Dwight Froe
Denver, CO (USA)
Role(s):
Founder/Owner/Principal
Chef Froe Foods
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Startup
Location:
Denver
Industry:
Food Service/Restaurant
Year Founded:
2007
Number Employees:
1-10 people
Business Stage:
Creation/Idea
Entity Type:
Limited Liability Company
Description:
Chef Froe Foods, Inc., (the Company), is in the lunch catering business and exclusively markets it products and delivery services to office workers ONLY in highly dense downtown metropolitan cities across the United States. The first city the Company will begin its operations is Denver, Colorado, which is also the location of the corporate headquarters. The Company products consist of healthy and nutritional soups, chili, stews, pastas, salads, desserts and are marketed as a convenient alternative to "fast foods." In addition, the Company offers special “dietary” lunches for office workers with diabetes, heart conditions, etc. (Similar to the Nutri-Systems concept but better!)
The Company products and services solve several problems the typical downtown office worker faces daily; 1) not eating properly - hot dogs, pizza, other fast foods; 2) not having the time to run errands or relax during their short lunch break - it can take up to 15 minutes just getting out for lunch in many downtown office buildings; 3) and last but not least, spending way too much of their hard earned money for lunch – the average downtown Denver price for lunch is between $6 to $18 per person.
Through a unique marketing program, downtown office workers place their lunch orders using the Company Internet website, "(URL removed)." All orders received before 10 A.M. are guaranteed delivery to the consumer's office by noon and are delivered "cold" for the consumer to reheat using the office microwave at their convenience.
The Company products are prepared and packaged weeks in advance using an Organic certified kitchen located in Denver, Colorado. Through a process which does NOT include food preservatives, the Company foods maintain their flavor and have a shelf life of at least (3) three months. Thus, unlike many of its “brick and mortar” downtown restaurant competitors, (URL removed) does not have costly food spoilage to subtract from its profits or monthly high lease or mortgage payments since the kitchen is rented on an as need basis.
First year operations in Denver is expecting to conservatively deliver 5,000 meals per day and generate over $4 million in annual sales with a 70% GPM (gross profit margin.) By the 2nd year end, sales are expected to exceed $15 million.
The Company's niche is the lunch crowd and only serving highly dense areas consisting of at least 100,000 office workers. Chef Froe Foods delivery operations are designed to be easily duplicated into other major cities. Within 3 years the Company will establish delivery operations in 100 U.S. major cities and generate over $1.5 billion in annual sales.
Chef Froe Foods is seeking $100,000 in total startup capital to be used for completing product development, website creation, logistics and general working capital.
The Company's overall business model is perfect for franchising. Delivery operations in major cities across the country can be setup very inexpensively, approximately $50,000 per city. The “exit strategy” for the Company is to position itself within 5 years or less for acquisition by a larger corporation looking to diverse their assets. Corporations that have acquired similar companies such as Chef Froe Foods include McDonalds, Yum Brands, Pillsbury, and Warren Buffet to name just a few.