The business of selling food products is the most profitable and promising among others, since there is always a demand for products.
Ideally, a businessman should have experience in the field of activity that he is engaged in or intends to engage in, some experience in sales, as well as good negotiation skills.
This is especially important for opening a grocery store business, because there you will have to communicate a lot with customers.
Grocery store business plan: what needs to be done before starting a business?
Before you start such a business , you need to correctly draw up a business plan for a grocery store. First of all, you need to understand the following questions:
- you want a small outlet or a large supermarket;
- what form of trade will be presented (with counters or a self-service store);
- where the outlet will be located;
- what costs will you have to incur for organizing your business;
- what is the approximate amount of income you plan to receive;
- what categories of goods will be included in the assortment (you should include the most in-demand goods, in your opinion);
- how the working staff of the outlet will be organized (it is necessary to determine the number of sellers and provide them with the necessary number of cash registers and special uniforms);
- What are the opening hours of your store?
Grocery store business plan: the main benefits of this type of activity
Selling food comes with many benefits.
1) First of all, it is the presence of a well-predictable market (you can read about how to research the market for your grocery store in the next article ). Significant fluctuations in demand will vary only during the off-season.
2) Ease of assortment formation is another plus of the business, which consists in simply filling the store with the goods that your competitors sell.
3) Due to the fact that the profession of a salesperson does not require deep knowledge, another advantage is that you can hire cheaper staff in the first couple.
4) A well-established wholesale supply system will make it easier for you to purchase goods, since you do not need to travel for food yourself — sales representatives will do everything for you.
Grocery Store Business Plan: Starting Investment
If you do decide to start your own business, you need to account for all the initial costs in the business plan for your own grocery store.
Let’s figure out how much you need to invest on average to develop a trading business:
- IP registration — $ 10,000;
- Repair of the premises (if required) — $ 100,000;
- Equipment (trade and cash) — $ 600,000;
- Purchase of goods (initial filling of shelves) — $ 1,000,000;
- Advertising — $20,000
Total — 1,730,000 rubles.
You will also have to spend money monthly on:
- Rent — $50,000;
- Purchase of goods — 100,000 — 200,000 dollars;
- Salary — $90,000
Total — 250,000 — 350,000 dollars.
If you are a beginner and are afraid that you will not be able to cope with these difficult issues on your own, you can purchase a franchise.
Grocery store business plan: the main risks of the project
Although the grocery business is very profitable and profitable, there are still possible risks:
- perishable products (every product with an expired date is a loss for your business);
- theft by staff;
- low level of demand.
Let’s summarize by listing the main steps to implement a business plan for the sale of food products
- IP registration;
- selection of wholesale bases;
- selection of suitable premises for trade in products;
- sale of goods.
Ultimately, if you manage to organize everything correctly, you will soon be able to open a whole network of your own stores.