New Business - Please Help!

Hello,

I am in the early stages of opening a independent shop. I’m trying to conduct a feasibility study and put together numbers for the business plan. The problem is sales projections. I have no idea what would be a reasonable projection for sales. Not to mention, if I’m going to invest significant money into this venture, I’d like to be reasonably assured, with some hard work, I’m going to be able to make it!

Here’s some info to help. I’m in an area that boasts a below average pizzeria/capita ratio. In addition, the majority of the existing pizzerias are national chains - nothing wrong with national chains, mind you, but my strategy is not to fight with the “big boys” but to offer a different product (a Chicago style stuffed/deep dish). The area is growing, median family income of $65K, about 150K people.

If I could kindly ask for anyone’s experience with start up unit sales, that would be plenty helpful.

Thanks,

Chris Kearney.

Is your establisment full service, fast casual, dine in only, delco only, or a combination? How large an area are the 150k people spread out over? I think your idea of offering something different like the deep dish is a great idea to set you apart from your competition, but it sounds like all the people around you are trained to eat a standard hand tossed chain pie so I think I would also offer a hand tossed as well. Just a thought, good luck!

Thanks for your reply - I’m starting small(ish). 40 - 60 seats for dine in, but counting on a large proportion of carryout and probably delivery. Regarding the offerings, I believe you’re right, and will be offering a typical handtossed, deep dish, and stuffed. In addition, I’m a brewer and will help differentiate myself, hopefully, further by offering a small selection of craft brews (2-4) for those who opt to either dine in and/or carryout (come in, sit down, have a delicious craft brew while you wait).

I plan on opening in a place with about 6 - 9,000 population within one mile and between 30K and 45K within 3 miles.

Any thoughts on what an average number of units sold for a start up are? Or where I can go to find the information?

Thanks,

Chris.