Start-up Funding | |
Start-up Expenses to Fund | $7,700 |
Start-up Assets to Fund | $87,300 |
Total Funding Required | $95,000 |
Assets | |
Non-cash Assets from Start-up | $43,000 |
Cash Requirements from Start-up | $44,300 |
Additional Cash Raised | $0 |
Cash Balance on Starting Date | $44,300 |
Total Assets | $87,300 |
Liabilities and Capital | |
Liabilities | |
Current Borrowing | $0 |
Long-term Liabilities | $0 |
Accounts Payable (Outstanding Bills) | $0 |
Other Current Liabilities (interest-free) | $0 |
Total Liabilities | $0 |
Capital | |
Planned Investment | |
Stan Spinner | $75,000 |
Investor 2 | $20,000 |
Other | $0 |
Additional Investment Requirement | $0 |
Total Planned Investment | $95,000 |
Loss at Start-up (Start-up Expenses) | ($7,700) |
Total Capital | $87,300 |
Total Capital and Liabilities | $87,300 |
Total Funding | $95,000 |
Foosball Foosball, or table soccer is a popular table game that looks sort of like a soccer game. The name is derived from the German word for field soccer which is fubball. The adopted name in the States is foosball or table soccer. The game itself originated in Germany during the late 1920’s and early 1930’s.
A fact that may come as a surprise to many is that foosball is played on a competitive (professional) level. There are several tours which exist with regional, national and international competitions. Within the U.S. there are two well established associations, United States Table Soccer Association and the American Table Soccer Federation. So while most participants are recreational players, there are many people who play foosball at a competitive level. The bulk of Foosball Hall customers are the recreational players.
Foosball Hall offers 10 different tables for foosball. Five days a week the tables are open to first-come/first-served play. Two days a week half of the tables will be reserved for league/tournament play. Customers are able to play foosball by paying an hourly rate. Players can either play games with people within their party or have pickup opponents. Foosball Hall serves a rotating tap of three beers as well as several bottled varieties. Other beverages include fountain soft drinks. Foosball Hall offers a light bar food menu of sandwiches and several different appetizer items.
So while foosball is the main attraction, i.e. why customers would choose Foosball Hall over another bar, the main source of revenue is from the offered food and beverages. The foosball revenue, both from individual play and from tournaments will help supplement the business, profitability depends on selling sufficient levels of food and drinks.
Offering foosball is an attractive service as many people enjoy participating in some sort of game while they are at a bar drinking and socializing. Foosball provides this entertainment, similar to pool and darts. Foosball offers the same challenge in terms of strategy and skill as pool and darts but makes the experience more fun and action oriented. So foosball can be said to be the best of both worlds, requiring skill and thought but at the same time being fun, fast paced action.
Foosball Hall has identified two target customer segments which are particularly attractive. The first segment customers are the more casual players who are looking for some sort of activity (such as foosball, pool, darts) to occupy their time as they socialize and drink. The second group comprises the competitive foosball players. This group travels to where ever there are tables.
While the two groups share the same interest in foosball, they are distinct groups and each one will need to be reached via different methods. Foosball Hall participates within the general pool hall industry, businesses that offer beer and pool typically. The foosball parlor industry is too small and new to have its own industry classification. While foosball is a very popular table game, there are just not enough foosball dedicated halls to have its own industry. Here lies the attractiveness of the industry, most of the foosball playing occurs on college campuses, there are few outside establishments that offer a pool-like foosball hall.
Foosball Hall has identified two distinct customer segments that they will target:
Casual players This segment is typically made up of college men who enjoy playing foosball with their colleagues. This group of individuals typically plays to pass time and have fun as opposed to playing at a competitive level in tournaments. Characteristics of the individuals that make up this group are:
Competitive players This group plays to win. Foosball is not about a fun way to pass time but a serious game at which they work hard, developing competitive skills. This group is far smaller but the individuals are active participants. There are two different manufacturer based associations for foosball and numerous different player based associations. In fact, as a testament to the level of seriousness, size and participation levels of these players, almost all states in the U.S. have their own associations. It is this group of people that will be the most active participants in the offered tournaments.
The bulk of Foosball Hall’s customers are casual recreational players.
Market Analysis | |||||||
Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Potential Customers | Growth | CAGR | |||||
Casual players | 8% | 54,889 | 59,280 | 64,022 | 69,144 | 74,676 | 8.00% |
Competitive players | 7% | 12,445 | 13,316 | 14,248 | 15,245 | 16,312 | 7.00% |
Total | 7.82% | 67,334 | 72,596 | 78,270 | 84,389 | 90,988 | 7.82% |
Foosball Hall will successfully target two distinct segments of the market. While both groups play foosball, the reasons that they play are different. Understanding this will help Foosball Hall accurately target the specific group. The first group while smaller in size is far more organized and will therefore be much easier to reach. Although seriously competitive players are growing in number, it is a select group of people that compete in foosball. With the advent of the Internet, this group has become quite organized in terms of associations, tournaments, and general awareness of each other. This being said, it is easy to reach this group through advertisements and networking with the different associations. The competitive players are always looking for new places to play, there are generally not enough tables to accommodate them. This will be the easiest group to reach. This group is talkative amongst themselves and always looking for new places and new tournaments.
The casual players will be more difficult to target. This group of people comes from a fairly large cross section of the population, people that like some sort of table game while they hang out with friends and drink beer. The obvious group to try to reach are college students. Madison was chosen in part because of its population of foosball players as well as the huge student population to draw off of. Students are the perfect segment of the population that likes to drink, play games, has disposable income, and has extra time for leisure activities. Additionally, foosball is a social game that requires two- four players. Even beyond the requirement for multiple players, when people play foosball it is typically in a social setting with socializing occurring during play. While there are some other casual players, most are or recently were college students.
There are few commercial playing areas for foosball. Most foosball tables reside in private settings, either a home, fraternity house, etc. The real competitor in terms of industry are pool halls. While the games themselves are not similar, the reason people play and the type of people that play are quite similar. As mentioned previously, people play either as a source of game competition, or they play as a way to have fun and socialize. The users are quite similar as well, however, pool tends to attract an older crowd, or at least some older people. The pool hall/ table game hall industry operates primarily by selling beer and alcoholic beverages. Food and fountain drinks generate supplemental income. Most business occurs in the evening/ night time, as people use the occasions as a way to relax.
Competition is predominantly from pool halls and foosball tournaments.
Pool Halls The pool halls are the alternative places, other than typical bars, that people go to to socialize and play games to pass the time. There are many different pool halls that serve the Madison student population. They are typically grouped by some sort of theme, maybe concentrating on the lower price point beer selection, maybe on the music, sometimes on the quality of the pool and billiards tables (typically a function of the skill level of the players and the use of the tables for tournaments). The pool halls are competitors for the casual players, people that are playing as a way to socialize, have fun, and pass the time.
Foosball Tournaments Currently, the several tournaments that are held for the Madison area players take place in a community center recreation room that has six tables. There are no other public or semi-public areas that have more than a couple of tables available for play. So while the community center will still have tournaments, the facilities at Foosball Hall will be nicer and have more things to offer such as food and beer. By virtue of more and better tables, Foosball Hall will be able to attract plenty of people for the tournaments.
Indirect competition comes from other evening recreation activities, such as bars, movies, theatres, bowling alleys, etc.
Foosball Hall will leverage the fact that they offer the finest (as well as the only) facility of numerous, nice, good condition foosball tables. This will be especially useful when competing for customers against the pool halls. Foosball has the same draw as pool, a game that is fun, social, and requires some skill, but is much more fun than pool. To be competitive at foosball, players must develop a strong skill set, however, the level of fun is accessible to all skill levels. Therefore, foosball generates more fun than pool, a distinction that is valuable to a hall that is attracting people to come play games, eat, and drink.
The marketing effort will rely on advertisements and sponsorships to reach the desired market segments. For the casual users the venue will be advertised as a place to eat, drink, and play fun games. To reach the competitive players, Foosball Hall will have to generate visibility among the different individuals and groups that compete. This will be done with advertising as well as sponsoring tournaments, arguably the best way to get this segment introduced to Foosball Hall.
The sales strategy is formulated on the hypothesis that there are a large number of people that will try Foosball Hall once, and that a successful sales effort will be one that captures the people and turns them into repeat customers. This philosophy is grounded in the solid marketing maxim that it is more costly to attract new customers than it is to maintain current ones.
Foosball Hall will rely on their competitive edge of offering a large number of foosball tables to patrons. Pool halls are relatively popular. They offer patrons a source of self entertainment (based on skill and strategy) while they drink and socialize. Foosball takes this value one step further by offering a game that has similar skill requirements, but injects much more fun and thrill into the game. Currently, there are no other public places that offer more than one or two foosball tables for play. This competitive edge could diminish if it becomes so popular that competitors take notice and offer similar game options. However, Foosball Hall will enjoy the market leader position and will not rest on its laurels, continually looking for new ways to add value for their customers. Foosball Hall will be always looking for new ways to appeal to their target market by both secondary research, and through primary research in the form of observation of their customers.
Foosball Hall will use two different forms of marketing communication as a way to reach the target market and raise their awareness of Foosball Hall and their product offerings. The casual users will be reached through a series of advertisements, generally in the student newspapers. The student rags are a source of information that most students consult in determining activities and events. There are two main student papers, each with a slightly different readership demographic. The advertising space in the papers is fairly inexpensive and is targeted to reach the right audience.
In order to reach the competitive users, Foosball Hall will rely on a tournament sponsorship strategy to attract the serious players. Foosball Hall will sponsor several different tournaments, at least two days a week that will be a haven for the competitive players. The beauty (for Foosball Hall) of the competitive tournaments is that most players require practice to remain competitive or improve and the large number of tables at Foosball Hall will encourage this customer segment to use Foosball Hall as a place to train as well as compete. The tournament sponsorship will generate visibility on the local (city as well as state) foosball association websites. The visibility will take the form of activity by members of the Foosball Hall staff in association based activities. Becoming active within this association of people is valuable networking that is likely to bring many new customers to the Hall. Foosball Hall believes that this grassroots approach will be particularly effective for this unusual but tight knit group of people.
Consistent, customer-centric service is the requirement for Foosball Hall employees. Every employee will have the idea drilled into them that they cannot let a customer leave dissatisfied. Employees will be empowered to remedy most situations that come up. Problem solving will be encouraged throughout the organization. It would also be fair to say that everyone within the organization is part of the sales staff.
The sales forecast is a conservative projection. It has been kept conservative to ensure that, with the worst case scenario, we are able to cover our expenses. The first three months have a sales forecast that is pretty grim (relative to the standard month). This can be explained by the fact that the first few months will be slow, a function of being a start-up business, fighting to become more visible within the community, going from nothing to achieving a regular clientele. A slow but steady growth cycle with occur as the months toll. Profitability is projected to occur during the later half of the second year. As a rule of thumb for this industry, if profitability occurs before the second year than it is unlikely to be a sustainable profit, and if it does not occur by the end of the second year than the chance of it ever happening is pretty slim.
The following table and charts represent the breakdown of the sales for the first year as well as graphical representations of sales by month and year.
Sales Forecast | |||
Year 1 | Year 2 | Year 3 | |
Sales | |||
Alcohol | $67,537 | $95,778 | $132,545 |
Soft drinks | $36,470 | $51,720 | $71,574 |
Food | $31,742 | $45,016 | $62,296 |
Table fees | $12,832 | $18,198 | $25,184 |
Total Sales | $148,581 | $210,712 | $291,599 |
Direct Cost of Sales | Year 1 | Year 2 | Year 3 |
Alcohol | $16,884 | $23,945 | $33,136 |
Soft drinks | $5,457 | $7,758 | $10,736 |
Food | $10,475 | $14,855 | $20,558 |
Table fees | $0 | $0 | $0 |
Subtotal Direct Cost of Sales | $32,816 | $46,558 | $64,430 |
Foosball Hall has identified several different milestones that will act as obtainable goals, providing the organization with benchmarks that they must reach. The following table details the different milestones, the timeline for them and the responsible party.
Milestones | |||||
Milestone | Start Date | End Date | Budget | Manager | Department |
Completion of the business plan | 1/1/2003 | 2/1/2003 | $0 | SS | Bus. Dev. |
First tournament | 1/1/2003 | 3/1/2003 | $0 | HP | Marketing |
Profitability | 1/1/2003 | 10/30/2004 | $0 | BK | Accounting |
$250K in revenue | 1/1/2003 | 10/30/2004 | $0 | SS | Sales |
Totals | $0 |
The website will be used as a form of communication aimed primarily at the competitive players. The competitive players are those that use the Internet to stay in touch with the rest of the foosball community. This community, as perviously mentioned, is somewhat small but close knit. The Internet provides the perfect communication medium. The casual players are unlikely to use the website much, they will be looking for a casual place to have fun and pass the time and an Internet search is usually not used to find new places.
The website will provide viewers with information regarding the services and products offered by Foosball Hall. In addition to providing information, the website will be linked into the different associations websites as a venue for tournament play.
The website will be marketed in two ways. The first will be submissions to popular search engines such as Google. This will allow people who are searching for Madison based foosball to reach Foosball Hall’s website. The second marketing strategy is the complimentary linking of sites with the local and regional foosball associations. With complimentary links used, surfers who are already on a complimentary website such as the associations website will be guided to Foosball Hall’s site and hopefully made aware of the new venue for foosball play.
The development requirements for the site will be met by a computer science student. This type of student will be used for two reasons: the typical below market rates, and the technical expertise that they offer.
Foosball Hall is being led by Stan Spinner. Stan received his undergraduate degree in philosophy from University of Wisconsin-Stevens Point. It was here that Stan was first introduced to foosball. His fraternity had a table and he immediately enjoyed the game. At his fraternity there were always people lined up waiting to play.
During his undergraduate days, Stan managed a pool hall. This was valuable because it taught him general business skills, paid well, and required his time at night, preventing a conflict with his schooling. Stan recognized that his ultimate dream was to create his own business, to be his own boss. With this in mind, and recognizing his reasonable assessment that his business skill set was not totally complete, Stan decided to enroll in The University of Wisconsin’s MBA Entrepreneurship Program.
At this point Stan was aware that having a foosball hall was a viable business opportunity. While the immediacy of starting it as soon as possible to be the first to market was valuable, he recognized his deficiencies in his skill set and ultimately decided to continue school and begin his business after his degree was completed. Having this insight as to his work passion and how to execute it was invaluable to Stan as he went through all his course work with the goal of starting his own business when he graduated.
Stan will be the driving force behind Foosball Hall. His responsibilities include but not limited to: vendor relations and product procurement, marketing, sales, accounting (initially), tournament formation and management, and bar tending. In addition to Stan the following positions will need to be filled:
Personnel Plan | |||
Year 1 | Year 2 | Year 3 | |
Stan | $24,000 | $26,000 | $33,000 |
Bartenders | $17,800 | $36,000 | $56,000 |
Bartender assistants | $14,500 | $18,600 | $20,000 |
Bookkeeper | $7,200 | $6,000 | $12,000 |
Total People | 8 | 8 | 8 |
Total Payroll | $63,500 | $86,600 | $121,000 |
The following sections outline important financial information.
The following table details important Financial Assumptions.
General Assumptions | |||
Year 1 | Year 2 | Year 3 | |
Plan Month | 1 | 2 | 3 |
Current Interest Rate | 10.00% | 10.00% | 10.00% |
Long-term Interest Rate | 10.00% | 10.00% | 10.00% |
Tax Rate | 30.00% | 30.00% | 30.00% |
Other | 0 | 0 | 0 |
The Break-even Analysis indicates that monthly revenue of approximately $12,000 will be needed to reach the break-even point.
Break-even Analysis | |
Monthly Revenue Break-even | $12,837 |
Assumptions: | |
Average Percent Variable Cost | 22% |
Estimated Monthly Fixed Cost | $10,001 |
The following table and charts show the Projected Profit and Loss.
Pro Forma Profit and Loss | |||
Year 1 | Year 2 | Year 3 | |
Sales | $148,581 | $210,712 | $291,599 |
Direct Cost of Sales | $32,816 | $46,558 | $64,430 |
Other Costs of Goods | $0 | $0 | $0 |
Total Cost of Sales | $32,816 | $46,558 | $64,430 |
Gross Margin | $115,765 | $164,154 | $227,169 |
Gross Margin % | 77.91% | 77.90% | 77.90% |
Expenses | |||
Payroll | $63,500 | $86,600 | $121,000 |
Sales and Marketing and Other Expenses | $4,800 | $4,000 | $4,000 |
Depreciation | $7,992 | $7,992 | $7,992 |
Rent | $14,400 | $15,000 | $16,000 |
Utilities | $4,200 | $4,200 | $4,200 |
Insurance | $9,600 | $9,600 | $9,600 |
Payroll Taxes | $9,525 | $12,990 | $18,150 |
Other | $6,000 | $6,000 | $6,000 |
Total Operating Expenses | $120,017 | $146,382 | $186,942 |
Profit Before Interest and Taxes | ($4,252) | $17,772 | $40,227 |
EBITDA | $3,740 | $25,764 | $48,219 |
Interest Expense | $0 | $0 | $0 |
Taxes Incurred | $0 | $5,332 | $12,068 |
Net Profit | ($4,252) | $12,440 | $28,159 |
Net Profit/Sales | -2.86% | 5.90% | 9.66% |
The following chart and table display Projected Cash Flow.
Pro Forma Cash Flow | |||
Year 1 | Year 2 | Year 3 | |
Cash Received | |||
Cash from Operations | |||
Cash Sales | $148,581 | $210,712 | $291,599 |
Subtotal Cash from Operations | $148,581 | $210,712 | $291,599 |
Additional Cash Received | |||
Sales Tax, VAT, HST/GST Received | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 |
New Other Liabilities (interest-free) | $0 | $0 | $0 |
New Long-term Liabilities | $0 | $0 | $0 |
Sales of Other Current Assets | $0 | $0 | $0 |
Sales of Long-term Assets | $0 | $0 | $0 |
New Investment Received | $0 | $0 | $0 |
Subtotal Cash Received | $148,581 | $210,712 | $291,599 |
Expenditures | Year 1 | Year 2 | Year 3 |
Expenditures from Operations | |||
Cash Spending | $63,500 | $86,600 | $121,000 |
Bill Payments | $74,171 | $102,328 | $131,919 |
Subtotal Spent on Operations | $137,671 | $188,928 | $252,919 |
Additional Cash Spent | |||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 |
Principal Repayment of Current Borrowing | $0 | $0 | $0 |
Other Liabilities Principal Repayment | $0 | $0 | $0 |
Long-term Liabilities Principal Repayment | $0 | $0 | $0 |
Purchase Other Current Assets | $0 | $0 | $0 |
Purchase Long-term Assets | $0 | $0 | $0 |
Dividends | $0 | $0 | $0 |
Subtotal Cash Spent | $137,671 | $188,928 | $252,919 |
Net Cash Flow | $10,910 | $21,784 | $38,680 |
Cash Balance | $55,210 | $76,994 | $115,674 |
The following table presents the Projected Balance Sheet.
Pro Forma Balance Sheet | |||
Year 1 | Year 2 | Year 3 | |
Assets | |||
Current Assets | |||
Cash | $55,210 | $76,994 | $115,674 |
Other Current Assets | $3,000 | $3,000 | $3,000 |
Total Current Assets | $58,210 | $79,994 | $118,674 |
Long-term Assets | |||
Long-term Assets | $40,000 | $40,000 | $40,000 |
Accumulated Depreciation | $7,992 | $15,984 | $23,976 |
Total Long-term Assets | $32,008 | $24,016 | $16,024 |
Total Assets | $90,218 | $104,010 | $134,698 |
Liabilities and Capital | Year 1 | Year 2 | Year 3 |
Current Liabilities | |||
Accounts Payable | $7,170 | $8,522 | $11,051 |
Current Borrowing | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 |
Subtotal Current Liabilities | $7,170 | $8,522 | $11,051 |
Long-term Liabilities | $0 | $0 | $0 |
Total Liabilities | $7,170 | $8,522 | $11,051 |
Paid-in Capital | $95,000 | $95,000 | $95,000 |
Retained Earnings | ($7,700) | ($11,952) | $488 |
Earnings | ($4,252) | $12,440 | $28,159 |
Total Capital | $83,048 | $95,488 | $123,647 |
Total Liabilities and Capital | $90,218 | $104,010 | $134,698 |
Net Worth | $83,048 | $95,488 | $123,647 |
Foosball Hall’s Business Ratios. SIC industry class: Pool parlor – 7999.0403.
Ratio Analysis | ||||
Year 1 | Year 2 | Year 3 | Industry Profile | |
Sales Growth | 0.00% | 41.82% | 38.39% | 5.73% |
Percent of Total Assets | ||||
Other Current Assets | 3.33% | 2.88% | 2.23% | 33.26% |
Total Current Assets | 64.52% | 76.91% | 88.10% | 43.21% |
Long-term Assets | 35.48% | 23.09% | 11.90% | 56.79% |
Total Assets | 100.00% | 100.00% | 100.00% | 100.00% |
Current Liabilities | 7.95% | 8.19% | 8.20% | 21.91% |
Long-term Liabilities | 0.00% | 0.00% | 0.00% | 28.81% |
Total Liabilities | 7.95% | 8.19% | 8.20% | 50.72% |
Net Worth | 92.05% | 91.81% | 91.80% | 49.28% |
Percent of Sales | ||||
Sales | 100.00% | 100.00% | 100.00% | 100.00% |
Gross Margin | 77.91% | 77.90% | 77.90% | 100.00% |
Selling, General & Administrative Expenses | 80.78% | 72.00% | 68.25% | 76.43% |
Advertising Expenses | 0.00% | 0.00% | 0.00% | 2.77% |
Profit Before Interest and Taxes | -2.86% | 8.43% | 13.80% | 1.89% |
Main Ratios | ||||
Current | 8.12 | 9.39 | 10.74 | 1.18 |
Quick | 8.12 | 9.39 | 10.74 | 0.80 |
Total Debt to Total Assets | 7.95% | 8.19% | 8.20% | 1.76% |
Pre-tax Return on Net Worth | -5.12% | 18.61% | 32.53% | 61.12% |
Pre-tax Return on Assets | -4.71% | 17.09% | 29.86% | 4.52% |
Additional Ratios | Year 1 | Year 2 | Year 3 | |
Net Profit Margin | -2.86% | 5.90% | 9.66% | n.a |
Return on Equity | -5.12% | 13.03% | 22.77% | n.a |
Activity Ratios | ||||
Accounts Payable Turnover | 11.34 | 12.17 | 12.17 | n.a |
Payment Days | 27 | 28 | 27 | n.a |
Total Asset Turnover | 1.65 | 2.03 | 2.16 | n.a |
Debt Ratios | ||||
Debt to Net Worth | 0.09 | 0.09 | 0.09 | n.a |
Current Liab. to Liab. | 1.00 | 1.00 | 1.00 | n.a |
Liquidity Ratios | ||||
Net Working Capital | $51,040 | $71,472 | $107,623 | n.a |
Interest Coverage | 0.00 | 0.00 | 0.00 | n.a |
Additional Ratios | ||||
Assets to Sales | 0.61 | 0.49 | 0.46 | n.a |
Current Debt/Total Assets | 8% | 8% | 8% | n.a |
Acid Test | 8.12 | 9.39 | 10.74 | n.a |
Sales/Net Worth | 1.79 | 2.21 | 2.36 | n.a |
Dividend Payout | 0.00 | 0.00 | 0.00 | n.a |
Sales Forecast | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | |||||||||||||
Alcohol | 0% | $2,511 | $2,787 | $3,254 | $4,587 | $4,354 | $5,656 | $3,877 | $6,141 | $8,454 | $8,654 | $9,848 | $7,414 |
Soft drinks | 0% | $1,356 | $1,505 | $1,757 | $2,477 | $2,351 | $3,054 | $2,094 | $3,316 | $4,565 | $4,673 | $5,318 | $4,004 |
Food | 0% | $1,180 | $1,310 | $1,529 | $2,156 | $2,046 | $2,658 | $1,822 | $2,886 | $3,973 | $4,067 | $4,629 | $3,485 |
Table fees | 0% | $477 | $530 | $618 | $872 | $827 | $1,075 | $737 | $1,167 | $1,606 | $1,644 | $1,871 | $1,409 |
Total Sales | $5,524 | $6,131 | $7,159 | $10,091 | $9,579 | $12,443 | $8,529 | $13,510 | $18,599 | $19,039 | $21,666 | $16,311 | |
Direct Cost of Sales | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Alcohol | $628 | $697 | $814 | $1,147 | $1,089 | $1,414 | $969 | $1,535 | $2,114 | $2,164 | $2,462 | $1,854 | |
Soft drinks | $339 | $376 | $439 | $619 | $588 | $764 | $523 | $829 | $241 | $247 | $281 | $211 | |
Food | $389 | $432 | $505 | $711 | $675 | $877 | $601 | $952 | $1,311 | $1,342 | $1,527 | $1,150 | |
Table fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Direct Cost of Sales | $1,356 | $1,505 | $1,757 | $2,477 | $2,352 | $3,055 | $2,094 | $3,317 | $3,666 | $3,752 | $4,270 | $3,215 |
Personnel Plan | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Stan | 0% | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 |
Bartenders | 0% | $0 | $0 | $1,500 | $1,500 | $1,700 | $1,700 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 |
Bartender assistants | 0% | $0 | $0 | $1,200 | $1,200 | $1,400 | $1,400 | $1,550 | $1,550 | $1,550 | $1,550 | $1,550 | $1,550 |
Bookkeeper | 0% | $0 | $0 | $0 | $0 | $900 | $900 | $900 | $900 | $900 | $900 | $900 | $900 |
Total People | 1 | 1 | 6 | 6 | 6 | 7 | 8 | 8 | 8 | 8 | 8 | 8 | |
Total Payroll | $2,000 | $2,000 | $4,700 | $4,700 | $6,000 | $6,000 | $6,350 | $6,350 | $6,350 | $6,350 | $6,350 | $6,350 |
General Assumptions | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Plan Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | |
Current Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |
Long-term Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |
Tax Rate | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | |
Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Pro Forma Profit and Loss | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | $5,524 | $6,131 | $7,159 | $10,091 | $9,579 | $12,443 | $8,529 | $13,510 | $18,599 | $19,039 | $21,666 | $16,311 | |
Direct Cost of Sales | $1,356 | $1,505 | $1,757 | $2,477 | $2,352 | $3,055 | $2,094 | $3,317 | $3,666 | $3,752 | $4,270 | $3,215 | |
Other Costs of Goods | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Cost of Sales | $1,356 | $1,505 | $1,757 | $2,477 | $2,352 | $3,055 | $2,094 | $3,317 | $3,666 | $3,752 | $4,270 | $3,215 | |
Gross Margin | $4,168 | $4,626 | $5,401 | $7,614 | $7,227 | $9,388 | $6,435 | $10,193 | $14,933 | $15,286 | $17,396 | $13,096 | |
Gross Margin % | 75.45% | 75.45% | 75.45% | 75.45% | 75.45% | 75.45% | 75.45% | 75.45% | 80.29% | 80.29% | 80.29% | 80.29% | |
Expenses | |||||||||||||
Payroll | $2,000 | $2,000 | $4,700 | $4,700 | $6,000 | $6,000 | $6,350 | $6,350 | $6,350 | $6,350 | $6,350 | $6,350 | |
Sales and Marketing and Other Expenses | $400 | $400 | $400 | $400 | $400 | $400 | $400 | $400 | $400 | $400 | $400 | $400 | |
Depreciation | $666 | $666 | $666 | $666 | $666 | $666 | $666 | $666 | $666 | $666 | $666 | $666 | |
Rent | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | |
Utilities | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | $350 | |
Insurance | $800 | $800 | $800 | $800 | $800 | $800 | $800 | $800 | $800 | $800 | $800 | $800 | |
Payroll Taxes | 15% | $300 | $300 | $705 | $705 | $900 | $900 | $953 | $953 | $953 | $953 | $953 | $953 |
Other | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Total Operating Expenses | $6,216 | $6,216 | $9,321 | $9,321 | $10,816 | $10,816 | $11,219 | $11,219 | $11,219 | $11,219 | $11,219 | $11,219 | |
Profit Before Interest and Taxes | ($2,048) | ($1,590) | ($3,920) | ($1,707) | ($3,589) | ($1,428) | ($4,783) | ($1,025) | $3,715 | $4,068 | $6,177 | $1,878 | |
EBITDA | ($1,382) | ($924) | ($3,254) | ($1,041) | ($2,923) | ($762) | ($4,117) | ($359) | $4,381 | $4,734 | $6,843 | $2,544 | |
Interest Expense | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Taxes Incurred | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Net Profit | ($2,048) | ($1,590) | ($3,920) | ($1,707) | ($3,589) | ($1,428) | ($4,783) | ($1,025) | $3,715 | $4,068 | $6,177 | $1,878 | |
Net Profit/Sales | -37.07% | -25.93% | -54.75% | -16.92% | -37.47% | -11.47% | -56.08% | -7.59% | 19.97% | 21.37% | 28.51% | 11.51% |
Pro Forma Cash Flow | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Cash Received | |||||||||||||
Cash from Operations | |||||||||||||
Cash Sales | $5,524 | $6,131 | $7,159 | $10,091 | $9,579 | $12,443 | $8,529 | $13,510 | $18,599 | $19,039 | $21,666 | $16,311 | |
Subtotal Cash from Operations | $5,524 | $6,131 | $7,159 | $10,091 | $9,579 | $12,443 | $8,529 | $13,510 | $18,599 | $19,039 | $21,666 | $16,311 | |
Additional Cash Received | |||||||||||||
Sales Tax, VAT, HST/GST Received | 0.00% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Other Liabilities (interest-free) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Investment Received | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Received | $5,524 | $6,131 | $7,159 | $10,091 | $9,579 | $12,443 | $8,529 | $13,510 | $18,599 | $19,039 | $21,666 | $16,311 | |
Expenditures | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Expenditures from Operations | |||||||||||||
Cash Spending | $2,000 | $2,000 | $4,700 | $4,700 | $6,000 | $6,000 | $6,350 | $6,350 | $6,350 | $6,350 | $6,350 | $6,350 | |
Bill Payments | $164 | $4,911 | $5,077 | $5,736 | $6,435 | $6,525 | $7,175 | $6,337 | $7,531 | $7,871 | $7,972 | $8,437 | |
Subtotal Spent on Operations | $2,164 | $6,911 | $9,777 | $10,436 | $12,435 | $12,525 | $13,525 | $12,687 | $13,881 | $14,221 | $14,322 | $14,787 | |
Additional Cash Spent | |||||||||||||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Principal Repayment of Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Long-term Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Purchase Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Purchase Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Dividends | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Spent | $2,164 | $6,911 | $9,777 | $10,436 | $12,435 | $12,525 | $13,525 | $12,687 | $13,881 | $14,221 | $14,322 | $14,787 | |
Net Cash Flow | $3,361 | ($780) | ($2,618) | ($345) | ($2,856) | ($82) | ($4,995) | $823 | $4,718 | $4,818 | $7,343 | $1,523 | |
Cash Balance | $47,661 | $46,881 | $44,263 | $43,917 | $41,062 | $40,980 | $35,985 | $36,808 | $41,525 | $46,343 | $53,687 | $55,210 |
Pro Forma Balance Sheet | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Assets | Starting Balances | ||||||||||||
Current Assets | |||||||||||||
Cash | $44,300 | $47,661 | $46,881 | $44,263 | $43,917 | $41,062 | $40,980 | $35,985 | $36,808 | $41,525 | $46,343 | $53,687 | $55,210 |
Other Current Assets | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
Total Current Assets | $47,300 | $50,661 | $49,881 | $47,263 | $46,917 | $44,062 | $43,980 | $38,985 | $39,808 | $44,525 | $49,343 | $56,687 | $58,210 |
Long-term Assets | |||||||||||||
Long-term Assets | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 | $40,000 |
Accumulated Depreciation | $0 | $666 | $1,332 | $1,998 | $2,664 | $3,330 | $3,996 | $4,662 | $5,328 | $5,994 | $6,660 | $7,326 | $7,992 |
Total Long-term Assets | $40,000 | $39,334 | $38,668 | $38,002 | $37,336 | $36,670 | $36,004 | $35,338 | $34,672 | $34,006 | $33,340 | $32,674 | $32,008 |
Total Assets | $87,300 | $89,995 | $88,549 | $85,265 | $84,253 | $80,732 | $79,984 | $74,323 | $74,480 | $78,531 | $82,683 | $89,361 | $90,218 |
Liabilities and Capital | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Current Liabilities | |||||||||||||
Accounts Payable | $0 | $4,743 | $4,887 | $5,522 | $6,218 | $6,285 | $6,965 | $6,087 | $7,269 | $7,606 | $7,690 | $8,190 | $7,170 |
Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Subtotal Current Liabilities | $0 | $4,743 | $4,887 | $5,522 | $6,218 | $6,285 | $6,965 | $6,087 | $7,269 | $7,606 | $7,690 | $8,190 | $7,170 |
Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Total Liabilities | $0 | $4,743 | $4,887 | $5,522 | $6,218 | $6,285 | $6,965 | $6,087 | $7,269 | $7,606 | $7,690 | $8,190 | $7,170 |
Paid-in Capital | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 |
Retained Earnings | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) | ($7,700) |
Earnings | $0 | ($2,048) | ($3,638) | ($7,558) | ($9,265) | ($12,853) | ($14,281) | ($19,064) | ($20,089) | ($16,374) | ($12,307) | ($6,130) | ($4,252) |
Total Capital | $87,300 | $85,252 | $83,662 | $79,742 | $78,035 | $74,447 | $73,019 | $68,236 | $67,211 | $70,926 | $74,993 | $81,170 | $83,048 |
Total Liabilities and Capital | $87,300 | $89,995 | $88,549 | $85,265 | $84,253 | $80,732 | $79,984 | $74,323 | $74,480 | $78,531 | $82,683 | $89,361 | $90,218 |
Net Worth | $87,300 | $85,252 | $83,662 | $79,742 | $78,035 | $74,447 | $73,019 | $68,236 | $67,211 | $70,926 | $74,993 | $81,170 | $83,048 |
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Use this free business plan template to write your business plan quickly and efficiently.
A good business plan is essential to successfully starting your business — and the easiest way to simplify the work of writing a business plan is to start with a business plan template.
You’re already investing time and energy in refining your business model and planning your launch—there’s no need to reinvent the wheel when it comes to writing a business plan. Instead, to help build a complete and effective plan, lean on time-tested structures created by other entrepreneurs and startups.
Ahead, learn what it takes to create a solid business plan and download Shopify's free business plan template to get started on your dream today.
This business plan outline is designed to ensure you’re thinking through all of the important facets of starting a new business. It’s intended to help new business owners and entrepreneurs consider the full scope of running a business and identify functional areas they may not have considered or where they may need to level up their skills as they grow.
That said, it may not include the specific details or structure preferred by a potential investor or lender. If your goal with a business plan is to secure funding , check with your target organizations—typically banks or investors—to see if they have business plan templates you can follow to maximize your chances of success.
Our free business plan template includes seven key elements typically found in the traditional business plan format:
This is a one-page summary of your whole plan, typically written after the rest of the plan is completed. The description section of your executive summary will also cover your management team, business objectives and strategy, and other background information about the brand.
This section of your business plan will answer two fundamental questions: “Who are you?” and “What do you plan to do?” Answering these questions clarifies why your company exists, what sets it apart from others, and why it’s a good investment opportunity. This section will detail the reasons for your business’s existence, its goals, and its guiding principles.
What you sell and the most important features of your products or services. It also includes any plans for intellectual property, like patent filings or copyright. If you do market research for new product lines, it will show up in this section of your business plan.
This section includes everything from estimated market size to your target markets and competitive advantage. It’ll include a competitive analysis of your industry to address competitors’ strengths and weaknesses. Market research is an important part of ensuring you have a viable idea.
How you intend to get the word out about your business, and what strategic decisions you’ve made about things like your pricing strategy. It also covers potential customers’ demographics, your sales plan, and your metrics and milestones for success.
Everything that needs to happen to turn your raw materials into products and get them into the hands of your customers.
It’s important to include a look at your financial projections, including both revenue and expense projections. This section includes templates for three key financial statements: an income statement, a balance sheet, and a cash-flow statement . You can also include whether or not you need a business loan and how much you’ll need.
What do financial projections look like on paper? How do you write an executive summary? What should your company description include? Business plan examples can help answer some of these questions and transform your business idea into an actionable plan.
Inside our template, we’ve filled out a sample business plan featuring a fictional ecommerce business .
The sample is set up to help you get a sense of each section and understand how they apply to the planning and evaluation stages of a business plan. If you’re looking for funding, this example won’t be a complete or formal look at business plans, but it will give you a great place to start and notes about where to expand.
A lean business plan format is a shortened version of your more detailed business plan. It’s helpful when modifying your plan for a specific audience, like investors or new hires.
Also known as a one-page business plan, it includes only the most important, need-to-know information, such as:
💡 Tip: For a step-by-step guide to creating a lean business plan (including a sample business plan), read our guide on how to create a lean business plan .
It’s tempting to dive right into execution when you’re excited about a new business or side project, but taking the time to write a thorough business plan and get your thoughts on paper allows you to do a number of beneficial things:
A business plan can be as informal or formal as your situation calls for, but even if you’re a fan of the back-of-the-napkin approach to planning, there are some key benefits to starting your plan from an existing outline or simple business plan template.
A blank page can be intimidating to even the most seasoned writers. Using an established business planning process and template can help you get past the inertia of starting your business plan, and it allows you to skip the work of building an outline from scratch. You can always adjust a template to suit your needs.
If you’ve never sat through a business class, you might never have created a SWOT analysis or financial projections. Templates that offer guidance—in plain language—about how to fill in each section can help you navigate sometimes-daunting business jargon and create a complete and effective plan.
In some cases, you may not need to complete every section of a startup business plan template, but its initial structure shows you you’re choosing to omit a section as opposed to forgetting to include it in the first place.
There are some high-level strategic guidelines beyond the advice included in this free business plan template that can help you write an effective, complete plan while minimizing busywork.
If you’re writing a business plan for yourself in order to get clarity on your ideas and your industry as a whole, you may not need to include the same level of detail or polish you would with a business plan you want to send to potential investors. Knowing who will read your plan will help you decide how much time to spend on it.
Understanding the goals of your plan can help you set the right scope. If your goal is to use the plan as a roadmap for growth, you may invest more time in it than if your goal is to understand the competitive landscape of a new industry.
Writing a 10- to 15-page document can feel daunting, so try to tackle one section at a time. Select a couple of sections you feel most confident writing and start there—you can start on the next few sections once those are complete. Jot down bullet-point notes in each section before you start writing to organize your thoughts and streamline the writing process.
Planning is key to the financial success of any type of business , whether you’re a startup, non-profit, or corporation.
To make sure your efforts are focused on the highest-value parts of your own business planning, like clarifying your goals, setting a strategy, and understanding the target market and competitive landscape, lean on a business plan outline to handle the structure and format for you. Even if you eventually omit sections, you’ll save yourself time and energy by starting with a framework already in place.
What is the purpose of a business plan.
The purpose of your business plan is to describe a new business opportunity or an existing one. It clarifies the business strategy, marketing plan, financial forecasts, potential providers, and more information about the company.
If you need help writing a business plan, Shopify’s template is one of the most beginner-friendly options you’ll find. It’s comprehensive, well-written, and helps you fill out every section.
The five essential parts of a traditional business plan include:
There are several free templates for business plans for small business owners available online, including Shopify’s own version. Download a copy for your business.
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Written by Jesse Sumrak | May 14, 2023
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Business plans might seem like an old-school stiff-collared practice, but they deserve a place in the startup realm, too. It’s probably not going to be the frame-worthy document you hang in the office—yet, it may one day be deserving of the privilege.
Whether you’re looking to win the heart of an angel investor or convince a bank to lend you money, you’ll need a business plan. And not just any ol’ notes and scribble on the back of a pizza box or napkin—you’ll need a professional, standardized report.
Bah. Sounds like homework, right?
Yes. Yes, it does.
However, just like bookkeeping, loan applications, and 404 redirects, business plans are an essential step in cementing your business foundation.
Don’t worry. We’ll show you how to write a business plan without boring you to tears. We’ve jam-packed this article with all the business plan examples, templates, and tips you need to take your non-existent proposal from concept to completion.
Table of Contents
What Is a Business Plan?
How to Write a Business Plan in 6 Steps
Startup Business Plan Template
Business Plan Examples
Work on Making Your Business Plan
What is a business plan why do you desperately need one.
A business plan is a roadmap that outlines:
While it’s not required when starting a business, having a business plan is helpful for a few reasons:
Beyond the reasoning, let’s look at what the data says:
Convinced yet? If those numbers and reasons don’t have you scrambling for pen and paper, who knows what will.
Don’t Skip: Business Startup Costs Checklist
Before we get into the nitty-gritty steps of how to write a business plan, let’s look at some high-level tips to get you started in the right direction:
You might be tempted to get cutesy or revolutionary with your business plan—resist the urge. While you should let your brand and creativity shine with everything you produce, business plans fall more into the realm of professional documents.
Think of your business plan the same way as your terms and conditions, employee contracts, or financial statements. You want your plan to be as uniform as possible so investors, lenders, partners, and prospective employees can find the information they need to make important decisions.
If you want to create a fun summary business plan for internal consumption, then, by all means, go right ahead. However, for the purpose of writing this external-facing document, keep it legit.
Your official business plan document is for lenders, investors, partners, and big-time prospective employees. Keep these names and faces in your mind as you draft your plan.
Think about what they might be interested in seeing, what questions they’ll ask, and what might convince (or scare) them. Cut the jargon and tailor your language so these individuals can understand.
Remember, these are busy people. They’re likely looking at hundreds of applicants and startup investments every month. Keep your business plan succinct and to the point. Include the most pertinent information and omit the sections that won’t impact their decision-making.
You might not have answers to all the sections you should include in your business plan. Don’t skip over these!
Your audience will want:
Your answers can’t be hypothetical or opinionated. You need research to back up your claims. If you don’t have that data yet, then invest time and money in collecting it. That information isn’t just critical for your business plan—it’s essential for owning, operating, and growing your company.
Your business may be ambitious, but reign in the enthusiasm just a teeny-tiny bit. The last thing you want to do is have an angel investor call BS and say “I’m out” before even giving you a chance.
The folks looking at your business and evaluating your plan have been around the block—they know a thing or two about fact and fiction. Your plan should be a blueprint for success. It should be the step-by-step roadmap for how you’re going from Point A to Point B.
Not every business plan looks the same, but most share a few common elements. Here’s what they typically include:
Below, we’ll break down each of these sections in more detail.
While your executive summary is the first page of your business plan, it’s the section you’ll write last. That’s because it summarizes your entire business plan into a succinct one-pager.
Begin with an executive summary that introduces the reader to your business and gives them an overview of what’s inside the business plan.
Your executive summary highlights key points of your plan. Consider this your elevator pitch. You want to put all your juiciest strengths and opportunities strategically in this section.
In this section, you can dive deeper into the elements of your business, including answering:
Don’t overlook your mission statement. This powerful sentence or paragraph could be the inspiration that drives an investor to take an interest in your business. Here are a few examples of powerful mission statements that just might give you the goosebumps:
As the owner, you know your business and the industry inside and out. However, whoever’s reading your document might not. You’re going to need to break down your products and services in minute detail.
For example, if you own a SaaS business, you’re going to need to explain how this business model works and what you’re selling.
You’ll need to include:
Your market analysis essentially explains how your products and services address customer concerns and pain points. This section will include research and data on the state and direction of your industry and target market.
This research should reveal lucrative opportunities and how your business is uniquely positioned to seize the advantage. You’ll also want to touch on your marketing strategy and how it will (or does) work for your audience.
Include a detailed analysis of your target customers. This describes the people you serve and sell your product to. Be careful not to go too broad here—you don’t want to fall into the common entrepreneurial trap of trying to sell to everyone and thereby not differentiating yourself enough to survive the competition.
The market analysis section will include your unique value proposition. Your unique value proposition (UVP) is the thing that makes you stand out from your competitors. This is your key to success.
If you don’t have a UVP, you don’t have a way to take on competitors who are already in this space. Here’s an example of an ecommerce internet business plan outlining their competitive edge:
FireStarters’ competitive advantage is offering product lines that make a statement but won’t leave you broke. The major brands are expensive and not distinctive enough to satisfy the changing taste of our target customers. FireStarters offers products that are just ahead of the curve and so affordable that our customers will return to the website often to check out what’s new.
Your competitive analysis examines the strengths and weaknesses of competing businesses in your market or industry. This will include direct and indirect competitors. It can also include threats and opportunities, like economic concerns or legal restraints.
The best way to sum up this section is with a classic SWOT analysis. This will explain your company’s position in relation to your competitors.
Your financial strategy will sum up your revenue, expenses, profit (or loss), and financial plan for the future. It’ll explain how you make money, where your cash flow goes, and how you’ll become profitable or stay profitable.
This is one of the most important sections for lenders and investors. Have you ever watched Shark Tank? They always ask about the company’s financial situation. How has it performed in the past? What’s the ongoing outlook moving forward? How does the business plan to make it happen?
Answer all of these questions in your financial strategy so that your audience doesn’t have to ask. Go ahead and include forecasts and graphs in your plan, too:
It takes cash to change the world—lenders and investors get it. If you’re short on funding, explain how much money you’ll need and how you’ll use the capital. Where are you looking for financing? Are you looking to take out a business loan, or would you rather trade equity for capital instead?
Read More: 16 Financial Concepts Every Entrepreneur Needs to Know
Ready to write your own business plan? Copy/paste the startup business plan template below and fill in the blanks.
Executive Summary Remember, do this last. Summarize who you are and your business plan in one page.
Business Overview Describe your business. What’s it do? Who owns it? How’s it structured? What’s the mission statement?
Products and Services Detail the products and services you offer. How do they work? What do you charge?
Market Analysis Write about the state of the market and opportunities. Use date. Describe your customers. Include your UVP.
Competitive Analysis Outline the competitors in your market and industry. Include threats and opportunities. Add a SWOT analysis of your business.
Financial Strategy Sum up your revenue, expenses, profit (or loss), and financial plan for the future. If you’re applying for a loan, include how you’ll use the funding to progress the business.
Want to explore other templates and examples? We got you covered. Check out these 5 business plan examples you can use as inspiration when writing your plan:
If you find you’re getting stuck on perfecting your document, opt for a simple one-page business plan —and then get to work. You can always polish up your official plan later as you learn more about your business and the industry.
Remember, business plans are not a requirement for starting a business—they’re only truly essential if a bank or investor is asking for it.
Ask others to review your business plan. Get feedback from other startups and successful business owners. They’ll likely be able to see holes in your planning or undetected opportunities—just make sure these individuals aren’t your competitors (or potential competitors).
Your business plan isn’t a one-and-done report—it’s a living, breathing document. You’ll make changes to it as you grow and evolve. When the market or your customers change, your plan will need to change to adapt.
That means when you’re finished with this exercise, it’s not time to print your plan out and stuff it in a file cabinet somewhere. No, it should sit on your desk as a day-to-day reference. Use it (and update it) as you make decisions about your product, customers, and financial plan.
Review your business plan frequently, update it routinely, and follow the path you’ve developed to the future you’re building.
Keep Learning: New Product Development Process in 8 Easy Steps
Be as detailed as you can without assuming too much. For example, include your expected revenue, expenses, profit, and growth for the future.
The most common mistake is turning your business plan into a textbook. A business plan is an internal guide and an external pitching tool. Cut the fat and only include the most relevant information to start and run your business.
Co-founders, investors, or a board of advisors. Otherwise, reach out to a trusted mentor, your local chamber of commerce, or someone you know that runs a business.
Don’t let creating a business plan hold you back from starting your business. Writing documents might not be your thing—that doesn’t mean your business is a bad idea.
Let us help you get started.
Join our free training to learn how to start an online side hustle in 30 days or less. We’ll provide you with a proven roadmap for how to find, validate, and pursue a profitable business idea (even if you have zero entrepreneurial experience).
Stuck on the ideas part? No problem. When you attend the masterclass, we’ll send you a free ebook with 100 of the hottest side hustle trends right now. It’s chock full of brilliant business ideas to get you up and running in the right direction.
Jesse Sumrak is a writing zealot focused on creating killer content. He’s spent almost a decade writing about startup, marketing, and entrepreneurship topics, having built and sold his own post-apocalyptic fitness bootstrapped business. A writer by day and a peak bagger by night (and early early morning), you can usually find Jesse preparing for the apocalypse on a precipitous peak somewhere in the Rocky Mountains of Colorado.
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As an aspiring entrepreneur gearing up to start your own business , you likely know the importance of drafting a business plan. However, you might not be entirely sure where to begin or what specific details to include. That’s where examining business plan examples can be beneficial. Sample business plans serve as real-world templates to help you craft your own plan with confidence. They also provide insight into the key sections that make up a business plan, as well as demonstrate how to structure and present your ideas effectively.
To understand how to write a business plan, let’s study an example structured using a seven-part template. Here’s a quick overview of those parts:
In this section, you’ll find hypothetical and real-world examples of each aspect of a business plan to show you how the whole thing comes together.
Your executive summary offers a high-level overview of the rest of your business plan. You’ll want to include a brief description of your company, market research, competitor analysis, and financial information.
In this free business plan template, the executive summary is three paragraphs and occupies nearly half the page:
You might go more in-depth with your company description and include the following sections:
You can also repurpose your company description elsewhere, like on your About page, Instagram page, or other properties that ask for a boilerplate description of your business. Hair extensions brand Luxy Hair has a blurb on it’s About page that could easily be repurposed as a company description for its business plan.
Market analysis comprises research on product supply and demand, your target market, the competitive landscape, and industry trends. You might do a SWOT analysis to learn where you stand and identify market gaps that you could exploit to establish your footing. Here’s an example of a SWOT analysis for a hypothetical ecommerce business:
You’ll also want to run a competitive analysis as part of the market analysis component of your business plan. This will show you who you’re up against and give you ideas on how to gain an edge over the competition.
This part of your business plan describes your product or service, how it will be priced, and the ways it will compete against similar offerings in the market. Don’t go into too much detail here—a few lines are enough to introduce your item to the reader.
Potential investors will want to know how you’ll get the word out about your business. So it’s essential to build a marketing plan that highlights the promotion and customer acquisition strategies you’re planning to adopt.
Most marketing plans focus on the four Ps: product, price, place, and promotion. However, it’s easier when you break it down by the different marketing channels . Mention how you intend to promote your business using blogs, email, social media, and word-of-mouth marketing.
Here’s an example of a hypothetical marketing plan for a real estate website:
This section of your business plan provides information about your production, facilities, equipment, shipping and fulfillment, and inventory.
The financial plan (a.k.a. financial statement) offers a breakdown of your sales, revenue, expenses, profit, and other financial metrics. You’ll want to include all the numbers and concrete data to project your current and projected financial state.
In this business plan example, the financial statement for ecommerce brand Nature’s Candy includes forecasted revenue, expenses, and net profit in graphs.
It then goes deeper into the financials, citing:
You can use Shopify’s financial plan template to create your own income statement, cash-flow statement, and balance sheet.
A one-page business plan is a pared down version of a standard business plan that’s easy for potential investors and partners to understand. You’ll want to include all of these sections, but make sure they’re abbreviated and summarized:
A startup business plan is meant to secure outside funding for a new business. Typically, there’s a big focus on the financials, as well as other sections that help determine the viability of your business idea—market analysis, for example. Shopify has a great business plan template for startups that include all the below points:
Your internal business plan acts as the enforcer of your company’s vision. It reminds your team of the long-term objective and keeps them strategically aligned toward the same goal. Be sure to include:
A feasibility business plan is essentially a feasibility study that helps you evaluate whether your product or idea is worthy of a full business plan. Include the following sections:
A strategic (or growth) business plan lays out your long-term vision and goals. This means your predictions stretch further into the future, and you aim for greater growth and revenue. While crafting this document, you use all the parts of a usual business plan but add more to each one:
Now that you’re familiar with what’s included and how to format a business plan, let’s go over a few templates you can fill out or draw inspiration from.
Bplans’ free business plan template focuses a lot on the financial side of running a business. It has many pages just for your financial plan and statements. Once you fill it out, you’ll see exactly where your business stands financially and what you need to do to keep it on track or make it better.
PandaDoc’s free business plan template is detailed and guides you through every section, so you don’t have to figure everything out on your own. Filling it out, you’ll grasp the ins and outs of your business and how each part fits together. It’s also handy because it connects to PandaDoc’s e-signature for easy signing, ideal for businesses with partners or a board.
Miro’s Business Model Canvas Template helps you map out the essentials of your business, like partnerships, core activities, and what makes you different. It’s a collaborative tool for you and your team to learn how everything in your business is linked.
Building a business plan is key to establishing a clear direction and strategy for your venture. With a solid plan in hand, you’ll know what steps to take for achieving each of your business goals. Kickstart your business planning and set yourself up for success with a defined roadmap—utilizing the sample business plans above to inform your approach.
What are the 3 main points of a business plan.
To create a simple business plan, start with an executive summary that details your business vision and objectives. Follow this with a concise description of your company’s structure, your market analysis, and information about your products or services. Conclude your plan with financial projections that outline your expected revenue, expenses, and profitability.
The optimal format for a business plan arranges your plan in a clear and structured way, helping potential investors get a quick grasp of what your business is about and what you aim to achieve. Always start with a summary of your plan and finish with the financial details or any extra information at the end.
Creating a business plan is essential for any business, but it can be beneficial for restaurants and bar s that want to improve their strategy or raise funding.
A well-crafted business plan outlines your company’s vision and documents a step-by-step roadmap of how you will accomplish it. To create an effective business plan, you must first understand the components essential to its success.
This article provides an overview of the key elements that every restaurant and bar owner should include in their business plan.
What is a restaurant and bar business plan.
A restaurant and bar business plan is a formal written document describing your company’s business strategy and feasibility. It documents the reasons you will succeed, your areas of competitive advantage, and information about your team members. Your business plan is a key document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.
A restaurant and bar business plan is required for banks and investors. The document is a clear and concise guide to your business idea and the steps you will take to make it profitable.
Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.
The following are the critical components of a successful restaurant and bar business plan:
The executive summary of a restaurant and bar business plan is a one- to two-page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.
This section should include a brief history of your company. Include a short description of how your company started and provide a timeline of milestones your company has achieved.
You may not have a long company history if you are just starting your restaurant and bar. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your restaurant and bar company, mention this.
You will also include information about your chosen restaurant and bar business model and how, if applicable, it is different from other companies in your industry.
The industry or market analysis is an important component of a restaurant and bar business plan. Conduct thorough market research to determine industry trends and document the size of your market.
Questions to answer include:
You should also include sources for your information, such as published research reports and expert opinions.
This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.
For example, a restaurant and bar business’ customers may include office workers who are looking for a place to have after-work drinks or families who are looking for a kid-friendly restaurant for dinner.
You can include information about how your customers decide to buy from you and what keeps them buying from you.
Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or restaurant and bar services with the right marketing.
The competitive analysis helps you determine how your product or service will differ from competitors, and what your unique selling proposition (USP) might be that will set you apart in this industry.
For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation or advantage; that is, in what ways are you different from and ideally better than your competitors.
This part of the business plan is where you determine and document your marketing plan. . Your plan should be laid out, including the following 4 Ps.
This part of your restaurant and bar business plan should include the following information:
You also need to include your company’s business policies in the operations plan. You will want to establish policies related to everything from customer service to pricing, to the overall brand image you are trying to present.
Finally, and most importantly, your Operations Plan will outline the milestones your company hopes to achieve within the next five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters, and then each year for the following four years.
Examples of milestones for a restaurant and bar include reaching $X in sales. Other examples include expanding to a second location or launching a new menu.
List your team members here, including their names and titles, as well as their expertise and experience relevant to your establishment. Include brief biography sketches for each team member.
Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.
Here, you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix).
This includes the following three financial statements:
Your income statement should include:
Revenues | $ 336,090 | $ 450,940 | $ 605,000 | $ 811,730 | $ 1,089,100 |
$ 336,090 | $ 450,940 | $ 605,000 | $ 811,730 | $ 1,089,100 | |
Direct Cost | |||||
Direct Costs | $ 67,210 | $ 90,190 | $ 121,000 | $ 162,340 | $ 217,820 |
$ 67,210 | $ 90,190 | $ 121,000 | $ 162,340 | $ 217,820 | |
$ 268,880 | $ 360,750 | $ 484,000 | $ 649,390 | $ 871,280 | |
Salaries | $ 96,000 | $ 99,840 | $ 105,371 | $ 110,639 | $ 116,171 |
Marketing Expenses | $ 61,200 | $ 64,400 | $ 67,600 | $ 71,000 | $ 74,600 |
Rent/Utility Expenses | $ 36,400 | $ 37,500 | $ 38,700 | $ 39,800 | $ 41,000 |
Other Expenses | $ 9,200 | $ 9,200 | $ 9,200 | $ 9,400 | $ 9,500 |
$ 202,800 | $ 210,940 | $ 220,871 | $ 230,839 | $ 241,271 | |
EBITDA | $ 66,080 | $ 149,810 | $ 263,129 | $ 418,551 | $ 630,009 |
Depreciation | $ 5,200 | $ 5,200 | $ 5,200 | $ 5,200 | $ 4,200 |
EBIT | $ 60,880 | $ 144,610 | $ 257,929 | $ 413,351 | $ 625,809 |
Interest Expense | $ 7,600 | $ 7,600 | $ 7,600 | $ 7,600 | $ 7,600 |
$ 53,280 | $ 137,010 | $ 250,329 | $ 405,751 | $ 618,209 | |
Taxable Income | $ 53,280 | $ 137,010 | $ 250,329 | $ 405,751 | $ 618,209 |
Income Tax Expense | $ 18,700 | $ 47,900 | $ 87,600 | $ 142,000 | $ 216,400 |
$ 34,580 | $ 89,110 | $ 162,729 | $ 263,751 | $ 401,809 | |
10% | 20% | 27% | 32% | 37% |
Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:
Cash | $ 105,342 | $ 188,252 | $ 340,881 | $ 597,431 | $ 869,278 |
Other Current Assets | $ 41,600 | $ 55,800 | $ 74,800 | $ 90,200 | $ 121,000 |
Total Current Assets | $ 146,942 | $ 244,052 | $ 415,681 | $ 687,631 | $ 990,278 |
Fixed Assets | $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 |
Accum Depreciation | $ 5,200 | $ 10,400 | $ 15,600 | $ 20,800 | $ 25,000 |
Net fixed assets | $ 19,800 | $ 14,600 | $ 9,400 | $ 4,200 | $ 0 |
$ 166,742 | $ 258,652 | $ 425,081 | $ 691,831 | $ 990,278 | |
Current Liabilities | $ 23,300 | $ 26,100 | $ 29,800 | $ 32,800 | $ 38,300 |
Debt outstanding | $ 108,862 | $ 108,862 | $ 108,862 | $ 108,862 | $ 0 |
$ 132,162 | $ 134,962 | $ 138,662 | $ 141,662 | $ 38,300 | |
Share Capital | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Retained earnings | $ 34,580 | $ 123,690 | $ 286,419 | $ 550,170 | $ 951,978 |
$ 34,580 | $ 123,690 | $ 286,419 | $ 550,170 | $ 951,978 | |
$ 166,742 | $ 258,652 | $ 425,081 | $ 691,831 | $ 990,278 |
Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:
Below is a sample of a projected cash flow statement for a startup restaurant and bar .
Net Income (Loss) | $ 34,580 | $ 89,110 | $ 162,729 | $ 263,751 | $ 401,809 |
Change in Working Capital | $ (18,300) | $ (11,400) | $ (15,300) | $ (12,400) | $ (25,300) |
Plus Depreciation | $ 5,200 | $ 5,200 | $ 5,200 | $ 5,200 | $ 4,200 |
Net Cash Flow from Operations | $ 21,480 | $ 82,910 | $ 152,629 | $ 256,551 | $ 380,709 |
Fixed Assets | $ (25,000) | $ 0 | $ 0 | $ 0 | $ 0 |
Net Cash Flow from Investments | $ (25,000) | $ 0 | $ 0 | $ 0 | $ 0 |
Cash from Equity | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Cash from Debt financing | $ 108,862 | $ 0 | $ 0 | $ 0 | $ (108,862) |
Net Cash Flow from Financing | $ 108,862 | $ 0 | $ 0 | $ 0 | $ (108,862) |
Net Cash Flow | $ 105,342 | $ 82,910 | $ 152,629 | $ 256,551 | $ 271,847 |
Cash at Beginning of Period | $ 0 | $ 105,342 | $ 188,252 | $ 340,881 | $ 597,431 |
Cash at End of Period | $ 105,342 | $ 188,252 | $ 340,881 | $ 597,431 | $ 869,278 |
You will also want to include an appendix section which will include:
Writing a good business plan gives you the advantage of being fully prepared to launch and grow your restaurant and bar . It not only outlines your business vision but also provides a step-by-step process of how you are going to accomplish it.
A well-written restaurant and bar business plan is a must for any business owner. It’s a great tool for attracting investors and keeping the company focused.
If you want to start a coffee shop business or expand your current one, you need a business plan.
Over the past 20+ years, our coffee shop business plan template has helped over 7,000 entrepreneurs and business owners create business plans to start and grow their coffee shops.
Below is an example coffee shop business plan template that will help you write your own coffee shop business plan:
2. Company Overview – Your company overview should include a detailed explanation of the company’s concept, location, products/services offered, customer profile and market size.
3. Industry Analysis – This section involves researching various aspects of the coffee industry such as its size, competitive environment, key players and trends.
4. Customer Analysis – The customer analysis should include a description of your target audience, their needs and how you plan to attract and retain these customers.
5. Competitive Analysis – This should include a description of your competitors, their strengths and weaknesses and how you plan to compete with them.
6. Marketing Plan – Your marketing plan should outline the strategies and tactics for achieving your specific marketing objectives.
7. Operations Plan – This should outline the day-to-day operations of the business, its personnel structure, hierarchy and supplier relationships.
8. Management Team – This section should include a description of the key players in the company, their skills and responsibilities.
9. Financial Plan – The Financial Plan should include your businesses’ financial statements and funding requirements.
Next Section: Executive Summary >
1. A business plan sets a clear direction: Perhaps the most significant benefit of having a business plan is that it gives you a clear direction and purpose. It outlines your goals and objectives, how you plan to achieve them, and the timeline and resources required. A well-written business plan also clarifies your target audience and helps you understand their needs and preferences. With a solid business plan, you’ll have a better idea of where to focus your efforts and resources, which can save you time, money, and frustration.
2. Helps secure funding: Opening a coffee shop requires a significant investment in equipment, inventory, rent, and staffing, among other expenses. To secure funding from investors or lenders, a business plan is essential. It demonstrates your knowledge of the industry and market trends, your marketing strategy, financial projections, and how you plan to mitigate risks. A well-thought-out business plan can help convince potential investors that you have a viable idea and are a good investment.
3. Provides a roadmap for growth: A business plan is not just for starting your coffee shop; it’s also essential for long-term success. It’s a roadmap that can help you navigate the ups and downs of running a business. A good plan should contain measurable goals that you can track and adjust as needed. It should also have contingency plans if things don’t go as expected. As your coffee shop grows and evolves, refer to your business plan to ensure that you stay on track and adapt to changing market conditions.
4. Attracts and retains employees: In addition to investors and lenders, your business plan can also help attract and retain employees. A clear business plan shows potential employees what your vision is and what you want to achieve. It also shows them how they can contribute to your success and how you plan to reward them for their efforts.
5. Enhances credibility and professionalism: Finally, a business plan can enhance your credibility and professionalism. It shows that you have thought through your ideas and have a clear plan for how to execute them. This level of detail and preparation can go a long way in building trust with potential investors, lenders, employees, and customers. A well-written business plan can also make you stand out from your competition by demonstrating your attention to detail, industry knowledge, and commitment to success.
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Bar business plan templates and examples. To see how other bar businesses have created their plans, browse our free library of bar and brewery business plans. You can also check out our full selection of food and beverage business plans, or our entire library of over 550 business plans across industries.
Sample Bar Business Plan. The following bar business plan example gives you the key elements to include in a winning business plan:. Executive Summary - The Executive Summary is the most important part of your business plan. It is a brief overview of your bar business concepts, its products and services, potential market opportunity, and competitive advantage.
Why You Need a Business Plan for your Bar. To a layperson, starting or owning a bar might seem like a job for sitcom characters, but bars, pubs, taverns, and clubs are the heart of nightlife and are an important part of the culture and society of any city or town. Bars, pubs, and taverns have a traditional place in societies as a meeting ground and place of rest.
Yes, you heard it right, a bar business plan can help you solve all the management and planning-related problems. If you are planning to start a new bar business, the first thing you will need is a business plan. Use our sample Bar business plan created using upmetrics business plan software to start writing your business plan in no time.
This guide is tailored to help entrepreneurs and business owners create a comprehensive plan, ensuring the grand opening of the bar you dream of is a success. 1. Executive Summary. The executive summary is a concise overview of your entire business plan, acting as a snapshot that encapsulates the essence of your vision and strategy.
Step 4: Maintain Ongoing Plan Evaluation. A business plan for opening a bar is a living document that warrants consistent revisiting, especially during the initial phases of bar management. Continuously assess and refresh your projections, suppositions, and tactics to ensure the plan remains pertinent and attuned to your aspirations.
This part of the business plan is where you determine and document your marketing plan. . Your plan should be clearly laid out, including the following 4 Ps. Product/Service: Detail your product/service offerings here. Document their features and benefits. Price: Document your pricing strategy here.
Utilize this free Bar Business Plan Template to create a comprehensive blueprint for your bar venture, covering aspects like concept development, target market analysis, and financial projections. It's an essential tool to ensure your bar business is well-prepared for success in the competitive hospitality industry. .
Follow these tips to quickly develop a working business plan from this sample. 1. Don't worry about finding an exact match. We have over 550 sample business plan templates. So, make sure the plan is a close match, but don't get hung up on the details. Your business is unique and will differ from any example or template you come across.
An executive summary (1-3 pages) is your chance to show potential investors how you plan to make money in your business. Your bar business plan should include more detailed information about every aspect of your business, including market analysis, management team, marketing strategy, financial plan, and competitive comparison of other bars (sports bars, wine bars, dive bars, and other local ...
How to Write a Bar Business Plan in 9 Steps. 1. Bar Overview. The first step in writing a bar business plan is to establish an overview of the type of bar you want to open. You need a concept and location to shape your business model and create an executive summary for your new venture:
Create a pricing chart and ensure to provide an average price range for your products. You don't need to provide exact pricing for each product. For example, if you are selling beer, you don't need to list each beer brand and its price. You can just use a range instead (e.g. $6 to $9 for a pint).
The following bar business plan template gives you the key elements to include in a successful bar business plan. This business plan can be used for any type of business in the bar industry including, but not limited to: a sports bar, a dive bar, a neighborhood bar, wine bar, cocktail bar, and more.
The Nightclub sample plan contains details that are largely a combination of several successfully funded plans for new nightclub/bar venues. Nightclub, Dance Classes Business Plan E3 Playhouse is a start-up combined entertainment venue offering live music, dancing, music and dance lessons in a nightclub restaurant format.
Then, choose a pour cost percentage (or profit margin) to target. Price the drink by taking the cost of your ingredients and dividing by the target pour cost. That equals your price. Good target pour costs to target are 20 percent for beer, 14 percent for liquor, and 22 percent for wine.
Financial plan. Finally in your bar business plan comes the section on your financials. This will define how you plan to succeed as a healthy, growing business. For a new bar, this section will include your bar startup costs and a break-even analysis. Your bar startup costs are the expenses incurred during the process of getting off the ground.
Get the Free bar business plan template today! We're excited to offer you a free bar business plan template that can help you launch a successful bar. Whether you're an experienced entrepreneur or new to the industry, our template will guide you through the entire process. A well-crafted business plan is the foundation for any successful bar.
For aspiring bar business owners, having access to a sample bar business plan can be especially helpful in providing direction and gaining insight into how to draft their own bar business plan. Download our Ultimate Bar Business Plan Template. Having a thorough business plan in place is critical for any successful bar venture.
When writing your business plan, be sure to include elements like a branded cover page, an executive summary, a company overview, a market analysis, a marketing plan, an operations plan, and a financial analysis. For more information on how to write a bar business plan, read this article. Use the Bar Business Plan Template to build a concrete ...
Bar Business Plan Template - 18+ Free Word, Excel, PDF Format Download. Getting to drink and socialize is one of the fascinating styles that never run out of fad. This entertainment plans may engage people into considering the reasons why, this passably depression-proof lucrative businesses, continues to mushroom across major cities and towns.
Common items to include are credit histories, resumes, product pictures, letters of reference, licenses, permits, patents, legal documents, and other contracts. Example traditional business plans. Before you write your business plan, read the following example business plans written by fictional business owners.
Explore a real-world bar and tavern business plan example and download a free template with this information to start writing your own business plan. ... A fill-in-the-blank template designed for business owners. Download Now. Sample Plans. Popular Plans. Coffee Shop Agricultural Farm Hair & Beauty Salon Bakery Cleaning Service See All.
Our free business plan template includes seven key elements typically found in the traditional business plan format: 1. Executive summary. This is a one-page summary of your whole plan, typically written after the rest of the plan is completed. The description section of your executive summary will also cover your management team, business ...
1. Executive Summary. While your executive summary is the first page of your business plan, it's the section you'll write last. That's because it summarizes your entire business plan into a succinct one-pager. Begin with an executive summary that introduces the reader to your business and gives them an overview of what's inside the ...
Marketing plan: A strategic outline of how you plan to market and promote your business before, during, and after your company launches into the market. Logistics and operations plan: An explanation of the systems, processes, and tools that are needed to run your business in the background. Financial plan: A map of your short-term (and even ...
Writing an Effective Restaurant and Bar Business Plan. The following are the critical components of a successful restaurant and bar business plan:. Executive Summary. The executive summary of a restaurant and bar business plan is a one- to two-page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.
A coffee shop business plan is a formal document that outlines the goals, strategies, and tactics for launching and operating a coffee shop. It describes in detail how the business will operate, including the types of products and services provided, the target market, the proposed location, and the projected financials.