business plan for cakes and pastries

Bakery Business Plan PDF Example

• September 4, 2024
• Business Plan

Creating a comprehensive business plan is crucial for launching and running a successful bakery. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your therapy bakery’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a bakery business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the food&beverage industry, this guide, complete with a business plan example, lays the groundwork for turning your bakery concept into reality. Let’s dive in!

Our bakery business plan is designed to encompass all crucial elements required for a thorough strategic approach. It details the bakery’s operations, marketing strategy, market environment, competitors, management team, and financial projections, ensuring a holistic view of the business’s path to success.

• Executive Summary : Offers an overview of your bakery’s business idea, market research , management team, and financial plans.
• Bakery & Location: Describes your bakery’s layout, features, and why its location is perfect for customers.
• Operations: Outlines daily bakery operations, including baking schedules, staffing, and ingredient sourcing.
• Key Stats: Provides figures on the size and growth of the bakery market.
• Key Trends: Points out new trends in the bakery industry, such as the rise in health-conscious and specialty products.
• Key Competitors: Discusses major nearby bakeries and how your bakery offers something different.
• SWOT : Analyzes strengths, weaknesses, opportunities, and threats related to your bakery.
• Marketing Plan : Outlines methods for promoting your bakery and keeping customers coming back.
• Timeline : Lists important goals and milestones from the beginning through the first year.
• Management: Shares info on who runs the bakery and their responsibilities.
• Financial Plan: Forecasts the bakery’s financial outlook over 5 years, including income, profit margins, and main expenses.

Bakery Business Plan

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

Executive Summary

The Executive Summary introduces your bakery’s business plan, offering a concise overview of your bakery and its offerings. It should detail your market positioning, the range of baked goods and confectionery items you offer, its location, size, and an outline of day-to-day operations.

This section should also explore how your bakery will integrate into the local market, including the number of direct competitors within the area, identifying who they are, along with your bakery’s unique selling points that differentiate it from these competitors. These could include special dietary options like gluten-free or vegan products, artisanal or locally sourced ingredients, or a particular specialty in certain types of baked goods.

Furthermore, you should include information about the management and co-founding team, detailing their roles and contributions to the bakery’s success. This could involve their culinary expertise, business management experience, or community relations. Additionally, a summary of your financial projections, including revenue and profits over the next five years, should be presented here to provide a clear picture of your bakery’s financial plan.

Bakery Business Plan Executive Summary Example

Business Overview

When detailing the business overview in your executive summary, it’s crucial to provide clear and concise information. This includes the name of your bakery, its location, and an overview of daily operations.

These details not only introduce your business but also set the stage for its unique qualities. Indeed, a unique selling proposition (USP) is what sets your bakery apart from the competition. Whether it’s your focus on artisanal techniques, your range of gluten-free options, or your commitment to sustainability, your USP should be a focal point of your executive summary. It’s what captures the interest of your audience and showcases the unique value your business brings to the market.

Example: For instance, “Sweet Temptations Bakery,” located in downtown Springfield, operates from a 1,500 sq. ft. space on Main Street. It opens early at 6 AM, serving a range of traditional and health-conscious baked goods. Their USP is the unique combination of classic baking styles with modern trends, offering gluten-free and vegan options alongside traditional pastries.

Market Overview

Understanding and presenting the market size , growth trends, and industry dynamics are integral parts of the market analysis .

This section should highlight the potential of the U.S. bakery market, backed by relevant data like market value and growth rates. Discussing industry trends, such as the rising demand for organic ingredients or innovative baking techniques, provides insight into the evolving landscape and where your bakery fits within it.

Equally important is the competitive landscape. Your executive summary should identify key competitors and explain how your bakery positions itself in this environment. Whether you focus on niche products, exceptional customer service, or unique flavor combinations, this is your opportunity to showcase how your bakery is poised to stand out in a crowded market.

Example: Consider Sweet Temptations Bakery in the U.S. bakery market, valued at $30 billion with a 5% annual growth rate. While competing with local bakeries and national chains in Springfield, Sweet Temptations differentiates itself by offering products like avocado-chocolate muffins and quinoa bread, catering to health-conscious consumers.

Management Team

The management team’s background and expertise are significant assets to your business. In your executive summary, highlight the key qualifications and experiences of your team members.

This might include your co-founder’s decade of experience in food service management or your head baker’s formal culinary training. Demonstrating the team’s expertise not only builds credibility but also assures potential investors and partners of your bakery’s capability to succeed.

Example: At Sweet Temptations, co-founders Jane Doe and John Smith lead the team. Jane, an MBA graduate, has 15 years of experience in the hospitality industry, while John, a culinary school graduate, brings his expertise from working in renowned European bakeries, adding substantial value to the bakery’s management and product innovation.

Financial Plan

The financial plan overview should succinctly summarize your financial goals and projections, including revenue targets and profit margins, to provide a clear picture of your bakery’s financial trajectory.

Example: Sweet Temptations aims for $500,000 in annual revenue by year three, targeting a 12% EBITDA margin. The financial strategy includes an initial investment in high-quality baking equipment and a welcoming shop atmosphere, with sales growth driven by effective marketing and community involvement, positioning the bakery for profitability and local acclaim within five years.

For a Bakery, the Business Overview section can be concisely divided into 2 main slides:

Bakery & Location

Briefly describe the bakery’s physical environment, emphasizing its design, warmth, and the inviting atmosphere that welcomes customers. Mention the bakery’s location, highlighting its accessibility and the convenience it offers to customers, such as proximity to community centers, schools, or ease of parking.

Explain why this location is advantageous in attracting your target clientele, which might include local residents, businesses looking for catering options, or foot traffic from nearby shopping areas.

Detail the range of baked goods and products offered, from bread and pastries to custom cakes and specialty items. Outline your operational strategy, including sourcing of ingredients, baking schedules to ensure freshness, and any unique services such as custom orders or catering.

Discuss your pricing strategy , ensuring it reflects the quality of ingredients and craftsmanship involved and matches the market you’re targeting. Highlight any special offerings, loyalty programs, or community events that provide added value to your customers, encouraging repeat visits and customer loyalty.

Industry size & growth

In the Market Overview of your bakery business plan, begin by assessing the size of the bakery industry and its potential for growth. This evaluation is essential for grasping the market’s extent and pinpointing opportunities for expansion.

Analyze factors such as the increasing demand for baked goods, both traditional and innovative, and how consumer preferences are shaping the industry.

Key market trends

Continue by discussing recent market trends that are influencing consumer behavior and preferences in the bakery sector. This might include a growing interest in artisanal and craft baked products, the surge in popularity of gluten-free and vegan options, and the integration of international flavors and ingredients into traditional bakery products.

Highlight the demand for high-quality, fresh, and specialty baked goods that cater to diverse dietary needs and cultural tastes, as well as the trend towards more health-conscious and sustainable baking practices.

Key competitors

A competitive analysis is not just a tool for gauging the position of your bakery in the market and its key competitors; it’s also a fundamental component of your business plan.

This analysis helps in identifying your bakery’s unique selling points, essential for differentiating your business in a competitive market.

In addition, the competitive analysis is integral in laying a solid foundation for your business plan. By examining various operational aspects of your competitors, you gain valuable information that ensures your business plan is robust, informed, and tailored to succeed in the current market environment.

Identifying Your Competitors in the Bakery Industry

Identifying competitors is the first step in understanding your position in the bakery market. Begin by mapping out local bakeries and pastry shops. For instance, if your bakery specializes in artisan bread, your direct competitors include nearby bakeries known for their bread, as well as larger grocery stores with in-house bakeries. Don’t overlook indirect competitors such as cafes or dessert shops that offer a range of baked goods.

Use online tools like Google Maps to get a geographical sense of competitor distribution. Platforms like Yelp and TripAdvisor offer customer reviews and ratings, providing insights into competitors’ strengths and weaknesses. For example, if several reviews commend the cozy ambiance and fresh pastries at “Sweet Treats Bakery,” this is a key strength of your competitor.

Bakery Competitors’ Strategies

Analyzing the strategies of these competitors involves several aspects:

• Baked Goods Offerings : Examine their range of baked goods. If “Healthy Bakes” down the street is gaining popularity with its gluten-free and vegan options, it indicates a market trend towards health-conscious baking.
• Baking Techniques : Consider the baking techniques and styles. A bakery like “Old World Breads” that focuses on traditional, handcrafted bread might appeal to a different customer base than one like “Modern Bakes,” known for innovative and trendy pastry creations.
• Pricing Strategy : Compare your prices with those of competitors. Are your baked goods priced similarly to “Budget Bites Bakery” or are they more aligned with the premium offerings at “Gourmet Pastries”?
• Marketing Tactics : Look at how competitors market their products. Do they have a strong social media presence, or do they rely more on local community engagement and word-of-mouth?
• Customer Experience : Assess the in-store experience. For instance, “Cozy Corner Bakery” might be known for its inviting atmosphere and friendly staff, enhancing the customer experience.
• Operational Efficiency : Observe if competitors are using technology or innovative processes to streamline baking and serving, such as “Efficient Eats” with its online ordering system.

What’s Your Bakery’s Value Proposition?

Reflect on your bakery’s unique value proposition . Maybe your bakery is known for its signature sourdough bread, or perhaps you offer a unique range of international pastries that aren’t available elsewhere in your area.

Identify market gaps through customer feedback and industry trends. For example, the growing interest in artisan and locally sourced ingredients could represent a market opportunity if competitors are not addressing this demand.

Consider your location: A bakery in a busy downtown area might focus on quick service and grab-and-go items, while a bakery in a residential neighborhood could capitalize on a more relaxed, community-oriented atmosphere.

First, conduct a SWOT analysis for the bakery , highlighting Strengths (such as artisanal baking skills and a unique range of products), Weaknesses (including potentially high ingredient costs or stiff competition), Opportunities (for example, a growing interest in specialty and health-conscious baked goods), and Threats (such as fluctuations in raw material prices or changes in consumer spending due to economic conditions).

Marketing Plan

Next, formulate a marketing plan that details strategies for attracting and retaining customers through targeted advertising, seasonal promotions, a compelling social media presence, and engagement with the local community. Consider loyalty programs, baking workshops, and collaborations with local businesses as part of your promotional activities.

Marketing Channels

Explore diverse marketing channels to connect with your audience and promote your bakery:

Digital Marketing

• Website and Online Presence: Your bakery’s website should be more than just an online menu. It should be a reflection of your brand story and values. Incorporate high-quality images of your delectable baked goods, customer testimonials, and an easy-to-navigate layout. Implement an online ordering system for pickups or deliveries to enhance convenience for customers.
• Social Media Engagement: Utilize platforms like Instagram, Facebook, and Pinterest to share high-quality images of your baked goods, and behind-the-scenes content, and interact with customers. Engage with your audience by responding to comments and messages promptly.

Local Advertising

• Flyers and Local Partnerships: Distribute well-designed flyers and brochures not only in high-traffic areas but also in locations aligned with your target audience’s interests, such as fitness centers, coffee shops, or local events. Collaborate with nearby businesses for cross-promotions or joint marketing efforts, allowing you to tap into each other’s customer bases.
• Community Engagement: Participate in local events, farmers’ markets, or charity bake sales to increase visibility and connect with the community. Sponsor or host baking workshops or educational sessions to engage with potential customers.

Promotional Activities

• Seasonal Offers : Launch special promotions tied to seasons or holidays, such as ‘Holiday Cookie Gift Boxes’ or ‘Spring Cupcake Flavors’. Create limited-time offers that create a sense of urgency and exclusivity.
• Loyalty Programs: Loyalty programs are effective tools for fostering customer loyalty. Implement a tiered rewards system or a punch card where customers earn points for each purchase, redeemable for discounts or free items. Personalize rewards based on customer preferences to enhance engagement.

Sales Channels

Optimize sales channels to boost revenue and customer satisfaction:

In-Store Upselling

• Value-Added Services : Train your staff to recommend add-ons like specialty spreads for bread, custom cake decorations, or exclusive dessert pairings during customer visits. Offer tastings or samples to encourage additional purchases.
• Product Displays: Enhance the in-store experience by designing product displays that are visually appealing and informative. Incorporate storytelling elements to highlight the ingredients or craftsmanship behind your baked goods. This approach not only drives sales but also educates customers about your products.

Online Sales and Services

• E-commerce Integration: Set up an intuitive and secure online ordering system for specialty items, customized cakes, or pre-packaged baked goods for pickup or delivery. Ensure a seamless checkout process to reduce cart abandonment.
• Virtual Consultations: Offer online consultations for customized cake designs or event catering. Provide options for virtual tastings or meetings to discuss personalized requirements, ensuring a personalized and convenient experience.

Membership and Rewards

Encourage repeat business and foster customer loyalty:

• Subscription Models: Develop subscription-based models offering regular deliveries of baked goods or exclusive access to new products. Create tiers with varying benefits to cater to different customer preferences.
• Reward Programs: Institute a digital loyalty system rewarding customers with points for purchases redeemable for discounts or complimentary items. Send personalized offers based on customers’ purchase behavior to enhance engagement.

Finally, establish a detailed timeline that marks key milestones for the bakery’s launch, marketing initiatives, customer base development, and potential expansion goals. This timeline should guide the business towards achieving its objectives with precision and clarity, ensuring systematic progress in a competitive market.

The Management section focuses on the bakery’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the bakery towards its financial and operational goals.

For your bakery business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your bakery’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs and capital expenditures.

For your bakery business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

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How To Write a Bakery Business Plan in 9 Steps

Learn how to write a bakery business plan, section by section. Get inspiration from examples of other bakeries.

If you consider yourself a talented baker with entrepreneurial dreams, starting a bakery is an excellent business idea you can do from home or from another brick-and-mortar space.

But before you launch into how to start a food business with your baking prowess, it’s important to write a bakery business plan.

Below, learn how to write your bakery business plan, section by section, using this business plan guide as a base. Follow along by downloading this business plan template and modifying it to fit your needs.

Why you need a bakery business plan

Not every business starts out with a formal plan, but those that do have an easier road to success. There are a few key benefits to writing a bakery business plan:

Objectively evaluates your business ideas

Writing a business plan helps you objectively evaluate your food business ideas —and researching and documenting your ideas allows you to take a step back and see if there’s really an opportunity there.

Builds a blueprint for moving forward

Your business plan serves as a roadmap for moving forward. Writing a business plan can identify the next steps you need to execute your idea. You can keep referring back to your business plan to make sure you’re on track for your original vision.

Helps figure out what you need

The process of writing a bakery business plan will also show you your gaps and needs. Listing exactly what you need to start your bakery business can show you what you’ll need to do to make it a reality.

Helps you get capital

A business plan helps you get capital, even if it’s a home bakery business plan. You won’t be able to secure funding for your business —whether from investors, lenders, banks, or even crowdfunding —without a business plan for your bakery.

Bakery business plan template

A bakery business plan sample template is immensely helpful, especially if you don’t consider yourself a writer. When you start with a template, you can see every section that you need to complete. Templates can also offer prompts to help you figure out what to say and how to say it.

This free business plan template , for example, offers a framework to simplify the job of writing out a business plan, so you can operate with confidence. It helps you analyze the market and understand how much time, money, and resources you’ll need to start and scale your bakery business.

How to write a bakery business plan

• Executive summary
• Company overview and description
• Market analysis
• Management and organization
• Products and services
• Customer analysis and segmentation
• Marketing plan
• Logistics and operations plan
• Financial plan and projections

1. Executive summary

The executive summary section of your bakery business plan summarizes the document and its contents. Remember, this is meant to highlight what’s to come in your business plan, not serve as a summary of your business idea.

Focus on your business’s core strength to draw in your reader. Keep it concise and to the point—you don’t want to lose your reader before they reach the meat of your baking business plan. Think about a hook to grab your audience’s attention.

Remember your target audience for the business plan and cater the executive summary to their needs. You might even have a few different versions of your executive summary to appeal to different readers, such as investors, lenders, or business partners.

The executive summary should be about a page in length and answer the following questions:

• What is your brand?
• What does your bakery do?
• What does your bakery want to do?
• What is the following text about?
• Why should your audience care?
• What highlights should readers be excited about?
• What do you sell and how is it different from your competitors?
• Who are your customers?
• What is your marketing strategy?
• What is your current and projected financial state?
• How much money do you need to get started?
• Who is involved in the bakery?

2. Company overview and description

This part of your bakery business plan should drill down further into your business idea. Here, you’ll want to identify your bakery’s business structure — sole proprietorship, li imited liability corporation (LLC) , general partnership, etc.—and business model .

You’ll also use this section to talk about the baked goods industry and about your specific niche within it—whether you’re offering keto-friendly, gluten-free, or otherwise lifestyle-specific items; cakes; catering; frozen desserts; savory pastries, etc. Cape Whoopies , for example, sells gourmet whoopie pies made in Maine. Its bakery business plan would make note of that in the company description section.

The company description should also outline your vision and mission statement and your value proposition . Your vision and mission statement encompass what you hope to do with your bakery, and your value proposition sums up why people would want to buy from you.

Use this section to talk about your team, including key personnel and their salaries. The bakery La Monarca , for example, would identify its two founders as well as any board members or employees.

Finally, list your short- and long-term business goals. Your business goals should be quantifiable and measurable, eliminating subjectivity. You’ll also want to put an estimated timeline for your business goals and when you hope to accomplish them.

3. Market analysis

The market analysis section of your bakery business plan quantifies how big your potential market is and validates that there’s enough demand for your business.

This section of the bakery business plan should explore the following:

• Industry trends
• Laws and regulations for the food industry
• The demographics of your target customer
• Where, why, and how they shop
• The size of your target market
• The price people are willing to pay for what you sell

You may also include a SWOT analysis , which identifies your strengths, weaknesses, opportunities, and threats, as well as a competitive analysis , outlining the competitive landscape and where your bakery fits in.

business structure of your bakery and whether you’ve elected to incorporate as a sole proprietorship, a limited liability corporation (LLC) , a corporation, or something else.

Don’t stress over the name of your bakery business too much yet—you don’t have to use your official incorporated name as your public-facing name forever. You can always file for a DBA (doing business as) or just publically drop the “Inc.” or “LLC” at the end of your name. Balkan Bites , for example, is technically an LLC called “Balkan Bites LLC.”

You’ll also want to include information about the makeup of your team, even if you plan to run the business yourself. Here are some other people and entities you might include:

• Owner . Who is the owner of the bakery?
• Business partner(s) . List and identify the role of any business partners you plan to work with. Make sure you note the ownership percentage breakdown.
• Management team . It helps to visualize the team with an organizational chart to show how roles and responsibilities are structured and contribute to your bakery’s bottom line.
• Financial advisers . Maybe they’re not in-house, but you might have contracted financial advisers or accountants helping you to manage finances.
• Employees . Even if you don’t plan to open your bakery business with employees, you might have plans to hire staff in the future. Make note of that in this section.

5. Products and services

In the products and services, you’ll list which products and services you’ll sell through your bakery. You’ll likely sell something like cakes, cookies, chocolates, pies, or even baking kits, and potentially branded merchandise products .

As far as baked goods go, consider more narrowly defined niches within the overarching bakery niche. For example, products that are tied to a specific culture, like a bakery that specializes in Italian cookies or French pastries, or event-related baked goods, like wedding or birthday cakes, all present excellent niches. You could also offer gluten-free, sugar-free, organic, or dairy-free goods.

The business plan should cover how many different types of products you’ll offer, and if you plan to release new recipes, or limited-edition or seasonal items.

You’ll also want to consider other non-bakery items. Dough Dealer , for example, doesn’t actually do any baking, so it doesn’t sell any baked goods. Instead, it sells kits with baking supplies online, as well as merchandise. You can do the same thing with a print-on-demand company .

6. Customer analysis and segmentation

The customer segmentation section of your bakery business plan should discuss the different groups of shoppers you intend to target with your bakery. Include the following information about each of your segments:

• How old they are
• Where they live
• Where they work and what they do
• Education level
• What technology they use
• Their values, beliefs, and opinions
• Common behavior patterns
• How they shop

Here’s what a customer segmentation section might look like: Levain serves a few distinct geographic markets in Puerto Rico, including San Juan, Aguadilla, Mayagüez, and Rincón. Each of these regions represents a specific customer segment for the bakery, and they may have different shared characteristics. So Levain adjusts its promotional and marketing strategy according to its audience.

7. Marketing plan

Your marketing plan is a high-level overview of how you plan to promote your bakery. The marketing plan should outline which channels you plan to use for marketing and advertising, as well as any budgets you might have. At a minimum, this section of your bakery business plan should define the following:

• Price : How much your products cost and why.
• Product : What you’re selling and how you differentiate it from other goods in the market.
• Promotion : How you’ll get your products in front of your ideal customer.
• Place : Where you’ll sell your products, including online and in-person.

Zero-sugar cookie brand Sundays used email marketing to promote its bakery business and build buzz pre-launch. The brand allowed people to subscribe so they would be alerted when the online store launched. This approach is also an excellent tactic for email list-building .

Here are some more resources to help assemble the marketing section of your bakery business plan:

• How to Build a Marketing Plan That Actually Works
• 7 Inspiring Marketing Plan Examples (and How You Can Implement Them)
• Driving Growth: 12 Best Marketing Strategies Any Small Business Can Execute

8. Logistics and operations plan

Your logistics and operations plan outlines exactly how you’ll create and sell products and fulfill orders. Be sure to address each of the following:

Identify where you’ll purchase the raw ingredients you need to make your baked goods and where they’re produced. Will you purchase anything pre-made from suppliers or make everything from scratch?

Outline whether you’ll make, wholesale, or even dropship your products. Describe how long it takes to receive raw ingredients and how long it takes to produce your baked goods. You’ll also want to think about a contingency plan: How will you handle a busy season or an unexpected spike in demand?

Where will you and any team members work? Do you plan to have a physical retail space as well as the bakery? If yes, where? Will they coexist or exist in different locations?

List which tools and technology you require to get you up and running: think items like ovens, mixers, refrigerators, etc., as well as business tools like a POS system or card reader. You’ll even list items like lightbulbs, counters, and anything else you’ll need to purchase to open your bakery.

Shipping and fulfillment

Will you be handling all the fulfillment tasks in-house or will you use a third-party fulfillment partner? Will you have a space for in-person shopping or pickup?

How much raw ingredients will you keep on hand, and where will they be stored? How much finished product can you keep on hand, and where? How will you ship products to partners if required, and how will you approach inventory management ?

The bakery Wildgrain , for example, operates on a subscription-based business model. The brand outlines how it works on its website, information that would also be suitable for the logistics and operations section of its bakery business plan.

The sourdough bakery Florets offers a subscription plan as well as in-person pickup at its Auckland-based bakery location or at a weekly farmers market.

The Protein Bakery also has a few methods for fulfillment. Customers can visit its New York City–based retail shop or order online, and other businesses can also purchase its products wholesale.

9. Financial plan and projections

The financial plan shows possible funders that you’ve done your math homework and crunched the numbers to figure out how much money you need to launch, how much you need to operate, and whether you can turn a profit.

The financial plan typically includes the following financial statements :

• Income statement
• Balance sheet
• Cash flow statement

Here’s a spreadsheet template that includes everything you’ll need to create the above financial statements, including some sample numbers. Just edit it as needed.

When putting together your financial plan and statements, be realistic and specific. While you want to be optimistic about your projected success, it’s equally important to be pragmatic. Use the information you’ve learned developing other parts of your bakery business plan to calculate accurate, achievable numbers.

Launch your bakery business with Shopify

Starting your new venture with a successful bakery business plan is a surefire way to set yourself up for success from the get-go. Your bakery’s business plan will keep you and your team accountable and aligned with your vision and goals.

When you’re ready to launch, build your website on Shopify. With Shopify, you can seamlessly integrate your retail and ecommerce tech stack to maintain complete control of your growing business.

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Bakery business plan FAQ

How do i start my own bakery business plan, how much money can you make owning a bakery, what equipment is needed for a bakery.

• Food processor
• Dough proofer
• Dough sheeter
• Bread slicer
• Refrigerator and/or freezer
• Baker’s rack
• Baking pan and dishes
• Bowls, measuring cups, spoons, spatulas, etc.
• Pastry bags
• Work counters
• Dry storage

Is a bakery business profitable?

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• How to Write a Bakery Business Plan

From ancient recipes for bread loaves to complex cupcakes or pastries from around the world, bakeries occupy a solid corner of the restaurant market – start your bakery business plan with this template.

Tyler Martinez Author

Tyler Martinez

Bakery Business Plan Template

Use this free bakery business plan template to easily create a great business plan that organizes your vision and helps you start, grow, or raise funding for your bakery.

Business Plan for Bakeries Guide

Do you live for the smell of freshly baked bread or the endless buttery flakes of a homemade croissant? Have you perfected your family's baklava recipe? Perhaps you’d like to start a bakery and share your happiness with a base of hungry customers. 

While many avenues of the restaurant industry are highly competitive, there seems to be infinite space in the market for pastries, desserts, and bread. When people need a treat, they need a treat — and they often flock to bakeries to get one. 

Baked goods can be created from only a few ingredients, but they require masterful technique. Baking the perfect loaf of miche, frying churros to perfection, and building a perfectly set and balanced French entremet can take years of practice.

Once you've figured out what kind of bakery you'd like to bring to life, it's time to get down to brass tacks and write your bakery business plan. 

Why You Need a Bakery Business Plan

Bakeries are usually fairly specialized operations – they focus on morning pastries, desserts, doughnuts, bread, cakes, pies, vegan baked goods, bagels, cookies, or even cupcakes. A business plan is crucial for opening a new bakery to assess the market and match the baker’s skills and talents to an opening in your local area. 

Some bakeries require little overhead and start-up costs, and many small bakeries operate on a skeleton staff of the owner and an assistant or two, but operations can range up to full-scale industrial bakeries that supply loaves and pastries to grocers nationwide. Defining your place in that vast market is part of the goal of a business plan — as is helping you seek out funding, and creating a roadmap to guide you on the long and complicated process of starting a business.

How to Write Bakery Business Plan (Description, Examples, Proposals)

Business plans tend to be formulaic, as they're meant to convey a fairly specific set of information to whoever's reading it — often potential investors. That's why this bakery business plan template can be such a helpful tool for imagining and planning your bakery. 

Download a customizable version of the business plan template below and read on to learn more about how to make it work for your bakery.

Related Restaurant Resources

• Bakery Business Plan Executive Summary
• Bakery Financial Plan
• Bakery Operations Plan
• Bakery Industry Market Analysis
• Bakery Management Team

Elements of a Bakery Business Plan

Bakery plan executive summary.

As the first section of your business plan, the executive summary is your prime opportunity to make a great impression with a concise summary of your bakery’s concept. An executive summary introduces key elements of your business plan like an overview of the budget, the business’s mission, market, and core values. It’s also a chance to communicate your full vision for your bakery’s products and services.

The kind of bakery you're opening will determine the type of funding you are seeking and the potential investors you attract – consider the audience of your business plan and how you might persuade them to keep reading and potentially invest.

Company Overview

The company overview and executive summary work together to provide a quick look at your business plan, but the company overview is more practical than attention-grabbing. It works as a glossary for the rest of your business plan by defining the products, information about ownership and the company structure, and your vision for the customer experience.

Consider including information about the jobs your bakery will create and your beliefs about labor and hiring practices, the location of your bakery, and the style of service – will your bakery be a counter service dining room or a house of made-to-order custom confections?

This is also a good opportunity to introduce the aesthetic vision of your bakery to stakeholders – paint a picture with architectural mock-ups, a color palette, logo design, and a description of the ambiance of your bakery. Is it a cozy spot to have an intricate dessert after dinner or a minimalist grab-and-go for bagels and coffee? Let the readers know.

Team and Management

Baked goods are often labor-intensive and require specialized ovens, surfaces, and equipment to prepare, bake, decorate, and sell. As such, bakers are highly-skilled workers that have an exclusive and desirable skill set — and your bakery will only be as good as your baker’s skills.

This is why it’s crucial for your business plan to include information about the management and team structure of your bakery. If you are the baker and business owner, consider what roles you will need to fill and who to hire to help you run your business, or if you plan to run an individual or family business.

Some bakeries have storefronts while others deliver custom orders directly to the customer – how you plan to deliver your baked treats to your customers might require you to hire additional staff. Others employ dozens of bakers to produce large quantities of consistent treats and how you plan to train, delegate, and compensate those workers is important as well.

Don’t forget to include information about who will be creating marketing and publicity for the bakery – will you market your business, hire a marketing professional or firm, or hire a manager that can market your business in addition to their other duties?

Consider including information about what kind of jobs you plan to create, whether they are full-time or part-time, how you will hire or train skilled bakers or chefs, and what kind of benefits you plan to offer.

Sample Menu

While you might want to avoid writing down any intellectual property related to your great-grandmother’s croissant method, a sample menu is a crucial part of your bakery’s business plan because, so often, the concept and the product for a bakery are closely aligned.

Your sample menu provides a lot of information to partners and investors and prompts you to start thinking about some of the finer details of your business. Consider how you will make and deliver your products and what specialized and potential costly equipment for large-scale production and storage are required. 

For instance, will you require a large deep fryer for doughnuts and fritters, or a 55-gallon stand mixer for large batches of dough, icing, and meringue? On the other end, have you begun to budget for the things like food-safe gloves and delicate decoration tools that your bakery might regularly require? 

Beyond being a valuable asset to the information you provide potential investors, building a sample menu is a good exercise for ensuring that your business plan is airtight before you present it to banks or partners.

Restaurant Menu Templates

Use these menu templates as a starting point for your menu design or to give your menus a refresh.

Market Analysis

Unlike some other types of restaurants, bakeries often compete with other bakeries that don’t provide a similar product or experience. Consider the customer’s options in your market when choosing a bakery to patronize in a situation – whether seeking breakfast bagels, intricate pastries and coffee, a full boulangerie, catered desserts, or other complex confections.

As such, your market analysis should include how you plan to attract a segment of the customers seeking the goods, services, or combination that you plan to provide – how will you compete with or stand apart from the grocery store bakeries or the other donut stands in your area?

Completing a market analysis will be as productive for you as it is informative for your investors by revealing opportunities to enter an opening in the market and make the best of that opening.

Marketing and Publicity

Planning a marketing and publicity strategy will flow naturally from finding an opening in your market to enter. Use your market analysis as a stepping stone for your marketing and publicity plan

Opening a bakery is a good chance to capitalize on the intrigue and hype that a “grand opening” event can generate. The best customer of a bakery is the loyal, regular customer — people have strong affinities for specific baked goods and will be loyal when they find a product that provides the sensory and emotional experience they’re seeking.

Word-of-mouth marketing from regular customers, especially if they are incentivized to talk about your bakery with a loyalty program or branded merch (strong tote bags work particularly well for carrying spoils from bread shops), is a valuable assertion of your bakery’s quality. 

Social media and online marketing are almost expected of restaurants these days and a concerted social media strategy can help to bring both local and tourist customers to your doors. Create your restaurant marketing plan in advance, and sum it up in this section.

Branded Graphics

One of the most exciting aspects of building a cohesive brand across your business plan is creating branded graphics that convey your brand’s concept to both potential investors and customers. Think about how you might represent the ethos of your bakery and the experiences that you plan to offer your customers through branded graphics and the design of the documents in your business plan.

Business Operations

The business operations section includes information about customer service, the point of sale , sales and inventory tracking, accounting, equipment, and the supply chain of the products on your menu. Consider the role you plan to play in the business – will you be executing are sourdough recipe perfects over a decade of practice or hiring the best natas makers you can find? 

Bakeries focus on baked goods, but they can offer a range of products and services in addition to delicious foods with intricate combinations of flavors and textures. Include detailed expectations of the customer experience in the business operations sections – how will you deliver or hand off your good to customers or collaborate with them to bring their confectionary imaginations to life? 

Also, you might consider in more depth in this section how you expect interactions between any staff you hire, and your customers will go. How will you train your staff to interact with customers and which staff members do you expect to handle which parts of the customer experience?

Cafe and Bakery POS Comparison Tool

A free, customizable Cafe and Bakery POS Comparison Tool to research and compare point of sale systems in one Excel spreadsheet or editable PDF.

Financing and Loans

If you are seeking to secure funding, have already secured partial funding, or have a plan to fund your bakery, it is crucial to include that information in your business plan. Provide potential investors with information about other investors and detailed financial plans about the projections of profit and expenses of your business.

Include information about how you expect investors to be involved with the business and any benefits they might incur by investing, such as discounts or access to menu previews.

For more information about finding funding for your bakery, check out The Complete Guide to Restaurant Financing and Loans , where we outline 11 different types of restaurant funding options.

Sales Forecasts and Operating Expenses

The operating expenses for a bakery include the costs of labor, insurance, products, supplies, rent, and more, and there might be supply chain or operations expenses that are unique to bakeries, such as the cost of importing quality chocolate or other global ingredients that are worthwhile to consider.

One common analysis to include in a business plan is a break-even analysis which compares how much sales are required to break even with the cost of expenses each month. Investors will be interested in the potential for profit and loss before they contribute to your business, but to produce a profit a loss statement for a restaurant that isn’t open yet will require some educated projections. 

A cash flow analysis details how you plan to spend on labor, supplies, and operations to show investors that the bakery can support itself without additional investments. Consider how the cost of supplies, labor, taxes, maintenance on equipment, cleaning supplies, and paper or plastic balance at the end of each fiscal quarter.

How to Present a Bakery Business Plan Sample

There are a few ways to prepare to communicate with investors about your business plan and get them interested. As you write and edit your plan, you’ll have become the world’s only expert on your bakery. Remember that the way you talk about your business should be tailored to the situation you find yourself in.

First, send your business plan to investors and banks far and wide – put your concept and plan in the hands and minds of as many people as possible. You can’t hear no (or yes!) unless you ask.

Perhaps you’re at a networking event for local small restaurant owners and financiers. You might want to have a 30-second elevator pitch prepared so that you can communicate everything you need to about your plan for a bakery quickly. Be sure to include something exciting or make an opportunity for questions to keep people talking.

Once you secure a meeting with a potential investor or partner, you’ll want a more detailed presentation that presents all the key elements of your business plan – for a bakery, that will likely include the products and services at the core of your business.

It’s good to anticipate potential questions and prepare answers for questions you encounter for the first time. When networking, be honest and genuine, even if you don’t have a ready answer for each question that comes your way – investors will be interested in your charisma and savvy just as much as your ability to build a detailed plan.

Related Bakery Resources

• How to Open a Bakery
• How Much Does it Cost to Open a Bakery
• Bakery Name Ideas
• Best Bakery Websites
• Bakery Marketing Ideas
• Bakery Branding
• Bakery Design Ideas
• Bakery Menu Ideas
• Bakery Licenses and Permits
• Bakery Equipment List
• Bakery Floor Plan
• Bakery Supplies

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DISCLAIMER: This information is provided for general informational purposes only, and publication does not constitute an endorsement. Toast does not warrant the accuracy or completeness of any information, text, graphics, links, or other items contained within this content. Toast does not guarantee you will achieve any specific results if you follow any advice herein. It may be advisable for you to consult with a professional such as a lawyer, accountant, or business advisor for advice specific to your situation.

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Bakery Business Plan Template

Written by Dave Lavinsky

Business Plan Outline

• Bakery Business Plan Home
• 1. Executive Summary
• 2. Company Overview
• 3. Industry Analysis
• 4. Customer Analysis
• 5. Competitive Analysis
• 6. Marketing Plan
• 7. Operations Plan
• 8. Management Team
• 9. Financial Plan

Bakery Business Plan

You’ve come to the right place to create a successful bakery business plan.

We have helped over 100,000 entrepreneurs and business owners create business plans and many have used them to start or grow their bakeries.

A bakery business plan is a plan to start and/or grow your bakery. Among other things, it outlines your business concept, identifies your target customers, presents your marketing strategy, and details your financial projections.

Bakery Business Plan Sample

The following information will provide a description of what to include in your own bakery business plan along with links to an example for each of the key elements below:

• Executive Summary – The Executive Summary section provides a high-level overview of your plan. It should include your bakery’s mission statement, as well as information on your business offerings, your target audience, and your business goals and objectives.
• Company Overview – The Company Overview section provides an in-depth look at your bakery, including information on your company’s history, legal structure, bakery location, and management team.
• Industry Analysis – Also called the Market Analysis, in this section, you will provide an overview of the industry in which your bakery will operate. Through market research, you will be able to discuss market trends affecting the industry, as well as your target market’s needs and buying habits.
• Customer Analysis – In this section of your bakery’s business plan, you will describe your target market and explain how you intend to reach them. You will also provide information on your customers’ needs and buying habits.
• Competitive Analysis – The Competitor Analysis will provide an overview of your competition (other bakeries or local businesses that offer high-quality baked goods), including their strengths and weaknesses. It will also discuss your competitive advantage or your business’s core strength that will help you stand out amongst your competition.
• Marketing Plan – In the Marketing Plan section, you will develop marketing strategies to reach your target audience, including your community events, and digital marketing campaigns. You will also discuss your pricing strategy and how you intend to position your bakery in the market.
• Operations Plan – In the Operations Plan, you will provide an overview of your bakery’s day-to-day operations, including your store layout, staff, and inventory management. It also includes information on your warehousing and distribution arrangements and a list of long-term milestones or business goals.
• Management Team – In this section of your bakery business plan, you will provide information on yourself as a talented baker, any other skilled bakers or business partners, and their experience and role in the company.
• Financial Plan – In this section of your bakery financial plan, you will include your financial statements: profit and loss statement, balance sheet, and cash flow statement. It also includes information on how much funding you require and the use of these funds.

Next Section: Executive Summary >

Free Bakery Business Plan PDF

You can download our free bakery business plan template PDF and use it to create a well-crafted business plan. You can learn more about how to write a bakery business plan using this  bakery business plan template .

Bakery Business Plan FAQs

What are the main types of bakeries.

A bakery can be retail or wholesale. A retail bakery sells baked goods (i.e., freshly baked bread, specialty items, gluten-free and vegan baked goods, and other baked goods) directly to customers, while a wholesale bakery typically sells products to other local businesses, like restaurants, grocery stores, specialty shops, and cafes.

How Do You Get Funding for Your Bakery?

Bakeries are most commonly funded with personal savings and bank loans. Credit card financing and angel investors are also popular forms of funding for bakeries. Potential investors or lenders will often want to see a well-crafted business plan before considering providing funding.

Learn More :  Seeking Funding from Angel Investors vs Venture Capitalists

• Restaurant Website Builder

Dreaming of starting your own retail bakery ? A strong foundation begins with a well-crafted business plan template. Before you can whip up delectable pastries and cakes to delight your customers, you must first learn how to write a plan that will not only help you start your bakery but also position it for growth. In this guide, we’ll dive deep into crafting a bakery business plan that can propel your entrepreneurial dream forward and grow your business successfully.

What is A Bakery Business Plan?

A bakery business plan is a comprehensive document that outlines your vision for your bakery, detailing everything from your business concept to your financial projections. For those who plan to start a bakery or for current business owners looking to expand, a well-detailed business plan is crucial.

First and foremost, it serves as a roadmap, guiding you through the various stages of your business. Every business, whether a startup or an established one, faces challenges and opportunities. With a business plan in hand, you’ll navigate these with clarity and purpose. For those unfamiliar with what to include in your bakery business plan, it covers key areas like market research, competitive analysis, marketing and sales strategies, operations, and financial forecasts.

If you’re hoping to secure funding from investors or financial institutions, they’ll almost certainly want to see your business plan to understand your strategy and the viability of your bakery concept. In essence, it’s not just about baking; it’s about creating a sustainable business model around your passion.

For business owners with dreams to start or grow their bakery, the process of creating this plan can be enlightening. It forces you to think critically about every aspect of your business, from your unique selling proposition to potential challenges in the market. In a nutshell, if you’re planning to dive into the world of baking and commerce, you’ll also need to create a robust bakery business plan to ensure success.

Why A Business Plan Is Important For A Successful Bakery Business?

A business plan is crucial for a successful bakery business, be it a large-scale operation or a home bakery business plan. Here are the reasons why:

1. Clear Vision and Objectives

Writing a business plan provides clarity, ensuring you’re on the right path. This process allows bakery owners to craft a plan that outlines their goals and objectives, giving them a clear direction for the future. By defining what products you will sell, how you will market your business, and understanding the strengths and weaknesses of your bakery, you position yourself for success from the outset.

2. Financial Planning

A bakery’s financial health is the backbone of its success. Having a solid business plan offers insights into your pricing strategy, expected costs, and projected revenues. It helps you understand the financial needs of your business, ensuring that you’re adequately funded from the start and can anticipate future financial requirements. Moreover, in the case of seeking external financing, lenders or investors will want to review your business plan to gauge the viability of your bakery venture.

3. Operational Efficiency

Operational efficiency is vital in any business, and a bakery is no exception. With a plan in place, you can streamline operations, ensuring that every aspect of your bakery, from sourcing ingredients to delivering finished products, runs smoothly. By detailing the next steps in your business journey and anticipating potential operational hitches, you preemptively tackle challenges, ensuring your bakery’s efficient functioning.

Step-by-step Guide To Write A Bakery Business Plan

Embarking on a bakery business is a delightful venture, but before you can start whipping up delicious baked goods, it’s essential to have a detailed business plan. Here’s a step-by-step guide to help you craft one.

1. Executive Summary

The executive summary is a snapshot of your bakery business, giving readers an overview of what to expect in the following sections. Typically concise, it serves as an introduction and should captivate potential investors or partners.

What should you cover in an Executive Summary?

• Introduce your bakery business: Briefly describe your bakery, setting the stage for the sections ahead.
• State your mission and vision: Your mission statement should reflect the purpose of your bakery, while the vision provides a glimpse into your business goals and aspirations.
• Outline your objective: What do you hope to achieve? Are you planning to cater to a specific niche, like gluten-free or vegan baked goods?
• Provide a financial overview: A brief insight into your financial statements, indicating the viability of your venture.

2. Bakery Business Description

This section delves into the intricacies of your bakery. It outlines the essence of your business, differentiating it from competitors.

What should you cover in the bakery description section?

• Talk about your bakery concept: Are you a coffee shop with baked pastries, a storefront offering specialty items, or do you plan to offer delivery services, especially given the rise of delivery needs during events like the pandemic?
• Explain your unique selling proposition: Perhaps you have a talented baker specializing in gluten-free products or vegan baked goods. What makes your bakery stand out?
• Discuss your operations plan: How will your bakery function daily? Will you have a physical location, or will you cater to local farmer’s markets or online platforms?

3. Market Analysis

The most important factors to consider when writing a bakery business plan are: target market, location and competition

• Target market: Understand your potential market. Who are your local customers, and what are they looking for in baked goods?
• Location: Whether it’s a cozy corner in a bustling city or a digital platform, your location caters to your target market.
• Competition: Identify main competitors. Analyze their strengths and weaknesses to carve a niche for your bakery.

Detail your research, highlighting the size of your target market, preferences (like a demand for gluten-free or doughnut offerings), and potential market growth.

4. Organization and Management

This section provides insight into the structure of your bakery business and the team behind it. Your management section should highlight the people behind your business, their roles, and their experiences relevant to running a successful bakery business.

What should you cover in organization and management plan?

• Are you the sole owner, or are there partners? What’s the business structure: LLC, sole proprietorship, or corporation?
• Full names of the owners
• Percentage of company each owner holds
• Manager’s full name
• Position and primary responsibilities
• Educational background
• Past track record with hard numbers to back it up
• Food industry recognition
• Important experience and skills that will help your business be successful

5. Sample Menu

The menu is a direct reflection of your bakery’s offerings, showcasing the range and uniqueness of your products.

What should you consider when creating a sample menu?

• Menu items: From traditional baked pastries to specialty items like gluten-free or vegan goods.
• Unique Selling Proposition: What sets your menu apart? Maybe you source local ingredients or have an age-old family recipe.
• Menu Pricing : Keeping in mind production costs and market demand, ensure your pricing strategy is competitive yet profitable.

6. Marketing Strategy

In this digital age, effective marketing can elevate your bakery business. From social media platforms like Facebook to search engine optimization (SEO) and content marketing techniques, this section should reflect your adaptability and modern approach.

What should you cover in a marketing strategy for your bakery business ?

• Define your brand: Your bakery’s image, tone, and overall feel.
• How would you plan to attract customers? This could include social media accounts, SEO for your website, or even local events.
• Considering using an  online food ordering system so that your customers can place orders for dine-in, pickup, or delivery. This allows customers to get their food & drinks quickly and conveniently, reducing waiting time and improving the overall customer experience.
• Create a  digital menu with QR code  to make your menu easy for your customers to access online
• Sales Strategies: Offer promotions, loyalty programs, or partnerships with other local businesses to boost sales.

7. Business Operations

This segment delves into the day-to-day running of your bakery.

What operational issues you should address in your business plan?

• Supply chain: Where and how often you need to order supplies.
• Operating hours: The hours you’re open for business, which might differ if you also offer delivery.
• Staffing: Details about your staff, including roles and training.
• Equipment: The equipment you need to purchase, from mixers to ovens.

8. Financial and Loans

How Much Does It Cost to Start a Bakery?

Starting a bakery is an exciting venture, but it’s essential to understand the financial implications. Generally, starting a bakery can cost anywhere between $10,000 and $50,000 . This broad range is due to several factors:

• Location: Renting space in a prime city location will cost more than a suburban or rural area.
• Equipment: High-end, new equipment like mixers, ovens, and display cases will significantly increase costs.
• Initial Inventory: Ingredients and supplies needed to kickstart operations.
• Licenses and Permits: Depending on the region, health, business, and other licenses might be required.
• Interior Decor: Ambiance matters in a bakery. Furnishings, décor, and even music systems can add to costs.
• Staffing: If you’re hiring from the start, initial salaries need consideration.

How Many Ways to Fund Your Bakery?

There are various avenues to secure funds for your bakery:

• Personal Savings: The most straightforward way but can be risky.
• Bank Loans: Traditional but might require collaterals and have strict repayment schedules.
• Angel Investors: Individuals willing to invest in promising startups.
• Crowdfunding: Platforms like Kickstarter allow the public to fund your idea.
• Partnerships: Bringing in a partner can split the financial burden.

Important Questions to Consider When You Create Your Funding Request

When seeking funds, be prepared to answer:

• How much funding do you need?
• How will the funds be utilized?
• What’s your bakery’s projected revenue?
• How and when do you plan to repay loans or offer returns to investors?
• What sets your bakery apart from others to ensure success and profitability?

For more detailed information on starting a bakery with limited funds, check out our comprehensive guide on how to open a bakery with no money .

9. Financial Projections

Break-even analysis

The break even analysis is a critical financial tool that pinpoints when your bakery will be able to cover all its expenses and begin to make a profit. Essentially, it’s the point where total revenue equals total costs, resulting in neither profit nor loss.

To calculate your break-even point, you’ll need to gather your fixed costs , variable costs, and your expected selling price per item.

Use this formula:  Fixed Costs / (Price – Variable Costs) = Break Even Point

Projected profit and loss statement

This is essentially an income statement that forecasts your bakery’s future revenues, costs, and expenses. It provides a chart to show potential profit or loss over a specified period. Regularly refer back to this to gauge the business’s financial health.

Cash flow analysis

The cash flow analysis gives a detailed overview of where money is coming from and where it’s being spent, encapsulated in a cash flow statement. Along with the balance sheet and the income statement, it offers a comprehensive view of the bakery’s financial health.

Bakery Business Plan Sample

The following is a comprehensive sample of a bakery business plan

• Mission: To provide the community with high-quality, artisanal baked goods made from locally-sourced, organic ingredients.
• Vision: To be the top choice in the city for authentic baked delicacies and create an inviting space for patrons to gather, savor, and celebrate.
• Bakery Description: “Bread & Beyond” is an artisanal bakery focusing on handcrafted breads, pastries, and cakes.
• Costs: $40,000 (Startup)
• Profits: Anticipated net profit of 20% within the first year, with a steady increase in subsequent years.

2. Description of the bakery

• Bakery Concept: A rustic-chic bakery emphasizing organic, locally-sourced ingredients.
• Bakery Name : Bread & Beyond (consider using a bakery name generator for this)
• Bakery Type: Artisanal
• Bakery Location: 123 Bakers Lane, Downtown District
• Order Fulfillment: Both in-store purchases and online orders with pickup and delivery options available.
• Working Hours: 7 AM – 7 PM, Monday to Sunday

3. Menu offer

• Type of Food: Handcrafted bread, pastries, cakes, and coffee.
• Offer: Customers can enjoy classics like sourdough bread and croissants, alongside specialty items like gluten-free blueberry muffins and vegan chocolate cake.
• Unique Selling Point: Every item is made using organic ingredients sourced from local farmers.

4. Market and competition analysis

Market Analysis:  

• Target Customer: Health-conscious individuals, ages 25-45, looking for premium baked goods.
• Size of the Target Customer: Estimated 50,000 individuals in our city match this demographic.

Competition Analysis:  

• Size of the Competition: All three competitors have multiple branches but none offer exclusively organic products.
• Competitors’ Offer: Basic breads, pastries, and some cakes.
• Competitors’ Prices: $2-$5 for bread and $3-$7 for pastries.

5. Investment plan (detailed cost analysis)

Investment cost: $40,000

• Rent deposit: $10,000
• Renovation: $5,000
• Equipment: $12,000 (ovens, mixers, display counters)
• Initial Inventory: $5,000
• Licenses & Permits: $3,000
• Miscellaneous: $5,000

Operating Costs (Monthly) : $16,500

• Rent: $2,500
• Salaries: $8,000 (for staff of 5)
• Utilities: $1,000
• Inventory: $3,500
• Marketing: $1,000
• Miscellaneous: $500

6. Financial forecast

Given the costs and projected monthly sales of $25,000, we aim to recover the initial investment within the first 8 months and subsequently operate at a steady profit.

7. Marketing plan

Our marketing approach will utilize both online and offline strategies. We’ll have an active presence on social media platforms, especially Instagram, showcasing our daily bakes. In-store promotions, participation in farmer’s markets, and partnerships with local coffee shops will also be key. SEO (search engine optimization) will be used to ensure locals easily find us online.

Tips for Creating a Successful Bakery Business Plan

Crafting a comprehensive bakery business plan isn’t merely a bureaucratic hoop to jump through; it’s a blueprint for your business’s future. Here are some key tips to ensure its success:

• Understand Your Target Market’s Needs: Before anything else, delve deep into understanding your target market’s preferences, dietary restrictions, and buying habits. This ensures your offerings resonate with potential customers.
• Set Clear Milestones: A business plan isn’t static. Set clear milestones to measure your progress. Whether it’s reaching a sales goal or opening a second location, having tangible milestones keeps you on track.
• Ensure Every Section of Your Bakery Business Is Detailed: Don’t gloss over any part. Whether it’s the financials, marketing, or operations, be thorough in detailing how you plan to approach each segment.
• Leverage the Benefits of Writing a Bakery Business Plan: Beyond attracting investors, a well-constructed business plan acts as an internal roadmap. It can guide decisions, help you anticipate challenges, and keep your business aligned with its core objectives.
• Stay Adaptable: The business environment is dynamic. Be sure you’re prepared to adjust sections of your plan as you gain more insight into your market or as external factors change.
• Be Clear on Tools and Platforms You Plan to Use: In today’s digital age, mention specific tools, software, or platforms you plan to use, be it for marketing, sales, or operations. Their strategic implementation can set you apart from competitors.

Frequently Asked Questions

1. How do I start a business plan for a bakery? Starting a business plan for a bakery begins with research and gathering the following information: target market, competition, pricing strategy, and more. Begin with the company overview section, detailing the bakery’s background, mission, and objectives. This foundational work will give you clarity as you progress through each section of your plan.

2. How to make a business plan for bread and pastry? Just like any other bakery, creating a business plan for bread and pastry involves pinpointing your target audience, understanding trends in the bread and pastry market, and detailing the specific products you’ll offer. Sometimes, bakeries specializing in these products might choose to focus on artisanal or unique offerings that customers are looking for.

3. How profitable is a bakery business?

In the US, the average bakery has an annual turnover of $450,000. However, the profitability of a bakery business varies based on factors like location, market demand, and operational costs. With the right strategies and understanding of what customers are looking for, it can be a lucrative venture. Keeping an eye on the key components like product quality, pricing, and customer service can significantly influence profitability. Check out this detailed article about how much does a bakery make .

4. What bakery items make the most money? High-margin items like specialty cakes, pastries, and sometimes bakeries with unique offerings such as gluten-free or vegan baked goods can yield higher profits. Identifying and focusing on items that are both popular and have good profit margins is crucial.

5. What are the initial costs to start a bakery business? The initial costs involve renting or purchasing a space, buying equipment (ovens, mixers, display cases), initial inventory, licenses, and permits. The costs can vary widely based on location and the scale of your operations when starting your new venture. Check out this article on how much it cost to start a bakery .

6. What are some effective marketing strategies for a bakery business? Utilize social media platforms to showcase your products, offer loyalty programs, collaborate with local businesses, or host events or classes in your bakery. Engaging content marketing and SEO techniques can help draw more traffic to your bakery’s online presence, making it easier for potential customers to find you.

Setting up a website for your bakery

When setting up your bakery, it’s crucial to explore ways to attract more customers to your bakery. One effective way to do this is by having a dedicated website where your customers can learn everything about your bakery anytime, anywhere.

Menubly  lets you create a mini website with a built-in online menu which centralizes all important information about your bakery into one accessible link. It makes it easy for your customers to interact with your bakery: they can view your menu, find your location, book a table, place delivery orders… all in one place.

By adding your mini website link in your Instagram bio and other social media profiles, or sharing it directly with customers, you make it easy for them to discover and engage with your bakery through a single, convenient link. This streamlined approach not only enhances customer experience but also boosts your online presence and attract more customers.

Best of all? You can  set up your Menubly mini website for Free  in just  under 5 minutes  and  tailor it to match your bakery’s style .

Ready to boost your bakery’s online presence?  Click here  to create your free website with Menubly!

Crafting a comprehensive business plan is a crucial step for any aspiring bakery entrepreneur. From securing funding to fine-tuning the bakery’s vision, the benefits of writing a bakery business plan are manifold. It not only serves as a roadmap for the business’s growth but also provides a framework for addressing challenges and seizing new opportunities. As you embark on this delicious journey, remember that the time and effort invested in planning will lay a solid foundation for the success and sustainability of your bakery venture.

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How to create a bakery business plan

• Annabelle Amery
• Oct 29, 2023
• 12 min read

When launching your bakery business , the first step is to whip up a detailed and well-crafted business plan. Think of it as the secret recipe for your bakery's success. This document isn't just a list of ingredients; it's your roadmap to achieving your goals, whether you're baking artisanal bread, delightful pastries or delectable cakes. Your bakery business plan will help you navigate the sweet and savory challenges of the industry, ensuring your path to success is as delightful as your treats.

So if you're looking to start a business in the baking industry, keep reading for instructions on how build a strong business plan.

Ready to get baking? Use Wix to build a business website and learn how to make a bakery website .

Why create a bakery business plan? Key benefits to consider

Crafting a bakery business plan is important for several reasons. First, it forces you to conduct thorough market research and analysis, helping you gain insights into your target market's preferences, trends and competition. This information is vital for designing a product lineup that resonates with customers and stands out in the crowded baking market.

A well-structured business plan aids in clarifying your bakery's unique value proposition as well. By clearly defining what sets the bakery apart from its competitors, you can effectively communicate your brand's identity and build a strong customer base.

Beyond all this, your business plan lays out a detailed operational plan, outlining your bakery's workflow, supply chain management, staffing requirements and equipment needs. This level of detail is crucial to ensure smooth day-to-day operations and efficient resource allocation.

Finally, a bakery business plan is a vital tool for raising money for your business whether from investors, lenders or stakeholders. It demonstrates your commitment, understanding of the industry and your business's potential for profitability. It can help potential investors gauge your bakery's revenue-generating capacity and projected returns on investment.

How to create a bakery business plan in 6 steps

So how do you go about crafting your plan? In the upcoming sections, we'll guide you through six essential ingredients of a bakery business plan.

Executive summary

Business and domain names

Market analysis and research

Operations plan

Marketing and advertising plan

Financial plan

01. Executive summary

An executive summary is a concise and compelling overview of your bakery business plan, designed to capture the reader's attention and provide a snapshot of the entire plan. This section should be written last (after you've crafted the rest of the plan), to ensure that it accurately reflects the key points and highlights of your bakery business venture.

When writing an executive summary for a bakery business plan, aim to include the following elements:

Briefly describe the core concept of your bakery business. Highlight what sets it apart from competitors and emphasize your unique value proposition.

Summarize the market research you've conducted to identify your target audience, market trends and growth opportunities.

Provide a high-level overview of your financial projections, including revenue estimates, startup costs and potential profitability.

Outline the short-term and long-term goals you aim to achieve with your bakery business.

Introduce key members of your team and highlight their relevant expertise for this type of business .

Mention any funding requirements you have and how the funds will be utilized to support the bakery's growth.

Conclude with a compelling statement that encourages readers to explore the rest of the business plan.

Example of an executive summary for a bakery

"Sweet Delights Bakery is a specialty bakery poised to revolutionize the local dessert scene with its artisanal approach and innovative flavors. Our commitment to using organic and locally-sourced ingredients sets us apart in a market craving healthier alternatives. With a target demographic of health-conscious consumers and a focus on catering to dietary preferences, we anticipate tapping into an underserved niche.

Our projected revenue for the first year is $300,000, with startup costs totaling $100,000. By year three, we aim to achieve profitability and expand our reach to neighboring towns. With a team that brings together culinary expertise and marketing prowess, we are well-equipped to execute our vision.

We seek $75,000 in funding to secure a prime location, procure high-quality equipment and launch an impactful marketing campaign. Sweet Delights Bakery is poised to become a local favorite and a go-to destination for unique and guilt-free indulgences."

02. Business and domain names

Naming a business is critical for brand recognition and online presence. A business name generator can help spark ideas and ensure your restaurant business name aligns with your bakery's identity.

For instance, if your bakery focuses on gluten-free treats, a name like "PureBites Bakery" reflects your commitment to wholesome ingredients. Once you decide on a company name, ensure that a corresponding domain name is available. Your domain name should be memorable, easy to spell and closely related to your bakery's name. Avoid complex names that can confuse potential customers.

Once you’ve landed on a business name, you’ll want to learn how to register a business .

03. Market analysis and research

Including a comprehensive market analysis in your business plan is crucial for understanding the competitive landscape and shaping your business strategy. Conduct market research to identify your target audience's preferences, behaviors and spending habits. Analyze your competitors' strengths and weaknesses to find opportunities for differentiation.

By understanding market trends and consumer needs, you can tailor your bakery's offerings and marketing messages effectively. Use this analysis to develop a unique value proposition that resonates with your target customers, ultimately setting your bakery apart in a crowded market.

04. Operations plan

The operations plan is a pivotal section of your bakery business plan, outlining the practical aspects of running your business effectively. This includes selecting an appropriate location, detailing the layout and design of your premises, identifying the necessary equipment for baking (alongside packaging and display) and specifying your staffing needs.

For instance, in the operations plan, you would detail how your bakery's layout promotes efficient workflow and customer engagement. You'd also discuss equipment like ovens, mixers, refrigerators and display cases that are essential for your bakery's operations. Staffing needs would include roles like bakers, decorators, cashiers and customer service representatives.

05. Marketing and advertising plan

The marketing and advertising plan outlines how you'll promote your bakery business to your target audience. Consider a mix of strategies such as using social media platforms, such as Instagram or Facebook, to showcase your visually appealing baked goods and engage with customers.

Additionally, you can build local partnerships by collaborating with local cafes or businesses for cross-promotions. This can include hosting tastings or events to introduce your products to the local community.

Consider making a website where customers can browse your offerings and place orders. A website builder like Wix can help you get online fast. From there, you can market and sell your goods as well as build an email list for newsletters and promotions to keep customers informed about new products. Learn more: Bakery website examples

Need some help building up your brand? Check out these bakery logo ideas and Wix’s free logo maker , as well as our guide on how to make a bakery logo .

06. Financial plan

The financial plan is a crucial part of any bakery business plan as it outlines the financial aspects of your venture. It includes cost to start an LLC if relevant, other startup costs, projected revenue, expenses and profitability timelines. Clearly define your funding needs, whether through personal investment, loans or investors.

The financial plan should encompass a break-even analysis, highlighting the point at which your bakery covers its expenses and starts generating profits. It's essential to provide realistic financial projections based on market research and industry benchmarks.

Bakery business plan example: SweetBite Bakery

Part 1: executive summary.

SweetBite Bakery is a gourmet dessert destination set to captivate dessert enthusiasts with its delectable creations. Our commitment to crafting unique and artistic desserts using premium ingredients positions us as a standout in the bakery industry. With a focus on custom-designed cakes and intricate pastries, we aim to elevate the dessert experience for our customers.

We anticipate generating $500,000 in revenue in our first year, with a startup investment of $150,000. Our team of skilled pastry chefs and experienced business professionals are well-prepared to execute our vision. We're seeking $100,000 in funding to secure a prime downtown location, invest in state-of-the-art baking equipment and launch an immersive marketing campaign.

Part 2: company and domain names

Company name: SweetBite Bakery

Domain name: www.sweetbitebakery.com

Part 3: marketing analysis and research

Through comprehensive market research, we've identified a niche for exquisite custom desserts in our target area. The bakery landscape lacks specialized gourmet options, providing us a significant opportunity for differentiation. Consumer preferences for unique, visually appealing treats and the growing trend of personalized celebrations further support our concept.

Part 4: operations plan

Location: We'll secure a charming storefront in the heart of the city, attracting foot traffic and enhancing visibility.

Premises: The bakery's interior will exude a cozy yet sophisticated ambiance, reflecting our premium offerings.

Equipment: Our bakery will be equipped with top-tier ovens, mixers and presentation displays to ensure the highest quality.

Staffing: We'll hire skilled pastry chefs, decorators and front-of-house staff to provide exceptional customer service.

Part 5: marketing and advertising plan

Social media: Engage customers through Instagram by showcasing our artistic creations and behind-the-scenes processes.

Local partnerships: Collaborate with local event planners and venues for special occasions and catering opportunities.

Tastings and events: Host weekly dessert tastings to introduce our offerings and build a loyal customer base.

Online presence: Launch an interactive website where customers can explore our menu order customized treats and stay updated on our latest creations.

Email marketing: Build an email subscriber list to share exclusive promotions, seasonal specials and upcoming events.

Part 6: financial plan

Startup investment: $150,000 (from personal savings and a small business loan)

Projected first-year revenue: $500,000

Projected first-year expenses: $350,000

Profitability timeline: By the end of the second year

Bakery business plan example: Wholesome Harvest Bakery

Wholesome Harvest Bakery is a health-conscious bakery determined to revolutionize baked goods by focusing on natural, nutritious ingredients. Our dedication to producing wholesome treats and accommodating various dietary preferences positions us as a pioneer in the health-oriented bakery market.

In our first year, we anticipate generating $350,000 in revenue, with startup costs totaling $100,000. Our diverse team of nutritionists and bakers are poised to execute our mission. We're seeking $75,000 in funding to secure a local storefront and invest in equipment that aligns with our health-focused approach.

Company name: Wholesome Harvest Bakery

Domain name: www.wholesomeharvestbakery.com

Our market analysis reveals a growing demand for healthier bakery options due to increased health awareness. With a focus on gluten-free, vegan and sugar-free offerings, we aim to cater to health-conscious consumers seeking guilt-free indulgence.

Location: We'll secure a location near fitness centers and health food stores to target our niche market.

Premises: Our bakery interior will reflect a fresh and natural ambiance, showcasing our commitment to health.

Equipment: We'll invest in specialty ovens and equipment that align with our ingredient-focused approach.

Staffing: Our team will comprise of nutrition experts, experienced bakers and customer service professionals.

Social media: Utilize Instagram and Pinterest to share health tips, recipe insights and showcase our nutrient-rich treats.

Local partnerships: Collaborate with gyms, wellness centers and yoga studios to cross-promote healthy living.

Tastings and events: Host workshops on healthy baking and nutrition, attracting a community of health enthusiasts.

Online presence: Develop a user-friendly website with detailed nutritional information, allowing customers to order online.

Email marketing: Regularly send out newsletters with recipes, health tips and exclusive discounts to our subscribers.

Startup investment: $100,000 (personal savings and a small business loan)

Projected first-year revenue: $350,000

Projected first-year expenses: $250,000

Profitability timeline: By the end of the first year

How profitable is owning a bakery?

Yes, owning a bakery business can be profitable, but it is important to note that it is not a get-rich-quick scheme. Bakeries have thin profit margins, so it is important to carefully manage costs in order to be successful. However, there are a number of things that bakery owners can do to increase their profitability, such as:

Offering high-quality baked goods and coffee

Providing excellent customer service

Marketing their bakery effectively

Offering catering services

Selling merchandise, such as aprons, cookbooks, and gift baskets

Controlling costs by using fresh, seasonal ingredients and making products in-house

It is also important to choose a good location for your bakery. A high-traffic area with good visibility is ideal. Additionally, it is important to consider the competition in the area. If there are already a number of successful bakeries in your area, you may need to offer something unique to differentiate yourself from the competition. If you are willing to put in the hard work and dedication, owning a bakery business can be a rewarding and profitable experience. Here are some tips for increasing the profitability of your bakery business:

Focus on high-margin items. Some items, such as cakes and cupcakes, have higher profit margins than others, such as bread and pastries. Focus on offering a mix of high-margin and low-margin items to keep your customers happy and your profits up.

Reduce costs. There are a number of ways to reduce costs in your bakery business, such as using energy-efficient equipment, buying in bulk, and making products in-house.

Increase sales. There are a number of ways to increase sales in your bakery business, such as offering catering services, selling merchandise, and offering loyalty programs.

Market your business effectively. Make sure people know about your bakery by marketing your business online and offline.

By following these tips, you can increase the profitability of your bakery business and achieve your financial goals.

What are the disadvantages of owning a bakery?

Owning a bakery can be a rewarding experience, but it's important to be aware of the disadvantages before starting a bakery business. Some of the disadvantages of owning a bakery include:

Long hours and hard work. Bakers often work long hours, especially during busy times, such as holidays and weekends. Baking is also physically demanding work, and bakers often have to stand for long periods of time.

Thin profit margins. The profit margins for bakeries are thin, so it's important to carefully manage costs in order to be profitable.

Competitive landscape. The bakery industry is a competitive one, so it's important to differentiate your bakery from the competition.

Perishable products. Bakery products are perishable, so it's important to manage inventory carefully to avoid waste.

Food safety concerns. Bakeries must adhere to strict food safety regulations to protect customers from food poisoning.

Reliance on suppliers. Bakeries rely on suppliers for ingredients and supplies. If a supplier has a problem, it can disrupt your business operations.

Seasonality. Bakery sales can vary depending on the season. For example, sales may be higher during the holidays and lower during the summer months.

Customer expectations. Customers expect fresh, high-quality baked goods. It's important to meet these expectations in order to keep customers coming back.

Employee turnover. The bakery industry has a high employee turnover rate. This can make it difficult to find and retain qualified staff.

Despite the disadvantages, owning a bakery can be a rewarding experience. Bakeries play an important role in the community, and many bakers enjoy the satisfaction of creating delicious and beautiful baked goods that people love.

What mistakes do startup bakeries make?

Some of the most common mistakes that startup bakeries make include:

Underestimating the costs. Starting a bakery can be expensive. It's important to carefully estimate all of the costs involved before starting your business. This will help you to avoid financial problems down the road.

Overestimating demand. It's important to be realistic about the demand for your baked goods. Don't overproduce baked goods or you will end up wasting money.

Not marketing their business effectively. Make sure to market your bakery business effectively in order to attract customers. Don't be afraid to invest in marketing strategies and advertising.

Not offering a diverse product mix. Offer a diverse product mix to appeal to a wide range of customers. Don't just focus on one type of baked good.

Not having a good business plan. A business plan is essential for any business, but it's especially important for startups. A business plan will help you to define your business goals, strategies and financial projections.

Bakery business plan FAQ

What is the most profitable bakery item.

The most profitable bakery item varies depending on the region and the type of bakery. However, some of the most profitable bakery items include:

Coffee and tea

What is the failure rate of bakeries?

Can i start a bakery with no money, are bakeries hard to start, want to create another type of business plan.

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• Sample Business Plans
• Food, Beverage & Restaurant

Bakery Business Plan

Ready to turn your love for baking baked goods into a successful business?

To ensure that your business endeavor happens to be a flourishing one, write a business plan specifically crafted for your unique bakery business.

From helping you finalize the bakery location to evaluating the financial position of your business- a detailed plan uncovers every detail essential to kickstart a successful bakery business.

Writing a business plan can get complicated. With this step-by-step guide, you will have all the information essential to write a bakery business plan . Also, download our free bakery business plan template and modify it to fit your needs.

Ready to dive in? Let’s get started.

Key Takeaways

• Conduct a detailed industry analysis of the bakery market to understand market trends, target market, and the growth scope of your business.
• Outline the business goals and devise a business strategy that is in line with your bakery’s branding image.
• Analyze the competitive landscape of your business and identify local businesses that will offer direct and indirect competition to your business.
• Make calculations, assumptions, and projections to form key reports such as income statement, balance sheet, Cash Flow statement, and Break-even analysis.
• Determine the operations of your bakery business by outlining the procedures, processes, and equipment required to kickstart the business.
• Determine the baked goods and services you will sell through your bakery business.

Why is a bakery business plan important?

A business plan helps achieve your business objectives by creating a roadmap that will guide your bakery business in a strategic direction. An actionable well-drafted plan offers an in-depth view of your business idea and are a few benefits you must know:

• A business plan instills clarity in your business idea. All the ideas that were messed up in your mind start getting a clear point of view once you start writing a plan.
• A business plan is your checklist to understand what different aspects of the business need- the resources, equipment, manpower, licenses, etc.
• It helps crystallize your business vision and what it aims to achieve in the bakery market.
• A business plan optimizes the bakery operations and brings down the operating expenses by ensuring the resourceful allocation of bakery resources.
• A plan evaluates the financial aspects and viability of your bakery idea before you actually invest money in the business.

And, of course, a well-crafted plan will get you essential funds to get started in the bakery market. Moving forward, let’s craft a spectacular plan for your bakery business.

How to Write a Bakery Business Plan: A Complete Guide

From writing an executive summary to creating your financial plan- let’s decode the key elements of writing a business plan.

1. Get a business plan template

Before you start writing a business plan, consider getting a sample template to simplify the entire plan writing process.

A lot of information goes into writing a comprehensive business plan. Addressing all the key components in brief details is a challenging task.

However, by using a template, you can add structure to your plan. Not only that, it will help you organize the information clearly in a cohesive manner. With appropriate prompts, you will know exactly what to write in each section.

We know you would start searching for a template. Well, the Upmetrics business planning template is perfectly relevant and suited for your bakery business. It’s intuitive, modern, and available for free download.

Need Assistance Writing a Bakery Business Plan?

Get Upmetrics’ business plan template, import data directly into the editor, and start editing using Upmetrics AI Assistant.

Start Planning Now

2. Write an executive summary

The executive summary is a concise description of your entire bakery business plan. It highlights the key findings and entices the reader to delve further into your business plan. So make sure to keep it interesting.

A well-drafted executive summary includes an answer to every question, a potential investor might have.

For instance,

• What is the core objective of your bakery business?
• What are the pain points of your target customers and what solutions can you offer?
• What type of baked goods will you offer?
• What is your target market?
• What is your marketing strategy?
• What are the financial highlights of your bakery business?

As you start writing, remember that the executive summary should summarize the plan and not your business idea.

Lastly, fit your compelling summary description in 1-2 pages.

3. Conduct a competitive and market analysis

The market analysis section paints a clear picture of your ideal target market, bakery industry trends, and your competitors in the market. In a way, this section is your chance to validate the potential success of your bakery shop.

The market analysis section of your bakery plan must include:

Market share, growth potential, and industry trends

Identify your targeted available market (TAM) through thorough market research and determine your share in the bakery market. Analyze the emerging trends in the bakery market and assess your growth potential as a retail bakery.

Understanding of the target market 

Who will be your potential customer at a bakery shop?

It gets much easier to succeed in the market when you have a clear understanding of who your target customers are.

In this section of customer analysis, you will create a buyer’s persona of your ideal customer by understanding their psychographic and demographic details.

Competitor analysis

This is an equally important part of the market study, where you evaluate the position and competitive landscape of your bakery shop.

Begin by identifying your top competitors and evaluate your strengths, weaknesses, opportunities, and threats against other bakeries. Establish your competitive edge and show the potential investors that your business stands a promising opportunity in the competitive market.

Want to Perform Competitive Analysis for your Business?

Discover your competition’s secrets effortlessly with our user-friendly and Free Competitor Analysis Generator!

4. Prepare a company overview

The company overview section of a bakery’s business plan is a brief description of your bakery business concept, its legal structure, location, and value proposition.

Be creative and write a compelling section that can propel the readers’ interest in your business idea.

Wondering what to include in your bakery’s company overview section? Let’s check:

• Type of bakery business: retail bakery, specialty bakery, cloud bakery, mobile bakery, etc.
• Business structure: Sole proprietorship, LLC, partnership LLC, corporation, etc.
• Mission statement
• Value proposition
• Quantifiable business goals and milestones
• History and background of the bakery, if applicable
• Partnership and ownership structure
• Name of owners/ partners
• Operating hours
• Service style

Drill down to details and make this section an engaging read.

5. Describe your products and services

After describing your bakery structure and mission statement in the previous section, you will now outline the product and service offerings of your bakery shop.

As a bakery business, you may sell a variety of delicious baked goods such as pastries, cakes, fresh bread, cookies, tarts, pies, donuts, sweet buns, etc. Add this to your product section and also non-baked goods such as savory snacks, coffee, etc, if it’s on your menu offering.

Specifically mention, if you will have products for special diets, i.e. gluten-free, keto-friendly, sugar-free, vegan baked goods, etc.

6. Bakery store design and layout

An effective bakery business plan must include a blueprint of your bakery shop’s layout and design to demonstrate the bakery’s concept practically to the readers.

Mention your bakery size and the space allocated for the back of the house and front of the house operations. Also, explain how the proposed layout will increase the efficiency of your business operations in great detail.

In this section, you will also talk about the decor and theme that will create a warm ambiance for your target audience. Keep in mind that the decor should reflect the branding image you want to create in your target market.

Offer an immersive experience to the readers while explaining this section.

7. Prepare a bakery marketing plan

The bakery marketing plan offers a detailed outlook of marketing strategies you will use to market and promote your bakery shop. Consider it as a roadmap that will guide you in building a brand of sustainable value in the market.

So how do you build a perfect marketing plan?

Begin by identifying the marketing channels and different types of digital marketing campaigns that will work best for your potential customers. Now, allocate the monthly budget to different marketing activities. Lastly, devise a marketing strategy for each channel with a clear plan of action.

Here are a few marketing strategies that are popularly used by successful bakery businesses:

• Social media platforms for brand development
• Email marketing for promotional offers
• Video content such as easy baking recipes, tips, tricks, etc
• Online workshops and live sessions
• Influencer marketing
• Tasting events and sampling
• Customer testimonials

Now detail all your plans in this section and show your investors that you have a solid way to establish your business’s popularity in its target market.

8. Outline your organizational structure

In this section of your bakery business plan, you introduce the management team and employees at your shop. Also, highlight the organizational structure and hierarchy of employees in the organization.

Begin by introducing the owners and their role in your organization. Highlight their experience in the bakery industry and the key skills that can benefit the business.

Introduce your talented baker and their role in recipe development and standardization. Show their experience in the baking field and prove their asset worthiness.

Draw a clear flowchart depicting the flow of authority and responsibility in your bakery business. It is your chance to show the investors that you have a team and knack to take this business on a successful path.

9. Create a logistics and operational plan

The operations plan of your bakery business plan is a strategic document highlighting the processes, procedures, and resources needed to efficiently run your bakery shop.

A well-planned operations plan is like a business manual that has answers to all the questions one might have while running a bakery shop.

Wondering what to add to your operations plan? Well try to include answers to the following questions to make it detailed and comprehensive:

• Physical facilities: What will be your bakery location to produce bakery goods? Will you serve customers from that location or a different shop? Are you planning to sell the bakery goods online?
• Suppliers: Where will you get the raw materials and supplies for producing bakery goods? Who will supply non-bakery items like scones, sandwiches, and savory snacks?
• Inventory: Where will you store the raw material and ingredients? What will be the shelf life of these ingredients? How will you manage the stock levels? What are the minimum thresholds for different items and how long it takes to stock them?
• Production: Who will bake the goods? How long is the process? Will everything be made fresh or in batches to be stored for a few days? Will there be recipe cost cards for each menu item? How will you meet an unexpected spike in demand?
• Bakery Equipment: What type of bakery equipment will you require? Will there be a POS system at your store? What other technologies will you use? How will you take online orders?

The amount of precision here will help you regulate your operating expenses once the bakery starts serving the customers. Proper planning is advisable at this stage.

10. Create a Financial Plan

And now comes the most exciting part for investors- a financial plan. The figures in financial statements are helpful in determining the viability of your business idea. So this section holds a considerable weightage in terms of whether you will get funding or not.

To ensure you create a comprehensive bakery financial plan , including financial projections for these key components:

• Cost of starting a bakery shop
• Sales forecast
• Revenue projection
• Operating expenses
• Pricing strategy
• Income statement/ Profit & Loss statement
• Break-even analysis
• Cash flow statement
• Balance sheet
• Business ratios

In this section, you will also evaluate your funding requirements and identify the funding sources for your business. i.e. bank loans, SBA-guaranteed loans, angel investors, and personal savings.

Having realistic financial projections at hand will help you realize your financial goals while evaluating the sustainability of your bakery business.

However, creating the projections for all these elements from scratch can get overwhelming. Additionally,  you also need to work on visuals and graphs to add impact and clarity to your plan.

Well, there is an easy way. Create your plan with the Upmetrics Financial forecasting tool . This tool will generate key reports and visuals that can be easily downloaded and added to your plan.

We hope this sample plan will guide you in writing a perfect business plan. Now, let’s move forward and check the industry trends ruling the bakery world.

Bakery Industry Highlights 2023

Before you open a bakery, here are some latest highlights from the bakery industry, you may find helpful:

• Bakery market size: The US bakery market size was valued at $99.47 billion dollars in 2023. It is projected to grow at a CAGR of 2.08% between 2023-2028.
• Retail Bakeries: According to IBIS World , there are 8,780 independent retail bakery shops in the US.
• Bakery consumption: In 2022, Americans consumed 8.6 billion kilograms of cake and pastry goods, a sizable amount compared to other countries.
• Bakery trends: There is a growing trend of providing healthier alternatives, i.e. gluten-free baked goods in the bakery market. The organic and gluten-free baked goods market grew by 2.45% in 2022.
• Market Saturation: 55% of commercial bakery revenue in the US is generated by 3 major players- Grupo Bimbo, Flower Foods, and Campbell Soup.
• Specialty bakery market: The US Specialty bakery market share is expected to grow by 10.54 billion US dollars by 2026.

Download a sample Bakery business plan

Need help writing your own bakery business plan? Well, download our bakery business plan pdf and write your plan section-by-section with utmost precision.

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Frequently asked questions, what should be included in a bakery business plan.

An effective bakery business plan must include:

• Executive summary
• Business overview
• Industry and competitors analysis
• Bakery goods and services
• Bakery design and layout
• Operations plan
• Key management team
• Financial bakery plan

How long should my bakery business plan be?

A bakery business plan should be not more than 15-20 pages including graphs, visuals, and charts. You are likely to lose the interest of investors with a lengthy plan. However, keeping it extremely short is also not favorable, as it would not cover important details. So try using crisp content for your business plan.

Can a bakery business plan template help in setting clear business objectives and goals?

Absolutely yes. A template offers a variety of prompts that will help you to write each section clearly and cohesively. Moreover, you will get a variety of bakery-specific examples that shall help in clearly determining your goals and objectives.

Do I need to have financial projections in my bakery business plan?

Yes, financial projections are important to assess the viability and profitability of your business idea. If you are planning to seek investor funds, this section is of crucial importance. Investors will evaluate the financial section and determine whether to invest or not.

Can I use the same bakery business plan template for different locations?

Yes, you can. However, you need to alter the content of your business plan for different locations and target markets by making specific modifications.

About the Author

Vinay Kevadiya

Vinay Kevadiya is the founder and CEO of Upmetrics, the #1 business planning software. His ultimate goal with Upmetrics is to revolutionize how entrepreneurs create, manage, and execute their business plans. He enjoys sharing his insights on business planning and other relevant topics through his articles and blog posts. Read more

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How to Write a Business Plan for Baking Business

Published 03.07.2023

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Creating a solid plan is of paramount importance if you're thinking about starting your own home baking business, no matter how big or small. It's like a roadmap that helps you set goals, prepare for challenges, and get the funding you need.

But hey, if you've never made one before, it can feel pretty overwhelming. Don't worry, though! In this article, we will compose a sample of a home baking business plan and guide you through the essential steps of creating it yourself. We aim to give you all the insights and knowledge in a concise manner to understand what this plan is all about!

Baking business plan definition

Just like any other business plan, a baking business-oriented one is a comprehensive document. Regardless of the venture’s size, a home-based bakery business ought to rely on a solid plan. This way, as a business owner, you will be able to track profitability, attract investments and see ways to improve it. 

• Details about the business’ products and goods;
• Information on target customers;
• Researched data on competitors and the market;
• A marketing strategy;
• Financial projections.

Apart from these, there are other aspects of a home based bakery business plan to consider. Nonetheless, even those mentioned can form the basis for a reliable plan to grow your business.

The importance of a baking business plan

Mainly, it is created to help the owner or entrepreneur think through all the important aspects of the business, identify potential challenges, and come up with a strategy for success. A well-crafted bakery business plan can also serve as a roadmap for the company's growth and development. It can also be used to secure funding if required. Let’s take a closer look at three main reasons why you shouldn’t overlook it.

Reason 1: it provides clarity and focus

Composing a bakery business plan helps you clarify your goals and objectives, as well as focus your efforts toward achieving them. With a good plan in place, you will have enough room to think critically and strategically in several major areas:

• About the market, you are targeting;
• About the products you are offering;
• About the resources, you need to succeed.

After all, a clear understanding of your baking business's mission and vision can help guide your decisions and actions. Not to mention how helpful it is in ensuring that you stay on track toward achieving your goals.

Reason 2: it identifies potential challenges and solutions

Starting a bakery business plan helps you identify potential obstacles that you may face so that you can minimize any surprises down the track.

The plan allows you to anticipate problems even before they arise and develop strategies for dealing with them.

Overall, identifying future challenges and solutions can help you in several ways. 

• Improve customer satisfaction. Proactively addressing issues before they become problems is highly appreciated by the users. For example, your business plan may include predictions of customer complaints or reactions related to long wait times during peak hours. Hence, it creates room for you to develop an improvement plan for staffing or queue management. By doing so, you can improve the overall customer experience and boost loyalty.
• Minimize risks. Facing potential challenges and working on how to resolve them, you can greatly minimize the risks associated with running a bakery business. For example, a detailed plan can help you identify a potential shortage of certain ingredients and help to secure alternative sources or adjust your menu. By doing so, you can avoid the negative impact that a sudden disruption in your supply chain might have on your business.
• Reduce costs. Developing solutions to potential challenges can also help you reduce costs associated with running your bakery business. For example, you may identify an opportunity to reduce waste and save money by adjusting your inventory management system. By doing so, you can lower your operating expenses and increase your profitability. 

Reason 3: it attracts funding

The financial aspect is another pillar in every business’s foundation. A well-written and detailed bakery business plan can be a powerful tool for attracting funding from investors or lenders. Why? Because it demonstrates 

• That you have done your research,
• That you have a clear understanding of your market and competition,
• That you have a solid plan for achieving your goals with outlined objectives.

On the contrary, it would be difficult to attract any investment if your business is experimental, and it 

• Looks unreliable and doesn’t present something new to the industry,
• Has no clear plan for growth and expansion,
• May not stand the test of time,
• Has too many open issues.

Lastly, learning how to write a home-based bakery business plan sample can also help you estimate the amount of funding you will need. With its help, you can figure out the minimum you need to start the business, an optimal amount to support and run it, etc.

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Now, let’s shift our focus to the essential steps you need to take to create a reliable and cohesive business plan. For even more convenience, we’ll organise them in points and tables. 

Steps to Create a Baking Business Plan

Now that we walked through the importance of the business plan, let’s take a look at the steps to create it. We’ll carefully review each of them and see how they correlate to the entire home based bakery business plan template. 

Executive Summary

This step is the very beginning of the documentation to start a baking business plan. It should be first in the list but written last once you complete all the next parts, just like the contents of a book. 

The purpose of the executive summary is to provide a concise overview of your plan. It highlights the most important information about your business. It consists of the steps we’ll review next.

Business Description

This part of the plan provides a detailed description of your bakery business. Normally, it includes numerous parts. Here are the main ones.

Products and services

In a home based bakery business plan sample, you describe in detail the goods and other products or services you will offer to customers. Let’s take a closer look at the most important aspects of your offering.

Menu/Product List

Obviously, you need to provide a detailed list of the products you plan to offer, including cakes, cupcakes, cookies, pastries, tarts, and any other baked goods. You should include descriptions of each product and flavor variations, including ingredients, portion sizes, weight, and pricing.

Describe the packaging you will use for your baked goods. It includes any branding or labeling. You should also include information about the materials you will use, such as paper or plastic, along with any environmental considerations.

Special Orders 

Describe any special order services you will offer, such as occasion-related customized cakes, cookies, or catering. Make sure to include details about the ordering process, pricing, delivery, and lead times. 

Other Services

This section is dedicated to additional things you plan to offer. It may include baking workshops, cooking classes, recipe books, delivery services, etc. Include all relevant details: scheduling, pricing, and any special equipment or supplies required.

When describing your products and services, it's important to be as specific as possible so customers will rarely have additional questions. Use descriptive language to help the reader imagine the taste, texture, and appearance of your baked goods. You should also consider the preferences of your target market and ensure that your products and services meet their needs and expectations. 

Market Analysis

Each home based bakery business plan template has to include a space for market analysis. Conducting a deep market analysis can help you solve many upcoming issues in the future. Here is what a good analysis includes.

Customer Analysis

Despite being mentioned in previous steps, customer analysis deserves a separate paragraph as it’s an important aspect of the plan. While analysing your potential clients, pay attention to the following details:

• Demographics. To understand users’ needs, you need to turn to their demographics: average income, age, location, etc. This information will help you tailor your products, services, and marketing strategies to their specific needs and preferences.
• Preferences and needs. After analyzing the market, you may start seeing patterns. For instance, some goods are trending upward while some aren’t popular at all. You can highlight the most popular tastes and textures and correlate them to the price. 
• Customer Behavior. Studying their buying behavior can reveal lots of useful things. For example, when are peak hours, how often they purchase baked goods, how much they approximately spend, etc.
• Customer Loyalty. Offering exceptional customer service and even promotions around special events can help you build a solid customer base.

Competitors Analysis

Having a clear understanding of your rivals and their position in the market is crucial to driving your own business to success. In this matter, CakerHQ allows you to monitor competitors at a glance. Apart from your listing, there are dozens of others. Hence, you can easily compare your offerings with theirs and outline your advantages and disadvantages for further optimisation.  

If you wonder where to start your competitor's analysis, there are several checkpoints. First off, in a sample of a home baking business plan, you should draw a line between direct and indirect competitors. 

Direct competitors 

This category represents baking businesses that are located in the same area as you. They offer similar products, services, and goods. They could be other small baking businesses, bakeries, and cafes. They must be your primary focus, as they’re likely to convert your customers. 

Indirect competitors 

This category is called indirect for a reason. It consists of businesses that are slightly different from yours. They may offer different products or target other niches. However, if you find out that your target audience is interested in their offering, you must consider them. Examples of these are supermarkets and bakeries.

After analysing who they are, you will need to shift focus to how they work. You can start by analyzing their strengths and weaknesses and the ways your business is different from theirs.

Realizing competitors’ positives and negatives and differences to your own business and offerings, you can start to build your competitive advantage. In other words, it’s what sets your bakery apart from your competitors. This may include factors such as unique products, high-quality ingredients, or personalized customer service.

Management Plan

The management plan’s mission is to outline all possible processes your business operations consist of. Essentially, it should include:

A management team

Make sure you identify key personnel’s goals and responsibilities in managing your business. This includes their qualifications, salary, experience, etc. If you run your own business, describe your own responsibilities and activities that you delegate or plan to outsource.

Organisational structure

Outline your business structurally, including the roles and responsibilities of each member of the management team. This will help ensure that everyone understands their position and responsibilities within the company.

Personnel plan 

Identify the number of employees you plan to hire and their roles and responsibilities. This should include both full-time and part-time employees.

Staff training and development

Outline your plans for staff training to ensure that all employees are adequately trained and equipped to provide high-quality products and services.

Compensation and benefits 

Define your compensation and benefits package for your employees. This should include salaries, bonuses, health insurance, retirement plans, and other benefits.

Management policies and procedures 

Define your management policies and procedures, including your code of conduct, employment policies, safety policies, and other relevant documentation.

Operation plan

This plan is intended to outline the day-to-day operations baking venture. It typically consists of several aspects. 

• Production process. Describes your production processes, including the steps involved in baking, packaging, and storing your products. 
• Inventory management. Outlines how you will manage your inventory, including how you will track ingredients, supplies, and finished products. This should also include information about how you will manage waste and spoilage to minimize costs and maximize profitability.
• Quality control. Defines your quality control processes to ensure that your products consistently meet high standards. This may include regular testing, inspections, and employee training.
• Operating procedures. Outlines your hours of operation, staffing requirements, and customer service policies. 
• Suppliers and vendors. Contains a detailed description of those who supply ingredients, packaging materials, and other supplies needed to run your business. 

Logistics plan

In the business plan for bakery, this section contains details about everything related to the distribution of your products. Traditionally, here are the four most important logistical aspects you should consider. 

Transportation

This section outlines how you will transport your products to customers. This may include in-house selling, takeaway or customer collection, or shipping by courier services.

Explain how you will package your products, including the materials used and the design. Your packaging should protect your products and be visually appealing to your customers.

Distribution channels

Define how you will sell your products to customers. This may include selling directly to consumers at your business premises, through online ordering, or through third-party retailers. 

Order fulfillment 

Outline your order fulfillment process, including how customers will place orders, how you will process and fill those orders, and how you will handle returns or customer complaints.

Marketing plan

To build a thriving business, you need to advertise it regularly and invest in marketing. Accordingly, the marketing plan has a significant place in your cake making business plan. Here’s what it usually consists of.

Value proposition 

Your baking business' value proposition is all about making it unique compared to your competitors. By crafting a strong value proposition and using effective marketing strategies, you can easily communicate your unique qualities right to your target audience. 

Branding and messaging

Putting effort into your business’ name, tagline, logo, and key messages can make a gigantic impact on attracting customers both online and in person. It helps you to build a recognizable brand and ensures consistent communication across all your marketing platforms.

Marketing channels

You can think of setting up social media accounts on the most popular platforms like Instagram or Facebook to showcase your delicious treats. Sending out weekly newsletters through email marketing is another great way to reach your customers. By the way, hundreds of customers are searching for you on CakerHQ!

Promotions and advertising

Make sure you think about the exciting promotions and advertising tactics you’ll use to boost your sales. You can try offering discounts, coupons, and loyalty programs to entice your customers. It’s also important to include how you’ll measure the success of your marketing efforts. You must create a clear understanding of what works best for your business and what needs improvements.

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Financial plan

Lastly, the finishing part of your plan is financial management. It may look quite overwhelming, but we will break it down into several manageable steps. 

Revenue projections 

Estimate your revenue for the first year. Break it down by product or service, and be sure to base your projections on realistic assumptions. Consider factors like seasonality, overall competition, and market trends to get a clear picture.

The cost of goods sold 

The COGS metric is commonly used in business finance. It includes the initial inventory and purchases during a specific period minus the amount at the end of that period. You'll also consider the costs of ingredients, labor, packaging, and other production-related expenses.

Operating expenses

Having a clear vision of your operating expenses is essential. These include things like rent, utilities, marketing, insurance, and other overhead costs. Estimate these expenses for the first year and break them down on a monthly or quarterly basis. 

It’s important to set your prices to reflect your hard work, experience, and costs associated with your delicious bakes.

Profit and loss statement

The profit/loss statement is a valuable metric that displays your revenue, COGS, and operating expenses. It helps you calculate your net profit or loss for each month or quarter. This statement will be quite handy in predicting your business growth in the long run.

Break-even analysis 

This analysis is crucial to ensure you stay afloat in the market. It helps you determine the minimum amount of revenue you need to generate in order to cover your costs, break even, and start earning profits. It's a vital analysis to keep your business afloat.

In conclusion, we hope we have provided detailed insight into the bakery business plan composition. It is an essential step in starting and growing a successful venture, no matter how big or small you start out, and it can be helpful in numerous ways. 

It provides a roadmap for your business's future and helps you make informed decisions about marketing, operations, and investment. 

By following the steps outlined in this article, you can create a comprehensive home baking business plan that sets you up for success in the competitive yet highly rewarding baking industry. Remember to regularly review and update your plan as your business evolves to ensure that you stay on track and achieve your goals. 

Lastly, feel free to join our thriving community of baking business owners. Not only do we provide a reliable platform for your growth, but also simplify all the administration processes, including bookings, order placing, payments, communication with clients, marketing, and more.   

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Frequently Asked Questions

We are here to help you with most frequently questions.

How much time does starting a bakery business plan take?

Writing a comprehensive plan for a baking business can take anywhere from several hours to a few weeks. The time frame depends on factors such as business size, level of detail, and market research. It may be time-consuming, but a thorough plan is crucial for setting up a successful business.

How to make a business plan for a home based baking business?

To create a home based baking business plan, consider local laws and regulations, develop a marketing strategy, and create a financial strategy with revenue projections. Don't forget to include information about your products and target customers, as well as the equipment and staffing needed for operations and financial plan

What should be included in the home cake baking services business plan?

A bakery business plan should include an executive summary, business description, market, customer, and competitor analyses, management, operation, logistics, marketing, and financial plans. The level of detail and length can vary based on the bakery's size and goals.

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Sample Bakery Business Plan For Inspiration

Writing a business plan is a crucial step in starting a bakery. Not only does it provide structure and guidance for the future, but it also helps to create funding opportunities and attract potential investors. For aspiring bakers, having access to a sample bakery business plan can be especially helpful in providing direction and gaining insight into how to draft their own bakery business plan.

Download our Ultimate Bakery Business Plan Template

Having a thorough business plan in place is critical for any successful bakery venture. It will serve as the foundation for your operations, setting out the goals and objectives that will help guide your decisions and actions. A well-written business plan can give you clarity on realistic financial projections and help you secure financing from lenders or investors. A bakery business plan example can be a great resource to draw upon when creating your own plan, making sure that all the key components are included in your document.

The bakery business plan sample below will give you an idea of what one should look like. It is not as comprehensive and successful in raising capital for your bakery as Growthink’s Ultimate Bakery Business Plan Template , but it can help you write a bakery business plan of your own.  

Bakery Business Plan Example – Home Sweet Home Baked Goods

Table of contents, executive summary.

• Company Overview

Industry Analysis

Customer analysis.

• Competitive Analysis

Marketing Plan

Operations plan, management team, financial plan.

Home Sweet Home Baked Goods is a home-based bakery in Bend, Oregon that has been operating successfully for the last 3 years. Founded by talented baker Jill Davis and her husband Sam, Home Sweet Home Baked Goods specializes in creating custom cakes, cupcakes, pies, and other desserts from scratch. Now that their business has grown and they have expanded their customer base, Jill and Sam are looking for funding to open a brick-and-mortar storefront location in Bend.

The new location will be a modern bakery with an inviting atmosphere and welcoming staff. Through the use of high-quality ingredients, innovative recipes, experienced baking staff, and updated bakery equipment, Home Sweet Home Baked Goods is poised to become the premier bakery in Bend. The new store will create jobs for local residents while bringing delicious baked goods to the community.

Home Sweet Home Baked Goods’ mission is to use locally sourced ingredients whenever possible to create unique baked goods of uncompromising quality at an affordable price. With its commitment to excellence and creative approach to baking, the company will provide customers with a unique experience with each visit.

In order to achieve these goals within their budget constraints, Home Sweet Home Baked Goods has put together a comprehensive plan utilizing proven marketing techniques, operational efficiencies, and cost management strategies. By leveraging technology such as social media marketing platforms like Facebook and Instagram as well as partnerships with local businesses, Home Sweet Home Baked Goods has created a strategy for success that will allow them to not only meet but exceed customer expectations.

As part of this plan, we are seeking funding from investors or lenders who share our vision for creating an exceptional bakery experience in Bend. With your help, we can continue our growth while developing long-term relationships with our customers through quality products and outstanding service — all while supporting small business owners in our community.  

Company Description

Home Sweet Home Baked Goods is a home-based bakery in Bend, Oregon that has been operating successfully for the last 3 years. Founded by passionate baker Jill Davis and her husband Sam, Home Sweet Home Baked Goods specializes in creating custom cakes, cupcakes, pies, and other desserts from scratch. The company’s focus on quality ingredients, innovative recipes, experienced baking staff, and updated equipment sets them apart from its competitors.

Home Sweet Home Baked Goods strives to provide customers with an exceptional experience each time they visit the store by using locally sourced ingredients whenever possible. This commitment to excellence has allowed them to expand their customer base across the region, leading them to seek funding for a brick-and-mortar storefront bakery location in Bend that will bring even more delicious baked goods and job opportunities to local residents.  

The Bend, Oregon home-based bakery industry is a booming sector that has seen significant growth in the last three years. According to figures released by the Oregon Department of Agriculture, retail bakeries generated over $200 million in sales in 2019 alone, up 8.3% from 2018. The number of establishments operating within the state has also increased, with seven new businesses opening their doors in 2019.

The majority of these bakeries specialize in cakes and cupcakes, though some offer other items such as pies and donuts. The market for specialty items is particularly competitive, with many bakeries offering custom designs that cater to specific dietary needs or themes. This demand has encouraged a larger variety of offerings from existing businesses and attracted more upstart shops to enter the market.

Bend’s bakery scene is driven by its large base of tourists and university students who often seek out unique treats while visiting the city. As a result, many local bakeries have developed memorable branding campaigns that target these customers and feature unique flavors or design styles that set them apart from competitors. These efforts have been rewarded with higher rates of customer loyalty, allowing these businesses to enjoy continued success despite an increasingly crowded marketplace.

Despite its popularity as a destination for bakers and dessert lovers alike, Bend also faces certain challenges that may affect business operations going forward. High rent prices are one such issue; with real estate costs on the rise, it can be difficult for small local businesses to secure an affordable space without sacrificing quality or service standards. Additionally, Bend’s seasonal climate – boasting cold winters and dry summers – makes it difficult for certain items such as ice cream or frozen yogurt to remain popular year-round options for consumers.

Overall, however, Bend remains an excellent location for home-based bakers seeking to expand their operations into a storefront setting due to its vibrant culture and lively atmosphere. With proper planning and execution, Home Sweet Home Baked Goods can position itself as a leader in this growing industry while helping bring more culinary creativity and innovation to the area’s residents and visitors alike.  

Home Sweet Home Baked Goods has an ideal target market that includes both local customers and visitors to Bend, Oregon. The company is particularly passionate about providing locally sourced ingredients in its baked goods, making it a natural draw for people who live in the Bend area.

The local demographic consists primarily of working professionals, families with children, retirees, and university students. These customers are looking for high-quality desserts that cater to their individual dietary needs while also remaining reasonably priced. Home Sweet Home Baked Goods’ emphasis on using local ingredients appeals to this demographic as it shows their commitment to supporting the local economy and providing fresher products.

The company also seeks to attract tourists with its innovative recipes and memorable design themes. Tourists often seek out interesting treats while visiting cities such as Bend due to their limited time frames; baked goods created with original recipes can be a great way to provide these customers with an enjoyable experience that they won’t find anywhere else. Furthermore, its custom designs help create an even more unique experience for each customer – whether a visitor or local resident – by allowing them to customize their order based on specific dietary restrictions or preferences.

Psychographically, Home Sweet Home Baked Goods targets individuals who are looking for quality desserts made from fresh ingredients but don’t want to sacrifice taste or convenience. The company is committed to creating innovative recipes that appeal to customers of all ages and encourages its customers to interact with staff members for advice or suggestions when ordering customized items – this gives them an added sense of security when selecting special orders knowing that they are getting exactly what they need from the bakery’s staff of experienced bakers. Moreover, Home Sweet Home Baked Goods’ commitment to using locally sourced ingredients resonates strongly with individuals who value sustainability and ethical production processes; this connection can become even stronger if the company decides to partner with local farms or purveyors when sourcing their ingredients in the near future.

Overall, Home Sweet Home Baked Goods is aimed at professional adults and families looking for delicious yet affordable treats made from quality ingredients as well as visitors interested in finding original recipes while discovering Bend’s culinary scene. By providing customer service excellence paired with locally sourced ingredients whenever possible, the company seeks not only to build a loyal customer base but also to contribute positively towards the overall development of Bend’s culinary industry.  

Competitor Analysis

Home Sweet Home Baked Goods will be entering a very competitive market in Bend, Oregon. The local bakery market is saturated with many established businesses that have been around for several years, offering a variety of products and services. Therefore, the company must assess the competition and identify its strengths and weaknesses in order to create effective differentiation strategies that will allow it to stand out from the crowd.

One of the main competitors in the region is The Baker’s Dozen Bakery, which has been operating since 2000. The business offers a wide range of baked goods such as cookies, cakes, muffins, brownies, doughnuts and more; their prices are slightly higher than those of Home Sweet Home Baked Goods but customers are willing to pay for their quality products. Furthermore, The Baker’s Dozen Bakery has built a strong reputation by catering events in the area as well as providing custom orders for special occasions. In addition to this, they also offer delivery services throughout Bend; while this may not be a major advantage over Home Sweet Home Baked Goods now due to the pandemic-related restrictions on food service industry operations in most areas, it could potentially become an important asset when things return to normal.

Another competitor is Sweeter Things Bakery & Cafe which has been running since 2013. This business specializes in customized cakes made with fresh ingredients; these expensive desserts appeal to customers looking for something extra special for weddings or birthdays whereas The Baker’s Dozen Bakery focuses more on traditional baked goods such as cupcakes and cookies. Sweeter Things Bakery & Cafe also offers delivery services throughout Bend just like The Baker’s Dozen Bakery – again, this could be an important factor once restrictions are lifted.

Finally, there is Kate’s Cupcakery which opened up in 2016 and focuses solely on cupcakes. While this business does offer unique flavors and custom designs that appeal to customers looking for something different from traditional cupcakes (i.e., gluten-free or vegan baked goods), its menu is limited compared to those offered by both The Baker’s Dozen Bakery and Sweeter Things Bakery & Cafe which provides wider varieties of baked goods plus other pastries like pies or tarts. Additionally, Kate’s Cupcakery does not offer delivery services so customers would have to visit the store if they want one of their cupcakes – this could pose a potential disadvantage if other competitors start providing delivery services once restrictions are lifted due to the pandemic situation.

Overall, while all three businesses have great potential they do not necessarily provide what Home Sweet Home Baked Goods plans on delivering: locally sourced ingredients used whenever possible combined with innovative recipes and custom designs catering specifically towards individual needs – all at reasonable prices that appeal both local residents and visitors alike. By leveraging these aspects that differentiate them from other competitors in the area, Home Sweet Home Baked Goods should be able to position itself as a leader in Bend’s bakery industry while still maintaining a competitive edge.

In order to do so, Home Sweet Home Baked Goods must focus on creating an engaging and unique atmosphere that will draw customers in. This can be done by utilizing modern design approaches and incorporating eco-friendly materials when possible as well as providing custom flavors that cannot be found elsewhere in the city. Offering discounts for orders placed online or through their app could also help to attract more customers while simultaneously cutting operational costs. Additionally, they must ensure that their products are of high quality; offering samples and feedback forms at the store are great ways to get customer opinions on what they like or dislike about a particular product – this information can then be used to make necessary improvements as needed or create new recipes. With the right combination of these elements, Home Sweet Home Baked Goods should be able to stand out from all other competitors in Bend and establish itself as the go-to bakery for all locals and visitors alike.

Home Sweet Home Baked Goods is a home-based bakery that offers locally sourced ingredients and innovative recipes. Our goal is to provide our customers with freshly made, high-quality pastries at reasonable prices. We offer custom flavors and designs for special occasions like weddings or birthdays as well as more traditional items such as cupcakes, cookies, pies, and tarts.

To drive foot traffic to our storefront location in Bend:

• Products : We will focus on creating unique flavors (gluten-free/vegan options) along with custom designs catering specifically to individual needs.
• Price : We will offer competitive prices that appeal both to local residents and visitors alike.
• Promotion : We will use digital marketing methods such as a website, social media platforms, and app ads to reach a wider audience. Additionally, we will create promotional offers like discounts (e.g., 10% off orders placed online or through our app) and free samples at the store.
• Place : To ensure quick delivery times, we will focus on developing relationships with local suppliers so that we can get ingredients quickly and efficiently whenever possible. This way customers can be sure that their orders are always freshly made when they arrive.

Home Sweet Home Baked Goods is a home-based bakery that offers locally sourced ingredients and innovative recipes to customers at reasonable prices. We specialize in custom flavors and designs for special occasions such as weddings or birthdays, as well as more traditional items such as cupcakes, cookies, pies, and tarts. As we expand to a storefront location in Bend, our goal is to create an engaging atmosphere that will draw customers in while providing quality products that can’t be found elsewhere.  

Daily Operations:

We will begin each day by prepping the ingredients and baking batches of our products. This includes sifting flour and pre-measuring all other ingredients so that our pastries are made with the utmost care and precision. In addition, we will also make sure to check the expiration date on all ingredients used to ensure freshness. Once this is done, we will start the baking process using various techniques such as panning dough into sheet pans or molds or piping batters onto parchment paper for cupcakes. After baking has been completed, we will package up the products for sale or delivery depending on customer orders. Finally, we will clean up any messes from the kitchen area before closing for the day.  

Milestones to Achieve:

The following milestones will be necessary to ensure the success of Home Sweet Home Baked Goods.

• Develop Relationships with Local Suppliers – We will create relationships with local suppliers to get fresh ingredients as quickly and efficiently as possible.
• Create a Website and Social Media Platforms – We will need to build a website that advertises our products, informs customers about delivery options, and provides contact information for orders. Additionally, we will develop social media accounts on popular platforms like Instagram and Facebook in order to reach a wider audience and engage customers through content marketing strategies.
• Offer Promotional Offers – We will need to create promotional offers such as discounts or free samples at the store in order to draw more customers into the shop.
• Develop Innovative Recipes – We will need to come up with new flavors, designs, and recipes in order to keep customers coming back for more.
• Increase Visibility – We will need to use strategies such as app ads and digital marketing campaigns in order to increase the visibility of our business and reach more potential customers.

By achieving these milestones, we will be able to create a successful storefront location that provides quality products and an enjoyable atmosphere. Our goal is to become a fixture in the Bend community by creating a safe space where people can come together over delicious baked goods.  

The management team at Home Sweet Home Baked Goods is comprised of Jill Davis and her husband Sam. Jill and Sam have been a dynamic duo since they first met in college, and their enthusiasm for baking has helped them to build an empire out of their passion.

Jill is the co-founder and head baker at Home Sweet Home Baked Goods. She is a talented pastry chef with a keen eye for detail, ensuring that every product they produce meets their high standards. She has spent years perfecting her craft, creating innovative recipes with locally sourced ingredients to meet the needs of their customers. Her creativity and skill in the kitchen have earned her renown among local bakers, and she often receives requests from customers to create custom flavors or designs for special occasions such as weddings or birthdays.

Sam serves as co-founder and CEO of Home Sweet Home Baked Goods. He brings his wealth of business knowledge, acting as a strategic partner to Jill by overseeing operations, developing marketing strategies, and securing connections with suppliers. Sam’s dedication to customer service ensures that every customer gets the best possible experience when ordering from Home Sweet Home Baked Goods. His commitment to excellence has enabled them to consistently provide quality products at reasonable prices.

Together, Jill and Sam have turned a hobby into a successful business that specializes in fresh baked goods made with love for each customer who comes through its doors or orders online. Their passion for baking has enabled them to grow from a small home-based bakery into an established storefront location where they can continue providing exceptional products while getting to know their community better than ever before.  

Home Sweet Home Baked Goods is dedicated to providing quality baked goods and an enjoyable atmosphere for their customers. To ensure the success of their storefront, they need to create a comprehensive financial plan that outlines their projected growth and profitability.

In summary, Home Sweet Home Baked Goods’ financial plan is based on the following assumptions:

• Initial Start-Up Capital – We will need to raise initial start-up capital of $30,000 in order to cover expenses such as rent, equipment, and inventory for our storefront location.
• Profitability – We anticipate a 10% increase in sales every month, resulting in a steady growth of profitability.
• Cost of Goods Sold – We estimate our cost of goods sold to be 35% which is lower than the industry average due to our commitment to quality ingredients and competitive prices.
• Working Capital – Our working capital requirement will need to be adequate enough to cover at least three months of inventory, wages for staff, and other operating expenses.
• Financing – We plan to raise funds from a combination of personal savings, investors, and bank loans in order to meet our initial start-up capital requirements.
• Expansion – We anticipate the need for additional space or equipment within 12 months of opening.
• Taxes – We plan to pay estimated taxes quarterly throughout the year in order to remain compliant with federal regulations.

These assumptions will form the basis of our financial plan for Home Sweet Home Baked Goods and will help us to determine how we should allocate funds in order to reach our desired business goals. With this financial plan, we hope to transition Home Sweet Home Baked Goods into a successful storefront business.  

Sample Menu

1. Fresh Bread:

• White Sandwich Loaf
• Whole Wheat Loaf
• Raisin Walnut Bread
• Italian Herb & Cheese Loaf
• Cinnamon Swirl Bread

2. Cookies:

• Chocolate Chip Cookies
• Peanut Butter Cookies
• Vanilla Layer Cake with Strawberry Filling and Cream Cheese Frosting
• Carrot Cake with Cream Cheese Frosting
• Red Velvet Cupcakes with Cream Cheese Frosting

4. Pies and Tarts:

• Apple Pie with Crumb Topping
• Lemon Meringue Tart

5. Specialty Desserts:

6. Coffee Drinks & Teas:

• Cold Brew Coffee

7. Smoothies & Shakes:

• Strawberry Banana Smoothie
• Mango Pineapple Shake

Financial Statements

Balance sheet.

[insert financial statement]

Income Statement

Cash flow statement, bakery business plan example pdf.

Download our bakery business plan pdf here. This is a free bakery business plan example to help you get started on your own bakery plan.

How to Finish Your Bakery Business Plan in 1 Day!

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How To Start a Bakery: Steps and a Sample Business Plan

• Templates & Guides

Want to take your culinary skills to the next level, move out of your home kitchen, and learn how to start a bakery? Good for you!

While the process is really just that simple, there are a number of practical steps you can take to get your new business heading in the right direction — including writing your very own bakery business plan.

In this article, we discuss some of the best things you can do before you even open your doors that can help make your new bakery a success.

Table of contents

How to start a bakery, sample bakery business plan.

1) Gain practical experience

Learning how to start a bakery and writing a bakery business plan are two very unique and specialized activities. Unlike, say, mowing lawns, owning and operating a successful bakery takes a lot of knowledge, experience, and skill.

Before you bake your first loaf for profit, get as much practical experience as possible. One of the best ways to do this is to work in a bakery or similar niche business.

As you do, pay attention to more than just the baking. Note how the business manages its employees , markets its products, provides customer service , and develops its business model.

Learning about these foundational business activities in addition to the bread-baking process can give your new endeavor the best chance for success.

2) Research laws that apply to the food service industry

Starting a food service business of any kind comes with a long list of laws, rules, and guidelines. Whether you want to open a bakery, a coffee shop , a cafe , or a restaurant , you’re going to have to operate under some very high standards.

Before you invest any money in the project, be sure to research the laws that apply to the food service industry in your area and get professional legal counsel.

For example, you may discover that your state requires you to use stainless steel appliances and cookware. Those items can be expensive to purchase and may affect how you spend the rest of your startup capital.

You may even discover that operating a bakery isn’t for you. And that’s OK. If that’s the case, at least you found out before you committed yourself to the project. View it as a learning experience, and use that information to find the business that’s right for you.

3) Consider a specialty

At first, you may be tempted to offer any and all baked goods under the sun — cakes, cookies, muffins, cupcakes, pies, breads, turnovers, and other sweet treats.

But jumping all in at first can make it more difficult to keep your bakery business in the black. Instead, consider a specialty for your business, and write it into your bakery business plan.

Narrowing down what you offer to one or two items — e.g., breads and croissants — can help in two distinct ways:

• It may allow you to focus on making your products the best they can be (rather than spreading your efforts too thin)
• It may help your customers recognize exactly what your business is and give you a boost in carving out market share among your competitors

As you’ll see in the sample bakery business plan later on in this article, All I Want Is Bread chose to focus on bread products so they can refine their recipes and make the best products possible.

4) Get to know your target market

Another important step in the process of starting a bakery is getting to know your customer base (i.e., your target market).

Doing so can provide valuable insight into key variables such as:

• Demand for your baked goods
• Customer demographics (i.e., statistical data relating to the population and particular groups within it)
• How your market will react to your baked goods
• Appropriate price points

Getting to know your target market can also help you identify factors that influence your potential customers’ buying decisions, allowing you to give them what they want and need.

5) Create a bakery business plan

Starting a small business of any kind depends, in large part, on the planning you do before the doors open. You can accomplish a large portion of that planning by creating a bakery business plan for your new endeavor.

Doing so will give you a roadmap or guidebook that can help you deal with the everyday activity of your business that, ultimately, makes it a success.

We’ve included a brief sample bakery business plan below, but you can learn more about everything that goes into this important document by reading these articles from the Sling blog:

• How To Start a Coffee Shop: Step-by-Step Coffee Shop Business Plan

Food Truck Business Plan: The Beginner’s Guide For Success

Here we provide a sample bakery business plan to get you started. We’ve included four of the most important sections in this sample, but there are many other sections you can include in your own document.

Consider this example a “jumping off” point. Use the information as you see fit, customize it to your business, and produce the best bakery business plan possible.

For more information on writing a business plan for a food service establishment, check out this article from the Sling blog: Restaurant Business Plan: What To Include, Plus 8 Examples.

Executive summary

All I Want Is Bread is a new bakery venture that aims to introduce the French boulangerie experience into the local market.

All I Want Is Bread will offer traditional baked goods, including baguettes, pain de campagne, sourdoughs, croissants, pain au chocolat, pain au lait, and turnovers.

All I Want Is Bread will make these baked goods from scratch with high-quality, fresh, locally sourced, sustainable ingredients. This commitment to quality ingredients and sustainable practices will set us apart from the competition

Company description

All I Want Is Bread will be run by Buffy Summers (owner) and Willow Rosenburg (general manager). Ms. Summers owns and operates several businesses in the area, and Ms. Rosenburg has 10 years’ experience managing a boulangerie in Paris, France.

All I Want Is Bread will be located in Sunnydale’s vibrant downtown district within walking distance to office buildings, restaurants, and residential neighborhoods.

All I Want Is Bread will be run as a Limited Liability Partnership (LLP) between Ms. Summers and Ms. Rosenburg.

It is our goal to provide quality bread to the workers, residents, and restaurants in our area. To help achieve that goal, we will also offer cafe-style seating, coffee and other beverages, and free WiFi to encourage customers to stay.

Market analysis

Bakery statistics according to [Source]:

• Industry net worth: $5 billion
• Growth rate: 3% per year over the next five years

As you can see, the bakery industry is a competitive niche, but there are also a number of excellent opportunities for new businesses within that niche.

We believe the key to success is to offer high-quality products, excellent customer service, and a competitive price .

Our target market includes bread lovers of all ages as well as restaurants that want to offer their customers and employees high-quality baked goods made from locally sourced, sustainable ingredients.

Financial Plan

We project that All I Want Is Bread will generate $1.5 million in its first year of operation with a 3% increase each year thereafter for the next three years.

We will achieve these numbers by targeting a 30% share of the Sunnydale bakery market and expect a gross profit margin of 4% in our first year of operation.

Workforce management and your bakery business plan

As you think about how your new company will run, be sure to include workforce management in your business plan.

More specifically, describe the technology you’ll use to help guide and direct your team — whether it’s one person, 10 people, or 100 people.

The Sling app , for example, includes a long list of tools to help make your workforce management as efficient and productive as possible, including:

• Advanced employee scheduling
• Integrated time clock
• Comprehensive communication
• Flexible task management
• And much more

Try Sling for free today to experience firsthand how the software can help you bring your bakery business plan to life.

Then, for more business management resources, help scheduling your employees, and tips for leading a successful team, visit GetSling.com today.

See Here For Last Updated Dates: Link

This content is for informational purposes and is not intended as legal, tax, HR, or any other professional advice. Please contact an attorney or other professional for specific advice.

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Download Now: Bakery Business Plan Templates for 2021

A bakery business isn’t that difficult to start but it comes with a lot of planning. You can’t just release all your baked goods overnight without carefully planning how you’re going to market and sell it. You will need to figure out your menu, where to get your supplies, the costing for each of your baked goods, and how to package them. You will have to jot everything down, lay the groundwork for all your needs, and set goals to meet them.

If your love and passion for baking have made you decide to put up a bakery, then you’re in the right place to figure out how to start on one. As with all other businesses out there, you will need a business plan and we’re here to help you how to make one.

Why Do You Need A Business Plan?

Do you need a business plan for a bakery?

A business plan is a guideline to help you figure out what direction your business is heading and what goals you want to achieve. It’s also a great plan to present to banks if you’re looking for a loan and for potential business partners if you’re looking for investors. But most of all, you need a business plan to help yourself. It will serve as your guide on how to achieve your goals and even compute your possible profit.

By the end of this guide, you’ll be able to draft up your business plan or you can use the template we’ll provide that’s available to download below.

Executive Summary

Start your bakery business plan with an executive summary section. This section is all about providing brief information on your business without getting all the details in. The goal of this section is to get the whole picture of what your bakery is all about at a single glance.

Just 2 to 3 sentences per category should be enough to express your ideas. You’ll get the chance to explain everything specifically in the later part of the business plan.

Introduction

Imagine having a booth at a food fair with dozens of other businesses right next to you. What are the things you can put on your sign that when a customer passes by they’ll be able to figure out what you’re selling in just a couple of seconds?

That is what you are going to write in your introduction. You are going to supply information that’s eye-catching, attention-grabbing, but also sticking to the realness of your bakery.

Related Reading: The 6-Step Marketing Growth Plan for a Home-Based Bakery

Here’s an introduction example you can follow:

Quick Bites is a bakery that offers a new take on the bread scene for New Yorkers on the go. All the buns are stuffed with delicious filling, both savory and sweet to satisfy a hungry tummy in need of that quick snack that’s conveniently packaged to eat on the run.

Just by reading that example, you’ll know that Quick Bites is:

• A bakery that supplies buns with filling that is either savory or sweet.
• Located in New York.
• Catered for people looking for a quick snack.

Capture your reader’s attention by keeping things light yet informative in this part of the business plan.

Company Description

Write a company description.

Every bakery business has a background. You’ll want to include how many years in the making has your bakery idea been going around and who is in charge of it. Will it be a partnership? Will you be doing the baking and managing at the same time? Putting in a little bit of your bakery’s background helps give the reader a brief understanding of what your business’s managing strategy is going to be.

The first thing on your mind when you decided on putting up a bakery is probably the menu. And though that’s quite exciting to draft up at once, you’ll have to decide on the services you’re going to offer first by figuring out what kind of bakery you’re going for.

Here is a guide to choose the type of bakery you want:

• Full service – This includes having your own space with a kitchen and baking area, a display area for your baked goods, and dine-in options with drinks such as coffee or tea.
• Take-out service – This is a type of bakery where you have a small space just to display your baked items and offer a drink or two. Customers can just line up and order your buns to go.
• Online – This type of business does not require any space. This is all done in your kitchen at home. Customers will just place their orders online and will pick them up or have them delivered.

By deciding this early on, you can have a clear image of what your bakery is going to look like and how it will operate.

Customer Focus

Cake bakery display case.

We know what you’re thinking: everyone is your potential customer. And though that is the goal, you still need to list down your target customers so you can focus on a certain product line to sell.

Take for example Quick Bites. As mentioned in the introduction, the bakery is for those who are looking for a quick snack to eat. Therefore, their target customers are mostly working people who do not have time to sit down for a meal and are looking for a convenient yet delicious food replacement while still having the time to work.

Related Reading: 101 Creative Bakery Names You Can Use Right Now

With this focus in mind, Quick Bites’ product line of filled buns fit this category since busy people can eat their buns with one hand only so they can focus on doing other things instead.

Again, be sure to keep this short. You can add in the details later on in the Target Market section of the business plan.

Mission Statement

Every business has a vision no matter how small it is. If you just plan to have a simple bakery up and running, you still have goals to meet. This is how businesses succeed since a mission statement allows owners and staff to be reminded of the direction they’re heading.

An example mission statement for Quick Bites would go like this:

Quick Bites’ mission is to serve a variety of freshly baked bread, particularly buns with different filling, that can satisfy a hungry tummy on the go. Our buns are nutritious and are packed with only real ingredients. No artificial flavors will be used and no preservatives are added. Our bakery is committed to making quick meals that are convenient to eat while working and we ensure that they are also healthy and affordable.

Company Concept

It’s time to get all the details down for your bakery’s concept. Think of it as the longer and more detailed version of your executive summary. This section is quite easy and fun since you can now list everything you’ve planned your bakery to have.

Will you be serving artisanal bread? How about puff pastries? Will you be including cakes? Will you also be offering coffee and tea? Will you be baking on the premises or will you have a commissary located somewhere? What are your operating hours?

All these things are important so list down everything you can think of that discusses what your bakery’s concept is going to be.

Market Analysis

Learn more about Jennifer Jacobs.

At this point, you’re probably wondering why you should care about analyzing the baking industry around you when all you want is to just bake your bread and sell them.

Well, let’s put it this way: baking bread might be easy but the selling part may be a little difficult if you don’t know your target market, the bakery business trend in your area, and the competition around you.

Target Market

Writing down your target market is easy since you already mentioned it above on your Customer Focus section. Just add in more details so you or anyone else who will read this will understand more about which group of people do you cater to.

Include the following in your target market list:

• Working-class or students
• Location (local office workers, neighborhood families, etc.)

Industry Analysis

To ensure your bakery is going to be a success, analyze the trend surrounding this type of business in the area you’re planning to open this up. For instance, if you’re like Quick Bites whose target market is the working class, then you’ll need to check the area around your planned bakery if this is a place where several offices are located.

You may also include a study on whether or not people like artisanal bread or healthy bread. This can help you check whether your planned menu can sell successfully or not.

For online bakery businesses, you can focus on the factors that people tend to look at when they’re ordering food online. This includes:

• The preferred number of days for pre-orders.
• Delivery times and rates.

Competitive Analysis

You’ll have to come to terms with the fact that you’ll have competition once you open your bakery business. That’s not entirely a bad thing. Having competition can help you analyze the prices for your baked items and it would also draw in interest from other potential customers. The trick here is to be better than the rest and that is why you are doing this business plan so you can succeed when you start selling your items.

If you are putting up a physical store, list down the bakeries surrounding your potential location. If you are an online store, you can also compare other online bakeries in your neighborhood.

You may even do a comparison. Write down the top three business names of your competitors, their strengths, and their weaknesses, and see where your bakery stands out.

Management Structure

Knowing the roles each person plays in your bakery business is important. It sets a clear and distinct understanding so that no arguments will happen in the future regarding their duties. This is particularly helpful when you’re in a business with a partnership so there are specific roles and duties indicated per person.

But even if you’re running the business on your own, it’s still important to write it all down so you’re aware of what else you need to do and if you need to delegate some tasks.

Related Reading: Learn how a Culinary Grad Built a $26k/Month Pastry Shop.

You can divide these into the following:

• Management Team – These are the people who will be running the business, those who will be in charge of sales and marketing, bookkeeping, filing and processing of legal documents, research and implementation, and ordering of supplies.
• Bakers – These will include the people in charge of baking your products.

For a bigger bakery with dine-in capacity, you may include these as well:

• Servers – These will include the people who will prepare the food to serve such as reheating bread or assembling them.
• Baristas – If your bakery is serving coffee, these are the people in charge of working the espresso machine.

However, some bakeries have their servers work as baristas at the same time so it’s important to state this clearly so your employees will know their duties.

• Cashiers – These people are in charge of manning the counter for any purchases.
• Clean-up Crew – These will include people who are responsible for cleaning the tables, dishes, and everything else that you need to sanitize your bakery.

Product Line and Services

Cake pops are a favorite at bakeries.

This section is the moment you have been waiting for. This is where you’ll place all the products you are going to offer in your bakery. Be it puff pastries, sandwiches, or artisanal bread, just be sure to write them all down. Be specific and indicate the prices as well.

Aside from your product line, you can include other services you wish to offer. Do you do wedding cakes? How about customized cakes? Would you be willing to supply bread to other businesses? Are you open to catering? Putting this all down in this section will help you organize your thoughts so you can put them into action carefully.

Sales and Marketing

A very helpful way to start marketing your bakery is to combine your target market and product line to bring attention to what you’re selling. For Quick Bites, since their target market is for people on the go, they can push how convenient their buns can be eaten while they’re walking on the street. They can also advertise the many flavors of buns they can offer from sweet fillings such as custard or jam to savory ones such as pepperoni, cheese, or vegetables.

Social media is also a great way to market your business. By putting up nicely photographed images of your bread and knowing the right trending hashtags to use, you can capture a huge number of followers.

But if there’s one marketing plan that’s overlooked by many, it’s taking advantage of the sense of smell. Freshly baked bread is pleasing to the senses and can entice customers to check out what you’re baking. So if you have a physical store, use the delicious smell of your baked bread by letting it waft out into the streets to lure passersby. You’ll be surprised just how fast people will flock to your bakery when you allow the scent of your baked goods to fill them.

Financial Plan

Red rose cupcakes.

We’re now on to the nitty-gritty part of the business plan. This includes where you’re going to get the money to fund your bakery and forecast the expenses and possible profit you’re going to make. Why is this important? It’s so that you’ll know early on if the concept, product line, and proposed services you’re going to offer in your bakery is profitable or not.

Keep in mind that you don’t really need a lot of money at all if you’re just starting your bakery business. As previous guest on the podcast Jennifer Jacobs explained , she spent the first few years operating a home-based bakery business. Jennifer operated her business for years while holding down a full-time job, before opening the doors to her first retail space. This is the path she recommends for other food entrepreneurs too.

Funding Request

The only thing you need to focus on this section is to ask yourself, where are you going to get the money to start your bakery? Whether it is a small online business wherein you’re the only one who will be doing the baking and selling, or it’s a big bakery with dine-in options and lots of staff, you have to be clear where to get the capital for all of this.

Getting a loan from the bank or inviting investors are a few options you can choose. This is also the reason why you’re making this business plan to convince them to give you a loan or to join in funding your bakery.

Financial Forecast

Bakery Food Truck.

You will need to list down all your planned expenses for your bakery. For a simple online bakery business, this includes:

• Refrigerator
• Packaging Materials
• Ingredients (flour, sugar, salt, butter, etc.)

If you are planning to open a physical store with dine-in options, you’ll also have to include these:

• Store signage
• Bread display rack
• Point-of-sale system
• Chairs and tables
• Trays, plates, and cutlery
• Espresso machine

You’ll also need to spend on your advertising materials whether these are in social media or print. The bottom line is, listing down all your proposed expenses can help you forecast the amount of money you need to start your bakery. According to professional bakers we interviewed for this piece, starting up a bakery costs $100,000 and $750,000. With these numbers, you can then set up a budget and start looking around for affordable equipment for your bakery.

Aside from your expenses, you’ll also need to do a break-even analysis so you know if you’ll be able to receive any profit from your proposed product line and services.

Operational Plan

Attention Bakery Founders: Download our Food Business Startup Kit for Startup Templates

Writing all your plans down is one thing but to set up a timeline for your operations is another. This sets the gears in motion for when you plan to execute your business.

Do a simple timeline following this example:

Date Plan [Insert Date Here] – Finalize the design and layout of the bakery and secure all rental documents such as permits and business registration.[Insert Date Here] – Start construction.[Insert Date Here] – Hiring and training of staff. You may also start advertising your bakery’s products and opening date.[Insert Date Here] – Start operations for the bakery.[Insert Date Here] – Achieve goals and reach break-even.

This is an example of a physical bakery store. For online bakeries, your timeline should be shorter and simpler.

This section is where most of your documentation to back up your business plan is included. You can also add photos of your bakery’s layout, your proposed design packages, and payroll plans.

Download Templates

Here are templates and real bakery business plan examples you can use as inspiration to setup your own business structure. These are available for download in PowerPoint, Google Docs, and PDF files.

• Bakery Business Plan PowerPoint  
• Bakery Business Plan Google Docs 
• Bakery Business Plan PDF
• If you are planning to open a physical store, be sure to delegate tasks. It’s fun to be hands-on with everything going around your bakery but you can’t manage the counter and be the baker at the same time. So appoint specific people for different roles but also have them multitask so you don’t hire too many people.
• Plan your menu accordingly. You do not want to bake a lot of bread and let them go to waste at the end of the day. Study the foot traffic around your area as well as your possible bestselling item. For instance, if Mondays are the busiest, then maybe you can double up on your recipes for a certain bread that everyone seems to like best. But you can slow it down on Tuesdays and focus on other items instead.

Don’t be intimidated in starting up your bakery and making this business plan. The point of the business plan is that it’s supposed to help you go through the finer details of your bakery. If the whole bakery business plan seems too complex for you then you just failed in understanding the purpose of it. It has to be easy to read and understand because it will serve as your guide.

Where are you planning to open your bakery? We’re just as excited as you are for this new adventure and look forward to hearing about the plans you put in place. Don’t forget to sign up for our free Food Business Startup Kit for exclusive interviews with bakery founders.

Want to start your own food business?

Hey! I’m Brett Lindenberg, the founder of Food Truck Empire.

We interview successful founders and share the stories behind their food trucks, restaurants, food and beverage brands. By sharing these stories, I want to help others get started.

If you liked this story, sign up for our newsletter that includes our food business startup kit and most popular interviews sent straight to your inbox.

Know someone interesting that should be interviewed on the website? Tell us about them here. 

About the Author: Brett Lindenberg

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How To Write A Bakery Business Plan?

• Updated on May 11, 2023

Are you on the edge of starting your own bakery shop ? Owning a bakery can be hard. However, before you start baking and selling delicious goodies, you need to create a bakery business plan. A business plan is a complete document that outlines your bakery’s goals, strategies, and financial projections. In this blog, we will help you on how to write a baking business plan.

Table of Content

Bakery business plan.

• The Sections of a Bakery Business Plan

How to Promote a Home Baking Business?

Sample bakery business plans, what is the long-term potential of the bakery business.

• What is the Benchmark Profit Margin in a Bakery Business?

Before we dive into the steps on how to write a business plan , let us first define what a bakery business is. A bakery is a food service establishment specializing in producing and selling baked goods such as bread, pastries, cakes, and cookies. Bakeries can vary in size. They can be either small home-based businesses or larger commercial operations.

A bakery is a food service establishment , but it is not just any restaurant or food establishment. Bakeries specialize in baked goods and desserts, which makes them a unique business. Unlike restaurants that may have a broad menu, bakeries typically focus on specific items like pastries, bread, cakes, and cookies.

What should include a Bakery Business Plan?

Summary of patisserie business plan.

The summary is the last section of your baking business plan and it’s the most important part of the baking business plan. Patisserie business plan gives readers an overview of your bakery business, including your mission statement, target market, products or services, and financial projections. The executive summary should be compelling enough to entice the reader to continue reading your business plan.

Business Description of Patisserie Business Plan

In the business description section, you should describe your bakery business in as detail as possible. This includes the type of bakery you want to open (e.g., bread shop, patisserie), the location, the target market, and the unique selling proposition of your bakery.

Market Analysis of Bakery Business Plan

In the market analysis section , you should conduct thorough research on your target market, industry trends, and competitors. You need to understand your customers’ needs, preferences, and buying habits to produce the right product and develop marketing strategies that customers like. Because of these reasons making a market analysis for your baking business plan is crucial.

– This image is created from Business Plan Excel Template by Someka –

Products and Services of Patisserie Business Plan

In the products and services section, you should describe the baked goods and desserts you plan to offer, including their ingredients, flavors, and pricing. You can also discuss any special promotions, seasonal products, or custom orders you plan to offer.

Marketing of Bakery Business Plan

In the marketing, you should describe how you plan to promote your bakery business and make customers come to your place. Baking business plans one of the most important parts is the marketing of the baking business plan . This includes advertising, social media marketing, word-of-mouth referrals, and customer loyalty programs. What’s included in the business plan for the bakery business

What should a business plan include?

A baking business plan should include the following sections:

• Business Introduction
• Organization

Making your plan clear, concise, and well-organized is essential. A proper business plan will not only help you secure financing but will also serve as a guide for your bakery business’s success .

Starting a home baking business is an excellent way to turn your passion for baking into a profitable home baking business . However, promoting your home baking business can be challenging. That’s why you will need a home bakery business plan .

Additionally , Someka’s home baking business plan can help you from starch with your home baking business. Home bakery business would be closer to the baking business plan. The only difference about the home baking business plan would be the costs and placement. Also, you need time planning how to promote a home baking business .

The best way to promote a home baking business is through digital media. You can search for how to promote a home baking business and you will see social media first.

There are so many people searching for how to promote a home baking business. You should look for digital media and spend some marketing budget on them. In this way, you can promote your home baking business.

You can find so many different options for sample business plans . Someka’s free business plan option is the best. Also, we update the business plan for bakeries. In summary, you can download our sample baking business plan for free and try it! In this way, you can gather information about sample business plans and start writing your own business plan .

The baking business is sustainable long-term work to do since we all eat bakery products . So, there was always demand for it and there will be.

That’s why opening a bread shop in a nice location, will be a profitable business.

– This image is the NPV & IRR Calculation sheet from Bakery Financial Model Excel Template by Someka –

Where Can I Download a Bakery Business Plan Template?

Firstly, you can download a a ready to use template for your bread shop feasibility.

How to start a bakery business?

You can start a bakery shop by creating a bakery business plan. Writing a bakery business plan may seem daunting, but it’s essential to have a roadmap to follow to ensure the success of your business.

What is the benchmark profit margin in a bakery business?

Finally, the Net Profit Benchmark allows business leaders to evaluate if their costs and productivity are under control, just as other performance metrics. Thus, a reliable benchmark for evaluating a bakery business’s success is the Net Profit Benchmark. Owners choose the amount they pay themselves, therefore Net Profit (bos) is used as a way to normalize the results for comparability.

For instance, a low Net Profit result suggests the cost of goods, operating costs, and employee productivity need more examination. The prospect for expansion and investment may be indicated by a high net profit, though.

Recommended Readings:

What must an entrepreneur do after creating a business plan?

How to start a business successfully?

Related Posts

Opening a Bakery?

How to write a bakery business plan (fast), step by step (actionable) case study.

Think you are the next great baker? Well, you’ll need a business plan! That’s why we have put together a detailed Bakery Business Plan example for you to take ideas from.

There’s only one thing whose aroma is sweeter than the cakes you’ve baked or the bread you’ve made… and that’s the smell of a successful business!

Bottom line…

If you want to get baking with this business plan…

#1 Bakery Business Plan Sample – Executive Summary Section

The Executive Summary section of your business plan outlines what your business does. It summarizes the company’s key points and introduces the rest of the business plan content.

The Executive Summary is incredibly important because it might be the only section a busy person reads; so it should always include:

• Who the company is – In the Company section of the executive summary, we’ve talked about the key staff member and the expertise and experience he brings to the table, as well as the proposed project and the opportunities it will bring to the local area.
• What we sell – What the problem is and how The Bakery Company plans to solve the problem.
• Target Market – Who your customers are going to be.

So, if you’re looking at starting a bakery business or simply looking for a cake shop business plan, this guide will give you all the ideas you need to write a complete business plan for bakery products.

Check it out and feel free to lift anything you want.

The #Executive #Summary outlines what your business does, summarizes your key points, and prepares investors for the rest of your #businessplan. It’s vital you provide a solid case for your business idea, which is why your #executive #summary is so important! Tweet

Executive Summary

The Bakery Company is a cake and sugar sculpture company based in Chicago. Owned and run by innovative baking and sugarcraft entrepreneur Ali Baker, the company offers a wide range of products and services to a broad client base. Ali is looking to develop more products in her range, and to introduce these into retail outlets and other suppliers nationwide. She also plans to take the entire brand nationwide over the next few years, and is seeking investment to help her do this.

What We Sell

In addition to couture cake designs, The Bakery Company offers a wide range of delicious and innovative products that are unique to the brand – and which are currently not being offered elsewhere in the region. There are other cake companies in the region, but Ali is looking at ways to diversify so that her brand stands out. One of these ways is to specialize in unique sugar sculpting designs that offer a lifelike effect, rather than the cute and cartoon-based offerings of her competitors. This approach has been a real success with clients, and more and more orders are been received thanks to this innovative approach to sugar sculpting.

The Bakery Company also offers baking and sugarcraft workshops for adults and children – and these are proving a real hit, especially given the appeal of baking right now thanks to the many bakery shows on TV.

Who We Sell To

The Bakery Company has a broad and very diverse range of clients. This really is a company that has something for everybody and which appeals to all ages.

From the bride and groom looking for a stunning bespoke couture wedding cake to the stressed parent looking for a unique and fun party idea for their child, Bakery Company can offer it all. Corporate clients also make up a large part of the client base, and Ali is exploring more services to offer corporate clients, such as sugarcraft workshops as teambuilding events.

From a product perspective, The Bakery Company’s Pick ‘n’ Mix Brownies make up a large proportion of sales, and are always sold out at wedding fairs and other marketing events. This is an area that Ali would really like to push out to mass market, and which has real potential to be taken on board by retailers nationwide.

#2 Bakery Business Plan Company Profile Section

The Company Profile section in this small bakery business plan sample can also be identified as your Company Description.

If it’s well written, your potential investors will find easy to understand your business model, your mission and goals, and how it’s going to meet the needs of your target market.

So whether it’s a cupcake business plan, an online bakery business plan, or pastry shop business plan you’re after, we hope you find the following information useful.

For the purpose of this business plan, we’ve included the following:

• The Company and Management Team
• Location and Facilities

Mission Statement

Company Overview

The Bakery Company was launched in 2014 by Ali Baker. The company is run from Ali’s home and there are currently no other locations in operation, although venues have been hired in the past for various workshops.

The address of the business is: Ali’s House, Chicago, USA.

The business is currently operating from a home kitchen and office, and is owned and run by Ali Baker. Ali is the sole Managing Director, but there are plans to employ more staff as the business grows.

Management Team

Ali is currently the sole member of the management team at The Bakery Company, and is responsible for all business operations. As a highly skilled professional, she is passionate about the business and in building a household name that is synonymous with innovation, quality and creative flair.

Ali has a deep interest in the science behind baking and sugar sculpture, as well as the art of baking. Her expertise as a patisserie professional, sugar artist, chocolatier, chef and food writer, has helped her get the company noticed and build a strong reputation. She also ensures she keeps up to date with the latest food industry trends so that she can stay ahead of her competition and meet market needs.

Creativity is strong at The Bakery Company, and assistance may be needed from a marketing and business growth perspective. Ali is hoping that any potential investor will be able to act as a mentor and give advice on how best to move the business forward.

As the business grows, Ali will be looking to recruit more staff.

Locations and Facilities

At present, The Bakery Company operates solely from Ali’s home kitchen and office. This works well at present, and also saves on costs associated with renting accommodation. However, as the business grows, alternative accommodation will be sought. This may be in the form of a dedicated business premises, or the company may look to secure space within hospitality venues such as hotels.

Tagline: Mouthwatering masterpieces enrapturing palates and capturing the imagination.

Mission Statement: A passion for creativity and innovation is at the heart of everything we do here at The Bakery Company. Our mission is to provide our customers with uniquely designed, lovingly crafted cakes for all of life’s celebrations. Our artisans are dedicated to providing a simple, friendly and affordable way to order cakes, learn new skills and enjoy delicious handmade treats. From the gloriously traditional to the utterly mindblowing, there is no limit to our creativity and commitment.

A #mission #statement is a short statement of an organization's purpose and shows the goal of its operations: what kind of product or service it provides, its primary customers or market, and its geographical region of operation. Tweet

Company History

The Bakery Company first opened its oven doors in 2014, and since then owner and entrepreneur, Ali Baker has taken the company from strength to strength. What started out as a casual home business supplying cakes to friends, has now grown to a thriving business supplying services and products to a wealth of different clients including brides, parents, children and corporate clients.

The company is operated from, and has always been operated from Ali’s home, but once the company grows, the plan will be to move to larger, permanent premises. At present, with the current volume of orders, the home kitchen and office set up is sufficient, not to mention cost effective.

Since The Bakery Company first started, more products and services have been added, including:

• Wedding cakes Celebration cakes Corporate cakes
• Cupcakes and Pick ‘n’ Mix Brownies
• Sugar Sculpture workshops for adults and children

Ali has also invested in good quality branding and design for the company, and this will really help the company to stand out and attract attention.

#3 Bakery Business Plan Products & Services Section

The Products and Services section needs to be much more than simply a list of what your new business is going to provide.

This is especially important if you’re looking to get funding; so make sure that you showcase the value, the quality, and the benefits of your business.

Ask yourself:

• What sets you apart from your competitors?
• Why would people buy from you as opposed to your competitors?

Here’s the example.

Products and Services

The Bakery Company produces a wide range of homemade, hand crafted and bespoke products, and runs a number of workshops for children and adults. Below is a detailed summary of each product and service, and the benefits it provides to customers.

Bakery and Sugar Confectionery

Celebration Cakes

• Wedding Cakes including Bakery Company Signature Cakes and Tiered Wedding Couture Cake Sculptures
• Pick ‘n’ Mix Brownie Bites (sold by the bag) Triple Chocolate Brownie Bites (sold by the bag)
• Double Chocolate Chip Brownie Slab (sold by the bag) Big Bonkers Brownie (sold by the bag and box)

Pick ‘n’ Mix Wedding Brownie Bars

• Wonka Wedding Bar – A great way to keep the children amused at weddings. Everything is supplied including a Willy Wonka style cart serving  scrumptious brownie bites, four sweet options, and one topping sauce.
• Cake Cocktail Bar – Who says kids get all the fun? The cake cocktail bar offers guests six different candy/chocolate shard options, two toppings, and The Bakery Company’s delicious gluten-free brownie.

The Bakery Company Workshops

• Children’s Cake Decorating And Sugar Workshops – What a great alternative for a children’s’ birthday party! The Bakery Company supplies all the fun, and each child gets to take home their wonderful creations as well as the obligatory party bag and their own Bakery Company character.
• Adult Sugar Sculpture Workshops – At the sugar sculpture workshops, The Bakery Company shares techniques and useful tips on how to make life-like cake.

Competitors

The baking and confectionery industries are fiercely competitive, and right now even more so thanks to the baking revolution that has taken the US by storm. Ali is very aware of the competition in the marketplace which is why she has taken her brand in a completely different direction, offering customers something unique and not available from any of her competitors.

Her lifelike sugar sculptures are extremely popular with customers looking for an alternative to cute or cartoon-like character sculptures. As a result, Ali is earning quite a reputation for this style, and plans to develop this technique further. Flavor is something else that really stands out, and Ali experiments with many exciting flavor combinations to give her clients the wow factor and a unique twist on more traditional options. All products are made at home using the freshest ingredients that are selected from local suppliers wherever possible.

The company also offers a gluten-free range which Ali is very passionate about, being gluten-free herself. She has worked hard to develop a gluten-free cake that doesn’t compromise on taste or texture – a common problem with other gluten-free products.

Product & Service Development

Product development is something very close to Ali’s heart, and she will be looking to develop more innovative and creative products in the future.

A new website will also be launched shortly and will detail all products currently available. Customers will be able to place orders, make bookings and send enquiries.

Sourcing and Fulfillment

The Bakery Company uses a number of suppliers that are used on a regular basis. There is no agreement in place with one supplier. Due to the variety of products that are required by the business, it would be quite difficult to source from one supplier. However, Ali does review price points to ensure she is getting ingredients and sundry items at a competitive price, and many items are bought at wholesale price.

The company relies on the skills of Ali Baker to carry the brand forward and provide products and services. At present the only technology in use is a home computer on which invoicing, social media updates and other administrative business tasks are carried out. The company will also rely on a website and social media channels to attract new business and connect with customers and followers.

Intellectual Property

The Bakery Company is in the process of being trademarked.

#4 Bakery Business Plan Situation & Market Analysis Section

This section of a business plan is very often glossed over because more often than not, the business owner is so involved within their business, that it doesn’t occur to them that they can learn something by writing this down!

This section is one of the most important aspects of your Bakery marketing plan.

In fact, it defines where you currently are in terms of your market, product, customers, and competition. It also allows you to look at both internal and external factors and to review and document the strengths and weaknesses of your business, as well as identifying any opportunities and threats within your marketplace.

It can include:

Market Overview

Market needs, market trends, market growth, industry analysis, key customers.

• SWOT analysis

Here’s our example.

Your #Market #Analysis section of a business plan is one of the most important aspects of your marketing plan. It defines where you are currently in terms of your market, product, customer, and competition. Check out this example in our #Bakery #BusinessPlan! Tweet

Target Market

One of the great things about The Bakery Company is that it really offers something for everyone. Ali has really taken the time to think her target market through, and there is no demographic she has left out.

Catering for all ages from 4 upwards, the company targets and sells to mostly women, but appeals to anybody looking for unique cakes, a fun twist, or an enriching learning experience.

While the younger generation love children’s cakes, cupcakes, pick ‘n’ mix brownies and the brownie bar, older customers are more interested in sophisticated cake creations, cakes for corporate events and learning how to make their own stunning cakes and sculptures at home.

Cake couture trends are very much affected in the same way as fashion couture trends. Right now, hand painted cakes are very much the “in” thing, but this will change in time. Ali prides herself on keeping up with the latest trends, and of course catering to the unique needs of her target audience.

The Bakery Company solves a wide range of problems that customers experience. Here are just some of those solutions:

• Customers often lack the skills and time to create a cake to the same high standards of a professional couture cake. For that reason, they will approach The Bakery Company for a bespoke design that is sophisticated, authentic and which they would be able to find anywhere else.
• Creativity and innovation is very strong within the company, and everything produced is a unique design. Ali does not offer basic, “off the shelf” style cakes and instead focuses on the extraordinary and ground breaking.
• The company produces some of the best gluten-free products. Being gluten-free herself, Ali has mastered the perfect recipe without compromising on taste or texture. This is a huge market to leverage and more products will be introduced as the company expands.
• Workshops are offered at an extremely high standard and structured to make people believe that anything is possible with a little imagination and time.

Other similar companies in the region simply aren’t offering this bespoke, high-quality service or such a diverse range of innovative products. Consumers are always looking for that little something extra that is going to make their event stand out from the crowd and be remembered for all the right reasons. It is these little innovative details that Ali strives to offer.

As mentioned previously in the business plan, this is an industry that never stays the same, and trends are driven very much by consumer demand. As a result, Ali constantly reviews and evaluates the products and services she offers to ensure she stays ahead of the competition and provides what her customers want.

In order to keep up with the latest market trends, she has also signed up with a number of newsletters from industry leaders and innovators and has joined a number of organizations including The Chicago Weddings consortium, The Sugar Craft Guild, Cake Decor and Made in Chicago. These organizations often hold local and national events at which The Bakery Company can exhibit.

Social media can also often highlight shifts in market trends and a close eye will be kept on the company’s social media channels to see what people are talking about, and what is hot right now.

Celebration cakes have been an integral part of Western life since the 19th century. Today, no party or wedding would be complete without a stunning baked creation taking center stage. Since hit TV show, ‘The Chicago Bake Off’ aired in 2012, the US has been taken over by something of a baking revelation, and this is great news for businesses like The Bakery Company. Ali wants to take this baking fever one step further, offering customers sophisticated and innovative cakes that are one-of-a-kind couture creations, and something that simply cannot be found elsewhere.

Consumers no longer want supermarket birthday cakes, or a traditional wedding cake. Today, it is about the wow factor and creating cakes that are showstoppers all on their own. It is this passion that The Bakery Company wants to promote, in both its products and its workshops, as well as showing that the only limit is the imagination when it comes to creating a stunning cake, brownie or sugar sculpture.

The Bakery Company spans a number of different industries, including hospitality, wedding supplies, catering, and art and education.

Reputation is extremely important for the company as many orders will be placed through word of mouth and repeat business. The website will also play a big part in the marketing strategy of the business as will social media and competition entries. Ali has already taken part in a number of competitions, and plans to enter more in the future as this is great exposure for the brand.

Buying decisions will also be very much visually led, and it is therefore important that the business focuses on showcasing products in the most professional and detailed way possible. Professional photography and graphic design will therefore be very important for the marketing process.

As mentioned previously, key customers for the business will span all age groups, and will come from all walks of life. Below are details of each consumer group, and how the company plans to market to these individuals.

Parents and Children

The company offers a range of products and services aimed at parents and children. Birthday parties, brownie bars and workshops are just some of the options available.

Wedding Couples

Every wedding needs a cake, and that cake should be a Bakery Company cake. The company offers a fully bespoke service, plus a range of economically priced, high-quality wedding cakes for couples on a budget.

Corporate Event Planners

The company will target corporate clients to take up products and services such as celebration cakes, the brownie bar – and also workshops as the perfect team-building event.

Party Planners

All parties deserve a splendid celebration cake. From birthdays to anniversaries and graduations to retirement parties, the Bakery Company can provide beautiful bespoke cakes of the very highest standard.

SWOT Analysis

Passion, innovation and creativity are at the heart of the business, and this shows in every product and service the company offers. Unique baked products are often hard to find, and Ali focuses on offering customers life-like sculptures, stunning cakes and techniques they may have not seen before. She is also very enthusiastic to pass on her skills to others, so that they can enjoy the thrill and pride of making something absolutely fantastic for themselves.

She has also taken the time to create a gluten-free cake and brownie recipe that tastes amazing: many recipes lack the right taste and texture, and this was a problem Ali was very committed to solving. The gluten-free market is huge, and with the right marketing and approach, it is a market that could really be capitalized on.

Ali has also invested in the best equipment and in herself by taking a number of highly sought after and respected training courses.

The Bakery Company doesn’t make “cheap” or “boring” cakes. They focus on the extraordinary and unique, rather than run of the mill cakes that can be found elsewhere. In doing so, there is a slight risk of turning potential customers away, but Ali believes this will only serve to strengthen her brand and reputation as a high-class, fairly-priced cake couture company.

The Bakery Company is new in a very competitive industry. They need to ensure they stand out, and continue to develop the brand.

Opportunities

There are many opportunities open to the brand thanks to the many services and products they supply.

Ali would like to explore working with organizations such as hotels and retail stores, and feel that the brand will really appeal to the mass market, especially the Pick ‘n’ Mix Brownie selection. She will also keep a close eye on her competitors to identify any gaps in the market and customer needs that she can fulfil.

The Bakery Company’s biggest threat is the competition. Ali must ensure that the company continues to keep high standards and build its reputation as one of the best couture baking companies around.

#5 Bakery Business Plan Marketing Strategy & Implementation Section

The marketing strategy section of your business plan describes who your customers are going to be and how you plan to communicate to them the services or goods you are offering.

If your potential customers are not made aware of your business, you are not going to stay in business for very long!

Defining a marketing strategy in your business plan highlights your understanding and knowledge and emphasizes what makes your business concept compelling. It also outlines how you plan to attract and maintain a customer/client base.

• How are you planning to advertise to your market?
• What is your competitive edge?
• What is your sales strategy?

So, without further ado…

Let’s look at the following example.

Strategy and Implementation

With so many products and services on offer at The Bakery Company, the company really does solve a lot of life’s little problems. From finding a wedding cake with wow factor to igniting a creative spark at one of their workshops, The Bakery Company fulfils many different needs for many different people.

Competitors offer similar products and services, but do not focus on innovative and bespoke creations as passionately as The Bakery Company. This difference will be communicated through social media, the website, video marketing and other mediums to attract customers to the brand, especially those looking for something a little unique and extra special.

The Bakery Company offers customers stunning cakes and confectionery at a very fair price that reflects the quality of the finished product. Customers looking for cakes that are more “masterpiece” than “mediocre” will be much happier to pay more, confident that their cake is unique to them and their special event.

Pricing structure is as follows:

• Pick ‘n’ Mix Brownie Bites – Quantity/price = $2.05 per 110g bag
• Triple Chocolate Brownie Bites (Gluten Free) – Quantity/Price = $1.65 per 100g bag
• Double Chocolate Chip Brownie slab – Quantity/Price = $1.55 per 100g bag
• Big Bonkers Brownie – Quantity/price = $5.95 per 600g bag/box

Brownie & Cake Bars

Wonka Wedding Bar: $69.95 – 25 children =$2.79 per child

For the children. Alternative to party bags/wedding entertainer. A eye catching modern twist – Willy Wonka style cart serving 4 different sweet options, 1 topping sauce, and brownie bites.

$20.00 per bar & set up. Time taken 1 hr.

Cake Cocktail Bar: $225.00 for 100 guests

6 different candy/chocolate shard choices, 2 topping choices (raspberry marmalade/chocolate ketchup/strawberry salsa & gluten free brownie bites.

$80.00 per bar & set up. Time taken 2 hrs.

Celebration cakes (round): 6″ basic $30.00 – 8″ basic $40.00 – 10″ basic $55.00 –12″ basic $70.00

Simple designs added start from $10.00/elaborate designs added start from $25.00 per design on cake.

Cake sculpture toppings start from $25.00.

Sugar flowers start from $1.00 per small flower – $2.00 per medium individual flower – $3.00 per large individual flower.

Wedding Cakes

• Tiered Bakery Company Signature These are cakes offered for couples on a smaller budget, yet still want something beautiful & delicious. – per Signature cake – $40-$55 – Time taken per cake = 90 minutes
• Tiered couture cakes – prices starting from $200.00 – Costing from $40.00 – Time taken from 90 minutes upwards
• Tiered cakes – prices start from $325.00 – Costing from $70.00 – Time taken from 90 minutes upwards
• Tiered cakes – prices start from $495.00 – Costing from $100.00 – Time taken from 2hrs upwards
• Tiered cakes – prices start from $625.00 – Costing from $125.00 – Time taken from 2 hrs upwards

Cake Sculptures

Small: Prices start from $95.00 Large – prices start from $295.00

Costing from: $5.00 (small) – $20 (large)

Children’s Cake decorating/sugar sculpting classes

$ 5.95 for 1 hr class. 8 – 12 children per class = $47.60 – $71.40 per hour.

Each child is provided with a party bag. Each bag contains: 1 Bakery Company cupcake recipe. 1 cupcake/sugar sculpture. 1 Bakery Company cake character card profile. 1 balloon.

As mentioned in previous sections, much of the business will be secured by word of mouth and repeat orders. The Bakery Company will also look to maximize the potential of online marketing, using their website and social media to attract more business.

Professional photography, video marketing, and online tutorials are just some of the ways that can be used to promote the company visually. The Bakery Company will also look at publishing as much shareable content as possible to attract more likes, followers, retweets and pins.

Blogging is something very close to Ali’s heart, and this is a great way to share fun ideas, tips, recipes, event news, competitions and special offers. The company will also make full use of social media accounts such as Twitter, Facebook, Google+ and Instagram. Once they have more video content, they will also start a YouTube channel. Live streaming over Facebook might be fun too! This is a new service that Facebook has introduced and opens lots of opportunities for customers to bake along while at home, à la Jamie Oliver and Gordon Ramsay.

Email marketing may be something to look into, but the company really wants to stay away from spam emails as this will only cheapen the brand. However, they will be following up with existing customers thanking them as well as sharing special promotions with them. This will be on an opt-in basis, so as to stick to Google best practices for email marketing. The company may also explore Pay-Per-Click marketing and retargeting at a later date, and this will be handled by a marketing agency on their behalf.

Printed marketing materials will also be useful at events the compny attends.

Distribution

The Bakery Company will offer its services through its website and also face to face. Many of the services the company provides include set up at a venue, or delivery of workshops and classes. They will also offer products – such as their brownie line – through the website.

They also plan to approach retailers such as supermarkets and boutique stores to sell their range of Pick ‘n’ Mix Brownies. They will need to work on a bakery marketing plan, and how best to make, package and distribute their products. This is something that Ali is exploring now.

Milestones will be set once investment is in place. Ali would like to work closely with any investor on a mentor basis, and to receive guidance on the best direction to take the business, and how to plan milestones in the most logical way.

Competitive Edge

As mentioned previously, the company is operating in an extremely competitive market. Thanks to the creative genius of Ali and her passion for all things sweet, the company offers sophisticated, bespoke and also fun creations that simply cannot be found elsewhere. It is this passion and dedication that Ali will be looking to promote across the organization as it grows, by employing skilled and dedicated staff and ensuring standards remain high.

Reputation is everything and most business will be received via word of mouth and through repeat orders.

Unlike many other competing companies, Ali also has a product that is viable to distribute to the mass market.

Promotional Activity

The Bakery Company will use a variety of methods to market to customers including their website, social media, attending events, printed advertising, and promotional offers.

Discounts may be offered to previous customers and during potentially slower times, such as the winter wedding season.

Social media will also be very important to the brand, and the company will be communicating on a personal level with customers and followers to gain trust and get them to order and try out products.

Sales Administration

The Bakery Company wants customers to come back time and time again and to shout from the rooftops what a great experience they had with the company – whether they placed an order for a cake or booked one of the workshops. A friendly and personal approach is incredibly important, as is following up with customers to ensure they were delighted with the service offered.

The company will always reach out to customers after a sale, whether it’s with a business card or thank you email, and encourage positive feedback through social media channels. It’s that personal touch that will bring customers back to The Bakery Company over and over.

Sales will be made through the website, social media channels, word of mouth, and repeat orders. The compay will also aim to secure orders at promotional events and exhibitions. In time, they may start using mailing lists to email customers regularly with details of special events, tutorials and any other information they may be interested in.

Strategic Alliances

Not applicable.

Exit Strategy

#6 bakery business financial section.

Ensuring that you have a COMPLETE financial plan within your business plan will DOUBLE your chances of investment as well as the future growth of your business.

A lot of small businesses don’t have a financial plan and it’s essential to your long-term success and business growth.

We’ve listed here the key elements you need to have in a successful financial section:

• Initial Start Up Expenses – Especially if this is a start-up idea, it’s essential that you have a description of what you need for investment purposes.
• Sales Forecast – It’s essential to have an estimate of your monthly sales revenue as well as annual. This helps you understand your business and plan out any marketing and growth strategies.
• Direct cost of sales – Measures the amount of cash the company will have to spend to produce the goods or services sold by the company. The direct cost of sales only includes the expenses directly associated to production.
• Profit and Loss Forecast – This is a statement summarizing the revenues, costs and expenses incurred during a specific period.
• Balance Sheet – This is the financial position of the company and states its assets, liabilities and owners’ equity at a particular point in time. It illustrates the business’s net worth.
• Loan Repayment – This shows the lender or potential investor the act of paying back any monies.

So… Are you ready to look at some figures?

Three Year Projection

Three Year Projection​

Looking for more inspiration? Why not take a look through our other business plan examples:

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To help you even further in creating your business plan, why not check out the following articles? They will help you write the perfect plan to impress:

• 40 Common Business Plan Mistakes to Avoid when Writing your Plan
• What is a Business plan and why do you need one?
• How to Write a Business Proposal in 5 Easy Steps
• 10 FREE Business Name Generator Tools to find your perfect business name

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Unlocking Success: A Sample Bakery Business Plan for Your Inspiration

Learn from urbanbite bakery's sample business plan, crafted to inspire and guide you towards a successful path in the world of pastry entrepreneurship..

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Jump to section, executive summary, vision statement, mission statement, business description, products and services, target market, competitive analysis, marketing plan, operational plan, financial plan, risk management.

Starting a bakery can be a fulfilling and lucrative venture, but like any business, it requires careful planning and execution. If you're considering launching your bakery, a well-crafted business plan can be your recipe for success. Let's explore a sample bakery business plan to inspire and guide you in creating your path to entrepreneurship.

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Business Name: UrbanBite Bakery

Location: Barcelona

UrbanBite Bakery aspires to redefine the bakery experience in Barcelona, offering a fusion of modern tastes, artisanal craftsmanship, and community engagement.

UrbanBite Bakery is committed to providing a modern culinary adventure through the creation of exceptional, handcrafted baked goods. We aim to elevate the local community's palate, foster a vibrant atmosphere, and champion local suppliers.

UrbanBite Bakery is a contemporary bakery specializing in an array of handcrafted pastries, cakes, and bread. Our focus is on using premium, locally sourced ingredients to create a unique and delightful culinary experience for our customers.

• Pastries: An innovative range of pastries, including croissants, danishes, and muffins.
• Cakes: Bespoke cakes for special occasions, as well as daily slices with modern twists.
• Breads: Artisanal bread varieties, including sourdough and whole grain, reflecting current tastes.
• Beverages: Quality coffee, tea, and trendy specialty drinks.
• Urban residents with a taste for contemporary, high-quality baked goods.
• Discerning customers seeking unique custom cakes for special occasions.
• Professionals looking for a chic and delicious breakfast or snack.

UrbanBite Bakery will distinguish itself through:

• Fusion of modern and traditional flavors.
• Cutting-edge, visually appealing products.
• Active community involvement and engagement.
• Social Media Presence: Vibrant engagement on Instagram, Facebook, and Twitter showcasing our modern products and connecting with customers.
• Local Collaborations: Strategic partnerships with local businesses and participation in community events to enhance visibility.
• Opening Promotions: Exclusive promotions and discounts during the launch month to captivate initial customers.
• Location: Securing a centrally located space in Barcelona with high foot traffic.
• Suppliers: Cultivating relationships with local suppliers for fresh, on-trend ingredients.
• Staffing: Hiring skilled bakers and creating a friendly, customer-centric team for a positive customer experience.
• Startup Costs: Detailed outline of initial expenses for state-of-the-art equipment, permits, and innovative marketing.
• Revenue Streams: Projections for income from daily sales, custom cake orders, and potential collaborations or catering services.
• Profit and Loss Statement: Monthly monitoring of expenses, revenue, and profits to ensure financial sustainability.

Identify potential risks, such as market trends shifting, supply chain disruptions, or economic uncertainties. Develop strategies to mitigate these risks, including staying adaptable and maintaining diverse supplier relationships.

UrbanBite Bakery is poised to become an iconic establishment in Barcelona, offering not just baked goods but a contemporary and delightful experience for our customers. With a focus on quality, community, and a modern approach to baking, we are confident in our ability to not only thrive but redefine the local bakery scene.

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Bakery Business Plan

Start your own bakery business plan

Jolly's Java and Bakery

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">, opportunity.

There is a shortage of coffee spots where customers can get high quality coffee and freshly baked pastries in a higher income market in Washington state.

JJB offers a broad range of coffee and espresso products, all from high quality imported coffee beans. JJB caters to all of its customers by providing each customer coffee and espresso products made to suit the customer, down to the smallest detail.

Because Washington has a cool climate for eight months out of the year, hot coffee products are very much in demand. During the remaining warmer four months of the year, iced coffee products are in significantly high demand, along with a slower but consistent demand for hot coffee products. Much of the day’s activity occurs in the morning hours before ten a.m., with a relatively steady flow for the remainder of the day.

Competition

Competition in the local area is somewhat sparse and does not provide nearly the level of product quality and customer service as JJB. Local customers are looking for a high quality product in a relaxing atmosphere. They desire a unique, classy experience.

JJB is a bakery and coffee shop managed by two partners. These partners represent sales/management and finance/administration areas, respectively. The partners will provide funding from their own savings, which will cover start-up expenses and provide a financial cushion for the first months of operation.

Expectations

JJB anticipates sales as shown below during the three years of the plan. JJB should break even by the fourth month of its operation as it steadily increases its sales. Profits for this time period are expected to be relatively low in the first two years, increasing somewhat in the third. We are projecting investment of $140,000 from the two founders.

Financial Highlights by Year

Financing needed.

Startup requirements:

• Startup expenses of $64K including $3K legal, $20K location premises renovation, $40K expensed equipment, and $1K other. These show up as negative retained earnings in the initial balance because they are incurred before launch.
• Starting cash in the bank of $70K. (in initial balance)
• Other current assets of $12K (in initial balance)
• Long-term assets of $65 (in initial balance)
• $110K initial investment from founders (Shows up in initial balance as Paid-in Capital.)
• $100K 10-year loan from SBA (in initial balance)
• $1K in accounts payable at startup. (in initial balance)

Problem & Solution

Problem worth solving.

There is a shortage of coffee spots where customers can get high-quality coffee and freshly baked pastries in a higher income market in the southwest area of Washington state. 

Our Solution

JJB offers a broad range of coffee and espresso products, all from high-quality Columbian grown imported coffee beans. JJB caters to all of its customers by providing each customer coffee and espresso products made to suit the customer, down to the smallest detail.

Target Market

Market size & segments.

JJB focuses on the middle- and upper-income markets. These market segments consume the majority of coffee and espresso products.

Local Residents

JJB wants to establish a large regular customer base. This will establish a healthy, consistent revenue base to ensure the stability of the business.

Tourist traffic comprises approximately 35% of the revenues. High visibility and competitive products and service are critical to capture this segment of the market.

Current Alternatives

Leading competitors purchase and roast high quality, whole-bean coffees and, along with Italian-style espresso beverages, cold-blended beverages, a variety of pastries and confections, coffee-related accessories and equipment, and a line of premium teas, sell these items primarily through company-operated retail stores. In addition to sales through company-operated retail stores, leading competitors sell coffee and tea products through other channels of distribution (specialty operations).

Larger chains vary their product mix depending upon the size of each store and its location. Larger stores carry a broad selection of whole bean coffees in various sizes and types of packaging, as well as an assortment of coffee- and espresso-making equipment and accessories such as coffee grinders, coffee makers, espresso machines, coffee filters, storage containers, travel tumblers and mugs. Smaller stores and kiosks typically sell a full line of coffee beverages, a more limited selection of whole-bean coffees, and a few accessories such as travel tumblers and logo mugs. According to the most recent data available, industry retail sales mix by product type was approximately 73% beverages, 14% food items, eight percent whole-bean coffees, and five percent coffee-making equipment and accessories.

Our Advantages

The retail coffee industry in the U.S. has recently experienced rapid growth. The cool marine climate in southwest Washington stimulates consumption of hot beverages throughout the year.

JJB wants to establish a large regular customer base, and will therefore concentrate its business and marketing on local residents, which will be the dominant target market. This will establish a healthy, consistent revenue base to ensure stability of the business. In addition, tourist traffic is expected to comprise approximately 35% of the revenues. High visibility and competitive products and service are critical to capture this segment of the market.

Keys to Success

Keys to success for JJB will include:

Providing the highest quality product with personal customer service.

• Competitive pricing.

Marketing & Sales

Marketing plan.

Our marketing is rooted in the quality of the experience, to generate good word of mouth and repeat visits. That should generate good reviews on Yelp and Google Maps and similar review platforms. 

Of course we will pay attention to reviews and work with promotions to encourage reviews without being too blatant about it. 

We will also keep an up-to-date Facebook page and Twitter persona with regularly updated content. We will be slow to do promotions over social media, emphasizing useful content instead. Some of that will include community content. 

Locations & Facilities

JJB wants to establish a large regular customer base, and will therefore concentrate its business and marketing on local residents, which will be the dominant target market. This will establish a healthy, consistent revenue base to ensure the stability of the business. In addition, tourist traffic is expected to comprise approximately 35% of the revenues. High visibility and competitive products and service are critical to capture this segment of the market. JJB will have a storefront that is easily accessible from 2 different highways. 

Milestones & Metrics

Milestones table.

Key Metrics

Of course, the main metrics are the obvious ones: sales, direct, costs, expenses, and cash flow. But we will also be watching for units, customers, and social media metrics including Facebook likes and Twitter follows.  

Ownership & Structure

JJB is incorporated in the state of Washington. It is equally owned and managed by its two partners.

The company intends to hire two full-time  managers, one pastry chef and 3 part-time baristas to handle customer service and day to day operations.

Management Team

Personnel Table

Financial Plan investor-ready personnel plan .">

Revenue forecast.

Revenue by Month

Expenses by month, net profit (or loss) by year, use of funds.

We will be financing initial assets of $65,000 long-term assets (equipment, etc.) and $12,000 current assets plus initial inventory and the early months before break-even occurs. 

Sources of Funds

Two owners each investing $70,000. Total startup investment is $140,000

Projected Profit & Loss

Projected Balance Sheet

Projected Cash Flow Statement

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Mondelez execs bullish on cakes and pastries category

BOSTON — Mondelez International sees cakes and pastries and baked snacks as key categories for growth and potential acquisitions, top executives said at the Barclays Global Consumer Staples Conference in Boston.

Dirk Van de Put, chairman and chief executive officer, told investors in a Sept. 4 session at the event that Mondelez’s strong market share in the chocolate and biscuit categories — and its recent acquisitions in the baked snacks arena — offer a springboard for expansion into soft baked treats like cakes and pastries.

“If you imagine the biscuit aisle, which is probably crackers and sweet biscuits in Europe, particularly a little bit less in the US, across from that aisle, you will find a whole space with softer offerings — cakes and pastries, basically,” Van de Put said. “It’s a natural extension of the biscuits space. It’s a space that’s very fragmented. It’s about an $80 billion market globally, slightly smaller but not a lot than chocolate and biscuits. But in certain markets, like China, where chocolate is $4 billion and biscuits is $8 billion, cakes and pastries is a $30 billion market.”

Offerings in the cakes and pastries segment are “sometimes quite basic products,” presenting expansion opportunities for Mondelez’s chocolate and biscuit brands, said Van de Put.  

“For us to come in with high-value brands with innovations that premiumize that category gives us the right to play,” he said. “So we’re quite excited. It’s a category that’s growing well in line with the biscuit category globally, a higher net revenue per kilo than biscuits. These are all the reasons why we like this space.”

As an example, Van de Put cited Mondelez’s January 2022 acquisition of Chipita Global SA , described at the time as a “high-growth leader” in the Central and Eastern European croissant and baked snack markets. Mondelez noted that Chipita offers expansion possibilities for its Cadbury and Milka chocolate brands in croissants and 7Days packaged croissants and bake rolls brand in baked snacks.

“It’s largely a packaged croissant,” he said of Chipita’s offering. “It’s more of a meal replacement snack, a mid-morning snack with a coffee, at an acceptable price point, (with) very high penetration in middle- and lower-class consumers. The opportunity there is to innovate with some of our chocolate brands, have a higher distribution in the existing countries and then extend worldwide. We’re testing several countries around the world. But even before we bought the company, they were already having success in Mexico, Malaysia and Saudi Arabia, and they’re doing well in India. We see this as an item that could go worldwide.”

Mondelez’s April 2020 acquisition of Give & Go , a North American maker of sweet baked foods, including the brands two-bite (brownies) and Create-A-Treat (cookie and gingerbread decorating kits), also plays in a promising growth space — the in-store bakery, said Van de Put. US and European in-store bakeries have been shifting to “freeze-and-thaw” models in which finished cakes and pastries are shipped frozen to stores, thawed during transport and presented fresh to consumers in the bakery department, he explained.

“That is very interesting for the retailer, because if they have to make it in-store, that has a lot of labor related to it, a lot of waste,” Van de Put said. “So we see a shift gradually over time toward that freeze-and-thaw approach. Give & Go, the company that we bought, was about a $400 million company four years ago. It’s already a $700 million company now. It’s the biggest player in this space in North America. We’re the same thing in croissants, brownies, biscuits and so on. It’s what you find in the bakery space.”

Mondelez already has been branching into the in-store bakery area via extensions of its popular packaged snack brands, such as Oreo cupcakes and muffins.

“That is a high-value-added, high-net-revenue-per-kilo segment that spikes the interest of the retailers,” Van de Put said. “We’ve started to bring in our brands, Oreo and so on. We think that’s going to be a development space globally in cakes and pastries.”

Eyes open on the acquisition front

Luca Zaramella, chief financial officer, said at the conference that Mondelez would consider acquisition opportunities in markets where it’s at-scale by adding high-potential assets and in markets where it could boost scale by building out its brands. He cited the company’s April 2022 purchase of the Ricolino candy and confections business and its August 2022 acquisition of energy and snack bar maker Clif & Co.

“We like mostly bolt-on acquisitions of the likes we have done in the last few years , if you think about Clif, Ricolino, Give & Go,” Zaramella said. “The way we look at this is, in markets where we don’t have enough scale, we are not necessarily obsessed with acquiring biscuits, chocolate or baked snacks. In the case of Ricolino, for instance, it was a presence in the candy sector. But again, that would allow us to go and distribute Oreo and to make Oreo much bigger in Mexico. So, in these markets where we don’t have enough scale, we are looking at our core categories, but not necessarily. We are looking at adding scale and making sure that we can get revenue synergies to our core categories.

“In markets where we are at scale, we are looking for assets that are chocolate, biscuits, and importantly, in cakes and pastry. We keep on being very excited about cakes and pastry. It is a massive category. It is a category that grows very fast. It is a category that allows branded products that we have in our portfolio to really thrive. So that’s really the focus.”

Zaramella also pointed to snack bars as a growth opportunity, but likely less so on the acquisition front given its purchases of refrigerated nutrition bar brand Perfect Snacks in July 2019 and then Clif three years later.

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8 ways a former pastry cook upgrades a box of cake mix

• I'm a former pastry cook , and I think cake mixes are a great low-effort but delicious dessert.
• To amp up a boxed mix and make it taste homemade, I'd add sprinkles, extra eggs, or extracts.
• You can also take the cake to the next level by topping it with homemade frosting. 

As a former pastry cook, I stand firmly in the belief that pie is vastly superior to cake. But when an occasion necessitates a cake, boxed mixes are a great way to deliver a surefire success with minimal effort.

Here are some of the best hacks I've learned for making boxed cake mixes taste homemade. 

Try using melted butter instead of oil

It's no secret that butter makes everything better .

Instead of using the oil the boxed recipe calls for, simply swap it for the same amount of melted butter.

It's an easy way to create a delectable cake that tastes homemade.

Adding an extra egg makes a cake super moist

For an extra-moist cake , add one more egg than the boxed recipe calls for.

The fat in the eggs lends richness to the final product, making it a more decadent experience.

If you really want to go over the edge, throw in an additional egg yolk, too.

Using milk will result in a richer flavor than water

If you have dairy or nondairy milk in your fridge, substitute the water the box calls for with it.

Whole milk will add extra decadence to your cake. But I also love using buttermilk for chocolate cake mixes or coconut milk for a tropical spin.

For special occasions, put a little extra effort in by making your own frosting

I am a huge advocate of cutting corners — it's why I love boxed dessert mixes . But if you're whipping up a cake for a special occasion, put in a little extra elbow grease by topping it with homemade frosting.

Even if you use only this one piece of advice, you'll trick people into thinking you went all out on your dessert.

Mayo is the secret ingredient for richer cakes

If you're not a Midwesterner who grew up on Portillo's chocolate-cake shakes, mayo in a cake might sound gag-inducing. But hear me out.

The eggs and oil in mayonnaise are perfect for amping up the richness in your cakes. All you need to do is sub the oil for the same amount of mayonnaise, and I promise you'll be a convert.

I prefer Duke's mayonnaise, and I suggest skipping olive- or avocado-oil varieties for this application.

Brighten up your dessert with citrus

Zesting your favorite citrus fruits into your batter will add a subtle edge to your cake.

I love orange or lime zest paired with vanilla or coconut mixes, and lemon zest is also great in yellow or pound cakes.

Don't let the juice go to waste, either. Freshly squeezed orange juice can replace the water in a recipe, but if you use lemon or lime juice, be stingier to avoid a sour situation.

Added extracts can majorly boost the flavor of a cake

For an extra boost of flavor, add a splash of your favorite extract.

Vanilla is always a crowd-pleaser, and it pairs well with most mixes . But for a bakery-style birthday cake, I love almond extract in yellow or vanilla cakes.

When in doubt, add sprinkles

Funfetti cake is a classic for a reason — who doesn't love a little bit of whimsy with their dessert?

For a cake that will make everyone smile, gently fold rainbow or chocolate sprinkles into the batter. Just make sure to add them last so the colors don't bleed.

This story was originally published in March 2023 and most recently updated on September 4, 2024. 

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Crunchy almond brittle bites with a delicate milk chocolate coating.

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Net weight:  14 oz