bagel store business plan

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How to Start a Bagel Shop

Written by: Carolyn Young

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Published on April 9, 2023 Updated on May 15, 2024

Investment range

$33,900 - $78,000

Revenue potential

$273,750 - $547,500 p.a.

Time to build

Profit potential

$54,750 - $109,500 p.a.

Industry trend

Do you love bagels? You’re not alone. Bagels were once an East coast phenomenon, but now people across the country enjoy them plain, with a cream cheese smear, toasted and buttered, as sandwich bread and in other ways. 

If you’re a bagel lover aiming to become a bagel master, you could open a bagel shop and join a billion-dollar industry. But before you start mixing the dough, you’ll want to understand the process of starting a business. 

Fortunately, this step-by-step guide lays out all you need to know to open your shop, become a bagel mogul and make some real dough! 

Looking to register your business? A limited liability company (LLC) is the best legal structure for new businesses because it is fast and simple.

Form your business immediately using ZenBusiness LLC formation service or hire one of the Best LLC Services .

Step 1: Decide if the Business Is Right for You

Pros and cons.

• Bagels are popular nationwide 
• Have fun creating new bagel flavors
• Good profit potential
• Relatively high startup costs
• Competition from established franchises

Bagel shop industry trends

Industry size and growth.

• Industry size and past growth – The U.S. bagel store industry is worth $1.4 billion in 2023 after steady growth the last five years.(( https://www.ibisworld.com/industry-statistics/market-size/bagel-stores-united-states/#:~:text=What%20is%20the%20market%20size,to%20increase%201%25%20in%202023. ))
• Growth forecast – The U.S. bagel store industry is projected to expand 1% in 2023. 
• Number of businesses – In 2023, 1,578 bagel store businesses are operating in the U.S.(( https://www.ibisworld.com/industry-statistics/number-of-businesses/bagel-stores-united-states/ ))
• Number of people employed – In 2023, the U.S. bagel store industry employs 30,094 people.(( https://www.ibisworld.com/industry-statistics/employment/bagel-stores-united-states/ ))

Trends and challenges

• Popular bagel flavors include French toast, blueberry, garlic, pumpernickel, and sesame seed.
• More customers are seeking low-calorie, vegan, and kosher bagels.
• Bagels are generally not considered healthy, which is a problem for bagel shops as consumers seek to cut down on carbohydrates.
• Supply chain issues make sourcing cream cheese difficult, creating a challenge for bagel shops, who may have to turn to homemade cream cheese.

Consumer spending

• Potential customer base –   202.07 million Americans consumed bagels in 2020. (( https://www.statista.com/statistics/281888/us-households-consumption-of-bagels-trend/ ))
• Average prices – A dozen bagels cost between $7 and $15. (( https://www.howmuchisit.org/dozen-bagels-cost/ ))

Demand hotspots

• Most popular states – The most popular states for bakers are New Jersey, New Hampshire, and New York. (( https://www.zippia.com/baker-jobs/best-states/ ))
• Least popular states – The least popular states for bakers are Mississippi, Oklahoma, and Arkansas.

What kind of people work in bagel shops?

• Gender – 54% of bakers are female, while 46% are male. (( https://www.zippia.com/baker-jobs/demographics/ ))
• Average level of education – The average baker is high school educated.
• Average age – The average baker in the US is 41.7 years old.

How much does it cost to start a bagel business?

Startup costs for a bagel shop range from $35,000 to $80,000. The largest expenses are the space rental, equipment, and an operating budget. 

You’ll need a handful of items to successfully launch your bagel shop business, including: 

• Commercial mixers
• Dough sheeters and rounders
• Commercial ranges and ovens
• Bagel boards and scoops
• Bagel baskets
• Bagel slicers

How much can you earn from a bagel shop business?

Prices for bagels, cream cheese, bagel sandwiches, beverages, and other items vary, depending on location and other factors. These calculations assume an average sale per customer of $10 and a profit margin of 20%.

In your first year or two, you could have 75 customers per day, bringing in $273,750 in annual revenue. This would mean close to $55,000 in profit, assuming that 20% margin. 

As you gain traction, you might have 150 customers per day. With annual revenue of $547,500, you’d make a tidy profit of nearly $110,000.

What barriers to entry are there?

There are a few barriers to entry for a bagel shop. Your biggest challenges will be:

• Funding the startup costs
• Competing with chain bagel shops

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How to Open a Pizza Shop

Step 2: hone your idea.

Now that you know what’s involved in starting a bagel shop, it’s a good idea to hone your concept in preparation to enter a competitive market. 

Market research could give you the upper hand even if you’ve got the perfect product. Conducting robust market research is crucial, as it will help you better understand your customers, your competitors, and the broader business landscape.

Analyze your Competitors 

Research bagel shops in your area to examine their products, price points, and customer reviews.

• Make a list of bagel shops that offer similar products. 
• Review your competitors’ menus – their features, pricing, and quality – and marketing strategies
• Check out their online reviews and ratings on Google, Yelp, and Facebook to get an idea of what their customers like and dislike.
• Identify your competitors’ strengths and weaknesses. 

This should identify areas where you can strengthen your business and gain a competitive edge to make better business decisions.

Why? Identify an opportunity

You’re looking for a market gap to fill. For instance, maybe the local market is missing a bagel shop that offers breakfast and lunch sandwiches, or a bagel shop with fantastic, fair-trade coffee. 

You might consider targeting a niche, such as New York style bagels.

This could jumpstart your word-of-mouth marketing and attract clients right away. 

What? Crafting the perfect bagel menu for your bagel shop

You’ll need to create a menu of bagel flavors, including creative ones, such as baked salmon or jalapeno and cheddar.

You can also offer bagel breakfast and lunch sandwiches, side items, pastries and desserts, and a variety of beverages. 

How much should you charge for bagels?

Your prices will be based on your local market, as well as your ingredients and other costs.

Once you know your costs, use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market largely depends on your location. If you’re in an area filled with college students and young professionals, you might zero in on TikTok, Instagram, and LinkedIn. 

Where? Choose a bagel shop location

You’ll need to rent a space for your bagel shop, preferably in an area with high traffic for breakfast and lunch, such as a metro area. You can find commercial space to rent in your area on sites such as Craigslist , Crexi , and Instant Offices .

When choosing a commercial space, you may want to follow these rules of thumb:

• Central location accessible via public transport
• Ventilated and spacious, with good natural light
• Flexible lease that can be extended as your business grows
• Ready-to-use space with no major renovations or repairs needed

Step 3: Brainstorm a Bagel Shop Name

Here are some ideas for brainstorming your business name:

• Short, unique, and catchy names tend to stand out
• Names that are easy to say and spell tend to do better 
• Name should be relevant to your product or service offerings
• Ask around — family, friends, colleagues, social media — for suggestions
• Including keywords, such as “bagels” or “bagel shop”, boosts SEO
• Name should allow for expansion, for ex: “Everything Euphoria” over “Worldwide Whirl Bagels”
• A location-based name can help establish a strong connection with your local community and help with the SEO but might hinder future expansion

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Find a Domain

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Finally, make your choice among the names that pass this screening and go ahead and reserve your business name with your state, start the trademark registration process, and complete your domain registration and social media account creation. 

Your business name is one of the key differentiators that sets your business apart. Once you pick a name, reserve it and start with the branding, it’s hard to switch to a new name. So be sure to carefully consider your choice before moving forward. 

Step 4: Create a Bagel Shop Business Plan

Here are the key components of a business plan:

• Executive Summary: Provide a brief summary of your business plan, highlighting its key points and objectives.
• Business Overview: Describe the nature of your bagel shop, its location, and the range of bagel products and services it will offer.
• Product and Services: Detail the types of bagels, spreads, beverages, and additional items your shop will serve to customers.
• Market Analysis: Analyze the local market for bagel shops, including customer preferences, demographics, and potential demand for your offerings.
• Competitive Analysis: Identify existing bagel shops and other breakfast food establishments in your area, emphasizing what sets your shop apart.
• Sales and Marketing: Explain your strategies for attracting and retaining customers, which might include promotions, loyalty programs, and online presence.
• Management Team: Introduce key team members involved in your bagel shop, highlighting their relevant experience and roles.
• Operations Plan: Outline the daily operations of your bagel shop, covering everything from sourcing ingredients to baking, serving, and maintaining the shop.
• Financial Plan: Present financial projections, including startup costs, revenue forecasts, and profit margins.
• Appendix: Include supplementary materials, such as sample menus, supplier contracts, or market research data, to support your business plan.

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to bagel shops. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your bagel shop will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

• Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
• General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
• Limited Liability Company ( LLC ) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts.  Here’s how to form an LLC .
• C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation.  Read how to start a corporation here .
• S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC , which just need to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have. 

Form Your LLC

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Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

The IRS website also offers a tax-payers checklist , and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

• Bank loans: This is the most common method but getting approved requires a rock-solid business plan and strong credit history.
• SBA-guaranteed loans: The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan .
• Government grants: A handful of financial assistance programs help fund entrepreneurs. Visit Grants.gov to learn which might work for you.
• Friends and Family: Reach out to friends and family to provide a business loan or investment in your concept. It’s a good idea to have legal advice when doing so because SEC regulations apply.
• Crowdfunding: Websites like  Kickstarter  and  Indiegogo  offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like  Fundable  and  WeFunder  enable multiple investors to fund your business.
• Personal: Self-fund your business via your savings or the sale of property or other assets.

Bank and SBA loans are probably the best option, other than friends and family, for funding a bagel shop business. You might also try crowdfunding if you have an innovative concept.  

Step 8: Apply for Licenses/Permits

Starting a bagel shop business requires obtaining a number of licenses and permits from local, state, and federal governments.

Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration ( OSHA ), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You’ll definitely need some sort of food and health safety licenses, so be sure to check with your state and local governments for health and food service requirements. You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your bagel shop business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account. 

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

• General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
• Business Property: Provides coverage for your equipment and supplies.
• Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
• Worker’s compensation: Provides compensation to employees injured on the job.
• Property: Covers your physical space, whether it is a cart, storefront, or office.
• Commercial auto: Protection for your company-owned vehicle.
• Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
• Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of the above insurance types.

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.  

You may want to use industry-specific software, such as  Toast , eHopper , or Lavu , to manage your menu, inventory, online pickup orders, and customer loyalty program.

• Popular web-based accounting programs for smaller businesses include Quickbooks , Freshbooks , and Xero . 
• If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Create a website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism. You can create your own website using services like WordPress, Wix, or Squarespace . This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

Your customers are unlikely to find your website, however, unless you follow Search Engine Optimization (SEO) practices. SEO will help your website appear closer to the top in relevant search results, a crucial element for increasing sales. 

Make sure that you optimize calls to action on your website. Experiment with text, color, size, and position of calls to action such as “Order To Go”. This can sharply increase purchases.

Here are some powerful marketing strategies for your future business:

• Social Media Teasers: Leverage the visual appeal of bagels by posting high-quality images and short videos on social media platforms, teasing upcoming flavors, specials, or behind-the-scenes glimpses to create anticipation among your audience.
• Loyalty Programs and Specials: Implement a loyalty program offering discounts or freebies after a certain number of purchases, and regularly introduce limited-time specials or promotions to keep customers excited and encourage repeat visits.
• Local Partnerships and Events: Forge partnerships with local businesses or sponsor community events to increase brand visibility. Consider participating in farmers’ markets or food festivals to introduce your bagels to a broader audience.
• Creative Sampling: Offer free samples of new or signature bagel flavors during peak hours to entice curious customers. Word of mouth is a powerful tool, and providing a taste of your delicious bagels can convert samplers into regulars.
• Innovative Catering Packages: Develop attractive catering packages for events, meetings, or gatherings. Highlight the convenience of a diverse bagel spread and emphasize customization options to appeal to a wider range of clients.
• Engaging Email Campaigns: Build an email subscriber list and send out regular newsletters with exclusive promotions, news, and insider insights. Engaging content will keep your bagel shop top-of-mind for subscribers.
• Themed Nights or Specials: Introduce themed nights or specials, such as “Bagel and Brew Fridays” or “Family Brunch Sundays,” to create a recurring schedule that customers can look forward to, fostering a sense of community around your bagel shop.
• Local SEO  — Regularly update your Google My Business and Yelp profiles to strengthen your local search presence.
• Online Reviews and Testimonials: Encourage satisfied customers to leave positive reviews on popular review platforms. Highlight these testimonials on your social media and in-store to build trust and credibility with potential customers.
• Student and Corporate Discounts: Offer discounts for students and nearby businesses to attract regulars from local schools and offices, providing a steady stream of customers during peak hours.
• Interactive Workshops or Classes: Host bagel-making workshops or classes to engage with the community. This not only provides a unique experience but also creates an emotional connection, turning participants into loyal patrons.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your bagel shop meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your bagel shop business could be: 

• Brilliant bagels made fresh all day!
• On the go? Grab a yummy bagel sandwich  
• The biggest bagel selection in town 

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a bagel shop business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in bagel shops for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in bagel shops. You’ll probably generate new customers or find companies with which you could establish a partnership. 

Step 12: Build Your Team

If you’re starting out small from a home office, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a bagel shop business include:

• Counter Clerk – take orders, customer service
• Bagel Maker – prepare and bake bagels
• Sandwich and Food Preparer – prepare sandwiches and other foods
• General Manager – scheduling, inventory management, accounting

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. 

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent. 

Step 13: Start Making Money!

Bagels are beloved, so you can make great money with your own bagel shop! It takes a bit of capital, but it can be very profitable and you could soon expand to multiple locations. Someday your business might even be the next Einstein Bros Bagels! 

Now that you’ve got some business know-how, you’re ready to hit the kitchen and achieve big-time bagel success.  

• Bagel Shop Business FAQs

A bagel shop can be very profitable. You just need a great location and some creative bagel options.

A single-location bagel shop could grow by expanding their products to include sandwiches, soups or side items. It can also grow by expanding to different locations or creating a bagel shop franchise.

A bagel shop is best started as a full-time business. It takes a lot of time, work, and dedication to be successful.

Trendy bagel flavors include French toast, blueberry, garlic, pumpernickel, and sesame seed. Coffee also sells well in a bagel shop.

Is the expected profit and revenue just bagels, or does this include breakfast sandwiches and lunch sandwiches? I plan on being an owner operator and I will be the one making the bagels.

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• Decide if the Business Is Right for You
• Hone Your Idea
• Brainstorm a Bagel Shop Name
• Create a Bagel Shop Business Plan
• Register Your Business
• Register for Taxes
• Fund your Business
• Apply for Licenses/Permits
• Open a Business Bank Account
• Get Business Insurance
• Prepare to Launch
• Build Your Team
• Start Making Money!

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Bagel Shop Business Plan

High demand, low startup costs, and a recurring revenue model make starting a bagel shop a lucrative and rewarding profession.

Anyone can start a new business, but you need a detailed business plan when it comes to raising funding, applying for loans, and scaling it like a pro!

Need help writing a business plan for your bagel shop? You’re at the right place. Our bagel shop business plan template will help you get started.

Free Business Plan Template

Download our free business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!

• Fill in the blanks – Outline
• Financial Tables

How to Write A Bagel Shop Business Plan?

Writing a bagel shop business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.

Here are a few key components to include in your executive summary:

Introduce your Business:

Start your executive summary by briefly introducing your business to your readers.

Market Opportunity:

Bagel menu:.

Highlight the bagel shop products you offer your clients. The USPs and differentiators you offer are always a plus.

Marketing & Sales Strategies:

Financial highlights:, call to action:.

Ensure your executive summary is clear, concise, easy to understand, and jargon-free.

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2. Business Overview

The business overview section of your business plan offers detailed information about your bagel shop. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:

Business Description:

Describe your business in this section by providing all the essential information:

Describe what kind of bagel shop you run and the name of it. You may specialize in one of the following bagel businesses:

• Traditional Bagel Shop
• Artisanal Bagel Bakery
• Bagel Food Truck
• Describe the legal structure of your bagel shop, whether it is a sole proprietorship, LLC, partnership, or others.
• Explain where your business is located and why you selected the place.

Mission Statement:

Business history: i, future goals.

This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.

3. Market Analysis

The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.

Target market:

Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.

Market size and growth potential:

Describe your market size and growth potential and whether you will target a niche or a much broader market.

Competitive Analysis:

Market trends:.

Analyze emerging trends in the industry, such as technology disruptions, changes in customer behavior or preferences, etc. Explain how your business will cope with all the trends.

Regulatory Environment:

Here are a few tips for writing the market analysis section of your bagel shop business plan:

• Conduct market research, industry reports, and surveys to gather data.
• Provide specific and detailed information whenever possible.
• Illustrate your points with charts and graphs.
• Write your business plan keeping your target audience in mind.

4. Products And Services

The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:

Describe your bagel shop products:

Mention the bagel shop products your business will offer. This list may include,

• Fresh bagel shops
• bagel shop sandwiches
• bagel shop spreads & toppings
• bagel shop-based pizzas
• Baked goods
• bagel shop platters & trays

Toppings & spreads:

Quality measures, additional services.

In short, this section of your bagel shop plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

Unique Selling Proposition (USP):

Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.

Pricing Strategy:

Marketing strategies:, sales strategies:, customer retention:.

Overall, this section of your bagel shop business plan should focus on customer acquisition and retention.

Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your bagel shop, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.

6. Operations Plan

The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:

Staffing & Training:

Operational process:, equipment & machinery:.

Include the list of equipment and machinery required for a bagel shop, such as a bagel shop dough mixer, bagel shop kettle, bagel shop oven, bagel shop slicer, etc.

Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.

7. Management Team

The management team section provides an overview of your bagel shop’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.

Founders/CEO:

Key managers:.

Introduce your management and key members of your team, and explain their roles and responsibilities.

Organizational structure:

Compensation plan:, advisors/consultants:.

Mentioning advisors or consultants in your business plans adds credibility to your business idea.

This section should describe the key personnel for your bagel shop services, highlighting how you have the perfect team to succeed.

8. Financial Plan

Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:

Profit & loss statement:

Cash flow statement:, balance sheet:, break-even point:.

Determine and mention your business’s break-even point—the point at which your business costs and revenue will be equal.

Financing Needs:

Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.

9. Appendix

The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.

• Add a table of contents for the appendix section to help readers easily find specific information or sections.
• In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
• Provide data derived from market research, including stats about the industry, user demographics, and industry trends.
• Include any legal documents such as permits, licenses, and contracts.
• Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.

Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.

Remember, the appendix section of your bagel shop business plan should only include relevant and important information supporting your plan’s main content.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

This sample bagel shop business plan will provide an idea for writing a successful bagel shop plan, including all the essential components of your business.

After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our bagel shop business plan pdf .

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Frequently asked questions, why do you need a bagel shop business plan.

A business plan is an essential tool for anyone looking to start or run a successful bagel shop. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your bagel shop.

How to get funding for your bagel shop?

There are several ways to get funding for your bagel shop, but self-funding is one of the most efficient and speedy funding options. Other options for funding are:

• Bank loan – You may apply for a loan in government or private banks.
• Small Business Administration (SBA) loan – SBA loans and schemes are available at affordable interest rates, so check the eligibility criteria before applying for it.
• Crowdfunding – The process of supporting a project or business by getting a lot of people to invest in your business, usually online.
• Angel investors – Getting funds from angel investors is one of the most sought startup options.

Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.

Where to find business plan writers for your bagel business?

There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your bagel shop business plan and outline your vision as you have in your mind.

What is the easiest way to write your bagel shop business plan?

A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any bagel shop business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software .

How do I write a good market analysis in a bagel shop business plan?

Market analysis is one of the key components of your business plan that requires deep research and a thorough understanding of your industry. We can categorize the process of writing a good market analysis section into the following steps:

• Stating the objective of your market analysis—e.g., investor funding.
• Industry study—market size, growth potential, market trends, etc.
• Identifying target market—based on user behavior and demographics.
• Analyzing direct and indirect competitors.
• Calculating market share—understanding TAM, SAM, and SOM.
• Knowing regulations and restrictions
• Organizing data and writing the first draft.

Writing a marketing analysis section can be overwhelming, but using ChatGPT for market research can make things easier.

How detailed should the financial projections be in my bagel shop business plan?

The level of detail of the financial projections of your bagel shop may vary considering various business aspects like direct and indirect competition, pricing, and operational efficiency. However, your financial projections must be comprehensive enough to demonstrate a complete view of your financial performance.

Generally, the statements included in a business plan offer financial projections for at least the first three or five years of business operations.

What key components should a bagel shop business plan include?

The following are the key components your bagel shop business plan must include:

• Executive summary
• Business Overview
• Market Analysis
• Products and services
• Sales and marketing strategies
• Operations plan
• Management team
• Financial plan

Can a good bagel shop business plan help me secure funding?

Indeed. A well-crafted bagel business will help your investors better understand your business domain, market trends, strategies, business financials, and growth potential—helping them make better financial decisions.

So, if you have a profitable and investable business, a comprehensive business plan can certainly help you secure your business funding.

What's the importance of a marketing strategy in a bagel shop business plan?

Marketing strategy is a key component of your bagel shop business plan. Whether it is about achieving certain business goals or helping your investors understand your plan to maximize their return on investment—an impactful marketing strategy is the way to do it!

Here are a few pointers to help you understand the importance of having an impactful marketing strategy:

• It provides your business an edge over your competitors.
• It helps investors better understand your business and growth potential.
• It helps you develop products with the best profit potential.
• It helps you set accurate pricing for your products or services.

About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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How to Start a Bagel Shop

Bagels are a classic breakfast food that became famous in New York City but are now enjoyed throughout the country. A bagel shop business provides bagels, which are a convenient, tasty and filling meal, to patrons for breakfast and lunch. In addition to bagels, most bagel shops also have beverages and sides, so customers can get a complete meal quickly.

Learn how to start your own Bagel Shop and whether it is the right fit for you.

Ready to form your LLC? Check out the Top LLC Formation Services .

Start a bagel shop by following these 10 steps:

• Plan your Bagel Shop
• Form your Bagel Shop into a Legal Entity
• Register your Bagel Shop for Taxes
• Open a Business Bank Account & Credit Card
• Set up Accounting for your Bagel Shop
• Get the Necessary Permits & Licenses for your Bagel Shop
• Get Bagel Shop Insurance
• Define your Bagel Shop Brand
• Create your Bagel Shop Website
• Set up your Business Phone System

We have put together this simple guide to starting your bagel shop. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas .

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

What will you name your business?

• What are the startup and ongoing costs?
• Who is your target market?

How much can you charge customers?

Luckily we have done a lot of this research for you.

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Bagel Shop Name Generator

If you operate a sole proprietorship , you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name , we recommend researching your business name by checking:

• Your state's business records
• Federal and state trademark records
• Social media platforms
• Web domain availability .

It's very important to secure your domain name before someone else does.

Want some help naming your bagel shop?

Business name generator, what are the costs involved in opening a bagel shop.

The startup costs for a bagel shop usually total tens of thousands of dollars. Some of the largest expenses include rent, equipment costs and employee salaries (if hiring employees). Other expenses include bagel-making supplies, expenses for other foods and beverages, supplies to put bagels in and cups.

Business owners who want to keep their startup costs minimal can find a small retail location so their rent is lower. A small location will also make it easier to grab items for customers, so business owners may be able to do all the work themselves and might not need to hire an employee. Purchasing used equipment, which costs substantially less than new, can also provide significant savings.

What are the ongoing expenses for a bagel shop?

The ongoing expenses for a bagel business include rent, licensing fees, employees’ salaries, costs for bagel-making supplies and other foods, costs for beverages, and costs for serving supplies.

Who is the target market?

An ideal customer for a bagel shop business is someone who eats breakfast but doesn’t have much time. Bagels are a quick, satisfying food. Bagel shops often appeal to both people with lots of discretionary income and those on tighter budgets, because bagels are relatively inexpensive.

How does a bagel shop make money?

A bagel shop business makes money by selling bagels, other food items and beverages to customers. Some businesses may also cater events.

An article by Serious Eats looked at the price of a bagel at several bagel chains in New York (and Dunkin’ Donuts). A plain bagel ranged in price from $1.80 to $3.00, and a bagel with cream cheese ranged from $1.65 to $4.50. Prices elsewhere might be slightly lower, as New York City is known both for its bagels and high prices.

The other foods and beverages sold by bagel shops, such as fresh fruit, yogurt, coffee and tea usually cost about the same as a bagel or a bagel with cream cheese.

How much profit can a bagel shop make?

How much a bagel shop business can make depends on how many customers a business serves in a day, week, month or year. For this reason, location selection is extremely important when starting up a bagel shop. In order to succeed, a shop should be located in a busy area.

How can you make your business more profitable?

A bagel shop business can increase its profitability by upselling customers. Featuring bagel sandwiches, which sell for more than a bagel with cream cheese, and offering other options, like espresso beverages and granola, can increase the average ticket price.

Want a more guided approach? Access TRUiC's free Small Business Startup Guide - a step-by-step course for turning your business idea into reality. Get started today!

STEP 2: Form a legal entity

The most common business structure types are the sole proprietorship , partnership , limited liability company (LLC) , and corporation .

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your bagel shop is sued.

Form Your LLC

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services . You can choose to hire a registered agent or act as your own.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

You can acquire your EIN through the IRS website . If you would like to learn more about EINs, read our article, What is an EIN?

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil .

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

• Separates your personal assets from your company's assets, which is necessary for personal asset protection.
• Makes accounting and tax filing easier.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Get a business credit card

Getting a business credit card helps you:

• Separate personal and business expenses by putting your business' expenses all in one place.
• Build your company's credit history , which can be useful to raise money later on.

Recommended: Apply for an easy approval business credit card from BILL and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a bagel shop. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits.

In particular, most states require retail businesses such as bagel shops to obtain a seller’s permit. A seller’s permit enables states to record and collect taxes from goods (and sometimes service) sales.

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses .

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance . This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance . If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

FInd out what types of insurance your Bagel Shop needs and how much it will cost you by reading our guide Business Insurance for Bagel Shop.

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners , we'll give you helpful tips and advice for creating the best unique logo for your business.

Recommended : Get a logo using Truic's free logo Generator no email or sign up required, or use a Premium Logo Maker .

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator . Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

How to promote & market a bagel shop

All marketing efforts should be focused on residents, workers and commuters who are in the area that a bagel shop serves, which can be fairly small. Signs help draw attention to a business.

To get people in the door initially, business owners can go to nearby businesses with coupons for free bagels or coffee. Giving away free items will encourage people to visit, and word will quickly spread if people like what they have.

How to keep customers coming back

A bagel shop business can set itself apart by making authentic bagels. Many places, including coffee shops, grocery stores and diners, offer bagels. These are often frozen products that are thawed, though. A fresh-baked bagel will taste much better, and many people will specifically seek out great bagels. For this reason, business owners should take a bagel-making course.

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business .

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

• All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
• Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
• Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.

Recommended : Get started today using our recommended website builder or check out our review of the Best Website Builders .

Other popular website builders are: WordPress , WIX , Weebly , Squarespace , and Shopify .

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2023 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.

Is this Business Right For You?

Anyone who is passionate about food and enjoys serving other people may be well-suited for opening a bagel shop business. The business involves lots of hands-on work making bagels and brewing coffee, and business owners are regularly serving and interacting with customers.

Because bagels are mainly eaten for breakfast and lunch, bagel shops are open during the morning and, sometimes, early afternoon. Owners should be prepared to work almost every morning, although they may close one day a week so they can have a day off. Additionally, many owners close their businesses for holidays.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a bagel shop?

A bagel shop business owner starts their day in the early morning making bagels, brewing coffee and preparing other food items. As the morning progresses, business picks up and business owners transition from prepping foods and drinks to serving customers. As business slows later in the day, work usually focuses on cleaning and getting ready for the next day (although any customers that come in while the business is open are still served).

What are some skills and experiences that will help you build a successful bagel shop?

Bagel business owners should, first and foremost, know how to make bagels. Many companies sell bagels wholesale that can be baked in-store, which is relatively easy to do. Business owners that want to bake their own bagels, however, should take a bagel-making course to learn the craft. There are many companies that offer short classes on bagel making. Sour Flour and  the International Culinary Center are two companies that hold workshops.

Business owners should also be familiar with how to manage their workflow and employees. Visiting other bagel shops and observing how they run their operations is a free way to get some insights. Bagel shop owners in other cities may be willing to sit down and talk, as a bagel shop in a different city won’t create competition for them.

What is the growth potential for a bagel shop?

A bagel shop business can be as small as a single location or as big as a national chain. Many successful bagel shops are regional, having a few locations in a particular area.

TRUiC's YouTube Channel

For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe to view later.

Take the Next Step

Find a business mentor.

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

How and when to build a team

A small bagel shop business can be run with just one person, but it involves a lot of work. As soon as possible, at least one employee should be hired to help expedite service during busy hours and relieve the owner of some day-to-day duties.

The next person hired is usually someone who can bake, although they may also perform other duties. Once a baker is hired and trained, the owner can take an occasional day off.

Depending on how big and busy a bagel shop is, it may be necessary to hire additional employees. A bagel shop business may have anywhere from just a few to a dozen or more employees.

According to PayScale , a baker at a bagel shop makes an average wage of $11.24 an hour. A cashier who doesn’t bake bagels earns about $8.85 per hour. Other employees’ wages may range between these two figures, depending on the level of responsibility that an employee has.

Useful Links

Industry opportunities.

• National Bagel Association

Real World Examples

• Experience of bagel owners
• Experience of family who purchased an Einstein bagel store
• Small bagel franchise

Further Reading

• Example bagel shop business plan

Have a Question? Leave a Comment!

Bagel Shop Business Plan Template

• Written by Dave Lavinsky

If you’re looking to create a bagel shop business plan, you’ve come to the right place!

Over the past 25 years, the PlanPros team has helped over 1 million entrepreneurs and business owners write business plans….and many of them have started and grown successful bagel shop businesses.

Bagel Shop Business Plan Example

Below is our bagel shop business plan template and sample plan:  

I. Executive Summary

Company overview.

At DoughDelights Bagels, located in Methuen, MA, we specialize in offering a rich variety of high-quality bagels to bagel aficionados. Since our inception, we’ve focused on creating classic and innovative flavors to satisfy diverse tastes at competitive prices. With our bagels priced at $3 and bagel sandwiches at $11, complemented by $4 coffee options, we are committed to becoming the preferred culinary destination for breakfast and brunch in our local community. Our founder’s proven experience in the foodservice industry, particularly in running a successful bagel shop, gives us the confidence to succeed in this venture. Since establishing DoughDelights Bagels as a Limited Liability Company in January 2024, we’ve achieved significant milestones, including developing a distinctive logo, naming our company, and securing a prime location, all of which mark the beginning of our journey to be Methuen’s top bagel shop.

Success Factors

Our success is built on a foundation of expertise, superior product quality, and a passion for variety. Our founder’s extensive experience in the foodservice sector, especially with bagel shops, drives our operational excellence. We stand out in the competitive Methuen market by offering a more diverse menu and a commitment to quality that exceeds our competitors. Our journey thus far has been marked by careful branding, strategic location choice, and a growing recognition in the community. These accomplishments and our unwavering dedication to our craft set us on a path to becoming the local go-to destination for bagel lovers.

Industry Analysis

The Bagel Shop industry in the U.S. is flourishing with a current valuation of $1.3 billion and a growth rate of 4.2% annually, representing a promising opportunity for DoughDelights Bagels. Consumer trends toward healthier breakfast options and a preference for artisanal products bolster the industry’s potential. Our location in Methuen, MA, is an asset due to the town’s dynamism and diversity, granting us the opportunity to serve as a premier bagel provider to the community. By tapping into these industry trends and focusing on customer satisfaction with quality handcrafted bagels, we aim to secure a strong market position and cultivate a dedicated customer base.

Customer Analysis

Our primary target market at DoughDelights Bagels includes Methuen’s local residents, morning commuters, and health-conscious consumers, all in search of convenient, high-quality dining options. We aim to create a community-centric ambiance that resonates with families and individuals alike, while also supporting the need for quick grab-and-go options for busy professionals. Our menu and service are tailored to satisfy the cravings and time constraints of these diverse customer segments. By introducing a loyalty program and emphasizing healthy yet flavorful choices, we are dedicated to meeting the needs of our local gym-goers and active community members.

Competitive Analysis

DoughDelights Bagels faces competition from established local businesses like Bagel Boy, The Baked Bagel Cafe, and Main Street Bagel and Deli, each with its own strengths and weaknesses. However, our competitive advantages lie in our superior bagel quality, extensive flavor variety, strategic location, and commitment to exceptional customer service. We have honed our recipes to deliver a product that not only tastes great but also exhibits the craftsmanship that our customers expect. By continually innovating our menu and ensuring a welcoming and convenient customer experience, we set ourselves apart as the prime choice for bagel enthusiasts.

Marketing Plan

Our marketing plan at DoughDelights Bagels encompasses a comprehensive approach to promoting our product offerings. We serve classic and unique bagel flavors at $3 each, gourmet bagel sandwiches at $11, and premium coffee for $4. Our focus is on providing value and quality to our customers. To attract and retain our clientele, we engage in online marketing, local community engagement, in-store experiences, and loyalty programs. We will also explore partnerships and collaborations to broaden our reach. Through these multichannel promotional strategies, we aim to establish DoughDelights Bagels as a beloved brand within Methuen and beyond.

Operations Plan

Our operations at DoughDelights Bagels are designed to deliver excellence, from sourcing quality ingredients to providing exceptional customer service. Key processes include maintaining a rigorous baking schedule, ensuring a clean and efficient kitchen environment, and providing staff training to uphold our high standards. We prioritize store maintenance, marketing, and financial management, staying compliant with health and safety regulations, and continuously developing our menu. In the coming months, we plan to secure a prime location, obtain necessary permits, complete the restaurant build-out, hire and train staff, establish a supply chain, and launch marketing initiatives to achieve our initial revenue target and reinforce our market position.

Management Team

Dominic Gonzales leads the management team at DoughDelights Bagels as President. His extensive background in the foodservice industry, particularly his successful experience with a previous bagel shop, equips him with the insight and leadership skills necessary to guide our operations toward achieving our business objectives. Dominic’s strategic planning, product development, and staff management capabilities are key assets that drive DoughDelights Bagels toward a prosperous future.

Financial Plan

To reach our growth goals, DoughDelights Bagels requires $205,000 in funding. This capital will be allocated to various aspects of the business including location buildout, furniture, equipment, and initial operational expenses such as staff salaries, marketing, and supplies. These investments are critical for establishing our brand, ensuring smooth operations, and setting the stage for long-term success in the competitive bagel industry.

Below is an overview of our expected financial performance over the next five years:

II. Company Overview

At DoughDelights Bagels, we take pride in being the newest culinary destination for bagel lovers in Methuen, MA. Our passion for delivering both classic and inventive bagel flavors is at the heart of everything we do. As a local bagel shop, we have identified a unique opportunity to fill the gap in the market for high-quality bagel offerings, and we are excited to bring our fresh and delicious bagels to the community.

Products & Services

Our menu is designed to cater to a variety of tastes and preferences. Each bagel is priced at $3, ensuring that great taste comes with great value. For those seeking a more substantial meal, our bagel sandwiches are a perfect choice at $11, featuring a range of fresh ingredients and flavorful combinations. Complementing our bagels, we offer coffee for $4, making us the ideal spot for breakfast, brunch, or a quick snack.

Our Location

DoughDelights Bagels is conveniently located in Methuen, MA. We are committed to serving the local community and becoming a beloved spot where customers can enjoy quality bagels in a welcoming atmosphere.

Why We Will Succeed

Our confidence in our success stems from several key factors. Our founder brings a wealth of experience in running foodservice operations, including a previously successful bagel shop. This expertise, combined with our commitment to making better bagels with a wider variety of options than our competitors, positions us to become a leading choice for bagel enthusiasts in Methuen.

Our Journey So Far

Since DoughDelights Bagels was established on January 4, 2024, as a Limited Liability Company, we have hit several milestones. We’ve created a distinctive logo that embodies our brand’s spirit, chosen an engaging and memorable company name, and secured an ideal location for our shop. These accomplishments are just the beginning of our journey to becoming the go-to bagel destination in our community.

III. Industry Analysis

The Bagel Shop industry in the United States is currently experiencing significant growth and shows great potential for the future. According to recent market research, the industry is valued at approximately $1.3 billion. This indicates that there is a substantial market for bagels and related products, presenting a lucrative opportunity for businesses operating in this sector. Moreover, the Bagel Shop industry has been growing at an estimated annual rate of 4.2%, further highlighting the positive trend and indicating the potential for further expansion.

Several trends in the Bagel Shop industry are contributing to its overall growth and create a favorable environment for DoughDelights Bagels. Firstly, there is a rising demand for healthier breakfast options, and bagels are perceived as a relatively healthier choice compared to other on-the-go breakfast items. Additionally, the increasing popularity of specialty and artisanal food products is leading to a greater appreciation for high-quality, handcrafted bagels. DoughDelights Bagels can leverage these trends by offering a wide variety of healthy and artisanal bagels, attracting health-conscious customers and those seeking unique flavors and textures.

Furthermore, the geographic location of DoughDelights Bagels in Methuen, MA, is advantageous for its success in the Bagel Shop industry. Methuen is a growing town with a diverse population and a strong sense of community. The presence of a Bagel Shop in this area would cater to the needs and preferences of the local residents, providing them with a convenient and enjoyable breakfast or snack option. With the right marketing strategies and a focus on customer satisfaction, DoughDelights Bagels can expect to capture a significant share of the Bagel Shop market in Methuen and establish a loyal customer base.

IV. Customer Analysis

Below is a description of our target customers and their core needs.

Target Customers

DoughDelights Bagels will target the local residents of Methuen, MA, as its primary customer base. These customers are likely seeking convenient, high-quality breakfast and lunch options. The shop will provide a community-focused ambiance that will attract individuals and families looking for a casual dining experience.

The business will also cater to the morning commuter crowd, offering quick grab-and-go options that will appeal to working professionals in need of a fast and satisfying breakfast. DoughDelights Bagels will tailor its menu and service speed to meet the demands of this time-sensitive customer segment. Additionally, the shop will offer a loyalty program to encourage repeat business from these regular customers.

Another segment DoughDelights Bagels will target includes health-conscious consumers looking for nutritious yet delicious food options. The menu will feature a range of healthy bagels and toppings, catering to those who prioritize fitness and well-being. This approach is expected to resonate with gym-goers and active individuals in the Methuen area.

Customer Needs

DoughDelights Bagels meets the demand for high-quality bagels by offering a variety of fresh, artisanal selections that cater to the tastes and dietary preferences of Methuen residents. Our customers can enjoy a range of flavors and textures, ensuring that each visit provides a unique and satisfying experience. With a commitment to using only the finest ingredients, DoughDelights ensures that every bite is a testament to our dedication to excellence.

Understanding the busy lives of our patrons, DoughDelights Bagels provides hearty and nutritious sandwiches that serve as perfect meal options for any time of the day. Customers can expect convenience without compromising on taste or quality, making our shop a go-to spot for breakfast, lunch, or a quick snack. Additionally, our menu is designed with versatility in mind, offering options that can be customized to suit individual preferences and dietary needs.

Beyond the solid food offerings, DoughDelights Bagels also caters to the beverage needs of our customers. With a selection of drinks that range from gourmet coffees to refreshing cold beverages, patrons can find the perfect complement to their meal. We ensure that our drinks are prepared with the same attention to quality as our food items, providing a complete and enjoyable dining experience.

V. Competitive Analysis

Direct competitors.

Bagel Boy offers a variety of bagels, cream cheeses, and sandwich options. They cater to customers looking for a quick breakfast or lunch option. Their price points are competitive within the local market.

While specific revenue figures are not publicly available, Bagel Boy maintains a strong local presence. The company operates predominantly within the Methuen area, positioning itself as a convenient choice for residents and workers. Bagel Boy’s key strength lies in its established brand and loyal customer base.

However, Bagel Boy’s weaknesses may include a limited menu diversity beyond bagels and associated products. Their geographic reach is confined to the local area, which may restrict potential market expansion.

The Baked Bagel Cafe

The Baked Bagel Cafe offers artisanal bagels, pastries, and gourmet coffee. Their products are positioned as premium, reflected in higher price points compared to average bagel shops. The cafe appeals to customers seeking a more upscale bagel experience.

Revenue details for The Baked Bagel Cafe are not disclosed, but its product range suggests a focus on maximizing profit margins through quality rather than volume. They serve the Methuen area but attract customers from neighboring regions due to their unique offerings.

The cafe’s strengths include its specialty products and a comfortable ambiance for dine-in customers. Weaknesses could stem from their premium pricing, which may alienate cost-sensitive consumers, and a reliance on in-cafe dining which could be impacted by external factors like economic downturns or public health crises.

Main Street Bagel and Deli

Main Street Bagel and Deli is known for its wide selection of bagels, deli sandwiches, and salads. They aim to be a one-stop-shop for breakfast and lunch crowds, with prices that are accessible to a broad customer base. Their services include catering, which extends their reach beyond individual sales.

The deli’s revenues, while not publicly available, are supported by a strong local following and the inclusion of catering services. Main Street Bagel and Deli operates solely within the Methuen area, focusing on community engagement and local partnerships.

A key strength of Main Street Bagel and Deli is their diverse menu that caters to various dietary needs and preferences. However, their weaknesses may include the operational complexities of managing a broad menu and the potential for lower profit margins due to their affordable pricing strategy.

Competitive Advantages

At DoughDelights Bagels, we pride ourselves on crafting superior bagels that outshine our competition. Understanding that taste and quality are paramount to our customers, we have perfected our recipes to create a product that is not only delicious but also consistently exceeds expectations. Our bagels boast a unique texture, with a satisfyingly crispy crust and a soft, chewy interior that bagel aficionados can instantly recognize as the mark of true craftsmanship. This dedication to excellence in baking is one of the key differentiators that give us a competitive edge in the market.

Moreover, our extensive variety of bagel flavors sets us apart. We cater to a wide range of palates by offering an array of options, from timeless classics to innovative creations that can excite even the most adventurous taste buds. By constantly experimenting and expanding our selection, we ensure that every visit to our shop is an opportunity for our customers to discover something new and delightful. This commitment to variety not only enhances the customer experience but also solidifies our reputation as a destination for bagel lovers seeking diversity and quality in their choices.

In addition to our superior product and variety, our strategic location and commitment to customer service contribute significantly to our competitive advantages. We are conveniently situated in a bustling area, making it easy for customers to stop by for a quick breakfast or lunch. Our staff is dedicated to creating a welcoming atmosphere and ensuring that each patron receives friendly, personalized attention. This combination of convenience, exceptional service, and a premium product ensures that DoughDelights Bagels stands out as a top choice for anyone in search of the ultimate bagel experience.

VI. Marketing Plan

Our marketing plan, included below, details our products/services, pricing and promotions plan.

Products, Services & Pricing

At the heart of DoughDelights Bagels are the classic bagels, which customers can enjoy in a variety of flavors. From the traditional plain and sesame to more adventurous options like cinnamon raisin and everything, there is a taste for every palate. Each bagel is crafted with care and is available at an affordable price of  $3  each. These bagels strike the perfect balance between a crispy exterior and a soft, chewy interior, making them an ideal breakfast choice or a satisfying snack throughout the day.

Bagel Sandwiches

For those seeking a more substantial meal, DoughDelights Bagels offers a tempting array of bagel sandwiches. These hearty offerings include a selection of premium fillings such as smoked salmon, cream cheese, fresh vegetables, and a variety of meats and cheeses. Each sandwich is assembled to order, ensuring maximum freshness and flavor. Guests can expect to savor these gourmet bagel sandwiches for an average price of  $11 , making for a filling breakfast or lunch that is both delicious and convenient.

No bagel experience is complete without a freshly brewed cup of coffee. DoughDelights Bagels understands this and provides customers with a selection of coffee options to complement their meal. Whether patrons prefer a classic drip coffee, a robust espresso, or a frothy cappuccino, they can find their caffeine fix here. Each coffee option is priced at  $4 , offering a premium coffee experience without the premium price. The coffee served is sourced from high-quality beans, ensuring a rich and satisfying taste with every sip.

Promotions Plan

At DoughDelights Bagels, the approach to attracting customers encompasses a diverse array of promotional methods, tailored to engage the community and create a buzz around the delicious offerings.

Online Marketing

DoughDelights Bagels harnesses the power of online marketing to reach a broad audience. The bagel shop maintains a strong presence on social media platforms such as Instagram, Facebook, and Twitter, where engaging content, including mouth-watering images and customer testimonials, highlights the unique value proposition of the brand. Regular posts and stories will engage followers and encourage them to visit the shop.

The business also optimizes its website for search engines to ensure that when potential customers search for bagels in Methuen, MA, DoughDelights Bagels appears prominently in the search results. Email marketing campaigns will keep subscribers informed about new flavors, special promotions, and events, fostering customer loyalty and repeat business.

Local Community Engagement

DoughDelights Bagels will embed itself within the local community by participating in town events, sponsoring local sports teams, and collaborating with other local businesses. This approach will not only build brand awareness but also establish the shop as a community-centric business.

In-Store Experiences

To create an inviting atmosphere, DoughDelights Bagels will host in-store events such as “Create Your Own Bagel” days or bagel-tasting events. These experiences will encourage customers to step into the shop and engage directly with the product.

Loyalty Programs

A loyalty program will reward repeat customers with discounts, freebies, or exclusive offers. This program will incentivize customers to return and make DoughDelights Bagels their go-to bagel destination.

Collaborations and Partnerships

DoughDelights Bagels will partner with local businesses and influencers to reach new audiences. These collaborations can include co-created products, cross-promotions, or social media takeovers.

Direct Mail and Local Advertising

A direct mail campaign will target local residents with attractive offers, while local advertising in newspapers and on local radio stations will raise awareness about DoughDelights Bagels among residents of Methuen and the surrounding areas.

Public Relations

Public relations efforts will focus on getting featured in local food blogs, magazines, and newspapers to establish credibility and attract food enthusiasts. Press releases about new offerings and milestones will keep the shop in the public eye.

Through a dynamic mix of online marketing, community engagement, and creative promotional tactics, DoughDelights Bagels will become a beloved staple for bagel lovers in Methuen, MA. The shop expects to draw customers in with its delicious bagels and keep them coming back with its warm, community-focused approach.

VII. Operations Plan

Our Operations Plan details:

• The key day-to-day processes that our business performs to serve our customers
• The key business milestones that our company expects to accomplish as we grow

Key Operational Processes

• Build relationships with suppliers to ensure steady delivery of high-quality, fresh ingredients.
• Regularly check inventory levels to maintain an adequate supply of bagel-making essentials such as flour, yeast, and toppings.
• Source locally-produced ingredients when possible to support local businesses and maintain freshness.
• Follow a consistent recipe and baking schedule to provide fresh bagels throughout the day.
• Maintain a clean and organized kitchen to ensure efficient production and adherence to health codes.
• Train staff on proper bagel-making techniques to ensure product quality and consistency.
• Train staff on customer service best practices to create a welcoming and friendly atmosphere.
• Implement a point-of-sale system to streamline transactions and maintain accurate sales records.
• Respond promptly to customer feedback and reviews to improve service and address any concerns.
• Keep the dining and service areas clean and inviting to enhance customer experience.
• Perform regular maintenance on equipment to prevent downtime and ensure operational efficiency.
• Schedule cleaning tasks throughout the day to maintain hygiene standards.
• Utilize social media platforms to engage with the community and promote daily specials.
• Develop loyalty programs to encourage repeat business and reward regular customers.
• Collaborate with local businesses and participate in community events for brand visibility.
• Monitor daily sales and expenses to ensure the business remains profitable.
• Prepare and review financial reports regularly to identify trends and inform decision-making.
• Manage cash flow carefully to cover operational costs and plan for future investments.
• Stay up-to-date with local health codes and food safety regulations to ensure compliance.
• Train staff on proper food handling and sanitation practices to prevent contamination.
• Conduct regular health and safety audits to identify and address potential hazards.
• Regularly assess and update the menu based on customer preferences and seasonal availability of ingredients.
• Experiment with new flavors and combinations to keep the menu exciting and attract new customers.
• Gather customer feedback on menu items to refine offerings and improve satisfaction.
• Schedule staff effectively to cover peak times while controlling labor costs.
• Conduct ongoing training to improve skills and promote a culture of excellence.
• Provide feedback and performance evaluations to staff to encourage growth and improvement.
• Securing a Prime Location:  Identify and lease a storefront in a high-traffic area of Methuen, MA that is easily accessible to our target customer base.
• Obtaining Permits and Licenses:  Secure all necessary permits and licenses from local and state authorities to operate a food service establishment legally.
• Restaurant Build-Out:  Complete the build-out of the shop with a well-designed layout for efficient operations and customer comfort, including kitchen setup and seating area.
• Hiring and Training Staff:  Recruit a team of skilled bakers and baristas, and provide comprehensive training to ensure high-quality product and service standards.
• Supply Chain Establishment:  Partner with reliable suppliers for high-quality ingredients and negotiate favorable terms to control costs and ensure a consistent supply chain.
• Soft Launch:  Open the shop to friends and family for a trial run to gather feedback and make necessary operational adjustments before the official opening.
• Grand Opening (Launch our bagel shop):  Host a grand opening event to create buzz and introduce DoughDelights Bagels to the local community.
• Marketing and Promotions:  Implement an ongoing marketing strategy, including social media, local advertising, and community events, to build brand awareness and attract customers.
• Consistent Quality and Service Monitoring:  Establish regular quality checks and customer service training to ensure a positive customer experience.
• Financial Milestone (Get to $15,000/month in revenue):  Achieve the initial sales target of $15,000 per month, ensuring that the business is on the path to profitability.

VIII. Management Team

Our management team has the experience and expertise to successfully execute on our business plan.

Management Team Members

DoughDelights Bagels management team, which includes the following members, has the experience and expertise to successfully execute on our business plan:

Dominic Gonzales, President

Dominic Gonzales is a seasoned entrepreneur with a robust background in the foodservice industry. His experience includes the successful operation of a bagel shop, which provided him with valuable insights into the market and consumer preferences. Dominic’s expertise in managing food establishments is a cornerstone for DoughDelights Bagels, ensuring the company’s operations are efficient and customer-oriented. His previous accomplishments in the industry are a testament to his ability to lead the team towards lasting success, leveraging his knowledge in product development, staff management, and strategic planning.

IX. Financial Plan

Funding requirements/use of funds.

To accomplish our growth goals, DoughDelights Bagels needs $205,000 in funding. Key uses of this funding will be as follows:

Financial Projections

5 Year Annual Income Statement

5 year annual balance sheet, 5 year annual cash flow statement, what is a bagel shop business plan.

A bagel shop business plan is a document that outlines the strategies you have developed to start and/or grow your bagel shop. Among other things, it details information about your industry, customers and competitors to help ensure your company is positioned properly to succeed. Your bagel shop business plan also assesses how much funding you will need to grow your business and proves, via your financial forecasts, why the business is viable.  

Why You Need a Business Plan for your Bagel Shop

A business plan is required if you are seeking funding for your bagel shop. Investors and lenders will review your plan to ensure it meets their criteria before providing you with capital. In addition, a bagel shop business plan helps you and your team stay focused. It documents the strategies you must follow and gives you financial projections you should strive to achieve and against which you can judge your performance.  

Bagel Shop Business Plan Template PDF

Download our Bagel Shop Business Plan PDF to help guide you as you create your business plan for your own bagel shop business.  

Bagel Shop Business Plan Template & Guidebook

For aspiring entrepreneurs looking to open a new bagel shop, it can be difficult to know where to start and how to turn the idea of launching a business into reality. The #1 Bagel Shop Business Plan Template & Guidebook is an invaluable resource to those hoping to establish their own business, offering step-by-step instructions on how to create a business plan and guide them through the entire process from start to finish. This comprehensive resource provides entrepreneurs with all the information and advice they need to get their bagel shop up and running.

Get worry-free services and support to launch your business starting at $0 plus state fees.

• How to Start a Profitable Bagel Shop Business [11 Steps]
• 25 Catchy Bagel Shop Business Names:

How to Write a Bagel Shop Business Plan in 7 Steps:

1. describe the purpose of your bagel shop business..

The first step to writing your business plan is to describe the purpose of your bagel shop business. This includes describing why you are starting this type of business, and what problems it will solve for customers. This is a quick way to get your mind thinking about the customers’ problems. It also helps you identify what makes your business different from others in its industry.

It also helps to include a vision statement so that readers can understand what type of company you want to build.

Here is an example of a purpose mission statement for a bagel shop business:

Our mission is to make the freshest, most delicious bagels in the city, and to provide our customers with an enjoyable and welcoming shopping experience. We strive to create a vibrant, inviting atmosphere for our customers, and to create a positive impact in the local community by sourcing organic ingredients and supporting local suppliers.

2. Products & Services Offered by Your Bagel Shop Business.

The next step is to outline your products and services for your bagel shop business. 

When you think about the products and services that you offer, it's helpful to ask yourself the following questions:

• What is my business?
• What are the products and/or services that I offer?
• Why am I offering these particular products and/or services?
• How do I differentiate myself from competitors with similar offerings?
• How will I market my products and services?

You may want to do a comparison of your business plan against those of other competitors in the area, or even with online reviews. This way, you can find out what people like about them and what they don’t like, so that you can either improve upon their offerings or avoid doing so altogether.

3. Build a Creative Marketing Stratgey.

If you don't have a marketing plan for your bagel shop business, it's time to write one. Your marketing plan should be part of your business plan and be a roadmap to your goals. 

A good marketing plan for your bagel shop business includes the following elements:

Target market

• Who is your target market?
• What do these customers have in common?
• How many of them are there?
• How can you best reach them with your message or product?

Customer base 

• Who are your current customers? 
• Where did they come from (i.e., referrals)?
• How can their experience with your bagel shop business help make them repeat customers, consumers, visitors, subscribers, or advocates for other people in their network or industry who might also benefit from using this service, product, or brand?

Product or service description

• How does it work, what features does it have, and what are its benefits?
• Can anyone use this product or service regardless of age or gender?
• Can anyone visually see themselves using this product or service?
• How will they feel when they do so? If so, how long will the feeling last after purchasing (or trying) the product/service for the first time?

Competitive analysis

• Which companies are competing with yours today (and why)? 
• Which ones may enter into competition with yours tomorrow if they find out about it now through word-of-mouth advertising; social media networks; friends' recommendations; etc.)
• What specific advantages does each competitor offer over yours currently?

Marketing channels

• Which marketing channel do you intend to leverage to attract new customers?
• What is your estimated marketing budget needed?
• What is the projected cost to acquire a new customer?
• How many of your customers do you instead will return?

Form an LLC in your state!

4. Write Your Operational Plan.

Next, you'll need to build your operational plan. This section describes the type of business you'll be running, and includes the steps involved in your operations. 

In it, you should list:

• The equipment and facilities needed
• Who will be involved in the business (employees, contractors)
• Financial requirements for each step
• Milestones & KPIs
• Location of your business
• Zoning & permits required for the business

What equipment, supplies, or permits are needed to run a bagel shop business?

To run a Bagel Shop business, you will need the following equipment, supplies, and/or permits:

• Commercial oven to bake the bagels
• Mixers to mix dough
• Mixing bowls
• Measuring spoons and cups
• Bagel slicer and/or cutter
• Scoops for bagel toppings
• Trays for carrying bagels
• Food Service Permit
• Business License

5. Management & Organization of Your Bagel Shop Business.

The second part of your bagel shop business plan is to develop a management and organization section.

This section will cover all of the following:

• How many employees you need in order to run your bagel shop business. This should include the roles they will play (for example, one person may be responsible for managing administrative duties while another might be in charge of customer service).
• The structure of your management team. The higher-ups like yourself should be able to delegate tasks through lower-level managers who are directly responsible for their given department (inventory and sales, etc.).
• How you’re going to make sure that everyone on board is doing their job well. You’ll want check-ins with employees regularly so they have time to ask questions or voice concerns if needed; this also gives you time to offer support where necessary while staying informed on how things are going within individual departments too!

6. Bagel Shop Business Startup Expenses & Captial Needed.

This section should be broken down by month and year. If you are still in the planning stage of your business, it may be helpful to estimate how much money will be needed each month until you reach profitability.

Typically, expenses for your business can be broken into a few basic categories:

Startup Costs

Startup costs are typically the first expenses you will incur when beginning an enterprise. These include legal fees, accounting expenses, and other costs associated with getting your business off the ground. The amount of money needed to start a bagel shop business varies based on many different variables, but below are a few different types of startup costs for a bagel shop business.

Running & Operating Costs

Running costs refer to ongoing expenses related directly with operating your business over time like electricity bills or salaries paid out each month. These types of expenses will vary greatly depending on multiple variables such as location, team size, utility costs, etc.

Marketing & Sales Expenses

You should include any costs associated with marketing and sales, such as advertising and promotions, website design or maintenance. Also, consider any additional expenses that may be incurred if you decide to launch a new product or service line. For example, if your bagel shop business has an existing website that needs an upgrade in order to sell more products or services, then this should be listed here.

7. Financial Plan & Projections

A financial plan is an important part of any business plan, as it outlines how the business will generate revenue and profit, and how it will use that profit to grow and sustain itself. To devise a financial plan for your bagel shop business, you will need to consider a number of factors, including your start-up costs, operating costs, projected revenue, and expenses. 

Here are some steps you can follow to devise a financial plan for your bagel shop business plan:

• Determine your start-up costs: This will include the cost of purchasing or leasing the space where you will operate your business, as well as the cost of buying or leasing any equipment or supplies that you need to start the business.
• Estimate your operating costs: Operating costs will include utilities, such as electricity, gas, and water, as well as labor costs for employees, if any, and the cost of purchasing any materials or supplies that you will need to run your business.
• Project your revenue: To project your revenue, you will need to consider the number of customers you expect to have and the average amount they will spend on each visit. You can use this information to estimate how much money you will make from selling your products or services.
• Estimate your expenses: In addition to your operating costs, you will need to consider other expenses, such as insurance, marketing, and maintenance. You will also need to set aside money for taxes and other fees.
• Create a budget: Once you have estimated your start-up costs, operating costs, revenue, and expenses, you can use this information to create a budget for your business. This will help you to see how much money you will need to start the business, and how much profit you can expect to make.
• Develop a plan for using your profit: Finally, you will need to decide how you will use your profit to grow and sustain your business. This might include investing in new equipment, expanding the business, or saving for a rainy day.

Frequently Asked Questions About Bagel Shop Business Plans:

Why do you need a business plan for a bagel shop business.

A business plan for a bagel shop business is important because it provides a roadmap for the owners to follow and helps them understand the goals and objectives of their venture. It can help them create a budget, secure financing, identify the target market for their products, plan for marketing and promotion, secure necessary permits and licenses, calculate start-up costs, and develop operational plans. It also outlines operational procedures, staff members' roles, and describes potential risks that could affect the success of the business. In short, a business plan is essential for any business as it serves as an integral part of the overall planning process.

Who should you ask for help with your bagel shop business plan?

It is a good idea to consult an experienced business consultant or a business advisor who can help walk you through the process of creating a business plan. They should be able to provide advice and guidance on market research, choosing the right location, financial projections, and developing a strategy to succeed. Additionally, they can help connect you with resources such as financing partners or potential investors.

Can you write a bagel shop business plan yourself?

Writing a business plan for a bagel shop can be a time consuming and detailed process, but it is necessary in order to create a successful business. The process involves researching the market, setting goals and objectives, estimating financial needs and creating marketing strategies. The following steps will help you create your own business plan for a bagel shop: 1. Research the Market: Before you open a bagel shop, research the local area to determine the demand for your product and the competition in the area. Look up census data and information on competitor's products and prices to get an idea of how successful your business could be. 2. Set Goals and Objectives: After researching the market, set goals and objectives for your business that are realistic and achievable. Consider what type of bagel shop you want to create (e.g., artisanal or traditional) as well as factors such as location, hours of operation, menu items, pricing structure, etc. 3. Estimate Financial Needs: Use your goals and objectives to estimate how much capital you will need to open your bagel shop including startup costs for equipment, inventory, employees, leasing space etc. Also include an estimation of ongoing operational costs such as utilities, wages and rent expenses that will need to be covered each month. 4. Create Marketing Strategies: Develop marketing strategies to help you acquire new customers as well as retain current ones including advertising options such as radio/television commercials or social media campaigns featuring deals or discounts on certain items or events held at the store (e.g., sampling days). Additionally look into ways that you can become involved in the local community through collaborations with other businesses or charities that align with your mission or values. These steps will help you develop a comprehensive business plan for your bagel shop that includes realistic goals and objectives which show potential investors that you are serious about running a successful business.

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I'm Nick, co-founder of newfoundr.com, dedicated to helping aspiring entrepreneurs succeed. As a small business owner with over five years of experience, I have garnered valuable knowledge and insights across a diverse range of industries. My passion for entrepreneurship drives me to share my expertise with aspiring entrepreneurs, empowering them to turn their business dreams into reality.

Through meticulous research and firsthand experience, I uncover the essential steps, software, tools, and costs associated with launching and maintaining a successful business. By demystifying the complexities of entrepreneurship, I provide the guidance and support needed for others to embark on their journey with confidence.

From assessing market viability and formulating business plans to selecting the right technology and navigating the financial landscape, I am dedicated to helping fellow entrepreneurs overcome challenges and unlock their full potential. As a steadfast advocate for small business success, my mission is to pave the way for a new generation of innovative and driven entrepreneurs who are ready to make their mark on the world.

Bagel Shop Business Plan

Are you a bagel lover with dreams of starting your own bagel shop? Look no further! In this blog post, we will guide you through the process of creating a comprehensive bagel shop business plan. Whether you are seeking investors or simply want to have a blueprint for success, a well-crafted business plan is essential.

The bagel industry is booming, and with the right strategy and execution, your bagel shop can become a go-to destination for bagel enthusiasts in your area. This blog post will cover all the important aspects of a bagel shop business plan, including market analysis, management structure, product descriptions, marketing and sales strategies, and financial projections.

First, we will delve into the executive summary, providing an overview of your bagel shop business. This section will give readers a clear understanding of your business goals and objectives.

Next, we will discuss the company description and market analysis. This section will outline your bagel shop in detail, including its unique features and offerings. Moreover, we will identify your target market and analyze market trends to help you position your bagel shop for success.

The organization and management structure is another crucial aspect of your bagel shop business plan. We will explore the key members of your management team, the ownership structure, and the roles and responsibilities of each team member. This section will highlight the expertise and skills required to effectively run a bagel shop.

Of course, no bagel shop business plan is complete without a thorough discussion of your products, services, and operations. We will delve into the description of your bagels and other products, as well as your pricing strategy. Additionally, we will address important factors like operating hours and operations management to ensure smooth and efficient operations.

Marketing and sales strategies are vital for attracting customers and building a strong customer base. In this blog post, we will provide a comprehensive marketing plan and sales strategy to help you effectively promote your bagel shop and increase sales. We will also discuss the best methods for promoting and advertising your bagel shop to your target market.

Lastly, we will explore financial projections and funding requests. This section will outline revenue and cost projections, allowing you to plan your finances effectively. If you are seeking investment, we will guide you on how to present a compelling funding request. Additionally, we will touch upon the exit strategy, if applicable, to ensure you have a plan for the future.

Starting a bagel shop can be an exciting and rewarding venture. With a well-crafted business plan, you can set yourself up for success. So, grab a cup of coffee and join us as we dive into the world of bagel shop business plans!

Executive Summary: An Overview of Your Bagel Shop Business

The executive summary is a crucial part of your bagel shop business plan as it provides an overview of your entire business. This section should be concise, yet informative, giving readers a clear understanding of your business concept, goals, and strategies. It serves as an introduction to your business plan and should be compelling enough to capture the attention of potential investors or partners. In this section, you will summarize the key points and highlights of your bagel shop business plan.

Key components to include in your executive summary:

Business Concept: Begin by providing a brief description of your bagel shop and its unique selling proposition. Explain what sets your bagel shop apart from competitors and why customers will choose your establishment.

Objectives: Clearly state your business goals and objectives. Are you aiming to become the go-to bagel shop in your area? Do you plan to expand to multiple locations in the future? Outline your short-term and long-term objectives.

Target Market: Identify your target market and describe their preferences, demographics, and buying behaviors. This will demonstrate that you have conducted thorough market research and understand your potential customers.

Competitive Advantage: Highlight the competitive advantages your bagel shop possesses. This could include factors such as a prime location, unique flavors or ingredients, exceptional customer service, or innovative marketing strategies.

Marketing and Sales Strategy: Provide a high-level overview of your marketing and sales approach. Explain how you plan to attract customers, build brand awareness, and generate revenue. Mention any specific marketing channels or tactics you will utilize.

Financial Summary: Give a brief overview of your financial projections, including key financial indicators such as sales revenue, profitability, and return on investment. This will provide potential investors with a snapshot of the financial viability of your bagel shop.

Remember, the executive summary should be concise, typically ranging from one to two pages. It should be written in a compelling and persuasive manner, enticing readers to continue exploring the rest of your business plan. Keep in mind that although it appears at the beginning of your plan, it is often written last, after you have completed the other sections. This way, you can effectively summarize all the important aspects of your bagel shop business plan.

Company Description and Market Analysis

In the company description and market analysis section of your bagel shop business plan, you will provide a detailed description of your bagel shop, identify your target market, and conduct a comprehensive analysis of the market trends and competition. This section will give readers a deeper understanding of your business and the industry landscape.

• Detailed Description of Your Bagel Shop:
• Start by providing an overview of your bagel shop’s concept, mission, and vision.
• Describe the type of bagels you will offer, including any unique flavors or ingredients.
• Explain the ambiance and atmosphere of your shop, highlighting any special features or design elements.

Discuss your location and the rationale behind choosing it. Consider factors such as foot traffic, proximity to residential or commercial areas, and accessibility.

Target Market Identification:

• Clearly define your target market, including demographics (age, gender, income, etc.) and psychographics (lifestyle, preferences, habits, etc.).
• Explain why this specific market segment is the ideal audience for your bagel shop.

Discuss the size and growth potential of your target market, supporting your claims with market research or data.

Market Analysis and Trends:

• Conduct a thorough analysis of the bagel industry, including its current state and future outlook.
• Identify market trends, such as the increasing demand for artisanal or specialty bagels, health-conscious options, or customization.
• Explore any external factors that may impact the bagel industry, such as changing consumer preferences, economic conditions, or technological advancements.

Use industry reports, market research, and competitor analysis to support your findings.

Competitive Analysis:

• Identify your direct and indirect competitors in the local area or broader market.
• Analyze their strengths, weaknesses, and unique selling points.
• Assess their pricing strategies, customer service, marketing efforts, and market share.

Highlight how your bagel shop will differentiate itself from the competition and attract customers.

SWOT Analysis:

• Conduct a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) for your bagel shop.
• Identify the internal strengths and weaknesses of your business, such as your team’s expertise, operational efficiency, or potential challenges.
• Evaluate external opportunities, such as untapped market segments or partnerships, that can benefit your bagel shop.
• Address potential threats, such as intense competition, changing consumer preferences, or regulatory constraints, and discuss how you plan to mitigate them.

By thoroughly describing your bagel shop, identifying your target market, and conducting a comprehensive market analysis, you will gain valuable insights into the industry and position your business for success. This section serves as the foundation for the subsequent sections of your business plan, allowing you to develop effective strategies and make informed decisions.

Organization and Management Structure

In the organization and management structure section of your bagel shop business plan, you will provide details about the key members of your management team, outline the ownership structure, and define the roles and responsibilities of each team member. This section is essential as it demonstrates that you have a well-structured and capable team to successfully run your bagel shop.

• Your Bagel Shop’s Management Team:
• Introduce the members of your management team, including their names, positions, and a brief background.
• Highlight their relevant experience in the food and beverage industry, particularly in the bakery or restaurant sectors.

Emphasize any specific skills or expertise that make your team well-suited for managing a bagel shop, such as culinary knowledge, business management, or customer service.

Ownership Structure:

• Outline the ownership structure of your bagel shop, including the names of the owners and their percentage of ownership.
• Discuss any partnerships or investors involved in the business and their roles, if applicable.

Explain the rationale behind the chosen ownership structure and how it aligns with your long-term goals.

Roles and Responsibilities of Team Members:

• Define the roles and responsibilities of each member of your management team, including the owner(s) and any key personnel.
• Specify the areas they will oversee, such as operations, finance, marketing, or customer service.
• Highlight their specific responsibilities, such as menu development, staff management, inventory control, or financial management.

Emphasize how each team member’s expertise contributes to the overall success of your bagel shop.

Staffing Plan:

• Discuss your staffing requirements, including the number of employees needed and their respective roles.
• Outline the qualifications and skills you are seeking in your staff, such as experience in the food industry, knowledge of food safety regulations, or excellent customer service skills.
• Describe your plan for recruitment, training, and retention of employees.

Mention any key positions that need to be filled initially, such as bakers, front-of-house staff, or delivery personnel.

Advisory Board or Consultants:

• If applicable, mention any external advisors or consultants you plan to engage to support your bagel shop’s operations.
• Explain the expertise they bring to the table and how their guidance will benefit your business.
• Highlight any industry experts, mentors, or professionals who will provide valuable insights or advice.

By showcasing a strong and capable management team, along with a well-defined organizational structure, you will instill confidence in potential investors, lenders, and partners. The organization and management structure section of your business plan demonstrates that you have the necessary leadership and expertise to successfully operate and grow your bagel shop.

Products, Services, and Operations

In the products, services, and operations section of your bagel shop business plan, you will provide a detailed description of your bagels and other products, discuss your pricing strategy, and outline the operational aspects of your business. This section is crucial as it showcases the core offerings of your bagel shop and how you plan to deliver them efficiently to your customers.

• Description of Bagels and Other Products:
• Provide a comprehensive description of the types of bagels you will offer, including traditional flavors and any unique or specialty options.
• Discuss the ingredients used in your bagels, emphasizing their quality and freshness.
• Highlight any other bakery products or complementary items you plan to offer, such as pastries, sandwiches, or coffee.

Explain any special dietary options you will provide, such as gluten-free or vegan bagels, to cater to a wider range of customers.

Pricing Strategy:

• Outline your pricing strategy for bagels and other products.
• Consider factors such as ingredient costs, market prices, and competitor pricing to determine your pricing structure.
• Explain any discounts, promotions, or loyalty programs you plan to implement to attract and retain customers.

Discuss how you will balance profitability with offering competitive prices.

Operating Hours and Operations Management:

• Detail the operating hours of your bagel shop, including weekdays, weekends, and holidays.
• Explain the rationale behind your chosen hours, considering factors such as customer demand, foot traffic, and operational efficiency.
• Outline your operations management plan, including the process for bagel production, inventory control, and quality assurance.

Discuss your approach to maintaining cleanliness, health, and safety standards in your facility.

Suppliers and Ingredients:

• Identify your suppliers for bagel ingredients and other bakery products.
• Highlight the quality and reliability of your suppliers, emphasizing their adherence to food safety regulations.

Discuss any local or sustainable sourcing practices you plan to implement to enhance the quality and appeal of your bagels.

Equipment and Technology:

• List the equipment and machinery needed to operate your bagel shop efficiently, such as ovens, mixers, and display cases.
• Discuss any technology you plan to utilize, such as point-of-sale systems, online ordering platforms, or customer relationship management software.
• Explain how these tools will streamline your operations, enhance customer experience, and contribute to the overall success of your bagel shop.

By providing a comprehensive description of your bagels and other products, outlining your pricing strategy, and detailing your operations management plan, you will demonstrate to readers that you have a well-thought-out approach to delivering high-quality bagels and running your business efficiently. This section of your business plan is crucial for potential investors, lenders, and partners to understand the core offerings and operational aspects of your bagel shop.

Marketing and Sales Strategy

In the marketing and sales strategy section of your bagel shop business plan, you will outline your plans to attract customers, build brand awareness, and drive sales. This section is essential as it demonstrates your ability to effectively promote your bagel shop and generate revenue.

• Marketing Plan:
• Define your target market and explain how you will reach and engage with them.
• Identify the key marketing channels you will utilize, such as online platforms, social media, local advertising, or collaborations with local businesses.
• Discuss your branding strategy, including your brand values, positioning, and visual identity.

Outline your marketing budget and allocate funds to various marketing initiatives.

Sales Strategy:

• Describe your approach to generating sales and increasing customer retention.
• Explain how you will attract customers through various sales channels, such as walk-ins, online orders, or catering services.
• Discuss your pricing strategy and any promotional offers or discounts you plan to implement.

Outline your customer service strategy, emphasizing the importance of delivering exceptional service to create loyal customers.

Promotion and Advertising Plan:

• Detail your promotional activities to create awareness and drive traffic to your bagel shop.
• Discuss any partnerships or collaborations with local businesses or influencers to expand your reach.
• Outline your advertising strategy, including online ads, print media, radio, or outdoor advertising.

Explain how you will leverage social media platforms and online marketing techniques to create buzz and engage with your target audience.

Online Presence:

• Discuss your online presence strategy, including the development and maintenance of a professional website.
• Highlight the importance of search engine optimization (SEO) and how you plan to optimize your website to rank higher in search engine results.
• Outline your social media strategy, including the platforms you will utilize, the type of content you will share, and how you will engage with your audience.

Explore the potential of online delivery platforms and how you will utilize them to reach a wider customer base.

Customer Relationship Management:

• Explain how you will build and maintain relationships with your customers.
• Discuss your plans for collecting customer feedback and implementing improvements based on their suggestions.
• Outline customer loyalty programs or incentives to encourage repeat business.
• Emphasize the importance of providing excellent customer service and resolving any customer issues promptly and satisfactorily.

By developing a comprehensive marketing and sales strategy, you will showcase your ability to attract customers, create brand awareness, and drive revenue for your bagel shop. This section of your business plan demonstrates your understanding of the importance of effective marketing and sales techniques in a competitive market.

Financial Projections and Funding Request

In the financial projections and funding request section of your bagel shop business plan, you will present your revenue and cost projections, outline your funding requirements if seeking investment, and discuss your exit strategy if applicable. This section is crucial as it demonstrates the financial viability and potential profitability of your bagel shop.

• Revenue and Cost Projections:
• Provide a detailed breakdown of your projected revenue streams, such as bagel sales, other bakery products, and any additional services you offer.
• Estimate your monthly and annual sales figures, taking into account factors such as market demand, pricing strategy, and anticipated growth.
• Discuss the cost of goods sold (COGS), including ingredients, packaging, and any direct labor costs.
• Outline other operating expenses, such as rent, utilities, marketing, insurance, and employee salaries.

Present your projected net income, highlighting your expected profitability over time.

Funding Request (If Seeking Investment):

• If you are seeking investment or financing, clearly state the amount of funding you require and the purpose for which it will be used.
• Justify the funding request by explaining how the investment will contribute to the growth and success of your bagel shop.
• Provide a breakdown of how the funds will be allocated, such as equipment purchase, marketing campaigns, working capital, or expansion plans.

Outline any potential return on investment (ROI) for investors, including projected revenue growth and profitability.

Exit Strategy (If Applicable):

• If you have plans for a potential exit from the business, such as selling the bagel shop or transferring ownership, discuss your exit strategy.
• Explain the circumstances under which you envision an exit, such as reaching a specific revenue milestone, market conditions, or personal goals.
• Discuss the potential options for exiting the business, such as finding a buyer, succession planning, or merging with another company.

Highlight any potential returns or benefits for stakeholders in the event of an exit.

Financial Assumptions and Risks:

• Clearly state the assumptions you have made in your financial projections, such as growth rates, market conditions, or pricing stability.
• Identify the potential risks and challenges that may impact the financial performance of your bagel shop, such as competition, changing consumer preferences, or economic downturns.
• Discuss how you plan to mitigate these risks and make adjustments to your financial projections if necessary.

By presenting comprehensive financial projections, demonstrating the funding requirements if seeking investment, and discussing a potential exit strategy, you will showcase the financial viability and potential return on investment for your bagel shop. This section of your business plan helps investors, lenders, and potential partners assess the financial health and potential profitability of your business.

Home » Food

How to Start a Bagel Shop Business [Business Plan]

A bagel shop is usually a small limited-service shop that bakes and sells bagels, coffee, and other breakfast items. A bagel shop business can be as small as a single location or as big as a national chain. A good number of successful bagel shops are regional, having a few locations in a particular area.

A bagel is a doughnut-shaped yeast-leavened roll that is characterized by a crisp, shiny crust and a dense interior. Long regarded as a Jewish specialty item, the bagel is commonly eaten as a breakfast food or snack, often with toppings such as cream cheese and lox (smoked salmon).

Available statistics show that the market size of the bagel stores industry is $1.8bn and it is expected to increase 3.2%. Researchers estimate that fresh bagels account for $833.04 million in sales every year, while refrigerated bagel sales generate approximately $129.49 million and frozen bagels generate $27.55 million in annual sales at supermarkets, drugstores, and dollar retail chains across the nation.

Steps on How to Start a Bagel Shop Business

Conduct market research.

If you are considering starting a bagel shop, you would need reliable market research to be able to maximize profits from the business. The first step in the market research process for your bagel shop should be to develop market-based research questions in line with your overall business goal and objective.

In this regard, you should source for information that will help you maximize your business, give you reliable data, and clue of what your potential market will be looking out for from a bagel shop and also help you operate your bagel shop with less stress and build the business to profitability.

a. Who is the Target Market for Bagel Shop Business?

If you are thinking of opening a bagel shop then you should make target demographics all-encompassing. It should include children, students, migrants, entrepreneurs, business people, tourists, and every adult in the neighborhood where your bagel shop will be located.

b. Is Bagel Shop a Profitable Business?

Yes, the bagel shop business is very profitable. According to this statistic, 202.07 million Americans consumed bagels in 2020. This figure is projected to increase to 205.34 million in 2024.

c. Are There Existing Niches in the Industry?

No, there are no existing niches when it comes to the bagel shop business.

d. Who are the Major Competitors?

• Einstein Bros Bagels. Lakewood, Colorado
• Thomas’. Horsham, Pennsylvania
• Sara Lee International. Horsham, Pennsylvania
• Nature’s Own. Thomasville, Georgia
• Pepperidge Farm. Norwalk, Connecticut
• Udi’s. Boulder, Colorado
• Franz Family Bakeries. Portland, Oregon
• Trader Joe’s. Monrovia, California
• Lender’s Bagels. Horsham, Pennsylvania
• Ray’s New York Bagels. Sharon, Massachusetts
• LilyPopp Cafe – Anaheim, California
• Boil & Bake Bagels – Flower Mound, Texas
• Talia’s Grille – Philadelphia, PA
• County Farm Bagels – Winfield, Ilinois
• Bear’s Cup – Bolton, New York
• Fat Ducks Deli & Bakery – Seattle, WA
• Tega Cay Gourmet Deli – Tega Cay, SC
• The Bagel Maker – Panama City, Florida
• Ozark Mountain Bagel – Bentonville, Arizona
• Royalicious Bagel Bakery – Charles Town, West Virginia.

e. Are There County or State Regulations or Zoning Laws for Bagel Shop Business?

Yes, there are county and state regulations and zoning laws for bagel shops in the United States. Please note that the Food and Drug Administration (FDA) sets the federal Food Code but it doesn’t oversee individual bagel shops. Instead, the various states use the Food Code as the basis for their food codes. They may adopt its rules, interpret them differently or set their own rules.

It is important to also state that in the United States, you are required to follow your state’s foodservice code. Visit the FDA website for a list of food service codes by state. Use this to find the state authority handling restaurants and bars and view the laws that apply in your state.

f. Is There a Franchise for Bagel Shop Business?

Yes, there are franchise opportunities for bagel shops. Here are some of them;

• NYC Bagel and Sandwich Shop
• Davidovich Bakery NYC
• Big Apple Bagels/My Favorite Muffin
• Einstein Bros.
• Dunkin’ Donuts
• Between Rounds
• New York Bagel Café & Deli
• Brooklyn Water Bagel
• Bagel World
• Barry Bagels
• Manhattan Bagel
• The Great American Bagel Bakery.

g. What Do You Need to Start a Bagel Shop Business?

• A Feasibility Report
• Business and Marketing Plans
• Business Licenses and Permits
• A Good Shop facility
• EIN (Employer Identification Number)/Federal Tax ID Number.
• A Corporate Bank Account
• Supplies of ingredients
• Startup Capital

Memorable Bagel Shop Business Names

• Hunger Zone© Bagel Shop, Inc.
• Zone Zero® Bagel Shop, LLC
• Deep Cookers© Bagel Shop, Inc.
• Lauretta McKenzie® Bagel Shop, Inc.
• Milky Way™ Bagel Shop, Inc.
• Francis Highlander™ Bagel Shop, LLC.
• All Day© Bagel Shop, LLC
• Donie Silvans® Bagel Shop, Inc.
• George Finney© Bagel Shop, Inc.
• Day Fresh© Bagel Shop, Inc.
• Larry Duncan® Bagel Shop, LLC
• King Baker® Bagel Shop, LLC
• Lowey Martins™ Bagel Shop, LLC
• Benny Blanco© Bagel Shop, Inc.
• Alex Core® Bagel Shop, Inc.
• Mouth Full™ Bagel Shop, Inc.
• Rees Morgan™ Bagel Shop, Inc.
• Big Bite© Bagel Shop, Inc.
• Tripple Bites® Bagel Shop, LLC
• Plaxton Foods™ Bagel Shop, Inc.

Register Your Business

A. what type of business structure is best for bagel shop.

The truth is that there are several options when it comes to the business structure of a bagel shop, but the one that most players in this line of business consider is an LLC. It is common to consider an LLC because providers want to protect themselves from lawsuits.

Please note that an LLC will need an EIN if it has employees or if it will be required to file any of the excise tax forms listed below.

b. Steps to Form an LLC

• Choose a Name for Your LLC.
• File Articles of Organization.
• Choose a registered agent.
• Decide on member vs. manager management.
• Create an LLC operating agreement.
• Comply with other tax and regulatory requirements.
• File annual reports.

c. What Type of License is Needed to Open a Bagel Shop Business?

• General Business License
• Health and Safety Permit
• Food Handlers’ License
• Zonal Permits
• Signage Permit
• Operational State Facility Inspections
• A music license if you want to play recorded music in your bagel shop
• A dumpster placement permit that specifies where you can put your dumpster outside your bagel shop

d. What Type of Certification is Needed to Open a Bagel Shop Business?

You don’t need any certifications to open a bagel shop business.

e. What Documents are Needed to Open a Bagel Shop Business?

• Business and liability insurance
• Federal Tax Payer’s ID
• State Permit and Building Approval
• Certificate of Incorporation
• Business License
• Business Plan
• Employment Agreement (offer letters)
• Operating Agreement for LLCs
• Insurance Policy
• Online Terms of Use
• Online Privacy Policy Document
• Contract Document
• Company Bylaws
• Memorandum of Understanding (MoU)

f. Do You Need a Trademark, Copyright, or Patent?

If you are considering opening a bagel shop business, usually you may not have any need to file for intellectual property protection or trademark. This is because the nature of the business makes it possible for you to successfully run it without having any cause to challenge anybody in court for illegally making use of your company’s intellectual properties.

Cost Analysis and Budgeting

A. how much does it cost to start a bagel shop business.

There is no clear-cut startup cost for a bagel shop, but available data shows that the cost of starting a bagel shop ranges between $35,000 to $250,000. But if you intend to buy a bagel shop franchise, then you should look towards spending approximately $350,000.

b. What are the Costs Involved in Starting a Bagel Shop

• Business Registration Fees – $750.
• Legal expenses for obtaining licenses and permits – $1,300.
• Marketing, Branding and Promotions – $1,000.
• Business Consultant Fee – $2,500.
• Insurance – $1,400.
• Rent/Lease – $35,000.
• Other start-up expenses include commercial satellite TV subscriptions, phone and utility deposits ($1,800).
• Operational Cost (salaries of employees, payments of bills et al) – $30,000
• Start-up Inventory – $15,000
• Store Equipment (cash register, security, ventilation, signage) – $1,750
• Furnishing and Equipping the Shop and Kitchen – $50,000
• Website: $600
• Opening party: $3,000
• Miscellaneous: $2,000

c. What Factors Determine the Cost of Opening a Bagel Shop Business?

• The size of the bagel shop
• The choice of location
• The required licenses and permits
• The types of bagels (boiled, baked, and golden-brown bagels) and related products
• The cost for branding, promotion, and marketing of the bagel shop
• The cost for furnishing and equipping the facility
• The cost of insurance
• The cost for registering the business
• Source of your supplies and ongoing expenses
• Cost of recruiting and training your staff
• The cost for the purchase and customizing of uniforms
• The cost for the grand opening of the bagel shop business

d. Do You Need to Build a Facility? If YES, How Much Will It Cost?

It is not compulsory to build a new facility for your bagel shop business, but if you have the required finance, it will pay you to build your facility. The truth is that building or reconstructing a facility will help you come up with a facility that will perfectly fit into your overall business goals and vision.

e. What are the Ongoing Expenses of a Bagel Shop Business?

• Supplies (inventory expenses)
• Utility bills (internet subscriptions, phone bills, signage and software renewal fees et al)
• Salaries of employees

f. What is the Average Salary of your Staff?

• Shop Manager (Owner) – $45,000 Per Year
• Accountant – $32,630,000 Per Year
• Bakers – $30,000 Per Year
• Delivery Guys – $28,100 Per Year
• Cleaners – $25,000 Per Year
• Security Guard -$24,000 Per Year

g. How Do You Get Funding to Start a Bagel Shop Business

• Raising money from personal savings and sale of personal stocks and properties
• Raising money from investors and business partners
• Sell shares to interested investors
• Applying for a loan from your bank/banks
• Source for soft loans from your family members and friends.

Write a Business Plan

A. executive summary.

Big Bite© Bagel Shop, Inc. is a registered bagel shop business that will be located in one of the busiest business and residential districts in San Francisco, California. We have been able to lease a shop facility along a major road that can fit into the kind of bagel shop that we intend launching and the shop facility is located in a corner piece property directly opposite the largest shopping mall in San Francisco, California.

b. Products and Service

• Different types of bagels (boiled, baked, chocolate chip bagels, cinnamon raisin bagels, blueberry bagels, salt bagels, poppy seed bagels, and golden-brown bagels)
• Beverages and water

c. Mission Statement

Our mission is to establish a bagel shop business whose bagels will be celebrated for their tender, chewy texture and refined taste. We want to be one of the top 10 largest bagel brands in the United States.

Vision Statement

Our vision is to build a business that will not just sell bagels but a business of global-minded entrepreneurs.

d. Goals and Objectives

The goals and objectives of a bagel shop business are to provide a retail outlet where patrons can go to buy or order bagels if the shop has delivery options.

c. Organizational Structure

• Shop Manager (Owner)
• Delivery Guys
• Security Guard

Marketing Plan

A. swot analysis.

• Ideal location for a bagel shop business
• Highly experienced and qualified employees and management
• Access to finance from business partners
• Unique bagel recipe.
• Reliable and efficient inventory management system.
• Financial constraints may restrict the publicity and branding of the business
• A new business that will be competing with well-established bagel shops in the city.
• Inability to retain our highly experienced employees longer than we want during the teething stage of the business.

Opportunities:

• Bagels are Popular
• They are quite Affordable
• Ability to Cater to Everyone
• It’s a Niche Restaurant Type
• It’s Easier to Franchise
• You Can Be More Creative
• More Financial Aid Options
• Online market, new services, new technology, and of course the opening of new markets.
• The arrival of new bagel shop within our market space
• Economic uncertainty
• Liability problems
• The U.S. Food and Drug Administration (FDA) could change its regulatory status and decide to enforce strict regulations that can strangulate new businesses like ours.

b. How Do Bagel Shops Make Money?

Bagel shops make money by selling the following products;

c. Payment Options

• Payment with cash
• Payment via credit cards
• Payment via online bank transfer
• Payment via mobile money transfer

d. Sales & Advertising Strategies

• Introduce your bagel shop business by sending introductory letters alongside your brochure to households, gyms, schools, socialites, and other key stakeholders throughout the city where your bagel shop business is located.
• Advertise on the internet on blogs and forums, and also on social media like Twitter, Facebook, LinkedIn to get your message across
• Create a basic website for your business to give your business an online presence
• Directly market your products.
• Engage in roadshows in targeted communities from time to time to promote your bagel shop
• Join local bagel shop associations for industry trends and tips
• Provide discount days for your customers
• Advertise our business in community-based newspapers, local TV and radio stations
• List your business on yellow pages ads (local directories)
• Encourage the use of word-of-mouth marketing (referrals)

Financial Projection

A. how much should you charge for your product/service.

The price of a bagel depends on the size and type of bagel but the median prices of bagels range from $1.80 to as much as $3.00.

b. How Much Profit Do Bagel Shop Owners Make a Year?

According to industry reports, the average bagel costs around $1.80 -$3.00, while other food items tend to vary depending on location and production cost. However, note that your annual revenue as a bagel shop owner will depend on the number of sales you have per day and the average amount spent per customer.

If, for instance, you have 100 sales per day with an average sale of $6.00 for a bagel and coffee and you’re open 7 days a week, then your revenue per year will be $219,000.

c. What Factors Determine the Amount of Profit to Be Made?

• The capacity of the bagel shop
• The types of bagels and related products retailed in the shop
• The location the bagel shop is covering
• The management style of the bagel shop
• The business approach of the bagel shop
• The advertising and marketing strategies adopted by the bagel shop.
• The number of years the bagel shop is in business

d. What is the Profit Margin of a Bagel Shop?

On average, bagel shops tend to have an overall profit margin of between 7.5% and 13% annually.

e. What is the Sales Forecast?

Below is the sales forecast for a bagel shop. It is based on the location of the business and other factors as it relates to such startups in the United States;

• First Fiscal Year: $320,000
• Second Fiscal Year: $450,000
• Third Fiscal Year: $600,000

Set Up your Shop 

A. how do you choose a perfect location for bagel shop.

• The demography of the location especially as it relates to people that eat bagels regularly
• The demand for bagels in the location
• The purchasing power of businesses and residents of the location
• Accessibility of the location
• The number of bagel shops, and related businesses in the location
• The local laws and regulations in the community/state
• Traffic, parking and security et al

b. What State and City are Best to Open a Bagel Shop?

• Horsham, Pennsylvania
• Dallas-Fort Worth, Texas
• Atlanta, Georgia
• Boston, Massachusetts
• Palm Beach, Florida
• Las Vegas, Nevada
• Los Angeles, California
• New York City, New York
• San Francisco, California
• Sharon, Massachusetts.

c. What Equipment is Needed to Operate a Bagel Shop?

• Industrial Oven
• Dough Cutters.
• Dough Scrapers.
• Sauce ladles & spoons.
• Dough boxes and lids.
• Dough box trolleys.
• Sauce dispensers
• Bagel boxes
• Heat-resistant gloves
• Bagel delivery bag.

Hire Employees

When it comes to hiring employees for a standard bagel shop, you should make plans to hire a competent shop manager (you can occupy this position), account clerk, bakers, delivery guys, cleaners, and security guard.

Launch the Business Proper

In recent times, no bagel shop opens its door for business without first organizing an opening party to officially launch the business. You can choose to do a soft opening if you are operating on a low budget or you can go for a grand opening party. The bottom line is that with a proper launching of the bagel shop, you will be able to officially inform people in your city that your bagel shop is open for business.

a. What Makes a Bagel Shop Business Successful?

• Choose a good location and shop facility to launch the business
• Make available varieties of bagels (give your customers options)
• Be deliberate with your marketing sales approach
• Encourage the use of word of mouth to promote your bagel shop business
• Leverage on all available online and offline platforms to promote your bagel shop business

b. What Happens During a Typical Day at a Bagel Shop?

A typical day at a bagel shop begins with the owner making bagels, brewing coffee, and preparing other food items. As the morning progresses, everything about the business picks up and business owners move from prepping foods and drinks to serving customers. As business becomes slower later in the day, work then shifts towards cleaning and getting ready for the next day.

c. What Skills and Experience Do You Need to Build a Bagel Shop Business?

• Excellent baking and culinary skills
• Excellent customer services skills
• Interpersonal skill
• Accounting and bookkeeping skills
• Business management skills
• Bargaining skill
• Work experience in a bagel shop environment
• Experience in managing people
• Experience in business administration
• Experience in making different types of bagels.

More on Food

Bagel shop business plan template + PDF

In this article, you will find an exemplary business plan for bagel shop, offering a detailed framework to guide you through establishing and managing your own bagel shop. It's crucial to understand that while all names and numbers in this bagel shop business plan template are invented for illustrative purposes, they can be adjusted to suit the specific needs and realities of your bagel shop business.

Additionally, for ease of use and customization, a Bagel Shop Business Plan PDF is available for download. This article serves as an invaluable tool for entrepreneurs who are keen on developing a robust and practical strategy for launching or growing their bagel shop, providing a clear roadmap and comprehensive insights into the industry.

How this bagel shop business plan sample was created

To create a personalized business plan for your bagel shop, all you need to do is click on "Get your business plan" . You'll be prompted to answer a few questions about your bagel shop, providing essential details about your business. Our advanced AI system will then use this information to generate a comprehensive business plan tailored to your specific needs and goals. This process takes only 5-10 minutes, after which you receive a fully structured plan. The beauty of this system lies in its flexibility; you can edit and customize the plan to perfectly align with your vision. Once finalized, you have the option to save it to your computer, ensuring that your bagel shop's roadmap to success is just a few clicks away.

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Bagel shop business plan sample, executive summary, business description, market research and analysis.

• Organizational Structure and Management Team

Products or Services

Marketing and sales strategy, operations plan, financial projections, risk analysis.

Bagel Bonanza Shop, a small, owner-operated business, is poised to be a fresh addition to the downtown culinary landscape, offering freshly baked bagels, gourmet cream cheeses, and coffee to a bustling population of young professionals and college students. Through concise operational planning, keen market strategy, and a solid team of experienced crew members, Bagel Bonanza Shop aims to surpass initial investment recovery and reach its break-even point within the first year of operations.

Our financial projections for the following years are optimistic, but attainable. We expect a 15% revenue growth in our second year and steady 20% annual growth in years three and four. Within five years, we target solidifying our brand's presence in the market with a substantial 25% growth and consider expanding to a second location.

At the helm of Bagel Bonanza Shop is owner and business manager Jane Smith, flanked by Tom Johnson, our head baker, and Sarah Lee, the assistant baker. Our customer service staff Mike, Emma, and Raj ensure the smooth flow of operations and maintain our high level of customer service standards.

In the competitive bagel shop market, we consider "Downtown Deli Bagels" and "City Coffee & Bagels" as our primary competitors. However, we are confidant on building competitive uniqueness through high-quality, locally sourced ingredients, and a variety of flavors. We also aim at regular menu updates to generate customers’ interest and to stay abreast competition.

Our marketing strategy hinges on local partnerships and community engagement, enabling cross-promotion with neighborhood businesses and universities. We also plan on leveraging social media platforms such as Instagram and Facebook to connect with our young customer base effectively. We will institute a loyalty program to reward and retain regular customers.

To optimize daily operations, we have implemented efficient processes including fresh morning bakes, regular ingredient deliveries, and well-planned staff shifts. We also follow a stringent regime to conduct quality checks and regular inventory assessments to maintain optimal stock levels.

Close analysis of potential risks forms the bedrock of our contingency planning. In the face of stiff market competition, we have resolved to differentiate ourselves through quality assurance and regular menu updates. For economic downturns, we will diversify our product range to include budget-friendly options. As mitigation for possible supply chain disruptions, we will establish relationships with multiple suppliers and maintain a buffer stock of essential ingredients. In response to changing consumer trends and health and safety concerns, such as pandemics, we fully plan to adapt our offerings and implement robust security and health protocols.

At Bagel Bonanza Shop, we recognize challenges, but view them as opportunities to improve, evolve and better serve our customers. With our solid business plan and dedicated team, we are set to make a significant imprint in the downtown food industry, one bagel at a time.

Bagel Bonanza Shop is nestled in the heart of downtown, offering an accessible and appetizing destination for young professionals and college students. In an industry filled with generic fast food options, the Bagel Bonanza Shop rises above by specializing in handcrafted, authentic bagel delights unlike any other.

Bonanza Bagels was founded three years ago by Jane Smith. After having spent a decade working in major multinational food chains, Jane identified a gap in the market for a local, casual eatery providing high-quality, artisanal bagels. Leveraging her years of experience and insights, she resolved to create a venue where food lovers can experience the distinct charm and comfort of fresh, flavorful bagels - thus Bagel Bonanza Shop was born.

The mission of the Bagel Bonanza Shop is “To offer a taste of comfort and quality in every bagel” . We are unyieldingly dedicated to using prime ingredients in all our products, crafting a diverse array of bagel variations daily, and continuously innovating to accommodate the ever-evolving preferences of our customers.

In terms of legal structure, Bagel Bonanza is a Sole Proprietorship, owned and managed by Jane Smith. The business operates under a flat organizational structure, thus fostering a cooperative work space for its small team consisting of bakers, baristas, and servers.

Looking ahead, the Bagel Bonanza Shop foresees great potential. In the next six to eight years, possibilities for diversification and expansion are being considered. The future could entail the introduction of branches in other suitable locations, and also extending our offerings to include catering services for office lunches, parties, and events.

Given the current market trend, Jane believes that artisanal food shops like Bagel Bonanza have a unique advantage. Amidst the barrage of generic fast food chains, more and more consumers are seeking out food establishments that provide both quality and originality. Bagel Bonanza, with its focus on daily baked goods and a rotating creative menu, is well-positioned to meet this demand and thus attains high prospects for sustainability and expansion. In addition, the rising trend of healthier meal options also plays well for Bagel Bonanza, as we are determined to use only the freshest and most nutritious ingredients, without resorting to preservatives or additives.

To summarize, Bagel Bonanza Shop is a thriving business in downtown, brilliantly combining the legacy of traditional bagel-making with evolved, contemporary flavors to provide a distinctly delightful food experience to its patrons. Its remarkable potential for diversification, capacity for expansion, and high adaptability to consumer trends, all contribute to a promising and prosperous future for the Bagel Bonanza Shop.

The Bagel Bonanza Shop plans to tap into the growing food and beverage industry, specifically the bakery/cafe segment. This industry has seen promising growth over the past few years with increasing consumer spending in bakery products. Statistically, the global bakery product market size was valued at USD 203.8 billion in 2018 and is projected to expand at a CAGR of 3.2% from 2019 to 2025.

Our target market comprises young professionals and college students who fittingly, are the largest demographic to patronize coffee shops and enjoy gourmet bagels. Currently, millennials spend more on dining out than any other generation. These trends, coupled with the growing population of our target demographic in the downtown area, provides an ample sales avenue for Bagel Bonanza Shop.

Market needs are ever-evolving; hence, it is essential for us to keep a tab on the changing tastes and preferences. Consumers today are increasingly leaning towards healthy and convenient food options. To cater to this demand, we assure our customers of fresh ingredients with a focus on nutrition without compromising taste and quality.

Among the latest market trends is the popularity of artisanal food items. Customers are more willing to pay premium prices for goods that are handcrafted and unique in taste and presentation. This works in favor of Bagel Bonanza Shop's model of offering a variety of freshly-made artisanal bagels.

Our primary competition includes "Downtown Deli Bagels" and "City Coffee & Bagels" . "Downtown Deli Bagels" boasts a wide variety of classic bagel flavors. However, their limited store hours could be seen as a significant weakness. On the other hand, "City Coffee & Bagels" excels in the coffee department but lacks a diverse bagel assortment.

Potential barriers to entry include securing a suitable downtown location, the necessity of significant initial capital investment, building a customer base amidst competition, and maintaining a consistent quality of product and service. However, Bagel Bonanza Shop benefits from Jane's experience in the food and beverage industry and a dedicated and skilled team, which is anticipated to aid in navigating these barriers and establishing a unique presence in the market.

Organizational Structure and Management

Bagel Bonanza Shop is founded upon a simple, yet invigorating philosophy: quality is paramount. Our team is committed to deliver the prime standard in terms of product and service.

The organizational structure of Bagel Bonanza comprises of a management team, baking team and customer service team. As the owner, Jane Smith supervises the day-to-day operations and is heavily involved in business decision-making. Her role encompasses managing company policies, liaising with external consultants and advisors, innovating the product line, networking for marketing collaborations, and overseeing the staff welfare and development.

Tom Johnson and Sarah Lee form the baking team. With their extensive baking experience, they’re responsible for creating our delectable bagels, perfecting the texture and flavors and constantly innovating to introduce new kinds that rack up our product line.

Mike, Emma, and Raj constitute our customer service team. Their role is first to attend, serve and ensure high customer satisfaction and second, to garnish vital feedback regarding our offerings and service.

In the future, we plan to expand our staff as the business grows. Specifically, hiring additional bakers and customer service personnel will bolster our operations.

Human resources are the backbone of our business and we have stringent HR policies and procedures to ensure employee well-being. Perks such as flexible shifts, health benefits, regular performance reviews and rewards for exceptional work will be instituted.

While our team is highly skilled, we acknowledge the value of external consultations for specific business aspects. We have engaged the services of an accounting firm for our financial requirements, a legal firm for any necessary legal advice, and marketing consultants to aid in regularly tuning our marketing strategies.

Each member of the Bagel Bonanza family brings unique skills and passion to our collective table, always striving to adhere to our committed manifesto of quality, a wholesome environment and memorable service. Ultimately, this is what sets Bagel Bonanza apart and provides us with the motivation to keep raising the bar.

Bagel Bonanza Shop is a small business that specializes in freshly baked bagels, gourmet cream cheeses, and premium coffee. Our products are aimed at young professionals and college students in the downtown area, providing them with convenient and delicious breakfast and lunch options that cater to a variety of dietary preferences and needs.

Our bagels, which are the centerpiece of our business, are handcrafted smaller than standard bagels, making them perfect for a grab-and-go breakfast or lunch. We offer a vast range of flavors, from traditional bagels like Plain, Sesame, and Everything, to more innovative flavors like Jalapeno Cheddar, Blueberry and Vegan Multigrain. Each bagel is created using local ingredients, ensuring freshness and supporting local suppliers. The differentiating secret of Bagel Bonanza Shop lies in the traditional boiling method used in our bagel-making process. This technique gives our bagels their distinctive chewy texture, crusty exterior, and a delicious flavor profile, setting us aside from the competition.

Complementing our bagels, we also offer a decadent selection of homemade cream cheeses in an array of flavors, including Classic, Herb & Garlic, Honey Almond and Veggie. We even include vegan cream cheese as an option. For customers seeking a more substantial meal, Bagel Bonanza Shop also provides sandwich options where customers can choose their preferred bagel, spread, and fillings.

In addition to our food offerings, we also take great pride in our carefully sourced and expertly brewed coffee. Over and above, we also offer several other beverages such as freshly consumed orange juice, herbal and regular tea, and resort-style smoothies.

Our unique selling point is the combination of the traditional boiling method we use for our bagels, alongside a frequently changing menu reflecting seasonal produce and customer preferences. Additionally, making Bagel Bonanza Shop unique to its competitors is its commitment to sourcing its products locally where possible. This not only results in fresh, high-quality bagels, cream cheeses, and beverages but also reduces shipping costs and helps support local businesses.

This business operates under the legal structure of a small business, with a flat organizational structure and an owner-operator model. There are currently no patents, trademarks, or copyrights associated with this business. However, the business maintains a proprietary recipe for its bagels.

The business's operations rely heavily on its suppliers. The flour and other dry goods are sourced from a local mill, while fruits and vegetables for our sandwiches and smoothies are purchased from a local farm. Dairy ingredients, including milk for coffee and ingredients for cream cheese, are procured from a local dairy farm, ensuring that the products are fresh, high in quality, and contribute to the local bustling economy.

Looking into the future, Bagel Bonanza Shop plans to broaden its menu to include new, innovative bagel flavors and spread varieties, keeping in mind evolving tastes and dietary trends. Furthermore, we are also considering expanding into direct online sales, which will include selling our signature bagels, spreads, and coffee for home delivery, and launching a new line of branded merchandise.

Bagel Bonanza Shop’s strategic marketing plan hinges on a combination of promotional tactics, including digital marketing, community involvement, and customer loyalty programs, which have been formulated to increase brand awareness and attract a broad range of customers.

A successful social media marketing strategy is expected to serve as a drive for growth and customer interaction. Leveraging platforms including Instagram, Facebook, and Twitter, Bagel Bonanza plans to regularly share engaging visual content showcasing our daily specials, events, customer testimonials, and behind the scenes views of our shop. Implementing targeted advertising campaigns and creating sponsored content will boost visibility and reach potential customers.

Community interaction is crucial, and Bagel Bonanza aims to strengthen its local ties by participating in neighborhood events and festivals, offering discounts for local businesses’ employees, and catering for local events. Partnership with local universities and gyms promises cross-promotion opportunities. Encouraging word-of-mouth by customers sharing their experiences and preferences is a surprising yet effective marketing strategy for Bagel Bonanza.

Customer loyalty program, rewarding regular visitors with discounts and free merchandise, will be implemented to promote customer retention. Alongside, a rewarding referral program will work as an incentive for customers to bring new consumers to Bagel Bonanza.

For the sales strategy, an enthusiastic and knowledgeable sales team trained to deliver exceptional customer service will be our main sales asset, turning each customer interaction into a sales opportunity. Furthermore, encouraging add-ons and upselling specialty items will be the focus of our sales tactics. Regular team training will ensure all sales staff are well-versed in explaining what sets Bagel Bonanza apart from the competition, giving customers an impelling reason to choose our shop.

The pricing strategy for Bagel Bonanza focuses on fair, competitive pricing. While our bagels are premium, handcrafted products made from the finest local ingredients, we understand the purchasing power of our target demographic and have priced our authentic bagels accordingly.

Bagel Bonanza Shop shall utilize both offline and online distribution channels. Our offline channel will be our physical store in downtown. Online sales will predominantly be through third-party food delivery platforms during the initial business stages, followed by plans to develop an independent online ordering system on the Bagel Bonanza website for pickup and local delivery.

Promotion and advertising plans include grand opening promotions, local radio ads, seasonal specials, and collaborative campaigns with local businesses. Vibrant street signage, promotional flyers in local areas are also included in the plan.

Maintaining a positive reputation for customer service is pivotal for Bagel Bonanza. We believe in delivering top-notch customer service and are committed to resolving any complaints or issues promptly with a 'customer-first' mindset. A firm refunds and returns policy shall be set in place. We believe that this approach to customer service will not only attract but will also maintain a loyal customer base.

Ultimately, Bagel Bonanza's marketing and sales strategy focuses on creating a strong brand identity, fostering customer engagement, and delivering exceptional quality in each product and service.

The operations of Bagel Bonanza Shop are streamlined to ensure that customers receive the highest quality bagels, cream cheeses, and beverages while experiencing top-notch service.

The operational workflow begins the night before when our bakers pre-mix the flour mixtures for different bagel varieties. At the crack of dawn, Team Bagel - composed of skilled bakers, Tom and Sarah, embark on their mission to bake fresh bagels. Simultaneously, our fresh brew of coffee is prepared and set for service.

Our suppliers have been carefully selected to meet our high-quality standards. Regular deliveries from reliable local suppliers ensure we stay stocked with fresh ingredients. This emphasis on local sourcing also serves to promote community businesses.

Our staff work shift rotations to ensure there is always someone on hand to greet customers and tend to their bagel desires. The shop's opening hours are 6 AM to 6 PM, designed to accommodate breakfast and lunch rushes.

We have a sharp focus on consistency and quality. Rigorous quality control measures are in place - every batch of bagels is checked thoroughly to ensure it meets Bagel Bonanza standards before making it to the shop display. Likewise, the quality of cream cheese and coffee is constantly monitored.

Inventory management plays a critical role in our operations. Regular weekly inventory checks are performed to ensure we don't fall short of ingredients and materials so that production is never interrupted. To minimize waste, we work hard to accurately predict demand and only prepare what we believe will sell each day. Detailed sales reports aid in optimizing future inventory levels.

Supply chain management is equally crucial in ensuring our operations run smoothly. We maintain close relationships with our suppliers and have a contingency plan in place for any possible disruptions. This plan involves having arrangements with back-up vendors. Being in good standing with several suppliers provides an assurance of continuous stock availability.

The facilities and equipment needed for Bagel Bonanza operation include a well-designed storefront that is both welcoming and functional with ample seating and display cases for bagels. A fully equipped baking area with commercial-grade mixers, ovens, and a boiling station for bagel production is crucial. We maintain high standards of cleanliness and functionality in all our facilities, aligned with restaurant regulatory requirements.

As we look to the future, we anticipate the need to upgrade and expand our facilities as business growth dictates. We foresee an investment in a more comprehensive Point of Sale (POS) system for better inventory and transaction tracking. Furthermore, we acknowledge the increasing demand for digital services; thus, we also plan to equip our business with modern technologies that enable online orders and mobile payments.

The operational plan has been meticulously crafted to support the overall objectives of the business- providing customers with an exceptional combination of quality food and service, on every single visit.

The Bagel Bonanza Shop, from inception to actualization, presupposes the conductance of several verifiable financial assumptions and considerations.

The business projections are based on the initial capital investment necessary to start Bagel Bonanza. Significant upfront cost is forecasted in the acquisition of high-quality baking equipment, lease and renovation of the shop space, and the initial raw material inventory. Working capital will also be needed to help cover day-to-day operational costs, salaries of staff members, and other regular expenses.

Salary and wage consideration forms a substantial part of the business planning, as Bagel Bonanza Shop operates on a workforce model. The management has meticulously filed each employee's hiring cost, along with their monthly salaries and fringe benefits.

Rent and Utilities are also major considerations in the financial planning of the Bagel Bonanza. Being located downtown, rent is projected to be reasonably higher than other areas. Utilities, those being electricity, water, and Wi-Fi, are considered based on an average amount after taking quotes from various service providers.

Materials cost forms a significant part of the business's core financial planning, with the ingredients sourced to create our bagels, cream cheeses, and coffee constituting a majority of these expenses.

Sales projections are based on the current market and industry analyses for bakery products in the target area. As Bagel Bonanza aims to cater to young professionals and college students, there is an assumption of a constant, reliable consumer base. It is assumed that Bagel Bonanza with its unique offerings and a prime downtown location will capture a substantial share of this potential market.

Calculation of profit and loss statement and balance sheets aligns revenues from sales with operational costs, taxes, and overheads. The primary goal in the first year is to reach a break-even point.

Revenue forecast anticipates steady growth. The year two projection targets a 15% growth in revenue, based on an expanded customer base and heightened brand recognition. In years three to four, Bagel Bonanza aims for 20% growth annually. By the fifth year, the brand expects to attain an ambitious 25% growth figure. This optimistic projection leans on the necessary adaptation to consumer needs, aggressive marketing efforts, and constant innovation.

Cash flow projection for Bagel Bonanza revolve around sales revenues, stock replenishment, wages, and overheads. An emergency contingency fund is presumed to be maintained at all times to cushion any unforeseen expenditures or sudden drops in cash flow.

Keeping these financial assumptions and considerations in mind, Bagel Bonanza Shop designs its business plan to be economically realistic, promising, and sustainable. All planned activities are intended to contribute towards the profitability and development of the business.

A comprehensive risk analysis is crucial to the success and growth of Bagel Bonanza Shop. Anticipating potential hurdles and creating action plans allows for quick and effective responses should these risks materialize.

Market Risks: The presence of well-established competitors like "Downtown Deli Bagels" and "City Coffee & Bagels" puts Bagel Bonanza at risk of capturing a smaller market share. We plan on countering this through differentiation – our bagels and cream cheeses are more varied and creative than the offerings of our competition. Additionally, our marketing techniques and exceptional service are targeted to build a loyal customer base.

An unfavorable shift in market trends is another risk. We mitigate this by keeping a close watch on industry trends, adapting our products and marketing strategies to align with shifting consumer preferences. For instance, if health-conscious eating becomes more popular, we will introduce more options that cater to this demographic.

Operational Risks: Operational risks include disruptions in supply chain and key equipment failure, which could cause temporary business shutdowns. Our risk mitigation strategy involves establishing relationships with multiple suppliers for each key ingredient, ensuring a backup when needed. Additionally, we will schedule regular equipment maintenance and have a contingency contract with an equipment repair company to rapidly address any machine breakdowns.

Financial Risks: Economic events could affect the purchasing power of our target market. Bagel Bonanza plans to offer discounts and budget-friendly options during economic downturns to retain customers. It is also crucial to maintain a reserve fund for financial emergencies and unexpected costs.

Staffing Risks: Staff turnover is another risk factor. This is mitigated by providing a healthy and rewarding working environment, competitive salaries, and staff appreciation initiatives. We will keep an updated database of potential hires.

Legal and Insurance Considerations: As a small business operator in the food and beverage industry, it is paramount to comply with health, safety, and environmental regulations. Bagel Bonanza will hire a lawyer to ensure all legal requirements are met and up-to-date.

We will also secure a comprehensive insurance package that covers potential pitfalls, including fire, theft, public liability, and worker's compensation. Building a strong relationship with our insurer will help manage long-term insurance costs and ensure we have the best coverage for our needs.

Overall, monitoring potential risks and adaptive planning will strengthen the resilience of Bagel Bonanza Shop and allow us to navigate hurdles, turning them into opportunities for growth and improvement.

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Bagel Shop Business Plan [Sample Template]

By: Author Joy Nwokoro

Home » Business ideas » Food Industry » Bagel Shop

A bagel shop business is an establishment that specializes in selling and serving bagels, a type of bread product that is typically shaped like a ring.

Bagels are boiled and then baked, resulting in a chewy interior and a crusty exterior. They are often made with various toppings, such as sesame seeds, poppy seeds, salt, garlic, onion, and more. Bagel shops offer a wide variety of bagel flavors and styles to cater to different tastes and preferences.

Some popular options include plain bagels, everything bagels, cinnamon raisin bagels, whole wheat bagels, and many others. Additionally, bagel shops may offer different spreads and fillings, such as cream cheese, butter, jam, smoked salmon, deli meats, and various vegetable options.

In addition to bagels, many bagel shops also serve coffee, tea, and other beverages, making them popular breakfast or snack destinations. They might provide both sit-in and take-out options for customers.

Steps on How to Write a Bagel Shop Business Plan

Executive summary.

Stacy Morgan™ Bagel Shop, Inc. is a premium bagel-focused establishment located in the heart of Boston, Massachusetts.

We are set to bring the authentic taste of New York-style bagels to the residents and visitors of Boston while providing a warm and inviting atmosphere for our customers. Boston, a city renowned for its vibrant food culture, offers immense potential for a bagel-centric business like ours.

With a growing demand for quick yet satisfying breakfast and snack options, our shop has tapped into an underserved niche. Stacy Morgan™ Bagel Shop, Inc. was founded in 2020 by Stacy Morgan, a passionate entrepreneur with a deep love for traditional bagels.

Our shop is strategically located in a bustling commercial district, surrounded by offices, residential areas, and educational institutions, ensuring a steady flow of foot traffic throughout the day.

Company Profile

A. our products and services.

We take great pride in offering a wide range of freshly baked, handcrafted bagels that cater to diverse palates. Our bagels are made using time-honored techniques, combining the perfect blend of texture and flavor.

Our menu features an assortment of classic flavors such as plain, everything, sesame, and cinnamon raisin, as well as unique seasonal varieties to keep our offerings fresh and exciting. To complement our bagels, we provide a variety of premium spreads, including cream cheese, flavored butter, and artisanal jams.

Customers can also indulge in our selection of gourmet sandwiches made with fresh ingredients, high-quality deli meats, and flavorful veggies, all served on our signature bagels.

b. Nature of the Business

Our bagel shop will operate with a business-to-consumer business model.

c. The Industry

Stacy Morgan™ Bagel Shop, Inc. will operate in the food and beverage industry, specifically the “food service” or “quick-service restaurant” (QSR) sector.

d. Mission Statement

At Stacy Morgan™ Bagel Shop, Inc., our mission is to delight and satisfy bagel enthusiasts in Boston, Massachusetts, and beyond by crafting and serving the finest, handcrafted New York-style bagels. We are committed to using locally sourced, all-natural ingredients to create a diverse range of flavorful bagels that evoke nostalgia while fostering a warm and welcoming environment for our customers.

e. Vision Statement

Our vision at Stacy Morgan™ Bagel Shop, Inc. is to be recognized as the premier destination for authentic New York-style bagels, setting the standard for excellence in the bagel industry. We envision expanding our footprint throughout the region, sharing the joy of our handcrafted bagels with more communities, and establishing ourselves as a leading brand in the food and beverage industry.

f. Our Tagline (Slogan)

Stacy Morgan™ Bagel Shop, Inc. – “Bagel Bliss: Where Flavor Meets Tradition!”

g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)

Stacy Morgan™ Bagel Shop, Inc. will be formed as a Limited Liability Company (LLC).

h. Our Organizational Structure

• Chief Executive Officer (Owner)
• Shop Manager
• Salesgirls and Salesboys
• Security Guard

i. Ownership/Shareholder Structure and Board Members

• Stacy Morgan (Owner and Chairman/Chief Executive Officer) 52 Percent Shares
• Denis Mitchel (Board Member) 18 Percent Shares
• Bob Jefferson (Board Member) 10 Percent Shares
• Raph McMillian (Board Member) 10 Percent Shares
• Yvonne Nelson (Board Member and Secretary) 10 Percent Shares.

SWOT Analysis

A. strength.

• Stacy Morgan™ Bagel Shop prides itself on handcrafting authentic New York-style bagels using locally sourced, all-natural ingredients, which sets it apart from competitors and appeals to bagel enthusiasts.
• The shop offers a diverse range of bagel flavors, including seasonal varieties, along with premium spreads and gourmet sandwich options, giving customers a wide selection to choose from.
• Strategically situated in a bustling commercial district with high foot traffic, the shop enjoys easy accessibility, attracting both locals and tourists.
• The shop prioritizes building strong customer relationships, understanding their preferences, and delivering exceptional service, resulting in a loyal and satisfied customer base.
• Stacy Morgan™ Bagel Shop creates a warm and inviting atmosphere, making it a comfortable place for customers to enjoy their bagels and interact with friends or colleagues.

b. Weakness

• The shop currently operates only during breakfast and lunch hours, missing out on potential evening customers and late-night snack seekers.
• As a single-location business, expansion opportunities may be limited, potentially restricting market reach and growth.
• While seasonal flavors add excitement, they may create a challenge in maintaining consistent customer favorites throughout the year.

c. Opportunities

• Introducing catering options for corporate events, meetings, and private gatherings can tap into a new revenue stream and increase brand visibility.
• Implementing online ordering and delivery services can enhance convenience and reach a broader customer base.
• Exploring the possibility of opening new branches in other neighborhoods or cities could expand the brand’s presence and increase market share.
• Strengthening marketing efforts and leveraging social media platforms can increase brand awareness and attract a younger audience.

i. How Big is the Industry?

The bagel shop industry, which is a part of the broader food service and QSR (quick-service restaurant) sector, is a small part of the industry in the United States.

ii. Is the Industry Growing or Declining?

The bagel shop industry was generally considered to have stable growth. However, it is important to note that industry trends can change over time, and factors such as economic conditions, consumer preferences, and competition can impact the growth trajectory of the industry.

iii. What are the Future Trends in the Industry?

As health-conscious eating continues to gain momentum, bagel shops might focus on offering healthier versions of bagels, such as whole-grain, gluten-free, or vegan options.

Additionally, specialty bagels made with unique ingredients or flavors could attract adventurous food enthusiasts. Bagel shops may expand their menu beyond bagels and spreads to include a wider range of breakfast and lunch items. This could include incorporating more sandwiches, salads, and other innovative bagel-based dishes.

With the increasing reliance on technology and convenience, bagel shops could adopt online ordering platforms and mobile apps to streamline customer ordering and improve accessibility.

iv. Are There Existing Niches in the Industry?

No, there are no existing niches when it comes to bagel shop business because bagel shop is a niche idea in the food and beverage industry, specifically the “food service” or “quick-service restaurant” (QSR) sector.

v. Can You Sell a Franchise of Your Business in the Future?

Stacy Morgan™ Bagel Shop, Inc. has plans to sell franchises in the near future and we will target major cities in the United States of America, and Canada.

• The food and beverage industry in Boston is highly competitive, with various bagel shops, cafes, and QSRs offering similar products and vying for the same customer base.
• Shifting consumer preferences towards healthier eating or different food trends could impact bagel consumption.
• Fluctuations in the economy, such as inflation or recession, may affect consumer spending and could impact sales.
• Reliance on local suppliers and seasonal ingredients could be susceptible to disruptions due to weather conditions or other external factors.

i. Who are the Major Competitors?

• Einstein Bros. Bagels
• Bruegger’s Bagels
• Panera Bread
• Brooklyn Water Bagel Co.
• Noah’s New York Bagels
• Tim Hortons (known for bagels in certain regions)
• Bagel Factory
• Bagelicious
• Bagels & Brew
• Big Apple Bagels
• Kettleman’s Bagel Co.
• The Original Brooklyn Water Bagel Co.
• Goldberg’s Bagel Co. & Deli
• Western Bagel
• Manhattan Bagel
• Ess-a-Bagel
• Montreal Bagels
• Chesapeake Bagel Bakery
• Brooklyn Bagel Bakery.

ii. Is There a Franchise for the Bagel Shop Business?

• Bagel Time Cafe
• Brooklyn Bagel & Coffee Company.

iii. Are There Policies, Regulations, or Zoning Laws Affecting the Bagel Shops?

Yes, there are various policies, regulations, and zoning laws that can affect a bagel shop business in the United States. These regulations are typically put in place by federal, state, and local governments to ensure public health and safety, fair business practices, and adherence to specific zoning requirements.

Bagel shops, like all food establishments, must comply with food safety regulations set by the U.S. Food and Drug Administration (FDA) and state or local health departments. These regulations govern food handling, storage, preparation, and sanitation to ensure that the food served is safe for consumption.

Bagel shop owners need to obtain various licenses and permits to operate legally. These may include health permits, food service permits, business licenses, and others required by local or state authorities.

Bagel shop owners must adhere to federal and state employment laws, covering areas such as minimum wage, overtime, and workplace safety. Bagel shops must comply with zoning laws and regulations to ensure that their business location is zoned appropriately for commercial use.

Bagel shops must adhere to local signage regulations regarding the size, placement, and content of their signage. Bagel shop premises must meet building and fire safety codes to ensure a safe environment for employees and customers. Bagel shops need to comply with environmental regulations concerning waste disposal and handling, especially in relation to food waste.

Marketing Plan

A. who is your target audience.

i. Age Range

The target audience for Stacy Morgan™ Bagel Shop, Inc. includes individuals across a broad age range. While bagels are popular among all age groups, the primary focus might be on young adults, professionals, families, and seniors.

ii. Level of Education

The bagel shop’s target audience may consist of individuals with varying levels of education, from high school graduates to college-educated individuals.

iii. Income Level: Stacy Morgan™ Bagel Shop aims to cater to a diverse range of income levels.

iv. Ethnicity

The target audience at Stacy Morgan™ Bagel Shop is likely to be diverse, appealing to customers from different ethnic backgrounds.

v. Language

The bagel shop is expected to serve customers who speak English, as well as individuals from different linguistic backgrounds.

vi. Geographical Location

The primary geographical location for Stacy Morgan™ Bagel Shop is Boston, Massachusetts, and surrounding areas.

vii. Lifestyle

The bagel shop’s target audience may consist of individuals with various lifestyles, including busy professionals looking for a quick breakfast option, families seeking a casual dining experience, and students in need of a convenient snack.

b. Advertising and Promotion Strategies

• Deliberately Brand All Our Vans and Trucks.
• Tap Into Text Marketing.
• Make Use of Bill Boards.
• Share Your Events in Local Groups and Pages.
• Turn Your Social Media Channels into a Resource
• Develop Your Business Directory Profiles
• Build Relationships with players in the event planning and catering services industry.

i. Traditional Marketing Strategies

• Marketing through Direct Mail.
• Print Media Marketing – Newspapers & Magazines.
• Broadcast Marketing -Television & Radio Channels.
• OOH Marketing – Public Transit like Buses and Trains, Billboards, Street shows, and Cabs.
• Leverage direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.

ii. Digital Marketing Strategies

• Social Media Marketing Platforms.
• Influencer Marketing.
• Email Marketing.
• Content Marketing.
• Search Engine Optimization (SEO) Marketing.
• Affiliate Marketing
• Mobile Marketing.

iii. Social Media Marketing Plan

• Start using chatbots.
• Create a personalized experience for our customers.
• Create an efficient content marketing strategy.
• Create a community for our target market and potential target market.
• Gear up our profiles with a diverse content strategy.
• Use brand advocates.
• Create profiles on relevant social media channels.
• Run cross-channel campaigns.

c. Pricing Strategy

When working out our pricing strategy, Stacy Morgan™ Bagel Shop, Inc. will make sure it covers profits, insurance, premium, license, and economy or value and full package. In all our pricing strategy will reflect;

• Penetration Pricing
• Cost-Based Pricing
• Value-Based Pricing
• Competition-Based Pricing.

Sales and Distribution Plan

A. sales channels.

Our channel sales strategy will involve using partners and third parties—such as referral partners, affiliate partners, strategic alliances in the entertainment industry and freelancers help refer customers to us.

Stacy Morgan™ Bagel Shop, Inc. will also leverage the 4 Ps of marketing which are place, price, product, and promotion. By carefully integrating all these marketing strategies into a marketing mix, we can have a visible, in-demand service that is competitively priced and promoted to our customers.

b. Inventory Strategy

The fact that we will need supplies such as bagels (flour, yeast, sugar, salt, malt extract or malt syrup, barley malt flour, oil or butter, eggs, and toppings such as sesame seeds, poppy seeds, onion flakes, garlic), mean that Stacy Morgan™ Bagel Shop, Inc. will operate an inventory strategy that is based on a day-to-day methodology for ordering, maintaining and processing items in our warehouse.

Stacy Morgan™ Bagel Shop, Inc. will make sure we work with “Just-in-time (JIT) inventory” – (JIT involves holding as little stock as possible, negating the costs and risks involved with keeping a large amount of stock on hand.)

c. Payment Options for Customers

Here are the payment options that Stacy Morgan™ Bagel Shop, Inc. will make available to her clients:

• Bank Transfers
• Credit or Debit Card
• Electronic Payment Systems such as PayPal or Venmo.

d. Return Policy, Incentives, and Guarantees

Stacy Morgan™ Bagel Shop, Inc., will be offering a return policy, incentives, and guarantees to build trust and loyalty with your customers. We will make sure the policy is clearly communicated on our website and in-store signage, and provide instructions for customers to initiate a return.

Return Policy:

• If a customer is not satisfied with their order, we will offer a refund
• We will also offer a store credit for future purchases.

Incentives:

• We will implement loyalty programs where customers earn points or rewards for repeat purchases.
• We will offer special discounts or promotions for customers who refer friends or family members to the deli restaurant.
• We will organize social media contests and giveaways to increase engagement and attract new customers.

Guarantees:

• We will guarantee the quality of our bagels and other products, and if a customer is not satisfied, they could receive a refund or a replacement meal.
• We will offer delivery guarantees such as a guaranteed delivery time or a discount on the next order if the delivery is late.

e. Customer Support Strategy

To ensure customer satisfaction, we will encourage customers to provide feedback and suggestions. This will help us provide excellent customer service to all our clients and investors. We will work with effective CRM software to be able to achieve this.

On a regular basis, we will work towards strengthening our Customer Service Team and also Leverage Multi-Channel Servicing as part of our customer support strategy.

Operational Plan

Our operational plan will outline how the business will run on a day-to-day basis. It will cover areas such as staffing, inventory management, customer service, and marketing.

Overall, we plan to expand our revenue by 25 percent in the second year and the plan will include a marketing, sales, and operations component. By developing a strong plan and implementing it effectively, we will be able to run our bagel shop business smoothly and attract and retain loyal customers.

a. What Happens During a Typical Day at a Bagel Shop Business?

• The business is open for the day’s work
• The serving area is cleaned and ready for the day’s business
• Bagels are prepared
• Customer’s orders are taken and they are served or their orders are delivered to them
• The cashier collects cash and reconciles accounts for the day
• Administrative duties are carried out
• The store or warehouse is restocked when required.
• The business is closed for the day.

b. Production Process

Making a bagel involves a simple yet unique process. The traditional method includes combining high-gluten flour, water, yeast, sugar, and salt to create a dough. After kneading the dough, it is shaped into rings and left to rise. Once risen, the bagels are boiled briefly in water with added malt extract or syrup. This boiling gives them their chewy texture and shiny crust.

Finally, the bagels are baked until golden brown, and various toppings like sesame seeds, poppy seeds, or garlic are added for flavor and appearance. The result is a delicious and iconic circular bread product, known for its chewy interior and crusty exterior.

c. Service Procedure

The service procedure for a bagel shop business starts with a customer requesting bagels and beverage drinks. Once the request is gotten, it will be processed and the customer will be served or the order delivered to a location as requested.

d. The Supply Chain

Stacy Morgan™ Bagel Shop, Inc. will rely on a supply chain model that involves sourcing, transporting, storing, and managing inventory of the various products and supplies needed to run our bagel shop business.

e. Sources of Income

Stacy Morgan™ Bagel Shop, Inc. will generate revenue through the sale of bagels, and non-alcoholic beverages, as well as other snacks.

Financial Plan

A. amount needed to start your bagel shop business .

Stacy Morgan™ Bagel Shop, Inc. would need an estimate of $150,000 to successfully set up our bagel shop business in the United States of America. Please note that this amount includes the salaries of our staff for the first month of operation.

b. What are the Costs Involved?

• Business Registration Fees – $750.
• Legal expenses for obtaining licenses and permits – $3,300.
• Marketing, Branding, and Promotions – $3,000.
• Business Consultant Fee – $2,500.
• Insurance – $3,400.
• Rent/Lease – $50,000.
• Other start-up expenses include commercial satellite TV subscriptions, stationery ($500), and phone and utility deposits ($1,800).
• Operational Cost (salaries of employees, payments of bills et al) – $70,000
• Start-up Inventory – $35,000
• Store Equipment (cash register, security, ventilation, signage) – $1,750
• Furnishing and Equipping the Bagel shop – $80,000
• Website: $600
• Opening party: $5,000
• Miscellaneous: $2,000

c. Do You Need to Build a Facility? If YES, How Much Will It Cost?

Stacy Morgan™ Bagel Shop, Inc. will not build a new facility for our bagel shop business; we intend to start with a long-term lease and after 5 years, we will start the process of acquiring our own facility.

d. What are the Ongoing Expenses for Running a Bagel Shop Business?

• Rent or Mortgage Payments
• Employee Wages and Benefits
• Inventory and Supplies
• Marketing and Advertising
• Maintenance and repairs
• Licenses and permits

e. What is the Average Salary of your Staff?

• Chief Operating Officer (Owner) – $65,000 Per Year
• Shop Manager – $45,000 Per Year
• Accountant – $32,630,000 Per Year
• Chef – $30,800 Per Year
• Salesgirls and Salesboys – $28,100 Per Year
• Cleaners – $25,000 Per Year
• Security Guard -$24,000 Per Year

f. How Do You Get Funding to Start a Bagel Shop Business?

• Raising money from personal savings and sale of personal stocks and properties
• Raising money from investors and business partners
• Sell shares to interested investors
• Applying for a loan from your bank/banks
• Pitching your business idea and applying for business grants and seed funding from the government, donor organizations, and angel investors
• Source for soft loans from your family members and friends.

Financial Projection

A. how much should you charge for your product/service.

On average, a plain bagel without any toppings or spreads could range from around $1 to $3. But specialty or gourmet bagels with unique flavors and premium ingredients can cost more than basic varieties.

b. Sales Forecast?

• First Fiscal Year (FY1): $260,000
• Second Fiscal Year (FY2): $380,000
• Third Fiscal Year (FY3): 4550,000

c. Estimated Profit You Will Make a Year?

• First Fiscal Year (FY1) (Profit After Tax): $20%
• Second Fiscal Year (FY2) (Profit After Tax): $25%
• Third Fiscal Year (FY3) (Profit After Tax): $30%

d. Profit Margin of a Bagel Shop Business 

Stacy Morgan™ Bagel Shop, Inc. will aim for a profit margin of 20 to 30 percent on sales. This means that for every dollar spent on a bagel or other beverage by a customer, the business should aim to earn 20 to 30 cents in profit.

Growth Plan

A. how do you intend to grow and expand by opening more retail outlets/offices or selling a franchise.

Stacy Morgan™ Bagel Shop, Inc. will grow our bagel shop business by first opening other outlets in key cities in the United States of America within the first five years of establishing the business and then will start selling franchises from the sixth year.

b. Where do you intend to Expand to and why?

Stacy Morgan™ Bagel Shop, Inc. plans to expand to

• New York City, New York
• Las Vegas, Nevada
• Houston, Texas
• Key West, Florida
• Baton Rouge, Louisiana
• Myrtle Beach, South Carolina
• Ocean City, Maryland
• Orlando, Florida
• Gulfport, Mississippi
• Washington, D.C.
• Baton Rouge, Louisiana.

The reason we intend to expand to these locations is the fact that available statistics show that the cities listed above have the highest and thriving market for bagels.

The founder of Stacy Morgan™ Bagel Shop, Inc. plans to exit the business via family succession. The company has placed structures and processes in place that will help us achieve our plan of successfully transferring the business from one family member to another and from one generation to another.

The company has successfully developed a detailed transition plan to smoothly hand over responsibilities to the new successor. This includes transferring ownership, training key personnel, and communicating with employees, customers, and suppliers about the change.

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How to Start a Bagel Business

So you have always wanted to open your own bagel business , but how much do you know about starting such a business?

Have you done your due diligence and planned carefully? Learn how to start a bagel business here:

Is This the Right Fit for You?

While a passion for bagels and other breakfast foods is great, there is a lot more than goes into owning a business. First, you need to make sure that you have the right skills, experience and personality for the job.

Have you owned a business before or helped manage one? Do you have any business education? Do you thrive under high stress situations and like dealing with people, both staff and customers, on a daily basis? Be honest with yourself about what kind of environment you thrive most in.

Create a Business Plan

Once you give yourself the green light, then you need to come up with a solid business plan for your bagel business. When developing your business plan, make sure you include the following sections:

• An Introduction that includes a description of the business in which you highlight the products and services you will provide, a description of the marketplace you will be operating, as well as any risks or challenges you anticipate.
• There should also be a section where you lay out all the key management roles you will need in your bagel business. If you already know who will fill these roles, then include a little bio of each of them and/or a resume which highlights their experience related to the running of a business.
• A marketing section is also important. Here is where you will lay out the competitive advantages your bagel business will have as well as give as much of a sense as possible of what your marketing and advertising strategies will be.
• You should also include Pro Forma Financial Projections which basically means any income statements, cash flow statements that are relevant to the business as well as balance sheets that project what the financial performance of the business will be once it open. Always make sure your estimates are on the conservative side because you don’t know what kind of delays or obstacles you will face, especially that first year.
• Even if you are funding this whole venture out of your own pocket, in your business plan you should still meticulous list all your startup costs including the money you will need to survive on until your bagel business starts turning a profit. Don’t forget to factor in a budget for marketing and advertising and leave yourself a little cushion for lean times or unexpected emergencies or repairs.

Research your Target Market

While you are putting together your bagel shop business plan, figure out your target market for a bagel business. Bagels have become a popular breakfast staple so your customers will probably come from all walks of life.

You need to also consider your growth potential for opening a bagel shop. Luckily, customer cravings for bagels and other breakfast treats don’t show any signs of slowing down.

Consider Forming a Legal Entity

For extra protection, you should consider forming a legal entity. Doing this prevents you from being personally liable if your bagel business is ever sued.

Master Your Recipes

The heart and soul of your bagel business is of course is delicious bagels. It is important to not rush this part of the process. Make sure you have tested your recipes thoroughly before greenlighting your business.

Dot All Your I’s and Cross All Your T’s

Make sure you have filled out all legal and financial documents that are important to protecting your business. In addition, make sure you have all necessary licenses and permits to run your shop.

Find a Prime Location

The location of your shop is also very important. You want there to be good foot traffic and ample parking spaces. Work with an experienced realtor to find the perfect spot.

Build a Strong Brand

As you finally open your doors, establishing a strong brand for yourself is going to be a key ingredient to the success of your bagel business. Grow your brand through customer interaction as well as advertising and marketing. A well-designed website and a strong social media presence are also important too.

Another business option that you might not have considered before is to go the franchise route. Instead of opening an original bagel business that you have to create from scratch, join a bagel franchise like Shmagel’s Bagels and benefit from their brand power and support structure and experience in the business.

Here is what you need to know about franchising with Shmagel’s:

At Shmagel’s Bagels , their specialty is fresh bagel creations baked daily. Right now they have two locations in Ocean City, MD and are looking to expand. They have plenty of franchising opportunities and will work closely with you to make sure your locations are a success.

Here is what you can expect when you join the Shmagel’s Bagels’ family:

• An established, highly popular brand that will draw in the customers
• A proven business model that includes recipes for all their special Shmagel creations, including Bagelninis which are bagels flipped inside-out and pressed
• The ability to own multiple locations
• A low cost of entry that makes Shmagel’s Bagels one of the more affordable franchising opportunities out there
• A variety of fun and delicious bagel flavors including Apple Cinnamon, Asiago, Blueberry Chocolate Chip, Cinnamon Raisin, Egg, Everything, French Toast, Garlic, Jalapeño, Marble Onion, Poppy, Plain, Pumpernickel Rainbow, Rye, Sesame, Spinach Sun-Dried Tomato, Very Berry Wheat Bran w/ Outs and Whole Wheat
• Catering opportunities for parties, corporate functions, festivals and other types of events

At Shmagel’s Bagels, the bagels are baked fresh every morning. They also offer a variety of cream cheeses and other popular bagel toppings, shmuffins as well as some fun sandwich options like a Turkey Jack Melt bagelnini or a Bagel Grill Cheese . The menu offers enough variety to please all your customers, but is still manageable for you and your staff.

One must-have ingredient for any prospective Shmagel’s Bagel franchisee is to have a passion for breakfast. Can you eat breakfast all day long? Do you enjoy making people happy by offering them a fulfilling breakfast to fuel their day?

Shmagel’s Bakery has been growing in leaps and bounds. Every year, more and more Americans are choosing bagels as not only their top breakfast food, but their top treat all day.

Want to learn more about Shmagel’s Bakery and how to start a bagel business, give them a call today or visit their website.

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• Business Plans Handbook
• Business Plans - Volume 05
• Bagel Shop Business Plan Business Plan

Bagel Shop BUSINESS PLAN

5535 Winston Blvd. Troy, MI 43846

This business plan is an example of a niche food service operation that capitalizes on the evergrowing popularity of bagels. The store offers affordable and fresh products attempting to cater to those who wish to eat in a more healthful way. It also hopes to ride the crest of another very complementary trend: gourmet coffee consumption.

MARKET ANALYSIS

Distribution site, promotion options, competition, usa bagels comparison, loan summary statement, breakdown of costs.

• CONSOLIDATED BALANCE SHEET

We believe that the metropolitan area is a great place to develop our bagel shops. For one, there are no other bagel-specific shops in the area. The closest one competition wise, would be Blackwells Bagel in Westland, and the Bagel Bakery potentially in Livonia. The lack of bagel shops in the metropolitan area definitely presents a need for our business. In our area specifically, the only competition would be that of the donut-type or the bakery-type morning-oriented business. We believe that the bagel business is different and specific enough to meet the needs of a different calling, specifically the call to eating healthier. Fresh baked bagels will be served all day. We will keep well stocked so as not to run out of customers favorite varieties. Bagels are a healthy alternative to the morning donut or pastry.

Our business fits well demographically, as 40% of the households fall into the $50,000.00 plus per year income level. The area also contains over 250,000 people residing in a 5-mile radius from which draw business.

The bagel shop consumer comes from all income levels of the market. Bagels are a relatively inexpensive luxury, costing as little or less than a donut or muffin. Almost anyone could afford a stop at our shop from time to time. Ninety-four percent of the metropolitan area are Caucasian, another strong demographic indicator of consumers that frequent our type of establishment. This is not to say that people of other ethnic backgrounds don't consume our product or wouldn't be welcome in our establishment, this is just a demographic indicator.

People are eating with a more health conscious emphasis. Not only will we be able to meet the needs of the "breakfast on the go" individual, we will also be able to meet the needs of the person looking for a quick lunch, who would rather have a healthy alternative to the fattening fast food. Our store will be equipped with a drive-thru for quick pick-up of a deli-bagel sandwich made from a wide selection of deli meats or vegetarian toppings.

Concept: From-scratch bagel baker and gourmet coffee house under one roof.

Direction: Developed and operated by people who have been franchisees and understand the need for teamwork and support.

Market Approach: Repeat sales of...

Bagels by the dozen

Cream cheese by the pound

Gourmet coffee and espresso beverages by the drink

Whole bean coffee by the pound

Fresh baked treats

• Large 5 oz. steamed Bagel
• From scratch and baked fresh daily
• Versatile for sandwiches as well as bulk sales
• Method of preparation lends itself to production and promotion of novelty bagels
• Blended flavors of cream cheeses prepared on the premise
• Mountain Coffees roasted to peak of flavor and sold as: bulk varietal and blended whole beans, individually prepared gourmet coffee and espresso beverages
• Jonesy's Fresh cookies, muffins, cinnamon rolls and brownies baked daily in store

Tools for Growth

Direct purchase of core products: cream cheese and bagel ingredients. Satellites: up to two satellites can be serviced by a single production store. Wholesale opportunities: hospitals, schools, corporate and special events. Dual-Branding, Mountain Coffee, Jonesy's Bakery Items and USA Bagels.

USA relies on the production and bulk sales of their top of the line bagel recipe, along with their homemade cream cheeses, deli meats, and delicious Mountain coffee to position themselves in one of the fastest growing industries in the country.

Between 1984 and 1993, yearly bagel consumption has grown an incredible 169%.Bagel sales exceed 2.5 billion dollars yearly, and are growing 20% annually.

The specialty or gourmet coffee segment in this country is now earning 7 billion dollars annually. While many may participate in this market, no single franchise organization dominates the market place. We would definitely like to be part of this growing industry.

Although USA franchises are located throughout the U.S. and up into Canada, the number of actual stores is not great (approximately 135). However, USA is still in its early stages of franchising and in approximately four years has established 135 privately held franchised stores.

Name recognition is growing daily. There are currently USA franchises in Redford, Bloomfield Hills, and Troy. Troy and Milford territories have just been assigned, and with our development of the metropolitan area puts the last piece of the puzzle into place for USA to be recognized as a leading force in the bagel business in the metropolitan area.

Great potential exists, not only in retail sales, but also in corporate/delivery orders, and event delivery sales. The key factor will be getting the in-store sales generated through advertising exposure, and then approximately 3-6 months later, venture into outside sales.

With the expansion into outside sales, comes greater community awareness. We feel this will in turn increase in-store sales via wider awareness of our operations, our great product and service.

Eventually we will expanding into a three-store operation. This business plan deals specifically with our first operation. We'll deal more with the expansion once our first operation is running sound.

For our initial store we will approximately 2200 sq. Ft. of operating space. The actual site has not yet been selected, however we are working with Jack Reaves, of Coleman Realty, to find a location and expedite the process. We will need a location that offers ample parking, easy in and out access for the morning and afternoon rush times, and high visibility from the road.

• Local newspapers
• Radio spots
• Yellow Pages
• On-location event sponsoring

Bagel Baker, Livonia MI

Blackwells Bagels, Westland, MI

Already up and running. In speaking with Bagel Bakery & Blackwells' management, business seems steady. Blackwells use a different method of production. Their bagels are boiled, baked, and then steamed.

Their bagel baking proceess tends to make their bagels hard and crusty. Their shelf life is very short, as they start out with a partially hardened product. We have tried their bagels and they do not compare to the quality of bagel we will produce. They don't use the amount of fresh ingredients we do, and they can't. Often their product is not made fresh in the store, rather, it is shipped frozen.

We offer a difference! Bagels made fresh every day. Cream cheeses made fresh everyday. All made from fresh ingredients everyday. Our bagels are not boiled, so they don't end up hard and crusty. A softer bagel makes a tastier & pleasing product.

In the purchase of the USA franchise, we are seeking a small business loan from the SBA, due to the fact that their rates tend to be a little better. The loan would be in the amount of $200,000.00. This would be for the purchase or lease of equipment, inventory, the leasehold improvements of a current lease site, cash reserves for three months, and enough working capital to successfully launch a production/retail delivery operation. This loan together with an equity investment of $40,000.00 and $45,000.00 in personal mutual funds as collateral, would be sufficient to finance the business so it can operate as a viable/profitable enterprise.

Dan Beecham - Director

Beecham has been a Director of USA Bagels since January of 1993. He was President of USA and its affiliates from the date of their inception until February of 1996, at which time he became a Consultant to USA and its affiliates. Mr. Beecham opened the first USA Bagels store in Boston, MA in 1986. Since 1986 he has been the President of USA Bagels, Inc., which currently operates 3 stores in the western suburbs of Boston, pursuant to a license agreement with USA.

Evan Smith - President, Chief Executive Officer and Director

Mr. Smith has been Chief Executive Officer and Director of USA. In February of 1996 he became President of USA and its affiliates. From December of 1986 to December 1993, he was Chief Executive of Boston Personnel Services of Boston, MA.

Consolidated Balance Sheet

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Bagel Shop Business Plan and SWOT Analysis

Bagel Shop Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Bagel Shop Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Bagel Shop business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.

Your Business Planning Package will be immediately emailed to you after you make your purchase.

Product Specifications (please see images below):

• Bank/Investor Ready!
• Complete Industry Research
• 3 Year Excel Financial Model
• Business Plan (26 to 30 pages)
• Loan Amortization and ROI Tools
• Three SWOT Analysis Templates
• Easy to Use Instructions
• All Documents Delivered in Word, Excel, and PDF Format
• Meets SBA Requirements

Bagel shops have been around for almost a century and they originated in major metropolitan areas especially within areas that have a large Jewish population. These days, everyone enjoys bagels and these businesses have expanded by not only offering these types of products but also new number of other products as well such as doughnuts. Most bagel shops offer a broad variety of not only breakfast focused bagel sandwiches but also provide lunch options as well. Many of these locations also operate as cafés and server a broad array of beverages including coffees, bottled beverages, and tease. Start up cost for new bagel shop are relatively low in these businesses can be started for as little as $30,000 or as much is $100,000 depending on the leasehold improvements that are required by the business.

The gross margins from sales are extremely high, and most bagel shops report that they produce gross profits ranging anywhere from 80% to 83% of their aggregate income. It should be noted that the marketing and operating expenses of these businesses can be moderately high in highly competitive markets. These businesses are relatively immune from negative changes in the economy given the fact that bagels are relatively inexpensive and people will continue to purchase them as breakfast options.

A bagel shop SWOT analysis is typically produced in conjunction with both a business plan and a marketing plan. As relates to strengths, bagel shops produce very high gross profits and are always able to remain profitable. These businesses are frequently sought after by individuals on an ongoing basis.

For weaknesses, most bagel shops to face a substantial amount of competition within any given market. They will face competition not only from other bagel shops but also from cafés and other eateries that provide these food products as part of their overall offerings. There are always risks relating to inventory spoilage as well for any food and beverage business.

For opportunities, most bagel shops expand by simply establishing new locations within their regional market. One of the other ways of these companies expand is by offering delivery to corporations that freely purchase large amounts of bagels for their employees and clients. This can create highly predictable streams of revenue on an ongoing basis for these businesses.

For threats, outside of a major economic recession the primary threat faced by these businesses is other competitors in the market. Rising coffee costs can also make a modest and in a profit and loss statement for these types of business. However, outside of these risks there’s really nothing is going to change about the bagel shop industry.

A bagel shop business plan should be developed especially if the entrepreneur is going to be seeking capital from private investors, financial situations, or third-party lenders. This business plan should feature a three-year profit and loss statement, cash analysis, balance sheet, and breakeven analysis. As it relates to the industry research portion of the business plan, there are approximately 70,000 companies that own or operate one or more bagel shop and/or cafe locations. Each year these businesses produce about $50 billion in revenue and provide jobs for about 800,000 people. As with any type of business plan that is focused specifically for retail food and beverage business, and expansive demographic analysis should be provided in the documentation as well. As a relates to the specific statistics need to be showcased these include population size, population density, annual median household income, annual family income, estimated household net worth, and the percentage of people that eat breakfast outside of their home every single day. Special importance should be paid to the median household incomes and this will dictate the amount of money the people typically spend on food in a retail setting.

A bagel shop marketing plan also needs to be developed in order to ensure that people come to location frequently and on an ongoing basis. Most importantly, the acquisition of a highly visible retail location will substantially reduce the startup risks and ongoing marketing risks associated with this type of business. Although this may translate into a higher operating expense as well as a higher startup expense – the risks of having the business go under our substantially ameliorated in markets where an individual is able to secure a highly visible location that can be reached by tens of thousands of people per day.

Almost all bagel shops will offer discounts including free offerings during a one two  month grand opening. This will allow individuals to come to location and enjoy the company’s products while understanding where it is and what they can purchase their. This is commonly done among most retail food and beverage businesses.

Almost all food and beverage business is also now maintain an expansive online presence so that people can find them very quickly over the Internet.  It is very important to have a mobile friendly website ensures that people can quickly find a bagel shop location on their phone when they are searching for local eateries. Most of these businesses also maintain an expansive presence on social media in order to ensure that they can be recommended by friends and family. Almost all social media platforms, including FaceBook and Twitter, allow for reviews to be placed on most small businesses pages. Strong reviews can provide a strong degree of trust and visibility for any local or regional bagel shop chain.

These are mainstay food and beverage businesses, and they will continue to be in demand at all times. The low start up costs coupled with the moderate operating expenses can make these business lucrative small business opportunities for entrepreneurs that have a substantial amount of experience in the food and beverage industry. Most importantly, these businesses once they are established have very easy access to capital and can establish additional locations very quickly either with borrowed funds or with the retained earnings of the business. These companies are not subject automation, and it will continue to be in demand moving forward.

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XL Flag Elektrostal Moscow oblast | landscape flag | 2.16m² | 23sqft | 120x180cm | 4x6ft - 100% Made in Germany - long lasting outdoor flag

Purchase options and add-ons, about this item.

• 100% Made in Germany » ... because the first impression last, quality flag for representative purposes *****
• State-of-the-art High-Tech Outdoor Fabric » One air-permeable 110 GSM Polyester to keep wind forces low and lifetime high
• Mirrored Back » Image printed on the front, mirrored image 100% visible on the rear side
• Landscape flag | 2.16m² | 23sqft | 120x180cm | 4x6ft
• Show your pride for your hometown with the Elektrostal flag! Made with quality materials and vibrant colors, this flag is the perfect way to display your patriotism and love for your city. Fly it proudly at home, at events, or even in your car. Get yours today and show your Elektrostal pride!
• The flag of Elektrostal, Moscow Oblast, is a striking combination of Old Glory red, representing strength and courage at 81%, complemented by a subtle touch of light grey at 5% for balance and harmony. The bold black stripe at 3% adds a touch of sophistication, while the shimmering gold stripes at 3% each symbolize prosperity and success. The flag is completed with a touch of very dark grey at 1%, representing the city s resilience and
• Elektrostal Moscow oblast

Product information

Warranty & support, looking for specific info, product description.

Flag: Elektrostal Moscow oblast landscape flag | 2.16m² | 23sqft | 120x180cm | 4x6ft Elektrostal Moscow oblast Elektrostal obwód moskiewski , flaga ???????????? ?????????? ??????? Since we know how important your external presentation is, we print our Elektrostal Moscow oblast flag for your representative appearance using the most modern machines in Germany. To ensure your maximum flexibility, we have equipped the flags with quality metal eyelets, to let you simply attach these flags to any flagpole. To let you use the flags for a long time, we have strengthened the flag using double safety seams and a tear proof strap at the side of the pole. Due to the quality of this business flag, you show a particular degree of the closeness to Elektrostal Moscow oblast. Details about this flag This landscape Elektrostal Moscow oblast flag is a quality product Made in Germany made of 110g/m² gloss polyester. This Elektrostal Moscow oblast flag is wind- and weather-resistant and highly durable. The flag colors are intensive and UV-resistant. This flag is specially made for outer space. This Elektrostal Moscow oblast flag will be delivered with a double safety-seam as well as with 2 metal eyelets to hoist at the flag pole. The metal eyelets give you great flexibility for placing this flag on any flagstaff. The mast side is reinforced with a white hem. The quality flag material and the metal eyelets will take care of a long endurance of this Elektrostal Moscow oblast flag. If required, the flag can be washed at 60 degrees Celsius. Recommended height of flag pole Elektrostal Moscow oblast flags of 2.16m² | 23sqft | 120x180cm | 4x6ft look best with flagpoles of around 6m | 18ft height. Need a bigger size or an other configuration? We can provide bigger sizes, other configurations, exclusive indoor ...

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