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Bakery Business Plan

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There is nothing like the distinctive scent of baking bread, and that scent can be turned into money with good bakery business planning. Though it is possible to start a large manufacturing plant churning out thousands of bread products, most entrepreneurs start much smaller. In fact, there are numerous small commercial bakeries, but each has unique branding and products. For example, the bread could be gluten free, organic, use only local ingredients, rely on specialty recipes, and so on.

Bakeries eventually make a variety of breads, often starting with a couple of bread types and expanding from there. For example, the bread business can first sell whole wheat bread, and then add sourdough bread, followed by specialty breads like onion bread or cheese bread. The point is that starting small and growing steadily is the right way to build a successful business. Small bakeries begin in kitchens, if local ordinances allow, local business incubation centers, or commercial retail space.

The bread bakery business needs to reflect the steps taken to ensure that the scent of bread baking equates to success. Many entrepreneurs turn to angel investors and small business loans for startup, and the information in the business plan will determine the likelihood of landing funding. In addition to the information already mentioned, potential investors will also look for the following:

• Bakery products and brand differentiation, i.e. what makes the products different from products sold by competitors
• Bakery location, i.e. retail space, build new building, business incubator complex, home kitchen, or space shared with another business
• Required licensing and permits, including any health permits required by the city, county, or state
• Experience of bakers in the variety of business operations that include mixing, baking, packaging, and delivery
• Equipment which includes one or more commercial ovens, proofers, dough mixers, dough rounders, mixers, commercial bread slicer, display cases, stainless steel tables, delivery van, etc.
• Planned production schedule, showing steady growth as sales increase
• Staffing requirements like assistant baker, cleaning staff, counter sales clerk, delivery van driver, etc.
• Revenue sources, i.e. wholesale to grocery stores, commercial sales to restaurants, storefront sales, and/or online sales

A bakery primarily selling fresh bread can enjoy the sweet scent of profitability through careful business planning. The recipes should be well-tested and the products need consistent quality and taste. A strong marketing and advertising plan will help the bakery grow at a steady pace.


OGScapital can help you to develop a bakery business plan

Contact OGS Capital by completing the short online form. OGS Capital management consultants can assist with every phase of the bread bakery business plan from format development and business description to production of the final document.
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