Are you about starting a bakery Business from home (bread, dessert & cupcake)? If YES, here is a complete sample bakery business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a bakery. We also took it further by analyzing and drafting a sample bakery marketing plan template backed up by actionable guerrilla marketing ideas for bakery businesses. So let’s proceed to the business planning section.
Table of Content
- Executive Summary
- Market Analysis
- SWOT Analysis
- Financial Projection
- Marketing Plan
- Marketing ideas & Strategies
How In-demand after are Baked Foods? They come in succulent and fluffy styles, some taste sweeter than others, some folks even like it burnt, brown or white, and some also have fillings- this could be caramel, strawberry, peanut butter and all what not. What could this be, you wonder? Well, it is baked foods. We all love to have a bite of some baked meals; be it pastries, cakes, cupcakes and what have you. Would it be okay then to say that baked stuff is in high demand? Without a shadow of doubt, indeed, baked foods are always in high demand.
This is no wonder that those who have stayed long in the trade can authoritatively boast of making millions in a month or less. Bakery business is one business that one that doesn’t have an inkling about how to bake, can go get trained, practice, start a business and within a short space of time get good returns on investment.
How important is the Business Plan?
However, truth is that getting trained on the art isn’t all that is required to break even. If after you may have gotten the right training and have sought to get started in business, there is one very important hurdle that needs to be scaled. This is one very vital hurdle that helps your business stay focused and accountable, whilst you watch it grow to the very plateau of success.
If you asked those who have thriving businesses that have grown into conglomerates how they have been able to stay afloat and focused amidst of the huge success they have attained over the years, chances are that they would say the key is following the plans you have drawn up on your business model and not derailing from it.
Use an Existing Business Plan Model to Craft Yours
Looking through an already completed business plan might appear too technical, as you may need to pay thorough attention to understanding all that is being said there. And truth is that drawing up a business plan can sure like look a herculean task.
However, did you know that you could actually draw up your very own business plan without the services of a consultant to help you write one? Well, truth is that you can do that and achieve nearly same result as you would if you were to hire an expert.
Here is what you need to do; it is good a thing that the emergence of the internet has caused that ample knowledge can be found and gained online. It is for this reason that you can consider browsing the internet to get a business plan template. You will need to get one that is similar to your business so that you can be able to relate with it as it applies to your own trade. Good news is that you have already been saved the stress of searching the internet further. Here is a sample bakery business plan that can readily come in handy as you plan to write yours.
A FREE Sample Home Bakery Business Plan Template
- Bakery Industry Overview
The bakery industry has come a long way, and will continue to evolve with countless of bakers bringing creativity into the industry. The Baked foods production has been in existence for tens of centuries. In the true sense of the word, it has been around for over two thousand years.
If per chance there is a doubt about this; then perhaps there would be a need to take a look at the bible era. One of the predominant meals that was widely talked about in the bible was the bread. So, it wouldn’t be wrong to say that those of old have been able to successfully pass the art from one generation to another generation.
The Romans who generally like baked foods are actually the people who improvised and developed the baking of foods commercially – bakeries. In nearly all their occasions; ranging from mere feasts to weddings, they are known to always celebrate with baked foods. As such, they may be accorded the praise of being the ones who introduced bakery as an occupation and they achieved this around 300 BC. After this significant milestone was achieved, the drastic appeal for baked goods increased throughout Europe and expanded into the eastern parts of Asia.
At that point, bakers started baking breads and goods from their kitchens and thereafter took to the streets to have them sold out. Selling of baked foods became the trend and before too long, baked products were getting hawked in streets of Rome, Germany, London and Paris et al.
Over time, bakeries no longer had to rely solely on retailing their baked breads and snacks in the streets, in the open market or via home deliveries, but could now move ahead to open their bakery stores for customers to come in and order for their freshly baked bread and other foods. History has it that Paris in France happens to be the first city in the world to have started open air bakery.
Bread and all flour based foods are generally consumed by almost everybody in our planet; as such, anyone who chooses to establish a bakery in any part of the world is sure going to get good returns on his or her investment, as long as they are doing the right things when it comes to running a business.
Aside from bread which seems to be the face of the bakery industry, cake is also one of the products of the bakery commerce that is doing pretty well in the market all over the world. Yes, people eat bread and other flour made snacks on a daily basis, but you would quite agree that cake making is also one of the major money spinners for bakers.
Although not all bakers are specialized in cake making, but those who are into the art, alongside bread and other snacks, are the ones who seem to be maximizing the bakery industry. The fact that people order for cakes during their special events like birthday parties, wedding ceremonies, wedding anniversaries, and other memorable occasions, makes the bakery business a high – in – demand business.
Bakery Business Plan – MARKET ANALYSIS
- Market Trends
When it comes to breads, cakes, and snacks etc., everyone may want to quite agree that the market trend changes with rapid astonishment. This is why we invested time to create a sample bakery marketing plan template. Bakers are seriously researching and creating flavors and varieties that will keep them afloat in the bakery business. Any baker who wants to remain relevant in the scheme of things in the industry must be willing to explore the ‘bakery world’; he or she must be able to come up with a product that tastes unique from what is readily available in the present market.
In view of the above stated fact, we have hired the best of hands available in Florida to work with us in becoming a pacesetter when it comes to exploring and producing products with tastes that can meet the demand of the markets that is available to us in the cities where our bakeries are located. Part of the marketing and sales strategies that we will adopt include but not limited to the following;
- Open our bakery with a bang – big party
- Neighborhood, door to door and mouth to ear mode of advertisement to introduce our business
- Engage in road shows ( make some open air noise) to introduce our business
- Create same products in different sizes, with different prices and perhaps a little lower that the prices of similar products in the market
- Start a TV show in line with our business goal and objectives
- Sponsor relevant events, such as bakery competitions and wedding shows on TV et al.
Our Target Market
We are quite aware that the target market for bakery products cut across people of all walks of life. Since everybody needs food to survive; we are prepared to meet the needs of as much people as we can, within the various locations our bakeries will be located.
It is indeed difficult to create a list of the people we intend selling our bakery products to. because everybody needs what we have to offer except for our trainings and consultancy services. Here are just a few of the people / places that we intend selling our products and services to:
- Families (Homes)
- Schools (boarding house and campus et al)
- Groceries Stores
- Shopping Malls
- Wedding Ceremonies
- Event Planners
- Sport Centers
- Corporate Organizations
- Aspiring Entrepreneurs (Those who want to learn baking)
Our Competitive Advantage
There is hardly any city in the United States and perhaps in other parts of the world where there isn’t at least one bakery. People eat bread, cakes and snacks in all parts of the world and as such loads of people are already running their bakery businesses. We are not ignorant of the fact that there are standard bakeries in Orlando, Florida, but that will not deter us from forging ahead to set – up our own bakery company.
Top Taste Confectionaries has couple of factors that is counting as a positive for us; our competitive advantage in the market place. One of our competitive advantage is that we are one of the few bakery companies that is not only involved in the sale of breads, cakes and snacks but also operate a government accredited bakery school where professional bakers are hatched and sent forth to start their own bakery business or manage their homes properly.
The fact that we offer consultancy services in line with what we do, gives us an edge over other bakery companies in the United States of America. We are of the view that if we are able to get it right from the outset, it will likely take us less time than projected for us to be amongst the top 5 bakery company in the whole of the United States of America.
Bakery Business Plan – SALES AND MARKETING STRATEGY
- Marketing Strategy and Sales Strategy
We are quite aware that the market for breads, cakes and snacks is on the increase and won’t plummet anytime soon, and we are also aware that loads of entrepreneurs in Florida are into the sale of almost all the products that we have on our stable, save for the consultancy services that we render and the bakery institute that we operates.
In view of that, we have been able to work out plans that will help us win a large percentage of the available market in the cities where our bakeries located. For the reason of the business goals that we have set for ourselves at Top Taste Confectionaries, we will continue to explore and improvise, so that we will remain relevant in the market place.In nut a shell, we will explore the following marketing and sales strategies to promote our bakery business;
- Direct Marketing
- Via Our Sponsored TV Programs and Community Based Events
- Erect Our Billboards in Strategic locations around the city
- Sales Reps
- Online Marketing (via our official website, social media platforms and blog et al)
- Referral Marketing
- Promotion of our products during our training sessions in our Bakery Institute
Our Pricing Strategy
Part of our strategy for entering the market is to leverage on pricing in gaining a good percentage of the available market. The fact that we are going to be selling our products a little bit below the market price does not in any way mean that we will compromise our quality and quantity.
As a matter of fact, we have perfected strategies to ensure that we are shoulders higher than our competitors in terms of quality and quantity. The prices of our products will be the cheapest anybody can get in the whole of Orlando, Florida and the cities where we intend establishing our bakeries.
- Payment Options
Our payment policy is all inclusive, because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that will be available in every of our outlets;
- Payment by cash
- Payment via Point of Sale (POS) Machine
- Payment via online bank transfer (preferably for those that will order our products and would want us to deliver it to them, those who want to attend our bakery institute training, as well as for payment for our consultancy services)
- Payment via check (preferably for those who will order our products and would want us to deliver it to them, those that want to attend our bakery institute training, as well as for payment for our consultancy services)
- Payment via Mobile money
In view of the above, we have chosen banking platforms that will help us achieve our plans without any hitches.
Bakery Business Plan – Publicity and Advertising Strategy
Bakery business especially products like breads and confectionaries might not necessarily need huge budget for publicity and advertisement. As a matter of fact if you the packaging of your bakery products are cool and the quality and quantity is in order, you wouldn’t struggle to sell your products.
Aside from our consultancy services and bakery institute, we don’t intend to spend huge amount for publicity and advertisement. We have perfected plans to maximize the recourse we have, to get the result (sales) that we require to make profits and expand the business. Here are the platforms we intend making use of to promote and advertise our business;
- Place adverts on both print and electronic media platforms
- Sponsor relevant community programs
- Leverage on the internet and social media platforms like; Instagram, Facebook , Badoo, et al
- Install our Bill Boards on strategic locations
- Engage in road shows from time to time
- Distribute our fliers and handbills to targeted areas from time to time
Generating Funding / Startup Capital for Top Taste Confectionaries
We don’t have the intention of bringing business partners outside the family to invest in the business, which is why we have restricted raising our startup capital to;
- Generate part of the start – up capital from personal
- Source for soft loans from family members and friends
- Apply for loan from the bank
N.B: We have been able to generate about $150,000 and we are at the final stage of obtaining a loan of $100,000 from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited.
Bakery Business Plan – Sustainability and Expansion Strategy
We don’t have the plans to invest hugely in our bakery business and watch the business fold up or struggle to make progress. We have perfected our strategies on sustainability and expansion. Part of what we will do to stay relevant in the bakery business is to strive to maintain or increase of quality and quantity, to run bakery trainings and also offer consultancy services. We have perfected plans to triple our sales every year and we also have plans to open different outlets of our bakery in different locations in Florida and other key cities in the United States of America.
Check List / Milestone
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Renting of Facility and Construction of the Bakery: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members and friends: Completed
- Applications for Loan: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
- Recruitment of c employees: In Progress
- Purchase of the Needed furniture, electronic appliances and bakery equipment: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and in the neighborhood: In Progress
- Health and Safety and Fire Safety Arrangement: In Progress
- Opening party / launching party: In Progress
- Compilation of our list of products and detailed recipe: Completed
- Arrangement for trainers and training facility: In Progress
- Establishing business relationship with vendors – suppliers of all our needed raw materials: In Progress
- Purchase of delivery vans: Completed