Surjeet Test

EMBA Entrepreneurship

Examination Paper

The Clock House Café Bistro

45 marks

The Brief

Prepare a two-page EXECUTIVE SUMMARY based on the following case study with the aim to entice potential investors to this investment plan

1. Background

The Clock House is a bistro and coffeehouse located in a renovated house along Club Street. The Clock House derives its name from a 100 year old clock located on the top of the house. Club Street is located within the Central Business District of Singapore.

The Clock House is a privately held limited liability corporation wholly owned by David Tang (80%) and the Historic District Development Corporation (20%).

2. The Start-up Costs

The start-up costs for The Clock House can be found in the chart and table below.

Start-up Expenses

Legal $2,000

Stationery etc. $500

Brochures $500

Consultants $1,500

Insurance $1,745

Debt Service $5,000

Licenses/Tax/Deposits $12,000

Expensed Equipment $36,600

Employee/Payroll $26,834

Accounting $1,000

Soft Opening Expense $4,000

Grand Opening Advertising $3,000

Misc. Expenses $2,000

Total Start-up Expenses $96,679

Start-up Assets

Cash Required $100,000

Start-up Inventory $61,157

Other Current Assets $0

Long-term Assets $595,040

Total Assets $756,197

Total Requirements $852,876

3. The Location and Facilities

The Clock House is a three storey pre-war house dated 1900 and will be located in a newly renovated facility designed by the world renowned architectural firm of Philip Shivers and Partners.

The facility will be divided equally between the cafe/restaurant function and the coffeehouse/entertainment function. The restaurant will feature dining room seating for approximately 100 patrons and flexible indoor/outdoor patio seating for an additional 40 patrons.

The cafe/coffeehouse will provide a full-service dine-in and carry-out coffee-based beverages, as well as a dessert bar. The coffeehouse/cafe portion of the business will also contain a...