Business plan template for a bakery


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Bakery business plan template

Not accustomed to writing business plans? Our bakery business template will turn a typically challenging process into a total breeze.

Modelled on a complete business plan of a bakery in Normandy, our template features both the financial forecast and the written part that presents the project, its team, the local market and the business strategy implemented by the management.

Cast your eyes on this template to achieve a better understanding of what your bank and investors would like to see, so that you can create a business plan that meets their expectations.

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Bakery business plan template content


This template includes a complete business plan, with a financial forecast and the following sections:

  1. Executive summary:
    The executive summary gives the reader a clear and concise overview of your business idea
  2. Company:
    This section lays out the structure of your business, including its location, management team and legal status
  3. Products and services:
    Here, you'll give an overview of the services or products offered by the company
  4. Market analysis:
    The market analysis is where you’ll demonstrate that there is a strong demand for your products and services through a thorough assessment of the industry and local market (customer profile, hot trends, regulation, competition, etc.)
  1. Strategy:
    This section highlights the company's game plan when it comes to pricing, marketing and mitigating risks along the way
  2. Operations:
    This step lays out the company's operational organisation, including the recruitment plan
  3. Financial plan:
    The financial plan includes a table of sources & uses (initial funding plan), and complete financial statements (P&L, balance sheet and cash flow statements).
  4. Appendices:
    This part provides the opportunity to include multiple financial appendices generated by our software (debt maturity profile, monthly financial statements, financial analysis, etc.).
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Bakery business plan template extract


Executive summary

Business overview

Au Pain D'Antan will be a bakery located in Hérouville St Clair and led by Samuel C. and Victoria D.

Au Pain D'Antan will offer different types of bread and sandwiches in addition to quality pastries. We will also make custom orders for special occasions (such as weddings, baptisms, birthdays, and corporate events) for our customers.

Our bakery will be located at 25 avenue de Bruxelles in Hérouville St Clair, a commuter town on the outskirts of the city of Caen.

Partners Samuel C. and Victoria D. have the qualifications and experience necessary to set up the business.

Samuel C. graduated with a Professional Baker's Certificate and has 10 years of experience in the bakery industry.

Victoria D. holds a Master's degree in pastry making and has 11 years of experience in the field.

The two partners met through a professional online network 2 years ago and thought carefully about their professional collaboration and business idea before getting started.

Au Pain d'Antan is a limited company, to which Victoria D. will be the CEO and Samuel C. will assume the role of Chairman of the Board of Directors.

Samuel C. owns 40% of the company, while Victoria owns 60%.

French Market

Market

Bread is a diet staple for many within France - so it is certainly not about to go out of fashion.

In fact, a 2016 survey by Qualiquanti reveals that 92% of the French population have bread in their home at all times, while 52% of respondents feel they simply can't do without it.

Bakeries reign as the preferred place of purchase for bread, with French people making 52% of their bread purchases there.

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With an estimated average price of €0.92, the baguette is affordable and remains one of the most popular food items purchased by the French.

There's no doubting the demand for bread in France. But with 35,000 artisan bakeries (about one bakery for every 2,000 inhabitants) and 6 billion baguettes being baked in France each year, the supply is meeting the demand.  

The bakery offer is evolving: with bread purchases counting for 45.2% of bakery sales, the range of baked goods being sold is expanding. 

The bakery is no longer just a place to buy bread, as it is fast becoming a go-to place for lunch. Bakers are also developing their bakery products to improve their turnover. 

According to Fiducial, a traditional bakery makes an average annual turnover of around €386,000, with the average customer spending €4.20 per visit.

However, the turnover depends strongly on the size of the business. According to the Observatoire de la Boulangerie, a bakery with an average staff of 9 employees, including 2 apprentices, sees a turnover between €300,000 and €450,000 (excl. tax) per year.

However, according to boulangerie.org, the average turnover for a bakery with an average workforce of 3 to 2 employees is around €273,000 (excl. tax).

In terms of how the sales are distributed between different types of products, in addition to the bread sales mentioned above, pastries, sandwiches, and savoury products now make up almost 50% of sales. 

64% of bakeries in France are located in urban areas. On average, these bakeries are run by couples around the age of 47. With a wave of retirements expected within the next ten years or so, the market will renew itself, as these businesses will be taken over by new owners.

Local Market

In 2019, Hérouville St Clair had 23,319 inhabitants and 9 bakeries - bringing it under the national average of one bakery per 2,000 inhabitants. 

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The biggest age group in the city is 20 - 24 year olds. Hérouville-St-Clair's young population can be explained in particular by the presence of students from the University of Caen.

Its proximity to the city of Caen also provides an opportunity for businesses to target professionals travelling to the Caen agglomeration, and also in the opposite direction. 

The town of Hérouville-St-Clair is a commuter town, popular amongst families and young professionals, so a bakery would well serve the needs of those living there.

Competition

There are a total of 9 bakeries in the city of Hérouville St Clair. However, we believe that the competition will be mainly with bakeries in the immediate vicinity of the Avenue de Bruxelles, of which there are three.

We expect a high level of competition with the bakeries in the neighborhood, as our offerings are similar. However, we believe that our prime location and the quality of our products should enable us to build a loyal customer base in the local market.

We will also compete indirectly with other businesses selling bread and sandwiches.

Financial Highlights

Au Pain D'Antan should be profitable in its first year of operation.

We expect to achieve sales of €268,781 and EBITDA of €35,837 (and 13.33% of margin) in Year 1.

We believe that we will then be able to grow our business thanks to word of mouth and the actions set out in our marketing plan.

On the basis of the current plan, we should achieve sales of €275,661 in year 2 (with 2.56% of growth) and €283,50 1in year 3 (with 2.84% of growth).

We anticipate to generate EBITDA of €48,202 (and 17.00% of margin) in year 3. The improvement in EBITDA margin between year 1 and year 3 is due to a better absorption of fixed costs following the increase in sales.

We expect a positive cash flow throughout the entire plan.

The cash flow generated by the business will be sufficient to cover our loan repayments while providing leeway for us to renew our equipment and deal with any contingencies.

Our Ask

Our initial financing requirement amounts to €115,000. The partners plan to contribute €40,000 (35% of the total), and we would like to obtain a loan of €75,000.

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