For some people, it is very important to put everything on paper before starting any business, so that they can proceed according to the plan without wasting time and resources. That is reason you will need a business plan. If you are going to set up your home based bakery and intend to operate it as a hobby or part time, you might not want to waste time on documenting stuff, but if your home based bakery is going to be your full time business and or you intend to grow it bigger in future, a business plan is a must.
Business plan for your home based bakery will not only help you operate it effectively but will also let you promote it better and generate funding for the same. Let’s have a look at details of what should be the content of your bakery business plan.
Bakery Introduction & a Brief About the Concept
Start with introducing your business idea, i.e. what you plan to do, who you are, what are your expertise, when and how will your business operate, your short and long term goals and even what you plan to do with this bakery business in 1 year, 2 years, 3+ years from now etc. Within the introduction you will be needed to include the name of your bakery; check how to name your bakery business to have a clear idea about naming your business.
List Your Products with Details about Them
Create a list of all the products that you will be baking and selling. Although you can do the pricing later, but better idea is to put the pricing at this very stage. For pricing you will need to do a quick analysis of your cost incurred on a product and you can set your own pricing based on target market.
Do Market Analysis & Put in the Plan
Start this phase with identifying your customers. Include their demographics, economic and ethnic makeup, their purchasing power, interests and demands. If you are not planning to expand initially, you can skip this for now, but a professional bakery business plan is not complete without this section.
To complete this sections, do clear where will you find your customers, who are your competitors, what strengths and weaknesses they have and what value your products will create to your customers etc.
Include Your Marketing Plan
Check out our detailed guide on how to market a bakery business, especially marketing a home based bakery and identify the mediums that best suit your business. Once you know the identified medium, you can mention strategy for each of the medium separately including the estimated marketing budget and projected ROI.
This section may contain a big chunk of content including the preparation of marketing materials, i.e. brochures design and distribution, bakery business card designs, ad copies, newsletter samples etc.
Mention Human Resources
If you are planning this business to be one man show you can skip this section, however, in other case, list all the people who will likely be the part of your business in one way or other.
Have Supplier’s Chain & Network Included
Since a lot of long term purchasing will be included in your business, you need to have all the suppliers onboard and have their contact information and a brief about terms with them in the plan.
Wrap it Up with Financials
If you are not done with the basic costing in the market analysis section, here you can do it. However doing that earlier will save your time, as here you just need to present the calculated values.
Include the setup cost, running costs, marketing expenses, materials cost, storage costs and the projected revenues in this section.
The above guidelines give you an idea of what should be the content for your home based or large scale bakery business plan. You need to fill out each of the above section according to your very own situation and your business plan is all ready.