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Italian Restaurant Business Plan

The Pasta House Co.

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Executive Summary

This business plan for The Pasta House Co. – Fenton (PHC) reflects the opportunity to purchase the assets and leasehold improvements of the restaurant currently operating as JD Drews. The current owner is interested in selling the operations, as the store is not doing the volume he thought it would and he would like to get out of this location and the debt service he has incurred. My goal is to submit this business plan to his bank in the event he is unable to make loan or rent payments and defaults on the loan. We will be a position to take over the SBA loan, and with additional funds added, convert this location to a profitable Pasta House Co. franchise restaurant.

The location is only 1/4 of a mile away from Gravois Bluff's, the largest land moving project to put in a major shopping complex in the state of Missouri. The rent is half the retail shops in Gravois Bluff's, yet the location offers the same opportunity for sales. The recently completed highway 141 offers hundreds of thousands of local residents, shoppers from outside the area, and travelers that use this new highway. With this high concentration of customers there are no Italian restaurants in Fenton and a tremendous need for an upscale family restaurant that offers items for both the children and adults.

This turnkey operation seats 170 customers and is the perfect size for a PHC family operation. With the current leasehold improvements and quality kitchen equipment it would take very little to upgrade this operation to the legendary PHC winning formula. The growth in numbers of high income families in the Fenton area is projected at over 30%. There is a need for a family fine dining restaurant in the Fenton area. PHC would be the perfect neighborhood restaurant in the perfect neighborhood.

The Pasta House Co. in Fenton will be the second location for Dennis Boldt, who has operated a successful franchise unit in High Ridge, Missouri for 20 years. The Pasta House Co. based out of St. Louis, and now has over 34 successful company and franchise locations in the United States and Mexico.

PHC Fenton will have a prime location, great food, a proven concept, super franchise support, no competition, a senior management and crew, a fantastic neighborhood marketing program, a huge catering base to build on, personalized service in a warm Italian imported grocery store atmosphere, and the support of the community resulting in a highly profitable PHC restaurant in Fenton.

1.1 Mission

The Pasta House Co. mission is to be a full service, family Italian restaurant offering affordable, high quality Italian cuisine inspired by authentic family recipes. Our goal is to provide our customers with an entire dining experience that exceed's their expectations on every visit. We do this by recommending add-on items that will enhance their dining experience. Our restaurant is clean and the quality is always high.

We value the people who work for us. Quality employees make quality food, keep the restaurant cleaner, give better service, and stay employed longer because they like working at The Pasta House Co. We have found that friendly managers hire friendly crew people and friendly crew people attract customers.

1.2 Objectives

The objective is to purchase the current assets and leasehold improvements of the JD Drews restaurant and convert the existing restaurant to a profitable and successful Pasta House Co. franchise unit. I plan to duplicate the successful formula used at The Pasta House Co., High Ridge location, that I have owned and operated for over 20 years. Using the same strategies and having an in-depth management crew to back me up will ensure outstanding results at this new fast-growing location. My objectives are as follows:

  • Provide the highest quality Pasta House Co. food and service that the community has been receiving for over 20 years at the High Ridge location. 
  • Create an atmosphere where each person can work as a team member, with clear goals and high standards that profit everyone.
  • Combine the corporate marketing strategies with my own to build volume quickly.
  • First year sales to hit between £1.5 and £2 million with 10% growth in first few years.
  • High Gross margins.
  • Maintain food and labor costs consistent with High Ridge.
  • Maintain and expand my outstanding reputation.
  • Remain a neighborhood family restaurant.
  • Be the first fine dining Italian Restaurant in Fenton (the fastest growing community in Missouri).

1.3 Keys to Success

  • The Pasta House Co. name and reputation is well known in the St. Louis area. The food served is voted a St. Louis favorite every year.
  • The products we serve are of the highest quality. We combine this quality with great service and atmosphere. We then add menu items that appeal to all ages of the family as well as single adults.
  • Current management staff and crew has a great deal of experience. 
  • Location, Location, Location! Some people have named the intersection of Hwy 30 and 141 "The Golden Circle". Fenton is the fastest growing community in the entire state of Missouri!
  • This shopping center location is three years old. Every spot in the center is filled and the main anchor is a Dierbergs grocery store, the highest quality grocery chain in the area.
  • This location offers private rooms on a reservation basis. I have developed the bulk food and catering large parties concept at my other location and plan to promote it with the party rooms.
  • A frequent diner program and birthday club will be available to promote repeat customers as well as a tool to track sales.
  • Management that treats every employee equally. We create an atmosphere where employee's love coming to work and can earn good money.
  • Great employees make for a great restaurant.
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