Wk 10 EOC: My Plans

As my graduation is nearing, people have asked what my plans are for after college. The answer is simple, I want to work for myself and own my restaurant. The name of the restaurant would be Le Papillon Mexique and it would be a fusion of Latin and French food. It will be a fine dining establishment with a capacity of 100 guests. Attending the Art Institute has given me great insight on what to expect in owning a business. There is much more planning, saving, and producing than what most people expect. It’s not just about cooking, there has to be financial planning, the décor and how many employees there are going to be. Being in Las Vegas where people come from all over the world to have an unforgettable experience, why not give them something that no one has? "Many small business investors secure equity funds from relatives, friends, colleagues, or customers who hope to see their businesses succeed and get a return on their investment. Other sources of equity financing can include venture capitalists, individuals with substantial net worth, corporations, and financial institutions” (447). This is a great city to find investors to fund your small business. There are always people out there who are looking for ways to invest their money into something that will turn into a profit. So that is my plan, to graduate college with my Bachelor’s degree in Culinary Management and find investors who will view my plan as a success and start my little business in this big city.  

Wk 7 EOC: Trump and Small Business

This past year, the presidential campaign has been headlining in the news almost every day. Finally, election day came and Donald Trump is now the Presidential Elect. Many people now wonder what the economy will be like once he’s president, since he’s a business man himself. “Manta's survey, which polled a diverse group of 834 small-business owners nationwide between Sept. 26 and Sept. 28 revealed that Republican candidate and business mogul Donald Trump was the winner, with 58.7 percent. Democratic candidate Hillary Clinton garnered 41.3 percent of their vote” (Lori Ioannou). Yet, many surveys how that these small businesses choose him over Clinton. They say that he’s a businessman who will help the smaller business thrive so there can be an economy boost. Despite the positive feedback from some small business, there are others who think that its will destroy their future. “Trump cannot relate to the struggles of the average American business owner. Born into wealth, his father issued him with a $1 million loan to get his business off the ground. Despite his claims that his rise to one of the wealthiest Americans wasn’t easy, Trump does not know what it’s like to pinch pennies. Further, his companies claimed bankruptcy four times” (Rohit Arora). Their view on this is where I agree, although he may be a business man, he doesn’t know what it means to start from nothing or to struggle as you continue your business. “Many small business investors secure equity funds from relatives, friends, colleagues, or customers who hope to see their businesses succeed and get a return on their investment. Other sources of equity financing can include venture capitalists, individuals with substantial net worth, corporations, and financial institutions” (447). With his view on deporting all the immigrants, if that were to happen, the economy would crash. Business would be at a standstill for lack of employees. Yes, they may be here illegally but they are contributing to our economy. No one would want to do their dirty work so who will them? This is a conflicted argument, but unfortunately, small businesses will suffer to an extent. 

Sources Cited

Arora, Rohit. "Why Donald Trump Would Be the Worst President for Small Business." Forbes. Forbes, 29 Feb. 2016. Web. 12 Dec. 2016.

Ioannou, Lori. "Small Business Says Trump Is Their Pick for President." CNBC. CNBC, 5 Oct. 2016. Web. 12 Dec. 2016.

Wk 9 EOC: Acquire the Restaurant?

Assume that the restaurant’s sales volume last year was approximately $1,400,000, and thus its loss for the year was about $98,000.


   1. If Dan and Loralei decide to buy the restaurant, some fixed costs would be incurred. List at least five important fixed costs that would be directly affected by the purchase decisions Dan would make regarding the acquisition of the property.
-Some fixed costs that are important and would directly affect the purchase decision include: mortgage payments, insurance policies, salaries, and taxes for both property and business.  the cost involved is the same (fixed) each month. For that reason they are called fixed costs. "...a fixed cost is one that remains constant despite increases or decreases in sales volume (number of guests served or number of rooms sold" (316).

   2. If Dan and Loralei operate the restaurant, some variable costs would be incurred. List at least five important variable costs that would be directly affected by the operating decisions Loralei will make as she manages the restaurant.
-Variable costs that could affect the operating decisions include the costs of food, drinks, cleaning supplies, utilities, and labor costs. "A variable cost is one that increases as sales volume increases and decreases as sales volume decreases" (317).

   3. Consider the decisions Dan and Loralei will make if they choose to acquire the restaurant. While clearly both are important, whose decisions do you think are the most important to ensuring the future profitability of the Watershed? Why do you think so?
-Both decisions are very important for a business. I think that Loralei's decisions are the most important to ensure profitability because just increasing sales could also mean the increase in variable costs, which could then be more expensive in the long run. Decreasing fixed costs to a safe level where the restaurant can still run perfectly and increasing sales will give them a buffer in which they could fall back to for whatever reason. "Good managers seek to decrease their fixed costs to their lowest practical levels while still satisfying the needs of the business and its customers. Those same good managers, however, know that increases in variable costs are usually very good!) (318).