Date : 12th April, 2016
Table of Contents

Introduction ……. ……. ……. …….. …….. ……. ……. ……. ……. ……. …….. ……. ……. ..03
Executive Summary ……. …….. …….. …….. ……. …….. …….. …….. …….. …….. …… ..04
Company Background ……. ……. ……. ……. …….. …….. …….. …….. ……. ……. ……. .07
Target Market ……. …… ……. ……. ……. ……. ……. ……. ……. …….. ……. …….. …….. 09 Short Term Market …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. 09 Long Term Market …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. 10
Management Team …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. …… …11
Target Market Analysis …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. …..11
Industry Analysis …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. …… ………12
Competition …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. …….. …….. ……13
SWOT Analysis …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. …… ……. …. 15
Marketing Plan …….. …….…….. ……. …….. ……. …….. …….. …….. …….. ……. …….. …17
Product ……. …….. …….. …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. …. 18
Promotion ……. ……. ……. ……..…….. ……. …….. ……. …….. …….. …….. …….. ……. …. 21
Financial Analysis …….. ……. …….. ……. …….. …….. …….. …….. ……. …….. ……. ……. .24

Introduction

A food truck is a large vehicle equipped to cook and sell food. Some, including ice cream trucks, sell frozen or prepackaged food; others have on-board kitchens and prepare food from scratch. Sandwiches, hamburgers, french fries, and other regional fast food fare is common. In recent years, associated with the pop-up restaurant phenomenon, food trucks offering gourmet cuisine and a variety of specialties and ethnic menus, have become particularly popular. Food trucks, along with portable food kiosks and food carts, are on the front line of the street food industry that serves an estimated 2.5 billion people every day.

Executive Summary

Overview:
The purpose of this business plan is to raise money for the development of a gourmet food truck while fore casting the food truck’s expected financial progress and operations over its first ten years. Hot &Spicy (“the Company”), is a City-based partnership business that will provide mobile sales of savory meal and dessert items to customers in its target market.
Mission Statement:
Hot & Spicy offers the Dhaka city area unique food made with the fine stand healthiest ingredients for any diet, complemented by legendary service on a mobile platform.

Products and Services:
The primary revenue generation for this business will come from the sale and distribution of hot and spicy food served from the “Hot & Spicy” food truck that will operate throughout the city areas. The business will specialize in serving fast food & local familiar items.

Business Name and Ownership Structure:
Hot & Spicy has been registered as the legal operating name for the business launched by three individuals: A,B and me. The three individuals have agreed upon general partnership ownership with equal share.

Financing:
We are seeking to raise Tk. 6000000 from a bank loan. The interest rate and loan agreement are to be further discussed during negotiation. This business plan assumes that the business will receive a 10-year loan with a 5 percent fixed interest rate compounded annually. The financing will be used for the following: -Development of the Hot & Spicy food truck; -Financing for the first year of operation; -Capital to pay employees for the first year of labor, -We will contribute a combined amount of Tk.9600000tothe venture.

Sales Forecast:

We expect a 15%growthrate per year of operations. Here are the expected financials over the next ten years. Hot & Spicy is expected to have revenue of Tk. 43256750 in Year 10.

Revenue from catering(Tk.) | 976000 | 1122000 | 1290640 | 1484240 | 1706880 | 1962900 | 2257400 | 2596000 | 2985400 | 3433120 | Revenue from daily operations(Tk.) | 1071000 | 2142000 | 3213000 | 4284000 | 5355000 | 5801200 | 6247500 | 7140000 | 8032000 | 8925000 |

Marketing Plan

Hot & Spicy will be marketed through a variety of different channels including word of mouth to enhance reputation and the use of relationship selling in the early stages of our business. We will continually use social media including Facebook and Twitter, and earned media coverage to create a buzz around our company and gain loyal followers. Hot & Spicy will utilize a direct marketing channel and sell products straight to consumers using no intermediaries and we will implement a competitive pricing scheme to emerge as a fierce competitor in the industry.

Target Market and Customer Analysis:

Hot & Spicy provides delicious healthy food choices to all Dhaka inhabitants, tourists and students. Our two agreements provide two locations that allow for many cultures and ages to enjoy Hot & Spicy. The average age group for our target market is roughly around 17–55 years old. Our business caters to those who are seeking healthy alternatives and quality food.

Expansion Plan: As time progresses, Hot & Spicy will expand its presence throughout The Dhaka city and will attend food truck gatherings, music concerts, tradeshows, sporting events, and other venues that feature a large number of people. At typical industry slow time (the rainy season), Hot & Spicy will focus on providing catering service to businesses and personal events. Additionally, over time, the business will generate a strong repeat customer base from the continual servicing at contract locations at the University of Dhaka and at Jamuna Future Park. It should be noted that after 10 years of operation, A, B and me intend to acquire second truck that will operate within other cities of Bangladesh. This will expand the revenues of the business.

Company Background: Hot & Spicy

Mission:
Hot & Spicy offers savory meal and dessert items made with the finest and healthiest ingredients for any diet, complemented by legendary service.

Vision:
Hot & Spicy will focus on providing fresh and delicious savory foods by: * Offering customers healthy food choices; * Offering customers solutions to their dietary restrictions (vegetarians, vegans, and gluten- intolerant); * Catering to busy on-the-go life styles; * Providing legendary customer service; * Making eating a meal a superior experience.
Within the next five years, Hot & Spicy hopes to grow into a successful and dominant competitor in Bangladesh food truck industry, increasing profit to Tk. 22424000.00 by Year 5.

Values:
Hot & Spicy value fresh, healthy, and appetizing food choices. We understand the difficulty of finding tasty food with dietary restrictions and we would like to give everyone the chance to experience the taste of Hot & Spicy. We understand that each person is different, and our menu caters to today’s vast and differentiating market.
Our values serve as a guiding path to ensure that our business remains socially responsible in any and all decisions. Our values set us apart from our growing competition. They outline what we stand for and what we strive to accomplish. * We strive for excellence in our service and products; * We work together as a team, to create a working environment warm and welcoming for our customers; * We continuously work to deliver unique, delicious and fresh items; * We maintain a clean and proper workplace because presentation and cleanliness are a top priority in our business; * Every customer counts and we work to ensure that every experience is great; * We want our customers to feel satisfied with our products each and every time; * We observe and learn from our customers to sustain a solid understanding of what they want and need from our business; * We learn from the outcomes of our decisions, making changes where necessary to be the best; * We provide organic, healthy and alternative dietary options because we believe everyone should taste the Hot & Spicy items; * We really love food.

Green Sustainability: Given that Hot & Spicy provides service through a food truck, it will emit greenhouse gas emissions along the way. However, there are many environmental, economic, social and nutritional benefits to a mobile food truck. Our carbon footprints are actually relatively small in comparison to our brick and mortar counterparts who use a lot of electricity, water and cleaning services. Food trucks are thus more sustainable. Food trucks are forced by their size and limited resources to conserve water.
To continue our sustainable efforts Hot & Spicy will: * Use local farmed ingredients; * Use organic ingredients; * Use fair trade products; * Use biodiesel fuel; * Use a trucks with zero-emissions systems; * Use propane and rechargeable batteries; * Use packaging and utensils that are either recyclable or compostable; * Give organic and compostable items to farms or composting facilities; * Not have an idling engine.

Goals: * To become a household name; * To become a dominating food service provider within 5 years; * To become one of the best food trucks in Bangladesh; * To become a major Bangladesh tourist attraction.
Objectives:
* To reach a positive revenue by Year 4; * To expand the menu after Year 2; * To attend many local festivals, sporting and music events; * To hire a third full-time employee in Year 3 and a fourth full-time employee in Year 6; * To hire a fourth part-time employee in Year 7; * To pay back any loans completely by Year 8; * To acquire more trucks after Year 10; * To reach a profit of Tk. 4 crore by Year 10
Target Market
Hot & Spicy’ target market consists of local city residents, College and University students . There are almost 1.5 crore people living in this city and to meet their short time hunger they often look for low quality street food which is not only unhygienic but also create many kind of diseases. College and Universities are mainly located inShahbagh,Banani, Gulsan, Dhanmondi, Farmgate, Motijheel and Uttara. So our main target will be these places.The residents of Dhaka city have chosen to live in this area because of the accessibility to get from place to place, the entertainment, the endless number of stores to shop at, and because it is a vibrant environment. Hot & Spicy knows its products and services can appeal to these attributes of this area and fit smoothly into the on-the-go lifestyle of the residents.
Due to Dhaka city’s multicultural society, Hot & Spicy does not want to limit itself catering to one specific cultural group. With its unique menu of creative but delicious items, Hot & Spicy will attract consumers from different cultures. It is important to cater to a number of different cultures to increase the business’ profit and success in the food truck industry.

How it works:
The regular business day begins at seven in the morning. All prep work is done at the residence of A the night before, where equipment and ingredients are stored. The business’ employees prepare and pack all the ingredients that will be needed to prepare the sweet and savory items. The first shift is the breakfast shift from 7 to 10 a.m. catching people on their way to work or to school. During regular hours there are two employees on the truck (one takes orders and the other prepares the food items). During rush hours there is an added cook. The two majority owners are always on the truck as full-time positions, with the third minority owner working part-time (during rush hours and to change one of the full-timers when need be). The third worker is also on-call for rush hours.
The second shift is typically from 11 a.m. to 2 p.m., and the dinner shift is from 5 p.m. to 8 p.m. The time in-between and after can be used for catering engagements or to replenish/prepare more food.

Short-Term Goals
Though this is almost a new business in Bangladesh and very few people are doing this business ,in the first year of production, Hot & Spicy hopes to become part or make a Food Truck Association. The association is not only about traffic, it is more for supporting the rights of food truck businesses. The association’s online website keeps updating about the latest news of City’s current food trucks. It promotes the business of food trucks to ensure that interested consumers are kept in the loop about where the next upcoming location will be for its featured food trucks. This association offers interested food truck consumers the opportunity to download an app that specifically focuses on tracking and posting schedules of food truck activity. With an established relationship with this association, Hot & Spicy will have another platform to create awareness, build its brand name and attract more potential customers.
Hot & Spicy will take an initiative through the association to organize a food truck fair for attracting and creating more market for food truck business. Our business plans on creating at the Street Food Block Party(In many other countries it gathered thousand people every year. In addition, through the association Hot & Spicy will make a Food Truck Rally which will take place in the cities crowded areas and other cities in Bangladesh. Showcasing our food truck at these festivals, Hot & Spicy will establish its brand among a large number of potential consumers. The promotion through these festivals will allow Hot & Spicy to establish its brand which will help its business in developing a loyal customer base.
In addition, the business hopes to have a loyal and returning customer base, to ensure that in a single business day, the food truck will serve an average of 500 customers. Hot & Spicy hopes to book a minimum of 24 catering events in the first year. These private events are a main source of income for the business, especially as a new food truck breaking into the industry. Thus, these private events will allow Hot & Spicy to build business relationships and network to gain more future clients.
Hot & Spicy will work vigorously throughout its first year to ensure it overcomes the numerous obstacles of a starting business. It hopes to produce profit in its first year to help continue the business into its second year and onwards.
Long Term Goals
Hot & Spicy will aspire to maintain its customer base from its first year and work to expand it to outside of Dhaka. The networking at the private events in the first year will be a great asset to increasing its clientele for future bookings. It hopes to have a minimum of 48 catering engagements in Year 2. Previously mentioned, the business’ main income will come from private events, thus with an increase of a minimum of bookings, Hot & Spicy will have the opportunity to do more with its business.
In its third year, Hot & Spicy would like to offer its customers an increased menu which will build upon its crepes that cater to different dietary needs. Hot & Spicy will see what items worked well, and what customers suggested. A larger variety of choices will be added, continuously appealing to a larger consumer base and keeping focused on our specialty items that everyone can enjoy.
One of Hot & Spicy’s important long term goals to achieve are better working conditions. There will be an increase of the number of staff in Year 3, Year 6 and Year 7. This is to cut down the 17 hour working business day for owners to a maximum of 9 (three 3 hour shifts). This way staff can rotate shifts and hours will be more flexible. Furthermore, this will ensure that staff are at their best while on the job. This will drastically improve the business’ efficiency and productivity.
Hot & Spicy hopes to no longer do prep work in As’ basement catering area, but will have a rented space that will be used for doing all preparations, while storing all ingredients and equipment. The use of this space will give Hot & Spicy more room to work in and easier accessibility to ingredients if need be. After Year 10, Hot & Spicy will acquire a factory space (to also coincide with a second truck) to facilitate prep work and food storage.
Once establishing profitability yearly and maintaining a strong presence in the food truck industry, Hot & Spicy hopes to be able to open a second food truck after Year 10. With a second truck there are more opportunities for the business to make larger profits, expand its customer base and grow the entire business in all aspects.
Management Team
Ownership Structure:
As this business is operating as a partnership of three individuals, A,B and me, registering the business will be done in the name of Hot & Spicy. Financial risks and workload are shared evenly amongst all three partners equally. Thus property, profits, liability, and work are shared, as stipulated in the partnership agreement. The head office of the business will operate out of the home of A. The two business activities will be the sale of food items and beverages at designated location, in addition to mobile catering agreements by contract.

Target market Analysis
Dhaka City’s huge population allows it to remain very diverse while catering to diverse needs.
Many ethnic groups live within commercial and residential area. There are some areas more culturally prominent than others, but usually areas try to maintain a balance of a variety of different cultures. Dhaka is also a very popular and busy city bringing all different people to experience the city and all it provides. Many people in the city area live along the subway line or a short distance away from one. Our main target market includes service holders, locals and students that live within the area. Our target market will vary depending upon where we operate on that specific day, but those three groups encapsulate the people we intend to reach throughout the year.
The University of Dhaka along with other public and private universities have more than 1.0 lakh undergraduate students enrolled each year while the city of Dhaka at large has over 12.5 million residents. There are also on average 50 thousand college students enrolled each year.
Hot & Spicy offers healthy and quick alternatives for consumers. We supply food without waiting times like those in restaurants that you can enjoy as you explore the streets and shops of Dhaka or at home in our take away bags. Hot & Spicy caters to all cultures as our menu contains classic masala items as well as Thai, chinese and other unique dishes. Kids and adults can enjoy our food without guilt as we make healthy, fresh food daily. Our food truck is suitable for those with dietary food restrictions. Hot & Spicy caters to vegetarians, vegans and those sensitive to gluten.
Therefore, after establishing our brand in the food truck business we will expand our business in other cities. A recent survey on “Bangladesh Consumer Market” conducted by BCG shows that Bangladesh Consumer Class is swelling and developing. Although only some 7 percent of the country’s current population can be classified as middle income or affluent, MAC(Middle and affluent class) Bangladeshis will account for around 17 percent of the population by 2025. Consumer wealth is dispersing regionally: projections indicate that within the next decade, 63cities will have MAC populations of at least 100,000, compared with 36 now. This indicate that more cities and more people will be able to spend more money. And this report also shows that Bangladeshi people are also brand and quality conscious. They are willing to spend more money to get Brand and quality product. So, establishing our food truck as a brand we can easily catch that huge market waiting for us.
Industry Analysis
According to the North American Industry Classification system 2012, the Canadian food and mobile service industry are primarily engaged in preparing and serving meals and snacks for immediate consumption from motorized vehicles or non-motorized carts. Due to the increasing nature of this service, our food truck will fill a distinct need in the market and result in a successful and thriving business.
We made a survey on Food Truck business among young generations(3000 people, mostly university students) through social media (Facebook & Twitter) to analyse its popularity .And 90% replied that if the food truck gives same service that other country’s food truck owners are providing then there is a hugemarket in Bangladesh.
We also made another survey on which age group people eat outside basically street food. And this shows a huge open market is awaiting.

Currently, the food truck business has expanded an enormous amount. According to a study in America where, food trucks accounted for 37% of the$1.4 billion dollars accumulated from fast food vending nationwide. So we are definite that opportunities of the food truck business in here are numerous. People will definitely enjoy window shopping for mobile restaurants as it allows them to choose what seems clean and fresh. Observation of pricing and meal quality will be displayed and understood more clearly as well. The smells might also play a role in people choosing where they dine. When roaming around the streets looking for a good fast meal, the aroma of food trucks is one of the first smells in the air. With their strict sanitary routines and constant health and safety inspections, people will be gravitating more to the food truck experience.
According to Los Angeles-based industry-research firm IBIS World, the street-food business -- including mobile food trucks and non-mechanised carts -- is a $1 billion industry that has seen an 8.4 percent growth rate from 2007 to 2012. It's very entrepreneurial: 78 percent of operators have four or fewer employees. The true number of these businesses is difficult to count, since the mobile food industry is comprised of food trucks, food carts and kiosks, which have appeared in malls as well as at train and bus stations, airports, stadiums, conference centers, resorts, and other locations in recent years.
Food-industry observers claim that the food-truck business is increasing largely in response to the slow-growing economy. People are seeking inexpensive breakfasts and lunches. Also, employees today are often pressed for time, with more work and shorter lunch hours. These factors make the mobile-food concept more appealing than ever.
From an entrepreneurial standpoint, kiosks, carts, trailers, and food trucks have a lower overhead than restaurants and can be moved if one location does not generate enough business. Rather than having to determine where to open a restaurant and worry about the old real-estate adage "location, location, location," the owner can actually drive to a new location, location, location if business is poor.
For customers, we add the convenience of having food favorites right outside a particular location -- or inside with a kiosk -- and meet several needs by serving mobile food. First, we offer food that is cost friendly because we need not pay wait staff or bussers. We also offer the convenience of quick service. In many cases we provide food choices that can save those on a busy schedule from the need to sit down. Typically customers can eat street foods while en route to their next destination.

Competition
With food truck businesses on the rise, Hot & Spicy will be in the core of a competitive environment. Each food truck , restaurants and fast food shops offers their own unique spin on classic dishes or recreates their own.
Hot & Spicy will need to establish a distinct brand to compete with the already existing food trucks and food sellers shops in the city area. Hot & Spicy will fall into several areas of competition, firstly with other brick and mortar restaurants in the area as well as other existing and developing food trucks.

Hot & Spicy will find themselves in competition with various local restaurants in the local area. Despite the mobile aspect to this unique restaurant, food and drink restaurants are also high competition. Not all people enjoy eating food prepared in trucks and might prefer a sit down setting. Depending on preferences this is understandable, but the common misconception that Food trucks are not as sanitary as other food outlets will put a dent in sales. This common thought is against Hot & Spicy and is a source of competition as it puts restaurants on a pedestal.
The general income will come in the University area, but usually is quite high. In this specific area students will choose what is affordable and within the area. Sometimes time doesn’t allow large lunch/break periods. Most working adults will not have enough time to go to a sit down restaurant as well so they choose a food truck with in the area. There are many local street food shops that offer sweet treats similar to Hot & Spicy. These include: Coopers, KFC, CP, Pizza hut, Heerajheel, Ghorowa, Star cabab, Deshbondhu etc.
Another source of competition are the food services that are provided to the university students. Every university in Dhaka have their own canteen or dinning halls providing specialty foods and services to their students.
In addition to restaurants, Hot & Spicy will face competition with other food trucks who also provide unique options. Established food trucks in the downtown area include: Khadok.com, Gringo’s, Eat & drink etc.
To fight all of these competition types, Hot & Spicy will advertise a clean, healthy, affordable, and available service to all their customers. We will deliver the same great quality as restaurants as well as deliver quantity and passion. As all food trucks have their own flare, our business will offer the best items in the city!

Direct and Indirect Competitors
We believe that competition is natural and a positive thing for Hot & Spicy. Our competition will prevent us from becoming too confident, will motivate us to be more creative, force us to get out of our comfort zone (risk taking),and keep our prices reasonable. Our competition will drive us to work harder to retain our customers by constantly improving our food and customer service. Moreover ,items are not a revolutionary idea, however we will continue to innovate the item. Our competition will help us to develop better and more distinct products. Hopefully, once we have a huge customer following the competition will push us to work harder in order to remain visible. Lastly, the competition will reinforce our good prices, proving to customers that we are offering good value for their money.
We acknowledge that we are entering a business that is already widely established(restaurants, dessert cafes and food trucks). To keep up with the competition we will incorporate the competitive response cycle. This cycleis“ a process of researching your competition that you can use to continually make sure your food truck is meeting the needs of the customers you’re targeting(and, therefore, helping you increase your profits. ”The five steps of this cycle are: * Analyze your competition and their response to consumers’ needs and wants; * Find opportunities to fill gaps between consumers’ needs and wants and your competition’s response; * Develop and implement programs to take advantage of opportunities; * Evaluate consumers’ response to the programs. * consumers’ needs and wants;

SWOT Analysis Strengths | Weaknesses | * We provide a unique spin on the traditional item * Sweet and savory items * We cater to many cultures with our diverse menu * We offer items that cater to different dietary restrictions (gluten-free, vegan, vegetarian) * Use the freshest and finest ingredients * Food is made on demand * Healthier than most fast food/food trucks * Our location is one of the best places to be situated in * Reasonable pricing * Low start-up cost compared to restaurant * Hardworking, passionate, self-motivated and driven team * Newly renovated food truck with compelling visual component * New kitchen and newest tools/materials * All equipment are up to government standards and regulation * Engaging display * A food truck is more mobile than a cart or trailer * Hot & spicy owns the vehicle (not leasing or renting) * Custom kitchen set-up for items * Certified mechanic +health inspection * Two high profile location contracts * Downtown core locations * Pride in putting forth innovative food * Staff has experience within the food service industry * Staff has experience in dealing with financials and payroll * Advanced knowledge of social media trends * Sustainable endeavours + Recyclable & reusable materials * Freedom to change menu as desired since it is an independently owned company(differentiate products from larger chains) * Valued and motivated employees, offers a good work environment * Good relationship with suppliers emphasis on product and service quality | * We are a new food truck company and are competing against those who have been established for years * Little advertising/marketing has been done * No brand value * Loyal customers might remain with the food trucks they love * Customers know where selected food trucks are located and may disregard ours * Only accepts cash * Owners will work the most and longest hours in the first couple years * Workers do not know what is going on outside of the truck while working in it * Don’t have a permanent location * Hard to keep repeat customers because the business is mobile * Relatively inexperienced team * Long-hours(less productive + less efficient workers) * Location contracts are expensive * Limited funds are available * Not a lot of workers in the first few years * Healthy food means higher prices * Limited funds * Lack experience of competition * Narrow/new product line. Owners have little/no experience in owning/running a business | Opportunities | Threats | * TV shows may be interested in our business(Eat Street) * Partake in festival in Dhaka * Franchise * Open a restaurant * Get more food trucks (Expand the business) * Get an Interact/Credit Card payment system * There are very few mostly inactive food trucks in Dhaka City * Tweet locations and allow people to follow the truck * Partnering with aspiring DJs in the future * Sell cappuccinos/espresso/coffee * The competitive response cycle(strength and opportunity) * Hiring a pastry chef that has formal training in creating desserts * Reward social media followers * Eating out is an increasingly important part of Dhaka’ daily activities and is growing in strength * Increasing health conscious attitude * Public awareness of obesity in Canadians * Word of mouth endorsements from customers * Increased spending on advertising can attract new customers * Relatively low cost of social media can attract the target audience * Multi-cultural atmosphere in Toronto encourage trying food/beveragesfromdifferent cultures * To better the working conditions for workers as the company reaches profitability 63% of Canadians regard eating at a restaurant as a luxury (a food truck is not as luxurious) | * Our location may already have many food trucks/restaurants that are known and loved by many * High competition with the expansion of the food truck business * Customers will go to other businesses that accept credit card/interact payments * Bad weather (customers are less likely to go outside to purchase food) * Customers will be loyal to restaurants that have permanent locations * Hard to keep loyal customers are the location will vary * Municipal laws relating to play music (restrictions for loudness) * Different health codes and food truck laws in different cities * Location contracts do not guarantee sales * Location contracts are binding for 5 years * Changes in legislation or licensing requirements * Preparing too much/too little food * Food cost increases * Municipality is re-examining current legislation and may add further restrictions on food trucks * Increasing gas prices * Bad weather * Truck breakage/repairs * Works can be overworked * Competitor restaurants could open up a food truck * Potential demographic changes * Rising cost of dairy products * Vulnerability to recession * Rising cost of eco-friendlinessEndless renewal/updates of technology/equipment |
After conducting a SWOT we believe that we can build a company with star potential. With the competitive advantage of differentiating ourselves as a food truck that caters to different dietary restrictions and offers both savory and dessert options, Hot & Spicy enters a niche market with much strength to its advantage. Our target audience will be attracted to our strengths, and will not be turned off by our weakness (as the amounts of strengths we have outweigh the number of weaknesses). Furthermore, many of our operational weaknesses in terms of brand equity and company experience can be rectified once Hot & Spicy begins to operate.
Hot & Spicy will prepare a crisis management program in their public relations management to minimize any external threats. Also as Hot & Spicy gains experience and popularity, the company can explore external opportunities. The biggest obstacle that Hot & Spicy must overcome is to remain open for a full year in order to gain operational experience and a loyal customer base.
The SWOT analysis will be done every 6 months in order to stay competitive and to revalue our strengths and weaknesses and compare them with our competitors’.

Marketing Plan
Marketing will play a vital role in reaching our goals as a newly emerging business. It will help determine whether our product can move from the introduction stage into the growth stage of the production life cycle. By identifying our marketing goals, and including specific market mix, we can conduct a thorough marketing analysis that will help Hot & Spicy emerge into the quickly expanding food truck industry.

Marketing goals:
To develop brand awareness of Hot & Spicy in the Dhaka city area by establishing relationships with local media to encourage frequent patronage and attract loyal customers.

Product:
Hot & Spicy is a food truck that offers customers a unique spin on a classic dessert. We have developed an array of high-quality personally sized items with variety of different sweet and savory toppings and flavors that are prepared and served quickly and ready for customers to enjoy. Hot & Spicy offers customers a tasty healthy food option that is accessible and made with fresh and local ingredients. Hot & Spicy redefines the meaning of fast food.

Menu
*****SAVORY ITEMS*****
Mushroom and Gorgonzola (Tk.55)
Signature crepe dough infused with rosemary topped stuffed with crimini, porcini, and portobello mushrooms, balsamic onions with crumbled creamed gorgonzola cheese

Chicken Pesto (Tk.60)
An item filled with a fresh basil pesto made with fresh sprigs of basil, pine nuts and extra virgin olive oil, mixed with parmigiano reggiano cheese and roasted red peppers

Margarita (Tk.40)
Sundried tomato crepe batter packed with homemade tomato sauce, mozzarella cheese and fresh basil

Pad Thai (Tk.45)
Shrimp, tofu and bean sprout filling drizzled with a spicy peanut sauce

Beet and Goat Cheese (Tk.70)
Buckwheat crepes with our signature homemade tomato combined with sliced cooked beets, fresh goat cheese and caramelized onions

Green Eggs and Ham (Tk.65)
Freshly grated mozzarella cheese topped with sautéed spinach, prosciutto and a perfectly cracked sunny side up egg

VaVa Vegan (Tk.50)
Pan-fried asparagus smothered with an almond-based hollandaise sauce gives this vegan option the perfect earthy feel
Eggetarian (Tk.40)
Fresh Canadian grown eggs sauteed peppers, mushrooms and onions with fresh wilted spinach and melted havarti cheese
*****SWEET ITEMS*****
Apple Pie (Tk.40)
Nutmeg infused thin crepe batter with cinnamon butter sautéed apples topped with a caramel streusel drizzle
PB+J (Tk.50)
Sweet honey crepe dough with homemade peanut and almond butter mixed with tangy raspberry jam
Chocolate Storm (Tk.65)
Chocolate crepes filled with Nutella spread, vanilla whip crème, and banana slices topped with shaved toffee
Castard Apple Milkshake(Tk.50)
Chocolate Cream Milkshake (Tk.60) etc

Place:
Hot & Spicy will sell all of its products from our food truck at locations at The University of Dhaka as well as the Jamuna Future Park. In addition, Hot & Spicy will do business from various other locations through private events and catering. The hours of operation of our food truck are expected to be 7am-8pm including preparation and clean up. This will cover the breakfast lunch dinner crowd. We will operate as a moving food preparation vehicle (MFPV), where the food will be assembled as customers wait. All of the food preparation will take place in the house of the owner. This will include making the batter the different items, preparing the mise-en-place, meaning the preparation of all of our ingredients, chopped and ready to go. The mise-en-place will include slicing the various vegetables and toppings, and making the sauces. The prepping of ingredients will take place every night so that items will be fresh, and service will process quickly once orders are placed. We will receive our ingredients from local providers to promote the importance of buying locally grown and sourced items and all products that are not used by the end of the day will be given to local food charities to support our community.
Hot & Spicy will utilize a direct marketing channel and sell products straight to consumers using no intermediaries. This direct channel distribution will be effective because our target market is concentrated in a small area of city and as a result we will be able to reach them more effectively. By eliminating intermediaries to distribute our products we will also save money in both transportation and ingredients, which could be marked up if we outsourced these functions to other providers. Since our business is a special outlet, we will utilize exclusive distribution to establish ourselves as the single distributors of these types of products in our area.
One of the main advantages of operating a food truck rather than a physical space is that our truck will have much lower overhead costs compared to restaurants. As well, although we plan to maintain our location contacts at both The University of Dhaka and the Jamuna Future Park another advantage of this form of operation is that we can change locations if one area does not generate enough business. This will give us great flexibility and allow us to maximize the amount of paying customers.
Sight:
A concept’s visual effect encompasses more than just the graphics you wrap your truck in. Visic will be designing the truck’s wrap and visual design because of her background in digital and graphic design. Also, the food truck has exterior lights to accommodate shifts that go late into the night. The inside of the truck will also be very well lit, not only to practice safe working habits, but to appeal to customers. The lighting on the interior of the truck as well as the lighting inside the kitchen helps to achieve different visual effects. Allowing our customers to see inside our clean kept and modern kitchen is an important aspect for Hot & Spicy. Food trucks have a reputation for being dirty. We will try to change this reputation by allowing our customers to look behind the scenes. Customers will be able to see how the chefs are preparing their food on spot, creating a unique and engaging atmosphere.

Sound:
The noises coming from the food truck affect the atmosphere. We would like our truck to be known for playing mash-ups (remixes). This way we do not have to subject ourselves to a single genre, but we will still have a sound niche. We can play mash-ups that vary from old-school songs, the 60s, 70s or 80s, country, pop or dance music. The choices are endless for mash-ups, and gives us flexibility to choose which type of genre of mash-ups we will play at which location. Furthermore, with more aspiring DJs on the rise, Hot & Spicy can look to partner with them in the future.

Promotion:
Hot & Spicy will use a variety of promotion strategies to increase awareness about our brand in the community. Upon opening we will utilize institutional advertising to promote our company as a whole and establish our identity in order to maintain a favorable attitude about our service. However, once our company is established we will utilize product advertising to promote the benefits of our specific service to continue to draw loyal consumers to our brand. We will establish relationships with local journalists to have feature articles about our business in the local papers. Through these tactics we will utilize pull strategies to stimulate consumer demand to obtain our products.
To reach our target market we plan to use word of mouth advertising as our strongest selling point upon starting our business. To further utilize word of mouth advertising we will attend several community events and provide samples of our best products to help create brand awareness. These strategies will help us build a social network around our brand, and track our customer’s interests and wants so we can accurately cater to them specifically.

Other Promotional Activities:
Social Media
Online and social media including Facebook and Twitter will play a huge role in the promotion of our business. This is because it will be the main platform through which we will notify customers of our location and special menu items. We will open a Facebook account that will showcase pictures of our popular items and customers who have come to visit the truck. We will also use twitter on an ongoing basis to develop a range of followers who we will be able to reach out to us for upcoming events.
Pitch to Media
Hot & Spicy will use several media relations tactics to gain fast and widespread awareness about our business for little costs. Firstly, we will pitch our business to Food Network programs including ‘Amader Rannaghor’, and ‘KhanaPakna’. This will increase exposure of our business and develop awareness among people across Dhaka as well as across Bangladesh. We will also pitch our business to Blog TO and other food related blogs to gain exposure among the foodie community.

Utilize Relationship Selling
Rather than focus on a strong mentality of personal selling, Hot & Spicy will focus on relationship selling. We will emphasize personalization and empathy towards our customers as a key ingredient of our business. This will establish satisfied long term customers who will be loyal to our brand. Our goal will be to build long term branded relationships and focus on building mutual trust.

Food Truck Festival
We will develop relationships with food truck association members and organize food truck festivals and rally. We plan on showcasing our truck and food at the Street Food Block Party to attract more people. By attending these festivals and events we will establish our brand among interested consumers which will help us in developing a loyal customer base
Price
Hot & Spicy’ main price goal is to increase market share and maximize profit through retention of customers and increased customer satisfaction. We plan to use a competitive pricing strategy where prices will be set a little bit above competitor’s prices. When determining our pricing we have taken into consideration our truck and maintenance costs, staffing costs, and most importantly our ingredient costs. Due to our trucks added value from our premium ingredients, consistent freshness, uniqueness and natural ingredients we believe that the prices set for our products are appropriate. However, more importantly, we believe that customers will be willing to pay for this added value.
Process:
Customer orders the item desired and Worker 1 inputs the order in the POS system. Worker 1 then charges the customer and takes their payment. Worker 2 reads the order on the Kitchen View iPad and makes it. The batter is already prepared and Worker 2 makes the item on the griddle instantly. The toppings/fillings for the item are kept warm and are ready to use either in the steam table or in the preparation fridge. Once the item is ready, the fillings are rolled into the packet. Worker 1 then packages the item and gives it to the customer. Worker 2 cleans up the work area and prepares for the next order. The process then repeats itself.
During peak hours a second cook will be considered to reduce waiting times.

Operations: Site Flow

Activity | Time | Load Truck | 1.5 hr | Drive to site | 45 min | Set-up for service | 1 hr | Service | 3 – 9 hr | Take-down | 45 min | Put food away | 1 hr | Clean truck | 2.5 hr | Clean dishes | 2.5 hr | Prep food | 4 hr | Total | 17 hr |

Financial Analysis
With a combined investment of Tk. 9600000 from the partners and a grant of Tk. 2000000, Hot & Spicy is looking for a loan of Tk. 6000000 for remaining start up costs. Calculations and estimates show that Hot & Spicy will be able to pay off said loan, at a 5 percent fixed interest rate compounded annually, by year 8.

Specifically the financing will be used for the following: * Development of the Hot & Spicy food truck; * Financing for the first year of operation; * Capital to pay employees for the first year of labor
This plan is based on a 15% growth rate per year of operations.
Left-over cash from each year will be retained and not divided by the partners for at least 5 years. This will ensure that the company will not go bankrupt and will account for any unforeseen circumstances.
Since Hot & Spicy is operating under a partnership, the company will not be taxed. Each partner will be taxed at their individual tax rates, which will not concern the business. The profit is to be retained by Hot & Spicy and the partners will receive a salary as laid out in the Payroll. Partners will receive a 5% raise per year, which can be renegotiated in Year 5 according to the success of the business.

Legal Licenses: Licenses need to start his business * Driving license * Vehicle license * BSTI approval * Area Ward Commissioner approval * City corporation approval * Trade license

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