Kadi Sarva Vishwavidhyalaya S.K.Patel Institute of Management & Computer Studies
Topic: Business Plan on Bakery Represents By: Davara Vishal (14) Dungarani Jaimish (22) Katariya Mehul (40) Mandavia Dhaval (51)
Submitted To : Prof.Sonu Gupta Submitted On : 24th November,2014
Introduction of Business Balaji Bakers Pvt. Ltd. B-15 Drive-Through Road Ahmedabad-390005 Ahmedabad-390005 Ph: (079) 2335 7755 www.balajibakery.com Partners: Partners: Katariya Mehul, Dugarani Jaimish Davara Vishal,
Mandavia Dhaval
Description of Business: Business: This business provide baking related items to the customers. Products include Buiscuits,Bread,Buns,cake,pastry,chocolates,colddrinks.
Financing: Financing: Initial Financing requested is a Rs.10,00,000 loan to be paid off over five years. This debt will cover factory space, equipment and supplies, Advertising & Selling Cost.
Mission Providing the highest quality bakery products and the best possible services to the food industry. We will continuously improve all aspects of our business in order to sustain the long-term success of our customers and ourselves.
Vision Bake and Joy will be living proof that caring, integrity, hard work and innovation at all levels create success.
Objective •
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Be honest, consistent and responsible in the pursuit of organizational goals and managerial actions. Invest in helping the customers, associates and communities we serve reach their full potential, because we believe their success will ultimately determine ours. Conduct ourselves in a manner that values the individual needs and contributions of all stakeholders, both internally and externally.
Industry Analysis
Future Outlook & Trends
Fastest growing industries, perhaps third only to wheat flour, fruits and vegetables processing sectors. bakery industry in India generates around Rs 10,000 crore annually. emergence of a significant middle-class, Urbanization and the expansion of modern habits by busy, health-conscious and well-informed consumers are raising the consumption of bakery products in India. purchasing power of Asia's middle-class, which is set to fuel demand for bakery products in retail store, food joints, and coffee houses across India.
changing demographics are changing the way people are consuming bakery products be it cakes, sandwiches, pastries, puffs, pizzas.
Demand Drivers
Purchasing Power of Middle Class
Increasing disposable income
Retail boom have lured number of domestic and international bakery chains to expand their presence in the country. Food patterns
Competitors
Radhe Bakery
Laxmi Bakery
Dotiwala Bakers
Tirupati Bakers
Ashtha Bakery
Description of Venture
Products/Services –
Breads-various varieties
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Buns
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Tarts
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Muffins
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Cookies
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Sitting area with coffee/tea and in-store products
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Cake
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Pastry
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Chocolates
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Cold Drinks
Size of Business
Medium Sized business operation
Equipment Needed
Computer
Air Conditioner
Tables & Desk
Different sizes of Jars & Boxes
Refrigerator (for cold drinks and pastries ,cake)
Oven
Proof Boxes
Baking sheets & Racks
Mixers
Background of Entrepreneur MBA (Finance, Marketing)
Production Plan
Floor Plan
Machinery & Equipment
Suppliers
Rotary Rack Oven (Bakery Oven)
Nafeez Bakery Pvt. Ltd.
Bakery Proofer
Dayal Food Express
Spiral Mixer
Honey Money Top
Deck Oven
Silver Spring Enterprise
Planetary Mixer
Cookies Drop Machines
Dough Shifter
Dough Divider
Dryer
Biscuit making Machines
Bread making Machines
Operations Plan
Start Up
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The bakery will be constructed on the farm. Construction will commence in January 2015. The bakery is scheduled to open in May 2015.
Work Plan •
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4:00am Start Baking 8:00am Bakery Opens 9:00pm - Bakery Closes –
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Inventories •
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Desired Inventory = 0 Average Days Days for Inventories Inventories –
Raw Material Inventory = 30 days
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Finished Goods Inventory = 2 days
Organizational Plan
Organizational Structure Mehul,Dhaval,Jaimish,Vishal
President/Manager
Head Baker
Assistant Baker/Delivery Person
Assistant Baker/Delivery Person
Assistant Baker
Quality Control Program •
Regulations –
Local
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Consumer Protection Branch
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Labour
Capital Budget
Cost of Goods Manufactured
2015
Total Direct Direc t Labour
30,500
Total Direct Materials Materia ls
16,700
Manufacturing Overhead
10,440
total
57,640
Accounts Receivable/Payable Receivable/Payable •
Receivables –
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From Bulk Cheese Warehouse and Market Place Have 30 days from date of billing to pay No discounts offered
Payables –
Have 21 day grace period
Administration, Marketing, and General Expenses •
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Accounting Bookkeeping Management Fuel for delivery Income Tax Interest on Debt Marketing
Manager •
Responsibilities: –
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Daily production Work Schedules Assigning Assigning Employee Tasks Traveling Ensures product quality Purchases raw materials Keeps facility running, and clean Accounting Accounting Duties
Head Baker •
Responsibilities: –
Working long hours
Ability to follow recipes
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Ability to produce quality product
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Ability to use ovens ovens and mixers
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Dishwashing and janitorial skills
Assistant Baker Baker •
Responsibilities: Assist in baking
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Operate Cash register and serve customers Dishwashing, and basic janitorial skills
Additional Training Training •
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All staff members members will take the one day Safe Food Handling Course Other food safety programs offered by Company to Employees
Marketing Plan
The Marketing Mix •
Products/Services –
Breads-various varieties
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Buns
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Tarts
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Muffins
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Cookies
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Sitting area with coffee/tea and in-store products
Marketing Mix •
Price –
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Promotion –
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Moderate, but still competitive Web site, Social Networking, Bill boards, Banners,T.V.
Place –
Ahmedabad City
SWOT Analysis •
Internal Strengths –
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Family business Location Homemade recipes
Internal Weaknesses –
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Inexperience Increased prices
SWOT •
External Opportunities –
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Desire for healthier lifestyle Niche market in urban areas Large target market area
External Threats –
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Change in lifestyle trends Increased fuel prices Competitors having lower prices
Marketing Plan Budget Marketing Budget Advertising
Expenses/year
Newspaper
Local (Sandesh & Gujarat Samachar)
40000
Other
Billboard
10000
Bulletins
10000
Promotion and Development
Business cards
20000
Travel expenses
15000
Total Marketing Expenses
95000
Financial Plan
Financing Total Financing Required
Amount
Long Term Bank Debt
10,00,000
Owner Equity
05,00,000
Total Financing
15,00,000
Projected Balance Sheet Assets Current Assets
Total Current Assets
Liabilities Current Liabilities
445870 Total Current Liabilities Lia bilities
Long Term Assets
Long Term Term Liabilities Li abilities
Total Long Term Assets
944310 Total Long Term Liabilities
150000
740180
Owner Equity
Total Assets
Total Owner Equity
500000
Total Liabilities Li abilities and Owner 1390180 Equity
1390180
Contingency Plan •
If price of bread decreases: –
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have to either increase sales to a break even level the bakery would have to find a way to decrease fixed costs
Methods –
additional branch at different market place
Bibliography •
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http://www.fnbnews.com/article/detne http://www.fnbnews.co m/article/detnews.asp?articleid=31030 ws.asp?articleid=31030§ionid=32 §ionid=32 http://smallbusiness.chron.com/list-items-needed-starthttp://smallbusiness.chron.com/list-item s-needed-start-small-bakerysmall-bakery21051.html
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