Section 1 -
Executive Summary
Business Summary-
The name of the business is "Sweet Rosie's". The business is a chain of baking stands/cafés. The business will sell cakes and pastries. The type of business is a limited company.
Business Aims-
The aims of my business is to grow and develop. The short term goals are to make a fair profit and the long time goals of my business is to build a reputable brand status such as similar competitors ( Heidi's, Baskin Robins, Millies cookies). Eventually I would like the business to go global.
Financial Summary-
In order to start the business I will contribute my own money along with a loan from the bank. This money will cover the costs of equipment, company van, ingredients, marketing, shop rental and employment. In the first year of business, the aim is to keep the business open and running. There is no aim for profit in the first year. The first year should raise awareness and popularity and work on keeping the business running.
Elevator Pitch
Business name-
I chose the business name "Sweet Rosie's" because it is relevant to the type of business (cakes and pastries). By adding a name to the business it gives a friendly and homemaking feel. This is similar to the business "Auntie Anne's pretzels" which is a very successful global business and the name adds a friendly feel.
Strap line-
The strap line of the business is "Fresh 'n' Friendly" a short snappy and memorably strap line which is well acossiated with the style of the business.
Section 2 - Owners Background
Section 3- Products & Services
My business is going to sell a product. The products sold will be cakes and pastries. There will be different types of products for example flavours, sizes and designs. A full range of products will be sold from the opening of the business, this is in order to entice new customers with the full range.
Section 4- The market
The customers of my business will be individuals. The customers will broadly be middle aged citizens of all ages. The products will be affordable. Typical customers are based in the UK although eventually customers will be based worldwide. Factors which help customers decide which business to buy from are: a good brand status, experience, price and quality of product. No products have been sold yet.
Section 5- Market Research
The market is very big. For example, the total annual revenue of bakeries in the USA is $3 billion. Sales in the market are continuing to rise. Although the market is not seasonal, the sales tend to decrease in January. Hot drinks and pastries sales tend to rise in the winter season.
Similar business's to mine are Baskin Robins, Millie's Cookies, and Dream Cupcakes. All three of these business's are very successful. They have built up big brand status'.
Section 6- Marketing Strategy
The best marketing strategies for my business are:
Word of mouth
This is an important strategy as it will often include recommendations. This is a free strategy and word of mouth will also increase with social networking.
Social Media
This is a very effective way of marketing a business. It's free, and allows direct communication with customers. A Facebook and twitter page will be set up. It will allow customers to write reviews and check In. It also spreads awareness of the new business and word of mouth will increase potential customers.
Website
A website will allow customers to find their nearest bakery and browse the range of products. The website design will be free for the first year when made with www.one.com. This will allow time for the business to grow before allowing a budget for website design and maintenance.
Section 7- Competitor Analysis
Competitors:
Heidi's bakery
Heidi's are a chain of bakeries/Cafés.
The bakeries are located across the UK.
They sell fresh pasties, sandwiches and cakes.
The prices at Heidi's are reasonable and the average cake costs £1.
The company is big across the UK and holds a good brand status.
The strength of Heidi's is that it is a reputable brand and the weakness is that the cafe is a traditional and has a regular set of customers, it isn't likely to attract new young customers with the style of cafe.
Dream Cupcakes
Dream cupcakes is a small individual cupcake store.
The bakery is located in West Quay shopping centre.
They sell a wide range of cupcakes.
The prices start at £1.75 for a classic cupcake.
The strength of the business is that the cupcakes are well presented and packaged nicely. This makes the customers feel that they have purchased something special.
The weakness is that the business is yet to expand.
Millie's Cookies
Millie's cookies is a cookie and cupcake store.
They have various locations all across the UK.
They sell a wide range of cookies and cupcakes including giant personalised cookies.
The prices are various ranging from a few pounds to £14.99 for a giant personalised cookie.
The strength of the business is that there are options to personalise the cookies making them great gifts. This is a good USP.
The weaknesses is that the prices are more than other competitors like Heidi's.
Krispy Kreme
Krispy Kreme is a wide range donut store.
They are located in USA and the UK.
They sell a wide range of world famous donuts.
They sell for £2 per donut and multi packs for around £10.
The strength of the business is that it is a well known famous brand. It also makes good gifts as gift boxes are available. They are also well presented.
The weakness of Krispy Kreme is that it is yet to expand into Europe and Australia. The prices also cannot compete with supermarkets.
Section 8- Operations & Logistics
It will take roughly 10 minutes to make the products depending on the detail of the specific product. Wholesale ingredients will be purchased. There is no minimum order.
There will be no delivery system for customers. However, they can order their products online and collect in the local store. This is free of charge.
Payments will be monthly via cheque. This is free of charge and will be the best payment method for a new business. When ordering online customers will pay a deposit via paypal, this is to ensure no working hours are wasted. Other than that, all payments will take place in store.
Books will be calculated monthly by a fully trained accountant employee.
The main supplier of ingredients is bookers wholesale. There will be no contract or monthly plan. For example, ingredients can be purchased in bulk for a cheap price. There will be no chance of the wholesaler letting the business down as it is a walk in shop. This is the only supplier.
There will be a company van, which will require a driving licence which I already have.
The cost of the van will be approximately - £700
And the cost of running the van will be approximately - £100PM
Tax on the van will cost an estimate of- £200 per annum.
Equipment needed will be purchased from Currys-
For example , a large oven, a dish washer, an electronic mixer, a fridge, and baking equipment.
All quotes were found from the currys website:
LG GB3133PVGW Fridge Freezer- Silver X2 £477.97 each
Essentials CID60W12 Full size intergrated Dishwasher X2 £189.99 each
Stoves Richmond 1000GT Gas Range Cooker- Black £1,220.00
(This contains 3 ovens which is enough to maintain stock as they sell)
Kenwood Premier Chef KMC510 Kitchen Machine- White - £229.99
(All electronics are an energy rating of A)
Baking Essentials Kit - £59.99 Amazon
The business will be run from small individual shops. The premises will be rented on a 12 monthly contacted basis. The facilities contain lots of space out back for cooking equipment as well as good electrical circuit system to maintain all electronics. The first shop will be opened in West Quay shopping centre. This is convenient to customers and will drive more business. The stand style shop will be a small stand with space outback for other facilities.
A legal requirement is registering with the council as I deal with food. I would need a trading licence. I would go to a lawyer firm and advisor for legal advice before opening my business.
Insurance will be required for the following:
Public liability
Protection to stock & equipment
Protection or goods in transit
I will run my own business however will employ the following members of staff:
Sales assistant (in order to serve customers)
Sales assistant (to assist the serving to customers as well as cleaning out back)
Assistant baker (to assist my baking tasks)
Finance accountant (to work out the books and turnover etc)
As the business grows, so will the number of employees.
Section 9- Costs & Pricing Strategy
Section 10 - Financial Forecasts
Section 11- Back Up Plan
Section 12- Business Plans Explained
Bibliography:
http://www.one.com/en/?gclid=CjgKEAjw1fKaBRCJ8qTHyM35_kgSJACZQLzirt7gYd9RDljU3nPJZhNJxQhNqKlzCVYwkkf4gyYNg_D_BwE
https://www.milliescookies.com/product/home-sweet-home/
http://www.dreamcupcakes.co.uk/pages/Classic_Cupcakes
