Gulf Hotel, HNA Azmi Marg, 7th floor, Colaba, Mumbai, 400005.

Amol Shinde Sumit Jain Kushal Shah Nikita Sigtia Chinky Singh Khushbu shah

CUISINES Timings 11 AM to 1:30 AM COST AND PRICES Approx Rs. 600 for two , VAT & Service Charges extra Are Credit Cards accepted at The Upper Room FACILITIES Smoking Area Wi-Fi Internet Live Music

The mission of The Upper Room is to provide a casual, comfortable environment, sometimes relaxing and sometimes energetic and stimulating, around which those who love tobacco smoking, as well as new converts, can come together. The environment will draw on elements of the historical detail of the physical location as well as the culture of the local environment.

We provide an environment, that provide experience, in which you will enjoy

OWNERS: Amol Shinde Sumit Jain Kushal Shah Nikita Sigtia Chinky Singh Khushbu Shah The upper room is owned and established by the persons listed above.

 The Upper Room is a new hookah lounge

concept that will focus on a combination of respectable professional and working class customers over 21 years in age to offer a more mature alternative to tobacco and cigar lounges frequented by less sophisticated customers. The first lounge will be established in Colaba, Mumbai and managed by the business founders.

 The business will generate revenue through

the sale of loose flavored tobaccos, fine cigars, hookahs and other smoking accessories. Additional revenue will be generated by the sale of VIP memberships. The business projects to become profitable in its first year with good profit from strong sales. Sales will triple by the third year of operation. Net profit of sales will be respectable due to the high margin on the products sold.

 To establish a community of hookah smokers/

cigar enthusiasts who contribute programming, events, and ideas to The Upper Room resulting in 50 events or programs held in its third years of operation.
To successfully advertise using social media and

to maintain a Facebook Fan Page/ Twitter followers of 5,000 individuals by the end of the third year.

 To become profitable in its second year

through the sale of tobacco, accessories, food, and drinks.

To establish a franchise model for tobacco

lounges and initiate fundraising and planning for franchising by its fifth year of operation.

Hookah: Definition:
Noun An oriental tobacco pipe with one or

multiple long, flexible tubes that draws the smoke through water contained in a bowl.

Tobacco

Hookahs and Pipes There is a Rs.500 per hour charge for hookah tables.
The flavors will include, but will not be limited to:

Apple Banana Blackberry Candy Cherry Cola Grape

Tobacco Loose tobacco for hand rolling or pipes Cigars

Walk-in humidor. A number of fine quality cigars will be offered.

Other Tobacco Premium quality cigarettes Accessories Hookahs Tobacco Pipes Cigar Cutters Lighters Cleaning supplies, etc.

Menu Food and Drinks

The Upper Room will provide simple

beverages such as soft drinks, water, coffee, and hot tea, along with prepackaged, individually sealed snacks. The Upper Room will maintain close relationships with local caterers to provide premium food and beverages for on-site special and corporate events.

Other Services Entertainment

The Upper Room will offer two spacious private areas

equipped with large high definition televisions, premium sound systems, and gaming consoles, ideal for private parties. Each booth and seating area with be equipped with a medium-sized high definition television. This will allow for guests to enjoy their choice of television programming at their location. A large high definition television will be placed convenient to the general seating area that will feature the major programming event(s) that day.

PUNCH CARD
Non VIP Members will be able to use a frequent

guest punch card. After five punches, the customer will be given a free hour of table time.

GOLD (RS.10000/-YEAR OR 1000/-MONTH)

Free table for each visit. 10% discount on all products. Invitation and free admission to special events. Cigar of the Quarter.

PLATINUM (20000/-YEAR OR 2000/-MONTH)

All of the benefits of the Gold Membership plus the

following:

Free cigar unique to the specific special event. First opportunity to view and purchase new inventory. Cigar of the Month.

The Upper Room has determined the following market segmentation for potential customers:
College age residents Young professionals Middle-aged professionals Tourists

Advertising: Social Media

Facebook Twitter Google AdSense

Flyers and Brochures Providing local areas and businesses with flyers and brochures including coupons and discounts. Special Relationships Renaissance Hotel Biscuits Baseball Dreamland BBQ Local caterers Other downtown businesses

 STRENGTHS:

Comfortable, inviting environment for customers, allowing for customer feedback and customer-driven activities.
WEAKNESSES:

Targeting a more sophisticated clientele. Quality of products and services offered may alienate less affluent potential customers.

 OPPORTUNITIES:

To be able to expand the market of premium tobacco in the Colaba area.

THREATS:

Koyla is the main competitor which provide a high tobacco and sheesha is the another competitor.

 Create a comfortable environment

Provide high quality tobacco and smoking

accessories Establish a loyal core clientele Expand the market of fine tobacco to smokers in the Colaba area. Energize the customer base to generate their own culture and events at The Upper Room

 The Upper Room is a new concept for a hookah lounge/cigar

and fine tobacco dealer that centers around the community aspect of smoking tobacco products. The business will launch its first lounge location in downtown Montgomery, AL within six months and endeavor to create a scalable model which can be franchised in additional urban locations. The business will earn revenues through the sale of loose tobacco, hookah tobacco rounds, fine cigars, specialty cigarettes, hookahs, and other smoking accessories. Additional revenue will be generated through the sale of VIP memberships. The customers are expected to be those of middle to upper class status and their friends, those interested in fine tobacco consumption and hookah culture, and urbanites interested in a communityoriented experience that is an alternative to traditional bars and coffee shops.

Legal Help and Permits Stationery etc. Insurance Rent Start-up Marketing

Rs 2,00,000 Rs 80,000 Rs 80,000 Rs 2,40,000 Rs 6,00,000

Website
Total Start-up Expenses Start-up Assets Cash Required Other Current Assets Long-term Assets

Rs 10,00,000
Rs 22,00,000 Rs 1,60,000 Rs 1,60,000 Rs 38,00,000

Total Assets
Total Requirements

Rs 41,20,000
Rs 63,20,000

Particulas Potential Customers Upper Class College Age Residents

Year 1 Year 2 Year 3 Year 4 Year 5 Growth 3% 3% 500 515 530 546 562 CAGR 2.97% 3.00% 3.00% 3.00%

15,000 15,450 15,914 16,391 16,883 30,000 30,900 31,827 32,782 33,765 45,500 46,865 48,271 49,719 51,210

Young 3% Professionals Total 3%

Particulars Tobacco Drinks Food Total Unit Sales Unit Prices Tobacco Drinks Food Tobacco Drinks Food Total Sales Direct Unit Costs Tobacco Drinks Food Tobacco Drinks Food Subtotal Direct Cost of Sales

Year 1 20,000 25,000 15,000 60,000 Year 1 Rs 500 Rs 200 Rs 800 Rs 100,00,000 Rs 50,00,000 Rs 120,00,000 Rs 270,00,000 Year 1 Rs 200 Rs 80 Rs 300 Rs 40,00,000 Rs 20,00,000 Rs 45,00,000 Rs 105,00,000

Year 2 50,000 60,000 30,000 140,000 Year 2 Rs 500 Rs 200 Rs 800 Rs 250,00,000 Rs 120,00,000 Rs 240,00,000 Rs 610,00,000 Year 2 Rs 200 Rs 80 Rs 300 Rs 100,00,000 Rs 48,00,000 Rs 90,00,000 Rs 238,00,000

Year 3 Unit Sales 70,000 80,000 50,000 200,000 Year 3 Rs 500 Rs 200 Rs 800 Sales Rs 350,00,000 Rs 160,00,000 Rs 400,00,000 Rs 910,00,000 Year 3 Rs 200 Rs 80 Rs 300 Direct Cost of Sales Rs 140,00,000 Rs 64,00,000 Rs 150,00,000 Rs 354,00,000

Staff General Manager Waiter Staff Kitchen Staff Finance Manager Total People Total Payroll

Year 1 Rs 20,00,000 Rs 15,00,000 Rs 7,00,000 16 Rs 42,00,000

Year 2 Rs 10,00,000 Rs 40,00,000 Rs 30,00,000 Rs 7,00,000 35 Rs 87,00,000

Year 3 Rs 10,00,000 Rs 60,00,000 Rs 45,00,000 Rs 7,00,000 42 Rs112,00,000

Start-up Expenses to Fund Start-up Assets to Fund Total Funding Required Assets Non-cash Assets from Start-up Cash Requirements from Start-up Cash Balance on Starting Date Total Assets Liabilities Current Borrowing Long-term Liabilities Total Liabilities Capital (Planned Investment) ICICI Bank HDFC Bank Other Investors Total Planned Investment Loss at Start-up (Start-up Expenses) Total Capital Total Capital and Liabilities Total Funding

Rs 22,00,000 Rs 41,20,000 Rs 63,20,000

Rs 39,60,000 Rs 1,60,000 Rs 1,60,000 Rs 41,20,000

Rs 3,20,000 Rs 20,00,000 Rs 23,20,000 Rs 14,00,000 Rs 14,00,000 Rs 50,80,000 Rs 78,80,000 (Rs 22,00,000) Rs 46,80,000 Rs 41,20,000 Rs 63,20,000

Particulars Sales Direct Cost of Sales Other Costs of Sales Total Cost of Sales Gross Margin Gross Margin % Expenses Payroll Marketing/Promotion Depreciation Rent Utilities Insurance Payroll Taxes Permit Renewals Supplies Total Operating Expenses
Profit Before Interest and Taxes EBITDA Interest Expense Taxes Incurred Net Profit Net Profit/Sales

Year 1 Rs 270,00,000 Rs 105,00,000 Rs 6,36,000 Rs 111,36,000 Rs 158,64,000 69.67%

Rs 42,00,000 Rs 17,60,000 Rs 6,72,000 Rs 2,40,000 Rs 1,44,000 Rs 80,000 Rs 3,50,000 Rs 1,00,000 Rs 2,50,000 Rs 97,96,000 Rs 15,60,080 Rs 22,32,080 Rs 2,13,640 Rs 4,03,920 Rs 9,42,480 4.72%

Year 2 Rs 610,00,000 Rs 238,00,000 Rs 19,36,000 Rs 257,36,000 Rs 352,64,000 68.98%

Rs 87,00,000 Rs 22,00,000 Rs 8,00,000 Rs 2,75,000 Rs 1,60,000 Rs 1,00,000 Rs 5,20,000 Rs 1,25,000 Rs 3,10,000 Rs 178,90,000 Rs 138,34,000 Rs 146,34,000 Rs 1,28,000 Rs 41,11,800 Rs 95,94,200 19.82%

Year 3 Rs 910,00,000 Rs 354,00,000 Rs 20,52,000 Rs 374,52,000 Rs 535,48,000 69.81%

Rs 112,00,000 Rs 30,00,000 Rs 9,60,000 Rs 3,00,000 Rs 1,80,000 Rs 1,20,000 Rs 6,10,000 Rs 1,50,000 Rs 4,20,000 Rs 246,40,000 Rs 192,24,000 Rs 201,84,000 Rs 56,000 Rs 57,50,400 Rs 134,17,600 19.62%

Particulars Cash Received Cash from Operations Cash Sales Subtotal Cash from Operations Additional Cash Received Sales Tax, VAT, Received Subtotal Cash Received Expenditures Expenditures from Operations Cash Spending (Pay Roll) Bill Payments Subtotal Spent on Operations Additional Cash Spent Sales Tax, VAT,Paid Out Principal Repayment of Current Borrowing Long-term Liabilities Principal Repayment Purchase Other Current Assets Purchase Long-term Assets Subtotal Cash Spent Net Cash Flow Cash Balance

Year 1

Year 2

Year 3

Rs 270,00,000 Rs 270,00,000 Rs 17,95,400 Rs 287,95,400 Year 1

Rs 62,00,000 Rs 91,30,360 Rs 153,30,360 Rs 17,95,400 Rs 3,20,000 Rs 3,60,000 Rs 96,000 Rs 0 Rs 179,01,760 Rs 108,93,640 Rs 110,53,640

Rs 610,00,000 Rs 610,00,000 Rs 43,56,000 Rs 653,56,000 Year 2

Rs 134,00,000 Rs 243,70,040 Rs 377,70,040 Rs 43,56,000 Rs 0 Rs 7,20,000 Rs 1,20,000 Rs 4,00,000 Rs 433,66,040 Rs 219,89,960 Rs 330,43,600

Rs 910,00,000 Rs 910,00,000 Rs 61,56,000 Rs 971,56,000 Year 3

Rs 189,00,000 Rs 339,02,680 Rs 528,02,680 Rs 61,56,000 Rs 0 Rs 7,20,000 Rs 1,40,000 Rs 4,00,000 Rs 602,18,680 Rs 369,37,320 Rs 699,80,920

Particulars Assets Current Assets Cash Other Current Assets Total Current Assets Long-term Assets Long-term Assets Accumulated Depreciation Total Long-term Assets
Total Assets Liabilities and Capital Current Liabilities Accounts Payable Subtotal Current Liabilities Long-term Liabilities Total Liabilities Paid-in Capital Retained Earnings Earnings Total Capital Total Liabilities and Capital Net Worth

Year 1

Year 2

Year 3

Rs 110,53,640 Rs 16,96,000 Rs 127,49,640 Rs 38,00,000 Rs 6,72,000 Rs 31,28,000 Rs 158,77,640 Year 1

Rs 330,43,600 Rs 18,16,000 Rs 348,59,600 Rs 42,00,000 Rs 14,72,000 Rs 27,28,000 Rs 375,87,600 Year 2

Rs 699,80,920 Rs 19,56,000 Rs 719,36,920 Rs 46,00,000 Rs 24,32,000 Rs 21,68,000 Rs 741,04,920 Year 3

Rs 18,60,080 Rs 18,60,080 Rs 16,40,000 Rs 35,00,080 Rs 78,80,000 (Rs 32,00,000) Rs 9,42,480 Rs 56,22,480 Rs 11,22,560 Rs 56,22,480

Rs 20,15,800 Rs 20,15,800 Rs 9,20,000 Rs 29,35,800 Rs 78,80,000 (Rs 22,57,520) Rs 95,94,200 Rs 152,16,680 Rs 181,52,520 Rs 152,16,680

Rs 28,55,520 Rs 28,55,520 Rs 2,00,000 Rs 30,55,520 Rs 78,80,000 Rs 73,36,680 Rs 134,17,600 Rs 286,34,280 Rs 316,89,840 Rs 286,34,280