- May 18, 2020
Business plan for Halifax
Running Head: BUSINESS PLAN FOR HALIFAX CAFÉ
Businessplan for Halifax
MISSION:TO SHARE THE REFRESHING JOY AND FUN OF BUBBLE TEA IN HALIFAX
CITY,ST ZIP CODE
HalifaxBubble Tea Café is a bubble tea business located in Halifax, NovaScotia, Canada. We came up with the idea as we realized that mostpeople in Halifax drink boba and those who take bubble tea have endedup not acquiring quality services. Therefore, our greatest motivationis to bridge the market gap and offer high-quality servicesaffordably. We have specifically targeted those who love bubble tea.Halifax is a warm place during summer we shall be offering the coldflavor to help our tourists relax and feel refreshed as they enjoyour wonderful environment.
Manypeople in the world enjoy drinking different flavors of bubble tea.Our target market is residents who appreciate bubble tea and touristsfrom the Asian origin who come to visit tourist attractions duringsummer. We wish to welcome our visitors with different flavors andmake them feel home away from home. As our company grows and expands,we will reach more to indigenous Canadians who do not appreciate thiswonderful product from Taiwan and encourage them to try it.
Wewant to make our customers enjoy our refreshing bubble tea in a quietand comfortable place where they will be satisfied. We shall offerdifferent flavors of the bubble to our customers. Our product will beaffordable and of high quality. We shall also use the latesttechnology and offer competitive prices.
Weshall reach our customers through various methods of advertisements.We shall reach our customers through the use of billboards, radioadvertisements, and social media. We shall also offer for free thefirst drink during the first month of business so as to encouragecustomers to try out our new product since it is new to some of them.As the business expands, we shall sponsor a local athletics team thatwill help us to market our products to the locals.
Wewill need $ 70,000 to start our business. We shall get $ 40,000 frompartner’s contribution. The company will after that borrow $ 70,000 from HSBC bank. Our company approximates a 10% return to ourinvestors based on the target market and the service we intend tooffer.
Ourbusiness will be offering a variety of flavors of bubble tea andsnacks to our locals and tourists. We shall hire qualified personnelwho will ensure that our customers are served high-quality servicesand bubble tea. Hot flavors will be served at cold weather so as torefresh our customers during cold weather. In a similar way, coldflavors will be served to clients during the hot weather. This willhelp to ensure that we not only maintain our clients but also that wehave a running business all the year round.
Ourcompany’s mission is to offer quality, affordable and reliableservices to our customers.
CompanyGoals and Objectives
Theobjectives of the company include are to
Provideaccessible, affordable and high-quality services to locals andtravelers who visit Halifax.
Togain profits for the business expansion and enable individualdevelopment of the investors to successful investors.
Toprovide options for high quality and affordable café services in themarket.
Keysto success to our business will include:
1.Selling high-quality products and services
3.Use of technology for high-quality services
4.The diversity of service according to the season.
Thebusiness will be formed as a partnership with two other individuals.The principles of partnerships will be applied. The partners will beall active, meaning that they will be involved in the day to dayrunning of the business. All the partners will have equal shares inthe business. The profits and the losses will also be shared equallyamong the partners. The partners are also responsible for funding theoperations of the business.
Thepartners shall also be responsible for the appointment, writing downthe terms of service, and the dismissal of the managing partner. Themanaging partner shall be responsible for the day to day running ofthe business. He/she shall exercise his authority only to the extentthat is allowed by the partnership agreement. In so doing, he willderive his authority from the partners. His efforts at all timesshall be for the greater interest of the partnership. In any instancethat his personal interest conflicts with the interest of thebusiness, the interest of the business shall prevail. All hisauthority and powers are exercised and held in trust of the partners.
Themanaging partner shall serve for a renewable term of 2 years. He willbe the Chief Executive officer of the business during that time and afull-time employee. Therefore, he shall not engage in any othergainful employment during this period. He may resign, in writing, andhas to give a three months’ notice to all the managing partners.
Qualificationsfor the managing partner
-Must have had at least five years of successful businessmanagement role
-Must be a partner
-Visionary, and possesses excellent management skills
-Serves a two-year term and is eligible for re-application
-Is the CEO of the business and shall exercise his discretion forthe best interest of the business at all times.
-To oversee smooth running of day-to-day activities of the business
-Implement and better the strategic plan that has been set by thepartners
-Offer professional advisory opinion to the partners on how toimprove
Qualificationsof the employees
-Must have served at a busy restaurant for at least one year
-Excellent personal and interpersonal skills
-A diploma or certificate in catering shall be an added advantage.
-To attend duties as assigned by the seniors
-To express professionalism and at all times serve with enthusiasmand diligence
-This shall be a full-time employment. Dismissal, appraisal, anddisciplinary proceedings shall only be by the Employment laws inCanada.
Thepartners shall hear and determine appropriate punishment or appraisalfor each employee, including the managing partner.
Theemployees (the chef and the waiters) shall all receive an equal payof $ 1,500 per month. The remuneration of the managing partner shallbe an expense of the business. It shall be $ 5,000 per month. The payshall be $ 3,500 for the first six months as the business seeks toestablish itself. The partners reserve the right to review the termsof service of the managing partner.
Thepartnerships shall seek to settle all of their disputes throughmediation. The partners have agreed to amicably settle disputesprivately in such a way that the interest of the business shall notbe affected by any disagreement among the partners. The partners alsoreserve the right to change or modify the course or objective oftheir business.
Thestarting capital for the business shall be through partner’scontribution and a loan from a financial institution. The managingpartner will determine which organization to borrow the loan from. Inso doing, he shall only seek for lenders with long-term repaymentrequirements and offer loans at the lowest interests. The purpose ofthe loan will be to cover the rest of the required financing.
Thepartners decided to have this kind of business entity due to thefinancial and legal requirements challenges. In this regard, thepartners have instructed the managing partner to consult a lawyer ina bid to determine what the legal requirements of this business are.In a similar way, the managing partner has also committed tointeracting with managers of similar businesses and enquire what thelegal requirements that are needed to start the business are.
TheHalifax Balance sheet
Rent $ 20,000
Individualcontributions Chairs $8,000
Partner’scontributions $ 40,000 Tables $ 7,00
Loanfrom HSBC bank $ 30,000 Mega freezer $ 9,000
Twomulti Gas/electric cookers $ 7,000
Insurancefee $ 4,000
Licencefee $ 3,000
Hi-fisound system and Wi-Fi $ 1,000
Cutleryand serving equipment $ 3,500
Thematicwall painting $ 5,000
Printingof Menus $ 500
Threechandler lightings $ 500
Cleaningequipment $ 500
Total $ 70,000 Total $70,000
Thereare fixed and recurrent expenses for the business. The aim is tobreak down the recurrent expenses so as to get the view of how muchthe business shall need to run on each day.
Thecompany’s flagship product shall be the bubble tea. This is adrinking product that usually contains tea shaken with milk. Thisproduct is not entirely new to the people of Halifax. However, thereare no bubble tea café of this nature in Halifax. We will prioritizethe process of marketing both the business and the product to get theinitial attention of as many people in this location as possible.
Ourcompany brings high-quality services into the market. Our businesswill be run by young and open minded managing partner who know theneeds and wants of young people who occupy the larger portion of themarket. We shall also offer our high-quality services our customersat competitive price hence luring customers to our shop. Everyonelikes to try a new thing people will be eager to try our new product.In our product unlike in other products like yogurt our customerswill be able to control sugar intake into their bodies.
Thediversity of our products not only targets the locals at Halifax butalso the visitors and the non-conventional market of this product. Itis established that this product is more common among the youngpeople that it is among the elderly. However, we will make variantsthat are different and encourage even the non-conventional buyers ofthis product a chance to try it out.
Weshall offer not only bubble tea, but also several other products too.We shall offer snacks to our clients and light dishes. The rationalebehind this is that we want our business to have an edge, and beunique from the ordinary s as we know it. We want our clients torecognize us by our uniqueness.
Establishingour uniqueness, we shall offer self-service option available for ourclients. In case a client just needs a cup of bubble tea, he/shedoesn’t need to have to wait for the waiters to deliver it to himor her. There will be a vending machine that will dispense receipts,where the client can go and pay and get a receipt. After that, usingthe receipt, he can just go to the counter and get his cup. Theessence behind this will ensure that we do not keep clients who arein a hurry waiting for too long. However, this service is onlyavailable for the clients who want to have bubble tea and a snack.
Thedemand for this product is usually high, especially among the clientswho are familiar with this product. However, the business will run apromotion during each Friday. The promotion will be aimed at offeringa third cup of Bubble Tea at half-price for every two cups ordered.This will be a means to make us more popular and client oriented.
Thiswill encourage people to come in groups of at least three people.This will improve the sales volume by the significant deal. Duringthe first days, this will make the people familiarize with thebusiness. On a similar note, having the promotion day on Friday isstrategic. We project that most clients will come on weekends.Therefore, having promotions on Friday will make the business morepopular among the clients who will come back for weekends and becomepermanent clients.
Thereis a lot that can be done to improve the product, and give it acustomized approach. For instance, we shall be adding local herbs tothe bubble tea that we offer. In case any client needs snacks, weshall also offer them alongside the requested bubble tea. Some of thevariants of the products will also have local names that theresidents of Halifax can identify with.
Ourstaff shall have a passionate approach to their work. This means thattheir utmost objective shall be to serve our clients. We expectpersonalized services to our clients and respectful interaction. Ourstaff shall bear tags on their chests so that the clients canidentify them. Any complaints by a client shall be taken seriouslyand may lead to disciplinary or dismissal of the staff membermentioned. On a similar note, in any instance that there is aconstant flow of praises of an employee by the clients throughwritten messages in the suggestion box will lead to appraisal andpromotions.
Virtuallyevery adult in Halifax has a phone and uses the Internet at least oneor twice in a week. The use of social media as a means of interactionand communication between various groups and persons is wellestablished. The business shall take advantage of social media sitessuch as Facebook to market itself. The marketing plan shall,therefore, involve the constant uploading and advertising of thebusiness on social media pages that mention Halifax. This willeffectively catch the attention of visitors and the locals as well.
Weare planning to venture into the market and become the leaders of thesmall sized business in the hotel industry in Halifax. This loftyambition may only be achieved when we are working strategicallytowards achieving our targets. This involves having the greatestpossible market share from the very inception of the business. AtHalifax, we are planning to have the lion’s share of the market nthe following way
Itis clear that the majority of the people in Halifax are eitherelderly or young children. Statistics indicate that the youth agedbetween 20 and 39 are leaving Halifax to other destinations in thecountry to seek job opportunities. In fact, 45% of the personsrelocating from Halifax are within this age group. Therefore, it isbetter for the business to target persons under the age of 15 yearsand those who are over 40 years.
Thesetwo groups constitute more 70% of the population of Halifax.Critically looking at it, these two groups represent families. Atypical example is a Father (Donald, aged 46) and mother (Monica,aged 40), both aged between 40 and 45, and their two children, a son(Mike, seven years old) and daughter (Jane, 13 years old). Most ofthe times that the families will visit out business shall majorly beon weekends. This will give them a huge opportunity to take advantageof our promotional offers (a free fourth bubble tea cup for everythree ordered).
Onthe same now, it is very clear that our target market focuses onpersons who are settled in Halifax and are less likely to relocate. Aperson in his or her 40s, in most cases, is working and is settledwith his or her family. On the same note, such a person works inHalifax town. Therefore, he will frequent the place whenever he orshe is in town. Therefore, during the ordinary business days, thebusiness shall be running smoothly too.
Priceis one of the greatest considerations for any potential client. Weare aware of the market prices of the products that we are offeringto our clients. The foundation and the objective of our business areto offer quality at an affordable cost. The nutritional value ofBubble Tea is high. It contains milk, tea, sugar and other additives.
Allthis comes at a price that is both competitive and offered in anawesome place. To add to that, there are offers for a free bubble teacup for every three offered. The speed at which we serve the clientswho are in a hurry is amazing. More to that, the feel of taking coolbubble tea during the hot summer is refreshing, and even much betterwhen taken from our awesome looking café. This, indeed, shall be ourcompetitive advantage.
Weare planning to have the capacity to accommodate 25 clients at theany given time. Therefore, we shall require the following items.
a)8 round mahogany tables, each having three or four seats besidesit.
b) Counter display.
c)8 menus, each table having one.
d)2 40” inch TVs for our clients
e)3 hanging chandelier lights
Weare going to decorate our business. We want to have that touch ofclass and style that everyone just wants to be at the café at anygiven time. We shall have
a)Wall décor with the modern French style
b)Color our seats, tables, and floor in a serene light blue andwhite colors.
c)Install a Hi-fi sound system
Inour café, we shall also offer free Wi-Fi services to our clients.
Basisfor believing our claims
Wehave consulted far and wide and carried out a thorough researchbefore deciding to invest in the hotel industry. We have consultedpersons who have a lot of experience in the hotel industrymanagement, and we have confirmed that our decision is the correctone. One of the managers whom we interviewed expressed his surpriseabout the novelty in our idea and the profitable opportunity thatlies ahead.
Throughresearch, we have established that an average person in Halifax townmust at least visited or a hotel in 3 of the 5 five times they visitthe town center. There are at least 100,000 persons who visit thetown on a daily basis, some going to work while others are seekingessential services such as medication or legal aid. Others are justtaking a day out and seek an opportunity to have some time outtogether. Therefore, the market is diverse, and if the business cantake the full advantage of the available opportunities, it is highlyprobable that the business shall hugely progress.
Weare also convinced that we are meant to enjoy huge success due to theeconomies of scale that we will enjoy. We will be purchasing thenon-perishable products in bulk. This will afford us the economies ofscale. This expert’s advice will also offer us an opportunity toprofessionally assess our business’s progress.
Assumptionsin the business
AtHalifax Bubble Tea Café, we are prone to making assumptions in therunning of our business like any other business. The accuracy ofthese assumptions is the key of the successful business ventures. Wehave to live within the assumptions, at times.
Thefirst assumption is that the current political atmosphere in thecountry and specifically in Halifax town will prevail. Peace andtranquillity are the foundations of any successful business venture.We expect the serene and peaceful atmosphere in Halifax.
Thenext assumption that we have made is that the population trends inthe city will continue. According to research, 45% of the peoplemigrating out of Halifax to other towns are youths aged between 20 to39 years. Therefore, we have not factored them in as an essentialtarget market. We assume that this trend will continue.
Thisbusiness is based on the assumption that the economic state of Canadaand Nova Scotia shall remain as it is and even improve further. Wehave no reasons to believe that this country is headed for aneconomic meltdown. Therefore, we are optimistic that the cash flowfor our clients will only improve. We do not envisage the “Greece”situation is suddenly happening in Canada.
Thecurrent licensing and hotel/ regulations are to remain constant. Thisis a major assumption that we have made. The location of the businessshall be inspected and approved by officials from the relevantauthorities before we commence. We are expecting the rules that areset down to remain, at least. Changing rules and regulations createuncertainty in the market.
Beinga new business, we don’t expect to have many clients at first.Therefore, we are planning to start by hiring a few workers too, asthe job shall demand. After that, we shall carry out an assessmentevery week to see whether we increase the number of employees as theclientele shall demand.
Atthe very inception, a week before the official opening of thebusiness, we shall commence the advertising project. This shallinvolve the advertising of the business before we open doors for ourclients. We have opted against using the printed media as a source ofadvertisement for our business. This is not only due to cost, but itis clear that people do not pay much attention to posters these days.We, therefore, want to use the social media primarily as a way ofadverting, and the electronic media.
Asstated earlier our customers shall primarily consist of the workingclass in Halifax. We shall also be offering office deliveries tothose who cannot have time to walk out of their offices. This shallgive us a bigger opportunity to serve even more clients. However,such deliveries shall be offered at an unchanged price, as we wouldhave sold the same commodity in our café.
Costof the product
Inthe hotel industry, the cost of the product is a major determinant asto whether there are enough clients or not. We want to offer qualitythat is unmatched, at an affordable price. Therefore, are planningthat when the business starts running, we should implement measuresthat enhance us to offer the best possible quality at the mostcompetitive price.
Thiscannot be achieved without adequate planning. To attain this, we areplanning to have our suppliers afford us goods at a wholesale price.All the non-perishable stuff such as sugar and tea shall be bought onwholesale. This will offer us the economies of scale as we purchase,and we shall pass this advantage to our clients. This will offer thecompany an opportunity to offer our products at the most competitiveprices.
Thefollowing is a list of our products and their proposed prices
Acup of bubble tea $2
Asnack (sausage) $1
Acup of Yogurt $ 1
Acup of Lemon tea $2
Thefinancial obligations of the business are diverse. There are severalitems to be paid for. We have excluded the need to purchase theproducts to prepare bubble tea and snacks it is already covered as anexpense before the gloss profit is calculated.
Rent(broken down to a day to day expense) $ 10
Wages(for both the three workers and managing partner) $ 45
Electricityand water $ 5
Loanrepayment $ 30
However,we have projected the sales to grow and our clients to increase at a10% rate per month. Though this increase will increase most of ourrecurrent expenses (such as the value of products to prepare Bubbletea and snacks), the gloss revenue will also increase by 10%.Consequently, we expect our profits to increase by more than 10%.
Thisis based on the fact that the increase in the number of clients shallnot necessarily lead to proportionate increase in expenses. Suchthings as rent, loan and wages for the employees shall not increase.Therefore, we project to reach the break-even point even faster thanwe had anticipated, and also become more profitable. However, in thelong-run, we shall ultimately need to incur some expenses in the bidour business to accommodate the growing clientele. But in theshort-run, we are oriented to grow and become more profitable.
Diversityof the Products Offered
Basically,these are the only products we shall commence business with. However,as the business shall progress, we shall increase variety of ourproducts to a full menu and have eve the main dishes. The purpose ofstarting with just a few products will give us an opportunity tostudy the market and the dynamics thereof. This will help us inmaking an informed decision about what we need even when we areplanning to expand the business.
Theadvantage that this will offer us is that we will establish the needsof the market from a first hand experience.
Theother advantage that this will offer is that it will reduce the riskinvolved. We do not have to invest so much before we are aware whatthe market really needs. Therefore. The decision to start with just afew items is really prudent. On the same note, it will reduce thewage burden that we the business shall shoulder. We shall not have asmany employees who are not actively engaged in the process ofproduction.
However,the main disadvantage of this mode that the business has adopted isthat this will not change the fixed costs that the business has. Anexample is that the rent shall be the same. However, though thismaybe eh case, the business shall not remain fixed on both ideologiesand objectives. We shall adjust to see the best way through which wecan be able to diversify and take advantage of the market gap atfirst.
Theother disadvantage is that the residents of Halifax might bedisappointed if they don’t find the variety that they need from us.An instance is where a client comes and asks for a fried chicken andwe do not offer such. To avoid this, we shall clearly indicate theproducts that we have for our clients, so that the clients might havethe right picture of what to expect from us.
Weare very optimist that the business shall be a huge success. Thisinvolves managing and accurate planning of the intended future paththat we intend the business to take. Therefore, we have planned astrategic procedure that we believe our business shall follow.
Atthe very inception, we do not expect to have so many clients. infact, we are aiming to break even at the third month of operation.The recurrent expenses such as salaries and bills, when factored in,shall greatly be of much impact to the economic progress of thebusiness. The following is a breakdown of the daily expenses that weexpect on a daily basis for our business.
Rent(broken down to a day to day expense) $10
Wages(for both the three workers and managing partner) $25
Electricityand water $5
Theseare the main expense that the business shall incur daily in the firstfew months of operation. This is a huge challenge for the business,especially when you factor in the interest of the loan for theborrowed capital. Therefore, we are planning to make sure that thebusiness reaches the break-even point as early as possible
Toachieve this, we have had sessions to interact with market leaders inthe business sector who run similar businesses. What we realized isthat the business needs a lot of attention. Therefore, we shallassess the weekly progress of the business and take record that thebusiness is making.
Weproject to have our sales increase from day one onwards. We areprojecting to have at least 200 to 400 clients served in the firstweek. This is due to the fact that we are planning to take fulladvantage of the location we are in. We are located in a busybuilding on the first floor. This means that everyone couldpotentially be our client, starting with the people who work in theoffices in that building to the daily visitors to the building. Thefollowing is a breakdown of the expected clientele flow for thebusiness.
Week1. 1000 clients $1500 in revenue
Week2. 1100 clients $ 1600 in revenue
Week3. 1210 clients $ 1700 in revenue
Thisprogressive breakdown in sales per weeks is based on the number ofclients we expect in every week that this business shall run. Weexpect a 10% growth in the number of clients. This is informed by theimpact that we expect to make in the market due to our specializedservices and quality of our products and services to our clients.
Wehave projected that the profit margin for the business shall bearound 20%. This delicate balancing process will mean that we haveplanned to reduce our prices and still offer quality, and at the sametime, have a great profit margin. We shall therefore hire twoexperienced chefs. The negotiation for pay shall be that 25% of theirpay shall be in vouchers. This will mean that the business does notincur much monetary expenses. The managing partner shall organizewith our suppliers (chain stores) that offer vouchers for thewholesale purchase of products.
Thiswill mean that the promotional offers that we get from our suppliershelp us to settle the bills that we incur. We are projecting the netincome for the business to take the following path.
Thismeans that the expenses for the very first weeks shall be higher thanthe net profit that the business shall be enjoying. We shall have areducing negative balance for the very first days. A criticalassessment of this can be expresses in the following sample
Week1 net revenue (20% of the total revenue minus the expenses)
=300- 630(90*7)= -$330
Week2. $330- $630=-$300
Usingthis projection, the business shall need at least 12 weeks to breakeven. At this juncture, the business shall have incurred a netexpense of $3150. On the 12thweek, the business shall reach the breakeven point. However, if itcontinues growing at the same rate, we expect it to have at least 12more weeks to cover all the expenses that it would have incurred inthe loss-making period.
Thismeans that we project the business to start making profits only after6 months. However, to achieve this we plan an exhaustive marketingand client retention policy. This means that we are to offer ourclients the very best of services. We are optimistic that thebusiness shall start making profits at an earlier period than the sixprojected months.
Thisis due to the planned expansion of services that we are to offer toour clients. we are planning to expand our services to offer fulldishes as the market shall demand. The economic consequence of thisis that it will help us lower the ratio of our fixed expenses ascompared to our net revenue. How we will achieve this is based on theprudent and strategic management practices that we shall employ as weshall review the progress of our business on day-to-day basis.
Attimes, it becomes impossible to achieve whatever was planned. In ourbusiness, though we have planned for the best and the progress of thebusiness, we are prepared for the worst. This is why we have aninsurance policy covering our employees as well as the business.There are a few unseen circumstances that might make it impossiblefor us to continue in business. This includes circumstances such asinevitable and unforeseen challenges when we have already commencedour business. These challenges face even the most prudent andoptimistically managed the business.
Anexample here will suffice. If we start running the business and we,after trying different techniques and approaches to make the businessprofitable, continue to make losses, we have a contingency plan. Thisis the plan that we shall use to exit the market and mitigate anypossible financial challenges that could have arisen as a result.
Ourcontingency plan involves the reduction of our employees. We shallreduce the number of our employees that we have at the cafe to aslittle as three. We shall also close the business within the nextthree months that follow after, having consulted experts inmanagement and assessed our progress we have discovered that we arenot going to succeed in the market at that time.
Duringthis time, we shall only have essential services such as officedeliveries. This will offer us an opportunity to continue making someincome. The aim here is to reduce our wage bill and at the same timebe repaying our debtors such as the loan incurred. Therefore, in thecase of any unforeseen circumstances that would necessitate ourclosure of the business, we shall have a process similar to areceivership process. We shall run the business at the lowestpossible expense, and revenue generated thereof shall be aimed atsettling our financial liabilities.
Atthis juncture, the liabilities owed to our employees (severance pay),loan repayment and money owed to our suppliers shall take priority.What the business owes to the partners as the founders shall be thelast thing to be paid back. Upon the end of the receivership process,all the assets of the company (tables, chairs, freezers, microwavemachines, and cookers) shall all be auctioned. The proceeds thereofshall also be used to settle any other pending expense in the orderoutlined above.
Thepartners shall oversee this process. They shall only involve anauctioneer at the final time, when it is necessary that, due to thelegal requirements, only the authorized auctioneers is allowed toauction property. This will reduce the cost of the winding up theprocess.
However,if, even after all the assets of the company have been sold, there isstill a deficit that remains, the partners shall shoulder the burdenin the ratio of their contribution when starting the business. If, atany point, that one or any of the partners is unable to raise the feeso determined, shall have his private property auctioned to meet theunlimited liability of the business. This was entrenched in thepartnership document that we all signed when we started thisbusiness. After all, business is a risk, and it has to be taken assuch.
HalifaxBubble Tea café started as an idea in my mind. I loved bubble tea,and I still do. I could just do anything to have it. I am passionateabout business. I have had a couple of business ventures. I thoughtabout combining my love for bubble tea with my passion for doingbusiness, and Halifax Bubble Tea Café was conceived.
Everybusiness is a risk, and the greatest risk, in any venture, is afailure to risk at all. I, with three other friends decided to makethe bubble tea Café a reality. The financial challenge wasapportioned equally among the four partners, and we appointed JamesMclough as the managing partner, to start working when businessstarts in earnest.
Thechallenge of funding was overcome when we decided to borrow half ofthe required capital, and raise the rest from our contributions. Weare positive that once the loan proposal is processed by HSBC bank,we can have get going. We are optimistic that it will, as thecreditworthiness of each of the partners is high. We have setFebruary 17, 2017, as our commencement date. This is the day that weexpect to open the business and start serving our clients. Beforethat day, however, we have to put all that we have planned intoreality.
Thepartners to this agreement are James McLough, Damian Marcus, MaryTerry and Monica Walker.
Thispartnership binds all partners. It is a legal document, anddetermines the terms of this partnership
Equal rights during the formation, existence and dissolution of the business
Equal rights to air opinion
Individual right to choose to leave the partnership.
The partnership shall cease to exist and the agreement shall be reconstituted after the partner leaves.
Any disagreement shall be solved through mediation
Partners shall share the profits and loss of the business equally
Themanaging partner shall exercise his or her authority and managementskills only to the best interest of the business at all times.Equality shall be observed during the formation of the partnership,during its existence and in the process of its dissolution.
Inline with the partnership laws in Canada, this business has adoptedits own partnership agreement. This document determines the rightsand obligations of every partner. Every partner has signed theagreement is bound by it.
Thisagreement is paramount, and can only be invalidated when and to theextent that it is inconsistent with Canadian partnership laws, adetermination that can only be made by a competent court of law.
Thisbusiness is listed as a partnership. It is subject to the partnershiplaws of Canada.
Allthe partners are equal at equity. They have contributed equal sums ofmoney to establish this business.
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