ExpressoFresh Brew Café — Appendices
Stellenbosch Central, Western Cape, South Africa
Section 19 · Business Plan
Appendices
Stellenbosch Central, Western Cape, South Africa
Appendix A: Detailed Financial Model Assumptions
| Assumption | Value | Basis |
|---|---|---|
| Annual inflation rate | 5.0–5.5% | SARB inflation target range |
| Revenue escalation | 8–12% p.a. (real growth + inflation) | Industry growth benchmarks |
| COGS as % of revenue | 33–38% | Hospitality industry benchmarks |
| Rental escalation | 7–8% p.a. | Commercial lease market norms |
| Staff cost escalation | 6–8% p.a. | CPI + merit increases |
| Loan interest rate | Prime + 2% (~13.5–14.0%) | Commercial lending rates |
| Corporate tax rate | 27% | SA corporate income tax rate |
| Depreciation – leasehold improvements | 5 years straight-line | Lease term aligned |
| Depreciation – equipment | 5–7 years straight-line | Useful life estimates |
| Working capital cycle | 14–18 days | Cash-based business (low debtors) |
| Debtor days | 3–5 days | Primarily cash / card transactions |
| Creditor days | 14–21 days | Supplier payment terms |
Appendix B: Glossary of Key Terms
| Term | Definition |
|---|---|
| Specialty Coffee | Coffee scoring 80+ on the SCA (Specialty Coffee Association) 100-point scale |
| Third-Wave Coffee | Movement treating coffee as an artisan product, emphasising origin, roasting, and brewing technique |
| SCASA | Specialty Coffee Association of Southern Africa |
| COGS | Cost of Goods Sold – direct costs of producing items sold |
| EBITDA | Earnings Before Interest, Tax, Depreciation, and Amortisation |
| IRR | Internal Rate of Return |
| NPV | Net Present Value |
| NPS | Net Promoter Score – measure of customer loyalty and satisfaction |
| B-BBEE | Broad-Based Black Economic Empowerment |
| HACCP | Hazard Analysis and Critical Control Points – food safety management system |
| LSM | Living Standards Measure – South African consumer segmentation tool |
Appendix C: Contact Information
ExpressoFresh Brew Café (Pty) Ltd
Stellenbosch Central, Western Cape, South Africa
Managing Director: Thabo Nkosi
Email: thabo@expressofresh.co.za
Telephone: +27 (0) 21 XXX XXXX
Finance Director: Daniel Jacobs
Email: daniel@expressofresh.co.za
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