Tips For Writing a Grocery Store Business Plan
Opening a grocery store can be challenging because the big box stores and supermarket chains can offer a wide variety of products at low prices that small stores can’t. However, neighbourhood shops that stock local and sustainable foods find their footholds as people seek out healthy, chemical-free, locally sourced, fair-trade options. Like most of the rest of the world, Canadian shoppers have also discovered that a global crisis like COVID-19 can interrupt food supply chains, so they have turned their eyes and habits towards home.
If you are considering opening a grocery store or neighbourhood supermarket, it’s almost certain that you will require funding, either from private investors or commercial lenders. You will need to convince them that your idea is sound and that your store will turn a profit. The business plan is the tool that does that.
But where to begin?
A business plan consultant can prove to be the most valuable resource you utilize on your entrepreneurial journey. As professional business plan writers, they work with you to craft your professional business plan, aid you in developing a successful marketing strategy, and help you to avoid some of the more common startup pitfalls. Considering these points, business plan writing help is worth exploring during your initial days of conceptualizing a grocery store business plan.
What should I include in my business plan?
Your professional business plan writer will make sure that your plan is detailed, thorough, and contains the information that lenders or investors are looking for. If you decide to do this on your own, make sure to do your homework, so you are prepared to provide the critical information your business plan will need.
- Be clear about your Mission Statement: What kind of store are you planning to open, and what are its goals and objectives? The mission statement gives the reader an immediate sense of what your business is about, what you want to do, and the impact on the local market.
- Provide a detailed Market Analysis: Likely, one of the reasons you’d like to open a grocery store is because you see that a particular niche is unfulfilled. Maybe the neighbourhood is ethnic, and the people who live there can’t find the food they are familiar with. Or perhaps the demographic is one where residents deliberately seek out vegan or organic offerings. Let your research show the need for your store and then outline how your business will meet that need. Conduct informal neighbourhood polls, meet with the current store owners, talk to local growers, and carefully document your findings. Also, access online market research databases to see how the industry is performing and where it’s headed.
- Describe the experience of your Management Team: Your investors/lenders will want to know the background of the people working for you. Experienced staff give a sense of security to lenders, including detailed resumes for the people already on board or a detailed job description for each position you intend to fill.
- The Financial Plan: Next to doing market research, writing this section will require the most time. This part is very comprehensive, but your business plan writer is skilled at putting this together. You will include itemized startup expenses, startup assets, profit and loss projections, break-even analysis, and cash flow projections. Profit margins are traditionally slim for grocers, so be detailed when working out the sales forecast. Your market research ties in here and should support your projections. Lenders understand that it takes time for a business to be profitable, but the bottom line is that your financial plan will need to be clear about a break-even point in time.
Once you obtain the funding, it isn’t time to toss your business plan into your computer’s documents folder. Securing financing is just part of it. Your business plan functions to help you define your objectives and describe how to meet them. Mark, your calendar to review your business plan annually to ensure you are meeting the goals. As your business grows, you’ll want to edit your plan to reflect that growth. If you need a business plan writer, have questions about business plan cost or business plan writing help, contact Adept Business Plans Inc., for a quick discovery call.
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