Internet Cafe Startup Funding Sample Business Plan
Requesting Funding for Café Online – Internet Café Startup
We welcome this opportunity to submit our proposal to create an internet café in the community of Alberton on Prince Edward Island. As a resident of the island, you are aware of the limited access to the internet available in many locations. Opening an internet café in Alberton would extend access for residents and tourists alike in that area.
Our team has the experience and the vision to make this endeavor a success. We can quickly pay back the initial investment you make in our project. We’re anxious to get set up before this year’s tourist season begins, and we look forward to receiving your approval for funding soon. Café Online is in need of funding to cover startup expenses for a new internet café to service the Alberton community and its growing tourist industry.
Funding needs, background and repayment plans to get the venture up and running before this year’s tourist season begins are included below. We will be in touch this week to go over the details in person. "Our internet café will serve both the local community and our tourists".
This proposal discusses the need to fund a new internet café on Prince Edward Island.
To open an internet café in Alberton, Prince Edward Island. Greater internet access and available computers for the local community. Greater internet access and available computers for tourists.
A safe and fun place for our young people to "hang out".
Alberton currently has public internet access available only during limited hours at the local library, and only on four days per week. Make internet access and computer usage available seven days a week. Create an additional attraction for tourists.
Host supervised networked gaming nights for teens.
Our internet café will serve both the local community and our tourists. Fund the initial two-year lease and modest remodel of the building at 492 Church Street. Purchase servers, routers, computers, printers, and associated peripherals for fast internet access and business computer usage.
Set up our internet café in time for the tourist season this year, opening on May 1, 20xx. This is an opportunity to set up a modest business that will benefit the residents, entrepreneurs, and tourists on our island. Our competition is currently negligible in the Alberton area.
Our small local population swells with tourists during prime vacation seasons and on weekends, and kids in particular are looking for internet access and activities. We believe our game nights will be a huge draw for this crowd. Alberton Public Library Our public library offers several computers for internet access and database research.
Hours are limited, individual usage is determined by how many are waiting to use a computer, and the library is closed three days a week. CAP Site in Town Hall This small government-funded Wi-Fi office has several computers available for public use, but only during limited hours on five days a week. The equipment tends to be outmoded and no instruction or supervision is offered.
Inns and B&Bs in the Alberton Area Several of the inns and bed-and-breakfast facilities in our area have Wi-Fi service for their guests. These spots serve only their own guests, and most offer only one computer for guests to use. We believe that our internet café will draw guests who need to conduct business or access email during their vacations, and our game nights will also draw guests from these accommodations.
Coffee shops and inns with Wi-Fi in other towns Various other businesses offer Wi-Fi service on the island, but most are more than an hour’s drive away and thus offer little competition. Our internet café will be open seven days a week and will host networked gaming nights on Friday and Saturday evenings, offering tourists and locals a safe, entertaining place to socialize. We have determined that the vacant building at 492 Church St in Alberton is the perfect venue for the new Café Online.
This building was formerly occupied by a small convenience store, and consists of 1200 square feet with plenty of electrical outlets, a unisex restroom, and a front counter. The only remodeling we would need to do is cleanup and painting, then set up tables with computers and printers and run new electrical connections out into the main room. This is on a main street close to the highway and to a bus stop. It will be easily found by locals and tourists alike.
The parking lot and entry and exit doors are well lit by exterior lights. We will set up security cameras for extra protection.
Alberton has adequate utilities and transportation services to support this enterprise.
Alberton is a modest small town with a permanent population of less than 2000 and a good mix of ages and incomes. Because it’s on the main route around the island, many visitors—especially tourists—use our services each year.
The parking lot of this location can accommodate up to 20 compact cars, and street parking can accommodate more. The building is all on ground level, making it accessible for handicapped clients.
The only other venues in Alberton that offer internet access are the library and the CAP site in the Town Hall, both of which have extremely limited hours and are not open every day.
We plan to advertise our new enterprise in the island newspaper for the first month we are open, but most people are likely to notice our signage on our new location and simply stop by. We will make an effort to reach out to the local schools, churches, bed-and-breakfast venues, and hotels, who will be happy to send clients our way. Alberton is a small community in terms of permanent residents, and our sole public Wi-Fi areas are the local library and the CAP facility in the Town Hall, both of which have limited hours.
It can be expensive and complicated to set up and maintain the latest hardware and software required to run modern applications. Many of our residents do not have computers in their homes and thus rely on limited public usage for access to the internet. This is a serious disadvantage for our citizens. Other than occasional church-sponsored events, our local teens have no safe public place to gather and socialize.
We plan to host networked gaming nights on Friday and Saturday evenings, and we believe that this will be a big draw for local teens and the children of tourists, too. During our tourist season, our population often triples, and internet access is one of the most common requests from our visitors. This is a need that an internet café would fulfill.
We have no local computer repair or consulting service, and our management team will offer that. Having a local internet café would be of tremendous benefit to both the local community and the tourists.
Our local schools and library support our internet café Our community knows how important internet access and computer knowledge is, so they have pledged to support and recommend our new business enterprise. Our local businesses welcome our new enterprise All businesses these days have computers, but to get service and support, most local business owners are forced to take equipment to Charlottetown or pay for a technician to drive all the way from the provincial capital. Local entrepreneurs are excited that our internet café experts will offer troubleshooting and repair services. We can also help with large print jobs and temporary loans of laptops if needed.
Local teens are eager to participate in our game evenings We already have a mailing list of 72 individuals who want to be informed when we begin our networked gaming nights. We plan to sell punch cards at reduced prices to participants who want to attend repeatedly.
Our community will have greater access to the internet We all know it’s a global economy and education system, but lack of resources and connectivity make it hard for small communities like ours to participate. This will increase our community’s exposure to the wider world. We offer inexpensive computer services for the community Many of our citizens don’t use computers often enough to have them in their own homes, and some would find it difficult to invest in a good computer and printer and pay monthly access costs. Our internet café offers these people an opportunity to use a computer and printer for a small fee.
Citizens who already have computers will take advantage of our troubleshooting and repair services. The internet café will be a tourist draw Nearly everyone on vacation wants to check their email or social network sites now and then. Often a business exec on holiday must write instructions or perform an urgent transaction online. And after a long day at the beach, teens get bored just sitting around a hotel with their parents.
The internet café will draw in tourists as well as receive regular attendance from the locals. Our community can’t wait for our internet café to open for business. The services provided by our new internet café would benefit both the local community and visitors passing through.
Computer and internet access for the public There is a need for more computers and greater internet access in our community. Our internet café would serve this need for our local citizens and guests. Temporary use of standard office software and printers Sometimes our local businesses, students, or visitors passing through our community need a computer just for an hour or two to read email, write a report, print out a flyer, etc. Supervised networked gaming We plan to have supervised game nights two evenings a week to add to our community’s entertainment options.
Computer consulting, troubleshooting, and repair services Two of our three partners have extensive experience in selecting and maintaining computers. Therefore, we will offer these additional services to anyone who needs them, saving them hours of driving. Nonalcoholic beverages and snacks Although we plan to limit eating and drinking in close proximity to our equipment, we simply cannot be considered a social destination unless we offer coffee, tea, soft drinks, and snacks. These will be sold at our front counter for consumption in our waiting area, which will also hold a few small tables and chairs.
As we grow and become known in the community, we may choose to offer instruction in the use of various computer programs, or other services. We will maintain a Suggestion box at the front counter so people can share their wish lists with us. Prince Edward Island is a fairly small community, so word spreads quickly about any new enterprise. But to get the news out and build up our user base as quickly as possible, we plan to do the following.
Advertise in the PEI Journal for the first month
We plan to offer reduced-price punch cards for a limited time to help locals become accustomed to our presence. The paper is also eager to publish an article on our new business whenever we feel it is appropriate. Distribute flyers to the library and to all local inns and eateries.
These institutions are eager to send us patrons, so we plan to keep them well supplied with flyers that advertise our hours and services. Display a large sandwich board advertisement on the street next to our entrance. Drivers and pedestrians won’t be able to miss us.
After a few months, we will evaluate whether additional marketing efforts and funds are needed. Our organization may be new, but our staff are experienced in providing technological solutions to customers. Claude Genet, Partner Business Development Manager Claude has ten years of experience as a senior manager with Bell Aliant in Montreal, where he specialized in projects extending telecommunications services to rural communities.
Claude will be responsible for fundraising, financial operations, and marketing operations. Bentley Clifford, Partner Technology Manager Bentley owned and operated The Fearless IT Store in Halifax, where he sold computers and peripherals and set up networks for homes and small businesses. Bentley will purchase and set up all computers and peripherals for our internet café. Suzanne Browne, Partner Customer Service Manager As co-owner of The Fearless IT Store in Halifax, Suzanne is an expert in matching technology to customer needs.
Suzanne will consult in purchasing and setup of all devices, and will also train and oversee the staff on a daily basis. Eric Montray, Staff Eric is a native of PEI and has worked as a computer technician for a variety of companies in Charlottetown. He is looking forward to walking to work from his home in Alberton.
Maura McDonald, Staff Maura has worked as a part-time librarian in Charlottetown for the last decade. She is excited about the opportunity to use her reference skills to help Alberton residents and tourists use the internet to its full capacity. Genet, Clifford, and Browne are our partners in this enterprise and our management team. They have each committed $16,000 in funds to this project, and have agreed not to withdraw payment or profits for the first three years.
Montray and McDonald will manage the internet café on a daily basis, with oversight from the management team. More staff will be hired as business expands. This project will require the following computer hardware and software to complete.
Purchases of multiple hardware components will allow us to bid the price per unit down.
- 12 PC Desktop Stations
- Monitors, keyboards, mice, game controllers, headphones
- 6 Macintosh Desktop Stations
- Monitors, keyboards, mice, headphones
- 3 B&W laser printers, 1 color laser printer, 4 color inkjet printers photo quality
- 2 routers for wireless network
- Group licenses for Microsoft Office Suite, Mac Software, and Adobe Design Suite
When dealing with the internet, data security is always an issue. And when running a business that is heavily equipment and cash dependent, physical security is an issue, too. As far as data security controls, we plan to do the following.
Install the latest security software on every computer We will purchase a site license for all our networked computers and ensure that all systems are constantly updated to protect against viruses and unauthorized network intrusions. Ensure our router uses the best encryption techniques and is password protected We don’t want passersby to intercept any signals from our network. Maintain and back up logs of usage for each computer In the event of a problem, we will be able to track down the issue and inform all users who might have been affected.
We will install security cameras at both exits and within the room Videotaping will be done 24-7 and tapes will be stored for one month. We will install an electronic alarm system on all doors and windows We want to protect our computers and premises from theft and vandalism. Alarms will go straight to the local police. All exterior areas will be well lit Exterior lights are already in place on the premises.
We are well prepared to handle all security concerns. The following summarizes Café Online’s request for funding. Funding is to be used for purchasing equipment, marketing activities, and staff salaries for the first two years of the project.
The Café Online requests $99,600 in funding.
We expect to reach profitability after 24 months of operation, and will repay the $48,000 loan in monthly installments spread over three years, achieving full repayment at the end of five years. Standard Disclaimer. The numbers represented above are estimates.
The above Budget does in no way constitute a warranty of final costs. Café Online will start repaying the loan 24 months after receiving the funds, in installments per the repayment plan outlined below. All funds for repayment will come from usage of the business.
Customer Fees We plan to charge $10 hour for use of our computers, and $.50 per page for printouts. We estimate that customer fees will bring in between $1500 and $5000 each week. During the first two years of operation, we will bank all funds received or invest them in insured deposits in trusted Canadian banks to build up our repayment account. Partner Funds Available if Needed Each of our three partners has already contributed $16,000 in funds to the startup of the business.
If needed, they are willing to contribute more with the expectation of eventual payback and profit. We do not anticipate needing any additional funding, and instead expect to begin repaying our partners as well as our creditors in year four of our operation.
On the 25th month after receiving funds, we will begin paying back the total amount outstanding on the loan, divided into 36 payments. We will achieve full repayment at the end of 60 months after the receipt of funds. Café Online is a new organization, but our members are experienced in the area of technology and community service. We pledge to provide internet access to residents and tourists seven days a week.
"We pledge to provide internet access to residents and tourists seven days a week". We are residents of the community of Alberton on Prince Edward Island, so we know how important this is. Please see our Staffing page for more information about our combined experience.