How to Develop a Swot Analysis and Strategic Plan for a Vending Company?
SNACK FOOD COMPANY GUIDELINES
• You must build your business plan using the information included within these guidelines.You can add to this information as needed.
• You will create a business plan for a company operating in the snack food industry.
• The instructor will approve your company in a reply to your Week 1 discussion post in which you will describe this business.You will revise your
work based on feedback provided.
• You will be the CEO of the new business.
• You will develop the business plan with the intention to raise funds and increase sales.
Key Business Plan Parameters
Key
Parameter Explanation
Business Size You are a startup not yet in operation. You have the recipe for the snack, and you have been operating from your home, but sales
are small. You were selling the product for $3 per item at a cost of $1. You will develop the business plan with the intention to raise
funds and increase sales. Your sales must be over $1 million by the end of the second year.
Product You must focus on a snack. You decide what the snack will be and whether it will be sold in individual sizes or wholesale. The
Snack Food industry produces snack foods, such as potato and corn chips, pretzels, roasted and salted nuts, nut butters, popcorn
and other similar snacks.
Market Size You will start marketing and selling the product in your geographical area within a 100-mile radius from your home.
Existing Funds You received $50,000 from your grandmother as a gift, and you borrowed $30,000 from your family and friends.
Intention to Raise
Money
To grow the business further, you will need funds from outside investors, either angels, venture capitalists, a group of individual
investors on Kickstarter.
Facility You will rent.
Employees You will have employees, and you will develop your own organizational hierarchy.
Annual CEO
Salary As CEO your salary will be $60,000 the first year, $120,000 the second year, and finally adjusted to $160,000 for all remaining years
in the position.
Specific Business Details
This table identifies specific details you must use for your snack company business plan. Reflect any costs in your business plan narrative and in the
Business Plan Financials Excel Template. The final column specifies the specific worksheet within the Business Plan Financials Excel Template
where you need to input data.
Item Worksheet Within the Business Plan
Financials Excel Template
EQUIPMENT PURCHASES AT THE START OF THE BUSINESS
AND AS THE BUSINESS GROWS • 2 machines to produce and package the product @ $10,000 each; about
50 bags per minute each
• 2 vans for distribution @ $15,000 each
• 3 computers @ $1,400 each
• Software for inventory, payments, and customer accounts management
• Printer
Capital Expenditures Worksheet
PERSONNEL
Current Personnel
• CEO (you)
• 1 part-time production worker @ $15.00/hour (20 hours/week)
• 1 IT support person @ $25.00/hour (20 hours/week)
• 1 paid consultant (your neighbor); retired executive in the snack food
industry
Considerations:
Your goal is to reach sales of over $1 million by the end of the second year. You
will need to hire additional personnel to meet this goal. Potential additional hires
include:
• 2 production line foremen
• Production employees (more than one shift)
o Business size of business will determine number
• Maintenance staff
o Business size will determine number
• Additional employees according to your preferences
Staff Budget Worksheet
Item Worksheet Within he Business Plan
Financials Excel Template
BUSINESS EXPENSES
Marketing Expenses
Professional Services
• Consultant (your neighbor); 1st year only
• Attorney
• Accountant
• Industry specialist
Inventory Purchases (as needed)
Additional Expenses
• Telephone/fax
• Business insurance
• Office supplies
• Mailings and postage
• Building maintenance
• Utilities, including
o Water/sewer
o Gas
o Electricity
o Trash removal
Marketing Budget Worksheet
Professional Services Worksheet
Inventory Worksheet
Income Statement Worksheet
FINANCIAL INFORMATION
Available Funds
• Balance in the bank
• Gift from grandmother
• Loan from relatives and friends
o This is to be paid by the end of the second year of operation with
5% interest.
Future Funds
You will need to raise funds from investors. You will determine this based on how
much you plan to grow the business.
Reminder:
• You will need to pay taxes.
• You will determine sales projections.
Capital Investments Worksheet
Cash Flow Statement Worksheet
Sales Projections Worksheet
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