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The Velvet Room

The Velvet Room. By: Jonathan Inamura. Location. Located at 53 & 54 State Street (Currently occupied by Kismet & Julio’s). Theme & Location. Casual American bistro Upscale j azz club Cocktails & wine & beer Live music / j azz background music

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The Velvet Room

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  1. The Velvet Room By: Jonathan Inamura

  2. Location Located at 53 & 54 State Street (Currently occupied by Kismet & Julio’s)

  3. Theme & Location • Casual American bistro • Upscale jazz club • Cocktails & wine & beer • Live music / jazz background music • Blue velvet drapes along the interior walls

  4. Marketing • Target Age Group: • 21+ (30-40) • Target Audience: • People with a mature sense of music • Musicians • Artists

  5. Marketing • Analysis: • Parking next to the restaurant • More Parking behind Capitol Hotel • Handicap accessible • Ambiance differs from restaurants nearby

  6. Menu • Appetizers: • Calamari - 12 • Spinach Artichoke Dip - 9 • Chicken Wings - 8 • Entrees: • Pesto Crème Penne - 11 • Grilled Salmon - 26 • Caesar Salad - 11 • Chinese Chicken Salad 12 • Baby Back Ribs - 28

  7. Menu • Desserts: • Mango Mousse - 8 • Tiramisu - 9 • Chocolate Fudge Cake - 8 • Beverages: • Ice Tea - 3 • Coffee - 3 • Soda - 3 • Lemonade - 3 • Italian Soda – 3.75

  8. Menu

  9. Menu Results

  10. Costing The Velvet Room • Overall Food Cost % : 27.6% • Overall Beverage Cost % : 20.1% Industry Standards • Food Cost: 25 – 35% • Beverage Cost (Full Service) 18 – 25%

  11. Labor Overview Salary: • Estimated Monthly Salary 10.4% ($12,917) Hourly Paid Wages/Shift: • Slow: $586.09 • Medium: $741.66 • Busy: $971.41 • Estimated Monthly Hour Payroll: 17.2% ($21,406.70) Industry Averages: • Labor: • Salary: 10% • Hourly: 18% - 20% • Taxes: 5 - 6%

  12. Income Statement • Revenue: 124,571 • Total COGS: 25.4% • Gross Profit: 74.6% • Labor: 33.2% • Controllables: 14.5% • Occupancy: 14.6% • Net Income: 12.3%

  13. Summary • Understanding how to manipulate costs • What factors to consider before starting a restaurant • Understanding the different factors that go into having a profitable restaurant

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