How To Open A Bar
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1. Decide what type of bar you want to open
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/3px8ej0774t69hjyn6th8bhbt/Neighborhood%20bar.jpg)
Create your concept
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/ecbt6ln66xjdx535bx5ersb5c/Create%20Your%20Concept.jpg)
2. Identify your business structure
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/2xbs8frfi01ckcvum0217use8/Building%20your%20own%20bar.jpg)
3. Create a business plan
Identify your customers
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/dt6demewc7clei36sqk0ru5de/Identify%20your%20customers.jpg)
Analyze your competition
Choose your strategy for overcoming competition, 4. find the ultimate location.
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/1yrksbe3k9tihzl00k9o66erx/Find%20the%20ultimate%20location.jpg)
Decide on the size of your establishment
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/bfi801s13ib2r22buhsg9esfa/Decide%20on%20the%20size.jpg)
5. Sort out the paperwork
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Secure permission from the local government agencies.
Visit the building and safety department., brainstorm and register your bar’s name..
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/b42b6k0pfxgjuedcbpp88p1jy/Decide%20on%20your%20name.jpg)
Obtain an Employer Identification Number (EIN)
Can be done online via IRS (Internal Revenue Service) website. You’ll need this number for most of your licenses and permits, and all tax documents.
Visit your local Alcoholic Beverage Control
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/3hu1leconnuyoocf8cnn5511k/Visit%20Alcoholic%20Beverage%20Control.jpg)
Obtain food-service license
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/873ghrl23m8ej8f10w0fpmret/Obtain%20food-service%20license.jpg)
Complete a Special Occupational Tax with TTB
You will have to register with TTB at the federal level before you begin selling any alcohol. You can get all the information you need on their website.
Start your record book
Settle things with the fire department.
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/12xrigmafe8o45x3vy54hqtxh/Settle%20things%20with%20the%20fire%20department.jpg)
5. Design your bar
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/9rssoqpbfrwwr7lt6lyvquye9/bar%20layout%202.jpeg)
Plan your menu
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/43pu9uh6lq9twhiqelwk7uhsn/Plan%20your%20menu.jpg)
Get a POS system
Choose the right equipment.
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/6avpignhujvk4sg668ttcfirj/1Wine%20glasses%20chart.png)
6. Stock up your bar
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/51qfprj18p3gm8z0nhxautmu7/Stockup%20your%20bar.jpg)
Build up the relationships with suppliers
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/c56btjjg1fp99eh8iarj61ol4/Choose%20equipment%20%281%29.jpg)
7. Draft your team
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/7q2r2bvo25cvud65ol6q2sk8s/staff%201.png)
Set up salaries
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/23cbaqhu26e89sxpn3vyv7td5/Gather%20team.jpg)
Find and hire the right candidates
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/cyso9msq3lcedftlw5bx6o8vf/Find%20and%20hire%20the%20right%20candidates.jpg)
8. Open your bar
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/3b40ygibbfaquv67omnwkjgh8/Open%20Your%20bar.jpg)
9. Promote your bar
You know your place is awesome. Your mom thinks it’s awesome. Now let’s make the whole neighborhood think so as well!
Spread the news via social media
If your bar does not have a Facebook page these days, it is basically non-existent. Make sure you have created a custom page header that fits in the style of your bar; have some cool, high-resolution pictures of the menu and interiors in the albums; opening hours and location on the map stated.
To grow your social media following, offer some small perk for customers who will like your page on FB or follow you on Instagram e.g. free snack.
Invite online influencers to your opening
While attracting journalists and media might be a little tough for a small bar, inviting a few popular online personas (bloggers, vloggers, instagrammers etc) to live cover your big night may bring you the same buzz levels. And attract journalists afterwards.
Offer a complimentary appetizer to first 25 people to share your post
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/9nspj66g5ykd5eqp1skkcdc8r/Offer%20a%20complimentary%20appetizer.jpg)
Offer a secret deal to social media followers
Enlist a special drink/food on the menu that any of your followers can order in case they do some social media action e.g. post a photo and tag you; write a special status etc.
Gauge the anticipation in advance
Reach out to your local media, covering lifestyle and restaurant business, in advance offering an exclusive sneak-peek inside your venue.
Start a happy hour
![bar business plan south africa bar business plan south africa](https://casual-public-files.s3.amazonaws.com/files/e9dc662b-fc7e-48fc-9b48-fe0ba994cc69/44bgt0z84qdfl7tw9haqj0sg7/Happy%20Hour.jpg)
Offer special deals through group buying platforms
Post a discounted deal at sites like Groupon and LivingSocial for a limited amount of time to attract new visitors. If they like your service, they will spread the word for you!
Collaborate with other businesses nearby
Ask a bookstore to nail your posters in exchange for placing their leaflets on your tables. Offer a pizza delivery to give away your cards in exchange for doing same. It’s a win-win option for both parties.
Hold a “beat the clock” contest
Next Friday announce that you’ll start selling beer at half price from 8 pm and will increase the price by 50 cent each hour till midnight.
The next day you’ll be positively surprised by the amount of folks who did try to beat the clock.
Held thematic promotion days
Mondays can be a Champaign days with 10% discount on all bubbly drinks; Tuesdays are all for tequila; Wednesday is a snack day and so on. Your visitors should know that no matter which day of the week they come, they’d always get a special deal. You can also pair drink discounts with food discounts.
10. Run your bar
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WISEMAN PUB BUSINESS PLAN
![bar business plan south africa Profile image of Benson James Lyimo](https://0.academia-photos.com/75748559/18942230/31291370/s65_solvason.james.jpeg)
2019, DonSolva
WiseMan Pub is located at Ngulelo, Arusha. This is one of the most outstanding places for a pub in Arusha as it is strategically located to attract the middle-class and upper middle-class working public during lunch and after quitting time. The building itself is one of the oldest still standing in Arusha and has an old world style to it. Currently the establishment can seat 100 customers. WiseMan has secured the purchase of the adjacent storefront for its expansion, and with renovation, will have room for the brewery and another 24 persons. The current facilities, including two large bars and fireplace, kitchen, and plenty of room for darts, pool, and other amusements make this an excellent attraction.
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How to establish / open a liquor store in Gauteng, South Africa
The intention of this exercise is to assist the first time Liquor Store entrepreneur to note some factors which might influence his/her decisions when establishing a new Liquor store. The intention is NOT to give legal or financial advice. All information is available for the entrepreneur to use at his / her own discretion and risk and Frik Liebenberg Business advisory services cc does not except any responsibility whatsoever for losses which the entrepreneur may occur when using this information. This information is by no means comprehensive and must be adjusted to suit specific situations and to suit provinces other than Gauteng.
Opening a new Liquor Store is an exciting venture but not without risk. Before you jump in and start spending money on your new venture, stop and read these few pointers that may save you money and loads of frustration. The question is often asked “Where do I start?
1. SAPS Clearance
You need a SAPS clearance certificate confirming that you do not have a criminal record. This step can take up to six weeks, so start with this before you do the rest.
- Take a copy of your I. D. document to your local SAPS during office hours.
- Ask them to do your fingerprints for the purpose of an application for a Liquor License .
- Request a SAPS Clearance Certificate.
2. Premises.
You need a premises before you can even apply for a Liquor License. The public area must not be less than 50m2. The ideal is that your premises is +500m or more from a church, school or similar business. However this is not always possible. Do not start spending money on renovating the existing building or start building a new building or sign a lease contract on the building before you have cleared the following:
- Visit your local Municipality’s Town Planning or Land Use department and confirm with them that the premises or stand that you want to use are suitable for a Liquor Store. (You need the ERF number of your premises)
Fill in the form below and we will email you all the information you need
Tel number Name of Province Type of License: —Please choose an option— Liquor Store Restaurant Pub Hotel Tavern Wholesale Other
Your message (optional)
Or give us a call: 082 556 8368
- R equest a Zoning certificate from the Municipality on the stand that you intend to use. Your Liquor License Consultant must be convinced that the zoning is correct. In Gauteng you need a Local Authority Approval (A letter confirming you may apply) for a Liquor Store in addition to the zoning certificate.
- Negotiate a Lease Contract . If you are not the owner of the property then you require a lease contract between you and the landlord. Be careful when signing the lease contract. Read the conditions very careful, especially with regards to the following”
- Escalation clause . This means the amount the rent will increase after every year. An annual escalation of up to 8% is acceptable in today’s economy. (Do not accept a 12% escalation clause for this is too high in today’s terms 2014.)
- Right to renew . The renewal clause gives you the right to renew the lease contract after the expiry of the lease. There should be a % increase or a rand figure of the first year’s renewal increase in rent with an escalation clause for every year thereafter until the end of the renewed contract. The applicant is welcome to contact the writer for more information. (Do not accept a clause stating “The lessee has the right to renew the lease contract, without a clear stipulation of the cost of the lease after renewal.)
Note: The monthly payments stipulated on the lease contract can be inflated by the lessor’s on-costs such as administration cost, security cost, cleaning cost, rates and taxes etc. Establish first what extra cost will be charged before you mak a dicision. A guideline on the influence of rent on the profitability of a Liquor store is that if the rent is in the region 10% or more of a liquor store’s turnover, you are paying too much rent which will inflate your overheads out of proportion. Keep your overheads as low as you can. If you do not achieve at least 11% net profit, then your overheads are too high. Back to top
SERVICE OFFERING
License applications, 3. sars clearance..
Apply for your Tax PIN certificate at SARS. If the applicant is a juristic person such as a Company, the Tax Clearance must be in the name of the company otherwise the tax clearance certificate must be in the name of the applicant/s.
4. Liquor License
- Contact a reputable Liquor License Consultant to give you a quote clearly confirming all cost. Investigate the Liquor License consultant and ask for references. Make sure you know what is included and what is excluded in the quotation. Apply as soon as possible because a Liquor License Application can take a long time. (4-6 months or longer) You can apply on an existing premises or on a stand on which there is no building yet.
Your Liquor License Consultant will give you a list of requirements for a Liquor License Application. Don’t attempt to do a DIY job on your Liquor License application unless you are fully familiar with all aspects of the Liquor Act. Section 23(3) of the Gauteng Liquor act reads: “Where an application for a license has been refused by the Board, no new application may be made in respect of the same premises within a period of one (one) year from date of refusal,……..” If it takes six months before you receive a refusal from the board it means that you have wasted 18 months before you can apply again and then you might wait another 6 months before your application can be approved. That could mean 24 months which you might pay rent on an empty shop. Back to top
5. Start planning your shop
Decide on your target market. (High income, Medium income or Low income group). Your products that you will sell depends on this decision as well as the outlay and image of your shop. (We will assist you). For a Liquor Store you may decide on a self service or service counter shop. This depends on safety and security and income level of the area. A self service Liquor store will require much more starting- up stock than a service counter shop.
- Pay attention to the condition and suitability of the shop’s floor. If it needs replacement, estimate the cost.
- Painting and renovation the shop. Estimate the cost to paint and renovate.
- Determine the security requirements and cost such as burglar bars, safety doors, alarm system, armed response and new locks for the shop (Don’t use the old locks. You don’t know how many keys are floating around.)
- Design and estimate the cost of the signwriting and promotional material.
Decide on a Name and Logo and colours of the business. (Remember your business must “jump out in the street” It simply means that your business must not melt into the surrounding shops but stand out very clearly) You must be able to read the signwriting and advertisements at 60 km/hour. Rather write less than clutter the signboard with too much information.
- The lighting of the shop is important. It must suit the required ambiance of the type of business you intend to operate. A dark Liquor store does not contribute to the image of an upmarket Liquor Store or any Liquor Store for that matter. Ensure that the lighting is bright white light.
- Establish the suitability, quantity, safety and convenience level of the parking for your customers..
- Decide on your pricing strategy. Visit opposition shops and determine their prices. Find out from suppliers the cost price of your products. Decide on a price mark-up percentage. Pricing of single beers, quarts and “nips” are much higher than on bulk cases.
PLEASE NOTE: We do not apply for liqour licensing on a residential stand without municipal approval (at your house) – Click on Rights for further information.
Please note: we don’t apply for a mobile liquor license. refer to the article mobile liquor licenses.
It is not a good strategy to be the cheapest in town and never start a price war!
- Decide on your product strategy. The type of products you will sell depends on your target market’s income. Initially and before start up it is difficult to know for sure what products are fast movers, however you can talk to other dealers who are outside your influence area. Establish the fast moving stock and list them.
Unfortunately you can not only stock fast moving stock. Some stock should be kept as a service product to customers who are seeking alternative products. Your shop should be well stocked and must look successful. Do not allow partly stocked shelves but rather reduce the number of shelves. Keep them stocked to the brim. You can achieve this by moving your beverage coolers forward to reduce the initial floor space and removing some shelves.
- Diversify. If you want to stock products other than liquor and smokers requisites, you need to apply to the liquor board to stock such items. Examples are rugby shirts, flags, biltong, braai equipment and other paraphernalia.
- Initially stock high priced items such as exclusive wines and whisky with care. Keep a low stock of it until you have established the demand for it.
- Compile a Suppliers List with alternative suppliers. Your purchases can influence your profit margins dramatically. Shop around for better deals. Your relationship with your suppliers is critical. Try to line up alternative suppliers where possible. This should include refrigeration mechanics, electricians etc.
Some suppliers offer a percentage discount on bulk/case purchases. Buy all your fast moving stock from them. The slow moving stock can be purchased elsewhere and in smaller quantities.
- Decide on an Employment Strategy. Many successful businesses have failed because of employees. Take note of the following:
- Do not employ anybody to do the work that you can do.
- Work out your budget and cash flow before you employ anybody. It is not fair to an employee if you inform them soon after you employed them that you can not afford them.
- Do not trust anybody. Ensure strict financial an stock control. Do your own buying and stock control. Ensure that your employees have no access to the Point Of Sale systems manager’s files. You as the owner must enter all stock delivered into the computer program and NO staff member may have any access to that program.
- Follow up the applicant’s previous employees and get a reference.
- Follow up the applicant’s qualifications.
- At least one male must be employed as a “customer service” person. He will assist the customers in finding their purchase required by the customer, but he is actually there to observe for shoplifters or security threats. He will be equipped with a remote panic button which is connected to an armed response alarm. A liquor store is less busy on Mondays than Fridays and Saturdays. You can plan the number of staff and their working hours accordingly.
- Draw up disciplinary procedures for the employees. If an employee is found guilty of theft, do not only dismiss the person. Lay a criminal charge against that person and prosecute. Otherwise the person moves to a new liquor store and repeat the the same.
- Insurance cost. Some lease contracts requires the lessee to insure for shop- front windows and other breakages. Also insure the Stock and Equipment.
- Register with the Receiver of Revenue such as Income Tax, Employees tax (PAYE), Value-added tax (VAT) if applicable, Unemployment Insurance Fund (U.I.F.)
- Apply for a Business License (if applicable) at your local Municipality.
- Appoint a registered accountant . Seek advice from your accountant on VAT registration and tax issues. You can save substantial amounts of money by using professionals.
- Decide on your business hours and stick to it. Advertise it at the entrance of the shop. You should keep in mind the security aspect inside and outside the shop, and taking into account the surrounding shop’s closing times.
- Decide on the legal entity of the business such as a Sole Proprietor, Company (Register the Company) or partnership (Draw up a partnership agreement).
- Banking. Negotiate with different banks the Cash deposit fee charged by that bank. (Cash deposits can attract huge bank charges) then open an account.
- Order your stock. There is a direct correlation between the stock holding and the turnover, but only up to a point. If you open a self service Liquor store and your stock is less than R150 000 to R200 000 (in 2014), then it is unlikely that your liquor store will survive. If you open a counter service liquor store then you can get away with R70 000 worth of stock. Decide on Minimum / Maximum stock levels and re-order levels of your stock.
- Credit card machine. Negotiate with your bank for the installation of a credit card machine.
- Before opening buy an advertorial in the local newspaper with opening specials. Limit the specials both by quantity and time period.
- Ice sales can initially be achieved by selling ice purchased from suppliers. Once your business is established you can consider an ice making machine.
Back to top
![bar business plan south africa](https://www.liquorlicensing.co.za/wp-content/uploads/2023/03/establish-a-liquor-store.jpg)
Work out a Budget. Without a Budget you can fail before you opened your doors. Remember to budget for the actual and hidden cost which are listed but not limited to the following:
- Cost of the Liquor License Application.(± R13500 in 2014)
- Cost of your first payment to the Liquor Board on approval of the Liquor License. ±R1500 in 2014)
- Rent deposit.
- First months rent in advance.
- Cost of stock.
- Electricity deposit.
- Painting and renovating the shop.
- Tiling the shop floor. (if required)
- Lighting and wiring. (if required)
- Burglar bars and safety gates.
- Alarm system and camera system.
- Signwriting.
- Stationary, printing etc.
- Cost of equipment, furniture and fittings plus installation.
- Cost of electrical installation of equipment
- Cost of Point of Sale system and software.
- Plumbing. (if required)
- Trading License.
- Computers and software.
- Employment contracts.
- Cleaning material and equipment.
- Transport. (initially you can survive with a trailer)
- Cost of rent while waiting for the Liquor License.
- Installation the alarm system
- Installation the turnstiles.
- Packaging material.
- Telkom line.
If your business is in Gauteng order a sign with letter 50cm high for the front door which displays the following:
- Name of Business.
- Type of Liquor License (i.e. Restaurant)
- Trading times of the Business.
- Liquor License Number.
- Fire extinguishers.
![bar business plan south africa](https://www.liquorlicensing.co.za/wp-content/uploads/2023/03/liquor-budget-establish.jpg)
Some notes on a Liquor Store
Make sure that the electrical distribution board of the shop you have decided to rent have the capacity to carry the electrical load of your equipment. Your lease contract may have a clause placing to onus on the tenant to ensure that the shop is suitable for your purpose. They will not rewire the electrical distribution board.
Section 46 of the Gauteng Liquor act 2 of 2003. A licensee shall not sell or supply liquor on the premises to persons under the age of 18 years
Intoxicated persons
Section 47 of the Gauteng Liquor act 2 of 2003. A licensee shall refuse to admit to the licensed premises or any part thereof, or sell or supply to an intoxicated person and shall have such person removed from the premises or any part thereof. (An intoxicated person is when his/her capabilities are so impaired by liquor that he/she is likely to cause injury to himself/herself or be a danger or nuisance or disturbance to others.
No liquor may be consumed inside a Liquor Store
Business hours: gauteng.
- Monday – Saturday 08h00 to 20h00.
- Sunday 09h00 to 15h30
Delivery of Liquor
- An original invoice of the order must be kept on the licensed premises.
- A copy of the invoice must be inside the Vehicle.
- The delivery address must be on the invoice.
- If you deliver liquor, do not off-load after the prescribed hours i.e. 20h00 during week days. You can load you vehicle any time, but the time of off-loading is regarded as time of the sale taking place.
- Hint. -Do not transport Liquor that is not on an invoice or deliver to an address that is not on the invoice. Print the Name of your business as well as the Liquor License Number on the invoice.
- A Liquor Store may only sell to the Public. Do not sell to any person in bulk which is greater than a reasonable person will buy for own consumption. Do not sell to unlicensed or licensed Shebeens.
Weddings and functions
- A liquor store license does not allow you to set up a Bar at a function. A bar is an on-consumption license and a liquor store is an off-consumption license. Your license for off-consumption only covers your registered premises and within the constraints of your floor plan approved by the Liquor Board.
If the Liquor License is in the name of a Company or Close Corporation
- If the license in in the name of a juristic person as mentioned above, a natural person must be appointed to Manage the liquor store. Contact your Liquor License consultant.
If the License holder is not the person who is running the Liquor store on a day to day basis
- Then a natural person who is running the business on a day to day basis must be appointed as Manager
is very important. is very critical. Don’t buy anything except stock.
Avoid “Nice to have” equipment and buy them when your shop is profitable. Many a profitable shop has closed down because the owner ran out of cash. Once your shop is profitable, save at least six months overheads and invest it in a sixty day account.
Makro factor Influencing the Sales of a Liquor store
- As with all businesses there are distinct factors, which are out of your control, that influence the turnover of a Liquor store. If I may grossly generalize the following cycles may be observed in your liquor store.
- Weather. – The higher the temperature the higher the sale of beer and beverages. There is a distinct drop is beer sales during rainy and cold days.
- Sport. – Sport such as an important rugby match can influence your sales.
- Weekdays. – Generally Mondays are much slower than Friday or Saturday.
- Months. – Generally November and December are the busiest with February the slowest. Generally in autumn sales rise. Easter season will influence your sales dramatically and depending on which days of the week the public holidays are, you will have dramatically lower sales.
- Festive season. – This is the busiest part of the year. You need to order larger volumes of stock because most suppliers close over the festive season. Initially it will have a detrimental effect on you cash flow if you do not plan for that. You need to plan the fast moving stock such as beer. Again you can order a large quantity of beer for the festive season, and if it rains for three weeks, then in January you can be stuck with a large quantity of beer and a with a cash flow problem. The opposite is also true. If you order too little and run out of stock, you lose customers and sales!
- Time of day. Mornings are slower and it picks up at 16h00.
- Time of the month. From the 10th until the 20th of the month is usually slower than the rest of the month. But, if your target market is weekly paid customers, the scenario will change.
- Labour unrest can effect your business in that strikes reduce the expendable cash of your customers. It takes a striker months or years to recover financially after a strike. If the demonstrations are held in the vicinity of your shop, your sales come to a virtual standstill. This can be expected from June to September.
PLEASE NOTE: Frik Liebenberg of Frik Liebenberg Business advisory Services cc 99/05522/23 has been a Business Broker since 1997 and a Liquor License Consultant since 2002. Feel free to contact us for further information. Frik Liebenberg Frik Liebenberg Business Advisory Services cc 99/05522/23
082 556 8368 Follow us on Twitter @licensingliquor
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This comprehensive guide will systematically explore the process of writing a business plan. A business plan is a vital tool that helps entrepreneurs bring their ideas to life. It serves as a roadmap for a business’s success and growth and allows investors to assess a venture’s viability. This guide by JTB Consulting covers all the critical elements and questions answered around the concept of “How to Write a Business Plan in South Africa”.
![JTB Consulting. how to write a business plan,how to write a business plan in south africa,what should you avoid in a business plan,what makes a good business plan,how much should I pay someone to write a business plan,how many hours does it take to write a business plan,do's and don'ts of business plan,when should you start a business plan,who can write a business plan,business plan consultant,business plan,business plan writers,business plan specialist How to Write a Business Plan in South Africa](https://jtbconsulting.co.za/wp-content/uploads/2023/02/How-to-Write-a-Business-Plan-in-South-Africa-1024x683.jpg)
How to Write a Business Plan in 2023
The guide also emphasises the importance of tailoring the plan to the specific needs and interests of the audience and being realistic and conservative in the financial projections . It also highlights the significance of creating a marketing plan to reach the target audience. By following these guidelines, entrepreneurs can create a compelling business plan to help their businesses succeed.
How to Write a Business Plan #1: Define Your Business
Before you begin writing your business plan, you must define your business. This involves determining your target market, unique value proposition, and competitive advantage. You should also research your industry to understand your customers and competitors better.
The executive summary is the business plan’s first section, providing an overview of the entire document. It should be concise, engaging, and compelling, as it is often the only part of the plan that investors read. The summary should include a description of the business, the products or services offered, the target market, the competition, the revenue model, and the financial projections.
How to Write a Business Plan #2: Create a Company Overview
The next step is to create a company overview. This should include a brief history of your company, your mission statement, and your company’s vision for the future. You should also have information on your company’s leadership and management team and your company’s legal structure.
How to Write a Business Plan #3: Market Analysis
In the market analysis section, you should provide a detailed analysis of the industry, the target market, and the competition. This includes the size and growth of the industry, the demographics of the target market, the buying habits and preferences, and the strengths and weaknesses of competitors. You should also explain how your business will differentiate itself and gain a competitive advantage.
How to Write a Business Plan #4: Develop Your Product or Service
In this section, you should describe your product or service in detail. This should include information on how your product or service works, its customer benefits, and its uniqueness from your competitors. You should also include information on your pricing strategy and any patents or trademarks you have.
How to Write a Business Plan #5: Outline Your Operational Plan
Your operational plan outlines how your business will run on a day-to-day basis. This should include information on your production process, supply chain, and distribution strategy. You should also have information on your staffing plan and any necessary technology or equipment.
How to Write a Business Plan #6: Define your Marketing Strategy
Your marketing strategy is how you plan to reach your target market and promote your product or service. This should include information on your target audience, your marketing channels, and your advertising budget. You should also have information on your sales and customer acquisition strategies.
How to Write a Business Plan #7: Create a Financial Plan
Your financial plan outlines how you plan to make and spend money. This should include your revenue streams, expenses, and profit margins. You should also have information on your cash flow, break-even point, and financial projections.
The financial projections section is one of the most critical parts of the business plan. It should provide a detailed analysis of the business’s revenue, expenses, and profits. You should include a sales forecast, a cost of goods sold forecast, a personnel expense forecast, a marketing and advertising expense forecast, and a capital expenditure forecast. You should also provide a cash flow statement, a balance sheet, and an income statement.
In conclusion, writing a comprehensive business plan is crucial in turning your entrepreneurial dreams into a successful reality. A well-written and researched plan can provide a roadmap for success, convince potential investors and lenders of the viability of your business, and help you make informed decisions. By following the steps outlined in this guide, you can create a business plan that is both comprehensive and compelling and set your business up for success.
Who can write a Business Plan?
A reputable Business Plan Consultant has experience working in and working with a broad range of businesses. The accumulated business history of a Business Plan Consultant makes the consultant treasured. A good Business Plan Consultant is experienced in several different types of companies and industries and has particular experience running a business. Knowledgeable Business Plan Writers have experience with companies at all stages of growth, from startup to maturity.
The Business Plan Consultant may also specialise in Business Coaching, Business Analysis, Executive Coaching and Change/Turnaround Management , helping struggling companies turn around and succeed. In other words, a good Business Plan Consultant has broad, specific experience and typically 15 years or more of accumulated business experience. Having an MBA or CA qualification isn’t enough. The Business Plan Specialist must have substantial real-world experience engaging with many client companies and within various industries to be an effective Consultant.
The Credentials of JTB Consulting, South Africa’s #1 Business Planning Company since 2006:
- Written Client Testimonials .
- Professional LinkedIn Recommendations .
- Past Clients we have worked with.
- Verified 5-Star Google Business Reviews .
- Expert Articles Written by our Team.
- Who is JTB Consulting? (https://bit.ly/2DtvJYo).
- Digital (Online) Video Resume of Dr Thommie Burger , our Founder.
![JTB Consulting. how to write a business plan,how to write a business plan in south africa,what should you avoid in a business plan,what makes a good business plan,how much should I pay someone to write a business plan,how many hours does it take to write a business plan,do's and don'ts of business plan,when should you start a business plan,who can write a business plan,business plan consultant,business plan,business plan writers,business plan specialist What Makes a Good Business Plan - JTB Consulting provides Guidance](https://jtbconsulting.co.za/wp-content/uploads/2023/02/What-Makes-a-Good-Business-Plan-JTB-Consulting-provides-Guidance-1024x683.jpg)
What should you avoid in a Business Plan?
A business owner or entrepreneur must have a well-thought-out business plan to guide your company’s growth and success. However, not all business plans are created equal. Some may contain mistakes or oversights that can hinder your company’s progress. Here are the key things to avoid when creating a business plan.
What should you avoid in a Business Plan #1: Overly Optimistic Projections
One of the most common mistakes in business plans is including overly optimistic projections. While having a positive outlook on your company’s growth is essential, it’s equally important to be realistic. If your projections are too optimistic, it can lead to disappointment and frustration when your company fails to meet those goals. It’s important to base your forecast on solid research and historical data to ensure they are achievable.
What should you avoid in a Business Plan #2: Lack of Market Research
Another common mistake in business plans is a lack of market research. Understanding your market is crucial to the success of your business. Without proper research, you may not fully understand your target audience, their needs, and how to reach them effectively. Conduct thorough market research and include it in your business plan to demonstrate your understanding of the industry.
What should you avoid in a Business Plan #3: Vague or Unrealistic Goals
Your business plan should outline clear, realistic, and measurable goals. Vague or unrealistic goals can be challenging to achieve and may not give you a clear direction to guide your company’s growth. Be sure to set goals that are attainable and directly tied to the success of your business.
What should you avoid in a Business Plan #4: Ignoring competition
Ignoring your competition is a common mistake that can seriously affect your business. Your competition is essential to your company’s success, and you must understand its strengths and weaknesses. Include a detailed analysis of your competition in your business plan to demonstrate your understanding of the market and your strategy to differentiate your company.
What should you avoid in a Business Plan #5: Lack of Financial Planning
Finally, a lack of financial planning is a critical mistake in business planning. Your financial plan should include realistic projections, cash flow analysis, and contingency plans in case of unexpected events. Without proper financial planning, your business may be unable to weather unforeseen circumstances or achieve its growth potential.
In conclusion, a well-crafted business plan is crucial to your company’s success. Avoiding these common mistakes will help you create a realistic, well-informed, achievable plan. Demonstrating your understanding of the market, competition, and financials will set your business up for success.
How much should I pay someone to write a business plan?
This is a common question that many business owners or aspiring entrepreneurs ask themselves. Writing a business plan can be daunting, especially if you are unfamiliar with the process. But, when searching for a Business Plan Consultant on Google, you may ask how much you should pay someone to write a business plan.
The cost of a business plan varies depending on a few factors, such as the project’s complexity, the industry you are in, and the experience of the person you are hiring to write the plan. In Southern Africa, you can expect to pay anywhere from R18,000 (US$1,000) to R90,000 (US$5,000) for a professional business plan. The higher-end priced Business Plans are generally for niche multi-billion Rand projects that can take weeks to compile.
There are roughly ten business plan companies operating in South Africa. Their prices range between R3,500 (these are the 3threeconsultancies that use Business Plan Templates and Business Plan Software to compile your business plan) and R25,000 (these are the handful of consultancies that make an effort to write a custom business plan and do not use any templates). The latter adds value to your business.
When hiring someone to write your business plan, it is essential to research qualified and experienced professionals. Look for someone with a successful track record and who can provide references. You should also look for someone with experience in your industry or a related field.
A seasoned (non-fly-by-night) business plan consultant can work with you to create a customised plan that meets your specific needs. They can also help you with market research, financial projections, and other aspects of the project.
It is important to remember that the cost of a business plan is an investment in your business. A well-written plan can help you secure financing, attract investors, and grow your business. It is not something you should skimp on.
In addition to the plan’s cost, you should also consider the value of your time. Writing a business plan can be time-consuming and take longer if you are unfamiliar with the process. Hiring a professional can save time and allow you to focus on other aspects of your business.
Do’s and Don’ts of Business Planning
- Define your business goals and objectives: Clearly define what you want to achieve with your business and how you plan to achieve it.
- Conduct market research: Understand your target market, industry trends, competitors, and consumer preferences to identify gaps and opportunities.
- Create a comprehensive business plan: Develop a detailed and well-structured business plan that includes financial projections, marketing strategies, operational procedures and risk management strategies.
- Identify your unique value proposition: Clearly articulate what sets your business apart from competitors and why customers should choose your products or services.
- Establish a budget and cash flow plan: Develop a budget outlining your projected expenses and cash flow projections to ensure you have sufficient funds to support your operations.
- Develop a marketing plan: Create a comprehensive marketing plan that includes strategies for building brand awareness, attracting customers, and promoting your products or services.
- Build a strong team: Hire skilled and experienced employees who are passionate about your business and have the expertise necessary to support its growth.
- Establish strong relationships with suppliers and partners: Develop strong relationships with suppliers and partners who can provide the resources and support you need to achieve your business goals.
- Monitor and evaluate performance: Continuously monitor and evaluate your business performance to identify areas for improvement and make necessary adjustments to your strategy.
- Stay flexible and adaptable: Remain open to change and be prepared to adapt your strategy based on changing market conditions, customer feedback, and emerging trends.
- Rush into starting your business without a plan: Failing to plan is planning to fail. Don’t make the mistake of rushing into starting your business without a comprehensive plan.
- Ignore market research: Don’t assume you know everything about your industry, target market, or competitors. Conduct thorough market research to identify gaps and opportunities.
- Rely solely on personal intuition: Personal intuition can be helpful but should not be the basis for business decisions. Use data and analysis to make informed decisions.
- Neglect financial planning: Don’t overlook the importance of financial planning. Develop a budget and cash flow plan to ensure that you have sufficient funds to support your operations.
- Overlook the importance of branding: Your brand is the face of your business. Don’t neglect the importance of building a strong brand that resonates with your target audience.
- Underestimate marketing power: Don’t assume customers will automatically find your business. Develop a comprehensive marketing plan to promote your products and services.
- Hire the wrong people: Your employees are the backbone of your business. Don’t make the mistake of hiring people who lack the skills, experience, or passion necessary to support your business.
- Fail to build strong relationships with suppliers and partners: Don’t underestimate the importance of building strong relationships with suppliers and partners who can provide the resources and support you need to achieve your business goals.
- Ignore performance metrics: Don’t neglect to monitor and evaluate your business performance. Use performance metrics to identify areas for improvement and make necessary adjustments to your strategy.
- Remain inflexible and resistant to change: Don’t be rigid in your approach to business. Remain open to change and be prepared to adapt your strategy based on changing market conditions, customer feedback, and emerging trends.
How many hours does it take to write a Business Plan?
The amount of time it takes to write a business plan can vary widely depending on several factors, such as the complexity of the business, the amount of research required, and the plan’s purpose.
A simple business plan that outlines the basics of a small business concept can typically be completed within a few days to a week, assuming the entrepreneur has a clear idea of the business concept and has already done some preliminary research.
A more comprehensive business plan that includes detailed financial projections, market analysis, and a comprehensive marketing strategy may take several weeks or months to complete. This type of plan requires extensive research, financial analysis, and market testing to ensure the business is viable and has a strong chance of success.
In general, allocating enough time to develop a comprehensive and well-researched business plan is important to serve as a blueprint for the business’s success. Rushing through the process can lead to oversights and errors that can be costly in the long run.
When should you start a business plan?
Starting a business plan as early as possible is important when considering starting a new business. A business plan is an essential tool for any entrepreneur to help clarify their business idea, identify potential challenges, and develop a roadmap for the successful launch and growth of the business.
Ideally, the business plan should be developed during the pre-launch phase of the business, well before any investment is made or any significant expenses are incurred. This will allow the entrepreneur to thoroughly evaluate the business concept, assess the potential market demand, and determine the resources needed to start and operate the business.
Starting a business plan early in the process also allows the entrepreneur to identify any potential challenges or risks that may need to be addressed. By identifying these challenges early, the entrepreneur can develop contingency plans or adjust their business model as necessary to minimize risks and increase the chances of success.
Will a Business Plan guarantee I receive funding from investors?
All South African funders and investors require a sound and feasible Business Plan supporting your funding application, but that doesn’t necessarily guarantee that you will receive funding. Every Investor will evaluate several issues when making a business loan or investment decision. They typically consider the validity of the business- and financial model, the entrepreneur’s experience, market potential, reliable market research, use of funding, ability to repay the business loan, the entrepreneur’s personal credit history and the collateral available to secure the loan.
JTB Consulting will assist you in developing a bankable Business Plan, but you will need to provide the credit history, collateral and any other requirements that the Investor may require. These factors are beyond our control.
What makes a good Business Plan?
Developing a solid business plan is essential for the success of any business. A good business plan is more than just a document to secure funding; it is a roadmap for the future of your business.
- Executive Summary: The Executive Summary is the first section of your business plan and should provide an overview of your entire plan. The Executive Summary aims to grab your reader’s attention and encourage them to read further. It should include a brief introduction of your business, a summary of your products or services, your target market, and your unique selling proposition. Remember that the Executive Summary is a summary, so keep it concise and to the point.
- Company Description: The Company Description section is where you provide more detailed information about your business. It should include your mission statement, business history, legal structure, and location. You should also describe your products or services in more detail and explain how they meet the needs of your target market.
- Market Analysis: T he Market Analysis section is where you demonstrate that you have a deep understanding of your industry and your target market. This section should include information on the size of your market, the industry’s trends and challenges, and an analysis of your competition. You should also describe your target market in detail, including demographics, psychographics, and buying behaviour.
- Products or Services: The Products or Services section is where you explain what you are selling and how it solves a problem for your target market. You should describe your products or services, including features and benefits, and explain how they differ from your competition. You should also include information on your pricing strategy and any intellectual property you may have.
- Marketing and Sales: The Marketing and Sales section is where you explain how you will reach your target market and sell your products or services. It would be best to describe your marketing strategy, including the channels you will use to reach your target market and the messaging you will use to differentiate yourself from your competition. You should also include your sales strategy, including your sales process, your pricing strategy, and your sales goals.
- Operations: The Operations section is where you describe how your business will operate on a day-to-day basis. This includes your production processes, supply chain, and human resources strategy. You should also include information on your business’s legal or regulatory requirements.
- Financial Projections: The Financial Projections section is where you provide a detailed forecast of your financial performance. This includes your revenue, expenses, and profits for the next three to five years. You should also include information on your funding requirements, including how much funding you need and how you will use it.
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A Free Business Plan Example to Launch Your South African Business This free Business Plan example provides you with a sample business plan as well as guidance on how to write a business plan and important sections to include in your plan.
By Catherine Bristow Scott May 28, 2019
You're reading Entrepreneur South Africa, an international franchise of Entrepreneur Media.
It pays to plan.
Research conducted by Harvard Business Review found that "entrepreneurs who write formal plans are 16% more likely to achieve viability than the otherwise identical non-planning entrepreneurs."
Simply put, writing a business plan could make the difference between business success and failure – which is why planning now could pay dividends as your business gets off the ground.
But where do you start when writing a business plan? In this comprehensive business plan example, we provide you with what to include in your business plan and a sample business plan to help you to create a compelling plan for your start-up.
1. Executive Summary
If you have seven seconds to make a strong first impression in person, an Executive Summary will be the make-or-break section of your business plan – so make this section count.
As a brief outline of your company's purpose and goals, the Executive Summary should generally take up 1 to 2 pages of your business plan. Some key components to include in your business plan are:
- A company description
- A brief summary of your products or services
- The company objectives
- A short but thorough overview of the market
- A justification for viability, particularly "why now?"
- A snapshot of your business's growth potential
- A short description of the organisation team
- Your marketing plan
- Financial projections
Importantly, your Executive Summary must clearly depict the Problem, the Solution, and carry a sense of timeliness – why now should your business be considered as the solution to solve this problem.
NOTE: The following Business Plan Example is based on a fictional company. Figures will not reflect the exact financials of a similar company.
Example of a Business Plan Executive Summary
![bar business plan south africa](https://assets.entrepreneur.com/images/misc/1558962363_1-Your-Free-Business-Idea-Evaluation-SWOT-Analysis-Template_Bigstock_4000pxW-X-2670pxH-copy.jpg)
Snug Sneakers is a sneaker shoe range based in Cape Town that currently focuses exclusively on selling locally produced men's and women's custom sneakers.
The business was founded by David Smith and Stewart Bruce, who have both been working within the retail industry for over 20 years, David Smith, a serial entrepreneur has also founded successful brands – Creative Caps and women's cycling brand Pedal Power.
The brand is currently selling online, however has also recently diversified to selling in independent shoe shops.
The company is projecting to sell R2 million in year 1 and R8 million in three years' time. Additionally, there are expansion plans within year 2 to set up distribution networks in Johannesburg, and Durban in the early part of year 3.
Both David and Stewart are social entrepreneurs at heart and believe in providing sustainable jobs for impoverished communities.
As such, the company has started a recycling and training academy in Khayelitsha, where consumers can return old sneakers that are then repaired by Khayelitsha residents and donated to those in need of shoes. This also provides learners within the academy with shoe-making and recycling trade skills.
Industry research has shown that, on average SA consumers own 4 pairs of sneakers, with 4 in 4 consumers indicating that shoe fit and sizes vary across brands.
3 in 4 consumers indicated that their number one concern when purchasing is having to "settle' for the best fitting shoe, despite the fit not being 100% correct.
Based on these and additional industry research statistics, the company's sneaker products are driven to provide the best shoe fit, with the tagline of "shoes that fit so good, you'll never go barefoot again.'
The main competition to Snug Sneakers comes from 1 local brand, SuperStars, and 2 overseas brands Sassy Sneakers and Rock Your Sneakers.
Although SuperStars supports sustainable use of local manufacturers, the competitor does not provide custom fit sneakers. Sassy Sneakers and Rock Your Sneakers both offer custom fit sneakers, both brands are manufactured in China and do not promote sustainable, social conscious value propositions.
The primary means of marketing will mainly be focused on digital marketing, through evidence-based approaches, including search engine optimisation, Google Ads, Facebook Advertising as well as utilising social media channels that have proven very popular for the company, including Instagram, Pinterest and Facebook.
The locally sourced raw materials, which include cotton, rubber and leather, will be supplied from a sustainable cotton mill and tannery in the Limpopo Province.
Funding for the company was derived through the 2 founders, as well as private investment.
2. Business Overview and Objectives
![bar business plan south africa](https://assets.entrepreneur.com/images/misc/1558963070_2-Your-Free-Business-Idea-Evaluation-SWOT-Analysis-Template_Bigstock_4000pxW-X-2670pxH-copy.jpg)
Creating an overview of your business when you are already established makes it easier, but it may be a little harder when you're either just starting out or haven't even kicked off your operations yet.
When you're just starting out, think about your products and services as your starting point.
- What will you be providing your market with?
- How will you be sourcing/ producing these items?
- What do you need to have in place before you can start selling your products?
- Who will be distributing/ manufacturing your products?
- Importantly, who will your target market or customer be?
In our example business plan, Snug Sneakers serves both retail and online customers, although the bulk of the business is through their online clientele.
This means that Snug Sneakers will need a secure e-commerce platform and a website that has carefully considered the user journey when buying custom sneakers.
The company will also need employees to assist with technical challenges, customer support, and warehouse staff for the packing and distribution of their products.
Similarly, you would need to consider the following when identifying their business objectives:
- What industry will you operate in?
- Who will be your customer?
- What is the problem that you will be solving?
- How will you solve this problem?
- Where will my business be located?
- What equipment and resources will I need within my business?
- What type of employees do I need?
- How will I differentiate my offering from my competitors?
After answering these questions, you will have a better understanding of what it is that you will be offering and what you need to make it happen. A summary of these points will make up your Business Overview and Objectives for your Business Plan.
Example of a Business Overview and Objectives
Snug Sneakers, based in Cape Town South Africa, is focused on providing sustainable, locally produced custom footwear to South Africa, and internationally through its e-commerce platform and local distributor network.
Founded by entrepreneurs David Smith and Stewart Bruce in December 2017, from Stewart's garage, Snug Sneakers grew exponentially within 1 year from 5 online purchases a month to an average of 200 per month within 12 months.
From the company's rapid growth, it became very clear to the founders that there is a gap in the South African market for locally produced, quality sneakers.
The founders' vision for Snug Sneakers is to become a socially conscious, sustainable brand that supports the South African economy by buying 80% locally produced raw materials.
Additionally, the duo noticed a gap in the market where consumers were looking for custom-fitted shoes and remain loyal to the brand that fit them best. To this end, Snug Sneakers offers a wide range of shoe sizes including quarter and half sizes to ensure that all customers find the right snug fit for their feet.
The overarching philosophy and ethos for the company are:
- "Soul sneakers' that allow customers to purchase sneakers that promote social consciousness.
- "South African sourced' sourcing locally produced raw materials that provide job sustainability.
- Superior sneakers' ensuring that customers still get a high-quality product that outmatches popular brands in workmanship and quality.
Company Status
Snug Sneakers was registered as a PTY (Ltd) on 1 December 2017. The main directors are David Peter Smith and Stewart Owen Bruce. Company shares are held by the founders.
The company currently operates out of rented commercial property in Blackheath, Cape Town.
Company Objectives
Snug Sneakers is currently selling custom sneakers primarily through its online store https://www.snugsneakers.co.za , with market penetration nationally, and highest market penetration in Johannesburg and Cape Town. Sporadic orders have also been received from the USA and the United Kingdom.
The company has also partnered with 3 independent shoe and clothing retailers focused on selling locally-sourced South African apparel.
The company has identified a 2 phased upscaling approach for growing sales and operations:
- Increase online sales by 40% within a 6-month period of 2019
- Increase brick-and-mortar retail partnerships from 2 stores in Cape Town to an additional 4 stores in Johannesburg by year end.
- Increase online sales by 50% by end of year 2020
- Explore opening up a brick-and-mortar store in the Canal Walk Shopping Centre, Cape Town
- Increase brick-and-mortar retail partnerships to include 1 store in Durban.
3. Products and Services
![bar business plan south africa](https://assets.entrepreneur.com/images/misc/1558963103_3-Your-Free-Business-Idea-Evaluation-SWOT-Analysis-Template_Bigstock_4000pxW-X-2670pxH-copy.jpg)
In this section, you will be unpacking your product and services offering, especially your key product differentiation from your competitors. Importantly, in this section you will also need to validate why your product is needed by your customers.
If you have applied for any patents, copyrights, or trademarks, you would also include these in this section.
Products and services that already exist may not need a deep analysis of what they are within your business plan.
However, if you're creating a completely new product or service (if you were the first Uber of the world), carefully detail in this section what your product is about, it's uses and the value it brings to the market so your readers will be able to evaluate the value of your product and services.
Some important aspects to cover include:
- The anticipated timeline to bring your new product to the market.
- What differentiates your product or service from those already available in the market.
- What will your operating costs be and profit margins.
- How will you source/ manufacture your product.
- How will the product be distributed to customers.
Example of Products and Services
Snug Sneakers will provide a line of custom sneakers for both men and women. The main product lines include:
- Casual Range: Everyday sneaker footwear
- Active Range: Active gym range of sneakers
- Fashion Forward Range: Formal but funky range of sneakers
Current pricing of the sneakers as follows:
- Casual Range: R550
- Active Range: R950
- Fashion Forward Range: R850
Competition
There are three main competitors that have been identified within the market. These include:
Local competitor:
1. SuperStars 40% locally made raw materials, with 60% of the raw materials originating from China. The brand however does not provide custom-fit sneakers.
Foreign competitors:
2. Sassy Sneakers are based in Australia, with the product line produced in China. The company offers custom fit sizes, however customers have to pay extra for the custom fit and product quality is low.
3. Rock Your Sneakers is a US based company, with the product line produced in China. The company offers some custom fit sizes, however the sizes are limited and the product is only available to South African's online and with a long lead time to delivery.
Snug Sneakers products have a unique differentiator within the market:
- A greater range of custom fit sizes ranging from ¼ - to half sizes as well as broad and narrow width ranges.
- The company will be the only brand within South Africa to offer 80% locally manufactured sneakers.
- Quality of the products is superior to the current locally-made competitor, due to locally sourced high-quality raw materials.
Future Products
The company has also been looking into introducing a line of sneaker care products to assist customers in increasing the longevity of their purchases.
4. Competitive and Market Analysis
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Providing evidence that there is demand for your product or service is one of the most critical components of your business plan. Key to this is understanding your market and your competition within that market.
Embarking on market research requires you to have a deep understanding of what your market is and the opportunities inherent within it. You should be able to define:
- Target Market. The types of customers you will be targeting with your product or service.
- Market Need. If there is demand for your products and services and whether this is increasing or declining.
- Competition. The positioning of your competitors in the market and how you will differentiate your offering from them.
- Barriers to Entry. What will prevent someone else from providing the same offering or better.
- Regulation. Regulations that will be applicable to the industry that your business will be operating in.
Example of a Market Analysis
Target market.
With our initial line of casual, active and fashion forward sneakers, we're looking to target the following consumer segment:
- Age: 16 -36
- Digital Savvy: Researching and shopping online is part of this customer's DNA. The target market is also very active on social media platforms such as Instagram, Pinterest and Facebook.
- On Trend: Fashion forward and looking to illustrate their unique personalities, the target market is always looking for fashion to express their uniqueness.
- Social Consciousness: The target market is proudly South African and are highly conscious of the socio-economic issues and have a keen desire to take part in improving the SA economy, uplifting communities and supporting local initiatives.
Market Need
According to a Global View Research Marketing Report, the global athletic and leisure footwear market size was valued at USD 67.8 billion in 2017. The report found that this value is expected to expand at a CAGR of over 8.0% from 2018 to 2025.
The ever-growing awareness with regards to the health benefits of sports and fitness activities, as well as an expanding retail e-commerce sector globally, including increasing levels of disposable income amongst millennials are estimated to be the key reasons for increasing market growth in this market.
Additionally, the Global Sneaker Market 2018 Industry Trends and Sales report found that although the global brands reported increased profit margins in 2017, these have decreased by 1.5% from 2016.
On the other hand, independent Sneaker retailers have reported a 15% increase in sales, particularly online, in 2017, indicating that consumers are moving away from global brands to pursue lesser known boutique footwear retailers.
- SuperStars is based in Johannesburg and provides sneakers with 40% locally made raw materials, with 60% of the raw materials originating from China. The brand however does not provide custom-fit sneakers.
- Sassy Sneakers are based in Australia, with the product line produced in China. The company offers custom fit sizes, however customers have to pay extra for the custom fit and product quality is low.
- Rock Your Sneakers is a US based company, with the product line produced in China. The company offers some custom fit sizes, however the sizes are limited and the product is only available to South African's online and with a long lead time to delivery. (Repeated above)
5. Marketing/Sales Strategy
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You're on the right track when you have established that there's a market for your product and service and you have identified who your target market is quantifiably, but how will your market segments know to look out for or even buy your product and services?
This is where your marketing and sales strategy comes into play.
A well-defined marketing strategy goes beyond simply advertising your product and service – it includes a deeper understanding of how your customers will view your brand, what is the best way to reach your customers, the benefits that your customer will receive from using your service or buying your product.
Your marketing strategy must also include the budget for your marketing and sales efforts, whether you will require sales staff to sell your products and offer post-sales support, as well as how you will measure your marketing and sales efforts to evaluate their effectiveness.
Example of a Marketing Strategy
Marketing plan.
- Search Engine Optimisation : Our website pages will be optimised for search engine rankings, with the objective to rank within the top 3 search positions for keywords "custom sneakers", "custom size sneakers" and "custom made sneakers".
- Paid Search : Snug Sneakers will be investing in Google Ads and Facebook Advertising and well as Programmatic Advertising to increase landing page conversion rates.
- Social Media : We will be establishing a targeted social media strategy to increase followers across the social media platforms that have shown the highest engagement with the target market. High frequency posts will be created target at highest engagement times to increase engagement and brand awareness.
- Business Network : We will partner with independent apparel and footwear retailers to drive link building and link sharing both on website and on social media.
Customer Value Proposition and Value Differentiator
Although there is one locally produced sneaker competitor within the market, the founders believe that the customer value proposition being brought to the market is a unique offering and therefore a strong differentiator within the market.
The founders are cognisant that without this differentiator, the only differentiator will be price, which will ultimately have a negative impact on profit margins.
As a unique differentiator and value proposition, Snug Sneakers provides customers with Sneakers with South African Sole, leveraging the Proudly South African heritage and support for local initiatives to help grow South Africa's job economy and promote community upskilling and learnership programmes.
Additionally, Snug Sneakers will ensure that the quality of the products far outweighs those of global brands manufacturing in China. The most important differentiator, however is the ability to custom size shoes to each individual's unique size requirements.
6. Staffing and Operations
![bar business plan south africa](https://assets.entrepreneur.com/images/misc/1558964086_6-Your-Free-Business-Idea-Evaluation-SWOT-Analysis-Template_Bigstock_4000pxW-X-2670pxH-copy.jpg)
Strategy is irrelevant without execution – which is where your Operations Plan comes into play in your business plan. How will you serve your customers, while keeping your operating costs low enough to make sufficient profitability?
Your Operations Plan will detail how you will manufacture, staff, fulfil and stock your products, including your day-to-day operational requirements. Ultimately, this section describes how you will run your business.
Some questions to answer in this section include:
- Where will your operations be based?
- What is your management structure?
- What are your staffing requirements?
- What equipment, facilities and supplies will you need?
- How will you establish your suppliers?
- What will be the operational changes required should your company grow?
- What will your production methods entail?
- How will you service/ deliver goods to customers?
- What regulatory requirements must be in place? (Licences, permits etc.)
- How will you manage your inventory levels?
Example of Staffing and Operations
Management team.
David Smith is a serial entrepreneur who founded successful and well-known brands Creative Caps and women's cycling apparel Pedal Power.
David graduated from Stellenbosch University with a B Comm in Economics and went on to study an MBA at GIBS Business School. David heads up Snug Sneakers as the Chief Executive Officer (CEO).
Stewart Bruce has worked in the retail industry as a Senior Designer for well-known retail brands, including Puma and Sketchers.
With over 20 years' experience in designing active and casual footwear, as well as sourcing and overseeing materials for the product range, Stewart brings excellent experience to the management mix as Chief Design Officer.
7. Financial Projections
![bar business plan south africa](https://assets.entrepreneur.com/images/misc/1558964354_7-Your-Free-Business-Idea-Evaluation-SWOT-Analysis-Template_Bigstock_4000pxW-X-2670pxH-copy.jpg)
The bottom line counts the most when it comes to writing your business plan.
Without the numbers to prove whether your business will be profitable or not, potential investors or lenders will have a difficult time objectively deciding if your business will be a sound investment.
Aside from persuading potential investors, crucially, the numbers that you have crunched will also indicate whether you have a viable business.
There are five basic reports or cash projections to include in your business plan:
- Income Statement
- Balance Sheet
- Cash Flow Statement
- Operating Budget
- Break-Even Analysis
It's important to come up with credible financial projections for your business to illustrate that it is feasible.
One way to tackle this section is to break down the figures into various components, such as by sales channel or target market segment.
At this stage, you won't be able to supply exact figures, because you're still estimating your future financials, but by breaking down your guesses into components you will be able to determine a more realistic figure for each component, rather than hazarding guesses as a whole.
The business plan should be an ongoing, living document that can be used as your guide for running your business. It requires continuous adjustment as your business changes and grows.
Entrepreneur Staff
Sales Enablement - Content Division Manager
Catherine Bristow Scott is the Content Division Manager for Entrepreneur South Africa. With specialist expertise in developing SEO content, effective sales enablement content to drive lead generation, as well as digital strategy, Catherine brings an in-depth understanding of developing both written and video content to assist businesses in remaining competitive and growing their revenue.
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How to start a mobile bar business in South Africa?
- February 13, 2021
Mobile bars are starting to get traction in South Africa and will probably be popular in the very near future. A lot of people that are hosting venues have a need for mobile bars, because there are so convenient and they also improve the general atmosphere of the event. This is a guide on how to start a mobile bar business in South Africa.
![bar business plan south africa](https://mysouthafrica.co.za/wp-content/uploads/2020/02/Stay-connected-1.png)
What does a mobile bar do?
A mobile bar as the name hints, is simply a bar that is mobile, as a mobile bartender, you will take the bar to the people instead of them coming to the bar. This happens mostly on events such as birthday parties, parties, conferences and other social gatherings.
What a mobile bartender does is go to these events and set up a mini bar and then start supplying attendants with beverages. This is mostly a weekend gig and can make a lot of money.
What do you need?
Here are some of the things that you need to get a mobile bar business up and running. Setting up a mobile bar business is very expensive and you will have to pay a lot to cover the start-up costs.
Licenses and registrations
The first thing you need to do is to get your business registered, this costs only R175 when you are registering your business through the CIPC. You will also need a liquor license, which is very complicated and expensive for a mobile bar.
The laws surrounding a liquor license are mostly based on operating premises, this is outdated and there haven’t been any adjustments that are favourable for mobile bars. Mobile bars have to apply for a liquor license each and every time they are called to an event. This is an occasional permit that is very expensive and can cut deeply into your profits.
Perhaps mobile bartenders should advocate for an amendment on the laws governing liquor licenses as they are clearly not in their favour, which is why many of them ignore them.
Skills and experience
You at least have to know how bar tendering works and how to mix a few drinks. This will require you to get some experience, it’s best if you become a volunteer in a bar and learn all the skills of the trade. That will make setting ups things a lot easier, at that point you won’t even need this article to tell you what to do.
Buy equipment and a vehicle
You need to have a van or something similar in order to be able to store all your equipment and mobile bar. This will come at a great cost to you, you will also need to buy the mobile bar, which can cost anywhere between R3 000 and R70 000. You can buy a mobile bar from sites like eBay, it’s very easy to set up and assemble.
Other equipment will include cocktail making equipment, glasses, napkins and table covers. You should know exactly what you will need after gaining some experience.
Market your business
This is the most challenging part of running any business, over 60% of businesses struggle with marketing. Advertising your business will be a serious challenge and you will likely spend a lot of money on trial and error.
It’s best if you open a Facebook and Instagram page, especially Instagram. Then open a professional website where people can interact with you and see your portfolio. A professional website will cost you around R1 200 in South Africa. The best way to accelerate your marketing efforts is to connect with people who are involved in the events business.
Connecting with other entrepreneurs in the same space will make it easier to get gigs, connect with caterers, wedding planners and event planners. These people will likely recommend you to their clients. Another great way to advertise is through paid ads, paid ads are a great way to bring instant awareness to your business.
See also: How to start a nightclub in South Africa
This was a guide on how to start a mobile bar business in South Africa. Your biggest obstacle will be the start-up costs, other than that, it’s a smooth and fulfilling business. Do you have any thoughts or questions? Comment below.
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What if you have already registered business and also have a liquor license now you want to include mobile bar, can I use my liquor license and just pay R170 for mobile bar register..?
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Bar Business Plan Template [Updated 2024]
Bar Business Plan
If you want to start a bar business or expand your thriving bar business, you need a great business plan.
The following bar business plan template gives you the key elements to include in a successful bar business plan. This business plan can be used for any type of business in the bar industry including, but not limited to: a sports bar, a dive bar, a neighborhood bar, wine bar, cocktail bar, and more.
You can download the Bar business plan template (including a full, customizable financial model) to your computer here.
Example Business Plan for a Bar or Pub
Below are links to each of the key elements of a sample bar business plan to help you write an effective bar business plan.
- Executive Summary – The executive summary provides an overview of your business idea and summarizes the detailed business plan.
- Company Overview – The company analysis includes information about your business concept, business model, business licenses, and business structure.
- Industry Analysis – The industry analysis includes local market research that supports your business concept and provides insights into the bar industry trends.
- Customer Analysis – The customer analysis provides an overview of your target market including the buying habits of your potential customers.
- Competitive Analysis – The competitive analysis should identify your direct and indirect competitors (other local bars and other local businesses with a bar) and highlight your competitive advantage or unique selling point.
- Marketing Plan – The marketing plan includes your marketing strategy to attract customers to your bar establishment and the pricing strategies for the alcoholic beverages that you will serve.
- Operations Plan – The operations plan includes information on your bar’s day-to-day operations, required bar equipment, inventory management, and expected operating expenses.
- Management Team – The management team section includes a profile of the bar owner and bar management team, their experience and responsibilities.
- Financial Plan – The financial plan includes financial projections including a cash flow analysis, projected profit and loss statement, and balance sheet. It may also include information about how you plan to secure funding, including a list of potential investors.
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Bar Business Plan Outline
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Download a Free Business Plan Template
What is a business plan.
The written plan of goals you want to achieve with your business, and how you want to achieve them, is called a business plan. It is a decision-making tool used when beginning or extending a venture.
Any new business requires a business plan to ensure that the business can make a profit. Fund-seeking entrepreneurs use a formal business plan to convince investors to contribute towards the capital of the business.
Existing businesses – looking to expand or change the business – also use business plans to prospect for new business, attract key employees or deal with suppliers. By revising their business plan regularly, existing companies can devise strategies to manage their companies better.
Most commonly, a business plan is used to apply for a bank loan to fund a business. To learn how to create a business plan for a bank in South Africa, see FNB and Standard Bank’s business plan guidelines. You can also download Standard Bank’s free business plan template in Word or PDF format.
A business plan consists of three primary parts:
- The business concept – details about the industry, the structure of the business, the product or service and the strategy for the success of the business.
- The marketplace section – an analytical description of potential customers and the strategy for achieving success against competitors.
- The financial section – the income and cash flow statement, balance sheet and other financial information.
The length of a business plan varies depending on the nature of the business and the purpose of the business plan. Typically, a business plan is 15 to 20 pages long. It usually details the goals for the business for the next three to five years.
An important part of compiling a business plan is in-depth research into the market and industry. Try to gain as much insight into the market you are targeting by talking to business owners, suppliers, potential customers, existing customers, staff members, business experts, etc. Also, research the industry online.
Business plan format
Although there are several types, the key components of all business plans are essentially the same. The format varies based on who the intended reader of the business plan is. Here is an example of a standard business plan format:
1. Table of Contents (1 page)
The table of contents page should include the correct page numbers of the sections of the business plan. Therefore, it is best to write this page last. In addition to the table of contents page, the plan must also have a cover and a title page.
2. Executive Summary (2 pages)
The purpose of the executive summary of a business plan is to entice the reader to read the rest of the plan. The executive summary is an overview of the key aspects of the plan. It should be compelling but also concise.
The executive summary should include:
- the business concept (a description of the business, product, market and target market);
- key financial aspects (sales, profits, cash flows, investment returns and capital requirements); and
- a short company overview (type of company, date formed, owners and key personnel and achievements).
3. Company Overview (1 – 2 pages)
This section is a high-level overview of the company and the industry in which it operates. It is a description of the business, the product and the industry.
The following should be included in the company overview:
- The name of the company and the type of ownership and registration;
- Details about the business location (address, zoning, reason for choosing location, monthly rentals, etc.)
- Significant assets and financial contributions to the business;
- The mission statement of the business;
- Company objectives and goals;
- The main features of the industry in which the business will operate;
- The most important company strengths and core competencies;
- An explanation of the product, target market and profitability of the plan.
4. The Opportunity, Industry and Market Description (2 – 3 pages)
The research you conducted will come into play in this section. This section offers a detailed explanation of the market and industry and the business’ position therein.
They key is to determine who your target market is through a market analysis. Then clearly explain how your products/services will fulfil the needs of your target market. A market analysis also helps to determine pricing, distribution strategies and growth potential within the industry.
Describe the following:
- The opportunity – the gap in the market;
- The industry – the forces affecting the industry (i.e. obstacles to entry, customers, suppliers, substitute products and competition); and
- The market – insights into the target market (i.e. size, growth and trends).
5. Strategy (1-2 pages)
Detail your positioning strategy and how the business will compete in the chosen market. In other words, what is unique about your product/service and how will the target market benefit from what you have to offer.
6. Business Model Explanation (1 page)
The business model depicts how the business will make money/profit. A business model covers the following aspects:
- Sources of revenue;
- Costs involved in generating the revenue;
- The profitability of the business (revenue minus costs);
- The investment required to get the business up and running; and
- Success factors and assumptions for making the profit model work.
7. Management and Organisation (2 pages)
The biographies of the members of your management team and their roles in the business. Who will be responsible for running the business and why are they well-suited to the task?
This section should include:
- The founders of the company and their qualifications and experience;
- The day-to-day management team and their individual competencies and responsibilities;
- The type of support staff needed to run the business; and
- An organisational chart to show the management hierarchy.
8. Marketing Plan (2 – 3 pages)
The marketing plan is a comprehensive explanation of your marketing strategy. In other words, how will you sell your service/product to your target market?
Your marketing plan should include:
- The value of your product/service to customers;
- A detailed description of the target market;
- How you want your target market to perceive your product/service;
- The pricing strategy for the product/service;
- Sales and distribution channels that will be used to get the product/service to the customer; and
- The promotion strategy (budget, public relations activities, promotions, advertising, etc.).
9. Operational Plan (2 pages)
The operational plan is a description of how the business will function. Include a description of the following:
- The operating cycle – how the business will deliver the service or create and sell the product;
- How skills and materials will be sourced;
- Which tasks will be outsourced and how business relationships will be managed; and
- The cash payment cycle of the business.
10. Financial Plan (3 – 5 pages)
A very important part of any business plan is the financial plan. It is a reasonable projection of the company’s financial future.
A good financial plan will determine how much capital the business needs to launch and/or grow. This section is especially important to potential investors and banks – who will determine the odds for the continued survival of the company based on this information.
A financial plan should include:
- Start-up expenses and capital: What it would cost to start/grow the company and how the money will be generated.
- Profit and loss projections/income statement : Financial sales and expenses projections (i.e. income, cost of goods, gross profit margin, net profit, total expenses, etc.).
- Cash flow projection: Reflects how much cash will be needed to cover expenses and when it will be needed. The cash flow projection amounts to a profit or loss at the end of each month or year.
- A balance sheet: A summary of the business’ equity, assets and liabilities.
- A break-even calculation
Income statements and cash flow projections must be generated for every month of the first year, every quarter of the second year and annually for every year thereafter. The balance sheet is only generated on an annual basis.
Short summaries of the analyses of the income statement, cash flow projection and balance sheet must also be included. Do not include too much detail in this section. Additional projections, charts and calculations must be added to the Appendix.
11. Appendix
Additional reference documents are included in the appendix. This could include:
- Brochures and advertising materials;
- Industry studies and market research;
- Plans and blueprints;
- Photos and maps of location;
- Magazine or other articles;
- Detailed lists of equipment owned or to be purchased;
- Copies of leases and contracts;
- Letters of support from future customers;
- List of assets available as collateral for a loan; and/or
- Detailed financial calculations and projections.
Find more business plan examples and templates from Entrepreneur Magazine .
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Mobile bar business plan template + PDF
This guide offers a comprehensive Mobile Bar Business Plan template, ideal for entrepreneurs ready to launch or expand their mobile bar operations. It's essential to understand that the names and financial data included in this example are entirely fictional, used solely for demonstration purposes. These examples are crafted to show you how to tailor your own Mobile Bar Business Plan, adapting it to the distinctive features of your mobile bar venture.
To aid in customization, we provide a downloadable "Mobile Bar Business Plan PDF" . This document is a crucial tool for entrepreneurs committed to developing a strong and effective strategy for starting or growing their mobile bar. The "Mobile Bar Business Plan" serves as a detailed guide, delivering thorough insights into the mobile bar sector. It arms you with the necessary tools for successful management and growth of your mobile bar business.
How this mobile bar business plan sample was created
Easily craft a bespoke business plan for your mobile bar with our AI-driven business plan generator. Just hit the "Generate your business plan" button and answer a sequence of straightforward questions about your venture. Our advanced AI technology will analyze your responses to create a business plan specifically customized for your mobile bar's needs and goals. This streamlined process is quick, usually taking just 5-10 minutes, and delivers a comprehensive and well-structured plan. Our system is built for adaptability, enabling you to tweak and refine the plan to perfectly match your unique vision. Once you're satisfied, the plan is ready for download, offering you a clear and detailed roadmap for launching and growing your mobile bar business.
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Mobile bar business plan sample
Executive summary, business description, market research and analysis, swot analysis.
- Organizational Structure and Management Team
Products or Services
Marketing and sales strategy, operations plan, financial projections, risk analysis.
![bar business plan south africa bar business plan south africa](https://bizplanner.ai/images/industries.jpg)
Bar on the Go is an innovative business operating within the mobile bar industry, aiming to make every social gathering a memorable one by bringing the bar to the customer. Our target market includes event planners, adults hosting private parties, corporate events, and festival organizers.
Our primary service is providing mobile bars that include complete setup, supply of drinks and professional bartending services. Recognizing that events often lack sufficient bar facilities or require additional bar spaces, our offerings are designed to fit perfectly into any event format.
Bar on the Go is legally structured under the leadership of Peter Johnson, the CEO, with Emily Harris serving as the Operations Manager, Mark Collins as the Lead Bartender, three additional bartenders and two drivers who handle the transportation of the mobile bars. The key members of our management team include Peter, who holds an MBA with 15 years of experience in the hospitality industry, Emily, who has a degree in Business Administration with over 10 years of experience in the mobile bar industry. Michael Brown, our CFO, is a Certified Public Accountant boasting 15 years of experience handling finances in the food & beverage industry, and Mark, a certified mixologist with 12 years of experience in high-end bars.
Marketing activities will be channeled through social media advertising and word-of-mouth. We plan to establish partnerships with event planners and offer package deals for weddings, parties, and corporate events. Attendance and participation in food and drink festivals will be frequent, with first-time clients receiving special discounts.
The operations of Bar on the Go revolve around our three mobile bars - Sunrise, High Tide, and Nightfall- serving at diverse events around the city. Work hours are set from 6PM to 2AM on weekdays, and 4PM to 3AM on weekends, handling roughly 15 events on a weekly basis.
Financially, we anticipate steady growth over the next five years. Estimated revenue stream for Year 1 is pegged at $150,000, rising to $250,000 in Year 2. We have set a target of $400,000 by Year 3, $550,000 by Year 4, and expect to hit $700,000 revenue by Year 5.
However, we are aware of the potential risks involved in the business. Licensing issues, vehicle breakdowns, low demand, underage drinking, drunk driving, food and drink spoilage, and liquor liability are all areas we're keeping a keen eye on. Each of these risks has a corresponding mitigation strategy, including maintaining compliance with local laws, having an emergency mechanic on call, diversifying our offerings, implementing a strict ID checking policy, promoting responsible drinking, maintaining strict inventory management and carrying liquor liability insurance.
Additionally, contingency plans have been developed to ensure business continuity, including establishing a reserve fund for unexpected occurrences, procuring a comprehensive insurance package to cover vehicles and inventory, regular vehicle maintenance, strategic partnerships with other mobile bars and encouraging pre-bookings and advance payments to ensure a steady demand for our services. With these measures in place, Bar on the Go is completely prepared for the opportunities and challenges ahead.
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Mobile bar business plan PDF
Bar on the Go is a unique business within the mobile bar industry located in the vibrant city of San Francisco. Our operational model aims to bring the lively ambience of a bar right to our customers' doorstep, enabling them to host unforgettable events.
Coming from a bar industry background, our CEO, Peter Johnson and COO Emily Harris noticed that there was a significant market need to provide reliable, professional bar services for events where no such facilities were available. Hence, they created Bar on the Go - an enterprise providing mobile bar services, complete with setup, supply of drinks, cocktail creations, and professional bartending, in 2015.
Our mission is to provide our customers with exceptional bar service, contributing to the creation of memorable events, while maintaining the highest standards of professionalism, integrity, and sustainability.
Bar on the Go operates as a Limited Liability Corporation (LLC), thus providing the owners with the advantage of limited personal liability. As CEO, Peter Johnson oversees the holistic functioning of the business, with Emily Harris as the Operations Manager directing our field operations. Our key members include Mark Collins, the prime mixologist/ Lead Bartender, three additional bartenders, and two drivers for the mobile bar's transportation.
The long-term potential of Bar on the Go is immense. Considering the thriving event industry in San Francisco, and the novel convenience that our mobile bar introduces, we foresee a consistent demand for our services. With a detailed marketing strategy, and plans to partner with event planning companies, we project gradual growth for our business. We are considering the possibility of expanding our fleet of mobile bars from the current three to five within the next five years, while also exploring the potential of franchising our business model in other cities.
We anticipate a steady increase in our revenue from $150,000 in the first year to $700,000 by the fifth year. However, we understand that our financial success depends on several factors, including the effective implementation of our marketing strategies, alliances with event companies, and our ability to consistently deliver exceptional service.
Bar on the Go, while offering a unique solution in the event industry, navigates through certain inherent risks. These include fluctuating demand, inclement weather conditions that may affect outdoor events and challenges related to obtaining and maintaining the necessary regulatory permits and licenses. We have appropriate strategies in place to mitigate these risks, primarily through diversified marketing efforts, backup plans for outdoor events, and a designated compliance officer.
In conclusion, our Bar on the Go represents an exciting, long-term viable business that fills a significant market gap in the event industry, delivering exceptional and much-needed services with a professional touch. Our commitment to quality, consistency, and customer satisfaction sets us apart and propels us towards our projected growth trajectory.
The industry of mobile bars is gradually getting momentum, deriving from the current trends of exclusive and personalized services in the event management sector. As per the Global Event Management Software Market report by Technavio, the event management industry is supposed to grow by USD 3.28 billion during 2020-2024, progressing at a CAGR of 10%. The mobile bar sector is a niche within this industry, garnering attention due to its novelty and convenience.
Bar on the Go targets adults aged between 25 and 45 primarily, given their propensity for hosting private parties, corporate events, and festivals. The target market also includes event planning companies who we anticipate will form a substantial part of our client base, considering our service will ease their logistical worries of setting up a bar.
The mobile bar market demands a high-quality, timely, full-service packaged bar delivery solution, which fits into an array of events. Today's clientele constantly seeks unique elements that make their events stand out, hence the untapped potential in our innovative business plan.
The rising popularity of personalized boutique experiences is forming a burgeoning market pattern. As the trends forecast, consumers are inclined more towards businesses offering specialized, tailored services that add value to their event, which positions our mobile bar business for potential success.
In the competitive terrain, Drinks on Wheels, Cocktail Caravan, and Traveling Tavern are our main competitors. Drinks on Wheels offers a vast drink menu, which is their strength, but they lack professional bartending services. Cocktail Caravan excels in their compact setup, making them apt for small events, but their narrow menu is a downside. Traveling Tavern claims an advantage with their experienced bartenders, but their weak online presence hinders their market growth.
As a startup, the barriers to entry for us mainly lie in obtaining the necessary licenses and permits, finding competent staff, and setting up our fleet of mobile bars. A significant amount of initial investment is required for setting up each of these mobile bars, where obtaining a return will be time-consuming.
To overcome these hurdles, Bar on the Go will focus on strategic marketing and partnerships with event planners to establish our presence. Efficient hiring and training processes will ensure we onboard high-quality, reliable staff. While our competitors have their strengths, none provide the range of services that we promise - a complete, professional mobile bar experience. This unique selling proposition will give us a competitive edge in the market as we deliver what the market currently needs and demands.
Strengths | Weaknesses |
---|---|
Bar on the Go's | Despite its innovation, Bar on the Go is susceptible to several internal weaknesses. The reliance on three mobile bars means that scaling operations to match demand can be challenging. There is also a heavy dependence on the performance of a small staff, where any short-term unavailability can impact the quality and consistency of service. Work hours extending late into the night can be taxing on staff and might contribute to high turnover rates. Additionally, the niche focus on mobile bartending might limit the |
Opportunities | Threats |
Bar on the Go is positioned to leverage several market opportunities, such as expanding its service range to meet growing demand for unique and personalized event experiences. Exploring partnerships with larger, not-yet-tapped corporate clients and broadening the clientele to include charity events or public gatherings could provide substantial growth prospects. Ancillary services like cocktail workshops or mixology classes may be introduced to diversify revenue streams. Utilizing technological advancements, the company could implement an app or online booking system for more efficient operations and customer convenience. The business could also adopt sustainability practices, appealing to environmentally conscious consumers, and engaging in corporate social responsibility initiatives can boost its community image and attract a customer base valuing ethical practices. | The mobile bar industry faces external threats from fluctuating market trends, economic downturns, and shifts in consumer preferences. Stringent regulations and licensing can prove to be significant hurdles. Competitors may emerge offering similar or superior services and amenities, tightening the competitive landscape. Adverse events such as bad weather, which can cancel or delay outdoor events, directly affect revenue. Changes in liquor laws, increased liability insurance costs, and potential issues with vehicle reliability are ongoing concerns. Additionally, societal issues like the promotion of sobriety movements or increasing awareness of the consequences of drinking and driving could impact the demand for bar services at events. Global crises, such as pandemics, can dramatically restrict public gatherings, posing a severe threat to the business model. |
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Mobile bar business plan template
Organizational structure and management.
Bar on the Go operates under a straightforward organizational structure. At the top is the CEO, Peter Johnson. Johnson holds an MBA and brings with him 15 years of experience in the hospitality industry. Working alongside Johnson is the Operations Manager, Emily Harris. With a degree in Business Administration, Harris harnesses her years of mobile bar industry experience to streamline operations ensuring efficient business processes.
In terms of staffing, the team consists of one Lead Bartender, Mark Collins who manages a team of three additional bartenders. Certified mixologist Collins carries a record of 12 years on the field in high-end bars. Two full-time drivers complete our team responsible for the mobile bar's transportation.
The company operates three mobile bars with their unique themes and features to cater to various customer needs and tastes, leading to optimal utilization of resources. Each mobile bar is exceptionally equipped to function independently with its bartender and driver.
Bar on the Go adopts comprehensive Human Resources policies and practices. All employees are provided with a written manual explaining company policies and procedures related to work hours, expectations, dress code, safety protocols, and code of conduct. The HR department is also responsible for creating a positive work environment by organizing regular team-building activities and facilitating open communication channels leading to better team dynamics.
Our business also plans to work with external advisors and consultants to tap into their industry expertise and outsider perspective to grow and develop the business. We have already partnered with a local mixology school to ensure our bartenders are updated with the latest trends and drink recipes. An arrangements agreement is in place with Suzanne Zimmerman, a business consultant known for her vast industry knowledge and connections with local event planning companies.
As for future staffing needs, we currently operate with a lean team, anticipating to hire more staff as the company expands. Plans include adding more bartenders to the team, and we're also foreseeing a hiring of sales and marketing personnel to boost our growth and brand visibility further.
Bar on the Go is adequately equipped and strives to stand out in this competitive industry, focusing on delivering premium services that garner public engagement and cater to consumer needs.
The products and services of Bar on the Go, our mobile bar service, are designed to cater to the needs of events and gatherings where bar facilities are not readily available. Our offerings consist of the delivery and setup of portable bars, supply of drinks, and professional bartender services.
A characteristic feature of our business is the unique mobile bars we operate. Named Sunrise, High Tide, and Nightfall, each has a unique theme and design, creating an appealing ambiance to charm different tastes and preferences. Our team of professional bartenders, led by the experienced Mark Collins, elevate the drinks experience beyond the ordinary, making any event memorable.
Undoubtedly, the USP of our business is the convenience and novelty we bring to festivities. We fulfill a gap in the market where customers yearn for bar services in their location of choice be it homes, offices, outdoor venues or otherwise. This is a compelling advantage over our rivals Drinks on Wheels, Cocktail Caravan, and Traveling Tavern, who merely deliver drinks but do not cater to the more comprehensive experience that we offer with our bar setup and bartending services.
Currently, Bar on the Go is fully operational, and we handle an average of 15 events every week, working from 6PM to 2AM on weekdays and 4PM to 3AM on weekends. In the long-term, we intend to expand our fleet of mobile bars and extend our services to a larger radius, enhancing our market reach. We foresee an enhanced engagement with corporate clients and festivals that would capitalize on our growth.
Intellectual property-wise, we are on track to secure trademark registration for Bar on the Go. This will provide us exclusive rights to the name in our business context. The designs and themes of our mobile bars (Sunrise, High Tide, and Nightfall) are also subject to copyright.
Our production process, which primarily consists of bar setup, drinks preparation, and bartending, is managed impeccably by our team. We ensure that each bar is cleaned, sanitized, and stocked correctly before departure for an event. The bartenders take charge of setup and drink preparation, ensuring a seamless experience for our clients.
Supplier-wise, we work with a local drinks distributor who provides us with high-quality beverages at competitive prices. On top of this, our supplier has agreed to a flexible resupply policy and speedy delivery times, which provide us stability and ease in our operations.
In conclusion, Bar on the Go is on the path to establishing itself as an innovative player offering remarkable convenience in the mobile bar industry. Our strong appeal lies in our unique selling points of full-range mobile bar service, professional bartending, and special ambiance which sets us distinctly apart from our competitors.
![bar business plan south africa mobile cocktail bar business plan pdf](https://bizplanner.ai/templates/mobile-bar/mobile-bar-4.jpg)
Mobile cocktail bar business plan pdf
To penetrate and establish in this competitive market, Bar on the Go will employ an aggressive marketing strategy that will enable us to reach as many potential customers as possible. We will leverage the power of social media platforms, primarily Instagram and Facebook, as they provide an excellent platform to showcase our visually compelling mobile bars and drinks.
Furthermore, we plan on teaming up with local event planning companies, offering them special partner deals, which would not only benefit both parties but also give us access to a consistent flow of customers. Given the current environment where personal and corporate events are gaining popularity, these partnerships will significantly enhance our business growth.
To solidify our brand positioning in the market, we will also engage in sponsorship activities at local food and drink festivals. Besides showcasing our mobile bar concept to a larger audience, it will also create an opportunity for guests to experience our services firsthand.
When it comes to sales, we plan on having a dedicated sales team onboard that will interact with potential clients, follow up on inquiries, and close deals. The team will also recommend the best package deals based on the client's budget and preferences.
Our pricing model revolves around offering our customers good value for their money. The pricing strategy is designed not only to be affordable for diverse budget ranges but also to give us a decent profit margin. It's essential to balance out customer friendly pricing with the need to keep the business profitable and sustainable. Pricing would be labelled under standard, deluxe, and premium packages that include different services and drink options.
We plan to deliver our mobile bars and services directly to the consumers at their preferred locations. This direct distribution model eliminates intermediaries, enhancing efficiencies and giving us better control over the delivery and setup process, which is essential in our line of business.
Promotion activities will include discounts and special offers, especially for first-time bookings. On this note, we are inclined to explore referral programs, where existing customers who refer new clients can enjoy discounts on their next booking. It fosters customer loyalty and simultaneously attracts new business.
Customer service is paramount for us. Hence, our customer service policies will be focused on ensuring an excellent customer experience right from the booking process until the end of the event. We will ensure quick and friendly response to inquiries, smooth and efficient booking process, punctuality in delivery and setup, and professional service during the event. A process will also be put in place for dealing with complaints promptly and effectively.
Finally, we completely understand the importance of responsible drinking. We will put forth strict ID checking policies to prevent underage drinking and encourage responsible behavior at all events we cater to.
As Bar on the Go promises to add to the cheer at gatherings with our unique, convenient and premium bar services, our marketing and sales strategy works as a roadmap guiding us to our business goals.
The operational workflow at Bar on the Go involves both regular day-to-day tasks as well as one-off activities. Our typical day begins with inventory checks conducted by our operations manager, Emily Harris. She ensures that our mobile bars are stocked with all essentials, from a diverse range of premium alcohol to accompanying mixers and garnishes. She also verifies that the equipment used is in optimal working condition and that hygiene standards are maintained around all workstations.
Once inventory checks are complete, our bartending team led by Mark Collins begins their work shifts depending on the bookings for the day. They are responsible for preparing cocktail mixes, garnishes and setting up the mobile bar units to the specific themes requested by our clients. Each bartender is trained to churn out an array of cocktails and beverages depending upon customer demands.
Our drivers, who are responsible for transporting the mobile bars, have their tasks cut out too. They conduct routine safety checks on the vehicles and drive to client sites as per the scheduled bookings.
The production process involves the assembly and disassembly of the bars, stirring up drinks, and the presentation of each beverage. Quality control measures are vital in our business, as we believe complete customer satisfaction can only be achieved through high-quality service. We make sure that all drinks are prepared as per standardized recipes and our bartenders execute their customer service duties in a professional manner, ensuring every customer at the bar enjoys an exemplary experience.
Inventory management is vital for Bar on the Go to ensure uninterrupted services. Regular inventory checks help us maintain an appropriate supply of spirits, wines, cocktail ingredients, and glassware. This also assists in managing costs by avoiding overstocking and eliminating wastage.
Our supply chain management primarily spans contracts with local breweries, wineries, and distilleries, ensuring a steady input for operations. Additionally, we have established relationships with local food vendors who can cater to supplementary needs at events.
The chief facilities and equipment needs for our business include the fleet of vehicles that serve as mobile bars, alcohol and cocktail making supplies, and safety equipment. These resources ensure we can uphold our brand reputation for premium, professional bar services at any event location. Maintenance of the mobile bars, including their structural integrity and hygiene, is of utmost importance in our operational plans.
Overall, Bar on the Go’s operational workflow ensures efficient and effective management that results in top-quality services delivered directly to our clients. We believe that our commitment to excellence and unique service proposition will establish us as leaders in the mobile bar business.
![bar business plan south africa cocktail bar business plan pdf](https://bizplanner.ai/templates/mobile-bar/mobile-bar-5.jpg)
Cocktail bar business plan pdf
Our five-year financial projection for Bar on the Go anticipates steady growth via an increase in client bookings as our reputation strengthens within the industry. In the initial year, the total revenue is projected to be $150,000 with consistent growth over the following years. For the second year, sales are expected to rise to $250,000 and further increasing to reach $400,000 by the third year. The fourth and fifth year will maintain the trend, projecting revenues of $550,000 and $700,000, respectively.
From the income perspective, we estimate that approximately 75% of our revenue will be derived from private events such as parties and weddings, with the remaining 25% coming from corporate events and festivals. This composition is based on our market research and prevalent industry trends.
Operating costs include inventory supplies, staffing, vehicle maintenance, licensing, advertising, and overhead costs such as insurance and office space rental. Due to the nature of our mobile business and a significant part of our expenditure concentrated on maintaining inventory and vehicle upkeep, we expect our operational costs to comprise around 40% of our projected revenue.
Our profit and loss projection, therefore, assumes that the net profit margin after deducting all costs, including taxes, will approximately be around 25% of the total projected revenue. This assumes that no drastic changes will occur within the market or significant organizational crises that could impact profitability.
Cash flow for Bar on the Go is projected to be positive over the five-year forecast period. Initially, a significant cash outlay will be required for asset acquisition, license procurement, and marketing costs. As we progress, our cash inflow is expected to exceed our operational expenses, leading to a healthy cash flow that will enable us to steer business expansion and stay resilient.
The Balance Sheet analysis projects increases in asset values throughout the period with a high emphasis on inventory and cash components. Similarly, equity growth is anticipated to be positive with a decreasing reliance on borrowed capital. A stable balance of current and fixed assets against short and long-term liabilities would ensure a healthy and robust financial position.
Our break-even analysis indicates that we will need to cater to around eight events per week or approximately 33 per month to cover our monthly operating expenses. Given our operating hours and ample market demand, reaching this break-even point is realistic and achievable within the first few months of operation.
Our financial projections are based on certain assumptions, such as a steady growth in demand for mobile bar services, an absence of drastic changes in market conditions or regulatory requirements, and a steady inventory supply chain. Any change in these conditions would necessitate revisiting and modifying these projections.
![bar business plan south africa bar business plan template](https://bizplanner.ai/templates/mobile-bar/mobile-bar-6.jpg)
Bar business plan template
Identifying potential risks is key to our business planning and strategic decision-making process. Some of the risks we anticipate facing include:
1. Market risk: The mobile bar industry is still growing and evolving. Changes in market trends, consumer behavior, or a sudden increase in competitors could potentially impact our business revenues.
2. Operational risk: Operational mishaps such as vehicle breakdowns, stock shortages, staff absenteeism, or cancellations could interfere with our ability to serve our clients effectively and on time.
3. Financial risk: Unforeseen costs or insufficient cash flow could limit our capacity to meet operational needs and business expansion plans.
4. Legal and compliance risk: Failing to comply with regulatory standards, licensing requirements, and health and safety rules could result in fines, penalties, or even business closure.
To mitigate these risks, we have formulated some strategies. For market risk, continuous market research, and adaptation to trends is fundamental. Partaking in networking events and partnerships with local event planning companies will diversify our clientele and stabilize customer demand.
Operational risks will be managed by maintaining a well-trained and flexible workforce ready to step in at short notice, keeping backup supplies, and regularly servicing our vehicles to avoid breakdowns. Also, we plan to keep buffer slots for last-minute bookings and cancellations while also encouraging clients to make early bookings and payments.
Financial risks will be managed by maintaining a robust financial plan, preparing for unexpected costs, and maintaining an emergency fund. Regular financial audits and reviews will ensure our financial health.
For legal risks, we have a designated compliance officer to ensure we uphold all regulatory requirements, health and safety standards, and licensing agreements. Additionally, we pledge to uphold responsible serving practices and strict age verification to maintain license integrity.
Our contingency plan includes an emergency fund, comprehensive insurance for our vehicles and equipment, a back-up mobile unit, and plans to diversify our services to withstand market fluctuations.
With these risk identification and mitigation measures in place, along with contingency plans, we will be able to manage and overcome any potential issues. By doing so, we protect our brand reputation, ensure customer satisfaction, and safeguard our financial health, thus securing operational resilience.
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Mobile Bar Business Plan Template
Written by Dave Lavinsky
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Mobile Bar Business Plan
Over the past 20+ years, we have helped over 500 entrepreneurs and business owners create business plans to start and grow their mobile bar companies.
If you’re unfamiliar with creating a mobile bar business plan, you may think creating one will be a time-consuming and frustrating process. For most entrepreneurs it is, but for you, it won’t be since we’re here to help. We have the experience, resources, and knowledge to help you create a great business plan.
In this article, you will learn some background information on why business planning is important. Then, you will learn how to write a mobile bar business plan step-by-step so you can create your plan today.
Download our Ultimate Business Plan Template here >
What is a Mobile Bar Business Plan?
A business plan provides a snapshot of your mobile bar business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategies for reaching them. It also includes market research to support your plans.
Why You Need a Business Plan for a Mobile Bar Business
If you’re looking to start a mobile bar business or grow your existing mobile bar company, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your mobile bar business to improve your chances of success. Your mobile bar business plan is a living document that should be updated annually as your company grows and changes.
Sources of Funding for Mobile Bar Businesses
With regards to funding, the main sources of funding for a mobile bar business are personal savings, credit cards, bank loans, and angel investors. When it comes to bank loans, banks will want to review your business plan (hand it to them in person or email to them as a PDF file) and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to ensure that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for mobile bar companies.
Finish Your Business Plan Today!
How to write a business plan for a mobile bar business.
If you want to start a mobile bar business or expand your current one, you need a business plan. The guide and sample below details the necessary information for how to write each essential component of your mobile bar business plan.
Executive Summary
Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.
The goal of your executive summary is to quickly engage the reader. Explain to them the kind of mobile bar business you are running and the status. For example, are you a startup, do you have a mobile bar business that you would like to grow, or are you operating a chain of mobile bar businesses?
Next, provide an overview of each of the subsequent sections of your plan.
- Give a brief overv iew of the mobile bar industry.
- Discuss the type of mobile bar business you are operating.
- Detail your direct competitors. Give an overview of your target customers.
- Provide a snapshot of your marketing strategy. Identify the key members of your team.
- Offer an overview of your financial plan.
Company Overview
In your company overview, you will detail the type of mobile bar business you are operating.
For example, you m ight specialize in one of the following types of mobile bar businesses:
- Beer or Tap Truck : A beer truck is simply a good-sized truck or van that is equipped to transport and sell beer by the glass from the truck. Often customized, beer trucks are easy to maintain and offer a variety of beer choices for customers.
- Cocktail Cart Service: Used at upscale outdoor events or fundraising evenings, a mobile bar is one that can be transported in a truck or van and is designed to serve several guests with a variety of favorite cocktails produced on order. Some cocktail carts serve only champagne and a variety of champagne cocktails in specialty glassware.
- Full Bar Table: A wedding reception or fancy-dress dinner may call for a full bar table, which is typically transported by truck. A full bar table is usually built with a custom-made design on wheels, with a length of four to six feet, and is covered in elegant fabric. Offerings may include a wide variety of alcohol and mixed drink ingredients.
- Custom-made Mobile Bar: From a bathtub on wheels to a custom-fitted horse trailer, custom-made bars are showcased at casual gatherings as the center of attention. Often stocked with beer and wine, these unique, fun custom-made mobile bars are popular with all ages.
In addition to explaining the type of mobile bar business you will operate, the company overview needs to provide background on the business.
Include answers to questions such as:
- When and why did you start the business?
- What milestones have you achieved to date? Milestones could include the number of customers served, the number of mobile bars your business owns, reaching X number of clients served, etc.
- What is your legal business structure? Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.
Industry Analysis
In your industry or market analysis, you need to provide an overview of the mobile bar industry.
While this may seem unnecessary, it serves multiple purposes.
First, researching the mobile bar industry educates you. It helps you understand the market in which you are operating.
Secondly, market research can improve your marketing strategy, particularly if your analysis identifies market trends.
The third reason is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.
The following questions should be answered in the industry analysis section of your mobile bar business plan:
- How big is the mobile bar industry (in dollars)?
- Is the market declining or increasing?
- Who are the key competitors in the market?
- Who are the key suppliers in the market?
- What trends are affecting the industry?
- What is the industry’s growth forecast over the next 5 – 10 years?
- What is the relevant market size? That is, how big is the potential target market for your mobile bar business? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.
Customer Analysis
The customer analysis section of your mobile bar business plan must detail the customers you serve and/or expect to serve.
The following are examples of customer segments: wedding receptions, barn dance parties, corporate events, and college grad parties.
As you can imagine, the customer segment(s) you choose will have a great impact on the type of mobile bar business you operate. Clearly, a wedding party seeking a full bar table would respond to different marketing promotions than those customers planning a barn dance, for example.
Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the potential customers you seek to serve.
Psychographic profiles explain the wants and needs of your target customers. The more you can recognize and define these needs, the better you will do in attracting and retaining your customers. Ideally you can speak with a sample of your target customers before writing your plan to better understand their needs.
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Competitive Analysis
Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.
Direct competitors are othe r mobile bar businesses.
Indirect competitors are other options that customers have to purchase from that aren’t directly competing with your product or service. This includes wedding venues with bars, cocktail lounges, and home parties with beer kegs. You need to mention direct competition, as well.
For each direct competitor, provide an overview of their business and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as
- What types of customers do they serve?
- What type of mobile bar business are they?
- What is their pricing (premium, low, etc.)?
- What are they good at?
- What are their weaknesses?
With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.
The final part of your competitive analysis section is to document your areas of competitive advantage. For example:
- Will you provide options for the uninsured?
- Will you offer products or services that your competition doesn’t?
- Will you provide better customer service?
- Will you offer better pricing?
Think about ways you will outperform your competition and document them in this section of your plan.
Marketing Plan
Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a mobile bar business plan, your marketing strategy should include the following:
Product : In the product section, you should reiterate the type o f mobile bar company that you documented in your company overview. Then, detail the specific products or services you will be offering. For example, will you provide more than one bartender for each cocktail bar? Will you offer a craft beer variety of ales and lager from your beer truck?
Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of yo ur plan, yo u are presenting the products and/or services you offer and their prices.
Place : Place refers to the site of your mobile bar company. Document where your company will operate and mention the general region and your scope of business. Mention how your portability and custom features will positively impact your success and add to the interest of potential customers who will bring in future business. For example, is your mobile bar business adjacent to a dance hall or nightlife area? Do you travel in a regular pattern throughout an area saturated with sports parks and outdoor venues? Do your customers know where to find you if you regularly cruise to several locations in one evening? Discuss how your mobile bar is perfectly situated to conveniently travel to your customer’s party site.
Promotions : The final part of your mobile bar marketing plan is where you will document how you will drive potential customers to your location(s). The following are some promotional methods you might consider:
- Advertise in local papers, radio stations and/or magazines
- Reach out to websites
- Distribute flyers
- Engage in email marketing
- Advertise on social media platforms
- Improve the SEO (search engine optimization) on your website for targeted keywords
Operations Plan
While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.
Everyday short-term processes include all of the tasks involved in running your mobile bar business, including answering calls, taking mobile bar reservations, restocking supplies and glassware, cleaning and maintaining your vehicle and mobile bar.
Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to book your Xth mobile bar event, or when you hope to reach $X in revenue. It could also be when you expect to expand your mobile bar business to a new city.
Management Team
To demonstrate your mobile bar business’ potential to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.
Ideally, you and/or your team members have direct experience in managing mobile bar businesses. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.
If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing a mobile bar business or successfully running a restaurant bar.
Financial Plan
Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance s heet, and cash flow statements.
Income Statement
An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenue and then subtracts your costs to show whether you turned a profit or not.
In developing your income statement, you need to devise assumptions. For example, will you book at least 5 mobile bar events each week, or will you offer snack foods for purchase with your beer truck to increase revenue? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.
Balance Sheets
Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your mobile bar business, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a lender writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.
Cash Flow Statement
Your cash flow statement will help determine how much money you need to start or grow your business, and ensure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt.
When creating your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a mobile bar business:
- Cost of mobile bar ingredients, barware, equipment and/or vehicle
- Payroll or salaries paid to staff
- Business insurance
- Other start-up expenses (if you’re a new business) like legal expenses, permits, computer software, and other equipment
Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include the party bookings you have had in the last year or a list of potential customers reviewing your offerings and services.
Writing a business plan for your mobile bar business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will understand the mobile bar industry, your competition, and your customers. You will develop a marketing strategy and will understand what it takes to launch and grow a successful mobile bar business.
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Mobile Bar Business Plan
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Business flexibility, low startup & infrastructure costs, and minimal staff requirements make starting a mobile bar a lucrative yet rewarding business option.
Anyone can start a new business, but you need thorough business planning when it comes to raising funding, applying for loans, and scaling it like a pro!
Need help writing a business plan for your mobile bar business? You’re at the right place. Our mobile bar business plan template will help you get started.
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Free Business Plan Template
Download our free mobile bar business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!
- Fill in the blanks – Outline
- Financial Tables
How to Write a mobile bar Business Plan?
Writing a mobile bar business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:
1. Executive Summary
An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.
Here are a few key components to include in your executive summary:
- Introduce your business: Start your executive summary by briefly introducing your business to your readers.
- This section may include the name of your mobile bar, its location, when it was founded, and if there is any specific information you would like to add.
- Market opportunity: Summarize your market research, including market size, growth potential, and marketing trends. Highlight the opportunities in the market and how your business will fit in to fill the gap.
- Product and services: Highlight the mobile bar services you offer your clients. The USPs and differentiators you offer are always a plus.
- For instance, your products and services may include alcoholic and non-alcoholic beverages, bartending services, event planning and coordination, and similar other services.
- Marketing & sales strategies: Outline your sales and marketing strategies—what marketing platforms you use, how you plan on acquiring customers, etc.
- Financial highlights: Briefly summarize your financial projections for the initial years of business operations. Include any capital or investment requirements, associated startup costs, projected revenues, and profit forecasts.
- Call to action: Summarize your executive summary section with a clear CTA, for example, inviting angel investors to discuss the potential business investment.
Ensure your executive summary is clear, concise, easy to understand, and jargon-free.
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2. Business Overview
The business overview section of your business plan offers detailed information about your business. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:
- Business description: Describe your business in this section by providing all the basic information:
- Trailer bars
- Horsebox bars
- Pop-up bars
- Trolley bars
- Describe the legal structure of your mobile bar, whether it is a sole proprietorship, LLC, partnership, or others.
- Explain where your business is located and why you selected the place.
- Owners: List the founders of your mobile bar. Describe what shares they own and their responsibilities for efficiently managing the business.
- Mission statement: Summarize your business’ objective, core principles, and values in your mission statement. This statement needs to be memorable, clear, and brief.
- Business history: If you’re an established mobile bartending service provider, briefly describe your business history, like—when it was founded, how it evolved over time, etc.
- Additionally, If you have received any awards or recognition for excellent work, describe them.
- Future goal: It’s crucial to convey your aspirations and vision. Mention your short-term and long-term goals; they can be specific targets for revenue, market share, or expanding your services.
This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.
3. Market Analysis
The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.
- Target market: Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.
- For instance, folks planning to host weddings, corporate or private events can be an ideal target audience for a mobile bar.
- Market size and growth potential: Describe your market size and growth potential and whether you will target a niche or a much broader market.
- Competitive analysis: Identify and analyze your direct and indirect competitors. Identify their strengths and weaknesses, and describe what differentiates your mobile bartending services from them. Point out how you have a competitive edge in the market.
- Market trends: Analyse emerging trends in the industry, such as technology disruptions, changes in customer behavior or preferences, etc. Explain how your business will cope with all the trends.
- For instance, after the COVID-19 outbreak, customers increasingly prefer contactless bartending services, so explain how you plan to implement contactless services.
- Regulatory environment: List regulations and licensing requirements that may affect your mobile bar, such as business registration, insurance, health & regulations, alcoholic service regulations, transportation regulations, etc.
Here are a few tips for writing the market analysis section of your mobile bartending business plan:
- Conduct market research, industry reports, and surveys to gather data.
- Provide specific and detailed information whenever possible.
- Illustrate your points with charts and graphs.
- Write your business plan keeping your target audience in mind.
4. Products And Services
The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:
- Beverage service
- Bartending service
- Equipment rental
- Event planning and coordination
- Beverage option: Mention the alcoholic and non-alcoholic drinks your mobile bar will serve. These drinks may include beer, vodka, cider, and non-alcoholic beverages.
- Bartending services: Describe the bartending services your mobile bar will provide, including drink customization or recommendation and the experience and expertise of the bartenders.
- Additional services: Mention if your mobile bar provides any additional services. You may include services like retail beverage sales, tasting events, and classes to educate customers about wines.
In short, this section of your mobile bar plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.
5. Sales And Marketing Strategies
Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:
- Unique selling proposition (USP): Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.
- For example, you may mention customizations, professional bartending services, and various beverage options as some of your USPs.
- Pricing strategy: Describe your pricing strategy—how you plan to price your bartending services and stay competitive in the local market. You can mention any discounts you plan on offering to attract new customers to your service.
- Marketing strategies: Discuss your marketing strategies to market your services. You may include some of these marketing strategies in your business plan—social media marketing, Google ads, brochures, email marketing, content marketing, referral marketing, and print marketing.
- Sales strategies: Outline the strategies you’ll implement to maximize your sales. Your sales strategies may include upselling products and services, partnering with local businesses, providing excellent bartending services, etc.
- Customer retention: Describe your customer retention strategies and how you plan to execute them. For instance, your customer retention strategies may include maintaining good communication, introducing loyalty programs, and addressing customer feedback.
Overall, this section of your mobile bartending business plan should focus on customer acquisition and retention.
Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your mobile bar, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.
6. Operations Plan
The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:
- Staffing & training: Mention your bartending business’s staffing requirements, including the number of employees or bartenders needed. Include their qualifications, the training required, and the duties they will perform.
- Operational process: Outline the processes and procedures you will use to run your mobile bar. Your operational processes may include planning & preparation, travel & setup, inventory management, and staff & financial management.
- Equipment & machinery: Include the list of equipment and machinery required for the mobile bar, such as glassware, ice maker, blender, refrigeration unit, lighting system, sound system, and transportation vehicle.
- Explain how these technologies help you maintain quality standards and improve the efficiency of your business operations.
Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.
7. Management Team
The management team section provides an overview of your mobile bar’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.
- Founder/CEO: Mention the founders and CEO of your mobile bar, and describe their roles and responsibilities in successfully running the business.
- Key managers: Introduce your management and key members of your team, and explain their roles and responsibilities.
- It should include key executives, senior management, and other department managers (e.g., operations manager, beverage manager.) involved in the business operations, including their education, professional background, and any relevant experience in the industry.
- Organizational structure: Explain the organizational structure of your management team. Include the reporting line and decision-making hierarchy.
- Compensation plan: Describe your compensation plan for the management and staff. Include their salaries, incentives, and other benefits.
- Advisors/consultants: Mentioning advisors or consultants in your business plans adds credibility to your business idea.
- So, if you have any advisors or consultants, include them with their names and brief information consisting of roles and years of experience.
This section should describe the key personnel for your mobile bartending services, highlighting how you have the perfect team to succeed.
8. Financial Plan
Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:
- Profit & loss statement: Describe details such as projected revenue, operational costs, and service costs in your projected profit and loss statement. Make sure to include your business’s expected net profit or loss.
- Cash flow statement: The cash flow for the first few years of your operation should be estimated and described in this section. This may include billing invoices, payment receipts, loan payments, and any other cash flow statements.
- Balance sheet: Create a projected balance sheet documenting your mobile bar’s assets, liabilities, and equity.
- Break-even point: Determine and mention your business’s break-even point—the point at which your business costs and revenue will be equal.
- This exercise will help you understand how much revenue you need to generate to sustain or be profitable.
- Financing needs: Calculate costs associated with starting a mobile bar, and estimate your financing needs and how much capital you need to raise to operate your business. Be specific about your short-term and long-term financing requirements, such as investment capital or loans.
Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.
9. Appendix
The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.
- Add a table of contents for the appendix section to help readers easily find specific information or sections.
- In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
- Provide data derived from market research, including stats about the mobile bar industry, user demographics, and industry trends.
- Include any legal documents such as permits, licenses, and contracts.
- Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.
Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.
Remember, the appendix section of your mobile bartending business plan should only include relevant and important information supporting your plan’s main content.
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This sample mobile bar business plan will provide an idea for writing a successful mobile bar plan, including all the essential components of your business.
After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our mobile bar business plan pdf .
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Frequently asked questions, why do you need a mobile bar business plan.
A business plan is an essential tool for anyone looking to start or run a successful mobile bar business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.
Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your mobile bar.
How to get funding for your mobile bar business?
There are several ways to get funding for your mobile bar business, but self-funding is one of the most efficient and speedy funding options. Other options for funding are:
Small Business Administration (SBA) loan
Crowdfunding, angel investors.
Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.
Where to find business plan writers for your mobile bar business?
There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your mobile bar business plan and outline your vision as you have in your mind.
What is the easiest way to write your mobile bar business plan?
A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any mobile bar business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software.
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Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more
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Starting a Coffee Shop Business in South Africa – Business Plan (PDF, Word & Excel)
Posted by BizBolts | All Articles , Business Ideas , Business Plans , Retail Industry
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When it comes to coffee, there’s no doubt about it: the country is one of the world’s coffee hotspots. Based on recent market research reports, the consumption of coffee has gone up over the years. A coffee shop is a profitable business to start in South Africa. As the average income has risen steadily, there has been an increase in coffee consumption. This increase in coffee sales in recent years is due to the growing middle class which has resulted in a growing coffee and café culture. Younger, and upwardly mobile consumers drink coffee as a beverage of choice. It is evident that this is a business market that you can explore. South African coffee consumers are becoming more and more interested in the full coffee experience. Coffee is not only an essential beverage for starting your day; it can be seen as a social drug that promotes cohesion and recreation. Instant coffee remains an absolute favorite amongst many South Africans, and that’s how the commercial market supposedly took off. Just like any other country, the coffee culture is growing and finding a foothold in the South African market. This article will outline how to start a coffee shop business in South Africa, and the coffee shop business plan – PDF, Word and Excel.
A coffee shop is a lucrative business, providing income for many South African entrepreneurs, but there are some essential factors you need to consider before you venture into this business. You need to decide on the size of your coffee shop; location, the various beverages, the accompaniments you will provide, plus your target market. These factors will be affected by the amount of capital you have. Thus, you should carry out a feasibility study, market research and have a good coffee shop business plan before you venture into this business.
Business Model
A coffee shop’s business model is similar to that of a retail store , where the coffee shop has direct access to customers, who are usually local people from the neighborhood. When it comes to your brand, you can offer popular types of coffee such as Assagay Coffee, Douwe Egberts, Jacobs Kronung, and Frisco, to name a few. You can even stand out by providing coffee imported from other countries. There are various other beverages that you can offer, such as herbal teas, various brands of hot and iced tea, and hot and cold chocolate. In addition to providing hot beverages, you can offer snacks, cakes, confectionaries, and entertainment. You can also consider hosting events such as documentary screenings, book readings, and art displays with live music that can appeal to several people. It is important to note that your coffee shop is not just about offering food and beverages to your clients. You are selling an experience; people should be drawn to your shop because of the quality of your coffee as well as the great customer service you provide. This experience is also enhanced by the location you choose for your coffee shop. It is important that you set up your coffee shop in a safe neighborhood where potential clients can find you without hassle.
Market Research
For you to establish a successful business, you need to research your market. You must know who your potential customers are, especially if you are setting up a brick-and-mortar shop. Factors to study include the demographics, needs, and preferences of your potential customers. You must understand your customers’ spending patterns as well as their specific needs. You can obtain this information by talking to people in the area, visiting other coffee shops, restaurants, and cafes. Speaking to managers of different establishments can provide you with a lot of insight. By figuring out your potential customers’ behaviors, you can better position yourself in the market. You need to know who your competitors are and what they offer in order to improve your customer experience. Understanding the industry in terms of both competitor behavior and customer behavior will help you outline your unique competitive advantage. There are plenty of cafes, coffee shops, and restaurants that sell similar products and services. Even though the market is saturated, you can always find ways to differentiate yourself.
Location & Premises
This is an important decision to make before you start a coffee shop business. It’s important that you locate your coffee shop close to your target market. Consider the amount of road traffic, find an easily accessible location where people can stop and quickly get service. There are several possible locations, including shopping centres, malls, and the CBD. Opening a coffee shop close to places that typically have potential for traffic such as near schools could be ideal depending on your target market. It is important to be strategic about your neighboring businesses because you are more than likely to feed into each other instead of competing. The cost of buying or leasing the premises should be included in your coffee shop business plan.
Equipment For Coffee Shop Business
You need various equipment for your coffee shop business. The equipment you need will depend on the size of your coffee shop and the kind of products you will be selling. Some of the required equipment includes automatic coffee makers, espresso machines, roasters, stoves, ovens and brewers to name a few. You may need to buy delivery bikes especially if you plan on selling baked goods and other complimentary products to enable you to transport the meals for deliveries. Your coffee shop business plan should cater for such costs including the equipment you will need for your coffee shop.
Licenses, Insurance, and Business Bank Account
When it comes to the Businesses Act in South Africa, any business that offers food and beverages in the form of meals for consumption on or off business premises, or any perishable foodstuffs should have a license. As such, you need to apply for a business license for your coffee shop. As for a certificate of acceptability, you need to provide information about the nature and type of food you handle on the premises, as well as the nature of the handling. This could be preparation, packing, processing, or certain other information regarding your coffee shop. Another important aspect when it comes to setting up a coffee shop is insurance. You need to have property insurance, which helps you cover your coffee shop premises, equipment, and stock. You also require general liability in order to cover legal expenses if someone gets hurt in your coffee shop. Insurance can help you pay for equipment if it breaks down or gets damaged. You must have insurance to protect you from direct physical loss to your coffee shop as well as your personal property due to accidents. Make sure that you separate your business bank account from your personal bank account. Businesses’ expenses, cash flows, and taxes must not mix with your personal finances.
Your target niche will determine if your coffee business products will sell. The most popular beverages in most coffee shops and cafés in South Africa are brewed hot coffee and iced coffee, blended coffee, herbal teas, various brands of hot and iced tea, plus hot and cold chocolate. So, it will be advantageous to have all these various beverages in addition to other complimentary products. It is also wise to provide complimentary services such as free Wi-Fi to attract and retain customers. In addition to selling beverages you can also sell breakfast, baked goods, and other snacks. Another essential factor in running a coffee shop is selecting the right suppliers for your coffee shop. Consider suppliers who can provide affordable and quality ingredients consistently. Your coffee shop business plan should outline the various products and services you will provide.
Competitive Analysis
There are a number of restaurants, cafes, and coffee shops in South Africa, so in order for your coffee shop to succeed, you need to know your competitors. It’s important that you conduct a competitive analysis that identifies who your direct and indirect competitors are. Find out what other coffee shops’ strengths and weaknesses are and what you can emulate. Visit their establishments to understand who their clientele is and how they draw customers. After the assessment, determine your coffee shop’s competitive advantage after assessing your strengths and weaknesses. A competitive analysis will help you determine your place in the market in order to grow your business.
Staff & Management
As a customer-centric coffee shop business, it’s important that you hire employees that are friendly and efficient. Your employees should be passionate about serving the clients. If you want to hit the ground running it’s better to hire a team of people who have experience in this business. Your baristas should be able to brew quality coffee, and your staff members should be able to serve customers efficiently on a regular basis. Inexperienced staff members need to get extensive training before they can be given intricate brewing or baking tasks. Depending on the size of your shop, the actual number of your staff will vary however, you will need baristas, chefs, cooks, waiters, cleaners, and till operators, security as well as management. Your coffee shop business plan should cater for the salaries and day to day expenses of the business.
Some of the day-to-day operations of this business involves:
- Brewing, cooking/baking
- Serving Customers and doing deliveries
- Liaising with suppliers
- Managing Staff
- Marketing and advertising
When you are handling food products and beverages you should always remain aware and alert by paying attention to how the food and beverages are prepared. Food contamination can cause serious health issues. It is also crucial to adhere to all industry related safety measures in place. These safety measures cover the cleanliness of your environment; how your staff members dress plus how and where food is prepared and stored. Businesses related to the preparation and serving of food can be a great risk that is why adhering to health and safety regulations is important.
Sales And Marketing Strategies
Marketing a coffee shop is different compared to other businesses; it requires you to be more subtle. A coffee shop provides a highly social experience that relies on word-of-mouth advertising and personal recommendations from other customers. Your coffee shop will benefit from creating a wide, customer-friendly suite of services, since word-of-mouth can be an effective way to turn people into loyal customers. Make sure that you offer free Wi-Fi in your shop and that you install electrical outlets at each table for laptops and phone chargers. Take advantage of live entertainment and regularly book local artists in your shop. Consider hosting poetry readings and other events that have a community feel. This will make your coffee shop stand out in a place that has more than one coffee shop option in the area. Make sure your coffee shop offers a drink, snack, or meal that is not offered by other restaurants or cafes so that your regulars will bring their friends.
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The demand for coffee in South Africa is huge and increasing. The demand for instant coffee especially among the younger working class has been driving up the demand for coffee consumption in the country. This can be seen by an increase in the frequency with which new coffee shops are opening in the country. The South African market for specialty coffee, is relatively small. There are only a handful of local roasters sourcing and producing coffee of a standard that could be considered specialty. Also, research has shown that the market for coffee especially specialty coffee is limited by the high costs of equipment and the general running of the coffee shop. That being said, the rise of the coffee culture, with big international brands like Starbucks competing locally with independent South African coffee franchises like Vida e Caffee, Mugg & Bean and Bootleggers indicates great potential in the beverage. A majority of consumers’ do not simply drink coffee, instead many of them want to have a coffee experience. Having coffee has become a daily ritual for many students and professionals. Many coffee lovers require a caffeine boost at different times of the day or simply have it as a way to connect with friends and colleagues at a favourite coffee shop.
Is A Coffee Shop A Good Investment?
There is no denying that there is a reasonable number of coffee shops with a large market share in South Africa. Nonetheless, it is still possible for you to own your own coffee brand or even go the less riskier route by becoming a franchise. Many might find operating as a franchise limiting but being a franchisee can help you operate your business as part of an existing chain. Of course, building your own brand from scratch is more rewarding if done well. Whatever route you decide to take, investing in a coffee shop is a profitable venture, but obviously, this will depend on many factors such as your target market. The input costs of making coffee and other hot beverages is relatively lower compared to running a restaurant for example, so it is possible to make huge profit margins. Apart from the obvious advantages of becoming financially independent and becoming your own boss, running a coffee shop can be a rewarding way of uplifting your community.
Given that the South African market is one of the leading emerging economies on the African continent there is potential for high growth. The food and beverages sector in the country has been growing steadily for the past 10 years, thus opening a coffee shop is a good investment. Whether you are a young entrepreneur, a professional seeking to start your own business or someone who needs a retirement plan, investing in a coffee shop is something worth considering. One thing that can set you apart before investing in any venture is developing a business plan. A well thought out business plan will help you in both the short term and long term for your investment. There are various risks associated with running a coffee shop, like any other venture, your coffee shop business plan should clearly outline the risks involved and ways to minimise them.
PRE-WRITTEN COFFEE SHOP BUSINESS PLAN (PDF, WORD AND EXCEL): COMPREHENSIVE VERSION, SHORT FUNDING/BANK LOAN VERSION AND AUTOMATED FINANCIAL STATEMENTS
For an in-depth analysis of the coffee shop business in South Africa, purchase our coffee shop business plan. We decided to introduce the business plans after noting that many South Africans were venturing into the coffee shop business without a full understanding of the industry, market, how to run the business, the risks involved, profitability of the business and the costs involved, leading to a high failure rate of their businesses.
Our business plan will make it easier for you to launch and run a coffee shop business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. It will be easier to plan and budget as the coffee shop business plan will lay out all the costs involved in setting up and running the coffee shop business. The business plan is designed specifically for the South African market.
USES OF THE COFFEE SHOP BUSINESS PLAN (PDF, WORD AND EXCEL)
The coffee shop business plan can be used for many purposes including:
- Raising capital from investors/friends/relatives
- Applying for a bank loan
- Start-up guide to launch your coffee shop business
- As a coffee shop business project proposal
- Assessing profitability of the coffee shop business
- Finding a business partner
- Assessing the initial start-up costs so that you know how much to save
- Manual for current business owners to help in business and strategy formulation
CONTENTS OF THE COFFEE SHOP BUSINESS PLAN (PDF, WORD AND EXCEL)
The business plan includes, but not limited to:
- Market Analysis
- Industry Analysis
- 5 Year Automated Financial Statements [ Income statements, cash flow statements, balance sheets, monthly cash flow projections (3 years monthly cash flow projections, the remaining two years annually),break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortisation]
- Marketing Strategy
- Risk Analysis
- SWOT & PEST Analysis
- Operational Requirements
- Operational Strategy
- Why some South Africans in the coffee shop business fail, so that you can avoid their mistakes
- Ways to raise capital to start your coffee shop business in South Africa
The Coffee Shop Business Plan package consist of 4 files
- Coffee Shop Business Plan – PDF file (Comprehensive – 99 pages)
- Coffee Shop Business Plan – Editable Word File (Comprehensive – 99 pages)
- Coffee Shop Business Plan Funding Version – Editable Word File (Short version for applying for a loan – 48 pages)
- Coffee Business Plan Automated Financial Statements – (Editable Excel file)
Testimonial 3
The business plan has a highly professional look and feel. The research really helps me look deep into the market that I am targeting, it’s well suited for the South African market. The business plan clearly outlined everything I need to start the business and the costs. It’s now easier to budget and plan. Thank you very much.
Testimonial 5
The BizBolts poultry business plan led us down the path from start to finish. Contact details of suppliers of key requirements were included in the business plan. It helped us crystallize our strategy, and the business plan was well received by the bank.
Testimonial 6
It is with excitement and pleasure to inform you that I have been successful in securing a loan from my bank. This would not have been possible if not for the BizBolts Business Plan. Thank you for your help, my dreams are now coming true.
Testimonial 4
The business plan was very helpful, you did a great job of taking ideas and putting them into words as well as pointing out other aspects of the business plan I wouldn’t have thought of. I got funding using your business plan and it’s now 4 months since I started my poultry business, and everything is going well.
Testimonial 1
Many thanks to the BizBolts team for putting together a fantastic business plan, I could not have done this business plan on my own. I managed to get funding from investors to start my butchery business using your business plan.
Testimonial 2
I am extremely pleased with the business plan and financial statements. The business plan is very detailed & it meets my requirements. I feel better equipped with tools that can help me secure funding. I would have no hesitation of recommending your business plans to other people.
Testimonial 7
Thank you BizBolts for the business plan. I received the business plan immediately after payment, it was money well spent ! I was able to easily edit the business plan. After using the BizBolts business plan, I can wholeheartedly recommend their products and skills.
GET THE COFFEE SHOP BUSINESS PLAN (PDF, WORD AND EXCEL) - R500 Only.
We decided to make the business plan affordable to anyone who would want to start the business, and the price for the pre-written business plan is only 500 Rand.
We have several payment methods which you can use.
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Click Buy Now below to purchase. After you have purchased, you will instantly see the download link for the business plan package on the screen. We will also email you the download link. Get instant access to the business plan now!
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If you want to purchase multiple business plans at once using Visa Card/MasterCard then click here: Business Plans Store
The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on [email protected] and we will assist you.
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BizBolts (Pty) Ltd is a business research company based in Johannesburg, South Africa. We sell prewritten business plans for various industries including livestock production, crop farming and retail businesses. BizBolts also publishes articles on business ideas, business news, business tips, personal finance, and entrepreneur profiles.
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Winde prioritises reducing unemployment for 7th administration
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- Premier Alan Winde
- Image Credits :
- Western Cape Gov X
- Vanessa Poonah
- 31 July 2024, 17:34 [SAST]
Financial sustainability and infrastructure-led economic growth are among the priorities for the Western Cape over the next five years. This is according to Premier Alan Winde addressing the first sitting of the seventh provincial Parliament in Cape Town.
Winde says because jobs are the bedrock of building a prosperous province, all efforts will be taken to reduce the unemployment rate to below 20%.
Ensuring a job in every home, Winde say the province has the highest number of households which derive their income from a salary earner. But that his administration is committed to doing more. He says attracting investment and enabling the private sector to create jobs is key.
“We stick to our themes of jobs, of safety of dignity and wellbeing which is health and education, those are key areas of a province but within that framework, my own focus areas will definitely be water and electricity. We need to make sure that those are dealt with, making sure we are much better prepared for the disasters that come our way,”
Ensuring financial sustainability for a province which experiences population growth of 150 000 a year, he says is critical for quality service delivery. And that his administration will fight for a more equitable share of the budget in order to improve the lives of citizens.
“Our province is short-changed, we don’t get our fair share of the budget, we are the third most populous province, the fastest growing province and we only get the fifth most money. We still haven’t got money from last year’s floods from the declaration, we had a R1.1 billion cut in our budget last year because of the wage deal that is unacceptable because we have got more and more demand, so we want our fair share. We will fight for our fair share and we will also go and look for other forms of revenue. Our province hasn’t borrowed money in the past. We want to borrow money for infrastructure, specifically capital infrastructure.”
Opposition parties will have an opportunity to reply to the address on Thursday.
Some, however, feel that there was not a strong enough focus on crime.
“We welcome some of the commitments that have been made and the tone and the nature of politics of consensus and co-operation, that we welcome and we want to build on that. We want that spirit to be built on a local level to focus on the issues in mainly hung municipalities in the Western Cape, however, we need to still see during this term is the premier going to be serious about crime for example for involving communities in tackling crime. That was absent. Is the premier going to be very serious about reviving the township economy,” says ANC’s Khalid Sayed.
“The comment on infrastructure is commendable, but he didn’t say enough about crime which is a big problem in our province and job creation,” says Basil Petrus from Patriotic Alliance.
“There was nothing about crime, drugs and gangsterism. He spoke briefly on crime but there was no plan of action especially for the Cape Flats and other parts of the province and then there was nothing about school placement. He spoke briefly about schools and classrooms but what about those many students that are still unplaced across the Cape Flats,” says Aisha Cassiem from EFF.
Winde says creating safer communities remains a key priority and that the province will push ahead in its call for the devolution of policing resources.
Video: Opening of the 7th Western Cape Provincial Legislature Address by Premier Alan Winde
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Over the past 48 hours, as the nomination of Vice President Kamala Harris went from theoretical to inevitable, she has delivered the first glimpses of how her campaign will run.
Reid J. Epstein, who covers politics for The Times, discusses what we’ve learned from her debut.
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The major products for a liquor pub in South Africa are beer, wines, spirits, ciders, ready to drink flavored alcoholic beverages, brandy, cocktails, meals, and other non-alcoholic beverages. You can also sell non-alcoholic beverages such as sodas, and fruit juice and offer snacks and light meals.
2. Identify your business structure. You have the concept, you have the money, you are ready to get straight to action. The next crucial point for opening up a bar is to decide on the best option for you: buy an existing bar, build your own, remodel or buy a franchise. Let's have a look on each of them.
This business plan provides a blueprint for how to start and manage your Bar business. Our detailed research and analysis, including interviews with entrepreneurs and stakeholders, will ensure that you plan your future business for success.
WISEMAN PUB BUSINESS PLAN. WiseMan Pub is located at Ngulelo, Arusha. This is one of the most outstanding places for a pub in Arusha as it is strategically located to attract the middle-class and upper middle-class working public during lunch and after quitting time. The building itself is one of the oldest still standing in Arusha and has an ...
1. Don't worry about finding an exact match. We have over 550 sample business plan templates. So, make sure the plan is a close match, but don't get hung up on the details. Your business is unique and will differ from any example or template you come across. So, use this example as a starting point and customize it to your needs.
Yes, you heard it right, a bar business plan can help you solve all the management and planning-related problems. If you are planning to start a new bar business, the first thing you will need is a business plan. Use our sample Bar business plan created using upmetrics business plan software to start writing your business plan in no time.
Δ. R equest a Zoning certificate from the Municipality on the stand that you intend to use. Your Liquor License Consultant must be convinced that the zoning is correct. In Gauteng you need a Local Authority Approval (A letter confirming you may apply) for a Liquor Store in addition to the zoning certificate.
This makes it a profitable business venture; so let DTC assist with the development of a comprehensive Action Bar business plan. South Africa's bars and restaurants are filling up. This is according to Stats SA's food and beverages survey for July 2022, which found that total income generated by the food and beverages industry increased 55. ...
There are roughly ten business plan companies operating in South Africa. Their prices range between R3,500 (these are the 3threeconsultancies that use Business Plan Templates and Business Plan Software to compile your business plan) and R25,000 (these are the handful of consultancies that make an effort to write a custom business plan and do not use any templates).
The company has identified a 2 phased upscaling approach for growing sales and operations: Phase 1: Increase online sales by 40% within a 6-month period of 2019. Increase brick-and-mortar retail ...
Foosball Hall is a new gaming hall and bar serving the Madison, Wisconsin community. Foosball or table soccer is an exciting table game originating from 1920's Germany. The game involves two to four people in an exciting match that tests skill, strategy, and willingness to have fun. People, primarily male students, play foosball as an ...
Licenses and registrations. The first thing you need to do is to get your business registered, this costs only R175 when you are registering your business through the CIPC. You will also need a liquor license, which is very complicated and expensive for a mobile bar. The laws surrounding a liquor license are mostly based on operating premises ...
The following bar business plan template gives you the key elements to include in a successful bar business plan. This business plan can be used for any type of business in the bar industry including, but not limited to: a sports bar, a dive bar, a neighborhood bar, wine bar, cocktail bar, and more. ...
By revising their business plan regularly, existing companies can devise strategies to manage their companies better. Most commonly, a business plan is used to apply for a bank loan to fund a business. To learn how to create a business plan for a bank in South Africa, see FNB and Standard Bank's business plan guidelines.
The executive summary is the most vital part of the business plan — it has to sell your strategy for success to the investor. ... and your marketing plan, visit the SME Toolkit South Africa on smetoolkit.businesspartners.co.za. Created Date: 10/18/2019 2:16:11 PM ...
About the Business Plans. We decided to introduce the South African business plans after noting that many South Africans were venturing into businesses without a full understanding of the industry, market, how to run the businesses, the risks involved, profitability of the businesses and the costs involved, leading to a high failure rate of the start-ups.
To aid in customization, we provide a downloadable "Mobile Bar Business Plan PDF" . This document is a crucial tool for entrepreneurs committed to developing a strong and effective strategy for starting or growing their mobile bar. The "Mobile Bar Business Plan" serves as a detailed guide, delivering thorough insights into the mobile bar sector.
Traditionally, a marketing plan includes the four P's: Product, Price, Place, and Promotion. For a mobile bar business plan, your marketing strategy should include the following: Product: In the product section, you should reiterate the type of mobile bar company that you documented in your company overview.
12345 bar business plan (company name) (company name) (street address) (city, state zip code) (creation date) use and reprint rights for your fast business plan. ... South Africa. Company. About us; Ask AI; Studocu World University Ranking 2023; E-Learning Statistics; Doing Good; Academic Integrity; Jobs; Blog; Dutch Website; Contact & Help. F.A.Q.
A comprehensive business plan template that you can easily customize to fit your business and its specific needs. Key sections for your mobile bar business, suitable for new and existing businesses of all sizes. Guidance on conducting market analysis and identifying your target customers. Tips and examples to help you plan for success.
Writing a mobile bar business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan: 1. Executive Summary. An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and ...
GET THE COFFEE SHOP BUSINESS PLAN (PDF, WORD AND EXCEL) - R500 Only. We decided to make the business plan affordable to anyone who would want to start the business, and the price for the pre-written business plan is only 500 Rand. We have several payment methods which you can use.
Financial sustainability and infrastructure-led economic growth are among the priorities for the Western Cape over the next five years. This is according to Premier Alan Winde addressing the first sitting of the seventh provincial Parliament in Cape Town. Winde says because jobs are the bedrock of ...
What is the gas master plan for South Africa? The draft GMP outlines the role of natural gas in the country's energy mix and provides policy direction to South Africa's gas industry. It was released for public comment in April 2024. Does South Africa produce gas? The largest producers of natural gas in South Africa are CEF (SOC) and Renergen.
Reuters. FILE PHOTO: South Africa's former President Jacob Zuma, leader of the uMkhonto we Sizwe party, arrives to give an address on current political developments post-elections, in Sandton ...
South African President Cyril Ramaphosa signed a law that will give savers early access to part of their retirement funds.. The president's assent of the Revenue Laws Amendment Act establishes a ...
The Daily is made by Rachel Quester, Lynsea Garrison, Clare Toeniskoetter, Paige Cowett, Michael Simon Johnson, Brad Fisher, Chris Wood, Jessica Cheung, Stella Tan ...