bakery business plan in the philippines pdf

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Bakery Business Plan PDF Example

• February 28, 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.

Make sure to cover here _ Business Overview _ Market Overview _ Management Team _ Financial Plan

Dive deeper into Executive Summary

Business Overview

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.

Make sure to cover here _ Bakery & Location _ Operations

Market Overview

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

Next, examine the competitive landscape, which encompasses a variety of bakeries from luxury patisseries to affordable local bakeries, as well as the rise of home baking and online bakery businesses.

Focus on what sets your bakery apart, whether it’s through unparalleled customer service, a distinctive selection of baked goods, or expertise in a particular baking style or dietary niche.

Make sure to cover here _ Industry size & growth _ Key competitors _ Key market trends

Dive deeper into Key competitors

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.

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.

Make sure to cover here _ SWOT _ Marketing Plan _ Timeline

Dive deeper into SWOT

Dive deeper into Marketing Plan

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.

Financial Plan

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 Open A Bakery Business Philippines

Today’s full guide will be going through the process of how to start a bakery business in the Philippines for beginners. In this guide, we will cover some of the biggest questions when opening a bakery business, including questions such as – What is the budget for bakery business in the Philippines, how to open a pastry business in the Philippines, and a business plan for a bakery business. So let’s take a look at the beginning steps to get the business started.

Table of Contents

How To Open A Bakery Business In The Philippines For Beginners

1. research the bakery market.

Research is one of the most important factors entrepreneurs need to focus on in the very early stages of business. We recently explored how to do market research for small businesses in the Philippines , and I have linked this full guide above for your reference for those looking for more information.

The great news is when it comes to research , the Philippines has some fantastic sources that can be used to help you start a successful bakery business in the Philippines. For example, the Department of Trade and Industry has some fantastic guides and even has a specific guide on bakery businesses that discusses the starting capital for a bakery business in the Philippines.

Nevertheless, it is also recommended to do some external research that focuses on your local community. This includes the current competition, the supply, and the demand for bakery goods. Wider research is also necessary, including the increase or decrease of the industry and changes to the economy (such as flour prices, for example), which will impact your prices and profit.

2. Create A Bakery Business Plan For The Philippines

The next important stage when opening a bakery business in the Philippines is creating a bakery business plan for your Philippines-based bakery. Entrepreneurs have several options when sourcing a bakery business plan.

The first option is to use a free template. Filipino wealth has a free business and financial template that has been designed for small businesses. This is completely free. No information is needed to get your free copy.

When sourcing a bakery business plan for the Philippines, purchasing one from an online provider is the second option. Most business planning that goes in depth about starting a bakery business has a fee involved. The total amount will depend on the supplier. Some free versions are available, but the business plans do not go in depth about the bakery business and may not be suitable.

The third option available is to create your own bakery business plan. Previously we looked at the steps and processes entrepreneurs can take to build a successful business plan . This includes many valuable points that are central to consider when starting a bakery business in the Philippines; therefore, I have linked to the full guide in the link above.

3. Investigation Of The Food Regulations And Business Laws

When it comes to the legal process of starting a bakery business in the Philippines, there are 2 main areas that entrepreneurs will need to focus on in the very early days. First, this includes food and drinks regulations, and the second area is general business law.

Below we have gone into detail about the legal requirements for a bakery business, so I will not go into too much detail here as we have all the information below. However, one area we will quickly discuss is the business laws. Below are the steps to follow;

• Register Your Business Name With The Department Of Trade And Industry
• Register For A Barangay Business Clearance
• Register For Local Mayor Permits
• Register At Your Local Bureau Of Internal Revenue

Additionally, there may be steps involved depending on the scale and scope of business. For example, you may wish to open up a business account to separate your bakery finances from your personal finances.

Additionally, there may be additional rules and regulations that bakery owners will need to follow, depending on your location. Therefore, we always recommend speaking to your local DTI & BIR office, as they will be able to give you the most up-to-date and relevant information about starting a bakery business in the Philippines.

4. Find Your Suppliers, Equipment, And Location

The next stage when opening a small bakery business in the Philippines is to find the tools to help you complete the job. In other words, this stage is where you will find the relevant suppliers, purchase your equipment and finally choose the location for your new bakery business.

When finding suppliers ( to purchase ingredients ) and bakery equipment in the Philippines, several options exist, including domestic and overseas businesses. If you are starting a small bakery business, purchasing locally is recommended; however, if you are buying in bulk, you will often find larger savings by purchasing from overseas, such as in China.

For instance, if you are planning to sell Donuts, you will be able to find 25 plastic trays from a Chinese supplier much cheaper than domestically. However, if you only buy 5 trays or a smaller quantity, prices will often be lower locally. But of course, this will depend on your local prices and other factors. So this is something you may wish to consider in the planning stages of the business.

Once you have found suppliers and the equipment, the next stage is to find the right location for your bakery business . The location needs to be accessible but also cost-effective. Profit margins are not always the highest in this type of business, so entrepreneurs must carefully consider their costs. Please take a look at our full guide when deciding the best location for a bakery business in the Philippines.

5. Start To Take Action, Including Building Your Menu  

You will have done a great deal of research and planning at this stage, which is fantastic! The next stage of business is to start taking action and get the process moving so that your small bakery business can start to take life. The action steps will differ from business to business, but here are some common steps…

Building the menu. You do not necessarily need to have a full menu but deciding on what products to sell and ensuring these are visible to the customers is a good action step. If you let your customers dine in, purchasing comfortable chairs and tables is also a fantastic action step.

It’s recommended to build a plan of action steps. For example, you may have a list of 25 action steps. The starting position is where you are currently, and the last step is where your business is open to the public. You may wish to apply the Start Stop and Continue method, which we will discuss right now.

6. Apply The Start, Stop, And Continue Method

In the simplest definition, the Start, Stop, and Continue method can be used in many different areas of life and business. For example, when you are starting a bakery business in the Philippines, good questions include what can I start doing, what do I need to stop doing in my business, and what do I need to continue to do to build success.

These 3 questions are very simple but can save you a lot of money and time. They will also highlight important areas that you will need to focus on. For example, when asking these questions, you may find research has not been performed correctly, so to avoid problems in the future, you may need to revisit this area.

Additionally, you may find that there are steps that you discover when asking these questions that we have not talked about today. For instance, if you are starting a large bakery business in the Philippines, hiring staff might be an area you wish to consider. Asking the big important questions will often lead to the big important answers in the business world.

Budget For Bakery & Starting Capital For Bakery Business In The Philippines

So, with everything being considered, what is the starting capital for a bakery business in the Philippines? Is it possible to open up a small bakery business on a budget?

The total starting capital to open a bakery business in the Philippines ranges from 60K – 170K Pesos. If you are opening a bakery business at home or a small business, the starting capital will be at the lower end of the scale. On the other hand, if you are franchising a bakery business, opening a large business, or starting in an expensive area like metro manila, the startup capital will be at the high end of the scale.

Additionally, if you already have your equipment and the location, the budget for a bakery business in the Philippines will be much less. This is because the location and the equipment are two of the largest expenses. In comparison, ingredients can often be found cheaply. Therefore, if you can save on the location and equipment fees, you will find that starting the bakery is much cheaper than quoted above.

What Are The Legal Requirements For Bakery Business In The Philippines

When it comes to selling food and drink in the Philippines, several laws are in place to protect consumers and the wider public. We will now explore these laws, but it’s recommended to speak to the Department of Agriculture and the Department of Health or a legal representative for further classification.

Republic Act No. 10611 is perhaps one of the most well-known laws regarding food safety regulations in the Philippines. This is also known as the Food Safety Act of 2013 . Therefore, it’s recommended to research this act in full as it explores several areas of food safety, such as contamination and packaging of food.

Food, Drug, and Cosmetic Act – Republic Act No. 3720 is a legal requirement for bakery businesses that entrepreneurs will need to follow. The act regulates many areas of food safety, including the production, sale, and distribution of food to protect consumers and the wider community. You will be able to find more information about this act and others via the Food and Drug administration/department of health.

Food Fortification Law of 2000 – Republic Act No. 8976 also has some guidelines. Depending on the products you plan to sell, other laws may need to be investigated.

Even though we continuously update articles, it is always recommended to seek legal assistance when looking at the legal requirements for a bakery business in the Philippines. Alternatively, you will find several resources on this topic with the Department of Health.

How To Open A Home-Based Baking Business Philippines

The great news is that opening a home-based bakery business in the Philippines is similar to opening a more traditional one.

• Research The Market
• Create Your Bakery Business Plan
• Investigate The Laws And Requirements
• Purchase The Ingredients And Equipment
• Open Your Business
• Market To The Local Community

Of course, there are some additional requirements that you may wish to investigate. For example, safety and security are always big considerations when opening a small bakery business at home in the Philippines. Other categories include your opening times and if your equipment can be used continuously.

Bakery Business Philippines Profit

From research, the industry average for profitability is around 5-12%. But the total profit a bakery business can make will depend on the cost of ingredients and how well entrepreneurs can make more for less. Bakeries in the Philippines can be very profitable . However, many bakeries do not earn a large profit due to their inaccessible location, low demand, or failure to stand out as a business.

Naturally, market research is key when looking at how to open a bakery business in the Philippines. But what is also incredibly important is the entrepreneur. with the right leadership, bakery businesses in the Philippines can be very profitable such as the great success of Pan De Manila .

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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.

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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 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 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.

Upmetrics templates are perfectly suited for entrepreneurs who need a little help to kickstart their business planning. Import the data into the editor and start planning.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

Write your business plan with Upmetrics

Optimize your business planning with Upmetrics .

With more than 400+ business plan examples , we offer invaluable guidance to help you write a cohesive business plan.

Whether you are writing a business plan to strategically grow your business or attract investors, Upmetrics’ invaluable resources like AI assistance, forecasting tools, and step-by-step guides will serve you perfectly.

Let’s bake a recipe for success together.

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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 Start a Bakery Business in the Philippines: A Beginner’s Guide

Pinoys love to eat bread. It’s a staple food in the country second only to rice. For this reason, the bakery business in the Philippines is one of the most profitable ventures you can invest in.

Let’s find out the ins and outs of opening a bakery business in the Philippines and whether or not it’s the right business idea for you.

Go back to the main article: Best Small Business Ideas in the Philippines with High Profit

Table of Contents

Who should start a bakery business, 1. monthly rent, 2. equipment, tools, utensils, 3. ingredients.

• 4. Delivery Vehicle (Optional) 

a. Cost of Utensils

B. equipment, c. raw materials/ingredients, how much does a bakery business earn, 1. evaluate the reason why you want to open a bakery business, 2. take up baking courses, 3. perform basic market research, 4. find a good location, 5. decide whether to franchise or go on your own, 6. secure the required permits and certifications, 7. start small, 8. buy baking equipment, 9. know your ingredients, i. direct cost, ii. indirect cost, iii. production cost, b. sample product pricing (pandesal business), 11. hire employees, 12. learn how to innovate, tips and warnings.

Full-time entrepreneurs with experience in baking either through a previous job in a bakery or paid hands-on training.

How Much Capital Is Needed To Start a Bakery Business?

Initial investment ranges from ₱50,000 to ₱ 150,000 depending on the monthly cost of rent, equipment, utensils, ingredients, and business permits . Let us discuss every expense you will incur as you start your bakery business.

Unless you have your place, rent will be one of your bakery’s fixed costs. If you’re aiming to place your business in an urban city or populated areas like malls, schools, churches, or jeep/bus terminals, you need to prepare at least ₱10,000 for rent. 

Meanwhile, rental fees are much cheaper in rural areas, towns, or small barangays which might cost only at least ₱5,000. 

You must have a budget of ₱40,000 – ₱100,000 for baking equipment 1 . Estimated prices of some baking equipment are listed below.

• Stainless gas ovens with 2 – 12 plates cost ₱18,000 to ₱30,000
• Stainless steel banca ( pasong ) costs ₱3,500 to ₱5,000 depending on sack capacity
• Display rack ( estante) costs at least ₱10,000 to ₱16,000. You can also purchase smaller bread racks that cost ₱3,500 – ₱4,000
• Dough roller costs ₱35,000 and above depending on horsepower
• Other baking tools and utensils include rolling pin, dough cutter, weighing scale, measuring cups, spoons, and spatula with a total cost of not more than ₱2,000. 

There are stores that sell baking equipment packages which are usually cheaper than buying one at a time. Furthermore, you may also consider acquiring second-hand equipment from previous bakery owners as long as they are still in good shape. 

These include flour, sugar, egg, and salt which might cost you not more than ₱2,500. 

4. Delivery Vehicle (Optional)

You may also want to invest in a motor vehicle that enables you to deliver your bread products. A motorcycle together with a sidecar is priced at least ₱90,000.

Sample Breakdown of Investment Requirements (Pandesal Business)

The total capital needed to start a bakery business also depends on what type/s of bread you’re planning to sell. If you’ll exclusively sell plain or malunggay pandesal, for example, the cost to put up the business will be significantly lower since its ingredients are inexpensive and readily available (see the table below to have an idea of how much money you need to start a pandesal bakery).

What Are the Pros and Cons of Having a Bakery Business?

• Filipinos love to eat bread any time . At breakfast, they love eating pandesal and monay with a hot cup of coffee. Come merienda time, they usually snack on sweeter bread varieties like ensaymada, mamon, cheese bread, and pan de coco, washing it down with a cold bottle of their favorite soft drinks.  If you are to open a bakery business in the Philippines, bread and beverage are the perfect combos to sell.
• You have ready buyers regardless of the social class you’re trying to target. For the masa , classic Filipino bread is a proven best-seller. The higher-end market, on the other hand, buys more expensive varieties like hamburger buns, French bread, and cinnamon rolls.
• People buy convenience. The working class is too busy (or broke) to sit down in a fine dining restaurant to eat. They want an affordable food product to satisfy their cravings like bread that they can easily buy from a bakery and bring wherever they go.
• It’s more demanding than a food cart business or other food businesses that require smaller capital. Apart from the initial investment, you also have to invest a lot of your time, dedication, and patience to see through the tough times. That’s why people who start a bakery business in the Philippines without any passion for bread-making rarely succeed.
• With lots of bakeries around, setting up a new one means facing a lot of competitors. It might be challenging to offer something new or high-quality to entice potential customers.

Earnings from a bakery business depend on your daily number and type of bread produced, number of sales, and the cost of ingredients used. Generally, the minimum profits of a small bakery business range from ₱1,000 – ₱2,500 per day.

For instance 2 , a bakery with 1 sack of first-class flour (25 kilos) can create a 50-kilogram dough that can produce around 1,670 pieces of pandesal (assuming each piece is at least 30 grams). The average market price of pandesal is ₱2, so if you use one sack of flour per day to produce pandesal , your total revenue is around ₱3,400. The estimated total cost of ingredients used for this amount of pandesal is ₱1,900. Hence, the profit from a sack of flour of pandesal per day is around ₱1,500.

If your bakery produces a variety of bread types, there is a higher chance of earning more. You can pump up your profits up to ₱2,500 daily 3 . However, beware of the risk of experiencing a loss due to additional ingredient costs if you’re planning to produce more bread types.

How To Start a Bakery Business in the Philippines: 12 Steps

Running a bakery business in the Philippines is challenging.

Money is not the be-all and end-all of opening a bakery. You also need the knowledge capital that will help you manage the minute details of this food business.

If you’re just here for the money without the passion, training, and expertise needed, you might quit in the face of struggles. Know your purpose and start from there.

Starting a bakery business is different from baking cookies at home. You can learn the latter through YouTube tutorials and books about baking.

Baking for a lot of people, on the other hand, requires you to scale everything up.

People love to buy from bakeries that produce a hundred or thousand pieces of bread with the same taste. And this consistency can be achieved if you hire bakers who know about business-scale baking.

But what if one or all of your bakers suddenly quit? Unless you also know how to bake, your bakery business will inevitably stop operation.

Fortunately, there’s no shortage of schools or training programs that can teach you hands-on baking experience.

Flour mills provide free or paid baking courses as part of their marketing efforts. The knowledge and skills they teach are recommended for aspiring bakery business owners because their seasoned instructors teach not only hands-on baking experience but also the business side of it.

One month of training experience should be enough to equip you with the tools you need to start running a bakery business.

The following is a list of baking schools owned and operated by flour mills:

• A baking school in BF Homes, Parañaque City run by Pilmico Foods Corp .
• Maya Kitchen in Makati City is owned by Liberty Flour Mills.
• A baking school in Cebu City run by General Milling Corp.

If you’re planning to open a bakery that will exclusively offer pandesal, you can grab the training opportunities offered by these institutions:

a. Department of Science and Technology – Science and Technology Information Institute (DOST-STII)

Address: Gen. Santos Ave. Upper Bicutan, Taguig, Metro Manila

Tel. Nos.: (632)837.2191 to 95 / Telefax: 837.7520

Email: [email protected]

Website: http://www.stii.dost.gov.ph

b. Techno Learning Resources and Community Empowerment Livelihood Center, Inc. (TLRCE)

Address: Room 504, De Oro Bldg., EDSA-Boni Ave., Mandaluyong City, Metro Manila

Tel. Nos.: 84259217 / Mobile: 0998-791-7090 and 0917-378-4224

Facebook Page: TLRCE Livelihood Center, Inc.

Assuming that you’re planning to open a bakery business with small capital, you don’t need to spend a lot of resources on market research.

You can do it on your own by asking people about their favorite bread, observing their behavior, and studying the products and pricing strategies of your close competitors (if there are any).

The results of your market research should reveal the following:

• Your target market and the type of products that suit them . If you live in a rich neighborhood, serving French bread and other high-end varieties makes a lot of sense. However, it won’t work in a bakery located in Tondo or smaller barangays in provinces where people prefer pandesal and other cheap bread they’ve become accustomed to.
• Your competitors and how to differentiate your bakery from theirs. Competition is good if you look at it as a sign that there’s a demand for your product. In the case of bakeries, your competitors can help you understand whether there’s enough profitability, learn about the products that make them profitable and get ideas on how to make your bakery better than them.

In order for your bakeshop to flourish and recoup the initial investment faster, you must put it up in a residential area where there’s a great amount of foot traffic.

Ideally, the bakery business should be located where your house is, so you don’t have to worry about paying monthly rental fees. However, you can still rent a space as long as there’s enough foot traffic to justify it.

Good locations for a bakery business include:

• Near the entrance of or within residential areas with at least 2,000 households
• Jeepney, taxi, or tricycle terminals

In any food business, the first few months or years are always the toughest.

Without prior experience, you will be left to your own devices. Therefore, you are more likely to commit many mistakes along the way.

But with grit, you can get through this phase and let the experience become your teacher.

For starting entrepreneurs who want to minimize risks, you can franchise a bakery business with a ready system and proven track record.

Although the franchise fee may cost more, you will also worry less since packages–like the ones offered by  Kambal Pandesal 4 of San Miguel Mills–already include baking equipment, marketing support, and free site assistance and monitoring.

Each option has its pros and cons. Weigh the risks carefully and decide based on your level of experience and capital.

By legalizing your business, you can focus more on growing your business instead of worrying about the law running after you.

Related: How to Register a Business in the Philippines: The Ultimate Guide

Bakery businesses in the Philippines need all of the following permits and certifications:

• Business name registration in the Department of Trade and Industry (DTI) if you will run the business on your own (single proprietorship) or in Securities and Exchange Commission (SEC) if the bakery is owned by a partnership or corporation.
• Mayor’s Permit or Residence Certificate & Sanitary Permit from the local municipality where the bakery business is located.
• License to Operate (LTO) as a “food manufacturer” or BFAD Certificate from the Bureau of Food and Drugs (BFAD).
• Tax Identification Number (TIN) from the Bureau of Internal Revenue.

When putting up a bakery business in the Philippines, expect to incur several mistakes and losses in the beginning.

Hence, it’s a smart move to start with whatever little money you’ve got. It’s better to act on your ideas early even with limited resources than let perfectionism paralyze you.

One advantage of starting small is you are able to test the market and learn which products sell the fastest. You will also learn the nitty-gritty of starting a bakery business without the need to open a big business from the get-go.

Remember, it’s better to start a pandesal bakery and expand later on than to start big and downsize eventually for lack of business strategy.

As your business grows, so will you. And once you’re ready for expansion, you can buy more expensive equipment for mass production and add more bread products to your inventory.

A significant percentage of your capital will be spent buying baking equipment. Since you’ll be using them daily, you must meticulously choose products that can withstand daily operations.

Depending on the size of your bakery business and the type of baked products you’ll be selling, you’ll need all or some of the following baking equipment:

• Baking trays
• Bread crusher
• Bakery oven
• Dough mixer
• Bread slicer

To help you get the best value for your money, remember these suggestions when shopping for baking equipment:

• Explore your options. Compare products in terms of price, features, and technical support. Don’t settle on one product right away without talking to different dealers.
• Buy equipment based on your daily target output. If you will be baking 1,880 pieces of pandesal, for example, you need a mixer and an oven that both can handle and process one bag of flour.
• Choose baking equipment made by local manufacturers since they can offer technical service immediately in case the equipment breaks down. In contrast, not only is imported equipment more complicated and expensive, but its manufacturer is also more likely based abroad and won’t be able to provide technical assistance right away.
• When buying second-hand baking equipment, ensure their quality is still up to snuff. One option would be to buy used equipment from baked shops that have recently expanded. Since they’ve used their old equipment for years, they can attest to their quality and offer them to you at a great discount.

The quality of the ingredients you use affects the price and taste of the baked products. Fail to pick the right ingredients, and your products may end up too bland, too expensive, or both.

In terms of cost, the price of baking ingredients fluctuates depending on demand and competition.

To keep the price of your baked products affordable despite the unpredictable market, choose locally-produced flour instead of imported varieties. The former is cheaper, fresher, and more consistent in terms of quality.

Alternatively, you can take inspiration from Yelly’s Bakeshop 5 which capitalized on bread made from vegetables. By replacing flour with mashed squash or malunggay leaves, they’ve been able to cut costs and also offer healthier, tastier, and cheaper products to their consumers.

Regardless of the type of ingredients you use, it’s important to remember that people buy bread regularly because of its familiar taste. Switching to cheaper ingredients may save you money in the short term, but the buyers you can potentially lose due to a change in taste make it not worth it.

Keep the quality of your ingredients and the process of making your products consistent. People buy quality so only give them quality all the time.

10. Price Your Products Strategically

Regardless of your target market, the price of your products should give you a good profit margin. After all, you won’t call it a business if you price them too low that you are no longer able to profit from it.

As mentioned previously, the ingredients and the formulation you use have a significant influence over how much your baked products will cost.

Under normal standards of baking a loaf of bread, one sack of flour can produce as much as 81 loaves weighing 550 grams each. If you sell it at ₱40 per loaf, you can get a gross revenue of ₱3,240.

Subtracting the overhead cost as well as the cost of materials and packaging amounting to ₱2,536.13, your gross profit margin would be ₱703.87 per bag.

a. Sample Product Costing (Pandesal Business)

The profit margin will be relatively higher if you sell pandesal that requires fewer and cheaper ingredients.

A bag of flour can produce approximately 1,800 pieces of pandesal weighing 25 grams each. Seling it at ₱2 per piece will give you a total sales of ₱3,600 per sack. From the gross earnings, you will deduct the taxes, manpower, rentals, and other overhead costs.

Even if you learned business-scale baking from the training schools or programs you enrolled in, you can’t do everything on your own.

As your bakery business in the Philippines grows, it will be indispensable to find honest, hard-working people who will take care of the daily operations while you attend to things that matter more.

Finding the right people to man your bakery business can be a matter of trial and error. You need to find experienced bakers and employees who know how to work around a bakery and will never resort to pilfering.

It’s your responsibility to teach them how to properly handle the products and ingredients. One breach in sanitation or the standard baking procedure can negatively affect the final products and eventually the reputation of your business.

To motivate your workers to do their jobs well, you should also do your part. Pay them well and treat them like a family without blurring the line between the employer-employee relationship.

Remember, a happy employee is a reflection of how you run your bakery business. And the more happy employees you have that go the extra mile for their jobs, the more happy customers you’ll gain in the long run.

With the bakery business in the Philippines becoming more saturated, you can never afford to be complacent.

Innovation means constantly upgrading your products or service to stand out from the competition. While your competitors watch your every move, innovation keeps you a few steps ahead of them through new products and ideas.

Previously, you were introduced to Yelly’s Bakeshop which uses vegetables instead of flour to make its nutritious bread. This unique selling proposition sets them apart from others who follow the same traditional baking techniques.

Whether it’s through improving customer service or offering products not found anywhere else, a bakery business should never stop conceptualizing, implementing, and testing ideas that will make them more memorable for its consumers.

• Focus on providing good products and top-notch service. Only use quality ingredients and keep the taste of your products consistent. Put yourself in your customers’ shoes and imagine how you want to be served. When all bakeries offer the same products, the only way to have an edge over others is to offer good service. Require your employees to wear proper uniforms and smile at every customer regardless of social status. Leave a good first impression, and you’ll earn repeat customers in no time.
• Be a hands-on bakery business owner. Provided that all the aspects of the bakeshop are taken care of, hard work is what will make the business last. As Metring Cuevas 6 of Cuevas Bakeshop reveals, a bakery business should be run round-the-clock because bread is a delicate product to sell. It’s not a business for the lazy so don’t open a bakery business unless you’re ready to commit your time and effort to make it a success.
• Market your bakery business to nearby stores . If you’re selling buns (monay ) or similar bread types, nearby stores may order a bulk of these bread products from your bakery. This is an effective strategy not just to introduce your product in the market but also to earn higher from wholesale orders. 
• Monitor the quantity of ingredients used in bread production. Set a target quantity of bread to produce given a certain amount of ingredients. For instance, ask yourself how many can you produce for every sack of flour. Keeping track of your usage of ingredients prevents excessive costs due to wastage.
• Bakery Equipment Canvassing. Price in the Philippines as of June 2019 [Video file]. (2019). YouTube. Retrieved October 05, 2022, from https://youtu.be/d90xsK7Qjv0.
• Jaruda, A. (Producer). (n.d.). Totoo ba na malaki ang kita sa bakery business? [Video file]. Retrieved October 5, 2022, from https://youtu.be/za4G4bjA19Y
• Magkano ang kinikita ng isang pangkaraniwang bakery? [Video file]. (2021, October 21). Retrieved October 5, 2022, from https://youtu.be/16oYmEVwGKI?t=478
• About Us. (n.d.). Retrieved October 7, 2022, from http://kambalpandesalfranchise.weebly.com/about-us.html
• My Puhunan: Nutritious bread from Yelly’s Bakeshop [Video file]. (2016, November 23). Retrieved October 7, 2022, from https://youtu.be/tWQXjpid61g
• History of Cuevas Bakery [Video file]. (2020, April 22). Retrieved October 7, 2022, from https://youtu.be/sKy1fil2h1M?t=35

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How In Start adenine Bakery Business in the Philippines: A Beginner’s Travel

Go back to the hauptinsel article: Best Small Business Creative by the Philippines with High Profit

Table of Contents

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How much capital is needful to starting adenine bakery enterprise, 1. monthly to, 2. equipment, apparatus, dining, 3. ingredients, 4. parturition vehicle (optional), sample breakdown of investment requirements (pandesal business), a. costs a utensils, c. raw materials/ingredients, what are the pros and features of having a bakery business, how often does a bakery business earn, how to start adenine bakery business in the new: 12 steps, 1. evaluate the reason why to want to open ampere bakeries business, 2. take up baking tracks, 3. perform basic market exploration, 4. locate a good location, 5. decision regardless go franchise or go on you own, 6. secure the required permits and certifications, 7. start small, 8. buy baking equipment, 9. know your ingredients.

Alternatively, you can take inspirational out Yelly’s Bakeshop https://youtu.be/tWQXjpid61g '> 5 which capitalized on bread made from vegetables. According replacing flour with mashed squeezing or malunggay leaves, they’ve been ability the cut what and also quotation healthier, tastier, and cheaper choose to to consuming.

10. Price Your Products Strategically

A. sample product costing (pandesal business), i. indirect cost, ii. indirect cost, iii. production cost, b. sample product price (pandesal business), 11. recruit laborers, 12. learn how to innovate.

Whether it’s thru improving customer service oder offering products not found anywhere else, a bakery business have never stop conceptualizing, implementing, and testing ideas this will make them more memorable for its consumers. Bakery Trade Plan Template Example 1 - SENSITIVE Yum Yum Sweet From  Grandma'ʹs  Kitchen  to - Studocu

Tips and Warnings

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How to Start a Bakery Business in the Philippines 

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Starting a bakery business in the Philippines can be an exciting and rewarding venture. With the right planning, preparation, and execution, you can turn your passion for baking into a profitable enterprise.

In this guide, I will walk you through the essential steps to launch and manage your own bakery business successfully.

Why Start a Bakery Business?

When and where to start, step 1: define your business plan, step 2: register your business, step 3: set up your bakery, step 4: develop your menu, step 5: source ingredients and establish supplier relationships, step 6: recruit and train staff, step 7: implement effective marketing strategies, 1. offer customization options, 2: focus on quality and consistency, 3. prioritize customer service, 4. embrace technology, key takeaways.

Running a bakery business offers numerous benefits. Firstly, it allows you to indulge in your passion for baking while sharing your delicious creations with others. Secondly, the bakery industry in the Philippines is thriving, with a high demand for freshly baked goods. Finally, owning a bakery can provide a stable income and the opportunity for growth and expansion.

Timing is crucial when starting a bakery business. Consider the local market demand, seasonal factors, and competition. As for the location, choose an area with high foot traffic, such as commercial districts or near schools, offices, or residential communities. Ensure that the space is well-equipped with the necessary facilities and meets health and safety regulations.

How to Start a Bakery Business in 7 Steps

Develop a comprehensive business plan that outlines your bakery concept, target market, products, pricing, marketing strategies, and financial projections. A well-structured plan will guide your decision-making process and attract potential investors or lenders.

Visit the Department of Trade and Industry (DTI) or the Securities and Exchange Commission (SEC) to register your business name and secure the necessary permits and licenses. This includes securing a Mayor’s Permit, Barangay Clearance, and Food Handler’s Certificate.

Source high-quality baking equipment, furniture, and supplies. Create an inviting and functional layout for your bakery, including a display area, production space, and storage. Invest in a reliable point-of-sale (POS) system to streamline your sales and inventory management processes.

Craft a diverse menu featuring your specialty baked goods, such as bread, pastries, cakes, cookies, and desserts. Ensure a balance between classic favorites and unique offerings that differentiate your bakery from competitors. Consider catering to specific dietary needs, such as gluten-free or vegan options, to broaden your customer base.

Identify reputable suppliers for high-quality ingredients and establish reliable relationships with them. Opt for local suppliers whenever possible to support the local economy and ensure freshness. Maintain a well-managed inventory to minimize waste and control costs.

Hire skilled and enthusiastic bakers, pastry chefs, and customer service personnel who share your passion for baking and delivering excellent customer experiences. Provide thorough training to ensure consistency in product quality, food handling practices, and customer service.

Develop a strong online presence through a professional website and social media channels. Utilize digital marketing techniques, such as search engine optimization (SEO), email marketing, and social media advertising, to reach and engage your target audience. Build partnerships with local businesses and participate in community events to increase brand visibility.

Examples and Tips for Successful Bakery Business

Allow customers to personalize their orders for special occasions or dietary preferences. Offer custom cakes, pastries with personalized messages, or themed baked goods to cater to different celebrations and create a unique experience.

Ensure that every product leaving your bakery meets high-quality standards. Consistency in taste, texture, and presentation will build customer trust and loyalty.

Train your staff to provide exceptional customer service. Positive and friendly interactions with customers can leave a lasting impression and drive repeat business.

Explore online ordering systems, delivery apps, and loyalty programs to enhance customer convenience and retention. Embracing technology can streamline operations and expand your reach.

• Starting a bakery business in the Philippines offers a rewarding opportunity to turn your passion for baking into a profitable venture.
• Consider market demand, location, and timing when planning to start your bakery.
• Follow a step-by-step guide to set up your business, including registration, acquiring permits, sourcing equipment and ingredients, developing a menu, and hiring staff.
• Implement effective marketing strategies and prioritize customer service to attract and retain customers.
• Embrace customization options, focus on quality, and utilize technology for success in the bakery industry.

Now that you have a comprehensive understanding of how to start a bakery business in the Philippines , it’s time to take action. Embrace your passion, follow the steps outlined in this guide, and create a successful bakery that brings joy to your customers and prosperity to your entrepreneurial journey.

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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 your bakery’s 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 plan, and details your financial projections.

How To Write a Bakery Business Plan & Sample

The following information will provide a description of what to include in your bakery business plan along with links to an example for that section:

• Executive Summary – The Executive Summary section provides a high-level overview of your plan. It should include your company’s mission statement, as well as information on the products or services you offer, your target market, and your business goals and objectives.
• Company Overview – The Company Overview section provides an in-depth look at your company, including information on your company’s history, ownership 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. You will discuss trends affecting the industry, as well as your target market’s needs and buying habits.
• Customer Analysis – In this section, 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 – This section will provide an overview of your competition, including their strengths and weaknesses. It will also discuss your competitive advantage and how you intend to differentiate your bakery from the competition.
• Marketing Plan – In the Marketing Plan section, you will detail your marketing strategy, including your advertising and promotion plans. 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 store’s 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, you will provide information on yourself as the talented baker, your team, your experience, and your roles in the company.
• Financial Plan – In this section of your bakery financial plan, you will include your financial statements: income 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 >

Bakery Business Plan FAQs

How can i complete my bakery business plan quickly & easily.

Learn more about writing a successful plan by using this bakery business plan template .

Where Can I Download a Bakery Business Plan Template?

Get a downloadable bakery business plan template here . 

What Are the Main Types of Bakeries?

A bakery can be retail or wholesale. A retail bakery sells baked goods directly to customers, while a wholesale bakery typically sells products to other 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.

Learn More:  Seeking Funding from Angel Investors vs Venture Capitalists

What Are the Main Sources of Revenues and Expenses for a Bakery?

The primary source of revenue for bakeries is its baked good sales. This includes deliveries and online orders. Sometimes bakeries also earn from bulk orders from wholesalers or special occasions.

The key expenses for bakeries are rent, wages and salaries, ingredients and packaging.

What are the Steps To Open a Bakery Business?

Opening a bakery business can be an exciting endeavor. Having a clear roadmap of the steps to open a business will help you stay focused on your goals and get started faster.

1. Develop A Bakery Business Plan - The first step in opening a business is to create a detailed bakery business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your bakery business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your bakery business is in compliance with local laws.

3. Register Your Bakery Business - Once you have chosen a legal structure, the next step is to register your bakery business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options - It’s likely that you’ll need some capital to open your bakery business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Bakery Equipment & Supplies - In order to start your bakery business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your bakery business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful bakery business:

• How to Open a Bakery Business

Where Can I Get a Bakery Business Plan PDF?

You can download our free bakery business plan template PDF here . This is a sample bakery business plan template you can use in PDF format.

Bakery Business Plan Template

Written by Dave Lavinsky

Bakery Business Plan

If you want to start a bakery business or expand your current one, you need a business plan.

Over the past 20+ years, we have helped over 5,000 entrepreneurs and business owners create business plans to start and grow their bakery businesses. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a bakery business plan step-by-step so you can create your bakery’s business plan today.

Download our Ultimate Bakery Business Plan Template here >

How To Write a Business Plan For a Bakery

Executive summary.

The executive summary is the introduction to your business plan, although it is often written last. It helps investors and lenders quickly decide whether they are interested and should read more, so the first page must get right to the point. Include a concise description of your bakery (or bakery concept if you are a startup), a short analysis of the market, proof that customers are willing to pay for products, and an explanation of the unique qualifications that ensure your bakery will be a success.  

Company Overview

This section of your bakery business plan provides a comprehensive look at the company’s history. Include details on your bakery’s legal structure, founding, location, and current business stage, as well as your past accomplishments and unique qualifications. Clearly explain anything that makes you a strong competitor in this market, such as existing contracts with retailers, a head baker with impressive restaurant credentials, or exclusive access to award-winning recipes.

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In this section you should also give an overview of the type of bakery you operate or will operate in the future.

For example, do you or will you operate a:

• Traditional bakery (selling breads, biscuits etc.)
• Commercial bakery
• Bakery specializing in wedding cakes
• Wholesale bakery
• Doughnut shop
• Pastry shop
• Bakery Cafe
• Food truck bakery
• Home Bakery

Industry Analysis

This section assesses that bakery industry and how your bakery fits into the existing landscape. Address any challenges that you unearth with a solid strategy for success. Also keep in mind that your market is not the entire baked goods market. Rather, it is your niche of that market.

For example, while the baking industry in the United States generates more than $30 billion per year in revenues, your bakery will only comprise a fraction of that amount depending upon your geography, focus, etc. So, zero in on the specific products and customers you plan to target and focus your analysis on those elements.  

Customer Analysis

This section of your plan details your bakery’s target audience, that is the customers you will serve. Note that in many cases, a bakery might target multiple market segments. Do you plan to target brides to be? Children’s birthday parties? Upscale families who regularly hold private events for 100 or more guests?

Or do you primarily serve walk-in customers. This segment usually comprises neighborhood resident who know about your bakery, and who tend to visit regularly.

Even if you’re not a commercial bakery, you might serve local delis, grocery stores and bodegas. Clearly, it helps a bakery’s sales if it has a greater number of distribution points. The same is true in the case of restaurants. A bakery can supply breads, bagels, cakes, pastries and other products to restaurants and hence create a larger customer base.

Whatever target markets you serve, clearly define them in your business plan. Detail the demographics of each. For example, are they wealthy males and females? Are they college students? Are they local restaurants? Whatever the target customers, you need to identify and detail them so you’ll know their needs and can better serve them.

Likewise, discuss the psychographics of your target customers. Are they price conscious? Is quality the most important issues they will use to judge your bakery? Do they insist on reliability and premium service?

In addition to documenting the demographic and psychographic variables that define your target market, detail how your bakery will meet their unique needs.

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Competitive Analysis

This section of your bakery business plan details your direct and indirect competitors. Direct competitors are other companies who fulfill the same need for the same target market, most likely others selling similar baked goods. Your indirect competitors are those who fulfill a different need for the same target market, or those who fulfill the same need for a different target market. An example of an indirect competitor could be a nearby coffee shop.

In your plan, name and describe your direct competitors individually, and explain what sets your bakery apart from them. Create a more general category for your indirect competitors and discuss them as a whole.

Finally, detail your areas of competitive advantage and what will make you distinct. Most successful bakery owners identify products that no other local bakeries offer, such as a treat that is exclusive to your bakery and that drive customers to frequent your store. Also, based on the demographics and psychographics discussed above, you may be successful being the only local bakery selling nut-free cakes, or making vegan and gluten-free baked goods with local and organic ingredients.  

Marketing Plan

Your bakery marketing plan explains how you will penetrate your target market, based on the four P’s: Product, Price, Place, and Promotion.

The Product section explains all the products and services your bakery will provide. Price refers to the price points at which you will sell each item, along with your reasoning for choosing those prices. Place explains all your distribution methods, such as your retail stores, your company website, and third-party retailers. Promotion defines the ways you will entice customers to purchase your baked goods, such as free samples and web advertising.

In addition to describing the four Ps your bakery marketing strategy, you should explain how you will retain existing customers through loyalty programs or other methods. Also, in this section of your plan, particularly if you are startup retail bakery, you should detail the design and display of your location.

Clearly, your bakery’s storefront should be designed in a way that attracts walk-in customers. Consult an interior designer to get insight on how to create a warm and inviting ambience in your bakery.

Operations Plan

The operations plan explains the processes by which you will turn your vision into a reality. It includes the everyday short-term processes involved in physically baking your products, managing your retail space, packaging your baked goods, conducting sales transactions, choosing and working with vendors, and delivering the finished products to your customers among others.

Your operations plan must also include the long-term processes involved in growing your company, such as introducing new products or retail stores, achieving specific sales milestones, and hitting other important business-oriented goals such as hiring new employees, launching new locations, etc.  

Management Team

This section provides biographies of the key members of your company’s management team, with an emphasis on strong business skills. Focus on educational background, previous experience with successful start-ups, and other elements that demonstrate your and/or your team’s ability to build a company. A strong advisory board can help make up for weaknesses provided you clearly articulate how your advisors will directly impact the company’s growth.

Financial Plan

The financial plan is often the most difficult part of the business plan to write, yet it is the section that potential investors and lenders spend the most time analyzing.

Provide a list of all revenue streams, including their relative importance and timeline for implementation, as well as the amount and expected sources of outside funding. Include a summary of past (if applicable) and projected Income Statements, Balance Sheets, and Cash Flow Statements. The assumptions made in these documents must be reasonable and verifiable based on an analysis of similar companies.

Make sure you don’t miss anything when putting together your financial projections or you could lose credibility in the eyes of readers of your plan. For example, make sure you adequately enter costs which most bakeries incur such as space (owned or rented), equipment (planetary mixers, cylinders, gas stove, cooling fridge, deep fridge, storage utensils, etc.), electricity and water, staff, furniture and décor, licenses, insurance and legal fees.  

The appendix includes your full financial projections, as well as any other documentation that supports the claims made in the business plan. For example, it might include a list of key existing customers or letters from potential partners. Likewise, if you’re a startup bakery, including sketches of the proposed store design should appear in your appendix.  

Putting together a business plan for your bakery business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the bakery business, your competition and your customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful bakery business.

To further help you, we have other articles on key aspects of how to start your bakery . and running it effectively. Specifically, our bakery marketing plan will help you develop the best promotions strategy. Our bakery startup costs post will let you know what costs to expect.

Bakery Business Plan FAQs

What is the easiest way to complete my bakery business plan.

Where Can I Download a Bakery Business Plan PDF?

You can download our bakery business plan template PDF here.

Our bakery business plan PDF is a free resource to help you get started on your own business plan. This is a business plan template you can use in PDF format for a bakery, home bakery, wholesale bakery or any other type of bakery.

What Is a Bakery Business Plan?

Why Do You Need a Business Plan?

If you’re looking to start a bakery or grow your existing bakery you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your bakery in order to improve your chances of success. Your bakery business plan is a living document that should be updated annually as your business grows and changes.

What Are the Sources of Funding for a Bakery?

Bakeries are usually funded through small business loans, personal savings, credit card financing and/or angel investors. This is true for a home bakery business plan too. This is true for a wholesale bakery business plan, a home bakery business plan and a commercial bakery.

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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

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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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Starting a Bakery Business Plan (PDF)

A bakery can also be known as a pastry shop or a confectionary. When dealing with the bakery industry we are looking at products such as bread, cakes, pastries, cookies, muffins, and pies, amongst others. It is basically food products baked from flour or other grain meals. A bakery business is a very profitable venture if operated efficiently. It is not enough to be able to make good bread or cakes. A bakery business is an enterprise that requires resources and planning. The quality of your output is important. However, you also have to create an environment within which customers can access your products at great prices. At the highest level, the bakery business is capable of producing incredible profits and prestige. This article will outline how to start the bakery business, and the bakery business plan – PDF, Word and Excel.

Above all you should develop a passion for the enterprise given the hard work that is required of you. The great thing about this model is the possibility of transitioning from other corporate endeavors straight into bakery. Moreover, you can do it as a side business without hindering your other profession. The range of possibilities includes a family-owned and run home business. You can also become a major corporate entity that caters for major events.

Market Research

Before you go further along with the bakery business this must be your primary focus. Who do you intend to cater for? This question is your launch pad into ultimately coming up with a comprehensive marketing strategy for your bakery business. In fact, insights from your market research have ripple effects towards all other components in setting up the bakery business. You must appreciate the fact that you must niche which entails targeting a particular market. It’s not that easy to cater for the whole breadth of the market because that might be unsustainable due to high costs. Therefore you must be diligent enough to figure out which specific portion of the market you’ll target. When conducting market research you must closely study people’s eating out behaviours, check the age range dynamics and also analyse the levels of income of your prospective target market. This is why it is important to have a good bakery business plan before you start this business.

Location and Premises

This here is a component that’ll be greatly informed by your target market. You want a scenario where your bakery store is ideally located at a spot characterised by high volume vehicle and foot traffic. It shouldn’t just be about traffic only though; it must be close to or in an area where your intended customers are abundantly found. Another vital feature to consider is the availability of adequate and secure parking space and easy access to mass transportation. The best approach to take is to locate your bakery shop in an area close to other businesses that can lead to customer inflows for you. For instance, locating it at a shopping centre, shopping mall or central business district (CBD) creates prospects of regular customer inflows. The premises should be large enough to accommodate all your equipment, offices, and space for customers. Your bakery business plan should cater for the costs of buying or leasing the premises.

Competitive Analysis

There are already established bakeries wherever you might think to start a bakery business. There are also new and upcoming bakeries as well. Thus you cannot turn a blind eye to competition. You have to study all your competitors to figure out their business profiles. This entails their products and services, market shares, distribution network, operating times, payment methods, customer segments, and so on. A thorough look into all this shows you loopholes and market gaps.

You have to seek to build a bakery business that has several differentiators. Tweaking operating hours can become one of your differentiators. A strategic location can also be a differentiator. It could be a unique product range that can differentiate you. Maybe it could be allowing online orders, payments and offering home deliveries. All these aspects are best figured out after studying your competitors. Remember, consumers are always looking for convenience and cost savings.

Equipment for a Bakery Business

The bakery will require a variety of equipment. The fixed items will delve a lot into your initial capital outlay. This is because you will typically purchase big ticket items such as ovens, fridges, mixers, bakeware, bread slicers, display case and utensils. The costs of purchasing the bakery equipment should be included in your bakery shop business plan. You may consider purchasing preowned equipment as a way of cutting down your startup costs.

Permits/Licenses, Insurance & Business Bank Account

Permits/licenses.

The first thing is to register your bakery business. After that you must get properly licensed. A bakery business is in the food industry. In the food industry there are strict regulatory frameworks to adhere to. You will need to apply for a business license from the relevant often local (municipal) authorities. Prior to getting that food license your earmarked premises will be thoroughly inspected. It varies from place to place but there will be a long list of things your premises must have or satisfy. Some of the critical areas inspected or inspected for are drainage system, waste management system, ventilation system, sanitary facilities, and Hazard Analysis and Critical Control Points (HACCP), amongst others.

Insurance & Business Bank Account

There are so many things that could go wrong in a bakery. Important assets can get damaged or destroyed. There are several risks that can affect workers as well. The smartest thing to do is to get insured. Contact your nearest, reputable insurance provider and get the necessary guidance. This might seem unnecessary but when something happens in the future you will be glad you got insured.

Then buttress insurance by opening a business bank account for your bakery business. It helps make financial management easier. Most importantly it will help separate your personal finances from those of your bakery business. In the event something catastrophic happens with the bakery business, it will sink alone. It will not sink with you. This is a principle in financial literacy many people in business are yet to grasp.

Bakery products

There are so many different types of bakery businesses that you may want to explore. Your decisions are determined by four primary considerations:

• The amount of capital that you have
• Your skills and competencies
• The business aims, goals and objectives
• The tastes and preferences of your customers

Each of these factors can change throughout the planning and implementation process for the bakery business. Therefore, you need to constantly adjust your bakery business and product selection accordingly. You have a number of options and niches that might just suit your client base. Examples of products that your bakery can offer include bread, muffins, rolls, cakes, donuts, buns, pizza, tortillas, cookies, biscuits, pies, bagels, scones among others. The products you are going to offer should be included in your bakery business plan.

Staff And Management

The effective running of a bakery business requires a significant workforce. As a rule of thumb, your bakery staffing needs are always informed by your intended scale of operations. Some of the key areas in this business are operations management, financial management and inventory management. At the minimum you need pastry chefs, waiters, cashiers and logistics personell. Other required staff include accountants, supervisors, security team, stock controllers and managers, though this depends on the size of your bakery.

Your bakery should have sufficient number of well trained staff. This is because repeat purchases and ever-growing customer inflows are a product of swift and quality service from the staff. Having a small or skeletal staff makes it very difficult to provide swift service. Remember we are living in a fast-paced world where people don’t want to be kept waiting for too long. The salaries of all your employees must be catered for in the bakery store business plan.

Marketing Plan

An official launch is important.

Kick-starting your bakery business can get a boost from doing an official launch. This follows that you would have set up a website and social media accounts. This also follows that you would have been active and engaging with people online and on the ground. All that must culminate into an official launch along with a press release. You can offer free samples on the day as well. Adorn the place and make it lively on the day such that it attracts people. People generally love new outlets, new offerings, and free food. Your initial pricing should be penetration pricing. This means you price lesser than existing players to lure customers to your business. Make the most out of the official launch.

Used A Blended Marketing Approach (Offline And Online)

Afterwards the focus becomes building your audience online. By the way, incorporating online ordering and payments on your website will be a game-changer. Regularly post useful, fun, and informative content daily. Conduct online competitions with giveaways of your products or branded items. All your promotional material, be it physical or virtual, must be high definition. That is a must in the food industry if you want your marketing material to stand out. If your scale of operation is substantial consider potential bulk, recurring clients. Engage them with proposals on how you can be their supplier. These can be companies, food outlets, schools, and the like.

The market for bakery is huge and ever increasing. There is always huge demand of different types of  baked goods. The market for a bakery include individuals, families, hotels, guest houses , supermarkets, companies and organizations. Your bakery should have fair prices that keeps you in business. Do not be tempted to compromise on quality as a means of correcting errors in your budgeting process. Those entrepreneurs that are running local family businesses should be careful about giving discounts to loved ones. This is because they could end up destroying the bakery business before it gets a chance to establish itself. A proper marketing strategy should be included in the bakery business plan.

Keys To Profitability

Your choice of location is a major part of making your bakery business profitable. You ideally need a spot that has high human and vehicle traffic. If that is not possible then the important key becomes your distribution network. The other key is to cultivate a huge clientele mostly comprised of bulk and recurring customers. These are customers who require your products in bulk daily. Economies of scale are a major aspect; scale your operations sooner. Identify your major costs and manage, preferably lessen them. For instance, 60 percent of costs may go to raw materials and remuneration. Your product range must be diversified and comprehensive but informed by market demand. This will ensure you always have and sell fast-moving products. This is one of the best food industry businesses you can start. There is vast room to diversify. You can scale and can pivot if needs be. Best of all, the market for baked foods is always there.

Pre-Written Bakery Business Plan (PDF, Word And Excel): Comprehensive Version, Short Funding/Bank Loan Version and Automated Financial Statements

For an in-depth analysis of the bakery business, we encourage you to purchase our well-researched and comprehensive bakery shop business plan. We introduced the business plans after discovering that many were venturing into the bakery shop business without enough knowledge and understanding of how to run the business, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.

The StartupBiz Global bakery business plan will make it easier for you to launch and run your bakery business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. This is a complete business plan for bakery. It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the bakery shop business.

Uses of the Bakery Shop Business Plan (PDF, Word And Excel)

The bakery shop business plan can be used for many purposes including:

• Raising capital from investors/friends/relatives
• Applying for a bank loan
• Start-up guide to launch your bakery business
• As a bakery shop business proposal
• Assessing profitability of the bakery business
• Finding a business partner
• Assessing the initial start-up costs so that you know how much to save
• Manual for current business owners to help in business and strategy formulation

Contents of the Bakery Business Plan (PDF, Word And Excel)

The business plan for bakery shop include, but not limited to:

• Marketing Strategy
• Financial Statements (monthly cash flow projections, income statements, cash flow statements, balance sheets, break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization)
• Industry Analysis
• Market Analysis
• Risk Analysis
• SWOT & PEST Analysis
• Operational Requirements
• Operational Strategy
• Why some people in the bakery business fail, so that you can avoid their mistakes
• Ways to raise capital to start your bakery business

The bakery shop business plan package consists of 4 files

• Bakery Business Plan – PDF file (Comprehensive Version – 83 Pages)
• Bakery Business Plan – Editable Word File (Comprehensive Version – 83 Pages)
• Bakery Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying for a loan/funding – 41 pages)
• Bakery Business Plan Automated Financial Statements – (Editable Excel File)

The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the percentage markup, salaries etc, and all the other financial statements will automatically adjust to reflect the change. 

Click below to download the Contents Page of the Bakery Shop Business Plan (PDF)

Testimonial 8

Just wanted to say I am very happy with the business plan and I will gladly recommend your products, thank you very much and have a great day.

Testimonial 4

The business plan which I purchased from your website saved me TIME and MONEY! The layout of the business plan was excellent. The financial statements were detailed and easy for me to edit. I will come back to purchase another business plan soon.

Testimonial 2

Many thanks for your incredibly efficient service and thorough business plan. I am very impressed with the business plan. Before I bought the business plan, I tried to do my own business plan – it was such a nightmare and it turned out badly, also not to mention the stress it caused me. I wish I knew about your website earlier!

Testimonial 7

I found Startupbiz Global online when I was in desperate need of a business plan. I was overwhelmed by the quality of the business plan, it’s comprehensive and well researched! I did not have to wait to get the business plan, I got it instantly after payment. I highly recommend Startupbiz Global, and would happily use them again in the future.

Testimonial 5

I was able to understand the business side of farming because of your business plan. You did extensive research; the business plan was well prepared and fully detailed.  It made everything clear, and I have somewhere to start now. I am confident that I am going to succeed in my business because of the guidance from your business plan.

Testimonial 1

StartupBiz Global provided a very professional and comprehensive business plan which I used for my business. The business plan was easy to edit, and I was able to get the funding which I wanted. I highly recommend their business plans.

Testimonial 3

I was extremely lucky to come across StartupBiz Global. Their business plan exceeded my expectations, and most importantly I was able to secure a loan from my bank. Thank you guys, now my dreams are coming true!

Testimonial 6

I purchased a business plan from you, and I’m glad to inform you that I was able to get my loan, and I’m starting my poultry farming business on the 1 st of July. This was made possible because of your business plan. Thank you very much, you made my dream come true.

Get the Bakery Business Plan (PDF, Word And Excel)

Click Buy Now  below to purchase using Paypal, Credit Card, or Debit Card. After you have purchased, you will immediately see the download link for the business plan package on the screen. You will also immediately get an email with the business plan download link. The Pre-written business plan package (PDF, Word, and Excel) costs $30 only!

If you want to purchase multiple business plans at once then click here: Business Plans Store.

The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on [email protected] and we will assist you.

We wish you the best in your bakery business! Check out our collection of business plans  , and more business ideas .

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Marketing Strategy For Bakery Business: Pandemic-Proof

• Post author: Marian Manalo
• Reading time: 14 mins read

With a saturated industry and the COVID-19 pandemic affecting us beyond 2021, how do you sustain and increase your sales amidst this pandemic? It’s hard to make a digital marketing plan/strategy for a bakery business or even start a bakery or baking business from home.

Based on our more than 25 years of experience, it’s not simply about hard work.

It combines hard work with multiple effective marketing strategies to help catapult your bakery, bakeshop, cake, or cupcake business amidst a pandemic.

Another critical aspect of a business plan is the digital aspect. Bakery owners struggling during this pandemic should look at their digital marketing strategy for some quick wins. The best way to increase your business is by investing in digital marketing. This includes having a strong website and using social media. In addition to this, you should also invest in bakery branding. Creating an impressive bakery logo will help get the word out about your work!

Totally FREE

Now, business “experts” would charge you thousands of pesos for it. We won’t.

Instead, we’ll give it to you for FREE.

You heard that right. We will give you this Bulletproof E-Book About How to Increase Bakery Sales During the Pandemic for FREE. Moreover, we’ll give you business tips that will help your bakeshop (home or commercial) survive this pandemic.

This Marketing Strategy For Bakery Business Survival Guide E-book , will show you how to:

• Instagram Followers Hack
• TikTok Songs For Business
• Facebook Ads For Food Business
• Get many potential clients for free
• Not run out of baking ingredients ever again
• Craft a promo customer cannot resist
• Set a clear action plan to achieve your business goals.

All you must do is Register HERE to get your FREE E-book on how to increase bakery sales during this pandemic in 2021 / Digital Marketing Plan for Bakery Business.

See you on the other side. Here’s to your success! 🥂

FAQs About Bakery Business Now and This E-Book

Yes, this e-book is free. Just click the link, redirecting you to our download page, and you’ll have access to a PDF copy of the book. Enjoy!

There are a few ways that a bakery can increase sales. One is by offering promotions and discounts. Another is by expanding their menu to include new items that customers might be interested in. And finally, they can try to increase visibility and awareness of their bakery through marketing and advertising.

The biggest challenge for a bakery during this pandemic is ensuring the safety of their employees and customers. This means ensuring that all surfaces are clean and disinfected, that employees wash their hands regularly, and that all products are properly packaged and sealed. It also means avoiding contact with anyone showing symptoms of the virus. Bakeries may also find it difficult to get the ingredients they need, as many suppliers have been shut down or are facing shortages. However, bakeries can usually survive by using alternative ingredients such as different types of flour or sugar.

Sadly, most bakeries fail because they don’t measure up. The competition is too stiff. There are too many talented bakers and not enough customers to go around. Being a successful baker takes a lot of hard work and dedication. You have to constantly innovate and develop new ways to stand out from the rest. But even if you have the best product in the world, if nobody knows about it, you won’t make any money. So promotion is key. Most bakeries fail because they underestimate how important marketing is. They think that simply making great products will be enough to draw customers in, but that’s just not

If you’re looking to promote your bakery, there are a few things you can do to get started. First, make sure you have a strong online presence. Make sure you have an up-to-date and eye-catching website, and create social media accounts on platforms like Facebook, Instagram, and Twitter. Post regularly on these accounts, tagging relevant people and hashtags to reach as many potential customers as possible. In addition to promoting your bakery online, consider advertising in local publications or partnering with other businesses in your area. For example, if you’re in a tourist town, see if you can partner with hotels or bed & breakfasts to include your baked goods in their welcome baskets for guests.

Check Our Delicious Dessert and Snack Recipes

Want more mouth-watering dessert recipes? Check out these recipes:  Apple Pie Recipe ,  Homemade Pizza Dough Recipe ,  Banana Muffin Easy Recipe ,  Ube Cheese Pandesal Recipe , and  Korean Cream Cheese Garlic Bread . While you’re at it, try this  Dream Cake Recipe  as well. 

Still can’t get enough of our dessert recipes? Check out our  Sushi Bake Recipe  and  Calamansi Boracay Muffin  recipes! 

About HICAPS

Over the years, HICAPS has helped bakers and businesses make delicious products by offering ingredients like  ChiffonAide Cake Oil ,  Magic Whizk Instant Whipping Cream ,  Red Velvet Emulco Flavor and Color ,  Ube Yam Emulco Flavor and Color , and  HICAPS Buttercream Prime Butter Blend . 

In addition, HICAPS provides tools and resources to valued partners such as our article on How To Tell If A Baking Business Is Doing Well , 5 Powerful Sales Strategies to Turn Cold Leads into Loyal Clients and  Filipino Food Photography: The Ultimate Guide . Moreover, we offer a free online dealer locator that helps look for baking supplies near you . We also have free Recipes for Chicken e-book.

Want more free tips and tutorials? Follow us on Facebook at  Hicaps Mktg. Corp.  and on YouTube at  HicapsTV . 

Want to be one of our valued partners?  Fill this form out .  Looking forward to talking to you soon!  

• About the Author
• Latest Posts

Marian Manalo is a licensed Chemical Engineer from De La Salle University in Manila, Philippines. With over 20 years of experience in sales and marketing, she knows how to navigate through complex business dealings with ease. She’s always able to come out on top, thanks to her sharp negotiating skills.

When she’s not closing deals or planning product launches, you can find Marian in the kitchen baking up a storm – her delicious creations are definitely worth tasting! Marian also enjoys exploring new places and tasting their unique cuisine. She’s always up for an adventure, and she’s never afraid to try something new (especially when it comes to food).

• How to Promote Your Bakery
• Most Popular Bread and Cake Flavors List in the Philippines 2021
• Restaurant or Cafe: Differences and What to Choose

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A huge problem with doing baking in this country right now are the fragile supply chains that could get broken at any time. Since the country imports its wheat, that could stop at any time and you have nothing to bake with except rice flour.

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Feel free to visit my webpage Christinia Flato

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A business plan for "Kopinoy"

The essence of coffee as a satisfying drink that most people are looking for, considering that Filipinos consume about 21,600,000 cups of coffee a day according to Nestlé’s consumer marketing division, drove the owners to start a new coffee shop business, “Kopinoy”. The name, “Kopinoy”, is a combination of the word ‘coffee’, the primary product of the business, and ‘Pinoy’, the mainstream term used in referring to Filipinos, will be a newly established coffee shop that will put up a new way of making coffee and will provide a different and enjoyable customer service experience.

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