakes
Tomato Butter Chicken braised in spiced yogurt
Chicken Caldin- Green spices & coconut gravy
Desserts
Honey Roasted Pineapple, Coconut Mousee & Kiwi Jelly
Cream Rice pudding , fresh Mango & Passion fuit
Pistachio & Lychee ice cream with Saffron poached pears
“Nina is a Sharing Experience & Dares you to lose yourself in the sensuous world of Spice”
Confidential Information8
NINA Concept
Service Timing
Lunch: 11 am to 4.30 pm
Dinner: 7.30 – 12 midnight
Open throughout for hang out, snacks, beverages
Strategy
Confidential Information10
NINA Concept
Strategy
Nina is a new unique concept for the Canadian market; a fusion of Indo-European tastes with unplugged
form of Entertainment
The Team is looking to start with one Nina restaurant in Canada – Nova Scotia, Sydney or Halifax or
Toronto initially and run it for 6 months; go through the learning curve and test the concept in the market
Once successful in terms of market acceptance and financial returns, the Team will look at starting 2 more
restaurants in the first year
The Team is looking at a chain of 6 Nina restaurants across Canada in a time frame of 3 years (Sydney,
Halifax, Toronto, Edmonton, Calgary, Vancouver)
Nina will be a Lifestyle Venue providing a Dining & Entertainment Experience
Confidential Information11
NINA Concept
Target Market Characteristics
Well Traveled with exposure to International Taste
Age Group 25-50 with Higher Disposable Income
Tend to patronize Higher Quality Restaurants
Willing to spend extra for Entertainment & to enjoy High Quality meal
Value attributed to Health, Presentation and Entertainment
Expats, Families & Friends, Corporate Executives
Population looking at Quality Food, Good Service, & Entertainment
Confidential Information12
NINA Concept
Market Needs
Quality Food with International Taste
Unplugged form of Entertainment to provide a Dining Experience
Casual Customer service-prompt, building relationship with clientele, High Level of Attention
Competitive Pricing in the higher end standalone restaurant category
Lifestyle Venue
Nina will meet the market need for Lifestyle Venues
Confidential Information13
NINA Concept
Market Trends
Canadians are open to new concepts in Indian Cuisine
Well traveled customer is open to different dining experiences
Health consciousness has increased
Emphasis on Presentation, Quality Food & Service, Varied Selection in Menu and Entertainment
Expats are looking at a combination of Indian food with International Taste
Recent years have seen rapid growth of standalone restaurants
The Team believes the changing trends in Indian Population will be able to accept the Nina concept
Confidential Information14
NINA Concept
Competition
Nina concept will be positioned as a higher-end standalone restaurant providing “An Experience in Dining
with Entertainment ” with focus on Indo-Euro fusion
As such, there will be no direct competition with similar concepts
Indirect competition will be other restaurants in the area including Pubs , Resto Bars, Restaurants in 4
Hotels (though they would be slight costlier) and other High-End restaurants
Other forms of Entertainment in major metros including Movies and Plays
Nin will differ from competition due to Unique concept, Dining & Entertainment experience, Food with International Taste factoring Presentation & Health
Confidential Information15
NINA Concept
Location
To make Nina Concept work, the team will look at following type of locations
Popular with Expats and Young Generation
Good Evening location
Area with Educated, Well Traveled & Higher Disposable Income population
Between Corporate and Residential Hub
Confidential Information16
NINA Concept
Location
Some of the locations shortlisted are :
Canada – Nova Scotia (Sydney, Halifax) , Ontario (Toronto), Alberta (Calgary, Edmonton) , British
Colombia (Vancouver)
Confidential Information17
NINA Concept
SWOT Analysis
Strengths – Experienced Management Team with a Passion to deliver, Unique concept , Strong
relationship with Vendors
Weakness – Lack of brand equity, Concept not yet tried & tested
Opportunities- Growing market expecting Lifestyle Venues and Entertainment with Value for Money,
Creation of a national chain of restaurants
Threats – Competition from other restaurants, Pickup in Economy not as faster as expected reducing
disposable income, Concept not accepted
Human Resources Strategy
Confidential Information19
NINA Concept
Human Resources Strategy
Staff profile will be in the age group of 18-26;with some senior position in group of 26-32.
Service Staff will be Funky and Cool; spiked hair, goatees (beard), earings and gentle tatoos.
Chef and cooks will be more of Hotel grads; whereas senior positions will be industry experts
Training , a continuous process, will be inhouse and external, if required.
Recruitment drive will be through networking, recommendations, hotel schools
The Staff will be Young & Trendy with a Cool & Smart Approach
Marketing Strategy
Confidential Information21
NINA Concept
Marketing Strategy
The Marketing Strategy will seek to first create customer awareness regarding services offered, develop
customer base, and work toward building customer loyalty and referrals
Maintain positive and steady growth in revenue and customers
Realize a growth story of 2 restaurants per year
Keep costs in control to maximize financial returns
The Marketing Strategy will work to create Nina as a Brand in Lifestyle Venue
Confidential Information22
NINA Concept
Marketing Mix- Product
Focus on Indo-Euro fusion, will undergo changes as per the market feedback
Continuous Innovation
Special attention to be paid to Quality, Health factor, Presentation along with Smart Casual Customer
Service
Providing a Dining Experience & International Taste
Confidential Information23
NINA Concept
Marketing Mix- Pricing
The restaurant will compete in the higher-end standalone restaurant segment
The look at APC of CAD $ 50-75 (upwards of 100)
The food items will be priced at par or slightly below market rates
The beverages will be priced at par or slightly below market rates
The cost of F&B will be kept between 25%-30% of Revenue
A premium can be expected for the Dining & Entertainment Experience
Confidential Information24
NINA Concept
Marketing Mix- Place/Location
Location will be selected based on Target Market and Financial Feasibility on rent only basis
Location with
a. Expat population
b. Internationally traveled Canadians with higher disposable income
c. Population looking at Lifestyle Venues
Each location could be vary
a. High-end mall
b. Party area
c. Area between corporate & residential hub
d. Beach front
e. Shopping area
Confidential Information25
NINA Concept
Marketing Mix-Promotion
Promotional Campaigns through Outdoor Media, FM Radio, Print Media (F&B publication, Lifestyle
magazines) and Internet
Discount Vouchers
Entertainer Vouchers
“Biggest Party in Town” campaigns
Entertainment shows in tie-ups with entertainment companies in India and from outside
Confidential Information26
NINA Concept
Positioning of Nina
Nina will be positioned as an Unique Lifestyle Venue
Higher End Restaurant with high-quality food and service
Venue for A Dining Experience
Emphasis will be on Product, Service and Entertainment
Development & Expansion Plans
Confidential Information28
NINA Concept
Development & Expansion Plans
The Management Team is looking at the metros in Canada for expansion
Expansion plans will also include Tier II cities with growth potential
Cities with growing GDP & business potential will be targeted first
The Team is looking at chain of restaurants across Canada in 3 years time frame
Exit Strategy
Confidential Information30
NINA Concept
Exit Strategy
Share buyback by the Team after 3-5 years
PE funding to initiate the growth of chain of restaurants
Sell Out to Strategic Buyer
Financials
Confidential Information32
NINA Concept
Financial Assumptions for a chain of 5 NINA Restaurants in India
5 restaurants in 3 years across India
The restaurants will be opened as follows
Restaurant 1- Month 1
Restaurant 2- Month 9
Restaurant 3- Month 16
Restaurant 4- Month 23
Restaurant 5- Month 29
Restaurant 6– Month 33
The total capital required for 6 restaurants in 3 years will be Rs.6.45 crores ($1.44million) across 3 years.
The capex for each restaurant will be in the range of Rs.1.6-2.0 crores ($0.35 – 0.45 million) depending on
location, license fees, city, etc. We have assumed Rs.1.6 crores initially for 2 restaurants and Rs.2 crores
each for 4 restaurants.
All locations will be on lease.
Rental deposit and License costs have been accounted for – Rs.1 crores ($ 0.23 million) per location
Confidential Information33
NINA Concept
Financial Assumptions for a chain of 5 NINA Restaurants in India
Financials
Equity: Debt ratio at 50:50
Debt paid over 3 years
Bank interest rate at 15%
Corporate Tax at 33.5%
The management team looks at management fees of 30%.
Operations
Average seating capacity of 70.
Average cheque will be CAD $25 - 35 for lunch and CAD$ 40- 60 (upwards of CAD$ 100) for dinner
including beverages .
Home Delivery is only 10% of Dining Revenue.
Average Food & Beverage costs are 28% and 25% respectively of Dining Revenue.
Confidential Information34
NINA Concept
Source Funds
Sources of Funds
Amount % of Total
Credit Facility 0.0 0%
Debt 32,250,000.0 50%
Equity 32,250,000.0 50%
64,500,000.0 100%
Confidential Information35
NINA Concept
P&L Statement (INR)
Year I Year 2 Year 3 Year 4 Year 5
Total Seating Capacity
Avg Covers per day
140 280 350 350 350
250 500 625 625 625
F&B Revenue
Home Delivery
Revenue
Growth
Gross Profit
% margin
EBITDA
% margin
Net income
% margin
29,006,250.0 71,790,468.8 125,633,320.3 143,907,257.8 151,102,620.7
2,900,625.0 7,179,046.9 12,563,332.0 14,390,725.8 37,775,655.2
31,906,875.0 78,969,515.6 138,196,652.3 158,297,983.6 188,878,275.9
147.5% 75.0% 14.5% 19.3%
24,086,343.8 59,613,700.8 104,323,976.4 119,498,372.9 148,138,684.7
75.5% 75.5% 75.5% 75.5% 78.4%
5,894,281.9 21,402,389.3 42,514,047.6 51,602,730.7 77,864,500.5
18.5% 27.1% 30.8% 32.6% 41.2%
1,368,255.5 10,815,740.7 23,666,651.5 30,460,715.7 49,082,535.9
4.3% 13.7% 17.1% 19.2% 26.0%
Confidential Information36
NINA Concept
Debt Payment Ability
Year I Year 2 Year 3 Year 4 Year 5
Total Debt
Interest expense
Debt / EBITDA
EBITDA/ Interest
13,298,611.1 17,479,166.7 11,729,166.7 3,930,555.6 500,000.0
1,480,816.0 2,304,166.7 2,264,062.5 1,042,621.5 263,020.8
2.3x 0.8x 0.3x 0.1x 0.0x
4.0x 9.3x 18.8x 49.5x 296.0x
Equity 16,250,000.0 27,750,000.0 32,250,000.0 32,250,000.0 32,250,000.0
Confidential Information37
NINA Concept
Exit Return with Enterprise Value @2x of revenue
Year I Year 2 Year 3 Year 4 Year 5
63,813,750.0 157,939,031.3 276,393,304.7 316,595,967.2 377,756,551.8
3,651,644.32 3,789,335.24 15,414,864.11 41,424,654.10 90,089,172.95
(1,574,777.71) (3,046,804.72) (3,850,585.43) (3,944,019.60) (3,782,705.06)
0.00 0.00 0.00 0.00 0.00
13,298,611.11 17,479,166.67 11,729,166.67 3,930,555.56 500,000.00
10,000,000.00 20,000,000.00 25,000,000.00 25,000,000.00 25,000,000.00
10,000,000.00 20,000,000.00 25,000,000.00 25,000,000.00 25,000,000.00
72,592,005.5 181,202,395.1 326,228,416.7 400,146,046.1 513,563,019.7
Total Enterprise Value
Plus Cash
Plus Working Capital
Less Credit Facility
Less Senior Debt
Plus Rental security
Plus License
Net Equity Value
58% 98% 92% 72% 62%
1.6x 3.9x 7.1x 8.7x 11.1x
IRR
Payback multiple
Financials in USD
Confidential Information39
NINA Concept
Source Funds ($ millions)
Sources of Funds
Amount % of Total
Credit Facility 0.00 0%
Debt 0.72 50%
Equity 0.72 50%
1.43 100%
Confidential Information40
NINA Concept
P&L Statement ($ millions)
Year I Year 2 Year 3 Year 4 Year 5
Total Seating Capacity
Avg Covers per day
140 280 350 350 350
250 500 625 625 625
F&B Revenue
Home Delivery
Revenue
Growth
Gross Profit
% margin
EBITDA
% margin
Net income
% margin
0.64 1.60 2.79 3.20 3.36
0.06 0.16 0.28 0.32 0.84
0.7 1.8 3.1 3.5 4.2
147.5% 75.0% 14.5% 19.3%
0.54 1.32 2.32 2.66 3.29
75.5% 75.5% 75.5% 75.5% 78.4%
0.13 0.48 0.94 1.15 1.73
18.5% 27.1% 30.8% 32.6% 41.2%
0.03 0.24 0.53 0.68 1.09
4.3% 13.7% 17.1% 19.2% 26.0%
Confidential Information41
NINA Concept
Debt Payment Ability ($ millions)
Year I Year 2 Year 3 Year 4 Year 5
Total Debt
Interest expense
Debt / EBITDA
EBITDA/ Interest
Equity
0.30 0.39 0.26 0.09 0.01
0.03 0.05 0.05 0.02 0.01
2.3x 0.8x 0.3x 0.1x 0.0x
4.0x 9.3x 18.8x 49.5x 296.0x
0.36 0.62 0.72 0.72 0.72
Confidential Information42
NINA Concept
Exit Return with Enterprise Value @2x of revenue ($ millions)
Year I Year 2 Year 3 Year 4 Year 5
Total Enterprise Value
Plus Cash
Plus Working Capital
Less Credit Facility
Less Senior Debt
Plus Rental security
Plus License
Net Equity Value
58% 98% 92% 72% 62%
1.6x 3.9x 7.1x 8.7x 11.1x
IRR
Payback multiple
1.4 3.5 6.1 7.0 8.4
0.08 0.08 0.34 0.92 2.00
(0.03) (0.07) (0.09) (0.09) (0.08)
0.00 0.00 0.00 0.00 0.00
0.30 0.39 0.26 0.09 0.01
0.22 0.44 0.56 0.56 0.56
0.22 0.44 0.56 0.56 0.56
1.61 4.03 7.25 8.89 11.41
Confidential Information
Thank You
43
Ashwin D’Cunha
Email: [email protected]
Mobile: + 91 9619279635