sample of business plan in catering

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10 free catering business plan templates and examples

• Published on February 8, 2024
• by Patricia Fernandes
• Last updated: 2 months ago

When starting a catering business, it’s essential to have a well-structured business plan in place. A comprehensive business plan not only helps you outline your goals and strategies but also serves as a detailed roadmap for success. However, creating a business plan from scratch can be a daunting task. That’s where catering business plan templates come in handy. Understand the importance of a well-devised plan for your catering venture , as it can significantly improve your chances of overcoming challenges and achieving long-term success.

Once you’ve found a suitable template, the next step is to customize it to fit your unique catering business. This involves filling in the specific details of your business, such as your target market, menu offerings, pricing, marketing strategies, and financial projections. Customizing key elements of the template allows you to tailor it to your specific goals and vision, ensuring that your business plan accurately reflects catering businesses. Understanding the challenges that come with taking on the catering industry, developing a strategy through a tailored catering service business plan from the onset can significantly influence your path towards achieving long-term success and stability.

Why Creating a Catering Business Plan is Essential

In the catering industry, having a well-thought-out business plan is crucial for success. It provides a roadmap for your business and helps you make informed decisions. Here are some key reasons why creating a catering services business plan is essential:

Defining Your Goals: A business plan allows you to clearly define your goals and objectives. It helps you identify what you want to achieve with your catering business.

Understanding Your Target Market: By conducting market research and analysis, you can gain valuable insights into your target market. This information will help you tailor your services to meet the needs and preferences of your customers.

Outlining Strategies: Your business plan serves as a guide to outline the strategies you will implement to achieve profitability. It includes details on your menu, pricing, marketing tactics, and financial projections.

Setting Yourself Up for Success: By carefully considering all aspects of your business and planning for potential challenges, you can set yourself up for long-term success in catering companies.

If you’re dreaming of starting your catering biz, you’re in the right place. We selected 10 catering business plan templates to help you get from daydreaming to doing. We’ve broken them down into three categories: Basic, Intermediary, and Complete, so you can find just what you need, no matter where you’re at in your catering business planning process.

Basic Catering Business Plan Templates

Template 01: the quick start guide.

This business plan template is like the fast food of business plans – quick, easy, and gets the job done. It’s perfect if you’re just getting your feet wet. Considering launching a catering service? Ensure you have a robust plan for your catering venture by understanding the essential components and pitfalls to steer clear of.

Use the Quick Start Guide Template

Template 02: The Budget Buddy

Focused on the numbers, this one helps you figure out your starting costs and financial plan for how you’ll keep the lights on.

Use the Budget Buddy Template

Template 03: The Startup Planner

This template helps you outline your business concept’s initial needs, legal structure, and pricing strategy.

Use the Startup Planner Template

Intermediary Catering Business Plan Templates

Template 04: conscious catering strategy.

Focusing on the growing trend for healthy and dietary-specific menus, this sample menu template is perfect for caterers wanting to market and specialize in health-conscious catering industry food offerings. Learn to adapt and enhance your catering business plan to cater to health-conscious consumers, ensuring the long-term growth and success of your business.

Use the Conscious Catering Strategy Template

Template 05: Full-Service Catering Plan

Designed for established catering services and catering companies ready to expand, this template focuses on operational and pricing strategies, detailed menu planning, and advanced, marketing strategies and techniques. It’s ideal for caterers looking to scale their operations and refine their service offerings. Discover strategies on constructing a lucrative catering business plan , with guidance on enhancing operations, menu selections, and marketing approaches. Visit Metrobi’s website to delve deeper.

Use the Full-Service Catering Plan Template

Template 06: Catering Growth Accelerator

Unless you’re planning to do everything yourself (spoiler: not a good idea), this template helps you plan out your dream team.

Use the Catering Growth Accelerator Template

Complete Catering Business Plan Templates

Template 07: the full feast.

This is the big one – a comprehensive marketing plan for a full catering company template that covers everything from A to Z. If you’re ready to dive deep, this is for you. Planning to launch or manage a catering service? Ensure you have a detailed catering service business plan to guide you through every step.

Use the Full Feast Template

Template 08: The Event Ace

Specializing in events? This template focuses on planning for different types of clients at events and managing bookings at networking events.

Use the Event Ace Template

Template 09: The Growth Guru

Thinking ahead? This template helps you map out marketing strategy detailed plan for how you’ll expand and grow over time.

Use the Growth Guru Template

Template 10: The Risk Wrangler

Every serious business owner faces challenges. This template helps you identify potential risks to business goals and plan how to handle them.

Use the Risk Wrangler Template

Taking Action and Customizing Your Business Plan

Now is the time to take action and start creating your catering business plan. While examples and templates can be helpful starting points, it’s important to customize them to fit your unique business needs. Remember, your catering business plan template is a living document that can be updated and adjusted as your business grows and evolves. Learn how you can adapt and refine your catering business plan to ensure it aligns with your goals, enabling sustainable growth and success in the competitive catering landscape. Explore strategies to advance and update your catering business plan , positioning your venture for enduring prosperity and distinction in the bustling catering market.

Turning Your Catering Company Dreams into Reality

Starting a catering business is super exciting, but it can also be a bit overwhelming. That’s where the catering business plan template comes in. They’re like your road map to success, whether you’re just starting to sketch out your catering equipment ideas or you’re ready to launch. So, grab the first operations plan template that fits your stage and start cooking up your new catering business and plan!

Why you must have a solid catering business plan

How will your catering business plan evolve as you grow your catering business

How to create a profitable catering business plan

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Catering Business Plan (How to Write & Template)

• Updated on 24 April 2024

Dominik Bartoszek

Starting a catering business can be a highly profitable venture, but it necessitates a carefully crafted business plan. A business plan serves as a roadmap that outlines the necessary steps to ensure the success of your catering business. In this article, we will explore the process of creating a comprehensive business plan specifically tailored for a catering business.

We will provide examples and templates highlighting the essential elements to be incorporated into this document. From conceptual development to conducting market and competition analysis and crafting a sound financial plan, this article will equip you with a solid foundation to construct a business plan for your future catering business or enhance an existing one.

What is a Catering Business Plan?

A catering business plan is a comprehensive document that outlines the intended activities, objectives, and strategies for a new or existing catering business. It serves as a roadmap for effectively establishing and operating a catering business.

How to Write a Catering Business Plan (Step-by-Step)?

Step 1: gather important information.

Before you begin writing your catering business plan, gather answers to the crucial questions listed below. This will provide you with a solid foundation for the plan:

• What is your target market?
• What is your unique selling proposition (USP)?
• What are your pricing strategies?
• Who are your competitors?
• What are your startup costs and ongoing expenses?
• How will you market and promote your catering services?
• What are your projected revenues and profitability?
• What are your long-term growth plans?

Step 2: Evaluate Your Business Model

If your catering business adopts an innovative or unique business model, it’s advisable to delay writing your business plan until you can verify its potential for success. You can utilize the Business Model Canvas, a tool that provides a structured framework to analyze and refine your business model. However, suppose your catering business follows a traditional model already existing in the market (e.g., corporate catering, wedding catering). In that case, you can immediately proceed to the next step and write a catering business plan.

Step 3: Utilize a Catering Business Plan Template

Create your catering business plan using a pre-designed template encompassing the essential sections. This template will help structure your plan effectively. Ensure that your plan includes the following key components:

• Executive Summary for Restaurant : Provide an overview of your catering business and its objectives.
• Business Description : Describe your catering services, target market, and competitive advantages.
• Market Analysis : Conduct a thorough analysis of the catering industry, including market trends, customer preferences, and competitor analysis.
• Marketing and Sales Strategy : Outline your marketing and sales initiatives to attract clients and promote your catering services.
• Operations Plan : Detail the operational aspects of your business, including location, equipment, staffing, and logistics.
• Financial Plan : Present your financial projections, including startup costs, revenue forecasts, and profitability analysis.
• Management and Organization : Describe the structure of your catering business, key team members, and their roles.
• Risk Assessment : Identify potential risks and challenges affecting your catering business and propose mitigation strategies.

Step 4: Regularly Review and Update Your Plan

A catering business plan is a dynamic document that should be revisited regularly. In the initial months of operating your catering business, review and update your plan frequently to reflect any changes, refine calculations, and adjust assumptions. Once your business reaches a stable point and achieves the break-even stage, revisit your plan at least once a year to ensure it remains relevant and aligned with your long-term objectives.

• Be concise and specific when writing your plan.
• Utilize numbers for accurate calculations and financial projections.
• Consider worst-case scenarios and incorporate contingency plans.
• Review and update your plan regularly, particularly in the early stages of your business.
• Engage your team in discussing the business plan and consider profit-sharing initiatives to foster commitment.
• Recognize that a business plan is a multi-year document that should be updated periodically.

Following these steps and guidelines, you can develop a comprehensive catering business plan that sets the foundation for your success in the industry.

Importance of Writing a Business Plan

Writing a catering business plan is significant in establishing and operating a successful restaurant. Here are several reasons why creating a comprehensive business plan is crucial:

• Turning Ideas into Action : A business plan helps transform your restaurant idea from a mere concept into a tangible and actionable plan. It provides a structured framework to articulate your vision and define the steps required to bring it to life.
• Working on the Company : Developing a business plan allows you to work on the strategic aspects of your restaurant business. Rather than solely focusing on day-to-day operations, you can dedicate time to designing and improving your business.
• Validating Assumptions : A restaurant business plan is a benchmark against which you can evaluate your assumptions. Over time, you can review the plan to assess the accuracy of your projections and understand the growth and progress of your restaurant.
• Translating Vision into Action : Writing a business plan enables you to solve your restaurant vision into a concrete project and an actionable roadmap. It helps you outline specific goals, strategies, and timelines for success.
• Evaluating Viability and Refinement : Through a business plan, you can assess the feasibility and viability of your business idea. It prompts you to analyze potential challenges and areas that require refinement, allowing you to make necessary adjustments to increase the likelihood of success.
• Risk Assessment : Creating a restaurant business plan allows you to evaluate the risks associated with your venture. You can mitigate risks and make informed decisions by identifying potential obstacles and developing contingency plans.
• Encouraging Specificity : Writing a business plan forces you to be specific and detailed in your approach. It compels you to address critical questions and gaps in your knowledge, minimizing the chances of overlooking crucial aspects of your business.
• Existing Restaurant Improvement : Even if you already operate a restaurant, it is essential to have a business plan. It allows you to reassess your current operations, identify areas for improvement, and set new goals for growth and success.

A business plan serves as a roadmap, guiding you through the various stages of your restaurant business journey. It helps you remain focused, adaptable, and prepared for challenges while increasing your chances of achieving long-term success.

Catering Business Plan Template

Executive Summary

The executive summary offers a brief overview of your catering company plan, highlighting the following key aspects:

• Mission statement, vision, and values : Clearly state the guiding principles that drive your restaurant.
• Restaurant concept and unique selling points : Describe your idea and what differentiates it from competitors.
• Success factors : Explain why your idea is poised for success, considering market demand and innovation.
• Implementation plan : Provide a high-level outline of the strategic steps to bring your restaurant to life.
• Costs, profits, and return on investment : Discuss the anticipated financial aspects and potential for profitability.

The executive summary is a concise snapshot of your restaurant business plan, capturing its essence and enticing readers to explore the entire document.

Description of the Catering Company

In this section, provide a concise yet informative overview of your new catering business, highlighting its essential elements:

• Mission statement and vision : Clearly state the purpose and goals of your restaurant.
• Structure : Specify the legal structure and organizational setup of your business.
• Restaurant concept: Define the type of restaurant, including its name, style, and ambiance.
• Location : Describe the chosen or potential location, emphasizing its advantages.
• Menu : Outline the cuisine type and showcase sample menu items.
• Unique Selling Points (USPs) : Highlight the distinctive features that set your restaurant apart.

By presenting these essential details, you create a compelling and succinct description that attracts stakeholders and captures the essence of your restaurant concept.

Market Research and Competition Analysis

Market overview.

Thoroughly research the restaurant industry and your target market to gain a comprehensive understanding. Focus on the following aspects:

• Target Group : Define your ideal customer profile based on age, interests, preferences, and dining habits. Understand their decision-making factors and how your restaurant can cater to their needs.
• Market Needs : Identify the specific needs and demands in the market that your restaurant aims to fulfill. Highlight how your concept and offerings align with those needs, providing a unique value proposition.
• Target Audience Size : Estimate the potential customer base within your geographic area to gauge market size and growth opportunities.
• Market Trends : Stay updated on the latest industry trends, including consumer preferences, technological advancements, and shifts in dining habits. Adapt and capitalize on emerging market opportunities.

Competition Analysis

Thoroughly analyze your competition to gain insights into their strengths, weaknesses, and strategies. Consider the following:

• List of Competitors : Identify direct and indirect competitors in your area, categorizing them based on cuisine, target market, pricing, and positioning.
• Revenue and Order Volume : Estimate competing restaurants’ revenue potential and order volume to gauge their market share and profitability.
• Menu and Pricing : Evaluate competitors’ menus and strategies, considering variety, ingredient quality, portion sizes, and pricing structures. Assess their food costs to understand profitability.
• Competitor Marketing Activities : Study competitors’ marketing efforts, including branding, online presence, advertising, and customer engagement. Identify their strengths and weaknesses in these areas.
• Competitive Advantages : Emphasize the unique advantages of creating a successful catering business, such as innovative menu offerings, superior service, ambiance, location advantage, sustainability practices, corporate events, or a specific culinary niche.

By conducting thorough market research and competition analysis, you gain valuable insights that help shape your restaurant’s positioning, menu offerings, pricing, marketing strategies, and competitive advantages.

SWOT Analysis

Conduct a SWOT analysis to comprehensively understand your restaurant’s internal strengths and weaknesses, as well as external opportunities and threats. Here is a table format to summarize these factors:

Strengths :

• Talented and experienced chef
• Exceptional customer service
• Prime and easily accessible location
• Strong brand proposition and unique selling points

Weaknesses :

• Limited capital for initial investment
• Inexperienced team members in certain areas
• Operational inefficiencies that require improvement

Opportunities :

• Emerging food trends that align with your restaurant concept
• Growing market demand for your cuisine type
• Potential strategic partnerships for increased exposure and collaboration
• Intense competition from established restaurants in the area
• Changing consumer preferences and demands
• Economic fluctuations that may affect customer spending habits
• Regulatory changes impacting the restaurant industry

By conducting a SWOT analysis, you can identify and leverage your strengths, address weaknesses, capitalize on opportunities, and develop strategies to mitigate potential threats. This analysis provides valuable insights for shaping your restaurant’s business plan and making informed decisions to maximize success.

Investment Plan (Cost Analysis)

In this section, you will outline the costs associated with the initial investment and the spending plan for the first year of operation. These costs can be divided into two main groups: investment and operating costs.

Investment Costs (One-off to Start)

• Real Estate : Include expenses for securing a suitable location through rental or purchase.
• Premises Renovation : Account for costs related to construction, plumbing, electrical work, and interior design to adapt the space to your restaurant’s requirements.
• Kitchen Equipment : List essential equipment such as ovens, stoves, refrigerators, dishwashers, and utensils for food preparation.
• Dining Area Furnishings : Include costs for tables, chairs, decorations, lighting fixtures, and staff uniforms.
• IT Software and Hardware : Account for POS software, payment terminals, and computer hardware expenses.
• Marketing and Promotion : Include costs for logo design, website development, menu printing, and promotional materials.
• Insurance : Calculate expenses for insuring the premises and equipment.
• Organizational and Legal : Account for permits, licenses, and legal documentation costs.
• Training : Include expenses for staff training and certification programs.

Operating Costs (Fixed Monthly Costs)

• Real Estate Rental : If applicable, include monthly rental payments.
• Utilities : Account for recurring costs like electricity, gas, and water bills.
• Staff Wages : Calculate wages or salaries for restaurant staff.
• Food and Beverage Costs : Estimate ongoing expenses for ingredients and supplies.
• Equipment Maintenance : Include costs for regular equipment servicing and maintenance.
• Service Charge s: Account for charges related to cleaning services, POS system support, and online ordering fees.
• Employee Insurance : Calculate costs for insurance coverage for employees.
• Marketing and Promotion : Allocate a budget for ongoing marketing activities.
• Taxes and Fees : Include estimated restaurant tax obligations and other applicable fees or licenses.

Regularly review and update these costs to ensure accuracy and monitor financial performance. By understanding and planning for one-time investment costs and ongoing operating expenses, you can effectively manage your restaurant’s finances and make informed decisions for long-term success.

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Financial Forecast

The financial plan for your restaurant consists of three key elements: the projected Profit and Loss Statement (P&L), break-even analysis, and sensitivity analysis. These components provide insights into your restaurant’s revenue, expenses, profitability, and financial feasibility. Here’s an overview of each element:

Profit and Loss Statement (P&L)

• Estimate your expected revenue based on restaurant size, target market, sales volume, and pricing strategy.
• Calculate the cost of goods sold (COGS) by considering ingredients, raw materials, and beverages required for your menu items.
• Deduct COGS from revenue to determine the gross profit, which covers operating expenses.
• Include fixed and variable operating expenses such as rent, utilities, wages, marketing, and insurance.
• Calculate the net profit or loss by subtracting total operating expenses from the gross profit.

Break-even Analysis

• Identify fixed costs that remain constant regardless of sales volumes, such as rent, utilities, and insurance.
• Determine variable costs for each unit sold, including ingredients and direct labor costs.
• Calculate the contribution margin, which represents the revenue remaining after subtracting variable costs from sales.
• Divide total fixed costs by the contribution margin to determine the break-even point, indicating the number of units (meals or drinks) needed to cover expenses.

Sensitivity Analysis

• Conduct a sensitivity analysis to assess the impact of negative scenarios on your restaurant’s turnover and profit.
• Adjust critical variables, such as sales volume or pricing, to evaluate the potential effects on financials.
• Consider scenarios like a 50% decrease in turnover for a specific period and analyze the resulting impact on profitability.

By utilizing these elements, you can evaluate your restaurant’s financial feasibility and profitability. Regularly review and update your economic forecasts to track performance, make informed decisions, and build a successful catering business.

Catering Team

The management team of your catering is instrumental in shaping its vision, strategy, and overall success. This section provides essential information, especially when seeking investors or partners. Include the following details:

• List of Founders : Clearly state the names and roles of each founder involved in the restaurant venture.
• Experience : Highlight the relevant industry experience and expertise of each founder. Describe their background, skills, and knowledge contributing to the catering’s success. Emphasize any notable achievements or successes they have had in the past.

The employees you hire are vital for your restaurant’s smooth operations and success. Consider the necessary positions for efficient functioning and divide them into different roles. Provide the following information:

• List of Job Titles : Outline the various job titles or positions required in your restaurant, such as chefs, cooks, waitstaff, bartenders, cashiers, dishwashers, and managerial positions.
• Duties : Describe the specific responsibilities and duties associated with each job title. Clearly outline the expectations for each role, including food preparation, customer service, cleaning, inventory management, and any other relevant tasks.
• Remuneration : Specify the remuneration or compensation for each position, including wages, salaries, tips, bonuses, or any other benefits provided to the employees.
• Type of Contract : Indicate the employment contract or agreement offered to your employees, whether full-time, part-time, or seasonal. Consider any legal or regulatory requirements related to employment contracts in your jurisdiction.

Outlining the founders’ experience and the roles and responsibilities of your employees, you showcase a capable and dedicated team that will contribute to the success of your restaurant.

Catering Marketing Plan

Your marketing plan should encompass various strategies to promote your restaurant and attract customers. Key components of your plan should include:

• Brand Building : Establish a recognizable brand identity through a logo, colors, and a catchy slogan.
• Online Presence : Create a professional restaurant website to showcase your pizzeria’s concept and menu. Offer online ordering through your website and consider partnering with external food delivery platforms.
• Innovative Customer Experience : Explore options like tableside ordering and implementing a loyalty program to enhance the dining experience and encourage customer retention.
• Offline Customer Acquisition : Utilize flyers, local radio advertising, public relations, and events to attract customers in your area.
• Online Customer Acquisition : Leverage social media, restaurant SEO , Google Maps listing, email, and SMS campaigns, blogging, and targeted paid advertising to reach and engage customers online.
• Promotions : Offer special promotions and discounts to entice customers and regularly evaluate their effectiveness.
• Competition edge : To thrive in a competitive restaurant industry, it’s crucial to identify and emphasize your unique competitive advantage, like free-delivered pizza.

A well-rounded marketing plan can effectively promote your restaurant, build a solid customer base, and drive business growth. Continuously evaluate customer feedback and monitor market trends to make informed adjustments to your marketing strategies for optimal results.

How to Create a Restaurant Marketing Plan (a Step-By-Step Guide)

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Key Takeaways

• Describe Your Catering Business : Provide a clear and detailed description of your restaurant, including its concept, target market, menu, ambiance, and unique selling points. This helps stakeholders understand your vision and what sets your restaurant apart.
• Elements of a Business Plan : Ensure your business plan covers all the essential elements, including an executive summary, restaurant description, market analysis, financial forecasts, team structure, marketing plan, and competitive edge. Each section plays a vital role in shaping your restaurant’s success.
• Continuous Planning : Whether starting a new restaurant or refining an existing one, regularly review and update your business plan. Adapt to changes in the market, industry trends, and customer preferences to stay competitive and meet evolving demands.
• Seek Expert Advice : Don’t hesitate to seek guidance from experienced restaurateurs or consultants. Their insights and expertise can provide valuable perspectives, help refine your ideas, and ensure your business plan is comprehensive and well-informed.
• Regular Review : Schedule regular reviews of your business plan, especially during the early stages of your restaurant’s operation. Monthly reviews help track progress, identify areas for improvement, and make necessary adjustments. Conduct an annual review as your restaurant becomes more established.
• A Living Document : Remember that a business plan is not a static document but a living one. Continuously learn from your experiences, adapt your strategies based on real-world feedback, and update your plan accordingly. Embrace flexibility and agility to navigate the dynamic restaurant industry effectively.

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How To Write a Catering Business Plan w/ Templates (PDF, Word Doc)

Whether you’re starting a catering business full-time or planning to operate out of your house initially , writing a business plan is essential to getting clear on the type of catering business you want to open. After all there’s some pretty important stuff covered inside of what can seem like a stuffy document.

For the purposes of starting a catering company, think about the business plan as the one place you put your operation details. Things like the cooking equipment you need to purchase and the total cost, tentative catering menu, food costs, and who your target customer is. These are all super important details you need to understand before opening! This document provides a place for you to organize everything.

By the end of this guide, you’ll be able to draft your plan and start on that first catering gig you’ve been planning to open. We also provide templates you can use in PDF and Word Doc you can download and edit. Let’s get started.

Executive Summary

Catering spread for a Mexican food concept.

Start your business plan with an executive summary. This is a way to introduce your catering business so whoever is reading your business plan will know what to expect. This will include a brief introduction of your catering business, a description of your company, the services your catering business will be providing, and the customer focus.

Introduction

A quick introduction helps the reader get a bird’s eye view of your catering business. Here you’ll be talking about what to expect and what you can offer as part of your catering service.

This section isn’t considered lengthy. This usually has two to three sentences. What you need to focus on when writing this down is by the end of it, your reader will more or less understand what your catering business is all about.

Here’s an example introduction you can use as a guide:

The Big Spoon is a small catering business headed by Lydia Smith. She specializes in Italian cuisine but can cater to American, Mexican, and Asian dishes as well. The Big Spoon can accommodate an intimate dinner for 2 up to a large party of 50 accompanied with table settings and chafing dishes to complete that delicious home-cooked meal experience.

Just by the introduction, the reader will know how big your catering business is, what cuisine they can expect to order, and how many people the business can cater for. It also gives them an introductory glance about your catering style wherein you already provide more than just food but also a table setting so they don’t have to look for a supplier for this separately.

Keep your introduction informative but also short enough. You will be able to add in more to the details later on.

Company Description

Some food trailers make more than 50% of their annual revenue from catering gigs.

A little background on your catering business is needed in the company description part of the business plan. Here, you can describe the meaning behind the name for your catering business, who the owners are, and what their roles are going to be. Who will be in charge of cooking? Who will be in charge of accounts and marketing?

This may just be brief but this is a way for you to introduce what’s going to happen behind the scenes of your catering business.

Catering works great for food trucks and restaurants.

Although your catering business may sound self-explanatory, it would still be of great help to you if you mentioned the services you’ll be offering.

For example, The Big Spoon already mentioned in their introduction that they’ll be catering food and offering table settings. They could also add that they will be offering an ice cream station and even a cocktail bar.

You will describe more of this in detail later on but you can summarize it and mention it here already.

Customer Focus

For a catering business to flourish, you must know your target market early on. And though a thorough explanation of that can be found in the Market Analysis section, you can briefly state them in this portion as well.

Also, remember that your customer focus would also have to coincide with your skills. You can’t be targeting customers who are vegans if your culinary skills and knowledge do not include cooking vegan food. This is why it’s important to write this early on so you can narrow down the customers you are planning to cater to.

Mission Statement

What’s your mission statement?

Businesses with clear goals stated from the start lead to a successful operation. Why? Because every decision you make revolves around these goals which will lead you closer to success.

Here’s a sample mission statement to picture it out clearly:

The Big Spoon aims to cater delicious home-cooked meals to its customers. Every dish that is served will contain natural and fresh ingredients. We see to it that the service we provide is top-notch so that our customers will feel as if they are being served in a fine restaurant in the comforts of their own home or wherever they choose to have us cater them.

By writing this down in your business plan, you and your staff will have to stand by the standards you’ve set for yourselves. For instance, as stated in The Big Spoon’s mission statement, no fast food will be served and no artificial ingredients will be used so you and your staff will always remember this by heart.

By following this and revolving your decisions around your mission statement, you will be able to keep such standards which will lead to pleased and returning customers.

Company Concept

This is the section of the business plan where you can finally put in detail the concept you’ve been planning for your catering business. Remember the things you’ve been holding back in saying in the introduction? This is the time to write them all down now.

Related Reading: 7 Powerful Ways I Promote and Market My Catering Business

You can start by answering the following questions:

• What cuisine will you be offering?
• How many people can you cater to?
• Will you be offering healthy options such as vegan, keto, or paleo meals?

You may also add in other concept ideas that are not mentioned above. Just make sure to cover everything so you can have a basis for your product line and services to be tackled later on.

Market Analysis

A compelling catering business logo.

Planning to put your business out there means you also have to know the industry you’ll be diving into. This is to help you analyze your potential customers, the growth of the catering business in your area, and the competition.

Target Market

As mentioned above in the customer focus, your skills will have to match your target market. You’ve already written a brief introduction about it so in this section, all you have to do is to explain it in detail.

Industry Analysis

The catering business has been going on for a long while now so it’s important to gather in as much information as you can regarding this industry. This is to help you figure out if there is a potential market for your business and how to put your plans into action.

Another helpful guide is to look into the type of cuisine most people in your area look for. You can then incorporate it into your business and offer it as part of your menu.

The bottom line is that analyzing the industry around you helps you plan better for the future of your catering business.

Competitive Analysis

You will not be the only catering business in your area. You’ll have to consider restaurants as your competition too. Check their prices and set menus. Do a competition check by tasting their food once in a while. Knowing who the players are in this competitive business game gives you the upper hand because you’ll be aware of their strengths and weaknesses and how to deal with them on the field.

Management Structure

Determine the key players in your business.

A catering service is run by a few people. In this section of the business plan, you’ll list down everyone who is working on this business alongside you as well as the roles they possess in your business. This includes:

• Business Partners
• Accountants
• Co-chefs (If you’re not the only one doing the cooking)

Why is this so important, you might ask? Stating clear business roles and laying out the management structure keeps everyone in check and helps avoid any misunderstandings. Most businesses that don’t define this early on end up having a messy workflow. So make sure to state each duty clearly for everyone to follow.

Product Line and Services

Burgers are a proven catering option.

This section of the business plan goes hand in hand with your company concept. Here you can present your different sample menus for all the cuisine you wish to cater to. Be sure to include the prices for the set menus per head.

You can also write down the services you plan to offer. Here are some you can consider for your catering business:

• Out of town catering
• Cocktail station
• Set up style (buffet or plated)
• Table setting (formal or casual, rustic or summer feel)
• Wait staff or food display only

Writing them all down in this section will keep your business more organized which is very important when you start on your catering business.

Sales and Marketing

Grilled chicken is another popular option for caterers.

How are you going to market your catering business? Do you plan to have an ad out in your local newspaper and on social media? Both strategies are fine but you need to find more ways to get your catering business out there.

One way to market yourself is to partner up with rental spaces such as function halls that do not provide food. Give them a proposal that when there are inquiries regarding the rental of their halls, they would present your set menus to the guests as well so they don’t need to trouble over finding a caterer.

Related Reading: How I Started a Legit Catering Business Out of My House

Partnering with several event coordinators is also a way to get your business known. People these days hire event coordinators to do all the planning for them. They expect these coordinators to answer all their questions from food, music, and decorations. By partnering up with an event coordinator, they’ll be the ones to pitch in your catering business to their customers.

Remember to uphold your mission statement as well. By providing good food and high-class standards during your catering event, you’re already marketing your products and services to the number of people you’re catering to. So always make an exceptional first impression because that will stay with the guests long enough for them to remember hiring you on their next and succeeding events.

Financial Plan

Plan your financial future.

Knowing where you’re going to get the funds to start your catering business is a must. This is how you’ll know if your plans are going to be achievable or not. Besides, having a solid financial plan will also allow you to go through with your ideas without any interruptions.

In this section, break down your financial plan into two categories which are your plans to request for funding and your financial forecast.

Funding Request

Some business owners are ready to put up their catering business due to having saved enough money through the years. But what if you lack the funds to do it? Don’t fret. You can still loan from the bank and invite investors.

Whatever your plan is that deals with requesting for funding, include it here so you can document it.

Financial Forecast

Make conservative and best case scenario financial forecasts.

Reaching break-even is the ultimate goal when you’re putting up a business. You can compute how long it will take you to reach it early on in the planning stage.

You can also list down all your proposed expenses here which include the following:

• Pots, pans, and other large kitchen appliances and tools for cooking
• Chafing dishes
• Dessert displays and trays
• Table cloths, plates, glasses, and utensils
• Uniforms for you and the staff
• Storage boxes and food warmers

You may also add in tables and chairs if you do not want to keep on renting these. But sometimes, the venue where you’ll be catering can provide these as well.

Download Now: Bakery Business Plan Templates for 2021

Be sure to include your staff’s payroll expenses. Since catering events are not done daily (unless you’ve already made a name for yourself and you’re booked every day), you can just have your wait staff be on call and pay them per catering event rather than a daily wage.

By computing these, you’ll know just how much you should allot for your startup capital and how much should your goals be to reach during every catering gig in order to profit off of it.

Operational Plan

What’s your operation plan?

Put your plan into action by making a timeline of your operations. Here is an example:

Date Plan [Insert Date Here] – Finalize the business documents you need such as permits and registrations for your catering business.[Insert Date Here] – Start marketing your business on social media and the local news. Send out proposals for partnerships with event coordinators and function halls.[Insert Date Here] – Hire and train staff.[Insert Date Here] – Start catering when booked.[Insert Date Here] – Achieve goals and reach break-even.

The appendix section of the business plan is where you can put all your documentation. This includes photos of your food and table setting and your copies of the permits and registration for your catering business.

Download Templates

Here are the catering business plan samples in PowerPoint, Word Doc, Google Doc, and PDF. These are ideal for commercial or home-based catering businesses.

• Catering business plan template Google Doc
• PDF catering business plan sample
• Catering PowerPoint template
• Catering businesses are ideal because there is no space for you to rent which is considered one of the main expenses that can be quite heavy on the pockets. You will be cooking in the comfort of your own home. Just make sure your place can handle heavy cooking and there is enough space for you and your staff to move about.
• It would be nice to learn more about the different cuisines as you go along so you can cater to a wide variety of audiences.
• Include a checklist of all the equipment you need to operate at the start. These equipment requirements make up the bulk of your startup costs. You can download a checklist of frequently used catering equipment here .

Throughout this entire guide, we have been referring to your readers as one of the main reasons why you should make your catering business plan easy to understand. But in truth, making this business plan is for you as well. You will need this plan when you’re requesting for financial assistance in banks and this would also serve as your work guide. So remember to keep it detailed and easy to comprehend because you will be using this on the road to putting up your business.

While opening a catering business can be extraordinarily rewarding there are a few factors you should consider before deciding to push ahead. Creating a business plan lets you understand what the factors are, what’s going to make this business become a success, and how you can profit from the venture.

If you’re serious about starting a catering business, don’t forget to sign up for our Food Business Startup Kit . This free community will give you access to exclusive interviews with catering professionals you can use to help grow your own business.

Want to start your own food business?

Hey! 👋I’m Brett Lindenberg, the founder of Food Truck Empire.

We interview successful founders and share the stories behind their food trucks, restaurants, food and beverage brands. By sharing these stories, I want to help others get started.

If you liked this story, sign up for our newsletter that includes our food business startup kit and most popular interviews sent straight to your inbox.

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Catering Business Plan

Every event or occasion calls for good food. And although the majority of people like good food, not everyone has the talent to cook the same.

And if you are someone who receives constant compliments for your cooking then you must have thought of having your catering business.

But having a catering business is much more than that. It all boils down to the quality of your service in the end, but before that, you need to have a strategy to attract your customers’ attention, build trust, manage your finances, and many more.

All of the above might sound a little overwhelming, but it doesn’t need to be. All you need is a catering business plan.

Catering Industry Highlights 2023

Here is an overview of the current state of the catering industry in 2023:

Market size and growth potential:

Employment scenario:, number of operational businesses:, major market drivers:, key market trends:, financial plan:.

Say goodbye to boring templates

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How Can a Catering Business Plan Help You?

The catering business is one of the most rewarding careers as it not only lets you pursue your passion, it has the potential to grow into a huge business by size and volume if planned properly.

A business plan is helpful for a catering business because along with great cooking skills, great management skills are an integral part of a successful catering business.

A business plan can help you conduct your daily business activities without chaos, have good finances, help you find your desired customers, and make your unique business idea a marketable one.

Things to Consider Before Writing Your Catering Business Plan

Make a list of items you can serve.

Having a list of items you will serve, helps you organize your services better. It also helps your customers understand what you can offer and decide if your service is the right one for them or not.

It also becomes important that you design your menu as per your target audience’s tastes and preferences.

Figure out your location and staffing coasts

Figure out from where you’ll provide services, what would be the amount of rent you’ll have to pay, which location would be good for your business , etc.

Apart from that, you also need to figure out staffing costs, the size of your team, the skills required, and so on.

Figure out where you’ll get your supplies from

Getting good supplies is essential for a catering business. Because you need to pay attention to quality as well as the taste of the food you’ll offer. Having a fixed supplier helps you maintain consistency in the quality of your food.

Make a list of important equipment

Although many catering services work on the go and prefer to rent equipment, it is a good practice to have the basic equipment in case of contingency. It would also decrease your reliance on other people, and pose fewer challenges while gathering supplies for new orders.

Having your equipment also makes it easier for you and your team to prepare orders as you get familiar with how to use those tools.

Now that you have done the research, let’s learn how you can write a business plan for yourself.

How to Write a Catering Business Plan?

A good catering business plan consists of a clear description of your business’s functioning, your target market, the services you offer, the size of your company, a pricing strategy, and a well-designed employee management system.

Now you might wonder, where to start from, how to go about writing a plan from scratch, and most importantly how to know if you have written a good one.

Well, you need not worry.

You can easily write a well-rounded business plan either through a pre-designed template or through online business plan software.

Moreover, online business plan software can help you write a flexible business plan that grows alongside your business.

Catering Business Plan Outline

This is the standard catering business plan outline which will cover all important sections that you should include in your business plan.

• Keys to Success
• Financial Summary
• Legal Entity
• Locations and Facilities
• Facility Design
• Boxed lunches
• Buffet style lunches
• Alternative Providers
• Future Products
• Internal Bright Future Customers
• Nonprofit External Customers
• For-profit External Customers
• Market Analysis
• Market Trends
• Market Growth
• Value Proposition
• Competitive Edge
• Distribution Strategy
• Marketing Programs
• Pricing Strategy
• Promotion Strategy
• Of Grape & Grain
• Cravings Fine Foods
• Ariana’s Deli
• Fettuccini and Co
• Napoli Restaurant
• Brindiamo Catering
• Wild Duck Brewery
• Oregon Electric Station
• Local and national grocery stores chains
• Local and national sandwich fast-food chains
• Strategic Alliances
• Organizational Structure
• Management Team Gaps
• Personnel Plan
• Other General Assumptions
• Fundraising Strategy
• Fundraising Programs
• Funding Forecast
• Start-up Summary
• Income Statement (5-Year Projections)
• Balance Sheet (5-Year Projections)
• Cash Flow (5-Year Projections)

Although your plan will keep changing as your business grows, here are a few key sections that would form the foundation of your business plan:

1. Executive summary

This executive summary section would be the first one on your plan. It provides a summary of all that your business stands for. It can be divided into the following subsections:

• Objectives : This segment would consist of the chief objectives of your company. What it aims to achieve, who it wants to serve, and where it wants to reach.
• Mission : This segment includes the mission statement of your business, it consists of what market gap you plan on filling with your business.
• Financial Summary : This segment will give a summary of the past and present condition of your finances as well as projected gains of your business.

A clear executive summary can come in handy if you need funding.

2. Operational Strategy

The operational strategy section helps you plan how to work toward achieving your business goals. It can be divided into the following subsections:

• Day-to-day activities : In this segment, you’ll write an overview of the best way of carrying out your business from onboarding clients to fulfilling the services.
• Long-term goals : This section would consist of long-term goals like serving a certain number of clients, growing your business to a certain size, and expanding to a certain number of branches, etc.

A good operational strategy would make your business activities less chaotic and prevent them from being all over the place.

3. Market Analysis

In this segment, you’ll write down every single detail you can find out about the market. It would include the following segments:

• Market trends : Knowing about all the prevailing market trends can help you design a plan that would change as per the evolving market, and also help you maintain the foundation your company stands on. It would also give you an overview of what your competitors are doing.
• Target Market : This segment would describe everything about your target market. The locations they prefer, the kind of cuisines they are into, how and when they procure catering services, etc.

This segment helps you understand what you are getting yourself into.

4. Services

This section consists of a detailed description of the services you offer. For example, the events you cater to, the volume of people you can serve, the food options your services have, what additional services you offer, etc.

This segment helps your target audience understand your services better, it helps them in deciding whether you are the right fit for them or not. So, make sure you describe your services in a clear and precise manner.

5. Financial Plan

The financial plan segment includes everything starting from the funds you need to start your business, the funds you need for procuring supplies and employing people, the projected cash flow of your business, expected profit, and loss of your business, pricing strategy, etc.

Download a sample catering business plan

Need help writing your business plan from scratch? Here you go; download our free catering business plan pdf to start.

It’s a modern business plan template specifically designed for your catering business. Use the example business plan as a guide for writing your own.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

Write your business plan with Upmetrics

A business plan software like Upmetrics is the best way to draft your business plan. This incredible tool comes with step-by-step instructions, customizable templates, and 400+ sample business plans to help you get started.

So, whether starting a catering business or planning to grow an existing one, Upmetrics is the tool you need to create a business plan.

So what are you waiting for? Start planning today!

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Frequently asked questions, how do i write a business plan for catering.

Writing a catering business plan from scratch requires a lot of research, but you can report it most effectively with the help of a catering business plan example. Using our business plan software, you can also quickly finish your plan in just a few hours or less.

What should be included in a catering business plan?

These are the key components of a business plan your catering plan must include to stand out to investors:

• Executive summary
• Business Overview
• Products and services
• Sales and marketing strategies
• Operations plan
• Management team
• Financial plan

Where to find business plan writers for your catering business?

While many business plan writers are available to help you, believe it or not, no one knows your business better than you. So we recommend you write your catering business plan and outline your vision as you have in your mind. You can use AI business plan generators like Upmetrics to speed up the writing process.

What are some common mistakes to avoid when writing a catering business plan?

Following are some of the common mistakes to avoid when writing a catering business plan:

• Poor market research and ignoring industry trends.
• Inadequate and inaccurate financial projections.
• Undefined goals and lack of details.
• Including outdated and irrelevant information.
• Not proofreading the document for typos and grammatical errors.
• Not regularly updating your business plan.

About the Author

Upmetrics Team

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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Catering Business Plan Template

Written by Dave Lavinsky

Catering Business Plan Outline

• Catering Business Plan Home
• 1. Executive Summary
• 2. Company Overview
• 3. Industry Analysis
• 4. Customer Analysis
• 5. Competitive Analysis
• 6. Marketing Plan
• 7. Operations Plan
• 8. Management Team
• 9. Financial Plan

Start Your Catering Plan Here

Catering Business Plan

You’ve come to the right place to create your catering business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start a new catering business or grow their catering company.

Below are links to each section of a catering business plan template example:

Next Section: Executive Summary >

Catering Business Plan FAQs

What is a catering business plan.

A catering business plan is a plan to start and/or grow your catering business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can  easily complete your catering business plan using our Catering Business Plan Template here .

What Are the Main Types of Catering Businesses?

Catering services are available for a variety of different occasions including parties, weddings and corporate events. 

What Are the Main Sources of Revenues and Expenses for a Catering Business?

The primary source of revenue for catering companies is individual, private events and corporate events. 

The key expenses for catering companies are rent, wages and salaries, equipment and food costs.

How Do You Get Funding for Your Catering Company Business Plan?

Catering companies are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Catering Business?

Starting a catering business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Catering Business Plan - The first step in starting a business is to create a detailed business plan for a catering business that outlines all aspects of the venture. This should include potential market size and target customers, market resarch on the catering industry, the services or products you will offer, business operations details, pricing strategies and a detailed financial forecast.  You can quickly complete your catering business plan using our Catering Business Plan Template here .

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your catering business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your catering business is in compliance with local laws.

3. Register Your Catering Business - Once you have chosen a legal structure, the next step is to register your catering business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options - It’s likely that you’ll need some capital to start your catering business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Catering Equipment & Supplies - In order to start your catering business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your catering business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful catering business and catering business planning:

• How to Start a Catering Business
• How to Start a Catering Company

Where Can I Get a Catering Business Plan PDF?

You can download our free catering business plan template PDF here . This is a sample catering business plan template you can use in PDF format.

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• Business plans

Catering Business Plan

Used 4,872 times

Chart your path to success with our catering business plan template designed to help entrepreneurs organize their catering business.

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Created by:

​ [Sender.FirstName] [Sender.LastName] ​

​ [Sender.Company] ​

Prepared for:

​ [Recipient.FirstName] [Recipient.LastName]

​ [Recipient.Company] ​

Executive Summary

​ [Sender.Company] is a distinguished catering business in [Sender.StreetAddress] [Sender.City] [Sender.State] [Sender.PostalCode] , specializing in catering services. To provide the utmost convenience to its clients, [Sender.Company] has innovatively developed an online platform.

Combining culinary expertise with technological innovation, [Sender.Company] is dedicated to simplifying the catering process.

​ [Sender.Company] 's unwavering commitment to enhancing the catering experience underscores its mission to provide clients with a seamless and tailored culinary journey, establishing it as a leader in the catering industry.

Company Overview

Who is [sender.company] .

​ [Sender.Company] , nestled in the heart of (insert location here).

The driving force behind the inception of [Sender.Company] is none other than (Owner Name), a seasoned luminary within the catering domain. Despite (Owner Name)'s substantial background in the industry, it was a pivotal moment in (month, date) that marked the genesis of [Sender.Company] .

It became abundantly clear that [Sender.Company] was poised to make its indelible mark in the culinary landscape of (insert location here), promising a catering experience that was unique, exceptional, and ideally attuned to the tastes and preferences of its clientele.

Service Offering

​ [Sender.Company] specializes in delivering a diverse range of catering services, catering to various culinary desires and event requirements.

(Company Product/Option): (Insert short description)

This diverse array of catering services ensures that individuals and event hosts can find the perfect culinary experience that aligns seamlessly with their tastes and event requirements.

Management Team

(Name) – Founder & CEO

Background: (Brief background and qualifications of the CEO)

Responsibilities: (CEO's primary responsibilities and areas of focus)

(Name) – Chief Operating Officer (COO)

Background: (Brief background and qualifications of the COO)

Responsibilities: (COO's primary responsibilities and areas of focus)

(Name) – Chief Financial Officer (CFO)

Background: (Brief background and qualifications of the CFO)

Responsibilities: (CFO's primary responsibilities and areas of focus)

(Name) – Chief Marketing Officer (CMO)

Background: (Brief background and qualifications of the CMO)

Responsibilities: (CMO's primary responsibilities and areas of focus)

Customer Analysis

Profile of target market.

​ [Sender.Company] will target businesses of all sizes in [Sender.StreetAddress] [Sender.City] [Sender.State] [Sender.PostalCode] . Businesses demand catering services for all of their events. Thus, they could be the primary client for any catering business. [Sender.Company] will also target local non-profits and individuals searching for catering services for social occasions.

Customer Segmentation

​ [Sender.Company] intends to target the following client groups:

Corporations: Hosting conferences, product launches, meetings, and celebrations.

Local Governments: For their meetings and social gatherings

Parents: For birthdays and social gatherings

Brides: Providing catering for bridal showers, engagement parties, and wedding celebrations

Competitive Analysis

Direct and indirect competitors.

Some businesses with similar profiles can be found in [Sender.Company] locations. As a result, [Sender.Company] will face direct or indirect client rivalry. The competitors of the company are briefly described here.

Competitive Advantage

​ [Sender.Company] will provide its client with the following competitive advantages:

(Competitive Advantage 1)

(Competitive Advantage 2)

Marketing Plan

​ [sender.company] ’s branding and positioning.

The [Sender.Company] brand is renowned for its unique value proposition within the catering industry:

Diverse Menu Options

​ [Sender.Company] is known for its extensive menu offerings, providing breakfast, lunch, and dinner customization.

Culinary Excellence

The company is committed to serving top-tier cuisine prepared by skilled chefs and presented by a team of sophisticated servers.

Exceptional Customer Service

At [Sender.Company] , excellent customer service is a hallmark.

Innovative Themes and Concepts

​ [Sender.Company] stands out with its creative approach, offering innovative event themes and concepts.

Sustainability and Dietary Accommodations

The company prioritizes and accommodates various dietary needs, demonstrating a commitment to eco-friendly practices and guest preferences.

Event Planning Expertise

​ [Sender.Company] provides comprehensive event planning services, including venue selection, décor, and entertainment.

These unique values define [Sender.Company] and highlight its dedication to delivering exceptional catering and event experiences.

Promotions Strategy

​ [Sender.Company] anticipates its primary customer base to encompass individuals residing or working within the area of the establishment. The company's comprehensive promotional strategy to engage this demographic comprises various components.

The catering business will proactively encourage delighted clients to refer other companies or individuals by providing financial incentives for each successful referral.

Advertising

​ [Sender.Company] will initially invest in advertising placements within local newspapers and event publications to enhance brand awareness.

Direct Mail

​ [Sender.Company] will utilize local business mailing lists and business association databases to distribute informative materials to nearby businesses. These materials will offer insights into the company's offerings, feature discounts, and incentivize individuals to consider [Sender.Company] for their catering needs.

Public Relations

Outreach efforts will extend to local and regional newspapers and television stations, where press releases detailing the company's launch and its unique value proposition will be disseminated.

Ongoing Customer Communications

To maintain an active online presence, [Sender.Company] will maintain an informative website and circulate a monthly email newsletter.

Social Media Marketing

Proactive interaction with prospective clients and strategic collaborators on diverse social media platforms, including (List relevant social media platforms), will enable the business to remain responsive to evolving customer requirements and preferences.

Pricing Strategy

​ [Sender.Company] prioritizes catering to a wide range of client budgets while consistently delivering exceptional catering services. Recognizing the catering industry's susceptibility to price fluctuations, often driven by external factors, [Sender.Company] is firmly committed to offering competitive pricing that appeals to a broad clientele and reduces accessibility barriers. Additionally, a robust cost management strategy will be implemented to maximize profitability.

(Payment Option 1)

(Payment Option 2)

(Payment Option 3)

(Payment Option 4)

By offering these versatile payment alternatives, [Sender.Company] aims to ensure that its valued clients have a range of choices to align with their financial needs and preferences, ultimately enhancing their overall satisfaction. These options can be adjusted to remain responsive to market dynamics and evolving customer demands.

These milestones underscore [Sender.Company] 's unwavering commitment to making consistent and measurable strides in its pursuit of success within the (Industry Name).

Financial Plan

Source and use of funds.

​ [Sender.Company] will be receiving (Amount) from (Source of Fund) to launch its catering business. The funds will be used for capital expenditures, labor costs, and acquiring supplies and equipment. The following table shows the proposed startup costs:

Financial Projections

These are [Sender.Company] 's pro forma financial statements for the next five (5) years. It contains the business's income statement, balance sheet, and cash flow statement.

​ [Recipient.FirstName] [Recipient.LastName] ​

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Catering Business Plan Template

Craft a compelling vision for your new catering company and present key details to your investors with this sample catering business plan..

Use This Catering Business Plan Template To:

• Write a strong executive summary
• Share a high-level company overview
• Provide a thorough market analysis
• Present your business offerings and menu
• Outline an operations and staffing plan
• Create a marketing and PR plan
• Share your financial analysis and projections

You’ve decided to start a catering business – congratulations on taking this exciting step! You believe in your vision, and now it’s time to get others on board to help you bring it to life.

Presenting potential investors with a strong business plan for your catering company is a smart way to make a memorable first impression. You want to show them you’ve considered all of the important details that go into launching and running a successful catering business.

Chances are, you’re in this line of work because you have a passion for food and creating incredible experiences for your clients. Putting together a business plan for your catering company may seem like a daunting task, but it doesn’t have to be. You just need a catering business plan sample to help you get started.

What You’ll Find in this Free Catering Business Plan Template

Learn how to write a business plan like a pro with this sample catering business plan template that covers 7 critical sections.

Executive Summary

Kick your catering business plan off with a bang! Present key elements about your concept, target market, service model, and menu to intrigue investors so they’ll want to keep reading. Don’t be shy in this section – proudly share the factors that will make your restaurant catering company a success. Then, finish off the executive summary with several financial highlights.

Company Overview

Fully introduce your new business, so your investors will get the information they need about your company history and ownership structure. Here, you can include more details on your catering business’s concept, mission, goals, and clientele.

Market Analysis

It’s time to get specific about who you plan to serve. Share the location and service area radius of your new catering company, as well as the current market conditions. Explain your unique market positioning and the target audience you’re hoping to appeal to.

Business Offerings and Menu

Let your creativity shine in the business offering section of your catering business plan! Tell your investors all about the items you’ll offer on your catering menu to help them buy into your vision further. Explain why you’ve chosen this approach, and how your catering menu will appeal to your market. Be sure to include a sample menu, too.

Operations and Staffing Plan

Outline how your catering company will operate day-to-day once you’re up and running. Touch on key aspects of your business operations like your staffing strategy, as well as the suppliers, technology, and equipment you plan to use.

Marketing and PR Plan

Describe how you’ll get the word out about your new catering business. Cover everything from your market positioning, pricing, and location to your promotion strategies such as advertising, social media, email marketing, and community partnerships.

Financial Analysis and Projections

Many investors will skip straight to this section of your catering business plan, so spend some time on crafting it well. Include a breakdown of your anticipated costs and projected revenue, as well as how you plan to allocate their investment.

Download your free catering business plan sample to create a plan that will wow investors. And once you’ve started your business, use our free restaurant invoice template to start collecting payment from each event.

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Catering Business Plan Template – 11+ For Word & PDF

One of the most important elements of starting a new catering business is to have a plan that lays out your plans, objectives, and activities that will be needed to get your business off the ground. Even if it is on the back of a napkin , a plan that outlines how you will get started and answers many questions for you and your investors is better than nothing at all. A catering business plan can save a great deal of wasted time and money. Using a catering business plan template guides the new business owner through the areas they need to address as they launch their new endeavor . Nothing is missed, and the template saves even more time for the busy entrepreneur.

This blog reviews what a catering business plan template is, what the important elements are that should be in every business plan and address several frequently asked questions many readers have.

What Is a Catering Business Plan Template?

A catering business plan provides an overview of a catering business that is already in operation or one that you plan to initiate. The plan looks to the future regarding expansion plans, goals and strategies, and operation plans. These goals and strategies are turned into actions that the business owner will need to execute to meet their objectives. For example, growing the business by 20% could mean adding ten employees, finding a larger building, obtaining financing to purchase more equipment, and developing a marketing plan to expand markets into other regions.

Using a catering business plan template saves you time and forces the business owner to think about and answer many detailed questions about their business plans, goals, and objectives. Using a template also means that you have a professional-looking document that will impress financiers you may need to secure funding for your expansion plans. Lenders look for specific details to be included in the business plan. Without this information, the likely hood of receiving approval for funding is low.

While using a catering business plan template saves time, developing a business plan takes a great deal of time and effort to gather all of the information and apply it to the business you want to create. Many people just want to get started with the business, which can lead to costly mistakes to be made and jeopardize the business’s success. A catering business plan properly developed using a template will save the business owner from making expensive mistakes and improve the opportunities for the business to be successful.

Catering Business Plan Sample

Creating a catering business plan in Word allows for easy formatting and editing. Loading your template in word gives you a quick base for adding the details of your business plan. Word lets you make quick changes, and save them easily. It is compatible with most text formats, and is a good choice for professional documents.

Mobile Catering Business Plan Template

Catering Business Plan Template for Wedding

Wedding Catering Business Plan Template

A food catering business plan should include all your start-up costs, and your plan for operating at a profit. Getting a business loan will require submitting a quality business plan. A template will show you everything to include. A clear, readable format will ensure that your business gives a professional impression.

Catering Business Plan Format

Catering Business Start-up Requirement Template

Catering Business Plan

Outdoor Catering Business Plan Template

Catering Business Statement of Work Sample

Catering Business Plan Outline Template

Catering from home still requires a business plan to ensure you will operate properly. Using your homes resources for a business takes proper financial planning. Your appliances will wear out faster, and utilities will be higher. Including how to factor that into your costs and taxes will make running your business much easier.

Catering Business Plan Essential Factors

Catering Business Plan (FAQ)

Essential Elements of a Catering Business Plan Template

The following are the essential elements of a catering business plan template. We will expand on each of these to provide more details.

• Executive Summary
• Company Overview
• Catering Industry Analysis
• Target Market Profile
• Competitive Profile
• Marketing Plan
• Company Operations
• Management Team
• Financial Plan
• Executive Summary –  typically one page in length, the executive summary shares with readers the objectives of the business and the vision or mission of the business. The executive summary is the last page to be finalized and should reflect in a broad overview your plans for your company over the next five years.
• Company Overview  – describe your company, including the principles of the company, who owns the company, the number of employees, and the organization structure if you have one. If this is a start-up, include start-up costs in this section.
• Catering Industry Analysis  – include in summary form information you have concerning the industry for the market you will operate in as well as general industry trends that demonstrate the growth of the industry. 
• Target Market Profile  – clearly describe your market for the area you will operate in. What demographics is your catering business aimed at? Will you focus on catering to weddings, business events, and large parties, or are you focusing on the consumer market, for example? Back it up with data that supports your decision to focus on the market you have decided to target.
• Competitive Profile  – analysis of your competitors is an excellent task to complete. This data will help you understand who they are, what their target markets are, and their strengths and weaknesses. Finish off this section by describing your competitive advantage compared to your competitors, along with a risk assessment. Your competitors are not going to remain in their current lane. They will adapt to a new competitor coming into the market. How will they react to your entrance?
• Marketing Plan  – once you open for business, letting people know that your company is in the catering business and getting your name out there is paramount to becoming successful. Outline your advertising plan – print, TV, Social media, etc. and how much advertising is going to cost. Your marketing budget needs to be factored into your budget.
• Company Operations  –the catering business operations plan must factor in the catering services that will be offered, the functions of each employee, and the milestones or objectives that the operations team needs to hit to be successful and meet your financial targets. Equipment and supplies should be included, as well as space to operate and vehicles to transport all catering activities.
• Management Team  – your catering business may start with one or two employees and quickly expand as orders arrive. Many catering companies have a combination of full-time employees and temporary staff. Describe the management team, the full-time employees, and where the temporary folks will come from. Hiring skilled, dependable employees is one of the most significant challenges many businesses encounter.
• Financial Plan  – the financial plan is one of the most important sections of the catering business plan. It brings together all of the revenue, expenses, and capital purchases you need to make and how those funds will be used over time. Key assumptions should also be included covering all major issues affecting cash flow and capital expenditures. The catering business financial plan also should include an annual income statement, an annual balance sheet, and an annual cash flow statement. Lenders will examine these numbers in detail to assess how aggressive your plan is and the probability of your business achieving these numbers.Once the catering business plan is finalized, arrange for a 3rd party to review and critique the plan. Someone with experience in the catering business and someone with lending experience is a good choice for reviewing the plan before submitting it to potential lenders.

The following are some of the frequently asked questions many of our readers have about catering business plan templates.

Business plans are extremely useful for several reasons: ᐅ Support applications for support from lenders ᐅ Planning operations, resource needs, and managing cash flow ᐅ Assessing the company’s profit margin ᐅ Setting objectives and milestones ᐅ Planning the growth of the company ᐅ Annual updates help keep your company on track

One of the reasons a catering business plan is useful to both operators and lenders is the prediction of the profit margin. The profit margin is the revenue minus expenses. Accountants can assist with the development of the predicted profit margin taking into account your predictions for sales, operating expenses, and depreciation on capital equipment. Lenders expect a positive profit margin in the first year of approximately seven to ten percent.

The food cost formula is the ratio of the cost of food ingredients vs. the revenue generated by these ingredients. Food costs must consider many factors, including the cost of the ingredients, storage, waste, inventory costs, and support costs such as napkins and garnishes. Food costs are sometimes focused on the cost of the ingredients only to determine the basic cost of a serving. Overhead costs such as storage, waste, employee, and building costs are added to this number to determine profit per meal.

A strategic plan for catering front ends the catering business plan. The strategic business plan for catering helps establish and answer questions about: ᐅ The size of the business at launch and the ability to grow ᐅ The type of catering – weddings, corporate, etc. ᐅ The location of operations and the area served ᐅ How the business will be managed?   Strategic planning may include:   ᐅ Market competition analysis,  ᐅ Feasibility analysis ᐅ Operations analysis

The importance of a catering business plan cannot be understated. There are many advantages for the owner to develop a business plan and use it to guide his business development and growth. Is the business viable with the current plans, or do you need to make changes to elements of the business to give it a better chance of success? Will lenders loan you funds to help get the business started? When should the business expand? Which markets and what is the competitive environment in the area the business will operate in? These questions and more should be addressed in the catering business plan to help make the business successful. Using a catering business plan template saves time and guides new business owners through the topics they need to focus on as they launch their new catering business. Nothing is missed, and the template saves even more time for the busy entrepreneur. There is an advantage to reviewing the business plan at least once a year or sometimes more often to determine if changes need to be made, verify assumptions, and incorporate new facts learned during the year. These mid-course corrections can help ensure that your business reacts to a dynamic market environment. Update the catering business plan at a minimum annually and review the plan with key management personnel. Lenders may demand to see an updated plan. They want to have confidence that their money is being used wisely and that they will see a return on the investment they have made in your business. An updated catering business plan may be a condition of continuing support from lenders. Use the catering business plan as a tool to help your business adjust to changing markets, supply conditions, staffing, and competition. With a business plan, making adjustments to sales projections can tell you quickly what the impact will be on the bottom line. Similarly, with adjustments to the price of goods, staffing, salaries, rent, etc.

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Catering Business Plan: How to Write Catering Business Plan

Writing a catering business plan is the first step to starting a catering business . A business plan makes it easy to map out your catering business ideas and see these ideas become a reality. 

Key Takeaway - The catering business is about proper and adequate preparation. From planning a menu to preparing meals for social events, there are several things to prepare for and take into account.

With a food catering business plan, you can build the perfect manual and guide to run your catering business successfully. It becomes easier to reach out to investors for funding as well. 

A catering business plan is easy to write and contains the same essential elements as other restaurant business plan formats. However, when writing a business plan for catering business, add catering industry-specific sections.

Let’s review how to write a catering business plan for your catering business.

How to Write a Catering Business Plan

Writing a catering business plan is more than just filling out a downloadable catering business plan template. Your passion for your catering business idea must be evident in each business plan section.

From the executive summary and company overview to your operational and marketing plan, your business plan must translate the ideology of your business. Do not just copy and paste something you see online.

When writing a business plan for catering business, include these sections:

Executive Summary

Company overview, team and management, market and opportunity, business operational plan, products and services, marketing plan, financial projections.

Your executive summary, usually one page, is the opening section of your business plan. It should make an excellent first impression of your business. The executive summary is a summary of your business plan.

When writing your executive summary, give a quick rundown of your company's income, costs, break-even point predictions, and other financial information. The executive summary comes last after you’ve written different sections of your catering business plan.

Your catering business overview should include details of your company. The company overview is a more practical version of the executive summary. It should describe the client experience, ownership and management components, and business operations.

For instance, you can explain your order management and order fulfillment process. This is an excellent space to mention your plan to buy a catering food truck. You can also note the job opportunities your catering business will create and future expansion plans.

This section is a great place to explain your eCommerce team structure and organogram. Start the section by explaining your role within the company. Then, you can drop a few highlights of team workflows and day-to-day tasks.

If your catering business scale-up plan will require more hands, mention their roles in this section. You can explain how you find to recruit your team members and your projected salary range.

Researching your market is essential. Knowing your niche market , who and where your customers are, and your potential competitors is crucial to the success of your catering business.

It’ll be great to explain consumer behavior. For example, how many events happen in the area every week? How many venues can you partner with? 

Market research will help you know the types of catering businesses that will succeed in your chosen market. It will also help you strategize how to stay ahead of the competition. When writing this section, use graphs and charts to explain your findings.

Explain your business process flow in this section. From how you will attract clients to how you will serve meals at an event, your operational plan is a great place to explain your workflow in detail.

The business operations portion of your catering business plan contains details regarding customer experience management. You can include your plan for sales and inventory management , restaurant accounting , warehouse management system , and food supply chain management for the items on your menu.

This section should explain the tiny details of your business activities. As a tip, highlight the different management processes of your catering business.

If you plan to specialize in a menu item for specific events, then this is the place to discuss it. For instance, your catering business may focus on cocktail parties or weddings. In this case, your menu item and prices will differ from a catering business that serves office lunches.

You may also serve a specific type of cuisine, such as Mexican or Indian dishes. Ensure you include a sample of your menu and pictures of your meals. Include details about your pricing as well.

Unlike other businesses in the food and beverage industry , customers only require catering services for events and occasions. Therefore, you must be positioned so potential customers will call you first when they have events.

Referrals are a big thing in the catering industry. However, you can leverage the opportunities that the internet has to offer. From owning a catering website to building your online presence on social media, there are various marketing strategies you can adopt.

You can list your catering business on marketplace online directories for event planners. Whatever your marketing strategy is, explain it clearly in this section.

Opening a catering business is not as expensive as starting a brick and mortar restaurant business . However, it is essential to discuss your financial projections and eCommerce accounting strategies if you plan to get a loan from the best banks .

You can give a five-year financial projection for your catering business. In financial projections, you must account for both fixed and variable costs.

Fixed costs include the following:

• Catering insurance
• Rent or lease payments
• Equipment costs
• Legal costs
• Fees and permits

Variable costs include the following:

• Costs of restaurant supplies such as wholesale meat , wholesale diary , wholesale produce , and wholesale seafood
• Delivery van costs
• Advertising and marketing
• Salaries and wages

6 Action Plan for Catering Business

• Choose a Format

There are various ways to write a catering business plan. Presenting your business plan will determine whether the reader will be captivated upon opening the document. 

Here’s a format you can use:

• Contents page
• Executive summary
• Marketplace overview
• Product/service description
• Marketing plan
• Support materials
• Do Your Research

Research is crucial to succeeding in any food service business. A simple survey will clear up. Will you operate at home? What events will you cater? Will you specialize in a particular type of food? 

Conducting research will also help you know the type of regulations you must comply with and the catering business license you need to operate your business. Ask questions from residents and check online for more information.

• Decide on Your Brand

Yes, there are a lot of catering business ideas. However, you must choose your specialty to be able to create a unique selling proposition for your brand. 

Do you want to specialize in weddings? Will you serve corporate events only? Deciding on this will determine your business operations, branding, and restaurant management system .

• Be Aggressive With Marketing

Marketing is something you should not get tired of doing. There are a lot of catering businesses in the U.S., and some restaurants are diversifying into offering catering services now. 

While the market opportunity is enormous, the competition in the industry is fierce. Therefore, having solid marketing and advertising plan is crucial to the growth of your business.

• Create Your Menu

Creating your menu is essential. First, decide your menu items and prices. Be realistic when setting your price. Consider the cost of obtaining the item at a wholesale vs retail price and the overall overhead costs to run your business.

• Try Software Automation

Restaurant technologies can streamline your business operations. For instance, payment processing software can help you accept payments online and make it easier for customers to pay via credit card on your website.

POS systems and catering management software will help you automate your catering operations. Invoice management software is another tool that will help your business accounting workflow.

Wholesale distribution management software and warehouse inventory management software will optimize your inventory management processes. In addition, you can manage supplier relationships with vendor management software.

Frequently Asked Questions About Catering Business Plan

Starting a catering business requires adequate preparation. A catering business plan will help you plan and serve as a manual to run your business successfully. Let’s answer some frequently asked questions about business plan for catering businesses.

What Skills are Needed for Catering?

A caterer needs the following skills:

• Planning menus for events
• Preparing food and beverages 
• Presenting and handling food and beverages
• Monitoring events
• Selecting and setting up event venues
• Managing inventory and wholesale supplies
• Creating packing slip for shipments

Do Caterers Set Up Tables?

Yes . Full-service catering businesses are responsible for setting up tables.

What Questions Should a Caterer Ask a Client?

A caterer should ask a client the following questions:

• What type of event are you planning?
• When will the event hold?
• Where would you like the event to be held?
• How long would you like the event to run?
• Why are you planning this event?
• Do you have an event theme in mind?
• What is your total budget or your budget per person?

Serve in Style

Having a catering business plan will make it easy to grow catering business . Applying for a business loan or getting investors interested in your business is also easier. Keep your sections clear and straight to the point when preparing your catering business plan.

You may need to prepare an elevator pitch when presenting to investors. Pitch your business confidently, project your passion for the industry, and keep it simple.

How to write a business plan for a catering company?

Are you a startup catering business looking to see if your idea is viable and raise financing?

Or an existing catering company looking for ways to grow, expand or improve profitability? 

If so, this guide will provide the tools and insights you need to write a comprehensive business plan for your catering company.

This in-depth guide covers why you should write a business plan for your catering company; what information is necessary; what such plans typically include; and the best tools available for creating them. 

With these resources, you'll be well on your way toward success as an established or aspiring caterer!

On the menu:

Why write a business plan for a catering company?

• Information needed to create a business plan for a catering company
• What is the financial forecast for a catering company?
• The written part of a catering business plan
• What tool should I use to write my catering business plan?

Creating a business plan for a catering company is an essential step in the success of any food service venture. Even if you already have an established catering business, you should regularly revise and update your plan.

A business plan is essential because:

• It forces you to think about how you will grow your business
• It’s what financiers will look at if your goal is to get funding
• It helps you keep track of your progress

Business planning and your catering business growth

Having a clear vision for where you want your business to go will help guide your decisions on how to get there.

Writing a business plan will force you to anticipate every aspect of your business - from pricing, marketing and staffing to forecasting, and financial planning - and act as your roadmap for the years to come.

Obtaining funding for your catering business

A well-crafted catering business plan is a mandatory tool when looking for funding.

The business plan details your company's aims and objectives and gives crucial information to potential lenders to make informed judgments about your catering business’ borrowing capacity. 

Similarly, every Investor wants to see healthy growth, profitability, and cash generation to make sure their investment in your catering company will generate a good return on investment. 

Your catering business plan will provide this detailed financial information through the income statements (P&L), balance sheets, and cash flow statements, enabling investors to make an informed decision. 

Keeping track of your catering business’s progress

A business plan is essential if you want to track the progress of your catering business. 

It’s easy to set ambitious goals, but delivering on them is what really matters. Having a business plan in place, and regularly comparing your results to what was planned, keeps you honest about your capacity to execute.

Tracking your financial performance against your forecasts is especially key as it enables you to quickly identify if you are on track or not, and when needed to adjust your forecast in order to maintain visibility on your future cash flows. 

Now that you understand the importance of writing a business plan for a catering company, it's time to look at what information is needed to create one. 

Need a convincing business plan?

The Business Plan Shop makes it easy to create a financial forecast to assess the potential profitability of your projects, and write a business plan that’ll wow investors.

What information is needed to create a business plan for a catering company?

Carrying out market research for a catering company.

Market research (a look into consumer behaviour and economic trends) is essential before writing a business plan for a catering company. 

Market research provides valuable insight into the industry and can help you to identify potential customer needs, competition, and trends in the market. 

When performing market research for your catering business you could look at answering questions like:

• Is the sector growing?
• What are the most attractive customer segments (corporate, weddings, or social events)?
• Who is the competition? Is the target market saturated?
• What types of cuisine (Mexican, Italian, vegetarian, fast food, traditional, etc.) are more profitable?
• What are the upcoming trends in customer habits in the catering business?
• What are sales like during weekdays and weekends? Is there a high level of seasonality?
• What is pricing like? And how have profit margins evolved in recent years?

With this information, you can more accurately forecast revenues (sales) and create an effective marketing strategy to give your catering company the best chance of success. 

Also, it gives investors confidence in your understanding of the industry and provides evidence that you are taking steps to ensure long-term sustainability. 

Developing the marketing plan for a catering company

You will also need to think about your go to market strategy - i.e. what actions will be put in place to acquire and retain customers. 

Having a clear sales & marketing strategy in place will help you ensure you have the right level of staff, and budget for sales and marketing costs, to hit the sales targets set in your business plan. 

The staffing and equipment needs of a catering company

Before developing your catering business plan, you should evaluate the recruitment strategy and the investments required. 

Knowing how much money is needed for staffing is key to accurately anticipating the funding requirements and cost structure in the forecast of your catering company.

For example, you could consider how much it will cost you to hire:

• A manager (event planner)
• A supervisor
• Dishwashers

Similarly, you should also factor in the money you will spend on equipment that is needed to start or expand your business.

Once you have collected all the necessary information to create a business plan for your catering company, the next step is to develop a financial forecast. 

What goes in the financial forecast of a catering company?

The financial forecast for a catering company contains the profit and loss (P&L) or income statement, balance sheet, and cash flow statement which we will present in more detail below

These financial tables enable the readers of your plan to assess the financial potential of your catering business, in particular its viability, borrowing capacity and potential return on investment.

The projected P&L statement

The projected P&L statement for a catering company is a financial statement that shows how much money your company is expected to make (profit) and how much it is anticipated to grow over time.

The projected balance sheet of your catering company

The balance sheet is an essential financial statement used to assess your catering company's financial position at a given time. It is a snapshot of the company’s assets, liabilities, and net worth (owner’s money left in the business after deducting liabilities from assets). 

Equipment, inventory, accounts receivable (a record of sales made on credit), investments, and cash are samples of assets a firm may own. Loans, accounts payable (purchases the business made on credit), taxes, and wages are examples of liabilities. 

Lenders, investors or business owners can get an insight into a business’s financial condition when they compare what your business owes versus what it owns. 

Also, a catering company's balance sheet will show whether it is solvent (the ability of the business to pay its long-term debt) or liquid (the business's ability to pay its short-term debt). This helps assess your catering business' funding requirements and borrowing capacity.

The projected cash flow statement

The cash flow forecast of your catering business helps you understand how much money is coming in and going out. 

This will assist you in making informed decisions about how to expand your business and plan for the future. 

Knowing your cash flow can also help you determine whether you have enough money to keep the business running or if you need additional capital.

The initial financing plan

An initial financing plan shows how much money you need at the start of your catering company business plan, where it will come from, and what it will be used for.

Now that you know what you should include in your catering company's financial forecast, it's time to look at the written portion of your business plan which provides the context needed to evaluate the relevance of your financial forecast.

The written presentation of a catering company business plan

The written presentation is composed of 7 main sections:

The executive summary

• The description of the business

The products and services section

The market analysis.

• The strategy 
• The operations
• The financial plan

The executive summary of the business plan of your catering company should enable readers to quickly and easily understand who you are, what you do, and the objectives of your business plan. 

The summary should include your mission and vision statement, a comprehensive overview of the catering business, its market, key financials, an overview of your plans and goals, your business strategy, your funding requirements, and the administrative structure of your business.

Presentation of the company

When preparing the description of your catering business, it is essential to consider the different parts that make up the business. First, you should explore the structure and ownership of your enterprise. 

This includes information on who owns the business, how many shareholders there are, and what type of legal entity (sole proprietorship, partnership, corporation, and so on) your business operates as.

The second part to consider is the location of your business. It is crucial to explain why you have chosen a particular area or city for your catering venture, and how the local market may benefit from having your services.

Finally, you should describe the management team. Include an outline of each member’s experience and certifications, and how their jobs will contribute to the catering company's success. 

A good leadership team is vital for every business plan since it increases investor trust. As a result, ensuring that they are adequately highlighted can make all the difference.

When you are writing the products and services of the business plan for a catering business, it is important to include detailed descriptions of each product or service.

For example, in this portion of the business plan, you could state that you cater to private events, weddings, corporate groups, and so on. 

Your plan's reader should have a sense of how many guests can be served for each type of event, what types of menus are available, and if any specific dietary needs can be met, as well as other significant facts.

The goal here is to ensure you adequately present all your products and services.

This information should be clear, concise and comprehensive so that potential investors or banks can get a good understanding of what exactly your catering company offers.

When presenting the conclusion of your market analysis in your catering business plan, you should include information about demographics and segmentation, target market, competition, barriers to entry, and regulation. 

This will help lenders and investors understand who the company is targeting with its services, and help inform their opinion of your commercial potential.

In addition to demographic information, it's also important to provide an overview of your competition in order to show potential investors why your service stands out from others in the local market.

You should also explain any relevant regulations you must adhere to when operating.

By providing such details you will give potential lenders and investors a clear understanding of how well-positioned you are for success in this competitive industry landscape.

The strategy section

When writing the strategy section of your business plan for a catering company, you should detail your competitive advantage, pricing strategy, marketing plan, milestones and risks and mitigants (how to counter the risks). 

The competitive advantage should highlight how your services are unique from other competitors in the area. This could include special cuisine options or services, such as delivery or event planning. 

In addition, a pricing strategy is essential to ensure that customers are getting value for money while still making sure that profits are maximized. Pricing should be competitive yet profitable for the business, considering market trends and the customer's willingness to pay. 

Moreover, a detailed marketing plan must be included which outlines how the company plans to promote its services and reach potential customers. 

Plus, you should set milestones to measure the success of your business plan, and risks and mitigants identified to prepare for any potential issues that may arise. 

With these elements included, your strategy section will ensure that your catering company stands out from the competition.

The operations section

This section should provide an overview of how your business is organized to achieve success and must be convincing enough to investors and banks.

The operations section of your catering business plan, you should include detailed information about your staffing team, roles and responsibilities of staff members, recruitment plans, operating hours, key assets and intellectual property needed to operate the business, and suppliers. 

In terms of staffing, your business plan should detail who will be responsible for each job role, what qualifications and experience are required for each position, and how many people will fill that role. 

The financial plan section

The financial plan section of the guide is where you talk about the financial forecast we talked about earlier in this guide. 

By now, you should have a comprehensive understanding of the information that belongs in your catering business plan. It's time to begin assembling all the parts. 

What tool should I use to write my catering company's business plan?

In this section, we’ll be reviewing three solutions for creating a business plan for your catering company: using Word and Excel, hiring a consultant, or using online business plan software.

Create your catering company's business plan using Word or Excel

Using Word and Excel sounds attractive because they are cheap, but these tools are often not the best solution for you due to their limitations.

Do you have the skills to create a forecast in Excel? This is the first issue if you are going fully manual with Excel: you need to understand what you are doing, meaning that you need to have a solid background in accounting and finance to avoid making mistakes.

The second issue is trust. Even if you avoid making mistakes, will investors and lenders think you did? 

Now when it comes to writing the actual business plan, Word is great but you start from a blank page, without instructions, and have to do all the formatting which takes forever.

Hire a consultant to write your catering company's business plan

Outsourcing the writing of your catering business plan to an accountant or consultant may be a viable option for you if you don’t have time. 

The main advantage of this approach is that consultants and accountants are used to writing business plans and financial forecasts, and thus there is less risk of errors. 

However, this method also has its drawbacks:

• It’s expensive: it costs a minimum of $2,000 (or £1,500) to get a business plan from a consultant.
• Revisions required after the first version of the plan are often not included in the price.
• Unless the consultant knows your industry by heart, they are unlikely to be able to challenge your assumptions, and to be able to sell your positioning compellingly.
• Accountants won't touch any part of the presentation (they only help with the forecast).

Using an online business plan software

Another alternative is to use online business plan software . There are several advantages to using specialized software:

• You are guided through the writing process by detailed instructions and examples for each part of the plan
• You can be inspired by already written business plan templates
• You can easily make your financial forecast by letting the software take care of the financial calculations for you without errors
• You get a professional document, formatted and ready to be sent to your bank
• The software will enable you to easily track your actual financial performance against your forecast and update your forecast as time goes by

If you're interested in using this type of solution, you can try our software for free by signing up here .

We hope that this article has helped you to better understand how to write the business plan for a catering company. If you still have questions, do not hesitate to contact us.

Also on The Business Plan Shop

• How to write a successful business plan for a pizzeria
• Coffee shop business plan template
• Business model canvas vs business plan
• Business plans vs internal plans
• How long should your business plan be?

Know someone in the catering industry? Share this article with them!

Founder & CEO at The Business Plan Shop Ltd

Guillaume Le Brouster is a seasoned entrepreneur and financier.

Guillaume has been an entrepreneur for more than a decade and has first-hand experience of starting, running, and growing a successful business.

Prior to being a business owner, Guillaume worked in investment banking and private equity, where he spent most of his time creating complex financial forecasts, writing business plans, and analysing financial statements to make financing and investment decisions.

Guillaume holds a Master's Degree in Finance from ESCP Business School and a Bachelor of Science in Business & Management from Paris Dauphine University.

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How To Write A Winning Catering Business Plan + Template

Creating a business plan is essential for any business, but it can be especially helpful for catering businesses that want to improve their strategy and/or raise funding. This begs a question: what elements appropriately belong in your catering business plan.

A well-crafted business plan not only outlines the vision for your company, but also documents a step-by-step roadmap of how you are going to accomplish it. In order to create an effective business plan, you must first understand the components that are essential to its success.

This article provides an overview of the key elements that every catering business owner should include in his or her business plan.

Download the Ultimate Catering Business Plan Template

What is a Catering Business Plan?

A catering business plan is a formal written document that describes your company’s business strategy and its feasibility. It documents the reasons you will be successful, your areas of competitive advantage, and it includes information about your team members. Your business plan is a key document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.

Why Write a Catering Business Plan?

A catering business plan is required for banks and investors. The document is a clear and concise guide of your business idea and the steps you will take to make it profitable.

Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.

Writing an Effective Catering Business Plan

The following are the key components of a successful catering business plan:

Executive Summary

The executive summary of a catering business plan is a one to two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan. Follow these tips:

• Start with a one-line description of your catering company
• Provide a short summary of the key points in each section of your business plan, which includes information about your company’s management team, industry analysis, competitive analysis, and financial forecast among others.
• Form a line-up of evaluators to whom you will give your catering business plan and have them be heartless in their criticism.

Company Description

This section should include a brief history of your company. Include a short description of how your company started, and provide a timeline of milestones your company has achieved.

If you are just starting your catering business, you may not have a long company history. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your catering firm, mention this.

You will also include information about your chosen catering business model and how, if applicable, it is different from other companies in your industry.

Industry Analysis

The industry or market analysis is an important component of a catering business plan. Conduct thorough market research to determine industry trends and document the size of your market. 

Questions to answer in the catering business plan  include:

• What part of the catering industry are you targeting?
• How big is the market?
• What trends are happening in the industry right now (and if applicable, how do these trends support the success of your company)?

You should also include sources for the information you provide, such as published research reports and expert opinions.

Customer Analysis

This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.

For example, a catering business’ customers may include:

• Wedding receptions
• Corporate luncheons and events
• Private parties
• Cocktail parties

This information will help you determine your marketing strategy later on. It is important to remember that your target market may not always be the same as your actual customer base. In other words, you may have to market to a different audience in your catering business plan than the one you eventually want to sell your services to.

You can include information about how your customers make the decision to buy from you as well as what keeps them buying from you.

Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or catering services with the right marketing.

Competitive Analysis

The competitive analysis helps you determine how your product or service will be different from competitors, and what your unique selling proposition (USP) might be that will set you apart in this industry.

For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation and/or advantage; that is, in what ways are you different from and ideally better than your competitors.

Marketing Plan

This part of the business plan is where you determine and document your marketing strategy. Your plan should be clearly laid out, including the following 4 Ps.

• Product/Service : Detail your product/service offerings here. Document their features and benefits.
• Price : Document your pricing strategy here. In addition to stating the prices for your products/services, mention how your pricing compares to your competition.
• Place : Where will your customers find you? What channels of distribution (e.g., partnerships) will you use to reach them if applicable?
• Promotion : How will you reach your target customers? For example, you may use social media, write blog posts, create an email marketing campaign, use pay-per-click advertising, launch a direct mail campaign. Or you may promote your catering business via word-of-mouth.

Operations Plan

This part of your catering business plan should include the following information:

• How will you deliver your product/service to customers? For example, will you do it in person or over the phone only?
• What infrastructure, equipment, and resources are needed to operate successfully? How can you meet those requirements within budget constraints?

The operations plan is where you also need to include your company’s business policies. You will want to establish policies related to everything from customer service to pricing, to the overall brand image you are trying to present.

Finally, and most importantly, in your Operations Plan, you will lay out the milestones your company hopes to achieve within the next three-to-five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters, and then each year for the following four years. Examples of milestones for a catering business include reaching $X in sales. Other examples include:

Hiring a certain number of new employees

Opening a second location

Rolling out a new product or service line

Management Team

List your team members here including their names and titles, as well as their expertise and experience relevant to your specific catering industry. Include brief biography sketches for each team member.

Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute on your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.

Financial Plan

Here you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix). 

This includes the following three financial statements:

Income Statement

Your income statement should include:

• Revenue : how much revenue you generate.
• Cost of Goods Sold : These are your direct costs associated with generating revenue. This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering.
• Net Income (or loss) : Once expenses and revenue are totaled and deducted from each other, this is the net income or loss

Sample Income Statement for a Startup Catering Business

Balance Sheet

Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:

• Assets : All of the things you own (including cash).
• Liabilities : This is what you owe against your company’s assets, such as accounts payable or loans.
• Equity : The worth of your business after all liabilities and assets are totaled and deducted from each other.

Sample Balance Sheet for a Startup Catering Business

Cash Flow Statement

Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:

• Cash Flow From Operations
• Cash Flow From Investments
• Cash Flow From Financing

Below is a sample of a projected cash flow statement for a startup catering business.

Sample Cash Flow Statement for a Startup Catering Business

You will also want to include an appendix section which will include:

• Your complete financial projections
• A complete list of your company’s business policies and procedures related to the rest of the business plan (marketing, operations, etc.)
• Any other documentation which supports what you included in the body of your business plan.

Writing a good business plan gives you the advantage of being fully prepared to launch and/or grow your catering company. It not only outlines your business vision but also provides a step-by-step process of how you are going to accomplish it.

A well-written business plan is critical for any catering business looking to start or grow. In addition, be sure to include a detailed financial plan and supporting documentation in your appendix. This will give investors and lenders the confidence they need to believe in your company’s long-term success.  

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Catering Business Plan Template

Published Nov.11, 2016

Updated Apr.22, 2024

By: Brandi Marcene

Average rating 5 / 5. Vote count: 4

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Table of Content

If you are planning to start a catering company, you need to have a professional catering business plan. OGS Capital can help you with that; we have a team of professional business personnel and writers who work with us on a daily basis to ensure that clients get customized plans for their business. We strive to make sure that we deliver the final copy of the business plans for catering companies  to the customer on time, and this has so far helped us to get referrals and returning customers.

Tips for Succeeding in Writing a Mobile Catering Business Plan

The quality of your catering company business plan will determine whether you will get capital from investors and financial institutions. Hence, it is important to make sure that every detail in the plan is factual and verifiable before presenting it to the investors or banks.

Here are four tips for writing a good business plan for your catering company.

• Carry out an intensive study to understand the hospitality industry
• Convey information about the firm in a professional, cohesive, conscious language
• Layout the various sections clearly using headings and sub-headings
• Proofread the catering business plan to ensure that it is free of any grammatical errors and typos

Adhering to these four tips will help you to come up with business plans for catering companies  that you will not be afraid to present and defend when pitching the business idea to the financial institution. Let us proceed and discuss the primary benefits of having an expertly written small catering business plan.

Assist in Decision Making

Every decision that you make will have a positive or negative impact on your catering business. It is, therefore, important to make sure that you consider all the plausible direct and indirect effects that a resolution may have on the enterprise before implementing it to avert regrets.

A good catering company business plan will act as a blueprint that will guide you through the decision-making process. Our team will work hard to make sure that each recommendation made is right for your business. Without a catering company business plan , rest assured that you would be prone to making hasty decisions that could plunge your business in deep financial crisis.

Proper Management of Funds

Unknown to most people is that a catering company business plan does not aim to discuss the business idea only. It goes an extra mile to provide precise details of how the funds will be spent at every stage of the business growth. For instance, it describes the total amount of money that will be used to acquisition equipment. Hence, it will be instrumental in helping you manage your funds correctly. Note that it only takes one financial mistake to compromise the financial stability of the business.

Fosters Transparency and Management

Transparency and proper management are the two primary virtues that set professional catering companies from their counterparts. Poor or lack of transparency results in losses and unnecessary disagreements. All this information will be included in the plan to not only increase your chances of getting funding but also to help you make informed managerial decisions.

Facilitate Setting of Sales Targets

The marketing teams need to have sales goals that they want to achieve after a given duration. Without these goals, they will be operating in a void, and you will also not be able to monitor their performance.

Our marketing professionals will not only help you to come up with a marketing strategy but also provide ideas on how you should set sales targets and objectives.

If you are looking for professional business plans for catering companies that will enable you to enjoy these four benefits, get in touch with us by filling this form. One of our customer care business consultants will get in touch with you to discuss our services in details.

Catering business plan for starting your own building firm

Catering is a business in which you provide food to remote locations to serve people at parties, ceremonies, events, filming sites, and hospitals, etc. The service can sometimes also include the provision of furniture, tables, chairs, utensils, and crockery.

If you are a person who wants to start a business that holds minimum risks, takes a small team and a little investment, then catering is the right choice for you. Besides, another good thing about this business is that it starts yielding profits as soon as it is launched.

What you need to do is just ensure that you manage and market your business plans for catering companies properly. For that purpose, the first step to take is making a business plan for catering. If you need any help regarding how to start a catering business plan, you can have it from here. Here we are providing a business plan for a catering startup, Marlon Caterers.

Executive Summary

2.1 the business.

Marlon Caterers will be a registered and licensed catering business in Atlanta. The business aims to help people celebrate their memorable events with an unforgettable dinner. Moreover, the business will also take care of the needs of patients in hospitals by offering them healthy and nutritious food according to their doctors’ advice.

The business will provide several types of catering such as buffet catering, sit-down catering, hospital catering, corporate catering, and more.

2.2 Management

Management is a very important factor in the catering business. It’s only through efficient management that you can ensure

• The quality of your servings is intact
• The food prepared fulfills the dietary and hygiene requirements of your clients
• The order is delivered and served timely and perfectly

To maintain a good reputation among your customers, you must know all the difficulties and risks you can encounter. The risks may include budget disruptions due to sudden cancellation of orders, or any small/ large mistake during the business operations.

Before starting a catering business, you should study many catering business startup plans and then prepare a set up catering business plan for your business.

2.3 Customers

Our target customers belong to various niches. They will include the residential community, business organizations, film studios, government institutions, and hospitals.

2.4 Target of the Company

In this how to start a catering company sample business plans for catering companies we are enlisting the business targets set by Marlon Caterers.

• To reduce our customer acquisition cost by 20% by the end of five years
• To keep our customer churn rate below 5% throughout our service years
• To achieve a net profit margin of $22k per month by the end of the third year

Company Summary

3.1 company owner.

Marlon Redford will be the owner of Marlon Caterers. Marlon has acquired a degree in Business Administration from McDonough School of Business. Marlon has been serving on a managerial post in New York’s top luxury wedding planner company, Colin Cowie for four years. But a few months back, he decided to quit the job and start his own business.

3.2 Why the Business is being started

Marlon always wanted to have a career in which he could utilize his creative ideas to serve his community. He loved food and had an interest in cooking as well. So he decided to make a small team and start a business plans for catering companies .

3.3 How the Business will be started

The first step before starting a catering business is creating a description of catering business plan. Your catering company business plan should cover all aspects such as startup expenses, market analysis, sales strategy, personnel plan, and an extensive financial plan for your business.

In this catering company business plan example, we have listed the business strategy created by Marlon Caterers. Marlon devised his start a catering company business plan himself as he had adequate knowledge to do so. If you don’t know how to write a business plans for catering companies , you should either take help from this sample business plan for catering service. Or you should hire a professional person.

Marlon will rent a facility in Atlanta to set up his office there and keep the inventory. He will purchase luxurious crockery, flatware, tableware, chairs, tables, and sofas to host high-end events. To serve the other categories of target customers, inventory that comes in reasonable rates will also be acquired.

Besides, Marlon will hire the general staff, chefs, waiters, and some supervisors to help him run the business.

The start-up requirements, start-up expenses, total assets, funding, liabilities, planned investment, and other parameters for the successful launch of the business are given below.

Before you start a business plans for catering companies , you must identify the services you can provide under the catering domain. Including your services in your business plan about catering, can help you in acquiring the right licenses, required inventory, and relevant staff.

In this template of a catering business plan we are enlisting the services provided by Marlon Caterers.

We’ll offer on-premise and off-premise catering in the following categories.

• Plated Sit-down catering

In this catering, our waiters will lay out the food on individual tables. So, the guests will have to eat whatever is laid out on the plates for them.

• Buffet Catering

In this type of serving we will serve the dishes and food in one place. The guests will have to prepare their plates themselves according to their needs and wants.

• Cocktail Reception

Our wedding or party dinner will be preceded by a cocktail hour. Our cocktail servings will include Manhattan cocktail, Daiquiri, Margarita, Bloody Mary, Mojito, and Hurricane.

• Snacks & Drinks For Production Sets

We will supply food, snacks, and drinks to film studios, production sets, and shooting sites located near us. As the film crew works on a particular site on a weekly or monthly basis, so we’ll offer them various weekly and monthly packages.

• Hospital Catering

We’ll offer fresh, healthy, and nutritious foods to hospitals for patients. Our nutrient-rich meals will help them recover fast.

Marketing Analysis of Catering Business

If you are starting a business plan for catering companies , you should focus on doing accurate marketing analysis. Through market research, you can identify local trends and expectations. Besides, you can also select the most suitable location to launch your startup.

Marketing analysis should be completed before you create a business plans for catering companies. Because it will help you in recognizing your customers and setting your prices accordingly while also making sure that you are not running at a loss.

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excellent work, competent advice. Alex is very friendly, great communication. 100% I recommend CGS capital. Thank you so much for your hard work!

5.1 Market Trends

The demand for the catering business has been high in the last few years. Due to a boost in average household income, more people had started utilizing private catering services to hold events. However, there is a slight problem these days. Due to the coronavirus pandemic mass gatherings aren’t allowed. So, your business might suffer a loss in the initial phases if you only provide catering for wedding ceremonies and parties. Marlon found the solution to this problem as he decided to offer hospital and film catering too.

Overall, business is surely profitable. According to First Research, catering industries in the U.S. make up above $11 billion in revenue on annual basis. More than 12000 catering industries are running in the U.S. Moreover, Statista also reports that the market size of this business has reached $12 billion in 2020.

5.2 Marketing Segmentation

Before you think how to write a business plan for a catering business, you should consider who will be your customers. Knowing your customers will enable you to devise customer-oriented pricing and sales strategy.

In this sample of business plans for catering companies , we have listed the market segmentation done by Marlon Caterers.

The detailed marketing segmentation of our target audience is as follows:

Business plan for investors

5.1.1 residential community.

The biggest consumer of our services will be the residents of Atlanta. They are expected to avail of our catering services whenever they host birthday or anniversary parties, gatherings, wedding ceremonies, etc.

5.1.2 Corporates & Film Producers

The second category includes business organizations that will need our catering for their business meetups, events, and parties. They are also expected to contact us for arranging just a cocktail party as that contains light refreshments and drinks to boost the energy level of workers.

Moreover, film studios that happen to shoot in Atlanta will also be needing our services. This group usually spent weeks and months on a particular site and thus need catering service continuously for days. So to compel them to hire us, we’ll offer them various weekly and monthly packages.

5.1.3 Hospitals

The last category of our target customers include hospitals based in Atlanta. They are expected to contact us for making nutritious and healthy plated foods for patients.

5.3 Business Target

Our business plans for catering companies targets to be achieved within a specified time are listed below

• To maintain an average rating above 4.75 on our website

5.4 Product Pricing

Our prices are almost within the same range as that of our competitors. However, we’ll be offering several discounts on our initial stage to attract as many customers as possible.

Marketing Strategy

Sales strategy is also an important component of a catering business plan proposal. Through this, you can reach your qualified customers and make them comprehend that you are better than all your competitors. To give you an idea of what to include in sales strategy, we are providing the sales strategy of Marlon Caterers in this example of marketing plan for a catering business.

6.1 Competitive Analysis

Our biggest competitive advantage lies in our customer service. We are highly customer-oriented and are always willing to go the extra mile to satisfy our customers. Secondly, we have developed a user-friendly mobile app that will allow our customers to

• Make online bookings
• Choose venue
• Select dishes from our menu

Third, we provide on-premise catering in which we prepare the food on site. This will be a competitive edge for us as just two to three competitors are offering it.

6.2 Sales Strategy

• We will offer a 35% discount on our services for the first month of the launch
• We will develop an SEO website to show our business in the top results on searches
• We will establish a strong social media presence
• We will advertise ourselves through Google Local ads service, local magazines, and newspapers

6.3 Sales Monthly

6.4 Sales Yearly

6.5 Sales Forecast

Personnel plan

While writing business plans for catering companies you should also create a list of your required employees along with their job responsibilities.

7.1 Company Staff

Marlon will manage the business himself. However, he will hire the following people

• 1 Quality Manager to ensure the quality of service by active supervision
• 1 Inventory Manager to manage and maintain the merchandise
• 1 Accountant to maintain financial records
• 2 Sales Executives to market and to discover new ventures
• 5 Catering Assistants/ Catering Chefs to prepare the food
• 4 Waiters to serve the guests
• 2 General Assistants to bring ingredients daily
• 1 Web Developer
• 2 Drivers to provide transport
• 1 Front Desk Officer to act as a receptionist

7.2 Average Salary of Employees

Financial Plan

As you make a catering business plan, you should also start analyzing your finances. Crafting a financial plan is an absolute need for a business as it maps the ways to minimize or even avoid loss. A good financial plan comprises a strategy to cover startup expenses with earned profits. Moreover, it also proposes a systematic approach to managing employees’ salaries, cost of business operations, and costs to cater for unexpected events.

To give you an idea of how a financial plan should look like, we are giving here the financial plan of Marlon Caterers.

8.1 Important Assumptions

8.2 Brake-even Analysis

8.3 Projected Profit and Loss

8.3.1 Profit Monthly

8.3.2 Profit Yearly

8.3.3 Gross Margin Monthly

8.3.4 Gross Margin Yearly

8.4 Projected Cash Flow

8.5 Projected Balance Sheet

8.6 Business Ratios

Download Catering Company Business Plan Sample in pdf

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Free Business Plan Template for Small Businesses (2024)

Use this free business plan template to write your business plan quickly and efficiently.

A good business plan is essential to successfully starting your business —  and the easiest way to simplify the work of writing a business plan is to start with a business plan template.

You’re already investing time and energy in refining your business model and planning your launch—there’s no need to reinvent the wheel when it comes to writing a business plan. Instead, to help build a complete and effective plan, lean on time-tested structures created by other  entrepreneurs and startups. 

Ahead, learn what it takes to create a solid business plan and download Shopify's free business plan template to get started on your dream today. 

What this free business plan template includes

• Executive summary
• Company overview
• Products or services offered
• Market analysis
• Marketing plan
• Logistics and operations plan
• Financial plan

This business plan outline is designed to ensure you’re thinking through all of the important facets of starting a new business. It’s intended to help new business owners and entrepreneurs consider the full scope of running a business and identify functional areas they may not have considered or where they may need to level up their skills as they grow.

That said, it may not include the specific details or structure preferred by a potential investor or lender. If your goal with a business plan is to secure funding , check with your target organizations—typically banks or investors—to see if they have business plan templates you can follow to maximize your chances of success.

Our free business plan template includes seven key elements typically found in the traditional business plan format:

1. Executive summary

This is a one-page summary of your whole plan, typically written after the rest of the plan is completed. The description section of your executive summary will also cover your management team, business objectives and strategy, and other background information about the brand. 

2. Company overview

This section of your business plan will answer two fundamental questions: “Who are you?” and “What do you plan to do?” Answering these questions clarifies why your company exists, what sets it apart from others, and why it’s a good investment opportunity. This section will detail the reasons for your business’s existence, its goals, and its guiding principles.

3. Products or services offered

What you sell and the most important features of your products or services. It also includes any plans for intellectual property, like patent filings or copyright. If you do market research for new product lines, it will show up in this section of your business plan.

4. Market analysis

This section includes everything from estimated market size to your target markets and competitive advantage. It’ll include a competitive analysis of your industry to address competitors’ strengths and weaknesses. Market research is an important part of ensuring you have a viable idea.

5. Marketing plan

How you intend to get the word out about your business, and what strategic decisions you’ve made about things like your pricing strategy. It also covers potential customers’ demographics, your sales plan, and your metrics and milestones for success.

6. Logistics and operations plan

Everything that needs to happen to turn your raw materials into products and get them into the hands of your customers.

7. Financial plan

It’s important to include a look at your financial projections, including both revenue and expense projections. This section includes templates for three key financial statements: an income statement, a balance sheet, and a cash-flow statement . You can also include whether or not you need a business loan and how much you’ll need.

Business plan examples

What do financial projections look like on paper? How do you write an executive summary? What should your company description include?  Business plan examples  can help answer some of these questions and transform your business idea into an actionable plan.

Professional business plan example

Inside our template, we’ve filled out a sample business plan featuring a fictional ecommerce business . 

The sample is set up to help you get a sense of each section and understand how they apply to the planning and evaluation stages of a business plan. If you’re looking for funding, this example won’t be a complete or formal look at business plans, but it will give you a great place to start and notes about where to expand.

Lean business plan example

A lean business plan format is a shortened version of your more detailed business plan. It’s helpful when modifying your plan for a specific audience, like investors or new hires. 

Also known as a one-page business plan, it includes only the most important, need-to-know information, such as:

• Company description
• Key members of your team
• Customer segments

💡 Tip: For a step-by-step guide to creating a lean business plan (including a sample business plan), read our guide on how to create a lean business plan .

Benefits of writing a solid business plan

It’s tempting to dive right into execution when you’re excited about a new business or side project, but taking the time to write a thorough business plan and get your thoughts on paper allows you to do a number of beneficial things:

• Test the viability of your business idea. Whether you’ve got one business idea or many, business plans can make an idea more tangible, helping you see if it’s truly viable and ensure you’ve found a target market. 
• Plan for your next phase. Whether your goal is to start a new business or scale an existing business to the next level, a business plan can help you understand what needs to happen and identify gaps to address.
• Clarify marketing strategy, goals, and tactics. Writing a business plan can show you the actionable next steps to take on a big, abstract idea. It can also help you narrow your strategy and identify clear-cut tactics that will support it.
• Scope the necessary work. Without a concrete plan, cost overruns and delays are all but certain. A business plan can help you see the full scope of work to be done and adjust your investment of time and money accordingly.
• Hire and build partnerships. When you need buy-in from potential employees and business partners, especially in the early stages of your business, a clearly written business plan is one of the best tools at your disposal. A business plan provides a refined look at your goals for the business, letting partners judge for themselves whether or not they agree with your vision.
• Secure funds. Seeking financing for your business—whether from venture capital, financial institutions, or Shopify Capital —is one of the most common reasons to create a business plan.

Why you should you use a template for a business plan

A business plan can be as informal or formal as your situation calls for, but even if you’re a fan of the back-of-the-napkin approach to planning, there are some key benefits to starting your plan from an existing outline or simple business plan template.

No blank-page paralysis

A blank page can be intimidating to even the most seasoned writers. Using an established business planning process and template can help you get past the inertia of starting your business plan, and it allows you to skip the work of building an outline from scratch. You can always adjust a template to suit your needs.

Guidance on what to include in each section

If you’ve never sat through a business class, you might never have created a SWOT analysis or financial projections. Templates that offer guidance—in plain language—about how to fill in each section can help you navigate sometimes-daunting business jargon and create a complete and effective plan.

Knowing you’ve considered every section

In some cases, you may not need to complete every section of a startup business plan template, but its initial structure shows you you’re choosing to omit a section as opposed to forgetting to include it in the first place.

Tips for creating a successful business plan

There are some high-level strategic guidelines beyond the advice included in this free business plan template that can help you write an effective, complete plan while minimizing busywork.

Understand the audience for your plan

If you’re writing a business plan for yourself in order to get clarity on your ideas and your industry as a whole, you may not need to include the same level of detail or polish you would with a business plan you want to send to potential investors. Knowing who will read your plan will help you decide how much time to spend on it.

Know your goals

Understanding the goals of your plan can help you set the right scope. If your goal is to use the plan as a roadmap for growth, you may invest more time in it than if your goal is to understand the competitive landscape of a new industry.

Take it step by step

Writing a 10- to 15-page document can feel daunting, so try to tackle one section at a time. Select a couple of sections you feel most confident writing and start there—you can start on the next few sections once those are complete. Jot down bullet-point notes in each section before you start writing to organize your thoughts and streamline the writing process.

Maximize your business planning efforts

Planning is key to the financial success of any type of business , whether you’re a startup, non-profit, or corporation.

To make sure your efforts are focused on the highest-value parts of your own business planning, like clarifying your goals, setting a strategy, and understanding the target market and competitive landscape, lean on a business plan outline to handle the structure and format for you. Even if you eventually omit sections, you’ll save yourself time and energy by starting with a framework already in place.

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Business plan template FAQ

What is the purpose of a business plan.

The purpose of your business plan is to describe a new business opportunity or an existing one. It clarifies the business strategy, marketing plan, financial forecasts, potential providers, and more information about the company.

How do I write a simple business plan?

• Choose a business plan format, such as a traditional or a one-page business plan. 
• Find a business plan template.
• Read through a business plan sample.
• Fill in the sections of your business plan.

What is the best business plan template?

If you need help writing a business plan, Shopify’s template is one of the most beginner-friendly options you’ll find. It’s comprehensive, well-written, and helps you fill out every section.

What are the 5 essential parts of a business plan?

The five essential parts of a traditional business plan include:

• Executive summary: This is a brief overview of the business plan, summarizing the key points and highlighting the main points of the plan.
• Business description: This section outlines the business concept and how it will be executed.
• Market analysis: This section provides an in-depth look at the target market and how the business will compete in the marketplace.
• Financial plan: This section details the financial projections for the business, including sales forecasts, capital requirements, and a break-even analysis.
• Management and organization: This section describes the management team and the organizational structure of the business.

Are there any free business plan templates?

There are several free templates for business plans for small business owners available online, including Shopify’s own version. Download a copy for your business.

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Business Basics Grants Program

Grant rounds

Each round of the Business Basics grants program has specific information to help you prepare and apply for a grant, and if successful, manage your grant.

The Business Basics grants program provides support to businesses to increase core skills and adopt best practice . This round of Basics is focused on fostering resilience.

Applicants can apply for funding for grant funded activities under the following priorities:

• Business continuity and succession

Security planning and solutions

• Sustainability.

The program is administered by the Department of Employment, Small Business and Training (DESBT).

Available funding

You can apply for $5,000 (excluding GST) in funding. If successful, funding is paid upfront on approval. Successful applicants don't have to co-contribute to this grant, but must pay for any related expenses in excess of the $5,000 grant funding.

We will not fund activities with either:

• a total cost of less than $5,000 (excluding GST)
• payments made before submission of the Stage 2: Full Application (activity must not have begun significantly).

Eligibility criteria

Check your eligibility to find out if your business can apply for the program.

To be eligible for this grant, your business must meet the following criteria at the time of application submission:

• have less than 20 employees (by headcount*)
• be operating and have an active Australian Business Number (ABN) ^
• be registered for GST ^
• have a registered Queensland headquarters location ^ (as per your Australian Business Register (ABR) record)
• have a minimum trading history of 1 year
• have a minimum turnover of $75,000 and maximum turnover of $300,000 for the last financial year (2022–23)
• not have been approved for funding under an earlier Business Basics round
• not be insolvent or have owners/directors that are undischarged or currently bankrupt ^ .

* Headcount includes all full-time, part-time and casual employees including Non-Executive Directors.

^ Your business must maintain this eligibility for the duration of the grant-funded activity.

Eligible and ineligible activities

Business continuity and succession planning (including disaster preparation).

• Develop and implement a business continuity plan to ensure operations can continue in the event of disruptions.
• Develop an incident response plan, risk management plan and/or recovery plan.
• Develop a succession plan tailored to the business's needs and goals.
• Develop an emergency evacuation plan or training program.
• Purchase emergency kit equipment and related software, such as first aid kit, flashlights, batteries, and portable radio for an emergency kit.
• Implement new or upgrade existing online or cloud-based accounting systems.
• Plan and/or implement physical security measures, such as surveillance cameras, alarms, or access control systems.
• Conduct cyber security risk assessments and implement mitigation systems.
• Implement cyber security measures to protect data and systems, for example, anti-malware, antivirus, backups, data migration, encryption, firewalls, and modems/routers with enhanced security.

Sustainability

• Conduct sustainability assessments or audits to identify areas for improvement and develop action plans.
• Develop or revise a tailored business plan aligned to the business's specific needs and goals.
• Implement energy-efficient practices or technologies to reduce operational costs and environmental impact.
• Develop a plan to localise the suppliers of your businesses.

We will not fund:

• activities bought via direct selling (e.g. by party plan or network marketing)
• delivery, credit card and transaction fees
• fleet vehicles
• franchise fees
• general business operating costs (e.g. bookkeeping/accounting, tax returns)
• goods and services paid using crypto-currencies, cash, barter, or services in-kind
• goods, services, or fees from related parties*
• GST, registration, and fees
• marketing/advertising services of any kind
• memberships and joining fees
• other equipment (e.g. televisions, EFTPOS, card/chip readers) 1
• purchase of stock
• real estate/property, hire, lease, or rental fees
• salaries and wages
• software and licences 1
• stand-alone computer hardware (e.g. servers, PCs, tablets/iPad, mobile phones) 2
• travel and accommodation
• utilities (e.g. internet, phone, water and/or waste bills)
• website build/upgrades.

* Related parties include companies with common shareholdings or directors, employees, or immediate family.

1 not mentioned in the priority areas

2 except if bundled with security solutions

Application process

It is free to apply through the DESBT SmartyGrants portal when the grant round opens.

Applicants will be notified at the end of each stage (ROI shortlisting and full application) of their outcome.

This grant program is competitively assessed in 2 stages, meaning not all applications will be funded:

• Stage 1: Registration of Interest (ROI)
• Stage 2: Full Application

Stage 1:

• opened for ROI applications at 9am, Wednesday 29 May 2024
• closes for ROI applications at 5pm, Tuesday 11 June 2024

Pre-launch notification of this grant and access to supporting documents was provided on 15 May 2024.

Detailed application process

In your ROI application, you are asked to:

• confirm the business meets the eligibility criteria of the grant program
• provide core business and contact information
• provide Responsible Person demographic information.

Valid ROIs will be assessed through a ballot system with a number of applications identified to move to Stage 2: Full application assessment.

There will be no appeal process for applications that have not been selected to move on to Stage 2.

If your Stage 1 ROI application is shortlisted, you will be invited to submit a full application. In addition to the information provided in your ROI, you will also be asked in the full application to:

• update your core business and contact information (if required)
• provide business demographic information and business description
• provide proposed project details – priority area and how it will enhance core skills/business competitiveness
• provide proposed project expected outcomes – growth in revenue, gross profit and headcount and how your project would help you to achieve those outcomes
• provide a completed 100-points of identification check form for the nominated Responsible Person
• a copy of your Australian Securities and Investments Commission (ASIC) company statement listing a Queensland address in the 'principal place of business'
• an accountant's letter confirming the business has changed to a Queensland main business location
• verify the link between the trust and the business conducting the business activity (if applicable) – if you nominate an ABN of a trust in your application, you will need to provide evidence of the link between the trust entity and the business conducting the business activity entity. Acceptable evidence includes
• a copy of your ASIC company statement listing both entities
• an accountant's letter confirming the 2 entities are operated by the same parties outlining the business relationship
• verify the link between the Responsible Person and business (if applicable) – if you nominate a Responsible Person in your application, you will need to provide evidence of the link. Acceptable evidence includes
• a letter on your business letterhead confirming the Responsible Person's position and authority to act on behalf of the business.

Stage 2: Full applications are assessed for compliance against the eligibility criteria and their competitiveness against the program guidelines and assessment criteria.

You must demonstrate the extent to which the grant funded activity will:

• enhance the business's core skills and adopt best practice
• positively impact revenue growth and gross profit
• be likely to create jobs growth within the business
• demonstrate value for money.

We may also distribute successful applications equitably across the state, other economic factors such as priority industries, and ensure a representation of Queensland's diverse business population.

We will advise all applicants of the outcomes after the ballot process and Stage 2: Full Application assessment.

Due to the grant program's comprehensive assessment, due diligence, and government approval process, you can typically expect to receive notification of your submission's outcome within a reasonable timeframe following the key application dates outlined on page 4 of the guidelines.

We will communicate all outcomes via email. Successful Stage 2 applicants will receive a Funding Agreement Letter detailing the proposed funded agreement and inviting you to accept the funding terms.

If you accept the funding terms and enter into a funding agreement with us, you will receive funding of $5,000 (excluding GST) into your nominated bank account via electronic funds transfer.

You must complete your grant-funded activity within 6 months of receiving the Funding Agreement Letter.

You must keep all application evidence, supplier quotes, corresponding invoices and bank transactions for audit purposes.

Note: If you vary your approved project in any way,  you must inform us immediately. Read more about making changes to your approved grant .

You must complete:

• an outcomes survey report on completion of the project – the report is to include details on the assets/services received, project implementation, and the impact on the business including the results and outcomes received
• a audit report (if selected) – we will conduct an audit process and you must keep all application evidence, supplier quote(s), corresponding invoices and bank transactions, and submit them on request from us for audit purposes.

Refer to the application guidelines for a comprehensive overview of each stage of the application process.

How to apply

You have 2 weeks to prepare your ROI application. ROI applications opened at 9am, Wednesday 29 May 2024.

Submit your application by completing these steps:

• application guidelines
• terms and conditions
• frequently asked questions
• sample ROI application form .
• Check your eligibility .
• Apply for a DESBT SmartyGrants applicant account (if you don't already have an account).
• Ensure your ABR profile for your business is up to date (check your ABN status, GST status and main business location).
• Gather your evidence and answers.
• Complete and submit your ROI application.

Note: If necessary, a virtual queue may be implemented on the SmartyGrants portal. Estimated wait times will be provided if you enter the queue.

Check your application

Check your application before you submit it as you cannot change your application after lodgement. Specifically you should:

• include all required supporting evidence and resolve any validation errors
• include only realistic and probable answers
• a Responsible Person includes owners, business partners, directors, employees - managers or higher, trustees, public officers, office bearers or company secretaries of the business applying for the grant
• third parties can include a business or financial advisor, such as an accountant, or the supplier mentioned in the grant-funded activity. Third party can also relate to IP addresses (where you submit your application from)
• we consider a related party and/or financial beneficiary to be those who gain an advantage and/or profits from something including receipt or distribution from a trust, will or life insurance policy. This can include companies with common shareholdings, directors, employees, or immediate family.

Previous rounds – key documents

Guidelines may vary between rounds and include:

• eligibility criteria
• activities to be applied for
• funding amounts
• assessment processes
• your legal requirements if you are awarded a grant.

Read these key documents and information:

• preview of application form
• statutory declaration sample
• finding suppliers .
• application form sample
• statutory declaration template
• application guidelines (updated 13 May 2022)
• finding suppliers
• registration of interest (ROI) form sample

More information

View our small business grants schedule to learn if you are eligible for other support.

You can also subscribe to the Business Queensland Connect newsletter to keep up to date with the latest information for Queensland small businesses.

Learn about avoiding unfair business practices .

For further information about the program, email [email protected] or contact the Small Business Hotline on 1300 654 687.

Check your eligibility

To be eligible for this grant, your business must meet the eligibility criteria and other conditions of the program.

• Last reviewed: 14 May 2024
• Last updated: 29 May 2024

300+ Business Plan Examples

With over two decades of experience, Growthink has assisted more than 1 million companies in developing effective business plans to launch and expand their businesses. Trust in our expertise to guide you through developing a business plan that drives your success. In addition to our sample plans, below you’ll learn the answers to key business plan questions and gain insightful tips on writing your business plan.

  Quick Links to Sections On this Page:

• Sample Business Plans By Business Category

Answers to Key Sample Business Plan Questions

Shoutmouth business plan example, business plan examples by business category.

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1. Why is utilizing an example business plan a good idea?

Sample business plans can help you quickly and easily write a business plan for your own business. Business plans are an important tool for any business, but they can be challenging to create. A sample business plan will help you understand the business plan format , the benefit of market research, and how to write a compelling executive summary. It can also serve as a guide for creating your own business plan, outlining the key sections and providing examples of successful plans. Utilizing the best business plan template can save you time and ensure that your plan is well-structured and comprehensive.

Business plan examples may even help you with the different sections of a plan, including market analysis, business description, cash flow statements/business financial statements, and more. Business plans can also show you how a quality plan in your exact business plan category is organized and shows you the appropriate business communications style to use when writing your business plan.

2. Who would benefit from using an example business plan?

Any entrepreneur or business owner who has never written a business plan before can benefit from an example or sample plan. New business owners often start with business plan templates , which are helpful but are sometimes more useful after reviewing other sample business plans.

A good sample plan can be a step-by-step guide as you work on your business planning and business idea. Once you have a sense for the flow, specs, and details, etc. that business plans have, utilizing a business plan template will help you pull everything together, helping you create a plan investors and other stakeholders will value. A solid business plan will also help you if you need a bank loan, which may require a startup business plan. Download our free business plan template to help you get started on your own business plan.

Free Download : Free Business Plan Template PDF

3. How do you get started with a sample business plan and maximize its benefit?

First you should read the business plan thoroughly. Study both the type of information provided in key sections like the executive summary, target market analysis, summary, etc., as well as the format and style of the plan. As you read, you may find yourself thinking through things such as improving or evaluating your business planning process, your business idea, or reconsidering who you want to write your business plan for. This is OK and part of the process. In fact, when you start writing a business plan for the first time, it will be much easier because you’ve gone through this process.

After this initial read, outline your business plan and copy in from the sample plan sections that apply to your business. For instance, if the sample plan included public relations in their marketing strategy and sales plan, and you will also use this tactic, you can copy it into your plan and edit it as appropriate. Finally, answer the other questions answered in the sample plan in ways that reflect your unique business and target customers.

Writing a business plan can seem daunting. Starting your business plan writing process by reviewing a plan that’s already been created can remove a lot of mental and emotional barriers while helping you craft the best plan you can.

4. When should you not use a sample business plan?

If your business is unlike any other, using a sample business plan will not be as effective. In this situation, writing a business plan from scratch utilizing a business plan template is probably your best path forward.

As an example, Facebook’s early business plan was unlike others since it was paving a new path and way of doing business. But, groundbreaking new businesses like Facebook are not the norm, and the vast majority of companies will benefit from utilizing sample business plans.

5. How do you choose the right type of business plan for your venture?

Selecting the appropriate type of business plan depends on your business’s stage, needs, and goals. Let’s explore the different types of business plans and how to determine which business plan format is right for you.

• Startup Business Plan : This type of plan is for businesses just starting out and seeking funding or investment. It typically includes a detailed analysis of the market, target audience, competition, and financial projections.
• Traditional Business Plan : Traditional business plans are the most common type of business plan, used by established businesses to outline their goals and strategies. It includes all the key sections such as market analysis, company description, and financial statements.
• Internal Business Plan : Internal business plans are used for internal purposes, to guide the day-to-day operations and decision making of the business. It may not be as detailed as a traditional business plan, but still includes important information such as company mission, objectives, and key performance indicators.
• Feasibility Business Plan : A feasibility business plan is used to assess the viability of a new product or service in the market. It includes detailed research and analysis to determine if the business idea is feasible and profitable.
• One-Page Business Plan : As the name suggests, this type of business plan is condensed into one page and includes the most critical information about the business. It can be a useful tool for pitching to potential investors or partners.
• Strategic Business Plan : A strategic plan looks at the big picture and long-term business goals of a company. It may include the company’s mission statement, core values, and overarching strategies for achieving success.

Ultimately, the type of business plan you choose will depend on your business’s specific needs and goals. It may also be beneficial to combine elements from different types of plans to create a customized plan that best fits your business. Carefully consider your objectives and resources before deciding on the right type of plan for your venture.

Finish Your Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your business plan?

With Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

The business plan example below is for Shoutmouth, a company that enjoyed much success in the early 2000’s and which was able to raise funding. While the plan’s premise (social networking) is not as unique now as it was then, the format and structure of this business plan still holds.

I. Executive Summary

Business Overview

Launched in late February 2007, Shoutmouth.com is the most comprehensive music news website on the Internet .

Music is one of the most searched and accessed interests on the Internet. Top music artists like Akon receive over 3 million searches each month. In addition, over 500 music artists each receive over 25,000 searches a month.

However, music fans are largely unsatisfied when it comes to the news and information they seek on the artists they love. This is because most music websites (e.g., RollingStone.com, MTV.com, Billboard.com, etc.) cover only the top eight to ten music stories each day – the stories with mass appeal. This type of generic coverage does not satisfy the needs of serious music fans. Music fans generally listen to many different artists and genres of music. By publishing over 100 music stories each day, Shoutmouth enables these fans to read news on all their favorite artists.

In addition to publishing comprehensive music news on over 1200 music artists, Shoutmouth is a social network that allows fans to meet and communicate with other fans about music, and allows them to:

• Create personal profiles
• Interact with other members
• Provide comments on news stories and music videos
• Submit news stories and videos
• Recommend new music artists to add to the community
• Receive customized news and email alerts on their favorite artists

Success Factors

Shoutmouth is uniquely qualified to succeed due to the following reasons:

• Entrepreneurial track record : Shoutmouth’s CEO and team have helped launch numerous successful ventures.
• Affiliate marketing track record : Online affiliate marketing expertise has been cited as one of MySpace’s key success factors. Over the past two years, Shoutmouth’s founders have run one of the most successful online affiliate marketing programs, having sold products to over 500,000 music customers online.
• Key milestones completed : Shoutmouth’s founders have invested $500,000 to-date to staff the company (we currently have an 11-person full-time team), build the core technology, and launch the site. We have succeeded in gaining initial customer traction with 50,000 unique visitors in March, 100,000 unique visitors in April, and 200,000 unique visitors in May 2007.

Unique Investment Metrics

The Shoutmouth investment opportunity is very exciting due to the metrics of the business.

To begin, over the past two years, over twenty social networks have been acquired. The value in these networks is their relationships with large numbers of customers, which allow acquirers to effectively sell to this audience.

The sales price of these social networks has ranged from $25 to $137 per member. Shoutmouth has the ability to enroll members at less than $1 each, thus providing an extraordinary return on marketing expenditures. In fact, during an April 2007 test, we were able to sign-up 2,000 members to artist-specific Shoutmouth newsletters at a cost of only 43 cents per member.

While we are building Shoutmouth to last, potential acquirers include many types of companies that seek relationships with music fans such as music media/publishing (e.g., MTV, Rolling Stone), ticketing (e.g., Ticketmaster, LiveNation) and digital music sales firms (e.g., iTunes, The Orchard).

Financial Strategy, Needs and Exit Strategy

While Shoutmouth’s technological, marketing and operational infrastructure has been developed, we currently require $3 million to execute on our marketing and technology plan over the next 24 months until we hit profitability.

Shoutmouth will primarily generate revenues from selling advertising space. As technologies evolve that allow us to seamlessly integrate music sampling and purchasing on our site, sales of downloadable music are also expected to become a significant revenue source. To a lesser extent, we may sell other music-related items such as ringtones, concert tickets, and apparel.

Topline projections over the next three years are as follows:

II. Shoutmouth Overview

What is Shoutmouth?

Shoutmouth is an operating company of The Kisco Group Inc. (TKG). Since 2003, TKG has capitalized on web-based marketing opportunities via launching targeted websites and generating web-based leads. TKG revenues in 2005 exceeded $1.3 million and grew to $3.5 million in 2006. Shoutmouth is currently the sole focus of TKG; all other TKG business units have been divested.

Development of Shoutmouth began in August 2006 and the site officially launched on February 21, 2007. Shoutmouth (located at www.shoutmouth.com) is the most comprehensive music news community on the Internet. The website covers 1,200 popular bands and music artists and offers more than 100 new music articles each day. In addition to providing news, Shoutmouth is a web community. That is, Shoutmouth members can actively participate on the site, by doing things such as commenting on news stories and submitting their own stories.

The Market Size and Need for Shoutmouth

The music market is clearly vast. According to IFPI, which represents the recording industry worldwide, global music sales were $33.5 billion in 2005, with the U.S. accounting for $12.3 billion of that amount. Importantly, digitally music sales are seeing substantial growth, with IFPI reporting sales of $400 million in 2004, $1.1 billion in 2005 and $2 billion in 2006.

Online, music is the one of the most frequently searched and accessed interests. For example, according to Wordtracker, the music artist Eminem received over 1.7 million web searches in December 2006, while band Green Day received 534,000 searches.

To put these figures in perspective, top celebrities in other entertainment fields receive but a fraction of this search volume. For example, December 2006 search volumes for select sports stars and actors were as follows: Kobe Bryant, 122K; Tiger Woods, 88K; Cameron Diaz, 332K; and Tom Cruise, 82K.

Conversely, 225 music artists received over 100,000 searches in December 2006, and over 500 music artists received over 25,000 searches.

This data is corroborated by Nielsen BuzzMetrics which plots the most popular topics bloggers are posting about. The chart to the right plots September 25, 2006 to March 25, 2007 and shows how music dominates other entertainment sectors online.

When searching for music artists online, fans, which are primarily between the ages of 13 and 35, are looking for news, pictures, lyrics, videos and audio files. In addition, fans enjoy publicly voicing their opinions about music and interacting with other fans.

There is currently no website besides Shoutmouth that provides comprehensive music news. Currently, to get the latest news on their favorite artists, fans must visit the official websites or fan websites of each of the artists they like . Even then, it is unlikely that the fan will get all the news that has occurred. To solve this problem, Shoutmouth scours the web and uncovers news from thousands of web sites.

What Shoutmouth Does and Will Offer

As of May 2007, the site covers the 1,200 most popular music artists (popularity primarily based on the number of web searches over the past 12 months for each artist).

Shoutmouth currently offers members the ability to:

• Read over 500 new music articles each week
• Read special features such as album reviews, interviews, new album release dates, top quotes of the week and other special reports
• Watch and rate music videos
• Listen to select music audio clips
• Comment on news stories and music videos
• Submit news stories that they see/hear of elsewhere
• Suggest new music artists to add to the site
• View articles by music artist or by genre (current genres include Rock, Pop, Rap, R&B, Country, and Electronic)
• Create a user profile that includes their favorite music artists, Shoutmouth friends, news stories submitted to Shoutmouth, and comments made. Members have the ability to find other members based on their favorite artists and via our search functions.
• Receive customized news and email alerts. Members can customize their “My News” page to include only artists they specify. Likewise, they can choose to receive email alerts whenever there is a new story on one of their favorite artists.

While establishing itself as the premier music news community, Shoutmouth will embark on the more aggressive goal of becoming the premier music community online . To accomplish this, Shoutmouth will begin to offer additional content (more videos, audio, pictures, lyrics, etc.) and additional functionality (music compatibility testing (e.g., if you like this, you’ll like this), voting capabilities, member-to-member messaging, etc.). We have already begun mapping out our content and technology growths plans to achieve this goal upon financing.

Importantly, Shoutmouth expects to be able to add massive amounts of relevant content (e.g., lyrics, reviews, pictures, video files, audio files, etc.) via member submissions and moderation. This is the same way that YouTube has been able to quickly add millions of videos and Wikipedia has been able to add millions of articles. Importantly, since established music websites (e.g., MTV, RollingStone.com, Billboard.com, etc.) are not community based, they would have to hire thousands of staff members to rival the content that Shoutmouth will have.

How We Get and Publish Our News

Currently, news stories that appear on Shoutmouth are gathered from numerous online sources. Shoutmouth’s staff writers find these stories by using RSS and News feeds that cover thousands of websites. In addition, Shoutmouth community members have the ability to submit stories they find elsewhere.

Typical stories include factual information plus the insight of the author. Shoutmouth editors ensure that all stories are properly classified by artist and genre, and that duplicate articles are filtered out.

Over the past three months, Shoutmouth has developed a solid infrastructure, which we consider a core competitive advantage, that that allows us to provide comprehensive music news . This infrastructure includes:

• Setting up hundreds of RSS feeds based on comprehensive research regarding sites from which to receive feeds
• Training our editorial team regarding identifying a story and weeding out duplicates
• Assigning music artists among our five-person editorial team to better manage work flow and avoid duplicate articles

We are working on a system to ensure that member-submitted articles are automatically routed to the appropriate member of Shoutmouth’s editorial team to improve our efficiencies further.

Shoutmouth’s Goal to Break News First

The majority (approximately 90%) of Shoutmouth’s articles are currently developed by our in-house editorial team, while the balance is submitted by members. In addition, virtually all of our articles are based on information gleaned from other websites. As such, we are generally not the first to publish news; however we are the first and only site to publish all the news in one easily-accessible place. The one current exception is news which is published on bands’ official MySpace pages; Shoutmouth generally publishes articles on this news 24 to 48 hours before it is reported by other news or music sites (due to our efficiencies in finding news).

Shoutmouth realizes that it will gain a key competitive advantage, and will generate significant market buzz, if it is able to report on music news stories before other media sources . To accomplish this, we have begun contacting publicity departments at record labels to gain direct access to music news. We expect these contacts to enable us to gain immediate and sometimes exclusive access to news which will help further establish Shoutmouth as the canonical source for music news. We also plan to more aggressively solicit member submissions of new, buzzworthy news events and will consider offering rewards for unique substantiated news (much the way paparazzi are compensated).

III. Competition in the Online Music Market

This section of the business plan provides a competitive analysis, which is an overview of the competitive landscape, discusses both indirect and direct competitors and then details Shoutmouth’s competitive advantages.

Because consumer demand for music on the Internet is so great, there are a vast number of music websites. In summary, we consider most sectors of the online music market (which are discussed below) to be indirect competitors and potentially partners, rather than direct competitors, because none of them focus on music news.

The reason we believe that no one focuses on music news is that it is very difficult to do. Because news is very important to music fans, most music websites offer news. However, they primarily get their news from organizations such as CNN, Reuters, the Associated Press and BBC. These large organizations only write about the music stories that have mass appeal, which traditionally amounts to 8-10 music news stories per day. However, since music fans are often zealots when it comes to their favorite artists, they are not merely interested in cover stories. For instance, a U2 fan cares about any U2 news, particularly news that a non-U2 fan might consider insignificant.

In fact, because Shoutmouth is the sole one-stop shop for getting comprehensive music news, there might be an opportunity to license our content to other music websites.

Sectors of the Online Music Market

Shoutmouth specifically comPs in the community-based music news market. While players in this market represent direct competitors, Shoutmouth faces indirect competitors in the following markets:

• Community-Based Sites
• Community-Based News Sites
• Community-Based Music Sites
• Traditional Music Websites
• Official Artist and Fan Sites

Each of these markets is described below.

A. Community-Based Sites

Community-based sites, also known as social networking sites, are websites in which members can create profiles, leave comments throughout the site, and communicate with other members among other features.

A June 2006 report by Piper Jaffray entitled “Silk Road: Social Networking is Here to Stay” effectively sums up the power and longevity of social networking:

“We believe social networking sites have become a permanent part of the fabric of web applications and are rapidly becoming one of the most popular activities online, potentially impacting how other popular services such as email, IM, and maybe even search are accessed.

As a clear indication of the growth rate and scale of social networking, consider this: MySpace monthly page views have now surpassed MSN or AOL in the U.S. and are nearly 75% of the size of Yahoo!. Social networking has filled a gap that was left by all the existing portals and web services and it is fulfilling a very important and basic function for millions of users: allowing them to express themselves and connect with their friends, with the two functions tightly integrated.

The leading sites such as MySpace (News Corp), Facebook, and others are amassing significant power in the new landscape of the Internet and the existing Internet companies are likely to have to work with these newcomers as they may yield material control on the flow of traffic to other applications.”

Social networking sites such as MySpace.com, Facebook.com, Tagged.com, and TagWorld.com have educated consumers regarding the value of these sites and how to use them. Their success has spurred genre-specific social networks such as community-based/social networking news sites and music sites, which are discussed below.

Shoutmouth doesn’t view established social networking sites as competitors since these sites have a general focus. That is, members talk about all aspects of life, from dating to music to movies, etc. Conversely, Shoutmouth is solely focused on music.

B. Community-Based News Sites

Community-based news sites are sites in which members decide what’s newsworthy and what’s not. For instance, on Digg.com, the most prominent community-based news site, members “Digg” stories that they feel are most newsworthy. The stories that the community feels are most important rise to Digg’s homepage, while less important stories get little attention.

Digg’s one million members can submit stories, “digg” stories, and comment on stories. Digg focuses on general news with a slant towards technology, gaming and unique/sensational news. While Digg does have a Music area within its Entertainment section, this receives little focus. In fact, at the time of the writing of this plan, Digg’s music home page only includes one article submitted within the past 48 hours. Furthermore, Digg doesn’t pare down the music category into sub-categories such as Rock and individual music artists. Conversely, these sub-categories are the entire focus of Shoutmouth.

Other sites that are similar to Digg include Newsvine.com, Spotback.com and Gabbr.com. Of most relevance is the Digg-like site for music, Noisetap.com, which was launched by Ticketmaster in January 2007.

Like Digg, Noisetap.com allows members to submit and vote for music stories. Noisetap.com is organized by music genre and not by music artist. This most likely will not satisfy the needs of many music fans since they don’t have the ability to find news on the specific artists they care most about. Likewise, without a full-time staff actively researching and publishing news stories at the artist-level, Noisetap.com will never be able to offer the comprehensive news that Shoutmouth does.

While Shoutmouth is currently similar to community-based news sites in that members can submit stories and comment on the news they find most interesting, no established player in the market provides a comprehensive focus on music. In addition, Shoutmouth sees these sites as marketing partners as we have and will continue to submit our stories on them to increase our readership.

C. Community-Based Music Sites

There are many community-based music websites, although none focuses on music news such as Shoutmouth. Conversely, these sites generally give members the ability to create and listen to song play lists. The community acts to help individual members find new music and new friends based on similarities in their music tastes. Prominent sites in this genre include Last.fm, Finetune, Pandora, RadioBlogClub, MyStrands, iLike[1] and iJigg.

Last.fm is the most prominent community-based music site and is a good model with which to compare Shoutmouth. Likewise, we will benchmark our performance against Last.fm as we reach of goal of becoming the premier music news community and focus on becoming the premier music community.

According to Alexa, Last.fm is the 359th most visited site on the Internet. While Last.fm focuses on allowing members to create customized Internet stations based on their music tastes, the site has much additional content and social networking features. For instance, for each artist, Last.fm includes pictures, a bio, concert dates, discography, fans on Last.fm, and similar artists. Fans are also able to create journals and communicate with other fans. Key features that Last.fm doesn’t currently focus on include news and video.

D. Traditional Music Websites

Traditional music websites such as MTV.com, RollingStone.com, Billboard.com, NME.com, AOL Music, and Yahoo! Music tend to have many features such as news, reviews, pictures, videos and audio. While these sites are generally very well done and extremely popular, they are under-serving visitors in two core areas: music news and community .

These sites’ lack of music news stems from the difficulty in creating this news, specifically that it requires filtering through thousands of articles and websites to find relevant stories. Likewise, as discussed, these firms might wish to license our news content in the future.

Regarding community , none of the top music sites are thriving communities. Rather, either these sites offer no community features or they recently began offering select features (e.g., submitting reviews or commenting on articles). Even when available, the community features on these sites are afterthoughts and are not engrained within the core fabric of the sites.

While they haven’t been able to transform their current sites into communities, top music websites clearly understand the power of online music communities and have an appetite for them. For example, in January 2007, MTV invested in social networking website TagWorld. MTV also acquired RateMyProfessors.com and Quizilla.com (teen social network) in January 2007 and October 2006 respectively.

As mentioned previously, our vision is to build and incorporate additional technologies, and use our “army” of members to publish vast amounts of music content on Shoutmouth, in order to fully satisfy music fans and leapfrog traditional music sites in terms of their music content.

E. Official Artist and Fan Sites

Shoutmouth com’s with official music artist websites and fan websites. These sites often include news about the specific artist as well as pictures, videos and other relevant information.

On one hand, official music artist and fan websites are direct competitors to Shoutmouth. This is because some of these sites offer comprehensive news on the specific artist they cover. In addition, many offer forums, discussion boards or other ways to communicate with other fans.

However, two factors separate Shoutmouth from these types of sites: 1) breadth and 2) sophistication.

• Breadth : Most music fans love more than one artist. As such, in order to get the news they want, they would have to visit/join multiple fan or artist websites rather than getting all of their news from Shoutmouth.
• Sophistication : While some official music artist websites are technologically sophisticated, offering forums, networking and other worthwhile features, the majority of artist and fan websites have limited usability, functionality and networking ability. In fact, this deficiency has lead to the success of MusicToday, which provides front and back-end technology to power artist websites.

Specifically, MusicToday offers web design and hosting, develops sophisticated online stores, builds online fan clubs and offers web ticketing among other services to select top music artists such as Dave Matthews Band, Christina Aguilera, Kenny Chesney, Britney Spears and Usher. While offering sophisticated tools for select music artist websites, MusicToday offers little to no music news nor advanced social networking functions. For instance, the official Dave Matthews Band website offers less than one news story per month.

F. Direct Competitors: Community-Based Music News Sites

Shoutmouth’s direct competitors are other music news websites that have social or community features that allow users to join the site, submit articles, comment on articles, create public profiles and/or communicate with other members. Shoutmouth has identified one significant player who offers this service, AbsolutePunk.net.

AbsolutePunk.net has done a good job of building a user base (the site claims 125,000+ registered members and nearly 500,000 un-registered members). In addition, the user base is very active — the average story on their site receives approximately 20 comments. AbsolutePunk.net offers music news, reviews, pictures and interviews among other features.

On the negative side, AbsolutePunk.net’s articles are generally posted by one staff writer (as opposed to Shoutmouth’s five writers), most articles are simply one sentence posts rather than full articles, and no attempt seems to have been made to cover all news stories. In addition, the site only covers the punk music genre. Although “punk” is broadly defined on the site, the site doesn’t cater to genres such as R&B, rap and country among others, failing to satisfy the broader market.

AbsolutePunk.net is owned by Indieclick, a Los Angeles-based media company. According to the AbsolutePunk.net website, the site:

• Has developed a loyal (72% return rate) reader base
• 5,182,147 Posts
• 163,535 Threads
• 126,448 Members
• 1,711 Artist Profiles
• 20,774 Multimedia Files
• Approx 76,000 visits per day.
• Approx 276,000 pageviews per day.

Shoutmouth’s Competitive Advantage

In addition to being the first to fill the untapped market void for comprehensive music news, Shoutmouth’s competitive advantage in the market primarily includes the following:

Online Marketing Sophistication

Content Development Experience and Expertise

Shoutmouth’s team, primarily team members DL and PF, has operated an affiliate marketing business focusing on music for the past four years. Affiliate marketing is defined as a system of revenue sharing between one site (the affiliate) which features an ad or content designed to drive traffic to another site (the merchant). The affiliate receives a fee based on traffic to the merchant which converts to sales.

Our affiliate business has focused on connecting music fans, primarily aged 13 to 30, with music offers such as iPods and ringtones. Over the past two years, we have successful sold affiliated offers to over 500,000 customers. We have become a significant online advertiser, receiving Google’s “over 1 million leads” award, and are recognized as a major player among the top affiliate networks.

It is important to note that affiliate marketing success has been credited with part of MySpace’s success. This is because effective affiliate marketers understand how to drive and convert on Internet traffic.

Shoutmouth will employ its affiliate marketing techniques to drive traffic to Shoutmouth.com and enroll members. We will utilize technologies and proprietary techniques that allow us to monitor multiple metrics such as the cost per visitor, cost per member sign-up, etc., so that we can set and maintain profitable metrics.

Another venture that Shoutmouth team members, primarily PK and DL, launched was the development of over 3,000 niche websites. To create the content for these websites, we employed a virtual work force of over 90 researchers in India and 30 writers and editors in the US.

This experience taught us how to manage a large workforce, train writers to improve content quality and motivate a large group of people. These skill sets will be critical in allowing Shoutmouth to grow the content of the site, as developed by both staff and members, while maintaining quality standards.

IV. Marketing Plan

Shoutmouth’s marketing plan includes the following:

Online Advertising : Shoutmouth will initiate pay-per-click advertising campaigns on Google and Yahoo! in order to inexpensively drive traffic to the site. Specifically, Shoutmouth believes it can drive qualified traffic to the site for 20 cents per visitor and achieve a 20% member conversion rate, thus generating members at a cost of $1.00 per member.

Keys to Shoutmouth’s success in achieving this metric include:

• Conducting thorough keyword research and advertising on appropriate keywords and keyword groups
• Creating advertising text that maximizes click through rates
• Creating landing pages that maximize conversions while maintaining the highest Google AdWords quality score possible
• Closely monitoring conversions to quickly stop and/or modify unprofitable campaigns
• Getting individuals to enter their email address to join the newsletter is much easier than getting them to join a site where they have to create a username, select a password, etc. As such, step one will be to get visitors to sign up for artist-specific newsletters.
• Once on the newsletter distribution list, members will constantly receive messages (embedded in their daily newsletter) regarding the benefits of participating more on Shoutmouth.
• Active Shoutmouth Membership: the constant reminders regarding Shoutmouth’s value proposition in the daily newsletters will influence members to participate more actively on the site (e.g., customize their profile, visit the site more often, etc.).

Invite-A-Friend : Shoutmouth is in the process of creating an aggressive invite-a-friend/member referral program. In doing so, we are following the lead of social movie community, Flixster, which grew to 5 million members within 10 months. It did this by encouraging members, during their initial registration process, to upload and send an invitation to multiple contacts in their email address books. The technology to develop this process is fairly complex and we expect to be completed with and to rollout this program in June 2007.

Direct Email Marketing : Shoutmouth will directly contact bloggers and prominent music fans we find online to tell them about Shoutmouth, encourage them to join, and encourage them to write about Shoutmouth on their blogs and online journals .

Creating/Distributing Buzzworthy/Viral Content : Shoutmouth plans to have several buzzworthy/viral articles (i.e., content that people would want to email to their friends since it is funny, interesting, etc.) on the site each day. With a single click, visitors will be able to send these articles to social bookmarking sites such as Digg.com or Fark.com, where these articles could receive widespread attention. In addition to our traditional news stories, Shoutmouth will also periodically create special reports/features in order to satisfy our members and visitors and to try to get widespread exposure.

An example of the power of such buzzworthy content, Shoutmouth has already succeeded in having two stories accepted by Fark and Digg, which have brought in over 50,000 unique visitors.

Super Fans/Street Team Development : Shoutmouth also plans to recruit “super fans.” Super fans are individuals who are passionate about a certain music artist/band and actively contribute articles and/or comments on Shoutmouth. We will recruit these fans, reward them with status (e.g., adding a gold Shoutmouth headphones image to their profile page) and encourage them to more aggressively promote the site by:

• Submitting more news to Shoutmouth
• Commenting on more articles on Shoutmouth
• Growing the Shoutmouth community around their favorite artist(s) by actively recruiting new members to join the site (such as actively posting Shoutmouth-related comments on their MySpace pages, on other music forums, etc.)

Public Relations : Upon financing, Shoutmouth will hire a public relations firm to help us get mentions in media sources ranging from magazines, newspapers, radio, television and blogs. To date, we have developed and issued press releases via Billboard Publicity Wire which have been syndicated throughout the web. An effective PR firm will enable Shoutmouth to quickly reach a wide audience.

Widgets : Shoutmouth will create artist-specific and genre-specific music news widgets. For example, our U2 widget (see example on right) would include all of the recent U2 articles published on Shoutmouth. The widget can easily be placed on MySpace pages, blogs, etc. Each story title in the widget links to the full article on Shoutmouth.

Shoutmouth has great expectations for our widget. To begin, no such widget currently exists as there is no one place to get comprehensive news for specific music artists. Secondly, each time someone places a Shoutmouth widget on their blog or social networking page, it will effectively market Shoutmouth to a wide audience at zero cost to us.

V. Technology/Site Development Plan

This section provides a brief roadmap of the initial and future functionality of Shoutmouth.

Initial Site Functionality

The initial Shoutmouth website will include the following features:

• Ability to submit and comment on news stories
• Ability to suggest new music artists to add to the site
• Ability to create user profiles
• Ability to receive customized news and email alerts
• Articles categorized by artist and core genre (e.g., Rock, Rap, Pop, etc.)
• Music artist sections which includes News, Bio and Fans

Future Site Functionality

Shoutmouth will use news and basic functionality as the platform though which we will build a thriving music community. After initial launch, the Shoutmouth technology team will work on incorporating additional features such as:

• Ability to message other members via the site (e.g., members will have an Inbox on the site)
• Event calendars: members will receive online calendars. With the click of a button, the member will be able to add tour dates of their favorite artists/bands to their calendar.
• Articles also categorized by sub-genre (e.g., Alternative Rock, West Coast Rap, etc.)
• Music artist sections to also include videos, audio files, photo galleries, reviews and event calendars to which members can upload files and vote on top content.
• Forums and member blogs
• Music compatibility testing (suggestions on song/artists members might like)
• Trivia quizzes
• Music playlists

VI. Financial Plan

Revenue Model

During the first six months, Shoutmouth will not generate any revenues as it will not sell advertising space nor offer products for sale. This decision has been made to spur the growth of the Shoutmouth community. By initially positioning Shoutmouth more as a non-profit, for-the-people-by-the-people venture, members will be more prone to promote the site and invite their friends than if the site looks too commercial.

Starting in September 2007, Shoutmouth will primarily generate revenues from selling advertising space. As technologies (such as the Snocap music widget) evolve that allow us to seamlessly integrate music sampling and purchasing on our site, sales of downloadable music are also expected to be a significant revenue source. To a lesser extent, we may sell other music-related items such as ringtones, concert tickets, and apparel.

Funding To Date

To date, Shoutmouth’s founders have invested $500,000 in Shoutmouth, with which we have accomplished the following:

• Built the site’s core technology
• Hired and trained our core staff (we currently maintain an 11-person full-time team)
• Populated the website with content (over 10,000 articles and 1,200 artist bios)
• Generated brand awareness among music fans, including driving 50,000 unique visitors in March, 100,000 unique visitors in April, and 200,000 unique visitors in May 2007.

Funding Requirements/Use of Funds

Shoutmouth is currently seeking $3 million to provide funding for the next 24 months. At this point, the site will be profitable and can grow organically, or additional capital may be sought to more aggressively expand our member base.

The capital will be used as follows:

• Execution of Marketing plan : in order for Shoutmouth to grow its visitor and member base, we need to invest dollars in online advertising and public relations. With regards to online advertising, we are confident that we can enroll members at a cost of $1 per member, which is a fraction of the value of the members to an acquirer (minimum $25 per member), thus providing a significant return on our marketing investments.
• Execution of Technology plan : in order to build a thriving community, Shoutmouth needs to offer its visitors a “stickier” website and enhanced features. We currently maintain a vast “wish list” of features, such as members uploading and rating pictures and videos, trivia quizzes, and member-to-member messaging, that will significantly improve the site’s functionality and value proposition.
• Staffing : In order to reach our goals, we will have to hire additional technical and operations personnel.

Financial Projections

Below is an overview of Shoutmouth’s Financial Projections for the next three years. Please see the Appendix for the full financial projections and key assumptions.

Exit Strategy / Valuation Metric

Shoutmouth’s most likely exit strategy is to be acquired by a traditional music website or property (e.g., Viacom/MTV, Ticketmaster, Rolling Stone), an entertainment/media conglomerate (e.g., Yahoo!, IAC/InterActiveCorp, NBC), or a large social networking site (e.g., News Corp/MySpace).

This strategy is supported by the significant M&A activity in the social networking market, which includes the following transactions over the past 24 months:

Regarding valuation, below are the estimated valuations of social networking companies on a per member basis upon exit:

• Del.icio.us: $50 – $100 per member
• MySpace: $25 per member
• Xing (business social network): $137 per member at IPO in 10/06
• Flickr: $56 – $130 per member
• Grouper: $130 per member

Based on this data, not only are social networking sites a promising investment, but sites that can acquire members for less than $25 each (a conservative valuation estimate based on the figures above), should earn a solid return on investment. As discussed above, Shoutmouth’s goal is to acquire members for no more than $1 each.

In addition, per the membership projections above, Shoutmouth’s valuation at the end of 2009, at a $25 valuation per member, is expected to be $239 million. A more conservative, using a 24.4 time EBITDA multiple (the average multiple of tech M&A deals in 2006 according to The M&A Advisor), yields a $121 million valuation in 2009.

Shoutmouth’s founding team includes entrepreneurs and managers with a track record of success and a history of successfully working together.

Management Team

DL, Co-Founder and CEO

D has a history of successfully launching and growing businesses of all sizes. As president and co-founder of an entrepreneurial services firm., D has personally assisted in the launch and development of over 100 ventures.

Over the past three years, D founded and has managed The Kisco Group which includes an affiliate marketing division (2006 revenues exceeded $3 million), a search engine optimization business which includes a network of 3,000 websites (2006 revenues exceeded $500,000) and an e-commerce business (which includes TopPayingKeywords.com and ShowerHeadsEtc.com).

D earned his Bachelors degree from the University of South Carolina.

PK, Co-Founder and Vice President of Operations

For the past two years, P has managed The Kisco Group’s search engine optimization business where he hired, trained and managed nearly 100 employees and a dozen outside firms. During this time, P has honed his management skills with regards to content development, marketing and operations.

P has had a passion for music since childhood and has been a semi-professional drummer for the past 15 years.

P earned his Bachelors of Arts degree, magna cum laude, from Clemson University.

PF, Co-Founder and Vice President of Technology

For the past year, P has managed The Kisco Group’s affiliate marketing business. In addition to setting up and managing widespread marketing campaigns, P has developed sophisticated analytic techniques to precisely analyze web traffic in order to optimize profitability.

Since August 2006, P has shifted his efforts and leveraged his technology skills in developing the Shoutmouth website. P has been instrumental in selecting the Content Management Platform upon which Shoutmouth is built, and finding and managing the technology team.

P earned his Bachelor of Arts degree from Swarthmore College.

AB, Marketing Manager

A’s background in music includes being a singer, songwriter, guitarist and producer. He has also worked on the marketing side of music, having marketed Veritas Records through the development and distribution of promotional materials.

A’s career also includes psychological research and administration, having served as a Research Assistant with the Interpersonal Perception And Communication Laboratory in Cambridge, MA.

A earned his Bachelor of Arts degree in Psychology from Ohio State University.

M, Lead Technology Developer

M is an experienced web programmer with expertise in web design, application development and database development among others.

M’s work experience includes serving as a Senior Developer at Spheres. M has also engaged in multiple, long term freelance projects including serving as a Database Developer Consultant with The Penn Group and a Web Developer Consultant with Volution Media Group and Allied Online Consulting Group.

M earned his Bachelors degree in Computer Science with a minor in Cognitive Science from Rutgers University.

Content Development Team

Shoutmouth’s writing team, managed by PK, includes the following members:

• JS, Editorial Manager: former content manager and copywriter for Scholastic Inc. and Promotions.com.
• TZ: former music intern (Virgin Records and WRRV) and author of the blog, The Tom Z Show .
• ML: former assistant editor for Adventure Publishing; author of the blog Certified Gangsta ; and former editor-in-chief of Fordham University’s newspaper The Paper .
• SB: former staff writer for Paste Magazine , The Clarion Ledger , and Nightclub and Bar Magazine among others.
• CSJ: former editorial intern for Rolling Stone and Editorial Assistant for Psychology Today .

Outsourced Technology Team

Shoutmouth works very closely with 2skies, a technology firm based in Australia with staff in Australia and the United States. 2skies is run by JDN, one of the co-founding developers of XE, the platform upon which Shoutmouth is built.

XE is an extensible, Open Source web application framework written in PHP and licensed under the GNU General Public License. XE delivers the requisite infrastructure and tools to create custom web applications that include fully dynamic multi-platform Content Management Solutions (CMS).

VIII. Appendix: Shoutmouth Financial Projections   3-Year Income Statement

3-Year Balance Sheet

As of December 31

3-Year Cash Flow Statement

The Ultimate Marketing Plan Template For 2024 [FREE]

The Ultimate Guide to Creating a Marketing Plan. Get our marketing plan template for FREE + Budget plan + Calculators + best marketing toolkit for 2024.

Rakefet is the CMO at Mayple. She manages all things marketing and leads our community of experts through live events, workshops, and expert interviews. MBA, 1 dog + 2 cats, and has an extensive collection of Chinese teas.

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Natalie is a content writer and manager who is passionate about using her craft to empower others. She thrives on team dynamic, great coffee, and excellent content. One of these days, she might even get to her own content ideas.

Updated May 1, 2024.

It takes time to build a marketing plan and it will change anyway, right? 100%. But creating your digital marketing plan is worth every minute of your time. If you build a business without a marketing plan, it’s like constructing a house without a blueprint. And you need a really good marketing plan template to get you on the right track.

Before we give out all the information and knowledge you need to create your winning marketing plan, let's start by giving you a FREE Digital Marketing Plan Template for 2024 . This is a great example of a great marketing plan that looks snazzy, too 😉.

Click on the image below, and make your own copy or download it to start using this template today.

Now that you have your marketing plan template, let's go over some basics before diving into more advanced aspects of marketing planning.

What is a marketing plan?

A marketing plan is a document that details how you're going to execute your strategy. It's written for a specific period of time and explains both your current situation and your future plans.

What’s the difference between a marketing plan and a business plan?

A marketing plan may be part of an overall business plan. A solid online marketing strategy is the foundation of a well-written marketing plan. While a marketing plan contains a list of actions, without a sound strategic foundation, it is of little use to a business. It has to have a set of concrete tasks and marketing tactics to follow.

Why do you need a marketing plan?

There are a ton of reasons why every brand and marketing team needs a good marketing plan.

Here are the top 3 reasons:

Create better goals

When you have specific goals to achieve you can plan your way to achieve them. Having too general goals like "growing my business" VS. measurable KPIs like "I want to grow my revenue by $600K, and to do that I need 1,000 new customers" is different.

Actual KPIs can help you plan exactly what will get you there. We recommend you set up some SMART goals - which stands for specific, measurable, achievable, relevant, and time-framed.

Improve your focus

Marketing without focus can be very messy and super ineffective. Have you ever tried to run a company meeting without an agenda? Just like meetings, marketing needs focus.

The best tip we can give you is to focus on specific activities and have them done well. A digital marketing plan will help you focus on exactly the tasks that will impact your success.

Of course, things will change and your plan will change as well. But as long as you are using a good marketing plan outline you will have your next month’s tasks written down and your work will become that much more effective.

Stay consistent

The purpose of a marketing plan is to ensure that marketing activities are relevant and timely to achieve the organization's business objectives. It's a plan defining a sustainable competitive position and defining the resources necessary to achieve it.

Now that you know what a marketing plan is and what’s used for let’s talk about the key components that it’s built out of.

How do you make a good marketing plan?

A good marketing plan should have the following parts -

• Executive Summary
• Mission statement
• Market Analysis (SWOT)
• Competitor Analysis
• Target market & buyer personas
• Marketing objectives and KPIs
• Pricing strategy
• Growth strategy
• Marketing channels

And as a bonus we’ve added two more sections:

11. BONUS: How to assemble the right marketing team 12. BONUS: Top tools for marketing plan creation & design

Each of these key elements is vital for the right execution of your marketing strategy and I promise you it’s not as difficult as it looks.

Let’s dive in.

1. Create an executive summary

This might seem a little too formal for some marketers out there but it’s essential and I’ll explain why.

Marketing plans tend to get really long so it’s better to create a quick summary and highlight some of the key points of every aspect of your plan right at the beginning. This becomes the foundation of your marketing plan.

There is no set length for an executive summary but it should cover all of the main elements of your marketing plan. It should also quickly tell your story and highlight what you are trying to achieve. Add your KPIs, marketing channels, market strategy, and budget.

A good executive summary should give a quick taste of the entire plan and entice the reader (investor, upper management, CEO, etc) to read the rest.

Here’s a great 2-minute video from Hubspot that shows how to write an executive summary from start to finish.

The next section of the marketing plan has to do with your “why”.

2. Create a mission statement

A good mission should have 3 critical components -

• An overall mission or vision of the company
• The company’s core values
• The goals and marketing objectives

The key is to keep it precise, short, and powerful. Don’t write a long essay, don’t just throw a bunch of jargon around, and do get some input from the employees at the company.

Employee feedback on this is critical because marketing and sales activities have to align with the mission of the company so all the various teams in the business have to be in agreement on the general mission.

The worst thing you can do is have a mission that has no direct correlation to the actual activities or tasks. Such a mission won’t help you grow your business .

What’s the difference between the company vision and its mission?

The vision is like the why, the overarching goal and foundation of the company. The company’s mission includes the vision and adds to it the actions and activities that the company will do to help advance its vision. Here’s a great video by Simon Sinek that explains this concept.

Now let’s talk about how you are going to go about achieving that mission.

The first step is to understand the market and your particular industry.

3. Market analysis

Have you ever seen the TV show Shark Tank?

The first part of any pitch is a personal story and a quick description of the founders’ “why”. This is where you can find the vision and mission of the company.

Next, they almost always mention the size of the market and they quantify the opportunity that they are presenting to the sharks.

This is exactly what a market analysis is.

A market analysis is a quantitative and qualitative assessment of a market. It looks at the size of the market in terms of the value ($) and volume (quantity of product sold) and often highlights some of the latest trends or environmental conditions that define the opportunity cost.

So how do we do this?

A great way to structure this is by using the SWOT analysis technique.

What is a SWOT analysis?

A common marketing framework that can help you create a good marketing analysis is called the SWOT framework . It stands for strengths, weaknesses, opportunities, and threats .

Strengths - what is your company really good at? what makes you unique? what unique advantages do you have over your competition? What is your value proposition? What are some of the key resources, processes, and capabilities that your company has?

Weaknesses - what are the weakest points of the business? What are some of the areas in which you could improve on? What is your company lacking compared to your competitors?

Opportunities - what are the biggest trends in the market that could give your company an edge or an advantage? These could be demographic patterns, lifestyle choices, population dynamics, or governmental regulatory policies.

Threats - what are some of the external factors in the market that could negatively impact your business? What are some environmental factors that you should be aware of? What are some possible changes that could threaten your business performance and success?

Pro tip: Want to do your own SWOT analysis? Get our Marketing SWOT Analysis Template .

4. Competitive analysis

The next vital step is to understand your competition and what the competitive landscape looks like in your industry or niche.

The main questions your competitive analysis should answer are:

• Who are the competitors?
• What marketing strategies are they employing?
• And how are they going about achieving their goals?

Here’s one of my favorite competitive analysis frameworks from the renowned Myk Pono:

Now that you’ve completed your competitive analysis it’s time to zero in on your ideal customer.

5. Define your target market and buyer personas

The best way to create target personas for any brand is by creating a customer journey map. A customer journey map is a visual representation of all the various touchpoints that your brand has with a prospective customer.

This is a critical part of creating your marketing strategy.

Google introduced the moment of truth concept and this really relates to our discussion of marketing channels but it’s important to mention here as well.

Shoppers can find and interact with your brand through hundreds of channels, both online and brick-and-mortar. The Zero Moment of Truth (ZMOT) concepts represents that stage of the buyer’s journey that leads them to find your product or solution for their problem.

Identifying the specific problem that the customer is looking to solve is critical. This is how you define your persona and this is what ultimately affects the rest of your marketing decisions.

Here's a great buyer persona template from Hubspot to help you create better audience personas.

6. Define your goals and KPIs

The first step when building a marketing plan is to understand and define which business goals are the plan aiming to achieve. Business and marketing should always go hand-in-hand - remember that. Questions you should answer are:

• What are the business goals I need to achieve?
• What KPIs will get me to achieve my goals?
• What does my marketing funnel look like?

Pricing is often part of the market and competitive analysis sections but sometimes brands discuss it separately. It depends on how important price considerations are for your business and how competitive your market is. For example, if a major advantage in your business is that your product is priced significantly lower than your competition then a pricing strategy will play a key role in your marketing plan.

On the other hand, if you are a brand like Apple that is trading on the quality and its other features more than a price comparison, then your focus will be less on price.

There are 5 common pricing strategies:

1. Cost-based pricing

This is when the price is solely based on the costs of the products. The company simply takes the cost it takes to produce the product or service and adds a markup.

2. Value-based pricing

This strategy is based on the perceived value of your product. So a great example here is a company like Apple that prices its products significantly higher than its competitors because of the perceived value they provide.

3. Competitive pricing

This is when a company sets a price based on what the competition is charging. A great example here is gas stations. Each gas station competes with the other stations on the block, trying to outbid the other.

4. Price skimming

This strategy involves setting a high price and then lowering it as the market evolves. A lot of tech products have a high price when they first launch in order to maximize profit and increased their perceived value.

5. Penetration pricing

Penetration pricing is the exact opposite of price skimming. It involves pricing a product really low at first in order to enter a competitive market, and then increasing the price slowly over time.

Fit your pricing strategy to your target customers

It's important to fit your pricing strategy to the specific customer segment that you are trying to reach. If you are markeing to the early adopters then price skimming will work. If you want to be adopted by the early or late majority then you may have to try penetration pricing.

You can always use customer feedback to get more data on this and make a better decision.

As you can see, there are a lot of different pricing strategies out there. Picking the right one for your business will depend on the previous steps in your marketing plan - the customer (or buyer) pain point, the market analysis, and the competitive analysis.

8. Define your marketing budget

Your marketing budget plan depends on your business stage

Much like marketing goals and KPIs, your budget planning depends on your business lifecycle stage (are you a startup or an established brand). Normally, startups invest more in gaining market share and acquiring new customers, whereas established brands would invest more in retention and reputation.

Your niche is also a factor

Each industry has a different marketing structure and consumer behavior, so your niche defines your marketing budget allocation as well. eCommerce in a competitive niche like fashion, for example, will need ways to lower its CAC (customer-acquisition-cost) and upsell.

Spending tipping point

You can't expect that if you invested $20,000 and got 1,000 leads to keep the same proportion at $200. Every channel should have a different amount allocated to it based on the return on investment (ROI) and your profit margins.

So make sure you invest enough into each channel to move the needle. You can benchmark with other businesses in your niche, or use a rule-of-thumb by which at least 20% of your expected revenue should be invested in marketing.

Lead generation and branding

Start planning your budget.

The first step when planning your marketing budget is to understand what are the growth channels that have worked for you so far and are part of your digital marketing strategy for the next year. According to each channel's effectiveness and cost, you can start allocating your monthly and yearly spend.

Questions you should answer for that are:

• What are the most effective growth channels I have so far?
• Are there more growth channels I want to test next year?
• Does seasonality affect my sales?
• Align your budget with your KPIs (!)

Now that you’ve identified what and how to spend your marketing dollars, it’s time to pick the marketing channels that you will be using to grow your business.

9. Define your marketing channels

It's important to decide on the specific marketing mix that is best for your business. Social media platforms and other marketing channels have absolutely exploded in the last decade so you have a ton of channels to choose from.

Now, remember to have an authentic brand presence on every channel and only expand to ones that fit your brand strategy . Here are some of the top ones that you should consider for your marketing plan template:

Content marketing

Content marketing is very powerful for inbound marketing. Studies show that 60% of marketers create at least one piece of content per day and the year-over-year growth in traffic is 7.8X higher for content leaders.

Companies like Capterra and Quuu attribute their success to really good content.

Now, remember, content is a long-term game, short-term wins are very rare. You should create, design, and post content consistently and continue to optimize.

Social Media

Social media is another powerful marketing aspect of any brand’s marketing strategy. It provides an opportunity for you to present your brand in a visual way through images and videos.

Studies show that 90.4% of Millennials, 77.5% of Generation X, and 48.2% of Baby Boomers are active social media users, so don’t ignore these platforms if your brand isn’t “sexy” enough.

The marketing guru Gary Vaynerchuk has always said that brands in the construction or plumbing industries should absolutely post content and interact with their audience on social media. If you bring people value you will generate leads that will eventually convert into sales .

>> Want to get more engagement and traffic from social?

Email marketing

Email marketing has the highest ROI of any marketing channel. Studies show that marketers make $44 for every $1 they spend on email marketing. It’s 40X more effective than using social media to generate sales.

If you are a B2C company then this is an absolute must. You should be sending out weekly or biweekly campaigns, you should set up some automatic welcome and cart abandonment flows, and you should definitely set up some email automation for the customers that convert through a popup.

If you are primarily B2B you might think that email marketing is not as powerful for you but that is absolutely not the case. According to WordStream , 59% of B2B marketers say that this is the most effective way to generate sales.

Another great way to use this channel is for branding. For example, a lot of companies leveraged the global COVID pandemic to engage in new ways with their target customers. They used really creative ways to send really helpful and cheerful emails that helped lift people’s spirits.

Advertising

Last but not least, there’s advertising. This is our specialty here at Mayple . We have over 1,500 talented ads experts that we match with the brands that we work with. Advertising is an important aspect of your marketing strategy that you should absolutely have on your digital marketing plan template.

There are several ways you could utilize advertising as a marketing channel .

First, there is social advertising. You could advertise on platforms like Facebook, Instagram, Snapchat, Pinterest, LinkedIn, and Quora. Then there are Google Ads that come in the form of PPC or you could use a tool like Taboola or Outbrain to leverage Google’s Display Network.

You could also retarget your site visitors using ads on any of these networks. This type of advertising is particularly effective and we recommend it to all the brands that we work with.

Now let’s talk about your marketing or growth strategy.

10. Define your growth strategy

After you’ve set your marketing goals, KPIs, and budget, it's time to plan your marketing activities for this year! Ready? 💪

What to consider when planning your marketing?

After you figured out what are the channels you're going to invest in, the marketing plan should show all the activities you're going to run under each growth channel.

Here are some examples you can use:

Paid media marketing campaigns

To plan and design your paid campaigns correctly you should know what are the most effective channels you are going to start using and to build a marketing funnel that shows you when are you going to advertise to "first-touch" prospects (people that don't know you yet) and what will remarketing prospects will want to see in order to be persuaded to take the next move.

Now, plan the marketing activities for each of your marketing funnel stages (from the awareness stage to the decision stage) and prospects' journeys from the setup stage to the live campaign stage. You can also add special events and design seasonal promotions in your paid campaigns such as sales season and other special occasions.

Content strategy & distribution

Content marketing is all about connecting with your customer base and potential buyers at every level of the funnel. An effective content distribution strategy should take into consideration the types of content you want to publish and the ideal distribution channels for your potential customers at each stage of the marketing funnel.

Another important thing to remember about content is consistency.

Don't plan your content on social channels if you won't have the resources to be consistent with your posting. It's better to focus on fewer things and do them well. Content can include any valuable engagement you have with your audience, whether it's on your Facebook, on a blog post, or in your email marketing .

Some of your content efforts will be ongoing (for example, SEO) and some will be building assets for future use (for example, Video).

Offline / Local

Ok, so we’ve covered all the aspects of an effective marketing plan.

Now let’s talk about the type of expertise you will need to assemble to execute your strategy.

11. BONUS: How do you build the perfect marketing team?

As we all know, marketing management can be lonely (at every size of business by the way), so a crucial factor in your marketing success is building a good team to execute your marketing plan. It can be an in-house team, a team of experts you hire, or as in most cases, a hybrid of in-house employees combined with marketing service providers ( agencies or freelancers).

3 Fundamentals of a good marketing team:

Here are the three top elements of a really effective marketing team.

I'll start by saying a good marketing team depends first and foremost on its leader (Yeah, that's you!). When you choose the right people and know how to manage them right, your success rates are already good. At the end of the day, good marketing starts with a good strategy, continues with a reasonable plan, and depends on great execution.

Expertise blend

Your strategy and plan require specific human capabilities so they will be executed well. If you're planning on running paid media campaigns, you better start your year with an expert on your team that knows the job and that you can count on to deliver on your expectations.

To decide whether to hire an in-house employee or a service provider, you should consider two things:

• What is more important for you - flexibility or control?
• Do you have access to

In my experience, experienced marketing professionals either demand very high salaries or work independently / in small agencies (for example ecommerce SEO agencies ).

Measurement and performance

We're back talking about your Key Performance Indicators (KPIs), and so should you in every marketing decision you make. After you made sure you have all the needed resources in terms of human talent to get your plan running, you'll need to keep tracking, measuring, and motivating them to be focused on achieving your goals and KPIs.

Not an easy task, especially when you need to measure both in-house employees and service providers. It’s important to understand what KPIs are relevant to each of your team members, and how to run these tracking sessions in a way that will bring everyone together to achieving better results for your business.

Questions to ask a

Questions to assess their experience, with respect to your unique business requirements:

• What industry-relevant experience do you possess?
• What kinds of campaigns have you previously managed?
• Can you show me some examples?

Questions that assess their ability to build the campaign strategy you need:

• How do you plan a campaign?
• How do you decide on each campaign’s distribution?
• Do you A/B test different campaign messages?

Questions about reporting and KPIs - clear expectations!

• Which KPIs do you think are relevant to us?
• Which KPIs do you expect to reach?
• Which reporting format do you use?
• What would be the frequency of the reports you generate?

Excellent. You now know how to assemble your marketing team.

And you might be asking yourself, how do I write this marketing plan? It’s going to take me ages! There is so much research that goes into it, do I have to do it all manually?

The answer is no way! There are a ton of marketing tools & software that can help you create your actionable marketing plan way faster.

Here are a few.

12. BONUS: What are the best tools to use to create a marketing plan?

Here are some of the top marketing tools to use to create your marketing plan.

Tools for research

There are numerous tools to use to obtain all the market research and business analytics for your marketing plan.

Alexa is a great tool to get insights into your market and your competitors. It has some really great advanced features that can show you your site demographics, where your traffic comes from, and the traffic sources of your competitors.

Similarweb is another great tool for research. It’s like Alexa in that it has some very similar features but has more reporting capability, and has other metrics like geography, referring sites, and SEO metrics.

Ahrefs is one of the top SEO tools out there. It can give you some of the most sophisticated information about the types of backlinks you or your competitors have, search engine rankings, and much more.

Tools for collaboration

Basecamp is a great tool for team collaboration. You can use it to message your team, store and organize project files efficiently, and work better with your team. There are so many data points to gather for your marketing plan and you will need to collaborate with multiple teams in your company.

Slack is another great tool for team collaboration. Though it’s more focused on communication it does provide a great way to store information and collaborate with co-workers (and it has a slick design and an easy-to-use interface).

Speaking of design, let’s talk about visual design tools and software for your marketing plan.

Tools for charts and presentations

This is a great design tool for making charts. They have a really easy-to-use drag and drop design interface that allows you to create fancy charts and diagrams for your marketing plan in minutes.

Canva is a great design tool for all kinds of design projects. It has a wide range of features that you could use to design amazing graphics and download them for your marketing plan.

13. BONUS: Top marketing plan examples

There are so many areas of digital marketing and if you want to be really efficient you should make a plan for each one. The best way to learn is from the experts so let’s look at some of the best sample marketing plans. You can download any of these or save a copy for yourself.

Content Marketing Strategy Template - by Buffer

This is a really great plan for your content. It breaks down every process from discovering your ideal customers, to creating their buyer persona, finding the main challenges that your content could solve, and so on. This is a really in-depth guide designed for any content marketing out there.

Simple Marketing Plan - from Cengage

Here’s another really great marketing plan example. This one looks really old school, so if you are a visual learner this one is probably not for you. But if you want to see a really well-written explanation of every section of a traditional marketing plan, you will get a lot of this example. Download it and fill it out, you will get a lot of value out of it.

One Page Marketing Plan Template - from SmartSheet

Ok, if that wasn’t simple enough for you, here’s a quick one-page cheat sheet that you can use to quickly summarize your entire marketing plan. This one is really useful for a quick brainstorming session, especially when working with a remote team.

Marketing Strategy Template for Increasing Blog Traffic - from Sumo

Sumo has some incredible marketing plan templates. I used one of their templates to grow an Instagram account from 0-30k subscribers in 18 months. And here they strike again with a super-specific template & strategy on how to take your blog traffic to 10,000 visits in just 12 weeks.

Marketing plan infographic for specific projects - from Visme

Speaking of content, let’s talk about video.

Creating a video strategy for a brand can be a pretty complex task. You have a bunch of teams, a variety of factors to consider, and it can become a big mess pretty quickly. So, if you want to create a strategic marketing plan template for a specific project like that, then use this infographic template from Visme to display everything and make it all really easy for the whole team to follow.

This format is especially powerful when you’ve hired a digital marketing consultant because that’s when things can get a little unclear. So organizing every project into a quick infographic can provide a really great way to keep everyone organized.

Email List Marketing Strategy Template

An email list is one of the most powerful tools any business has. It’s really hard to grow your list and keep subscribers engaged. Here’s a great marketing plan example for growing a list to over 1,500 new subscribers in 12 weeks.

Email Marketing Plan Template - from Hubspot

Here’s a great email marketing planning template from Hubspot that helps you create better emails. Hubspot is an incredible software product for any brand and they make incredible templates and guides on virtually every aspect of digital marketing. This template in particular has 3 parts - email planning, analytics, and A/B testing.

Ecommerce Marketing Plan Template - from Sumo

We’ve been focusing more and more on eCommerce businesses recently, and you can learn all about it in our eCommerce marketing guide . Here’s an example of a marketing plan that takes you through all the steps of growing your eCommerce revenue in 12 weeks.

eCommerce Marketing Plan Example - from Drip

Here’s another great marketing plan example from Drip. This one is a broad overview of each section and has some additional tracking info to fill out, that the other plans didn’t cover. It’s a quick and easy one.

14. How to Create a Social Media Marketing Template

This is something that we get asked often. Sometimes a marketing manager or brand owner doesn’t want to design a whole new marketing plan from scratch, but only wants to focus on their social media.

How do you go about creating a social media marketing plan ?

Here’s a high-level overview of how to go about it.

1. Choose your SMART Goals.

We’ve spoken about this at the beginning of this article, and it’s super crucial that any kind of plan starts with some goals that make sense.

SMART stands for -

Here’s an example of a vague goal:

-We will increase our blog traffic to 100k monthly uniques.

Here’s how you turn that into a SMART goal:

- We will increase our blog traffic by 10% each month for the next 12 months by increasing all of our posts to 3,000 words and optimizing on-page content.

Did you notice how I set a deadline on that SMART goal?

T stands for time-bound and deadlines are absolutely crucial.

2. Define your target audience

It’s time to narrow down who your ideal customer is.

First, start by looking at your data on Google Analytics or any other tool you’re using. Find out as much information on your audience as you can.

This could include:

• Average income
• Shopping habits

3. Look at your competitors

4. analyze your social data.

Now that you know what your competitors are doing, compare that to where you are holding with your current marketing efforts.

Look at the following things on each channel:

• How many followers do you have
• How much engagement (likes & comments) you get
• Which types of posts are most successful
• Days of the week and times your account gets the most engagement
• Best times to post

5. Decide on accounts & channels

Next, choose the right social media platforms for your business. Decide which ones you want to use and for what purposes. It could be that one channel you could use for impressions, and on the other one, you really care about the engagement.

Here’s what we do at Mayple:

• Facebook - Organic impressions + ads to get new brands and marketing experts signed up -> lead generation and sales
• Instagram - Organic impressions + engagement aimed at marketers
• LinkedIn - Organic engagement + traffic for brand growth

You might find that Pinterest is a perfect platform to get traffic, while Instagram is primarily for sales. It totally depends on the industry, design, content format, and type of business you have.

6. Get some inspiration

Now that you’ve decided on the channels you’re going after, look at some of the best social media posts for your niche and make an inspiration wall for yourself.

Look for posts or videos that catch your eye, designs, color schemes & messaging that would work well for your content.

7. Decide on post types and formats

Next, decide on the exact types and formats of your posts.

Here are a few post formats you could pick from:

• Carousel posts
• Instagram Stories
• Short-form content
• Long-form content

I recommend deciding on 4-5 formats and testing them out for a few weeks.

8. Create a social media calendar

Now it’s time to put it all together into one calendar.

Use a scheduling app like eClincher , Sendible , CoSchedule , or Later .

They all have different features, so find something that fits your needs and budget.

Once you upload all of your posts into one calendar you can see it all visually, and see your post frequency for each platform.

9. Test for 30-60 days and re-evaluate

Are you excited? It’s time to launch this thing!

Launch your posts for the next 1-2 months and see how they do. After 2 months, re-evaluate your progress, and double down on the posts that did really well.

Take out the posts that didn’t do so well.

Continue optimizing as you go along.

Top Social Media Plan Templates

Here are a few of our favorite social media plan templates. You can use these to plan your calendar, to better optimize your strategy, and to rock out like the top brands out there.

Social Media Audit Template by Hootsuite

This template is a really great general for all of your needs. They have a separate tab for Instagram, Facebook, Twitter, LinkedIn, Snapchat, and Pinterest. Each tab is divided into a grid for all your accounts, performance, audience, goals, and even a SWOT analysis. These guys cover it all!

Get it ->

We’ve covered pretty much everything you need to know about how to plan, create, and design your digital marketing plan. Your plan should be the basis for all of the marketing initiatives of your marketing department. It should serve as the guideline for creative marketing material, setting up your campaigns, and your plan of action.

We’ve already created a really effective marketing plan template, which you can get - here .

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How Much Does it Cost to Start a Business?

8 min. read

Updated April 25, 2024

What will it cost to start your business? This is a key question for anyone thinking about starting out on their own. You’ll want to spend some time figuring this out so you know how much money you need to raise and whether you can afford to get your business off the ground.

Most importantly, you’ll want to figure out how much cash you’re going to need in the bank to keep your business afloat as you grow your sales during the early days of your business. 

Typical startup costs can vary depending on whether you’re operating a  brick-and-mortar store, online store, or service operation . However, a common theme is that launching a successful business requires preparation.

And while you may not know exactly what those expenses will be, you can and should begin researching and estimating what it will cost to start your business.

• How to determine your startup costs

Like when developing your  business plan , or  forecasting  your initial sales, it’s a mixture of  market research ,  testing , and informed guessing. Looking at your competitors is a good starting point. Once you feel your initial estimates are in the ballpark, you can start to get more specific by making these three simple lists.

1. Startup expenses

These are expenses that happen before you launch and start bringing in any revenue. Here are some examples:

• Permits and Licenses: Every business needs a license to operate, just like a driver needs one to drive. Costs vary depending on industry and location.
• Legal Fees: Getting your business structure set up (sole proprietorship, LLC, etc.) might involve consulting a lawyer and at least will involve the basic business formation fees.
• Insurance: Accidents happen, and insurance protects your business from unforeseen bumps.
• Marketing and Branding: The ways to spread the word about your product or service. They could involve creating a website, creating business cards, or promoting social media.
• Office Supplies : Pens, paperclips, that all-important stapler – the essentials to keep your business humming.
• Rent/Lease: If you need to rent space for your business before you start selling, include those expenses in your list as well.

2. Startup assets

Next, calculate the total you need to spend on assets to get your business off the ground. Assets are larger purchases that have long-term value. They’re typically significant items that you could resell later if you needed or wanted to.

Here are a few examples:

• Equipment:  Think ovens for a bakery, cameras for a photography business, or computers for a tech startup.
• Inventory:  If you’re selling products, you’ll need to stock up before opening your doors (or your online store).
• Furniture and Decorations:  Desks, chairs, that comfy couch in the waiting room – creating a functional and inviting workspace might involve some upfront investment.
• Vehicles: If your business requires a vehicle to deliver your product or service, be sure to account for that purchase here.

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Why separate assets and expenses?

There’s a reason that you should separate costs into assets and expenses. Expenses are deductible against income, so they reduce taxable income. Assets, on the other hand, are not deductible against income.

By initially separating the two, you potentially save yourself money on taxes. Additionally, by accurately accounting for expenses, you can avoid overstating your assets on the balance sheet. While typically having more assets is a better look, having assets that are useless or unfounded only bloats your books and potentially makes them inaccurate. 

Listing these out separately is good practice when  starting a business  and leads into the final piece to consider when determining startup costs. 

3. Operating Expenses

Finally, figure out what it’s going to cost to keep your doors open until sales can cover expenses. Create a list that estimates monthly expenses, such as:

• Payroll (including your own salary)
• Marketing and advertising
• Loan payments
• Insurance premiums
• Office supplies
• Professional services
• Travel costs
• Shipping and distribution

Then, based on your revenue forecasts , calculate how many months it will take before your sales can cover all those monthly expenses. Multiply that number of months by your monthly operating expenses to determine how much you’re going to need to cover operating expenses as your business starts.

This number is often called “ cash runway ” and is a critical number – you need enough cash to fund those early red ink months. This number is how much cash you need to have in your checking account when you open your doors for business.

Calculating how much startup cash you need

To figure out how much money you need to start your business, add the asset purchases, startup expenses, and operating expenses over your cash runway period. This is your total startup costs, and it’s better to overestimate than underestimate these costs.

It often makes sense to invest the time to build a slightly more detailed starting costs calculation. Assuming you start making some sales and those sales grow over time, your revenue will be able to help pay for some of your operating expenses. Ideally, your sales contribute more and more over time until you become profitable.

To do a more detailed calculation, you’ll want to invest the time in a detailed financial forecast where you can experiment with different scenarios. If you do this, you’ll be able to see how much it will cost to start your business with different revenue growth rates. You’ll also be able to experiment with different funding scenarios and what your business would look like with different types of loans.

• Funding Starting Costs

You can cover starting costs on your own, or through a combination of loans and investments.

Many entrepreneurs decide they want to raise more cash than they need so they’ll have money left over for contingencies. While that makes good sense when you can do it, it is difficult to explain that to investors. Outside investors don’t want to give you more money than you need, because it’s their money.

You may see experts who recommend having anywhere from six months to a year’s worth of expenses covered, with your starting cash. That’s nice in concept and would be great for peace of mind, but it’s rarely practical. And it interferes with your estimates and dilutes their value.

Of course, startup financing isn’t technically part of the starting costs estimate. But in the real world, to get started, you need to estimate the starting costs and determine what startup financing will be necessary to cover them. The type of financing you pursue may alter your startup or ongoing costs in a given period, so it’s important to consider this upfront.

Here are common financing options to consider:

• Investment : What you or someone else puts into the company. It ends up as paid-in capital in the  balance sheet . This is the classic concept of business investment, taking ownership in a company, risking money in the hope of gaining money later.
• Accounts payable : Debts that are outstanding or need to be paid after a certain time according to your balance sheet. Generally, this means credit-card debt. This number becomes the starting balance of your balance sheet.
• Current borrowing : Standard debt, borrowing from banks,  Small Business Administration , or other current borrowing.
• Other current liabilities : Additional liabilities that don’t have interest charges. This is where you put loans from founders, family members, or friends. We aren’t recommending interest-free loans for financing, by the way, but when they happen, this is where they go.
• Long-term liabilities : Long-term debt or long-term loans.
• Other considerations for estimating startup costs

Pre-launch versus normal operations

With our definition of starting costs, the launch date is the defining point. Rent and payroll expenses before launch are considered startup expenses. The same expenses after launch are considered operating or ongoing expenses.

Many companies also incur some payroll expenses before launch because they need to hire people to train before launch, develop their website, stock shelves, and so forth.

Further Reading: How to calculate the hourly cost of an employee

The same defining point affects assets as well. For example, amounts in inventory purchased before launch and available at launch are included in starting assets. Inventory purchased after launch will affect  cash flow , and the balance sheet; but isn’t considered part of the starting costs.

So, be sure to accurately define the cutoff for startup costs and operating expenses. Again, by outlining everything within specific categories, this transition should be simple and easy to keep track of.

Your launch month will likely be the start of your business’s fiscal year

The establishment of a standard fiscal year plays a role in your analysis. U.S. tax code allows most businesses to manage taxes based on a fiscal year, which can be any series of 12 months, not necessarily January through December.

It can be convenient to establish the fiscal year as starting the same month that the business launches. In this case, the startup costs and startup funding match the fiscal year—and they happen in the time before the launch and beginning of the first operational fiscal year. The pre-launch transactions are reported as a separate tax year, even if they occur in just a few months, or even one month. So the last month of the pre-launch period is also the last month of the fiscal year.

• Aim for long-term success by estimating startup costs

Make sure you’ve considered every aspect of your business and included related costs. You’ll have a better chance at securing loans, attracting investors, estimating profits, and understanding the cash runway of your business.

The more accurately you layout startup costs and make adjustments as you incur them, the more accurate vision you’ll have for the immediate future of your business. 

Tim Berry is the founder and chairman of Palo Alto Software , a co-founder of Borland International, and a recognized expert in business planning. He has an MBA from Stanford and degrees with honors from the University of Oregon and the University of Notre Dame. Today, Tim dedicates most of his time to blogging, teaching and evangelizing for business planning.

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