Bakery Business Plan Chapter I

CHAPTER I BUSINESS DESCRIPTION Jaybie bakery is a confectionery organization in Mlipuko town; that sells high-end baked goods to retail and wholesale customers. The company also offers cake decorating classes from Monteil, the leading food crafting company in the industry. The organization rests on experience, business skills, relationships and enthusiasm. RETAIL The retail portion of the business services walk-in customers Monday through Saturday from 10am to 6pm. The products offered at the retail location includes: cakes, cupcakes, cookies, pies and beverages the-at either pre-made or made to order. In addition to providing high quality products, our retail location will also serve as the venue for decorating classes. WHOLESALE Our wholesale customer consists of cafes and coffee shops, restraints and hotels and local street market. We are preferred channel providing cakes, cupcakes, cookies and pies for the county clubs, wedding planners, caterers and other channels to take advantage of seasonal demands for confections. CLASSES We offer more than just a cake decorating class – Jaybie bakery represents an “experience.” The students are provided with the instructor, hands-on experience, basic understanding of the basis in baking and decorating and design know-how. BUSINESS NAME The name of the business is “JAYBIE BAKERY” derived from my first and second name as they appear because most of my friends used to call me that name that why I decided to be that way and it’s so unique among all other bakeries that I have ever heard of. BUSINESS LOCATION AND ADDRESS It’s located along Mauzo road, ZiaraStreet, plot number: 6449886-72 past Musto Petrol station on Moghe plaza opposite Talas Supermarket. Land registration number 649-8649BH9 and the location is 100 by 300 feet with the 22,700 square foot buildings. The raw materials are easily reachable because its only five kilometer from the bakery in addition to that, the site is furnished with the large second hand equipment needed for the operation thus unnecessary to purchase large and expensive machinery. The postal address is: P.O. BOX 69-20406, MLIPUKO. +254710049664 jaybiebakery@yahoo.co m MLIPUKO TOWN ARIEL VIEW FORM OF BUSINESS OWNERSHIP Jaybie bakery is a limited liability company in order to blend characteristics of a corporation and sole proprietorship and take advantage of flow through income taxation. TYPE OF BUSINESS The business belongs to me because I was the founder that is the Manager. The initial capital was one hundred thousand (Ksh.100,000) wh ere I started as a small bakery supplying the products to the mere retail shops, hotels, cafes and supermarkets but as time went by, it has expanded reaching to an extent where I only contribute 20% from my basic salary to finance the business. PRODUCTS AND SERVICES RETAIL Jaybie bakery sells a wide range of high-quality cakes, cupcakes, cookies and treats whereby each item is made from scratch using all natural ingredients sourced from largely local suppliers. These supplies involve no preservatives to provide for high-end and divine flavor and taste. It’s important that our items not only taste delicious but also look appealing and attractive to the eye because we add the extra little touch to every product, whether it is a sparkling sugar daisy on a chocolate cupcake or a buttery harvest leaf on a thanksgiving pumpkin pie. Our location is designed in a way that customers are able to enjoy a setting that is a pleasant as the product they are consuming. WHOLESALE The products that our wholesale customers order are of very high quality. Just as with the retail portion of the business, the products are the wholesale are made with quality ingredients and properly prepared. While a few of the products will be the same at the retail and wholesale locations, certain items will be specifically made for particular wholesalers depending on customer orders. The bakery also manages delivery to wholesale customers. CLASSES The students that take the decorating courses are provided with the engaging, exciting and authentic experiences. Our trainers teach students the very basics of how to frost a cake in Discover Cake Decorating to make edible yet delicate carnations. As the business grows, unique specialized classes are offered covering baking techniques and more advanced sugar and pastry classes. JUSTIFICATION OF THE OPPORTUNITY This business originated because people in the surrounding region in the olden days used to enjoy the cake from one of the companies but due to bad organization it failed an idea came to my mind and I started the business in order the peoples demand and fulfillment of their needs. I stood in order to fill the left gap in order to satisfy the local demand thus it has really brought impact to the whole county and bordering places by form of employment opportunities and also the economy to rise. THE INDUSTRY The bakery covers a total area of about 3 hectares of land whereby comparing of offices and other buildings. We have improvised our business whereby almost all the work was done manually but now there is use of computer for easy access of information and communication with the supplier and customer and also the machines are being used to reduce the workload. WORK PLAN 4:00AM-Start baking 8:00AM-Bakery opens Leave for farmers market 6:00PM-Bakery closes OBJECTIVES OF THE BUSINESS Our aim is to bring and create employment opportunities, to improve the people’s living standards of the community and the entire county in general. We provide confection products and services by retailing and wholesaling tasty treats and hosting treats design classes. The bakery is dedicated to providing high quality deserts to a variety of customers and we are also concentrating on the high end market of products as we maintain the focused differentiation strategic position in the food and education industries. We are also intending to generate profit to provide a fare return to our investors and to expand to the business into other surrounding communities. ENTRY STRATEGY Our committee decided to lower down the prices of our products so that we could attract more customers through open day and special event offers that really motivate and attract more customers. We have been using the word of mouth and public perception which has been immensely important in both aspects. Customers must first understand that our products are made with quality ingredients and thus taste better than many of our competitors. The former students spread word of mouth in two ways; experiencing the enjoyment of the class and encouraging others to take the class and encouraging others to take the class and also developing a trust and relationship with Jaybie Bakery and therefore recommending the business to others. The bakery will advertise in cooperating with other businesses thereby recommending our partnering businesses to customers for example wedding planners and photographers. Our wholesale customers will be promoting and advertising our product branding order to develop further business for themselves through their menu, display case, Jaybie Bakery logo among others. GROWTH STRATEGY For our bakery to be the way it’s today it required much reinforcement in different departments whereby we recruited and employed new qualified personnel who had a lot of experience. Created more space for expansion where the building was enlarged and extra resources put in place because had raised so high and also more vehicles were increased in the stock to enhance faster delivery and distribution of products to customers’ shortest time possible. The untrained staff was all taken to be trained on most concepts and operating the new purchased computerized instruments and equipment. In the past time there were no activities such as the workers being motivated but we had to introduce them in order to increase their morale of working and their salaries boosted that really encouraged and motivated them.