Business plan for a bakery

Bakers of quirky, fun cupcakes with unusual flavours, our favourite being Raspberry Fudge!

Pretty Little Cakes Bakery is a start-up bakery that is located in Somerset West, Cape Town. Pretty Little Cakes expects to catch the interest of a regular loyal customer base with its quirky and fun corporate image, and unusual flavour cupcakes. The company aims to dominate the market in Somerset West due to the owner s industry experience and the lack of competition in town.

Pretty Little Cakes Bakery will offer a broad range of Cup Cakes with unusual flavours such as Rainbow Cupcake, Gingerbread flavour, Banana Rum, Rose Petal, Raspberry Fudge and trusted favourites like Red Velvet, Vanilla and Strawberry. The bakery will provide freshly baked cupcakes at all times during business hours and will also bake to order for orders larger than 12 cupcakes.

The cake industry has experienced significant growth in recent years in South Africa and especially in Cape Town. Pretty Little Cakes wants to establish a large customer base of regulars and will therefore have taste days on every first Friday of the month, where loyal customers can taste as many new flavour cupcakes as they like, for a set price. This will hopefully attract a steady stream of wedding planners and/or brides to be. This will ensure stability by creating a healthy and consistent revenue base.

Laura Fields has extensive experience in baking and has been supplying a large customer base from her home for the last 4 years. She will be assisted in Managing the bakery as a retail entity by her sister and partner, Samantha Taylor. Samantha has been the national buyer for the Wholesale Baking Company since 2004, and recently joined her sister at Pretty Little Cakes after investing in it.

Pretty Little Cakes have raised R150 000 between the two owners investments and have applied for a bank loan of another R50 000, bringing the Bakery s total capital to R200 000.

PLC expects sales of about R800 000 in the first year, based on previous sales from Laura s home business of selling cupcakes. Thereafter the owners anticipate an increase in sales of about 15% per year, as their bakery increases in popularity (this growth figure is based on market research conducted by JBC media group).

The main objective is:

Bakery business planTo become a local focal point of interest

Bakery business planTo break even by the end of the year.

Pretty Little Cakes aspires to offer high quality baked goods at a competitive price, that will create a loyal customer base.

The bakery hopes to become a cornerstone in the community by creating a neighbourhood atmosphere where patrons feel relaxed and become instant regulars.


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