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Retail Business Plan
A retail business plan is a document that gives you and your potential investors a roadmap on how your new retail business intends to get started and deliver its business goals over its initial few years (usually 5 years).
It is usually broken down into sections about the company, the industry it operates in, the competition it will face and a plan that covers marketing, financials and operations over the first few years in business.
Also check out this one-page Business Model Canvas for a retail business .
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Retail Business Plan Template
You can download this free retail business plan template from the link below. You will be able to edit the word file and export it into PDF format afterwards.
In the coming sections, we will explain the different components that go into the retail business plan, which you can then apply to your own plan when completing the template.
Check out more free downloads .
Executive Summary
We recommend writing the executive summary at the end of the process, after you have filled out all the other sections in the retail business plan template.
In the executive summary you will cover the following points briefly:
- Types of products sold at the store
- Customers served by the store
- Company mission & vision
- Market share to be captured
You will also mention the total amount you will need to start this business, backed by the financial plan you prepared as part of this business plan.
The total amount that you want to borrow or have invested in your business will be the sum of pre-opening costs (initial inventory, equipment, rent,..) and the maximum negative cash flow as per your cash flow plan.
If you are writing this retail business plan for a financial institution to get a loan, mention how you expect to repay the loan, and you should have already included the loan installments in your financial plan.
If you are writing this plan for investors, mention how much equity they will receive in return for this investment and the expected return on investment, and expected cash distributions (dividends) based on your financial plan.
For example
An investment of 100,000$ in the business will result in the investor receiving 20% equity. We plan to distribute 50% of the profits every year, and based on our financial projections this will be a xx,xxx$ in the first year, xx,xxx$ in the second year, and xx,xxx$ in the third year,..etc.
Company Overview
Here you will write about your business and give a brief overview about the type of store you will be starting.
You can cover the following points:
- Store category (e.g. beauty store, toy store)
- Store location and brief description of the area
- Product categories carried
- Company legal structure
Industry Overview
Write an overview about the industry (retail/ecommerce) as a whole and the most recent trends specific to this industry.
Cover areas such as:
- Total retail sales
- Contribution of your retail category to the total sales (size of the market)
- Online vs. Brick & Mortar trends
- Recent industry trends and shifts in terms of products you are selling
You can find the most recent insights about retail in our Retail Statistics page.
Read Also: What is Retail ?
Target Market
Write about your target customers that you know will be interested in your products. Mention demographic and psychographic details in this section. This will help afterwards in drafting your marketing plan.
You can cover the following details:
- Age bracket
- Income level
- Educational level
- The specific needs that your products will fill for them
FOUNDATIONS OF MARKETING
- Learn the fundamentals of marketing
- See how they apply to buying, merchandising & pricing
- Real-life case studies and examples
Competition
List the current competition in the market that are serving your target customers. Mention your top 3 competitors in your area.
You can also include indirect competition, such as online stores or marketplace sellers, if you think this might affect your business.
Cover information about:
- No. of stores
- Size of stores
- Product categories they sell
- Pricing level
- Sales per day estimates
- Strengths & Weaknesses
You can also create a summary table like the one below
Competitive Advantage
What will make customers leave the competition and come to you? Use the weaknesses areas that you mentioned about the competition in the previous section, and mention how you will improve on them.
This could be by:
- Superior quality
- Better prices
- Convenience
- More variety
- Better shopping experience
Marketing Plan
Describe your marketing strategy for your store and which channels you are going to use.
Cover the following areas:
- Brand Positioning
- Branding Strategy (Persona, tone, language,..)
- Product Strategy (Key products and product features that will attract your customers)
- Pricing Strategy
- Promotional Strategy
- Marketing Channels
Operations Plan
Write how you will operate your store and include details about your manpower plan.
This will include the management that you will hire for the store, visual merchandisers, sales staff and cashiers.
Cover the following:
- Management structure (store manager, supervisor,..)
- Staff plan (3 sales associates, 2 cashiers, etc.)
- Brief role descriptions
- Compensation structure
Read Also: Retail Scheduling
RETAIL OPERATIONS MANAGEMENT
- Managing Store Operations
- Areas of Responsibility
- Assessing & Managing Performance
Financial plan
List estimates for the capital you will need to start and financial projections for the following years.
Capital Needed
Start with how much capital you will need to start the business
This will include:
- Initial rent
- Initial product order (Inventory)
- Initial staff salary
- Store fixtures
- Store equipment
Read Also: How Much Capital You Will Need For a New Retail Store?
Financial Projections
Include a 5-year financial projection for the business based on your forecasted sales and costs.
- Monthly income statement (P&L) for the first year
- Yearly income statement for the following 4 years
- Monthly cash flow projection for the first year
Learn how to create a sales budget for a new store, and 3 years financial projections in our Retail Budgeting Course
RETAIL BUDGETING & PLANNING
- The step by step retail budgeting process
- Set monthly targets adjusted to seasonality
- Templates download & practice exercise
Break Even Point
Include a snapshot of the 5-year P&L plan here and mention the SPD (sales per day) you need to breakeven, based on your P&L numbers.
We have created a sample table with retail data in the business plan template, and you can fill it with your own numbers.
Key Assumptions
Mention the assumptions you used for creating your financial projections.
For example , you assumed that sales per day for the first year will be 1000$ and then will grow by 20% in the second year, 15% in the third year and 10% in the fourth year, etc.
Retail Business Plan Tips
Sales projections.
We recommend being very realistic about your initial sales per day projections, as your entire financial plan will be directly affected by it.
When you then forecast your growth for the coming years, you should also be realistic about how much you will grow year-on-year.
From our experience, retail stores typically see higher growth after the first year and then this starts to level off from the third year onwards.
Having said that, there might be other growth drivers that can affect your business and accelerate your growth in the following years. This could be for example that your new store is in an area that is still under development and will be fully developed by the third year.
What we want to say is, do your due diligence thoroughly and based on that set realistic expectations.
Inventory Projections
The biggest asset you will hold and the biggest part of the investment/loan you will need to start your retail business will go for inventory.
So it is important to calculate your inventory needs correctly.
This will be based on your sales forecasts and the inventory turnover rate you expect or the forward stock cover you intend to maintain.
For example, if your inventory turnover target is 2, this means you maintain a 6 months cover. If your inventory turnover is 3, you maintain 4 months stock cover,..and so on.
We recommend checking out the benchmarks we have listed for different retail categories for inventory turnover and reading our complete Open to Buy guide to get started with calculating exactly how much inventory you will need.
Good luck in your new venture!
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More Resources
Thank you for reading this article on Retail Business Plan. We recommend the below free resources as well:
- Retail Management
- Starting a Retail Business
- Buying a Retail Business
Join the academy and get all access to all our resources, which will help you manage your retail business more efficiently.
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CONNECT THE DOTS
We’ve put together a curriculum specifically designed for retail owners or retail professionals who want to advance into senior management roles.
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Free PDF Business Plan Templates and Samples
By Joe Weller | September 9, 2020
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We’ve gathered the most useful collection of business plan PDF templates and samples, including options for organizations of any size and type.
On this page, you’ll find free PDF templates for a simple business plan , small business plan , startup business plan , and more.
Simple Business Plan PDF Templates
These simple business plan PDF templates are ready to use and customizable to fit the needs of any organization.
Simple Business Plan Template PDF
This template contains a traditional business plan layout to help you map out each aspect, from a company overview to sales projections and a marketing strategy. This template includes a table of contents, as well as space for financing details that startups looking for funding may need to provide.
Download Simple Business Plan Template - PDF
Lean Business Plan Template PDF
This scannable business plan template allows you to easily identify the most important elements of your plan. Use this template to outline key details pertaining to your business and industry, product or service offerings, target customer segments (and channels to reach them), and to identify sources of revenue. There is also space to include key performance metrics and a timeline of activities.
Download Lean Business Plan Template - PDF
Simple 30-60-90 Day Business Plan Template PDF
This template is designed to help you develop and implement a 90-day business plan by breaking it down into manageable chunks of time. Use the space provided to detail your main goals and deliverables for each timeframe, and then add the steps necessary to achieve your objectives. Assign task ownership and enter deadlines to ensure your plan stays on track every step of the way.
Download Simple 30-60-90 Day Business Plan Template
PDF | Smartsheet
One-Page Business Plan PDF Templates
The following single page business plan templates are designed to help you download your key ideas on paper, and can be used to create a pitch document to gain buy-in from partners, investors, and stakeholders.
One-Page Business Plan Template PDF
Use this one-page template to summarize each aspect of your business concept in a clear and concise manner. Define the who, what, why, and how of your idea, and use the space at the bottom to create a SWOT analysis (strengths, weaknesses, opportunities, and threats) for your business.
Download One-Page Business Plan Template
If you’re looking for a specific type of analysis, check out our collection of SWOT templates .
One-Page Lean Business Plan PDF
This one-page business plan template employs the Lean management concept, and encourages you to focus on the key assumptions of your business idea. A Lean plan is not stagnant, so update it as goals and objectives change — the visual timeline at the bottom is ideal for detailing milestones.
Download One-Page Lean Business Plan Template - PDF
One-Page 30-60-90 Day Business Plan Template
Use this business plan template to identify main goals and outline the necessary activities to achieve those goals in 30, 60, and 90-day increments. Easily customize this template to fit your needs while you track the status of each task and goal to keep your business plan on target.
Download One-Page 30-60-90 Day Business Plan Template
For additional single page plans, including an example of a one-page business plan , visit " One-Page Business Plan Templates with a Quick How-To Guide ."
Small Business Plan PDF Templates
These business plan templates are useful for small businesses that want to map out a way to meet organizational objectives, including how to structure, operate, and expand their business.
Simple Small Business Plan Template PDF
A small business can use this template to outline each critical component of a business plan. There is space to provide details about product or service offerings, target audience, customer reach strategy, competitive advantage, and more. Plus, there is space at the bottom of the document to include a SWOT analysis. Once complete, you can use the template as a basis to build out a more elaborate plan.
Download Simple Small Business Plan Template
Fill-In-the-Blank Small Business Plan Template PDF
This fill-in-the-blank template walks you through each section of a business plan. Build upon the fill-in-the-blank content provided in each section to add information about your company, business idea, market analysis, implementation plan, timeline of milestones, and much more.
Download Fill-In-the-Blank Small Business Plan Template - PDF
One-Page Small Business Plan Template PDF
Use this one-page template to create a scannable business plan that highlights the most essential parts of your organization’s strategy. Provide your business overview and management team details at the top, and then outline the target market, market size, competitive offerings, key objectives and success metrics, financial plan, and more.
Download One-Page Business Plan for Small Business - PDF
Startup Business Plan PDF Templates
Startups can use these business plan templates to check the feasibility of their idea, and articulate their vision to potential investors.
Startup Business Plan Template
Use this business plan template to organize and prepare each essential component of your startup plan. Outline key details relevant to your concept and organization, including your mission and vision statement, product or services offered, pricing structure, marketing strategy, financial plan, and more.
Download Startup Business Plan Template
Sample 30-60-90 Day Business Plan for Startup
Startups can use this sample 30-60-90 day plan to establish main goals and deliverables spanning a 90-day period. Customize the sample goals, deliverables, and activities provided on this template according to the needs of your business. Then, assign task owners and set due dates to help ensure your 90-day plan stays on track.
Download Sample 30-60-90 Day Business Plan for Startup Template
For additional resources to create your plan, visit “ Free Startup Business Plan Templates and Examples .”
Nonprofit Business Plan PDF Templates
Use these business plan PDF templates to outline your organization’s mission, your plan to make a positive impact in your community, and the steps you will take to achieve your nonprofit’s goals.
Nonprofit Business Plan Template PDF
Use this customizable PDF template to develop a plan that details your organization’s purpose, objectives, and strategy. This template features a table of contents, with room to include your nonprofit’s mission and vision, key team and board members, program offerings, a market and industry analysis, promotional plan, financial plan, and more. This template also contains a visual timeline to display historic and future milestones.
Download Nonprofit Business Plan Template - PDF
One-Page Business Plan for Nonprofit Organization PDF
This one-page plan serves as a good starting point for established and startup nonprofit organizations to jot down their fundamental goals and objectives. This template contains all the essential aspects of a business plan in a concise and scannable format, including the organizational overview, purpose, promotional plan, key objectives and success metrics, fundraising goals, and more.
Download One-Page Business Plan for Nonprofit Organization Template - PDF
Fill-In-the-Blank Business Plan PDF Templates
Use these fill-in-the-blank templates as a foundation for creating a comprehensive roadmap that aligns your business strategy with your marketing, sales, and financial goals.
Simple Fill-In-the-Blank Business Plan PDF
The fill-in-the-blank template contains all the vital parts of a business plan, with sample content that you can customize to fit your needs. There is room to include an executive summary, business description, market analysis, marketing plan, operations plan, financial statements, and more.
Download Simple Fill-In-the-Blank Business Plan Template - PDF
Lean Fill-In-the-Blank Business Plan PDF
This business plan is designed with a Lean approach that encourages you to clarify and communicate your business idea in a clear and concise manner. This single page fill-in-the-blank template includes space to provide details about your management team, the problem you're solving, the solution, target customers, cost structure, and revenue streams. Use the timeline at the bottom to produce a visual illustration of key milestones.
Download Fill-In-the-Blank Lean Business Plan Template - PDF
For additional resources, take a look at " Free Fill-In-the-Blank Business Plan Templates ."
Sample Business Plan PDF Templates
These sample business plan PDF templates can help you to develop an organized, thorough, and professional business plan.
Business Plan Sample
This business plan example demonstrates a plan for a fictional food truck company. The sample includes all of the elements in a traditional business plan, which makes it a useful starting point for developing a plan specific to your business needs.
Download Basic Business Plan Sample - PDF
Sample Business Plan Outline Template
Use this sample outline as a starting point for your business plan. Shorten or expand the outline depending on your organization’s needs, and use it to develop a table of contents for your finalized plan.
Download Sample Business Plan Outline Template - PDF
Sample Business Financial Plan Template
Use this sample template to develop the financial portion of your business plan. The template provides space to include a financial overview, key assumptions, financial indicators, and business ratios. Complete the break-even analysis and add your financial statements to help prove the viability of your organization’s business plan.
Download Business Financial Plan Template
PDF | Smartsheet
For more free, downloadable templates for all aspects of your business, check out “ Free Business Templates for Organizations of All Sizes .”
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