Business Prospectus Summary

Document Type:Essay

Subject Area:Business

Document 1

Before making an investment decision, our prospectus investor should read the goals and mission as well as objectives (Rareview, 2018). This prospectus shall provide more information about the machine to be invested in. Other issues covered in this prospectus are services, competition, market analysis, marketing strategy, development plans, risks involved in this course of investment. Finally, the prospectus will go ahead to evaluate and forecast financial returns that are likely to arise from this investment. This will be important aspects to consider prior to making investment decision. We think that this system of service is effective in maximizing profits. It does not require servers it can be automatically be operated by the client. This makes the project viable to invest in because the returns will be high as the there are no salaries to be paid out to the workers.

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Our low cost of tea is likely to attract more customers across these learning institutions. Finally, it accepts three common modes of payment. Company and Industry “Freshly Brewed” Coffee Vending machine is in the service industry of providing drinks to the customers. It has to comply with some regulatory agents that monitor its operations. Tax agencies and Health sectors are some of them. The service industry aims to provide the most quality services to the clients so as to build consumer loyalty. With respect to this, it requires $50,000 as starting capital to run this business. The elimination of workers to serve students who buy coffee here has led to reduction of prices hence affordable. The services are paid for through cash or through the other electronic forms like the smart payments and cards.

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Market and competition “Freshly Brewed” Coffee Vending machine operates in a very competitive market that has attracted so many players. There are factors that favor operations of food industry. They include convenience of the location of the sell point, changing preference, pricing of the foodstuffs, quality of the foods (Infiniti Results, 2018). These students will probably take their meals and drinks at this hotel since their services are prepaid. Apart from this, there are over 10 small businesses that serve students in Philadelphia and the neighborhoods. They include Philly Tacos, Centrella Dell, University of Pen food court and Checkers drive in restaurant among others (Yelp, 2018). Their services are also likely to find competition from other coffee producers like the Rubi coffee sellers that specializes in only coffee.

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Marketing strategy The “Freshly Brewed” Coffee Vending machine has got marketing strategies which ensures that it sells to many students. It has been found out that it takes less than 30 seconds to serve students. This service is done throughout since the machine is available at all times. Others are promotional strategy and suite of service (Chron, 2017). Design and development plans A business survives in the market if it has a good plan and it is well designed (Morris, 2013). This means that success of any business is dependent on the business plan and design. This shows a continuous increase in the returns hence a viable business idea. The net income is negative in the first year of investment. However, in the subsequent years, this income doubles up to the 5th year hence it convinces any investor to invest in it.

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Overall schedule The plan for “Freshly Brewed” Coffee Vending machine should be evaluated within 12 weeks. The first week is making orders of these machines from Japan. They include operational costs like maintenance of the machine, administrative expenses. If they realize lower revenues it means that sells were down. These are factors that are beyond our control since they arise from the operation of the business. Another risk is possibility of failure of the machine. The business people involved in this project are not experts in the repair of the machines. The machines are therefore sometimes faced with stiff competition from this university system. in any market, competition based on the prices are dangerous because they disadvantage the new entrants and those with little capital.

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The Company is also faced with problem of limited ability of protecting the Intellectual property. This includes patents. Therefore, its procedure for manufacturing tea can be copied by its competitors. It also requires little supervision because most of the tasks are automated. This means that only a few employees required hence reduced operational costs. The net income is progressively increasing from a negative value to value that is above 62000 after a period of five years. If an initial capital of $50000 is raised, the project can be implemented within 12 weeks. References Chron. com/thoughts/trends-challenges-fast-food-industry Lee, W.  O. The Effect of the Gap between College Students’ Perception of the Importance of Coffee Shops and Their Satisfaction after Patronizing Coffee Shops on Their Purchasing Behavior.

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