How to Write a Business Plan for a Food Business
Do you own a food business in Nigeria or do you have a plan to own one? If your answer is yes, then you need a business plan. Many businesses underestimate the importance of business plans, this is one of the major reasons why so many businesses fail. As the owner or prospective owner of an SME in Nigeria under the food sector, it is imperative to have a business plan. Let’s show you how to write a simple business plan for your food business.
What is a Business Plan?
A business plan is a plan that shows how your business will work and succeed. It is also the road map that guides your business from conception to success. There are different kinds of business plans depending on the purpose and the kind of business. A small food business doesn’t need a complicated business plan. If you are an SME in Nigeria, then you can have a one-page business plan.
Steps to Writing a One-Page Business Plan for your Food Business
This type of business plan is also known as a one-pager. It pushes you to produce clear thoughts about your food business because of its framework. The whole idea revolves around putting all the essentials on a single page.
Here’s what your one-page food business plan should contain:
a. One-line pitch
b. Business Summary
c. Management
d. Customer Problem
e. Product/Services
f. Target Market
g. Sales/Marketing Strategy
h. Financials
Below is an outline of a sample business plan for food products or restaurants and bars.
a. Company name – This is where you fill in the company name. We will make use of ZFT Foods in this post.
b. Product name – What product are you selling to the public? You can have a range of products or a single product. Most food businesses have a range of products.
c. Customer problem – What problems are you trying to fix? This gives you a clear picture of who your target market and your competitors will be.
One-page Business Plan for Food Business
One-line Pitch
The one-line pitch helps you to grab the attention of the person reading your business plan. Don’t mistake this for a slogan or catchphrase, it is a pitch. So you can go with something like:
Enjoy amazing local and continental dishes at an affordable rate at ZFT Foods. We focus on providing healthy and delicious meals to meet your daily needs.
Business Summary
The business summary provides a clear description of the business and its objectives. You can also mention the products briefly, even though there’s a whole section dedicated to product description.
a. Business name – ZFT Foods
b. Business location – No. 123, XYZ Street, City, and State.
c. Business mission and vision statements.
d. A brief description of what the business is about.
Management Structure
This section of the one-page business plan describes the leadership of the business, you will be answering questions such as:
a. Who owns the business?
b. Who runs the business?
c. Who else is on the management team?
Give a comprehensive description of the individual, stating their qualifications for the job. If you have partners, state who they are and also their qualifications.
Customer Problem
This is the basis of your business and determines the structure, raw materials, capital required, etc. Here’s an example to make this point clearer.
Customers on XYZ Street and its environs need tasty affordable meals in a serene location. Many of them also desire to have access to take-away packages of different sizes.
Product/Service Offerings
This part of the business plan gives a clear picture of your product or service offerings. You don’t just describe the products, you describe how you want to deliver them to your customers. It requires you to create a list of all the products you plan to offer. Be careful not to reveal your trade secret here. Many SMEs in Nigeria make that mistake when writing business plans.
Target Market
This section answers the question, “Who needs your products?” While it is crucial to state your current market, you should also have projections. This means that you should highlight who you plan to sell to in the nearest future beyond your current market.
Based on our example above, ZFT has the following under this section:
a. People staying on XYZ Street and environs.
b. Workers
c. Students, etc.
Sales/Marketing Strategy
How do you plan to reach out to your target market? This is the section where you provide the answer to this question and explain your strategies in clear terms. Will you employ marketers? Do you plan to make use of a physical marketing model or you will drive sales using social media? Are you going to build a website?.
Financials
This is one of the most important aspects of a business plan. Investors want to know the viability of the business. If it is a startup business, then you should provide projections for the next few years. An existing business may need to provide revenue, expenditure, and profit figures for previous years.
