Are you about starting a milk delivery company? If YES, here is a complete sample milk delivery business plan template & feasibility report you can use for FREE. Okay, so we have considered all the requirements for starting a milk delivery company. We also took it further by analyzing and drafting a sample milk delivery business marketing plan template backed up by actionable guerrilla marketing ideas for milk delivery businesses. So let’s proceed to the business planning section.

Why Start a Milk Delivery Business?

A milk delivery business is a business that involves delivering milk to your clients; it could be to retailers or end users. With this type of business, you can choose to own a store if you have the financial capacity or you can choose to operate without a store. The bottom line is that you should know how to source for milk and how to get it delivered to your customers.

A milk delivery business is very easy to start and it is not so capital intensive. Getting the right type of milk that people want to buy is the secret to running a milk delivery business.

So if you have decided to start a milk delivery business, then you should ensure that you carry out feasibility studies and also market survey. Business plan is yet another very important business document that you should not take for granted when launching your own business.

Below is a sample milk delivery business plan template that can help you to successfully write your own with little or no hassle.

A Sample Milk Delivery Business Plan Template

1. Industry Overview

Milk delivery business is grouped under Dairy Wholesaling and this industry is made up of businesses that engage in wholesaling of products such as cheese, ice cream and frozen dairy products, packaged fluid milk and cream, raw milk and cream, butter, yogurt and other dairy products.

Dairy producers benefited from increased per capita disposable income, which allowed consumers to continue purchasing industry goods, particularly as impulse purchases at convenience stores. Going forward, the industry is projected to continue to grow, even though at a slower rate than in previous years.

The Dairy Wholesaling industry is a key sector of the economy of the united states and the industry generates over billion annually from more than 1,994 dairy wholesaling companies scattered all around the United States of America.

The industry is responsible for the employment of over 41,900 people. Experts project the industry to grow at a 2.4 percent annual rate within 2013 and 2018. The companies that can boast of holding the largest market share of the available market are Dean Foods and Land O’Lakes Inc.

One of the reports released by IBISWorld shows that the Dairy Wholesaling industry experienced stable revenue growth over the five years to 2018, a result of increased per capita dairy consumption and industry consolidation. However, despite favorable conditions, retailer behavior and downstream demand have a significant effect on industry performance.

Retailers have been increasingly purchasing dairy products directly from manufacturers instead of traditional merchant wholesalers, raising external competition and limiting industry expansion. As a result, many operators struggled to remain relevant within the supply chain, and the number of dairy wholesalers has steadily decreased over the past five years.

The report further shows that within the said period, the Dairy Wholesaling industry grew by 2.4 percent to reach revenue of $73 billion in 2018. In the same timeframe, the number of businesses has declined by -0.7 percent and the number of employees has grown by 0.2 percent.

The milk delivery business is indeed a profitable business venture and it is open for any aspiring entrepreneur to come in and establish his or her business; you can choose to start on a small scale without a store or you can choose to start on a large scale with standard milk retail stores and strong online presence.

2. Executive Summary

Sophia Dexter® Milk Delivery Services®, LLC is a registered milk delivery business that will operate in and around Raleigh – North Carolina. We have been able to lease a warehouse facility that is big enough to fit into the kind of business that we intend launching and the facility is centrally located in the heart of town with easy delivery network.

Sophia Dexter® Milk Delivery Services®, LLC will deliver a wide range of milk cum dairy products at affordable prices to retailers and consumers.

We are aware that there are several supermarket/grocery store outlets all around Raleigh that are also into milk delivery services, which is why we spent time and resources to conduct our feasibility studies and market survey so as to offer much more than our competitors will be offering. We have self – service options for our customers, strong online presence and our outlet has various payment options.

We will make sure that our customer care is going to be second to none in the whole of Raleigh – North Carolina and our home deliveries will be timely and reliable. We know that our customers are the reason why we are in business which is why we will go the extra mile to get them satisfied when they order milk from us.

We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large they are. Sophia Dexter® Milk Delivery Services®, LLC will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible.

We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.

Sophia Dexter® Milk Delivery Services®, LLC is a family business that is owned by Sophia Dexter and her immediate family members. Sophia Dexter has a B.Sc. in Business Administration, with over 10 years’ experience in the dairy wholesaling industry, working for some of the leading brands in the United States.

3. Our Products and Services

Sophia Dexter® Milk Delivery Services®, LLC will ensure we go all the way to make available a wide range of milk and dairy products from top manufacturing brands in the United States. We will be involved in the delivery of;

  • Dry, condensed and evaporated milk products delivery
  • Packaged fluid milk and cream delivery
  • Raw milk and cream delivery
  • Ice cream and frozen dairy products delivery
  • Butter, yogurt and other dairy products delivery

4. Our Mission and Vision Statement

  • Our vision is to become the leading brand in the milk delivery services line of business in the whole of Raleigh – North Carolina.
  • Our mission is to establish a milk delivery business that will make available a wide range of dairy products from top manufacturing brands at affordable prices to the residents of Raleigh and other cities in North Carolina where we intend marketing our products.

Our Business Structure

Our intention of starting a milk delivery business is to build a one stop milk delivery business in Raleigh – North Carolina. Although our business may not be as big as Dean Foods and Land O’Lakes Inc., but will ensure that we put the right structures in place that will support the kind of growth that we have in mind.

We will ensure that we hire people that are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders. As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of ten years or more.

In view of that, we have decided to hire qualified and competent hands to occupy the following positions that will be made available at Sophia Dexter® Milk Delivery Services®, LLC;

  • Chief Executive Officer (Owner)
  • Warehouse Manager
  • Human Resources and Amin Manager
  • Merchandize Manager
  • Sales and Marketing Manager
  • Information Technologist
  • Accountants / Cashiers
  • Customer Services Executive
  • Drivers / Distributors

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

  • Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
  • Responsible for fixing prices and signing business deals
  • Responsible for providing direction for the business
  • Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for signing checks and documents on behalf of the company
  • Evaluates the success of the organization

Admin and HR Manager

  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
  • Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
  • Defines job positions for recruitment and managing interviewing process
  • Carries out induction of new team members
  • Responsible for training, evaluation and assessment of employees
  • Responsible for arranging travel, meetings and appointments
  • Oversees the smooth running of the daily office activities.

Warehouse Manager:

  • Ensures that proper records of goods are kept and our warehouse does not run out of products
  • Ensures that the warehouse facility is in tip top shape and goods are properly arranged and easy to locate
  • Controls goods distribution and supply inventory
  • Supervises the workforce in the warehouse.

Merchandize Manager

  • Manages vendor relations, market visits, and the ongoing education and development of the organizations’ buying teams
  • Helps to ensure consistent quality of milk and other dairy products are purchased by the organization
  • Responsible for the purchase of milk and other dairy products for the organizations
  • Responsible for planning sales, monitoring inventory, selecting the merchandise, and writing and pricing orders to vendors

Sales and Marketing Manager

  • Manages external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
  • Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
  • Documents all customer contact and information
  • Represents the company in strategic meetings
  • Helps to increase sales and growth for the company

Information Technologist

  • Manages the organization website
  • Handles ecommerce aspect of the business
  • Responsible for installing and maintenance of computer software and hardware for the organization
  • Manages logistics and supply chain software, Web servers, e-commerce software and POS (point of sale) systems
  • Manages the organization’s CCTV
  • Handles any other technological and IT related duties.


  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides managements with financial analyses, development budgets, and accounting reports
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensures compliance with taxation legislation
  • Handles all financial transactions for the organization
  • Serves as internal auditor for the organization

Client Service Executive

  • Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
  • Through interaction with customers on the phone, uses every opportunity to build client’s interest in the company’s products and services
  • Manages administrative duties assigned by the human resources and admin manager in an effective and timely manner
  • Consistently stays abreast of any new information on the organizations’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to customers when they make enquiries

Distribution Truck Drivers

  • Assists in loading and unloading of milk and other dairy products
  • Maintains a logbook of their driving activities to ensure compliance with federal regulations
  • Keeps a record of vehicle inspections and make sure the truck is equipped with safety equipment
  • Assists the transport and logistics manager in planning their route according to a delivery schedule.
  • Inspect vehicles for mechanical items and safety issues and perform preventative maintenance
  • Obeys truck driving rules and regulations (size, weight, route designations, parking, break periods etc.) as well as with company policies and procedures
  • Reports defects, accidents or violations

6. SWOT Analysis

Our intention of choosing to deliver milk and other dairy products only within Raleigh – North Carolina is to test run the business for a period of 2 to 5 years to know if we will invest more money, expand the business and then start our delivery services all around the state of North Carolina and subsequently the whole of the United States of America.

We are quite aware that there are several Supermarket and grocery stores all over Raleigh and even in the same location where we intend locating ours who are also into milk delivery, which is why we are following the due process of establishing a business.

We know that if proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be equipped to confront our threats.

Sophia Dexter® Milk Delivery Services®, LLC employed the services of an expert HR and Business Analyst with bias in retailing to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives. This is the summary of the SWOT analysis that was conducted for Sophia Dexter® Milk Delivery Services®, LLC;

  • Strength:

We have been able to partner with major dairy production brands and also we have what it takes to manage large milk retail outlets; these are some of the strengths of our business.

  • Weakness:

A major weakness that may count against us is the fact that we are a new milk delivery business and we don’t have our own production plant hence we will depend of dairy product manufacturers to continue to do business

  • Opportunities:

The fact that we are going to be operating our milk delivery business in one of the largest residenial estates with the right demography in Raleigh – North Carolina provides us with unlimited opportunities to sell our milk to a large number of people.

We have been able to conduct thorough feasibility studies and market survey and we know what our potential clients will be looking for when they patronize our services; we are well positioned to take on the opportunities that will come our way.

  • Threat:

Just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing / spending power. Another threat that may likely confront us is the arrival of a new supermarket, grocery store or retail outlet that are also into milk delivery.


  • Market Trends

A notable trend in the dairy product wholesaling industry shows that per capita dairy consumption represents consumer demand for dairy-based foods. Dairy consumption is usually stable because foods like milk and cheese are considered staples of the US diet. However, per capita dairy consumption is expected to decrease in 2018, representing a potential threat to the industry.

Manufacturers of dairy products demand dairy goods from wholesalers for use as inputs for the production of other dairy-based foods. Consequently, dairy producers represent a significant downstream market for the industry. Demand from the industry is expected to increase in 2018, presenting a potential opportunity for the industry.

It is now a common phenomenon for businesses that are into delivery of products to leverage on technology to effectively predict consumer demand patterns and to strategically position their business to meet their needs; in essence, the use of technology helps retailers to maximize supply chain efficiencies. No doubt data collected from customers goes a long way to help milk delivery services serve them better.

8. Our Target Market

Perhaps the dairy wholesaling industry has the widest range of customers; almost everybody on planet earth especially children, drink milk. It is difficult to find people around who don’t buy milk.

In view of that, we have positioned our milk delivery services to service the residents of Raleigh – North Carolina. We have conducted our market research and we have ideas of what our target market would be expecting from us. We are in business to retail (home delivery services inclusive) a wide range of groceries to the following groups of people;

  • Households
  • Hotels and restaurants
  • Milk and dairy products retailers
  • Schools (Dormitory)
  • Campus

Our competitive advantage

A close study of the dairy wholesaling industry reveals that the market has become much more intensely competitive over the last decade. As a matter of fact, you have to be highly creative, customer centric and proactive if you must survive in this industry. We are aware of the stiff competition and we are prepared to compete favorably in the market.

Part of what is going to count as competitive advantage for Sophia Dexter® Milk Delivery Services®, LLC is the vast experience of our management team, we have people on board who are highly experienced in the industry. So also closeness to some of the largest dairy production companies, our large and far reaching national distribution network and of course our excellent customer service culture will definitely count as a strong strength for the business.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category in the industry meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives. We will also give good working conditions and commissions to freelance sales agents that we will recruit from time to time.


  • Sources of Income

We are in the dairy product wholesaling industry to maximize profits and we are going to ensure that we achieve or business goals and objectives. In essence, our source of income will be the delivery of;

  • Dry, condensed and evaporated milk products
  • Packaged fluid milk and cream
  • Raw milk and cream
  • Ice cream and frozen dairy products
  • Butter, yogurt and other dairy products

10. Sales Forecast

One thing is certain when it comes to the delivery business, if your warehouse is well stocked and centrally positioned coupled with effective and reliable delivery services and network, you will always attract customers cum sales and that will sure translate to increase in revenue for the business.

We are well positioned to take on the available market in Raleigh – North Carolina and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow the business and our clientele base.

Below are the sales projections for Sophia Dexter® Milk Delivery Services®, LLC, it is based on the location of our business and other factors as it relates to milk and dairy products delivery startups in the United States;

  • First Fiscal Year: $120,000
  • Second Fiscal Year: $350,000
  • Third Fiscal Year: $650,000

N.B: This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and or competitor offering same products or home delivery services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

  • Marketing Strategy and Sales Strategy

Before choosing a location for Sophia Dexter® Milk Delivery Services®, LLC, we conducted a thorough market survey and feasibility studies in order for us to be able to penetrate the available market and become the preferred choice for retail outlets, and residents of Raleigh – North Carolina.

We hired experts who have good understanding of the dairy wholesaling industry to help us develop marketing strategies that will help us achieve our business goal of winning a larger percentage of the available market in Raleigh.

In summary, Sophia Dexter® Milk Delivery Services®, LLC will adopt the following sales and marketing approach to win customers over;

  • Introduce our milk delivery services business by sending introductory letters alongside our brochure to retailers, organizations, households and key stake holders in Raleigh – North Carolina
  • Ensure that we have a wide range of milk and dairy products from different brands at all times.
  • Make use of attractive hand bills to create awareness our business
  • Position our signage / flexi banners at strategic places around Raleigh – North Carolina
  • Create a loyalty plan that will enable us reward our regular customers
  • Engage on roadshows within our neighborhood to create awareness for our milk delivery services business.

11. Publicity and Advertising Strategy

Despite the fact that our milk delivery business is well located, we will still go ahead to intensify publicity for the business. Sophia Dexter® Milk Delivery Services®, LLC has a long term plan of expanding our delivery services all around North Carolina which is why we will deliberately build our brand to be well accepted in Raleigh before venturing out.

As a matter of fact, our publicity and advertising strategy is not solely for winning customers over but to effectively communicate our brand. Here are the platforms we intend leveraging on to promote and advertise Sophia Dexter® Milk Delivery Services®, LLC;

  • Place adverts on community based newspapers, radio and TV stations.
  • Encourage the use of word of mouth publicity from our loyal customers
  • Leverage on the internet and social media platforms like; YouTube, Instagram, Facebook, Twitter, LinkedIn, Snapchat, Google+ and other platforms to promote our business.
  • Ensure that our we position our banners and billboards in strategic positions all around Raleigh – North Carolina
  • Distribute our fliers and handbills in target areas in and around our neighborhood
  • Advertise our milk delivery business in our official website and employ strategies that will help us pull traffic to the site
  • Brand all our official cars and distribution vans and ensure that all our staff members wear our branded shirt or cap at regular intervals.

12. Our Pricing Strategy

Our prices will conform to what is obtainable in the industry but will ensure that within the first 6 to 12 months our products are sold a little bit below the average prices in the market. We have put in place business strategies that will help us run on low profits for a period of 6 months; it is a way of encouraging people to buy into our business.

  • Payment Options

The payment policy adopted by Sophia Dexter® Milk Delivery Services®, LLC is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Sophia Dexter® Milk Delivery Services®, LLC will make available to her clients;

  • Payment via bank transfer
  • Payment with cash
  • Payment via credit cards/Point of Sale Machines (POS Machines)
  • Payment via POS machines
  • Payment via online bank transfer
  • Payment via check

In view of the above, we have chosen banking platforms that will enable our clients make payment for milk and other dairy products delivered without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for the purchase of our products.

13. Startup Expenditure (Budget)

When it comes to starting a standard milk delivery business, one is expected to spend the bulk of the startup capital on renting a store/warehouse facility. Asides from that, you are also expected to purchase distribution vans, get a large stock of milk and other dairy products, pay of your employees and utility bills.

These are the key areas where we will spend our startup capital;

  • The total fee for registering the business in the United States of America – $750.
  • Legal expenses for obtaining licenses and permits as well as the accounting services (software, P.O.S machines and other software) – $3,300.
  • Marketing promotion expenses for the grand opening of Sophia Dexter® Milk Delivery Services®, LLC in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
  • The cost for hiring business consultant – $2,500.
  • Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
  • The cost for payment of rent for 12 months at $1.76 per square feet in the total amount of $46,000.
  • The cost for warehouse remodeling (construction of racks and shelves) – $5,000.
  • Other start-up expenses including stationery ($500) and phone and utility deposits ($2,500).
  • Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $60,000
  • The cost for start-up inventory (stocking with a wide range of milk and other dairy products) – $30,000
  • The cost for store equipment (cash register, security, ventilation, signage) – $13,750
  • The cost of purchase and installation of CCTVs, and car tracker devices – $5,000
  • The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al) – $4,000.
  • The cost for the purchase of delivery vans – $15,000
  • The cost of launching a Website –  $600
  • Miscellaneous –  $10,000

We would need an estimate of $150,000 to successfully set up our milk deliver services in Raleigh – North Carolina.

Generating Funds/Startup Capital for Sophia Dexter® Milk Delivery Services®, LLC

Sophia Dexter® Milk Delivery Services®, LLC is a private business that is owned and financed by Sophia Dexter and her immediate family members. They do not intend to welcome any external business partners which is why they decided to restrict the sourcing of the startup capital to 3 major sources.

  • Generate part of the startup capital from personal savings
  • Source for soft loans from family members and friends
  • Apply for loan from the bank

N.B: We have been able to generate about $50,000 (Personal savings $40,000 and soft loan from family members $10,000) and we are at the final stages of obtaining a loan facility of $100,000 from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.

14. Sustainability and Expansion Strategy

The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and the business structure. If all of these factors are missing from a business, then it won’t be too long before the business closes shop.

One of our major goals of starting Sophia Dexter® Milk Delivery Services®, LLC is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to distribute our milk and other dairy products a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.

Sophia Dexter® Milk Delivery Services®, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.

We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

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
  • Leasing of facility and remodeling the warehouse: In Progress
  • Conducting Feasibility Studies: Completed
  • Generating capital from family members: Completed
  • Applications for Loan from the bank: 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
  • Printing of Promotional Materials: In Progress
  • Recruitment of employees: In Progress
  • Purchase of the needed furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
  • Purchase of distribution vans: Completed
  • Creating Official Website for the Company: In Progress
  • Creating Awareness for the business both online and around the community: In Progress
  • Health and Safety and Fire Safety Arrangement (License): Secured
  • Compilation of our list of brands of milk and other dairy products that will be available in our distribution line: Completed
  • Establishing business relationship with milk and dairy products production companies and other key stakeholders: In Progress