This business idea involves preparing different kinds of foodstuffs. The food is prepared and served to people at their work places. The various local dishes prepared include: matooke, groundnuts, beef stew, rice, sweet potatoes, beans, cassava, peas chicken and greens. The most commonly used method for cooking is using a charcoal stove or a firewood stove. The business idea is premised on production of 130 plates of food per day which translates into 3,380 plates of food per month and 40,560 plates per year. The revenue potential is estimated at US $73,320 per year.
Raw food stuffs are procured from the market and processed through various preparations then cooked using either a charcoal stove or firewood. Various additions can be added through frying the sauce to add flavor.
There is ready market for food in workplaces since people do not want to move to eating places outside their workstations. There are many players in this business especially women.
Capital Investment Requirements in US $
|Capital investment item||Units||Qty||Unit cost||Amount|
|Chairs and tables||No.||300||13||3,900|
|Charcoal stove (big size)||No.||5||43||215|
|Utensils (Plates, cups ,spoons, knives)||No.||400||150||60,000|
|Total cost on equipment||64,491|
Production and Operating Costs in US $
|Cost Item||Units||Unit cost||Qty/ day||Pdn cost / day||Pdn cost/
|General costs (overheads)|
|Utilities (water and power)||100||1,200|
|Depreciation (Asset write off) Expenses||1,250||15,000|
|Total Operating Costs||4,510||54,124|
- Production costs assumed 312 days per year with a daily capacity of 130 plates of food.
- Depreciation (fixed assets write off) assumes 4 years’ life of assets written off at 25% per year for all assets
- Direct costs include materials, supplies and other costs that directly go into production of the product.
Project Product Costs and Prices Structures in US $
|Item||Qty /day||Qty/yr||Unit Cost||Pdn cost /yr||Unit Price||Total revenue|
|Plate of food with chicken||30||9,360||1.33||12,490||2.0||18,720|
|Plate of food with beef||100||31,200||1.18||36,816||1.8||54,600|
|Profitability Item||Per day||Per month||Per Year|
|Less production and operating Costs||173||4,510||54,124|
Sources of Supply of Raw materials and Equipment:
Raw materials and Equipments are locally available.
Uganda is a liberalized economy and trading is quite free as long as you are within the confines of the law.
Research was done by Business Synergies for Uganda Investment Authority SME Department.