Are you about starting a roof tile manufacturing company? If YES, here is a complete sample roof tile manufacturing business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a roof tile manufacturing business. We also took it further by analyzing and drafting a sample roof tile marketing plan template backed up by actionable guerrilla marketing ideas for roof tile manufacturing companies. So let’s proceed to the business planning section.
Business ideas are all around us but one of the challenges that aspiring entrepreneurs are confronted with is how to know a business that can become successful.
The rule of thumb in choosing a business to launch is to look out for a business whose products or services are in high demand. Starting a roof tile manufacturing company can come in handy if you have the business exposure and financial requirements.
If you are sure that this type of business is what you truly want to do after you must have conducted your market research and feasibility studies, then the next step to follow is to write a good business plan; a detailed blue print of how you intend raising your seed capital, setting up the business, managing the flow of the business, sorting out tax and marketing your services.
The truth is that it is one thing to have a fantastic idea cum business plan; but it is another thing for the business plan to translate to money, that is why it is important to assemble a team of experts to work with if you want to be successful with your roof tile manufacturing company.
Below is a sample roof tile manufacturing company business plan template that will help you successfully launch your own business.
A Sample Roof Tile Manufacturing Business Plan Template
Table of Content
- 2. Executive Summary
- 5. Job Roles and Responsibilities
- 6. SWOT Analysis
- 7. MARKET ANALYSIS
- 13. Startup Expenditure (Budget)
1. Industry Overview
Roof tile manufacturing business is part of the Clay Brick & Tile Product manufacturing industry and players in this industry manufacture clay building material including bricks, mortars and ceramic and other roofing tiles. Operators also manufacture clay and non – clay refractories, which are structures that retain their shape and chemical identity when subjected to high temperatures; these structures are ideal for use in kilns and furnaces.
Major buyers of industry products include building markets, steel manufacturers and companies in the mineral refining sector.
Generally, the Clay Brick and Tile Product manufacturing industry manufactures clay bricks, ceramic tiles and refractory products. Clay bricks and tiles are principally used for housing construction and renovation, while refractory products are used to line kilns and furnaces as well as for various purposes in the production of foundry, cement and glass products.
Major markets include the residential sector and the primary steel and nonferrous metal manufacturing sectors. Increased demand from these markets has benefited the industry over the five years to 2018, although weakened demand from the steel sector in the latter half of the period has constrained the refractory segment’s performance. Going forward, industry operators are expected to see slowing demand from the construction sector.
Statistics has it that in the united states of America alone, there are about 545 registered and licensed clay and tile product manufacturing companies scattered all across the United States responsible for employing about 21,920 people and the industry rakes in a whooping sum of $6 billion annually.
The industry is projected to enjoy 1.3 percent annual growth within 2013 and 2018. It is important to state that Mohawk Industries Inc. and Vesuvius are the market leaders in the United States of America.
Research carried out by IBISWorld shows that the Clay Brick and Tile Product Manufacturing industry has a medium level of market share concentration, with the three largest players generating an estimated 20.6 percent of industry revenue in 2017.
The remainder of the market is captured by a large number of small and medium-scale operators that service relatively narrow geographical markets.
However, large-scale players maintain a presence across many regional markets. The report further stated that over the past five years, ownership concentration within the industry has increased due to acquisition activity in the US building materials market.
This has typically involved the acquisition of local and regional players by larger companies seeking to expand their operations, and large foreign owned manufacturing companies hoping to gain a foothold in the US market. In conclusion, the Clay Brick and Tile Product Manufacturing industry is a profitable industry and it is open for entrepreneurs to come in and establish their business. You can choose a niche such as roof tile manufacturing.
2. Executive Summary
O’Brien Smith® Roof Tiles, Inc. is a registered roof tile manufacturing company that will be located in Fargo-Moorhead – North Dakota.
The location is highly suitable for the kind of manufacturing business we want to establish. We have been able to lease a facility that is big enough (a 10 thousand square foot facility) to fit into the design of the kind of roof tile manufacturing company that we intend launching.
O’Brien Smith® Roof Tiles, Inc. will manufacture different sizes and shapes of roof tiles and also other clay building materials including bricks, mortars and ceramic tiles et al.
We are aware that there are several roof tile manufacturing companies all around the United States of America, which is why we spent time and resources to conduct a thorough feasibility studies and market survey so as to be well positioned to compete with all our competitors.
O’Brien Smith® Roof Tiles, Inc. 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 customers’ needs precisely and completely whenever they patronize our products.
O’Brien Smith® Roof Tiles, Inc. will ensure that all our distributors are given first class treatment whenever they visit our factory. We have a CRM software that will enable us manage a one on one relationship with our wholesale distributors no matter how large they are.
We will ensure that we get them involved when making some business decisions that will directly or indirectly affect them.
O’Brien Smith® Roof Tiles, Inc. is a family business that is owned by O’Brien Smith and his immediate family members. O’Brien Smith has a Degree in Production Engineering with over 10 years’ of experience in the clay brick & product manufacturing industry.
3. Our Products and Services
O’Brien Smith® Roof Tiles, Inc. is in the clay brick and tile product manufacturing industry to manufacture quality and durable products for a wide range of clients and of course to make profits. Our product offerings are listed below;
- Manufacturing roof tiles
- Manufacturing clay and non – clay refractories
- Manufacturing clay bricks
- Manufacturing ceramic floor and wall tiles
- Manufacturing other structural clay products
4. Our Mission and Vision Statement
- Our vision is to become the leading brand in the clay brick and tile product manufacturing industry in the whole of Fargo-Moorhead –North Dakota.
- Our mission is to establish a world – class roof tile manufacturing business whose products will not only be retailed in the United States of America, but also be exported to other countries of the world.
Our Business Structure
O’Brien Smith® Roof Tiles, Inc. does not intend to start a cottage business; our intention of starting is to build a standard business whose products will be exported to other countries of the world. We 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. 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;
- Chief Executive Officer (Owner)
- Factory Manager
- Human Resources and Admin Manager
- Sales and Marketing Manager
- Roof Tiles Machine Operators
- Customer Services Executive/Front Desk Officer
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, appraising job results and developing incentives
- Responsible for fixing prices and signing business deals
- Accountable for providing direction for the business
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Reports to the board
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 for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Supervises the smooth running of the daily office activities.
- Responsible for overseeing the smooth running of the factory
- Part of the team that determines the quantity of roof tiles and other products that are to be produced
- Maps out strategy that will lead to efficiency amongst workers in the factory
- Responsible for training, evaluation and assessment of factory workers
- Ensures that the steady flow of both raw materials to the factory and easy flow of finished products through wholesale distributors to the market
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Ensures that the factory meets the expected safety and health standard at all times.
- Interfaces with third – party suppliers (vendors) of raw materials
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
- Identifies development opportunities; follows up on development leads and contacts.
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Document all customer contact and information
- Represent the company in strategic meetings
- Help increase sales and growth for the company
Roof Tiles Machine Operators
- Responsible for operating machines used in the manufacturing roof tiles, brick and structural clay tiles, ceramic floor and wall tiles, clay refractories and non – clay refractories
- Assist in loading finished products into trucks meant for delivery.
- 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/Front Desk Officer
- Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
- 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 clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the manager in an effective and timely manner
- Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients
- Receives parcels/documents for the company
- Distribute mails in the organization
- Handles any other duties as assigned by the line manager
6. SWOT Analysis
O’Brien Smith® Roof Tiles, Inc. intends to become one of the leading roof tile manufacturing companies in the whole of Fargo-Moorhead – North Dakota and we are fully aware that it will take the right business concept, management and organizational structure to achieve our goal.
We are quite aware that there are several roof tile manufacturing companies in the United States and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a 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.
O’Brien Smith® Roof Tiles, Inc. employed the services of an expert HR and Business Analyst with bias in manufacturing 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 O’Brien Smith® Roof Tiles, Inc.;
Our core strength lies in the quality of our products, the power of our team and the state of the art roof tile manufacturing factory that we own. We have a team of highly trained and experienced staff members that can produce durable roof tiles, brick and structural clay tiles, ceramic floor and wall tiles, clay refractories and non – clay refractories. We are positioned in the heart of Fargo-Moorhead – North Dakota and we know we will attract loads of clients from the first day we open our business.
A major weakness that may count against us is the fact that we are a new roof tile manufacturing company and we don’t have the financial capacity to compete with multi – million dollar roof tile manufacturing companies in the United States. So also, we may not have enough cash to promote our company the way we would want to do.
The fact that we are going to be operating in Fargo-Moorhead – North Dakota provides us with unlimited opportunities to sell our roof tiles, brick and structural clay tiles, ceramic floor and wall tiles, clay refractories and non – clay refractories to a large number of construction companies and contractors.
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 visit our factory.
The fact that import penetration has forced numerous operators out of the domestic market is a threat to our business. Another major threat 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 roof tile manufacturing company in same location where ours is located. unfavorable government policies may also pose a threat for businesses such as ours.
7. MARKET ANALYSIS
- Market Trends
If you are conversant with the trends in the Clay Brick and Tile Product Manufacturing industry, you will agree that the industry has benefited from improved construction activities over the last half a decade.
A close watch on industry activities reveals that the industry was hit hard by the recent economic downturn. Please note that external factors such as Housing starts and Industrial production index will impact industry performance and trend.
The roof tile manufacturing landscape has seen tremendous changes in the last 20 years; it has grown from the smaller enterprise to a more organized and far reaching manufacturing factories. This trend has benefited them in such a way that they can comfortably sell their products nationally and also export them to other countries of the world.
8. Our Target Market
Our target market is well defined and in view of that, we have positioned our roof tile manufacturing company to service construction companies, building material retailers and other construction related companies all around Fargo-Moorhead – North Dakota. We have conducted our market research and feasibility studies and we have ideas of what our target market would be expecting from us.
- Our competitive advantage
A close study of the Clay Brick and Tile Product Manufacturing 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 competition and we are prepared to compete favorably with other leading roof tile manufacturing companies in Fargo-Moorhead – North Dakota.
Having a good technical knowledge of the product, access to high quality inputs, optimum capacity utilization, ability to quickly adopt new technology, ability to control total supply on market and upstream vertical integration (ownership links) are part of our competitive advantage.
Our roof tile manufacturing company is located in an ideal property highly suitable for the kind of manufacturing company that we want to run. One thing is certain, we will ensure that we manufacture different sizes and shapes of roof tiles, brick and structural clay tiles, ceramic floor and wall tiles, clay refractories and non – clay refractories to meet international standards.
One of our business goals is to make O’Brien Smith® Roof Tiles, Inc. a one stop roof tile manufacturing company for construction cum building engineering companies. Our excellent customer service culture, online store, various payment options and highly secured facility will serve as a competitive advantage for us.
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.
9. SALES AND MARKETING STRATEGY
- Sources of Income
O’Brien Smith® Roof Tiles, Inc. is in business to manufacture and retail different sizes and shapes of roof tiles, brick and structural clay tiles, ceramic floor and wall tiles, clay refractories and non – clay refractories to clients in the United States of America and other countries of the world.
10. Sales Forecast
One thing is certain when it comes to roof tile manufacturing business, if your factory is well located and you have good business network, you will always attract customers cum sales and that will sure translate to increase in revenue generation for the business.
We are well positioned to take on the available market in Fargo-Moorhead – North Dakota and we are quite optimistic that we will meet our set target of generating enough profits from the first six months of operation and grow the business and our clientele base beyond Fargo-Moorhead – North Dakota to other states in the United States of America.
We have been able to examine the Clay Brick and Tile Product Manufacturing industry, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast.
Below are the sales projection for O’Brien Smith® Roof Tiles, Inc., it is based on the location of our business and other factors as it relates to roof tile manufacturing startups in the United States;
- First Fiscal Year: $275,000
- Second Fiscal Year: $575,000
- Third Fiscal Year: $790,000
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 there won’t be any major competitor manufacturing or retailing same products 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 O’Brien Smith® Roof Tiles, Inc., we conduct a thorough market survey and feasibility studies in order for us to be able to be able to penetrate the available market and become the preferred choice for stakeholders in and around Fargo-Moorhead – North Dakota.
We hired experts who have good understanding of the 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 Fargo-Moorhead – North Dakota.
In summary, O’Brien Smith® Roof Tiles, Inc. will adopt the following sales and marketing approach to win customers over;
- Introduce our roof tile manufacturing company by sending introductory letters alongside our brochure to construction companies, building materials retailers and contractors and key stake holders in and around Fargo-Moorhead – North Dakota
- Make use of attractive hand bills to create awareness and also to give direction to our factory
- Position our signage / flexi banners at strategic places around Fargo-Moorhead – North Dakota
- Create a loyalty plan that will enable us reward our regular customers
- List our business and products on yellow pages’ ads (local directories)
- Leverage on the internet to promote our business
- Engage in direct marketing and sales
- Encourage the use of Word of mouth marketing (referrals)
- Join local chambers of commerce and industries with the aim of networking and marketing our products.
11. Publicity and Advertising Strategy
O’Brien Smith® Roof Tiles, Inc. has a long – term plan of opening our distribution channel in various locations all around key cities in the United States which is why we will deliberately build our brand in Fargo-Moorhead – North Dakota before venturing out. Here are the platforms we intend leveraging on to promote and advertise O’Brien Smith® Roof Tiles, Inc.;
- 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, Google+ and other platforms to promote our business.
- Ensure that our we position our banners and billboards in strategic positions all around Fargo-Moorhead – North Dakota
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Advertise our roof tile manufacturing company in our official website and employ strategies that will help us pull traffic to the site
- Brand all our official cars and trucks and ensure that all our staff wear our branded shirt or cap at regular intervals.
12. Our Pricing Strategy
Aside from quality, pricing is one of the key factors that gives leverage to a company. We know we don’t have the capacity to compete with leading roof tile manufacturing companies in the United States, but we will ensure that the prices and quality of all the products that we manufacture are competitive with what is obtainable amongst roof tile manufacturing companies within our level.
We are aware that there are one-off supply contracts from government works department and construction giants. We will ensure that we abide by the bidding price template for such contracts.
- Payment Options
The payment policy adopted by O’Brien Smith® Roof Tiles, Inc. 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 O’Brien Smith® Roof Tiles, Inc. will make available to her clients;
- Payment via bank transfer
- Payment via credit cards
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our client make payment for the purchase of our products 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 transfers.
13. Startup Expenditure (Budget)
After due diligence, we noticed that these are the key areas where we will spend our startup capital on;
- 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 O’Brien Smith® Roof Tiles, Inc. 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 total cost for hiring Business Consultant – $2,500.
- The total cost for payment of insurance policy covers (general liability, workers’ compensation and property casualty) coverage at a total premium – $9,400.
- The total cost for long – term leasing of a standard production factory – $150,000
- The total cost for remodeling the warehouse – $20,000.
- 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 total cost for start-up inventory – $150,000
- The total cost for store equipment (cash register, security, ventilation, signage) – $13,750
- The total cost for the purchase and installation of CCTVs: $10,000
- The cost for the purchase of office furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al): $4,000.
- The total cost of launching a website: $600
- Miscellaneous: $10,000
We would need an estimate of five hundred and fifty thousand dollars ($550,000) to successfully set up our roof tile manufacturing company in Fargo-Moorhead – North Dakota.
Generating Startup Capital for O’Brien Smith® Roof Tiles, Inc.
O’Brien Smith® Roof Tiles, Inc. is owned by O’Brien Smith, and he has decided to restrict the sourcing of the startup capital to 3 major sources.
- Generate part of the startup capital from personal savings and sell of stocks
- Source for soft loans from family members and friends
- Apply for loan from the bank
N.B: We have been able to generate about $200,000 (Personal savings $150,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $350,000 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 garnered, the capability and competence of their employees, their investment strategy and business structure. If all of these factors are missing from a business, then it won’t be too long before the business close shop.
One of our major objectives of O’Brien Smith® Roof Tiles, Inc. is to construct a business that will survive off its own cash flow without the need for 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 manufacture and retail durable and quality roof tiles, brick and structural clay tiles, ceramic floor and wall tiles, clay refractories and non – clay refractories a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.
O’Brien Smith® Roof Tiles, Inc. 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.
- 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 facility (warehouse and factory): 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 machines, furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
- 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 products that will be available in our warehouse: Completed
- Establishing business relationship with distributors: In Progress