Fitness food oriented fast casual concept with bowls, protein shakes based on affordability, simplicity, nutrition via cloud kitchen.
Currently finalizing the menu and preparing the business to get started with a first food truck in San Francisco. Gaining customer insights with the truck we can then quickly expand into brick-and-mortar stores in the financial district.
The greater market of this business is called the Fast Casual Sector, which is a $60 billion sub-sector of the restaurant industry in the US. The targeted customer is between 16 and 35 which includes students, professionals as well as young families. Average checks are about $12 and food is mostly higher quality than junk or comfort food. Within this market, Fuel especially addresses people with a certain health and fitness awareness, also people who in general wanna eat healthy or follow any kind of diet.
Problem or Opportunity
Over the past couple of years fitness and healthy lifestyle has increased tremendously and people are more aware of their body in general.
Currently, fitness and healthy aware people have few bad options when eating out: Either prepare food at home or making compromises with available restaurants. Mexican gets boring after eating three days in a row, other places are just salad, smoothies are loaded with sugars and cost 10$. Fitness people and everyday athletes have no place to go as of now.
Solution (product or service)
The solution we have is called “Fuel Fitness Restaurants”. This food chain concept is simple: We offer internationally inspired food in a unique experience for the fitness and health aware customer. Our offering is simple but tasty and affordable and serves the needs of everyone who want to stick to their diet in a convenient and affordable way.
1. Chipotle: Only Mexican food, fresh and healthy but norrow offering and boring
2. Sweetgreens: Only salad, dressings have lots of fat, expensive (13$)
3. Jamba Juice: Few protein options, loaded with sugar, expensive (10$)
Advantages or differentiators
1. Dedicated to a topic, not a dish: A true fitness brand that addresses all the sports loving people which do not have time to cook and who love diverse food
2. Network Concept: Our concept of a restaurant with out a kitchen and only one central cloud kitchen makes us more scalable, more profitable and less risky.
A great opportunity to test this concept is to start with a first low-cost food truck in San Francisco to get the concept up and running, estimated cost for that will be about 100k and 100k additional operating and labor cost. In year one we can expect a revenue slightly above $1million and then expand quickly into stores to make use of our business model.
We want to capture this fast growing niche with a unique business model: Separating the kitchen from the point-of-sales drives down costs significantly and lets us operate more efficiently and at a substantially higher margin. The kitchen will be directly operated by Fuel while we are planning to franchise the food-concept to food trucks and also small brick-and-mortar locations which allows us to control the central part of the supply chain as well as the data while still being able to scale enormously fast.
Money will be spent on
Money will go into the food truck and the food and other supplies as well as setups and administrative costs for the business and in labor.
Offer for investor
We are aiming to pay out our investor after 5-7years with 10x of the investment.
Risks are customer perception and branding. We operate between healthy and fitness, we don't want to be compared to the boring salad company but we also do not want to end up in the arrogant bodybuilding community. We are a brand for everyone who has any athletic endeavors. Branding is key and could be a risk in case any communication is not thought through.
Incubation/Acceleration programs accomplishment
So far we did not participate in any accelerator programs but we are starting to look for that now as we want to initiate the pilot phase in September 2019.