CAPITAL.MY

Alternative Funding Sources for Businesses

Seeking RM300,000 to acquire F&B Business at Taman Tun Dr. Ismail, Kuala Lumpur

Seeking RM300,000 to acquire F&B Business at Taman Tun Dr. Ismail, Kuala Lumpur

Project Cost: RM450,000

Amount Invested : RM150,000

Amount Required : RM300,000

Knowledge / Experience Required:
general management
sale & marketing
other (F&B)

Proposed Investor’s Role:
others (short term investment)

Industry:
restaurants / f&b

Project Stage:
merger & acquisition

EXECUTIVE SUMMARY:

Company History:

The name of the bar is dLegends Bar. It’s casual yet an elegant bar located at Taman Tun Dr. Ismail. It has been in business for 4 years now and has been meeting its sales target consistently. Their clientele ranges from young middle class working adults to business owners. The owner is venturing into a bigger scale business and would like to let go to a trusted person. I have been managing the Bar for a year now and has been actively involved in every aspects of the business.

Product / Service Description:

The bar offers western with Asian fused dishes. Their Signature dishes are the pork dishes, mainly the pork satay, pork pizza and pork burger. Some say they serve the best pork pizza in the world and their Guinness on tap is so fresh, you just have to try it to experience it.

Business Opportunity:

Since the bar has been in business for 4 years now, many issues/problems have been addressed. Since the environment of the bar caters to young working adult, who always come over after work, problems of drunk customer has never arose. Many of our clients consist of regulars who keep coming here as they feel homely with its cozy and relaxed ambiance. the market is growing around this area as there are more new offices moving into the office block which is just a stone throw away.

Revenue Model:

The bar has been making money since 3 years ago, and it has been meeting its target consistently. The profit has been increasing year after year. i will be getting lock, stock, barrel.

Management Team:

The bar currently has 4 kitchen staff and 1 head chef. The front of the bar is managed by 2 managers and has 4 bartender/waiters. The staff works 6 days a week. The managers are also involved with the cash flow and stock inventory.

Current Status:

The owner is selling the bar to me and my partner at RM400k. Up to date both my partner and i have RM150k and will require additional RM250k for the deal to go through. Revenue a month has constantly been above rm80k and profit made is from 20-25%.

Funding Milestone:

The funding will be used to buy the whole business lock stock and barrel.

Business Valuation:

We are willing to pay investors 12% dividend a year based on their capital. this will be for a period of 2 years. so for example, a RM100k investment will give rm12k dividend per year. since we payout the dividend on a monthly basis, investor will get RM1k a month. After much calculation, we felt that figure is appropriate as its return is relatively high but not too high to affect our monthly profit.

Expected Return On Investment:

The ROI would be minimum 1 year and maximum 2 years. After 1 year period, the investor can decide to take back all their capital, or if they decide to enjoy the dividend payout, maximum will be 2 years.

Investment Risk and Mitigation:

The risk is minimal now as the business has been running smoothly with consistent profits.

Exit Strategies:

Investor can always exit after 1 year, but if the investor would require their capital before the 1 year period, we are willing to negotiate the terms.

CONTACT INFORMATION

Danny Vallaipan ( danny.vallaipan@yahoo.com)
Postal Address : b8-2-204 pangsapuri sri meranti
State : Kuala Lumpur
Post Code : 52200
Country : malaysia
Mobile: 0166666684