Bakery Business Plan
Ready to start your own bakery business? Set yourself up for success by creating a solid business plan. Download this business plan template, with pre-filled examples, to inspire your own plan.
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- A complete business plan Unlike other blank templates, our business plan examples are complete business plans with all of the text and financial forecasts already filled out. Edit the text to make the plan your own and save hundreds of hours.
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Key sections in this bakery business plan:
All of our sample business plans are complete and include all of the sections that bankers and investors expect to see. Every plan includes the following sections:
- Executive Summary : A quick overview of your plan and entices investors to read more of your plan.
- Company : Describes the ownership and history of your business.
- Products and Services : Reviews what you sell and what you’re offering your customers.
- Market Analysis : Describes your customers and the size of your target market.
- Strategy and Implementation : Provides the details of how you plan on building the business.
- Management Team : An overview of the people behind the business and why they’re the right team to make the business a success.
- Financial Plan : A complete set of forecasts including a Profit and Loss Statement, Cash Flow Statement, and Balance Sheet.
If you're interested in learning how to write a business plan, read our free in-depth guide to writing a business plan , download our free Business Plan Template , and check out LivePlan —our award-winning business planning software.
Looking for a sample business plan PDF? You can download a few PDF examples below:
- Accounting and Bookkeeping Sample Business Plan PDF
- Agriculture Farm Sample Business Plan PDF
- Cleaning Service Sample Business Plan PDF
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Download Now: Bakery Business Plan Templates for 2021
A bakery business isn’t that difficult to start but it comes with a lot of planning. You can’t just release all your baked goods overnight without carefully planning how you’re going to market and sell it. You will need to figure out your menu, where to get your supplies, the costing for each of your baked goods, and how to package them. You will have to jot everything down, lay the groundwork for all your needs, and set goals to meet them.
If your love and passion for baking have made you decide to put up a bakery, then you’re in the right place to figure out how to start on one. As with all other businesses out there, you will need a business plan and we’re here to help you how to make one.
Why Do You Need A Business Plan?
Do you need a business plan for a bakery?
A business plan is a guideline to help you figure out what direction your business is heading and what goals you want to achieve. It’s also a great plan to present to banks if you’re looking for a loan and for potential business partners if you’re looking for investors. But most of all, you need a business plan to help yourself. It will serve as your guide on how to achieve your goals and even compute your possible profit.
By the end of this guide, you’ll be able to draft up your business plan or you can use the template we’ll provide that’s available to download below.
- Executive summary
- Company description
- Customer focus
- Mission statement
- Market analysis
- Industry analysis
- Product line and services
- Sales and marketing
- Financial plan
- Download templates
Start your bakery business plan with an executive summary section. This section is all about providing brief information on your business without getting all the details in. The goal of this section is to get the whole picture of what your bakery is all about at a single glance.
Just 2 to 3 sentences per category should be enough to express your ideas. You’ll get the chance to explain everything specifically in the later part of the business plan.
Imagine having a booth at a food fair with dozens of other businesses right next to you. What are the things you can put on your sign that when a customer passes by they’ll be able to figure out what you’re selling in just a couple of seconds?
That is what you are going to write in your introduction. You are going to supply information that’s eye-catching, attention-grabbing, but also sticking to the realness of your bakery.
Related Reading: The 6-Step Marketing Growth Plan for a Home-Based Bakery
Here’s an introduction example you can follow:
Quick Bites is a bakery that offers a new take on the bread scene for New Yorkers on the go. All the buns are stuffed with delicious filling, both savory and sweet to satisfy a hungry tummy in need of that quick snack that’s conveniently packaged to eat on the run.
Just by reading that example, you’ll know that Quick Bites is:
- A bakery that supplies buns with filling that is either savory or sweet.
- Located in New York.
- Catered for people looking for a quick snack.
Capture your reader’s attention by keeping things light yet informative in this part of the business plan.
Write a company description.
Every bakery business has a background. You’ll want to include how many years in the making has your bakery idea been going around and who is in charge of it. Will it be a partnership? Will you be doing the baking and managing at the same time? Putting in a little bit of your bakery’s background helps give the reader a brief understanding of what your business’s managing strategy is going to be.
The first thing on your mind when you decided on putting up a bakery is probably the menu. And though that’s quite exciting to draft up at once, you’ll have to decide on the services you’re going to offer first by figuring out what kind of bakery you’re going for.
Here is a guide to choose the type of bakery you want:
- Full service – This includes having your own space with a kitchen and baking area, a display area for your baked goods, and dine-in options with drinks such as coffee or tea.
- Take-out service – This is a type of bakery where you have a small space just to display your baked items and offer a drink or two. Customers can just line up and order your buns to go.
- Online – This type of business does not require any space. This is all done in your kitchen at home. Customers will just place their orders online and will pick them up or have them delivered.
By deciding this early on, you can have a clear image of what your bakery is going to look like and how it will operate.
Cake bakery display case.
We know what you’re thinking: everyone is your potential customer. And though that is the goal, you still need to list down your target customers so you can focus on a certain product line to sell.
Take for example Quick Bites. As mentioned in the introduction, the bakery is for those who are looking for a quick snack to eat. Therefore, their target customers are mostly working people who do not have time to sit down for a meal and are looking for a convenient yet delicious food replacement while still having the time to work.
Related Reading: 101 Creative Bakery Names You Can Use Right Now
With this focus in mind, Quick Bites’ product line of filled buns fit this category since busy people can eat their buns with one hand only so they can focus on doing other things instead.
Again, be sure to keep this short. You can add in the details later on in the Target Market section of the business plan.
Every business has a vision no matter how small it is. If you just plan to have a simple bakery up and running, you still have goals to meet. This is how businesses succeed since a mission statement allows owners and staff to be reminded of the direction they’re heading.
An example mission statement for Quick Bites would go like this:
Quick Bites’ mission is to serve a variety of freshly baked bread, particularly buns with different filling, that can satisfy a hungry tummy on the go. Our buns are nutritious and are packed with only real ingredients. No artificial flavors will be used and no preservatives are added. Our bakery is committed to making quick meals that are convenient to eat while working and we ensure that they are also healthy and affordable.
It’s time to get all the details down for your bakery’s concept. Think of it as the longer and more detailed version of your executive summary. This section is quite easy and fun since you can now list everything you’ve planned your bakery to have.
Will you be serving artisanal bread? How about puff pastries? Will you be including cakes? Will you also be offering coffee and tea? Will you be baking on the premises or will you have a commissary located somewhere? What are your operating hours?
All these things are important so list down everything you can think of that discusses what your bakery’s concept is going to be.
Learn more about Jennifer Jacobs.
At this point, you’re probably wondering why you should care about analyzing the baking industry around you when all you want is to just bake your bread and sell them.
Well, let’s put it this way: baking bread might be easy but the selling part may be a little difficult if you don’t know your target market, the bakery business trend in your area, and the competition around you.
Writing down your target market is easy since you already mentioned it above on your Customer Focus section. Just add in more details so you or anyone else who will read this will understand more about which group of people do you cater to.
Include the following in your target market list:
- Working-class or students
- Location (local office workers, neighborhood families, etc.)
To ensure your bakery is going to be a success, analyze the trend surrounding this type of business in the area you’re planning to open this up. For instance, if you’re like Quick Bites whose target market is the working class, then you’ll need to check the area around your planned bakery if this is a place where several offices are located.
You may also include a study on whether or not people like artisanal bread or healthy bread. This can help you check whether your planned menu can sell successfully or not.
For online bakery businesses, you can focus on the factors that people tend to look at when they’re ordering food online. This includes:
- The preferred number of days for pre-orders.
- Delivery times and rates.
You’ll have to come to terms with the fact that you’ll have competition once you open your bakery business. That’s not entirely a bad thing. Having competition can help you analyze the prices for your baked items and it would also draw in interest from other potential customers. The trick here is to be better than the rest and that is why you are doing this business plan so you can succeed when you start selling your items.
If you are putting up a physical store, list down the bakeries surrounding your potential location. If you are an online store, you can also compare other online bakeries in your neighborhood.
You may even do a comparison. Write down the top three business names of your competitors, their strengths, and their weaknesses, and see where your bakery stands out.
Knowing the roles each person plays in your bakery business is important. It sets a clear and distinct understanding so that no arguments will happen in the future regarding their duties. This is particularly helpful when you’re in a business with a partnership so there are specific roles and duties indicated per person.
But even if you’re running the business on your own, it’s still important to write it all down so you’re aware of what else you need to do and if you need to delegate some tasks.
Related Reading: Learn how a Culinary Grad Built a $26k/Month Pastry Shop.
You can divide these into the following:
- Management Team – These are the people who will be running the business, those who will be in charge of sales and marketing, bookkeeping, filing and processing of legal documents, research and implementation, and ordering of supplies.
- Bakers – These will include the people in charge of baking your products.
For a bigger bakery with dine-in capacity, you may include these as well:
- Servers – These will include the people who will prepare the food to serve such as reheating bread or assembling them.
- Baristas – If your bakery is serving coffee, these are the people in charge of working the espresso machine.
However, some bakeries have their servers work as baristas at the same time so it’s important to state this clearly so your employees will know their duties.
- Cashiers – These people are in charge of manning the counter for any purchases.
- Clean-up Crew – These will include people who are responsible for cleaning the tables, dishes, and everything else that you need to sanitize your bakery.
Product Line and Services
Cake pops are a favorite at bakeries.
This section is the moment you have been waiting for. This is where you’ll place all the products you are going to offer in your bakery. Be it puff pastries, sandwiches, or artisanal bread, just be sure to write them all down. Be specific and indicate the prices as well.
Aside from your product line, you can include other services you wish to offer. Do you do wedding cakes? How about customized cakes? Would you be willing to supply bread to other businesses? Are you open to catering? Putting this all down in this section will help you organize your thoughts so you can put them into action carefully.
Sales and Marketing
A very helpful way to start marketing your bakery is to combine your target market and product line to bring attention to what you’re selling. For Quick Bites, since their target market is for people on the go, they can push how convenient their buns can be eaten while they’re walking on the street. They can also advertise the many flavors of buns they can offer from sweet fillings such as custard or jam to savory ones such as pepperoni, cheese, or vegetables.
Social media is also a great way to market your business. By putting up nicely photographed images of your bread and knowing the right trending hashtags to use, you can capture a huge number of followers.
But if there’s one marketing plan that’s overlooked by many, it’s taking advantage of the sense of smell. Freshly baked bread is pleasing to the senses and can entice customers to check out what you’re baking. So if you have a physical store, use the delicious smell of your baked bread by letting it waft out into the streets to lure passersby. You’ll be surprised just how fast people will flock to your bakery when you allow the scent of your baked goods to fill them.
Red rose cupcakes.
We’re now on to the nitty-gritty part of the business plan. This includes where you’re going to get the money to fund your bakery and forecast the expenses and possible profit you’re going to make. Why is this important? It’s so that you’ll know early on if the concept, product line, and proposed services you’re going to offer in your bakery is profitable or not.
Keep in mind that you don’t really need a lot of money at all if you’re just starting your bakery business. As previous guest on the podcast Jennifer Jacobs explained , she spent the first few years operating a home-based bakery business. Jennifer operated her business for years while holding down a full-time job, before opening the doors to her first retail space. This is the path she recommends for other food entrepreneurs too.
The only thing you need to focus on this section is to ask yourself, where are you going to get the money to start your bakery? Whether it is a small online business wherein you’re the only one who will be doing the baking and selling, or it’s a big bakery with dine-in options and lots of staff, you have to be clear where to get the capital for all of this.
Getting a loan from the bank or inviting investors are a few options you can choose. This is also the reason why you’re making this business plan to convince them to give you a loan or to join in funding your bakery.
Bakery Food Truck.
You will need to list down all your planned expenses for your bakery. For a simple online bakery business, this includes:
- Packaging Materials
- Ingredients (flour, sugar, salt, butter, etc.)
If you are planning to open a physical store with dine-in options, you’ll also have to include these:
- Store signage
- Bread display rack
- Point-of-sale system
- Chairs and tables
- Trays, plates, and cutlery
- Espresso machine
You’ll also need to spend on your advertising materials whether these are in social media or print. The bottom line is, listing down all your proposed expenses can help you forecast the amount of money you need to start your bakery. According to professional bakers we interviewed for this piece, starting up a bakery costs $100,000 and $750,000. With these numbers, you can then set up a budget and start looking around for affordable equipment for your bakery.
Aside from your expenses, you’ll also need to do a break-even analysis so you know if you’ll be able to receive any profit from your proposed product line and services.
Attention Bakery Founders: Download our Food Business Startup Kit for Startup Templates
Writing all your plans down is one thing but to set up a timeline for your operations is another. This sets the gears in motion for when you plan to execute your business.
Do a simple timeline following this example:
Date Plan [Insert Date Here] – Finalize the design and layout of the bakery and secure all rental documents such as permits and business registration. [Insert Date Here] – Start construction. [Insert Date Here] – Hiring and training of staff. You may also start advertising your bakery’s products and opening date. [Insert Date Here] – Start operations for the bakery. [Insert Date Here] – Achieve goals and reach break-even.
This is an example of a physical bakery store. For online bakeries, your timeline should be shorter and simpler.
This section is where most of your documentation to back up your business plan is included. You can also add photos of your bakery’s layout, your proposed design packages, and payroll plans.
Here are templates and real bakery business plan examples you can use as inspiration to setup your own business structure. These are available for download in PowerPoint, Google Docs, and PDF files.
- Bakery Business Plan PowerPoint
- Bakery Business Plan Google Docs
- Bakery Business Plan PDF
- If you are planning to open a physical store, be sure to delegate tasks. It’s fun to be hands-on with everything going around your bakery but you can’t manage the counter and be the baker at the same time. So appoint specific people for different roles but also have them multitask so you don’t hire too many people.
- Plan your menu accordingly. You do not want to bake a lot of bread and let them go to waste at the end of the day. Study the foot traffic around your area as well as your possible bestselling item. For instance, if Mondays are the busiest, then maybe you can double up on your recipes for a certain bread that everyone seems to like best. But you can slow it down on Tuesdays and focus on other items instead.
Don’t be intimidated in starting up your bakery and making this business plan. The point of the business plan is that it’s supposed to help you go through the finer details of your bakery. If the whole bakery business plan seems too complex for you then you just failed in understanding the purpose of it. It has to be easy to read and understand because it will serve as your guide.
Where are you planning to open your bakery? We’re just as excited as you are for this new adventure and look forward to hearing about the plans you put in place. Don’t forget to sign up for our free Food Business Startup Kit for exclusive interviews with bakery founders.
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About the Author: Brett Lindenberg
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Sample Cake Making Shop Business Plan PDF [Template]
Do you need help starting a cake shop? If YES, here is a sample cake Business Plan PDF [Template].
If you love making beautiful cakes, why not consider generating some income with your skills? We are interested in helping you achieve this. It is unlikely that you have stumbled onto this article.
Do you love cake baking and would love to start a cake baking business? Do you know that this type of bakery business does not require much startup capital, resources, and tools?
To succeed in the cake baking business involves lots of creativity, time, and hard work.
CAKE BUSINESS PLAN SAMPLE
Good business skill is also needed to manage a cake business as you will be dealing with people and need to be customer friendly while also making a profit. It is your experience with past customers that will want to make them refer you to their friends and family members.
Here is a sample business plan for starting a cake-making company.
- You Need a Cake Business Plan
Don’t think because you may be starting small and the cake business does not involve too many resources so you won’t be needing a business plan. No business became successful without a business plan whether big or small.
You will need to draw out a bakery business plan for your cake business. This is the first thing you need to do when starting a cake business. Your business plan doesn’t need to be dictionary-size, a 2-3 page of how you wish to operate the business would do.
It must contain everything from the startup cost, operational expenses. to how you intend to market the business etc.
- Create A Website/Fliers
To attract more customers to your cake business, you need to create a colorful website containing cake design pictures with prices for your cake business. Ensure you create a menu on your website that includes all categories of cakes and your pricing, include email address and phone number, live instruction for placing orders at the bottom.
You also will need a business card and fliers for your cake business. It also needs to be as colorful as your website.
Include your website URL to your business card and fliers as well.
Use them to promote your cake business to potential customers and let them know about your services and the benefits of them patronizing your services. Partner with event planners as they can also be a source of customers for your cake business. Be ready to give them some cash for any referrer though.
- Secure Permits and Regulations
Any business that involves the stomach is regarded as a health business. So, the business needs to secure permits from the ministry of health or any regulatory body assigned for this kind of business in your city or state.
Use a memorable and creative cake shop name that will attract the attention of your target market for registration, apply for any necessary licenses, and make sure you look into all other legalities such as insurance, a business bank account, safety, and health requirement.
- Have a Good Location
For a business to be successful, you need a good strategic location, an area that attracts pedestrians and should be easily located by your client.
Rent a store that is spacious because you need a lot of space to bake and also decorate baby shower cake, cupcakes for friends and family, weddings, birthdays, etc.
Think about the number of orders you can execute successfully in your workspace; your client should be able to move around freely too.
- Search for Suppliers
Another thing you need to secure before starting a cake business is suppliers for your cake ingredients.
Search for supplies, ingredients, equipment to get your cake business started . Buy ingredients in large quantities if you have a large amount of supply or order.
It is not good to give excuses to your customers that you are short of ingredients for cake baking. It kills the business without you knowing.
- You May Need Additional Help
As your cake business grows, you may need to hire an additional hand to help in either baking the cake or decoration the cake. The helper will also help with other things like delivery of the cake to customers if needed.
- Stock Up with Equipment and Be Organized
You need to ensure your kitchen is well stocked up with equipment and with all the baking and decorating tools.
This will make your work easier, faster and finer with little or no stress, there should be ventilation and enough space for the equipment, ensure you keep a good diary system, set up a bookkeeping system on paper or software, and also a general admin/filling system for invoices and client record.
- Have Good Resources
Starting a cake business is not cheap but u can start small, you need to have resources to start and stay in business, building a successful business is a lot like building a beautiful cake, you need to consider how much you will be able to make a profit in a week so that u can cover up expenses otherwise you will run ragged in no time with little or nothing to show for it.
HOME-BASED CUSTOM CAKE BUSINESS PLAN EXAMPLE
But if you have, and fall under this category, this cake business plan sample may be what you have been waiting for.
Through this sample, we guide you through the process of creating a good plan for your cake business. There is a misconception among a few that a plan is only used for sourcing financing for businesses.
In reality, your plan is your roadmap towards arriving at your destination. In other words, it helps you reach your goals much easier. In order not to dwell too much on this, let’s get to business!
Mabel Cakes is a unique bakery business that specializes in making different types of cakes. We make occasion-specific products as well as customized cakes for our clients.
Whether it be an anniversary, wedding, remembrance, prom, graduation, or birthday ceremonies, we have our customers covered. We are a new business that will commence operations from home.
The founder Mabel Mathews is a licensed caterer that will start this cake business from her kitchen. Located in Trenton, New Jersey, our humble beginnings do not in any way limit the vision we have for our business.
We have set out definite steps to be taken that will eventually lead to an expansion. This will require us to hire a new outlet eventually.
- Products and Services
Mabel Cakes will bake all types of cakes for a variety of functions. We also consider clients having health challenges.
All of these are factored into the products we offer. In addition to these, we will be providing training services for people who will want to learn some cake baking skills from scratch as well as those whose desire is to update their baking knowledge.
There are lots of innovations in cake making and designs. We will constantly be in the loop with every new development in the industry.
- Vision Statement
Although we are a small cake business, this does not limit our vision for growth. We will be moving out of our current location within a year of starting a business.
We will begin franchising our cake business in 3 years. This is a growth strategy we will adopt. Before then we intend to build a reputable brand through the provision of excellent products.
- Mission Statement
Client satisfaction is of the utmost importance to our existence.
We hold the philosophy that the client is king. The key to our success is to build our business around the customer by understanding what cake designs and will excite our customers and what will not.
We also understand that people have differences in perception of what constitutes an excellent product and what doesn’t.
Our mission is to integrate all of these into providing the best services and products.
To launch our cake business, the financing needed has been realized through savings to the tune of $200,000.00.
This has been specifically kept aside for this purpose. Within 2 years, we will be applying for a loan of$850,000.00 for the expansion of our services.
This will be used for the purchase of equipment and increasing our production capacity through effective marketing.
- SWOT Analysis
This analysis of our operations is essential to how much success we achieve. An independent business consulting service was paid to carry out this evaluation. The following are findings made;
We are driven by an understanding of the industry to provide quality cake products to our clients. There has been an increased preference for exotic and appealing cake designs.
The future of the cake business belongs to the most creative entrepreneurs. We possess a healthy dose of these characteristics.
It will take a longer period to get to our ideal levels where we will be considered for major cake-making contracts. Although this seems like a long way off, we are committed to attaining this goal.
We have the opportunity to expand our market through the process of satisfying our available market. In other words, by building a cake brand known for excellence, bigger opportunities will unfold to us.
A threat we face is an over-saturation of cake makers. In such a situation, there will be more supply than demand which will affect profitability. A good thing is this seeming threat seems a long way off.
- Sales Projection
As a cake business, understanding our sales potential enables us to redouble our efforts towards achieving enhanced profits.
As a way to measure our profit potential, we have done a 3-year sales projection that has turned out positive as shown below;
- First Financial Year $90,000.00
- Second Financial Year $210,000.00
- Third Financial Year $450,000.00
- Competitive Advantage
We are situated in a strategic location where their demand for cakes is high.
This is due to a concentration of catering, rental, and events planning businesses. We have even gone the extra mile by building strategic partnerships with these businesses to promote our services.
- Sales and Marketing Strategy
Marketing is important to how much success we achieve. We will incorporate the most effective forms of marketing that fit our needs.
These will include word of mouth, adverts in newspapers and magazines, and the use of social media marketing.
- Target Market
Our target markets will consist of events planners, families, colleges, and religious organizations.
There has been a steady rise in demand for care services by these segments of society. We will not restrict ourselves to these alone.
We will be happy to add even more possible clients as well.
By now you should have gained a better understanding of things needed in a cake business plan.
This cake business plan sample has attempted to get straight to the point by focusing on some of the most overlooked areas of a plan. You should use this sample to carefully write your plan without rushing the process.
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Bakery Business Plan Template
Business Plan Outline
- Bakery Business Plan Home
- 1. Executive Summary
- 2. Company Overview
- 3. Industry Analysis
- 4. Customer Analysis
- 5. Competitive Analysis
- 6. Marketing Plan
- 7. Operations Plan
- 8. Management Team
- 9. Financial Plan
Bakery Business Plan
You’ve come to the right place to create your bakery’s business plan.
We have helped over 100,000 entrepreneurs and business owners create business plans and many have used them to start or grow their bakeries.
A bakery business plan is a plan to start and/or grow your bakery. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan, and details your financial projections.
How To Write a Bakery Business Plan & Sample
The following information will provide a description of what to include in your bakery business plan along with links to an example for that section:
- Executive Summary – The Executive Summary section provides a high-level overview of your plan. It should include your company’s mission statement, as well as information on the products or services you offer, your target market, and your business goals and objectives.
- Company Overview – The Company Overview section provides an in-depth look at your company, including information on your company’s history, ownership structure, bakery location, and management team.
- Industry Analysis – Also called the Market Analysis, in this section, you will provide an overview of the industry in which your bakery will operate. You will discuss trends affecting the industry, as well as your target market’s needs and buying habits.
- Customer Analysis – In this section, you will describe your target market and explain how you intend to reach them. You will also provide information on your customers’ needs and buying habits.
- Competitive Analysis – This section will provide an overview of your competition, including their strengths and weaknesses. It will also discuss your competitive advantage and how you intend to differentiate your bakery from the competition.
- Marketing Plan – In the Marketing Plan section, you will detail your marketing strategy, including your advertising and promotion plans. You will also discuss your pricing strategy and how you intend to position your bakery in the market.
- Operations Plan – In the Operations Plan, you will provide an overview of your store’s operations, including your store layout, staff, and inventory management. It also includes information on your warehousing and distribution arrangements and a list of long-term milestones or business goals.
- Management Team – In this section, you will provide information on yourself as the talented baker, your team, your experience, and your roles in the company.
- Financial Plan – In this section of your bakery financial plan, you will include your financial statements: income statement, balance sheet, and cash flow statement. It also includes information on how much funding you require and the use of these funds.
Next Section: Executive Summary >
Bakery Business Plan FAQs
How can i complete my bakery business plan quickly & easily.
Learn more about writing a successful plan by using this bakery business plan template .
Where Can I Download a Bakery Business Plan Template?
Get a downloadable bakery business plan template here .
What Are the Main Types of Bakeries?
A bakery can be retail or wholesale. A retail bakery sells baked goods directly to customers, while a wholesale bakery typically sells products to other businesses, like restaurants, grocery stores, specialty shops, and cafes.
How Do You Get Funding for Your Bakery?
Bakeries are most commonly funded with personal savings and bank loans. Credit card financing and angel investors are also popular forms of funding for bakeries.
Learn More: Seeking Funding from Angel Investors vs Venture Capitalists
What Are the Main Sources of Revenues and Expenses for a Bakery?
The primary source of revenue for bakeries is its baked good sales. This includes deliveries and online orders. Sometimes bakeries also earn from bulk orders from wholesalers or special occasions.
The key expenses for bakeries are rent, wages and salaries, ingredients and packaging.
What are the Steps To Open a Bakery Business?
Opening a bakery business can be an exciting endeavor. Having a clear roadmap of the steps to open a business will help you stay focused on your goals and get started faster.
1. Develop A Bakery Business Plan - The first step in opening a business is to create a detailed bakery business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.
2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your bakery business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your bakery business is in compliance with local laws.
3. Register Your Bakery Business - Once you have chosen a legal structure, the next step is to register your bakery business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.
4. Identify Financing Options - It’s likely that you’ll need some capital to open your bakery business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.
5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.
6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.
7. Acquire Necessary Bakery Equipment & Supplies - In order to start your bakery business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.
8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your bakery business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.
Learn more about how to start a successful bakery business:
- How to Open a Bakery Business
Where Can I Get a Bakery Business Plan PDF?
You can download our free bakery business plan template PDF here . This is a sample bakery business plan template you can use in PDF format.
Cake Shop Business Plan Sample PDF Example | Free Download Presented by BizMove
Watch This Video Before Starting Your Cake Shop Business Plan PDF!
Checklist for Starting a Cake Shop Business: Essential Ingredients for Success
If you are thinking about going into business, it is imperative that you watch this video first! it will take you by the hand and walk you through each and every phase of starting a business. It features all the essential aspects you must consider BEFORE you start a Cake Shop business. This will allow you to predict problems before they happen and keep you from losing your shirt on dog business ideas. Ignore it at your own peril!
For more insightful videos visit our Small Business and Management Skills YouTube Chanel .
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How to Improve Your Nonverbal Communications Skills
When Demosthenes was asked what was the first part of oratory he answered, "'action"; and which was the second, he replied, "action"; and which was third he still answered, "action." People tend to believe actions more than words!
Have you ever heard anyone say, "His actions spoke so loudly I couldn't hear what he said?" Have you ever wondered whether anyone has said this about you? What we do is a means of communication, subject to interpretation by others. Did you ever stop to think that even failure to act is a way of communicating?
Today, many researchers are concerned with the information sent by communication that is independent of and different from verbal information; namely, the non-verbal communication. Verbal communication is organized by language; non-verbal communication is not.
Communication is the transfer of information from one person to another. Most of us spend about 75 percent of our waking hours communicating our knowledge, thoughts, and ideas to others. However, most of us fail to realize that a great deal of our communication is of a non-verbal form as opposed to the oral and written forms. Non-verbal communication includes facial expressions, eye contact, tone of voice, body posture and motions, and positioning within groups. It may also include the way we wear our clothes or the silence we keep.
In person-to-person communications our messages are sent on two levels simultaneously. If the nonverbal cues and the spoken message are incongruous, the flow of communication is hindered. Right or wrong, the receiver of the communication tends to base the intentions of the sender on the non- verbal cues he receives.
Categories and Features
G. W. Porter divides non-verbal communication into four broad categories:
Physical. This is the personal type of communication. It includes facial expressions, tone of voice, sense of touch, sense of smell, and body motions.
Aesthetic . This is the type of communication that takes place through creative expressions: playing instrumental music, dancing, painting and sculpturing.
Signs . This is the mechanical type of communication, which includes the use of signal flags, the 21-gun salute, horns, and sirens.
Symbolic . This is the type of communication that makes use of religious, status, or ego-building symbols. Our concern here will be with what Porter has called the physical method of non-verbal communication.
Knowledge of non-verbal communication is important managers who serve as leaders of organizational "teams," for at least two reasons:
• To function effectively as a team leader the manager must interact with the other members successfully. Non-verbal cues, when interpreted correctly, provide him with one means to do so.
• The team members project attitudes and feelings through non¬-verbal communication. Some personal needs such as approval, growth, achievement, and recognition may be met in effective teams. The extent to which these needs are met is closely related to how perceptive the team leader and team members are to non-verbal communication in themselves and in others on the team.
If the team members show a true awareness to non-verbal cues, the organization will have a better chance to succeed, for it will be an open, honest, and confronting unit. Argyle and his associates have been studying the features of nonverbal communication that provide information to managers and their team members. The following summarizes their findings:
Distance. The distance one stands from another frequently conveys a non-verbal message. In some cultures it is a sign of attraction, while in others it may reflect status or the intensity of the exchange.
Orientation. People may present themselves in various ways: face-to-face, side-to-side, or even back-to-back. For example, cooperating people are likely to sit side-by-side while competitors frequently face one another.
Posture. Obviously one can be lying down, seated, or standing. These are not the elements of posture that convey messages. Are we slouched or erect ? Are our legs crossed or our arms folded ? Such postures convey a degree of formality and the degree of relaxation in the communication exchange.
Physical Contact. Shaking hands, touching, holding, embracing, pushing, or patting on the back all convey messages. They reflect an element of intimacy or a feeling of (or lack of) attraction.
Facial Expressions. A smile, frown, raised eyebrow, yawn, and sneer all convey information. Facial expressions continually change during interaction and are monitored constantly by the recipient. There is evidence that the meaning of these expressions may be similar across cultures.
Gestures. One of the most frequently observed, but least understood, cues is a hand movement. Most people use hand movements regularly when talking. While some gestures (e.g., a clenched fist) have universal meanings, most of the others are individually learned and idiosyncratic.
Looking. A major feature of social communication is eye contact. It can convey emotion, signal when to talk or finish, or aversion. The frequency of contact may suggest either interest or boredom.
The above list shows that both static features and dynamic features transmit important information from the sender to the receiver.
Tortoriello, Blott, and DeWine have defined non-verbal communication as:
“. . . the exchange of messages primarily through non-linguistic means, including: kinesics (body language), facial expressions and eye contact, tactile communication, space and territory, environment, paralanguage (vocal but non-linguistic cues), and the use of silence and time."
Let's review these non-linguistic ways of exchanging messages in more detail.
Lamb believes the best way to access an executive's managerial potential is not to listen to what he has to say, but to observe what he does when he is saying it. He calls this new behavioral science "movement analysis." Some of the movements and gestures he has analyzed follow:
Forward and Backward Movements. If you extend a hand straight forward during an interview or tend to lean forward, Lamb considers you to be an "operator"- good for an organization requiring an infusion of energy or dramatic change of course.
Vertical Movements. If you tend to draw yourself up to your tallest during the handshake, Lamb considers you to be a "presenter." You are a master at selling yourself or the organization in which you are employed.
Side-to-Side Movements. If you take a lot of space while talking by moving your arms about, you are a good informer and good listener. You are best suited for an organization seeking a better sense of direction. Lamb believes there is a relationship between positioning of the body and movements of the limbs and facial expressions. He has observed harmony between the two. On the other hand, if certain gestures are rehearsed, such as those made to impress others, there is a tendency to separate the posture and the movements. The harmony disappears.
Studies by Lamb also indicate that communication comes about through our degree of body flexibility. If you begin a movement with considerable force and then decelerate, you are considered a "gentle-touch." By contrast, if you are a "pressurizer," you are firm from beginning to end. The accuracy of Lamb's analyses is not fully known. However, it is important that corporation executives are becoming so sensitive to the importance of non-verbal messages that they are hiring consultants, such as Lamb, to analyze non-verbal communications in their organizations.
Once you have decided what type of Company you want to start and The investment requirements, you are ready to select a location. The amount of aggressive businesses already in the region should influence your choice of location. Some areas are bombarded with support channels or certain forms of restaurants. Check on the amount of your type of business from Census figures, the yellow pages, or by personally checking out the location. Factors other than the Possible market, availability of employees And number of aggressive companies must be considered in selecting a location. For example, how adequate are utilities - sewer, water, electricity, gas? Parking facilities? Police and fire protection? What about home and environmental things like colleges, cultural and community activities for workers? What is the normal price of the place in rents and taxes? Check on zoning regulations. Evaluate the business of the neighborhood business-people, the aggressiveness of civic associations. In short, what's the town spirit? Such aspects should provide you a clue into the city or town's future. Chambers of Commerce and local universities usually have made or Are familiar with local surveys that can provide answers to those questions and the many other questions which will happen to you. Next you must decide in what part of town to locate. If the city is Very little and you're establishing service or retail business, there'll most likely be little choice. Only 1 shopping place is present. Cities have outlying shopping facilities in addition to the central dining area, and shops spring up along principal thoroughfares and neighborhood streets. Think about the shopping center. It is different from different locations. The shopping centre building is pre-planned as a merchandising unit. The website has been deliberately selected by a developer. On-site parking is a frequent feature. Customers may drive in, park and do their buying in relative speed and safety. Some facilities offer weather protection. Such conveniences make the shopping center a valuable location. There are also some limitations you should know about. As a renter, You become a part of a retailer group and must cover your pro rata share of the budget. You have to keep shop hourslight your windows, and set your signs according to established rules. Many communities have restrictions on evidence along with the center management may have additional limitations. What's more, if you're thinking about a shopping center for your first shop you could have an additional issue. Developers and owners of shopping centers look for successful retailers. The type and variety of merchandise you take helps determine the Type of shopping place you select. For instance, clothing stores, jewelry stores and department stores are more likely to be more successful in buying districts. On the flip side, grocery stores, drug stores, filling stations, and bakeries do better on main thoroughfares and neighborhood streets beyond the shopping districts. Some kinds of shops customarily pay a low rent per square foot, while others pay a high rent. In the"low" category are furniture, grocery and hardware stores. At the"large" are cigar, drug, women's furnishings, and department stores. There is no hard and fast rule, but it's helpful to observe in what type of area a store like yours often appears to flourish. After deciding an area best suited to your type of business, Obtain as many details as you can about it. Examine the competition. How many similar businesses are located nearby? What does their sales volume appear to be? If you're establishing a store or support transaction, how far do people come to exchange in the area? Are the traffic patterns favorable? If the majority of your clients will be local inhabitants, research the population trends of the area. Is population increasing, stationary or decreasing? Are the folks native-born, mixed or mostly foreign? Are fresh ethnic groups coming in? Are they mostly laborers, clerks, executives or retired men? Are they all ages or principally retired, middle aged, or young? Judge buying power by assessing average house rental, typical real estate taxes, number of phones, number of automobiles and, even if the figure can be obtained, per capita income. Bigger shopping centers have this type of information available, and will make it accessible to serious potential tenants. Zoning ordinances, parking availability, transport facilities And natural barriers - such as bridges and hills - are important factors in finding any sorts of business. Potential sources for this information are Chambers of Commerce, trade associations, real estate businesses, local papers, banks, city officials, neighborhood retailers and personal monitoring. In the event the Bureau of the Census has developed census tract data for the particular region where you are interested you'll find this especially helpful. A census tract is a small, permanently established, geographical area within a large city and its environs. The Census Bureau provides population and housing characteristics for every tumor. This information can be valuable in measuring your market or service possible. Choosing the actual site in a area might well be taking what you Can get. Not too many buildings or plants will be appropriate and at precisely the same time, available. If you do have a choice, make sure you weigh the chances carefully. For a production plant, consider the condition and suitability Of the construction, transport, parking facilities, and also the sort of lease. For A shop or service establishment, check on the nearest competition, traffic Flow, parking facilities, road location, physical facets of the construction, Kind of rental and cost, and the rate, price and quality of transport. Also Investigate the history of the site. Find answers to these questions as: Has the Building remained vacant for any length of time? Why? Have various Kinds of Stores occupied it for short periods? It might have proved unprofitable for them. Sites where many enterprises have failed should be avoided. Vacant buildings Do not bring traffic and are usually regarded as poor neighbors, therefore check on nearby unoccupied buildings.
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Bakery Business Plan Template and Guide
Take the first step in your business journey with this free bakery business plan template..
What You’ll Get with This Free Bakery Business Plan Template:
- A business plan template for a bakery that can be edited in Word or Pages
- Tips, tricks, and instructions to help you create a winning business plan for your bakery
- 8 customizable sections, including an executive summary, market analysis, and operations plan
What is a Bakery Business Plan?
From the smell of freshly baked bread to the sound of people enjoying their first coffee of the day, there’s nothing more exciting than running a bustling bakery business. Of course, before you can start thinking about day-to-day operations, you’ve got to start with a solid plan – and that’s where a bakery business plan comes in.
A bakery business plan is a document full of information that describes the critical parts of your bakery business. It starts with high-level information about your bakery and vision, and then dives into more detailed sections, such as your ideal customers, what goods and services you’ll offer, and your marketing plan. It’s usually 15–20 pages in length, including graphics, charts, and other visuals that help communicate your vision and simplify information and data.
Although writing a business plan for your bakery can be daunting, doing so offers you and your bakery business many benefits.
Why Do You Need a Bakery Business Plan?
A bakery business plan has a number of key benefits:
- A well-written business plan for a bakery can help entrepreneurs and existing business owners alike have a clear vision and roadmap for their bakery. It also helps you get back on track if you stray from the goals you outlined.
- It can also help you attract investors and secure funding because potential investors will see your plan is thorough, organized, and well-researched.
- The information in a business plan helps future you make informed decisions when you’re not sure what to do with a certain part of your bakery business.
- Researching for your business plan will help you understand your market and competitor bakeries better so you will be more prepared when tackling future challenges.
- As your bakery grows, you will have a foundation to build on top of when you need an updated business plan.
Now that you know why having a bakery business plan is so important, you can learn about how to write one using this guide and by downloading the business plan template for a bakery.
How Do You Write a Business Plan for a Bakery Business?
Writing a business plan for your bakery can be complex, but instead of starting from scratch (like you would with a batch of homemade croissants), our business plan template for bakeries can help you turn your dreams into reality in just a few quick and easy steps.
Keep in mind that you should write your business plan with a professional, objective tone, and with clear, concise, and simple language. This way, any reader, including potential investors, can easily understand the information in your business plan and will be more likely to provide you with funding.
Following a traditional business plan outline will also help orient your readers and ensure you include all the essential information that a successful business plan needs, ultimately setting yourself up for success.
Bakery Business Plan Sample Outline
A traditional bakery business plan sample has the seven sections, all outlined below. Read on to learn more about what each section is. And, download the free bakery business plan template if you want to follow along and start jotting down your ideas.
1. Executive Summary for a Bakery Business
Start your plan with an executive summary for your bakery. This will give a broad overview of the other sections of your business plan (the sections below). It gives readers the highlights of your vision, target market, goals, operations, strategies, menu, and financial information. And it will tell readers how your plan will succeed.
This overview is the first impression of your bakery, so make your business stand out by talking about how your bakery is different from competitor bakeries – whether that’s with your locally sourced menu items, your innovative marketing strategies, or other value props.
2. Company Overview
The company overview is a more detailed rundown of your bakery idea after what you mentioned in the executive summary. Now that you have the interest of the reader, you’ll want to back up your plan with details and your history.
In the company overview, you can talk about what makes your bakery special, what goods you’ll offer, and what kind of service you’ll be using and why. You can also summarize your company’s history with specific details, like why you opened your bakery and the milestones you’ve hit.
3. Market Analysis
The market analysis section is where you talk about where your bakery is or will be located and why. What’s special about that location and how does that help your bakery business? What sets you apart from other bakeries in the area?
Also, talk about your target market – who are your ideal customers and do you have any research to support this being your target market? Include how you’ll reach your ideal customers and how you’ll stand out against competitor bakeries. Completing a competitive analysis of other bakeries will also help you be more creative throughout the business plan and show investors you have the research needed to help your bakery succeed.
4. Business Offerings and Menu
This section is where you describe what baked goods you’ll offer in your bakery. Go into as much detail as you want, right down to the specific types of pastries or bread you’ll be making. Focus on the parts that contribute to your value prop, such as special ingredients you’re using (e.g., nut-free, gluten-free), where the ingredients are coming from (e.g., locally sourced), and why these will appeal to your target market (e.g., market research shows a high demand for gluten-free pastries that other bakeries in the area aren’t supplying successfully).
To provide investors with a clear picture of your offerings, include a sample menu for foods, drinks, and other merchandise (if you have any), as well as the pricing strategy behind it all. Don’t forget to consider how your customers will be consuming your products when creating your menu – will they be taking food to go (so you need to ensure the goods will travel well) or eating inside the bakery (so you might offer different foods at different times of day)?
5. Operations Plan
In this section, you’ll talk about the logistics of your bakery business – what will you need to run your business every day? This section includes the following information:
- Staffing: What types of staff you’ll need on your team and how you’ll recruit them.
- Training for your staff: Cashiers and bakers will need different types of training.
- Technology: The software you’ll need to manage the bakery (from managing inventory to processing online orders to accepting different payment types).
- Equipment: The tools and appliances you’ll need (e.g., mixers, an oven, a display case)
6. Marketing and PR Plan
Here you’ll explain the marketing channel you’ll be using and strategies for each. Some channels to consider include public relations, online advertising, social media, referral, SEO, and community partnerships.
Be thoughtful about your marketing tactics by always keeping your target market in mind. If a certain channel or tactic won’t resonate with or reach your ideal customers, then think of what you can do that is more likely to draw them to your bakery.
Also, as you explain your marketing strategies, include your budget and expected return on investment. This exercise will help you ensure you invest in only the most effective marketing tactics.
7. Financial Analysis and Projections
The financial analysis and projections is the last major section of your bakery business plan. Here you’ll talk about the different financial aspects of your bakery business, such as how you’ll support the bakery’s startup costs with loans and existing investments, and how much more funding you’ll need.
You’ll also talk about the costs and projected revenue for your business – you can do this clearly and effectively with a projected profit and loss statement. You can also include other financial information, like a break-even analysis, to provide investors with the clearest picture possible of your bakery’s finances. This way they’ll know exactly how you plan to spend their potential funding.
With all these sections, your bakery business plan will be thorough enough to answer any questions investors might have before offering you funding. But, to make your business plan stand out, follow the tips below.
Tips for Writing a Bakery Business Plan
Because a business plan needs to be professional and detailed, it can be easy to get lost in the weeds and make your plan too technical, verbose, or unclear. Here are some tips to help you while writing to make sure your business plan is easy to read and engaging.
- Collaborate with your team (or your friends and family if you don’t have a team yet). They can help you come up with unique ideas and provide you with feedback on areas you can improve (e.g., where you can explain more or add a visual to help clarify an idea).
- Mention your value prop(s) throughout the business plan to keep your competitive advantages over other bakeries top of mind for readers.
- Use passionate language and captivating details to add your voice to the business plan. But make sure you don’t clutter your writing with buzzwords or industry jargon that readers might not understand.
With these tips and the free bakery business plan template, you’re ready to start your business plan or update your existing one to be more impressive. All the sections will help show investors why your business will be successful and worth investing in. Plus, your business plan will act as your roadmap and keep you on track as your business comes to life.
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10+ Bakery Business Plan Examples [ Home, Small, Bread ]
Bakery Business Plan
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Bakery Business Plan Template – 23+ Word, Excel, PDF Format Download
The bakery plan is undoubtedly one of the booming industries that are present out there, so if you ever want to open one, you will need to come up with an effective business plan . To make an effective one, you can refer to our collection of bakery business plan templates that are designed to ensure that you achieve all of the goals and objectives that are set for your business. The best part about our bakery plan templates is that they are pre-made with professional content and can be opened in various formats like Word Format , Excel, or PDF. Whether you are opening a coffee shop or a bakeshop, you need to have a business model so that management runs smoothly. With our bakery business plan templates you can easily write the details of your business plans such as the introduction, SWOT analysis, marketing, budget , project costs, etc. We have different kinds of sample templates applicable to specific bakery businesses such as a startup cake shop or a home bakery.
Plan Template Bundle
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How to Write a Bakery Business Plan in 5 Steps
Step 1: title page, step 2: executive summary, step 3: overview of the bakery business, step 4: analysis of the market, step 5: financial analysis, bakery marketing plan template.
Bakery Cake Shop Business Plan Template
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Dessert bakery product financial business plan template.
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Business plans are fundamental business tools that helps in the preparation of what the business must expect and what they must do before they the business operations actually start. A business is not an easy thing, regardless if it is a start-up business or an existing business. That is why a business plan is needed.
Bakery Business Plans Pdf
5+ business plan cover letter samples sample templates, 7+ sample bar business plans sample templates, 9+ sample film business plans sample templates.
If you are looking into starting a bakery business of if you already have one and wish to move into a different direction with it, we have bakery business plan samples and templates that you may find useful. We will also find our more about this specific type of business plan, as well as the things needed in order to be able to start one. You may check them out below.
Bakery Business Plan Template
- Google Docs
Size: A4, US
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What Is a Bakery Business Plan?
A bakery business plan is a business plan specifically created for the purpose of starting or running bakery business. it is a detailed plan that describes how a bakery business is going to achieve the goals and objectives that ti has set for itself. Since a business plan needs to take into consideration the entire business as a whole, it must be written with a financial, marketing and operational points of view.
How does a business plan help in a bakery business? Let’s check out the uses of a bakery business plan.
- A bakery business plan is used as a road map that will guide the business on what direction to take to achieve business success in the future and that can also help avoid bumps along the way.
- Business plans allow you and your business to conform to generally accepted guidelines for the business and the industry you are in.
- Having a bakery business plan is used to persuade investors to invest in your business, and persuade lenders to lend you money so that you can pay for business costs and other expenses to be able to actually start.
- You can focus on the things that you must do for the business, like your business strategies and ideas with the use of a bakery business plan.
- Through a bakery business plan, you can identify business drawbacks and other weaknesses that you may have and be able to minimize or eliminate its effects by making the planned improvements.
You mainly use a business plan to help you prepare for the business and help you ensure that you are successful with it. Other related articles you may find useful are Business Plans Samples & Templates , Sample Bar Business Plans , and Sample Catering Business Plans .
What Licenses and Permits Are Needed for a Bakery?
There are certain licenses that you must complete if you want to start a bakery business or just about any other business. It is important that you comply to these requirements so that your business will be able to operate legally. Below is a list of licenses that you need for your bakery business.
- Business License – Business licenses are required for bakery businesses and are issued by the city or county where the business is going to operate.
- Sales Permit – Acquiring a sales permit would depend if the state where the business will operate charges sales tax.If they do, then a sales permit is needed.
- Health Permit – This permit can be acquired from the local health department. This is required to ensure that the business is complying with health and safety standards for food establishments that has been set by related government regulating body.
- Fire Permit – This permit can be acquired from the local fire department and is required to ensure that the bakery has adequate fire protection. Routine inspection is done to make sure that the appropriate equipment is installed to ensure safety from fire.
- Other Permits – Other permits that may be necessary depending on the local government or state ordinances are building permits, parking permits and sign permits.
The licences and other requirements vary depending on the state or area where your business will be operating. Make sure that you check the specific details with the appropriate entities about it. You may also check out other business plan related articles, like Sample Photography Business Plans , Sample Daycare Business Plans , and Sample Startup Business Plans .
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Tips for Effective Bakery Business Plans
Need to make your bakery business plan effective but you just don’t how and where to start? we have got you covered! Here are some tips that you will surely find useful in making your bakery business plan effective.
- You will need equipment to help you with operating your bakery business. These equipment could be anywhere from refrigerators, ovens to electronics. You need to finance these things and you need to do it right. Ask yourself if your business needs it, will be generating profit even after you have fully paid for it, or will it make running your business more convenient?
- Determine when it is time to brand your business. You can’t spend money just to put a brand on your stuff just yet, but you will surely but surely be able to do that in the long run. Using a brown paper bag for your purchases is fine. You don’t have to rush into branding everything.
- many businesses get known by word-of-mouth and this is because people know that the business is there and where they can find it. In building your client base, you should let your neighborhood know of the products you offer.
- Consider adding accepting credit card payments to your business as more and more people are switching to paying with credit cards than with cash. With this you can have both customers who pay with cash and those who pay with their cards. being flexible will be good for your business and will allow you to earn even better.
- Always choose quality over savings. Your customers will not be coming back because you are able to save, but they will be coming back because you provide high-quality products. For sure they would choose that over savings, too. Good ratings or reviews from customers will have more people coming into your business to try out what you are offering. Wouldn’t you earn more that way?
Remember these tips if you need help with making your bakery business plan effective. You will definitely be able to make some changes that will help make your business plan better.
Business plans are put together so that business owners will be able to picture out how the business will be, the potential cost, if there are any drawbacks, determine what decisions to make and make appropriate changes to the business before the plan is actually carried out. Other business plan related articles you may want to check out are Sample Small Business Plans , Sample Professional Business Plan Templates , and Software Business Plan Templates .
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Starting a Bakery Business Plan (PDF)
A bakery can also be known as a pastry shop or a confectionary. When dealing with the bakery industry we are looking at products such as bread, cakes, pastries, cookies, muffins, and pies, amongst others. It is basically food products baked from flour or other grain meals. A bakery business is a very profitable venture if operated efficiently. It is not enough to be able to make good bread or cakes. A bakery business is an enterprise that requires resources and planning. The quality of your output is important. However, you also have to create an environment within which customers can access your products at great prices. At the highest level, the bakery business is capable of producing incredible profits and prestige. This article will outline how to start the bakery business, and the bakery business plan – PDF, Word and Excel.
Above all you should develop a passion for the enterprise given the hard work that is required of you. The great thing about this model is the possibility of transitioning from other corporate endeavors straight into bakery. Moreover, you can do it as a side business without hindering your other profession. The range of possibilities includes a family-owned and run home business. You can also become a major corporate entity that caters for major events.
Before you go further along with the bakery business this must be your primary focus. Who do you intend to cater for? This question is your launch pad into ultimately coming up with a comprehensive marketing strategy for your bakery business. In fact, insights from your market research have ripple effects towards all other components in setting up the bakery business. You must appreciate the fact that you must niche which entails targeting a particular market. It’s not that easy to cater for the whole breadth of the market because that might be unsustainable due to high costs. Therefore you must be diligent enough to figure out which specific portion of the market you’ll target. When conducting market research you must closely study people’s eating out behaviours, check the age range dynamics and also analyse the levels of income of your prospective target market. This is why it is important to have a good bakery business plan before you start this business.
Location and Premises
This here is a component that’ll be greatly informed by your target market. You want a scenario where your bakery store is ideally located at a spot characterised by high volume vehicle and foot traffic. It shouldn’t just be about traffic only though; it must be close to or in an area where your intended customers are abundantly found. Another vital feature to consider is the availability of adequate and secure parking space and easy access to mass transportation. The best approach to take is to locate your bakery shop in an area close to other businesses that can lead to customer inflows for you. For instance, locating it at a shopping centre, shopping mall or central business district (CBD) creates prospects of regular customer inflows. The premises should be large enough to accommodate all your equipment, offices, and space for customers. Your bakery business plan should cater for the costs of buying or leasing the premises.
There are already established bakeries wherever you might think to start a bakery business. There are also new and upcoming bakeries as well. Thus you cannot turn a blind eye to competition. You have to study all your competitors to figure out their business profiles. This entails their products and services, market shares, distribution network, operating times, payment methods, customer segments, and so on. A thorough look into all this shows you loopholes and market gaps.
You have to seek to build a bakery business that has several differentiators. Tweaking operating hours can become one of your differentiators. A strategic location can also be a differentiator. It could be a unique product range that can differentiate you. Maybe it could be allowing online orders, payments and offering home deliveries. All these aspects are best figured out after studying your competitors. Remember, consumers are always looking for convenience and cost savings.
Equipment for a Bakery Business
The bakery will require a variety of equipment. The fixed items will delve a lot into your initial capital outlay. This is because you will typically purchase big ticket items such as ovens, fridges, mixers, bakeware, bread slicers, display case and utensils. The costs of purchasing the bakery equipment should be included in your bakery shop business plan. You may consider purchasing preowned equipment as a way of cutting down your startup costs.
Permits/Licenses, Insurance & Business Bank Account
The first thing is to register your bakery business. After that you must get properly licensed. A bakery business is in the food industry. In the food industry there are strict regulatory frameworks to adhere to. You will need to apply for a business license from the relevant often local (municipal) authorities. Prior to getting that food license your earmarked premises will be thoroughly inspected. It varies from place to place but there will be a long list of things your premises must have or satisfy. Some of the critical areas inspected or inspected for are drainage system, waste management system, ventilation system, sanitary facilities, and Hazard Analysis and Critical Control Points (HACCP), amongst others.
Insurance & Business Bank Account
There are so many things that could go wrong in a bakery. Important assets can get damaged or destroyed. There are several risks that can affect workers as well. The smartest thing to do is to get insured. Contact your nearest, reputable insurance provider and get the necessary guidance. This might seem unnecessary but when something happens in the future you will be glad you got insured.
Then buttress insurance by opening a business bank account for your bakery business. It helps make financial management easier. Most importantly it will help separate your personal finances from those of your bakery business. In the event something catastrophic happens with the bakery business, it will sink alone. It will not sink with you. This is a principle in financial literacy many people in business are yet to grasp.
There are so many different types of bakery businesses that you may want to explore. Your decisions are determined by four primary considerations:
- The amount of capital that you have
- Your skills and competencies
- The business aims, goals and objectives
- The tastes and preferences of your customers
Each of these factors can change throughout the planning and implementation process for the bakery business. Therefore, you need to constantly adjust your bakery business and product selection accordingly. You have a number of options and niches that might just suit your client base. Examples of products that your bakery can offer include bread, muffins, rolls, cakes, donuts, buns, pizza, tortillas, cookies, biscuits, pies, bagels, scones among others. The products you are going to offer should be included in your bakery business plan.
Staff And Management
The effective running of a bakery business requires a significant workforce. As a rule of thumb, your bakery staffing needs are always informed by your intended scale of operations. Some of the key areas in this business are operations management, financial management and inventory management. At the minimum you need pastry chefs, waiters, cashiers and logistics personell. Other required staff include accountants, supervisors, security team, stock controllers and managers, though this depends on the size of your bakery.
Your bakery should have sufficient number of well trained staff. This is because repeat purchases and ever-growing customer inflows are a product of swift and quality service from the staff. Having a small or skeletal staff makes it very difficult to provide swift service. Remember we are living in a fast-paced world where people don’t want to be kept waiting for too long. The salaries of all your employees must be catered for in the bakery store business plan.
An official launch is important.
Kick-starting your bakery business can get a boost from doing an official launch. This follows that you would have set up a website and social media accounts. This also follows that you would have been active and engaging with people online and on the ground. All that must culminate into an official launch along with a press release. You can offer free samples on the day as well. Adorn the place and make it lively on the day such that it attracts people. People generally love new outlets, new offerings, and free food. Your initial pricing should be penetration pricing. This means you price lesser than existing players to lure customers to your business. Make the most out of the official launch.
Used A Blended Marketing Approach (Offline And Online)
Afterwards the focus becomes building your audience online. By the way, incorporating online ordering and payments on your website will be a game-changer. Regularly post useful, fun, and informative content daily. Conduct online competitions with giveaways of your products or branded items. All your promotional material, be it physical or virtual, must be high definition. That is a must in the food industry if you want your marketing material to stand out. If your scale of operation is substantial consider potential bulk, recurring clients. Engage them with proposals on how you can be their supplier. These can be companies, food outlets, schools, and the like.
The market for bakery is huge and ever increasing. There is always huge demand of different types of baked goods. The market for a bakery include individuals, families, hotels, guest houses , supermarkets, companies and organizations. Your bakery should have fair prices that keeps you in business. Do not be tempted to compromise on quality as a means of correcting errors in your budgeting process. Those entrepreneurs that are running local family businesses should be careful about giving discounts to loved ones. This is because they could end up destroying the bakery business before it gets a chance to establish itself. A proper marketing strategy should be included in the bakery business plan.
Keys To Profitability
Your choice of location is a major part of making your bakery business profitable. You ideally need a spot that has high human and vehicle traffic. If that is not possible then the important key becomes your distribution network. The other key is to cultivate a huge clientele mostly comprised of bulk and recurring customers. These are customers who require your products in bulk daily. Economies of scale are a major aspect; scale your operations sooner. Identify your major costs and manage, preferably lessen them. For instance, 60 percent of costs may go to raw materials and remuneration. Your product range must be diversified and comprehensive but informed by market demand. This will ensure you always have and sell fast-moving products. This is one of the best food industry businesses you can start. There is vast room to diversify. You can scale and can pivot if needs be. Best of all, the market for baked foods is always there.
Pre-Written Bakery Business Plan (PDF, Word And Excel): Comprehensive Version, Short Funding/Bank Loan Version and Automated Financial Statements
For an in-depth analysis of the bakery business, we encourage you to purchase our well-researched and comprehensive bakery shop business plan. We introduced the business plans after discovering that many were venturing into the bakery shop business without enough knowledge and understanding of how to run the business, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.
The StartupBiz Global bakery business plan will make it easier for you to launch and run your bakery business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. This is a complete business plan for bakery. It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the bakery shop business.
Uses of the Bakery Shop Business Plan (PDF, Word And Excel)
The bakery shop business plan can be used for many purposes including:
- Raising capital from investors/friends/relatives
- Applying for a bank loan
- Start-up guide to launch your bakery business
- As a bakery shop business proposal
- Assessing profitability of the bakery business
- Finding a business partner
- Assessing the initial start-up costs so that you know how much to save
- Manual for current business owners to help in business and strategy formulation
Contents of the Bakery Business Plan (PDF, Word And Excel)
The business plan for bakery shop include, but not limited to:
- Marketing Strategy
- Financial Statements (monthly cash flow projections, income statements, cash flow statements, balance sheets, break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization)
- Industry Analysis
- Market Analysis
- Risk Analysis
- SWOT & PEST Analysis
- Operational Requirements
- Operational Strategy
- Why some people in the bakery business fail, so that you can avoid their mistakes
- Ways to raise capital to start your bakery business
The bakery shop business plan package consists of 4 files
- Bakery Business Plan – PDF file (Comprehensive Version – 83 Pages)
- Bakery Business Plan – Editable Word File (Comprehensive Version – 83 Pages)
- Bakery Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying for a loan/funding – 41 pages)
- Bakery Business Plan Automated Financial Statements – (Editable Excel File)
The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the percentage markup, salaries etc, and all the other financial statements will automatically adjust to reflect the change.
Click below to download the Contents Page of the Bakery Shop Business Plan (PDF)
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The business plan which I purchased from your website saved me TIME and MONEY! The layout of the business plan was excellent. The financial statements were detailed and easy for me to edit. I will come back to purchase another business plan soon.
I found Startupbiz Global online when I was in desperate need of a business plan. I was overwhelmed by the quality of the business plan, it’s comprehensive and well researched! I did not have to wait to get the business plan, I got it instantly after payment. I highly recommend Startupbiz Global, and would happily use them again in the future.
StartupBiz Global provided a very professional and comprehensive business plan which I used for my business. The business plan was easy to edit, and I was able to get the funding which I wanted. I highly recommend their business plans.
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Many thanks for your incredibly efficient service and thorough business plan. I am very impressed with the business plan. Before I bought the business plan, I tried to do my own business plan – it was such a nightmare and it turned out badly, also not to mention the stress it caused me. I wish I knew about your website earlier!
Get the Bakery Business Plan (PDF, Word And Excel)
Click Buy Now below to purchase using Paypal, Credit Card, or Debit Card. After you have purchased, you will immediately see the download link for the business plan package on the screen. You will also immediately get an email with the business plan download link. The Pre-written business plan package (PDF, Word, and Excel) costs $30 only!
If you want to purchase multiple business plans at once then click here: Business Plans Store.
The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on [email protected] and we will assist you.
We wish you the best in your bakery business! Check out our collection of business plans , and more business ideas .
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