Industry: Restaurant
Country: Canada (Toronto) Assignment 5
The purpose of this assignment is to investigate how your business will function from the perspective of
location and logistics.
1. Explain the process from a logistics perspective as to how prospective and actual customers will
interact with your company to acquire services and or products. This includes all interactions
between customers and your company, fulfillment and payment.
2. Do you or do your customers/clients require a physical place to conduct your business? This
would include your head office and any retail or office or manufacturing space or warehousing
space.
3. If so, describe the type of facility(ies) needed in terms of size, location, zoning as in commercial
or industrial.
4. Describe whether the location is important for you to get a competitive advantage or are you
flexible on location?
5. In terms of each location, do you plan to buy and own or will you lease the premises?
6. If your answer to 4. is buy, what would be the cost for the purchase of such a property? What
would be your down payment and how would you finance the balance? What kind of loan or
mortgage would you prefer and why? What would be the monthly costs? What would be the
setup costs for you to customize the building to your needs?
7. If your answer to 4. is lease, what would be the terms of the lease that you would be
negotiating? Specifically, the cost of such a lease over what term and would the lease include
utilities? Would the lease include the any setup to customize the location to your needs?
8. At this point in time, for how long do you foresee the premises identified in 5 or 6 above as being
able to meet your future needs?
9. What are your operating risks? What type of insurance do you need for the various aspects of
your business? What would be your estimate of the amount of insurance coverage you would
require and what would be the annual cost for this type of insurance? For example, do you need
fire insurance, burglary insurance, liability insurance, employee injury insurance or any other
type of insurance? Identify one or more organizations that provide this type of insurance.
10. What are the zoning and other government regulations that you must meet in order to not be
surprised one day with the potential immediate closure of your business?
