Business Plan for Health and Fresh Bakery

This report highlights various dimensions while making business plan such as rivals, skills analysis, growth matrix etc. The idea of business in this report is about Health and Fresh Bakery which provides sugar free cookies, cakes, biscuits and chocolates. It covers the proposed future business, targeted customers, identification of competitors, skill analysis, projection of two year profit and loss, cash flow forecast and break-even point, finding and choosing suitable sources of funding, planning for acquiring resources, management information system and type of enterprise, and business vision.

Enterprise and
Entrepreneurship

Contents
INTRODUCTION...........................................................................................................................1
Proposed future business..............................................................................................................1
Targeted customers......................................................................................................................1
Identification of competitors........................................................................................................2
Skill analysis................................................................................................................................3
Projection of two year profit and loss, cash flow forecast and break-even point........................3
Finding and choosing suitable sources of funding.......................................................................3
Planning for acquiring resources.................................................................................................4
Management information system and type of enterprise.............................................................4
Business vision.............................................................................................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6
APPENDICES.................................................................................................................................7

INTRODUCTION
A business plan is termed as document designed by organisations which defines firm's
objectives, operations, sector standing, marketing goals and how to attain determined targets. It
lays out a written roadmap for companies from financial, marketing and operational standpoints.
It is a critical attribute to get any firm off the ground and transform their business idea into
reality (Boddington and Barakat, 2018). This report highlights various dimensions while making
business plan such as rivals, skills analysis, growth matrix etc. The idea of business in this report
is about Health and Fresh Bakery which provides sugar free cookies, cakes, biscuits and
chocolates. This idea of business is termed as feasible as people are getting more health
conscious and needs sugar free items.
Proposed future business
Health and Fresh Bakery provides healthy cakes and chocolates options to customer
keeping in mind the harmful effect of sugar on human body. The firm is product based and its
main focus is on attracting more number of customers to earn profits. Entrepreneurs transforms
this idea into action by researching about healthy trends followed by people and their preferences
of not in-taking excess sugar. Health and Fresh Bakery offers sugar free products to its customers
while keeping in mind the packaging standards (Dey and Steyaert, 2018). They use raw materials
which do not increase fat or calories in human body and helps in maintaining their sugar level.
Intellectual property rights are considered as legal rights provided to creator or entrepreneurs to
safeguard their invention for a specific period of time. It is important for entrepreneurs to sign up
their business logo and packaging. They should register their brand as trademark to protect their
brand name.
Targeted customers
Entrepreneurs of Health and Fresh Bakery have targeted B2C segment so that they will
be able to reach huge number of consumers. To evaluate targeted consumers, Health and Fresh
Bakery entrepreneurs has conducted STP analysis. With help of this analysis, entrepreneurs have
choose to target audience on basis of their demographics. As the firm is provided sugar free
cookies and chocolates, there main target is people of old age who looks for diet free options as
well as any age group who wants to lead healthy lifestyle (Dzwigol, Dzwigol-Barosz and
Kwilinski, 2020). They target customers by paying sheer attention to customers and making
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more effective marketing plan for Health and Fresh Bakery. Unique selling point of Health and
Fresh Bakery is that they use good taste of products with sugar and diet free options of
chocolates, cakes and cookies. Entrepreneurs strives to uniquely position the bakery in market so
that consumers will be able to differentiate it from their rivals. This will be done by having
attractive logo on packaging and printing unique business cards. The entrepreneurs utilises
digital marketing for making their brand more feasible. By healthy bakery options, Health and
Fresh Bakery will provide its customers sugar free products which will help them to maintain
their sugar intake. Through SWOT analysis, it has been assessed that the strength of Health and
Fresh Bakery is that it offers wide variety of diet free products to customers. One of the biggest
opportunity this firm has that people are becoming more health conscious nowadays so
entrepreneurs can attract more customers in brand. With this analysis, it is evaluated that it will
not be easy for Health and Fresh Bakery to win the trust of customers as there are number of
competitors present in bakery industry.
Identification of competitors
The bakery industry in UK is growing at fast pace and thus contributing large share to
nation's economy. Bakery industry attractiveness is high thus facilitating Health and Fresh
Bakery to earn high profits in future. Competitors of Health and Fresh Bakery are already
established businesses in UK like The Free From Bakehouse, Bageriet, Nordic Bakery etc.
Industry analysis is considered as an examination which determines the attractiveness and
competitiveness of market sector. This allows Health and Fresh Bakery to effectively handle
their operations within industry (Matthews and Liguori, 2021). It assists Health and Fresh
Bakery entrepreneurs to get appropriate insights of what is happenings in bakery industry.
Entrepreneurs have conducted background investigation about industry mechanisms which
assists them to understand what factors can impact bakery industry to high extent. They have
gathered information about their competitors and their approach in market. Through this
entrepreneurs of Health and Fresh Bakery has been able to assessed the marketing and pricing
strategies of their rivals.
To perform industry analysis, entrepreneurs of Health and Fresh Bakery has performed
PESTLE analysis where they found out that before entering the industry, the entrepreneurs must
understand the political situation of country to assess what is the right time to take on business
idea into action. Economic factors will impact on Health and Fresh Bakery by fluctuating
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exchange rates and inflation rate in country. Major significance on Health and Fresh Bakery will
be of social factors as change in people preferences and their desire to switch to healthier options
will result in more attractiveness towards the bakery. Health and Fresh Bakery entrepreneurs
pace up with technological advancement in country to have best equipments for making cakes
and cookies which saves their cost of operations. Legal factors are need to be keep in mind by
entrepreneurs of Health and Fresh Bakery to serve to people in ethical and legal way. They
should follow the standards of hygienic foods which might affect firm's attractiveness if not
followed. Factors like waste management, pollution, climate change etc. can affect attractiveness
of Health and Fresh Bakery. Thus, the entrepreneurs must ensure to take on practices which do
not harm environment in any ways and strive to minimise waste as much as possible to get the
best possible outcomes.
Skill analysis
Health and Fresh Bakery's entrepreneurs has various set of skills such as time
management, problem solving and analytical skills which helps them to take major decisions for
business so that its profitability maximises. Entrepreneur understand that it is essential to
communicate effectively with various stakeholders of business so they understand their business
plan. It is vital for entrepreneurs of Health and Fresh Bakery to conduct thorough research
regarding the skills required to effectively carry out operations of a bakery (Matthews, 2020).
This will assists them to gain competence in form of skills which are needed for business
success. It consists having extensive knowledge about the products the bakery is going to deliver
to its customers in creative ways. This involves figuring out what they will be going to do
different from their competitors to attract more customers.
Projection of two year profit and loss, cash flow forecast and break-even point
Covered in appendices
Finding and choosing suitable sources of funding
Various fund sources which can be available to Health and Fresh Bakery are personal
savings of entrepreneurs which is termed as self funding. In this method, entrepreneurs will
invest their own personal savings to smoothly run business activities. Another method is
bootstrapping where finances generated from business activities are utilised to take in further
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development. Entrepreneurs of Health and Fresh Bakery can participate in partnerships and
barter agreements to get the best out of this source (McElwee and Atherton, 2021). Next source
is crowdfunding which facilitates entrepreneur enormous amount of funds generated from crowd
on digital platforms. This can be achieved by pitching a creative idea and designing attractive
business campaign to attract more number of investors.
Planning for acquiring resources
It is essential for Health and Fresh Bakery entrepreneurs to break down costs of their
business initiation.
Business Operations Estimated cost
Marketing £15,000
Raw materials £15,000
Wages £12,000
Sales £13,000
Production £15,000
Total £70,000
Management information system and type of enterprise
Health and Fresh Bakery is partnership firm as it is going to start on big level thus it
needs huge finances to initiate and make business profitable. Management information system is
defined as an advanced procedure of organisation where they maintained data on computer to
organise information in systematic manner (Reilly, 2018). Entrepreneurs of Health and Fresh
Bakery take in this system to assess performances and productivity of its operations.
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Business vision
Main vision of company is to healthy food options to customers by taking in
consideration their diet and sugar free preferences. As people are getting more prone to heart
diseases, Health and Fresh Bakery aims at offering them delicious food choices which do not
harm their health.
CONCLUSION
From the information presented above, it has been concluded that it is important for
entrepreneurs to generate a feasible business plan which consists all the elements of industry. It
comprises of defining extensively the proposed business idea, its targeted customers, already
established competitors, required skills, finding available sources of finances, requires resources
for initiating business activities and vision of business. This helps entrepreneur to effectively
tackle any challenges they might face in further stages of business.
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REFERENCES
Books and Journals:
Boddington, M. and Barakat, S., 2018. Exploring alternative gendered social structures within
entrepreneurship education: notes from a women’s-only enterprise programme in the
United Kingdom. In Women Entrepreneurs and the Myth of ‘Underperformance’.
Edward Elgar Publishing.
Dey, P. and Steyaert, C. eds., 2018. Social entrepreneurship: An affirmative critique. Edward
Elgar Publishing.
Dzwigol, H., Dzwigol-Barosz, M. and Kwilinski, A., 2020. Formation of global competitive
enterprise environment based on industry 4.0 concept. International Journal of
Entrepreneurship. 24(1). pp.1-5.
Matthews, C.H. and Liguori, E.W. eds., 2021. Annals of Entrepreneurship Education and
Pedagogy–2021. Edward Elgar Publishing.
Matthews, P., 2020. Insights of an accidental enterprise educator. In How to Become an
Entrepreneurship Educator. Edward Elgar Publishing.
McElwee, G. and Atherton, A., 2021. Rural entrepreneurship. In World encyclopedia of
entrepreneurship. Edward Elgar Publishing.
Reilly, J. E., 2018. Education policy perspective on entrepreneurship. In The Palgrave Handbook
of Multidisciplinary Perspectives on Entrepreneurship (pp. 293-313). Palgrave
Macmillan, Cham.
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APPENDICES
Forecasted profits margin statement
Projection of cash flow
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Analysis of Break-even
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