Nine Steps to Writing a Food Service Business Plan

Charmayne Smith reports:

"The food industry is an expansive one that strives to meet the needs and tastes of every customer...In this growing industry, a strong business plan will help you identify the steps and strategies needed to achieve and maintain success...List general details about your business. Include the name of your business, and its full address and contact information. List the names of each owner, along with a brief description of each person’s professional experience. State the legal business description of your business...and explain the short- and long-term goals of your business...Identify the staff members that your business needs to operate efficiently. Determine which positions will be full-time or part-time, and provide a brief description of each position’s functions and responsibilities. Identify the costs of each manager and employee, including payroll, benefits and training costs...Explain the needs of your food operations. Make a list of the furniture and equipment that your business needs to operate...Determine whether your business will rent, lease or purchase the equipment and list the costs for each piece. Identify the ideal location for your food business. Ascertain the costs of the location, including the costs of utilities, vendor and food licenses, zoning compliance, taxes and monthly property costs...Provide information on the suppliers and vendors that your business will use regularly. Create a list of those vendors and suppliers. Include each company’s contact information, along with a list of the items that you will purchase and the costs for each. Explain how your business will control its inventory...Research the food industry in your area. Identify any voids within the market and determine how your business can fill those voids. Identify the types of food in which your food business will specialize and develop a menu. Include the costs of each menu item and list any additional services or products that your business will provide or sell, such as delivery or specialty coffee mugs...Identify your business’s target market and explain the methods that your business will use to attract and retain its customers. Identify your food business’s competition. Determine the strengths and weaknesses of your business and those of your competition. Explain the strategies that your business will use to counteract its competition...Prepare your business’s financial statements. Provide one personal financial statement for each owner, along with a balance sheet, income statement and cash flow statement for your business. Include accurate information and make realistic projections and assumptions when necessary...Include supporting documents in the appendix of your food service business plan. Supporting documents include lease agreements, tax returns, vendor contracts, market research and your business’s menu...Introduce your food business in the business plan’s executive summary. Provide a brief description of your business, its menu and its objectives. Introduce the owners of the business and briefly describe their experience. Highlight your business’s target market and competition and provide key facts on how your business will maintain its lead in this competitive industry. Limit your executive summary to two pages and place it in the front of the business plan."