Attached.

Running head: BUSINESS PLAN

1

Business Plan
Name
Institution

BUSINESS PLAN

2
Contents

Executive Summary ........................................................................................................................ 3
Business Description and Vision .................................................................................................... 4
Mission and Vision ......................................................................................................................... 4
Business Profile .............................................................................................................................. 5
Business Objectives ........................................................................................................................ 5
Definition of the Market ................................................................................................................. 6
Description of Products and Services ............................................................................................. 7
Organization and Management ....................................................................................................... 8
Marketing Strategy.......................................................................................................................... 9
Financial Management .................................................................................................................. 12
Sources of Startup Funds .............................................................................................................. 12
Projected Balance Sheet ................................................................................................................ 12
Projected Income Statement ......................................................................................................... 13
Projected Cash Flow ..................................................................................................................... 14
Conclusion .................................................................................................................................... 19

BUSINESS PLAN

3
Executive Summary

Karen Bakers is a company that focuses on the production of the high quality cakes with
the main cakes being Banana Cakes Blueberry Cakes and Strawberry Cakes. The company
targets both the wholesale and the retail customers, as they are a ready market for the cakes that
are pre-made and those that are ready to order. The decoration of the cakes is one of the
attractive features of our products, and this shows that the level of profitability expected is high.
The opportunity to make the business work is dependent on the location of the firm that is
strategic to ensure that there is an increase in the target population. It creates room for Karen
Bakers to improve their profitability through the provision of an experience that is unique to the
clients and the use of ingredients that ensure that there is improved customer satisfaction. The
investigation into the potential of the market shows that there is the increase in the ability of the
company to increase their production, as the demand for the cakes in the market is high (Storey
& Farris, 1964). The availability of cakes and restaurants in the area shows that there is a strong
growth in demand as they buy the cakes in wholesale to help in the improvement of the
performance of the company.
The strategies that the firm is to use in competing in the market are important as they help
the company in the determination of the areas that they should compete. The proposition is
baking cakes that are quality and tasty, and that meet the desires of the customers. The use of the
differentiation strategy is necessary as there is the enhancement of competition in the market. It
means that the company specializes in the specific cakes according to the demand in the market.
It means that there is an opportunity to position the business high as compared to the others and
this assists in gaining a competitive edge in the market. The funding of the business will be from
the owner and the contributions from friends and family. The company will utilize a bank loan,

BUSINESS PLAN

4

but the amount is dependent on the approval from the lending institution. The period of
repayment of the facility will be three years as this will give the business time to recover and pay
off the loan. The company, in the long run, seeks to expand to other markets, and this will assist
in making sure that there is an increase in the profitability of the enterprise.
The mission and the vision of the organization are critical in giving the organization
direction towards the delivery of their services. In Karen Bakers, the vision is to be the best
bakers in town, and the mission is the provision of high quality cakes that help in the
improvement of the customers’ experience. The company is centered on ensuring that there is the
commitment of the employees towards giving the products that are of quality and the growth of
the employees in their career. It is important that there is persistence on the communication
efforts of the organization as it is through this that there is continued improvement of the services
that the company offers and the enhancement of teamwork in helping the organization to operat...