Free VC Directory
With any B-Plan Purchase
425 Page Capital Directory
Through Mar. 31


Custom Business Plan
$425 Flat Rate
No Templates Used
7 Day Turnaround

All Purchased Plans

Are Updated for 2017


Visit Our Amazon Store
All Plans Available on Amazon

Free VC Directory

With any B-Plan Purchase
425 Page Capital Directory
Through Mar. 31


Custom Business Plan
$425 Flat Rate
No Templates Used
7 Day Turnaround

All Purchased Plans
Are Updated for 2017


Visit Our Amazon Store
All Plans Available on Amazon
Free Head Shop Business Plan

For Raising Capital from Investors, Banks, or Grant Companies!

Please note that the financials in this complete free business plan are completely fictitious and may not match the text of the business plan below. This free business plan demonstration purposes only. If you are interested in purchasing the completed editable MS Word and Excel documents for this business plan, please click the button below! Also, the text of the business plan is formatted with a fully automated table of contents.



Return to Samples Page

It should be noted that there is no special software required to use these templates. All business plans come in Microsoft Word and Microsoft Excel format. Each business plan features:

  • Excecutive Summary
  • Company and Financing Summary
  • Products and Services Overview
  • Strategic Analysis with current research!
  • Marketing Plan
  • Personnel Plan
  • 3 Year Advanced Financial Plan
  • Expanded Financial Plan with Monthly Financials
  • FREE 30 Page Sample Private Placement Memorandum
  • FREE PowerPoint Presentation for Banks, Investors, or Grant Companies!

1.0 Executive Summary

The purpose of this business plan is to raise $100,000 for the development of a general merchandise store specializing in new age products while showcasing the expected financials and operations over the next three years. Head Shop, Inc. (“the Company”) is a New York based corporation that will provide a broad range of new age merchandise to customers in its targeted market. The Company was founded by John Doe.

1.1 Products and Services

Management intends to launch a retail location that will specialize in the sale of new age general merchandise with a focus on glass pipes, fragrances, incense, candles, and other products normally associated with “Head Shops”.

 

The business will also maintain an online ordering platform for its products so that the business can make sales from outside of its retail location.

 

The third section of the business plan will further describe the products sold by the Head Shop.

 

1.2 The Financing

Mr. Doe is seeking to raise $100,000 from as a bank loan. The interest rate and loan agreement are to be further discussed during negotiation. This business plan assumes that the business will receive a 10 year loan with a 9% fixed interest rate. The financing will be used for the following:

  • Development of the Company’s Head Shop location.

  • Financing for the first six months of operation.

  • Capital to purchase FF&E and inventory.

Mr. Doe will contribute $10,000 to the venture.

1.3 Mission Statement

The Head Shop’s mission is to become the recognized leader in its targeted market for new age general merchandise services.

1.4 Mangement Team

The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the head shop industry. Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations.

1.5 Sales Forecasts

Mr. Doe expects a strong rate of growth at the start of operations. Below are the expected financials over the next three years.

1.6 Expansion Plan

The Founder expects that the business will aggressively expand during the first three years of operation. Mr. Doe intends to implement marketing campaigns that will effectively target individuals within the target market.

2.0 Company and Financing Summary

2.1 Registered Name and Corporate Structure

Head Shop, Inc. The Company is registered as a corporation in the State of New York.

2.2 Required Funds

At this time, Head Shop, Inc. requires $100,000 of debt funds. Below is a breakdown of how these funds will be used:

2.3 Investor Equity

Mr. Doe is not seeking an investment from a third party at this time.

2.4 Management Equity

John Doe owns 100% of Head Shop, Inc.

2.5 Exit Strategy

If the businesIf the business is very successful, Mr. Doe may seek to sell the business to a third party for a significant earnings multiple. Most likely, the Company will hire a qualified business broker to sell the business on behalf of Credit Monitoring Service, Inc. Based on historical numbers, the business could fetch a sales premium of up to 4 times earnings.

3.0 Products and Services

3.1 Head Shop Products

As stated in the executive summary, the Head Shop will specialize in making sales of the following types of products:

  • Incense
  • Fragrances
  • Candles
  • New Age CDs and Books
  • Other related products (including blown glass items)

3.2 Online Ordering Platform

The Head Shop will also maintain an online ordering platform that will allow the business to make sales of new age products (as listed above) from outside of the Head Shop’s retail location.

4.0 Strategic and Market Analysis

4.1 Economic Outlook

This section of the analysis will detail the economic climate, the head shop and general merchandise industry, the customer profile, and the competition that the business will face as it progresses through its business operations.

Currently, the economic market condition in the United States is moderate. Unemployment rates have declined while asset prices have risen substantially. However, as the business generates very high margin from its products sales, the Head Shop should be able to remain profitable in any economic climate.

4.2 Industry Analysis

Head Shops and new age stores are classified as general merchandise stores according to the US Economic Census. Based on information from the Federal Government, the total yearly expenditures on new age related products totaled $5 billion dollars.  The growth rate of this business is expected to remain in lockstep with that of the economy and population. There are approximately 10,000 companies in the United States that specialize in the retail sale and distribution of “Head Shop” products.

The anticipated growth rate of the industry is expected to remain in lockstep with that of the general US economy.

4.3 Customer Profile

The Head Shop’s average client will be a middle to upper middle class man or woman living in the Company’s target market. Common traits among clients will include:

  • Annual household income exceeding $50,000

  • Lives or works no more than 15 miles from the Company’s location.

  • Will spend $20 per visit to the Head Shop

4.4 Competitive Analysis

This is one of the sections of the business plan that you must write completely on your own. The key to writing a strong competitive analysis is that you do your research on the local competition. Find out who your competitors are by searching online directories and searching in your local Yellow Pages. If there are a number of competitors in the same industry (meaning that it is not feasible to describe each one) then showcase the number of businesses that compete with you, and why your business will provide customers with service/products that are of better quality or less expensive than your competition.

5.0 Marketing Plan

Head Shop, Inc. intends to maintain an extensive marketing campaign that will ensure maximum visibility for the business in its targeted market. Below is an overview of the marketing strategies and objectives of the Company.

5.1 Marketing Objectives

  • Develop an online presence by developing a website and placing the Company’s name and contact information with online directories.

  • Implement a local campaign with the Company’s targeted market via the use of flyers, local newspaper advertisements, and word of mouth.

5.2 Marketing Strategies

Mr. Doe intends on using a number of marketing strategies that will allow Head Shop to easily target men and women within the target market. These strategies include traditional print advertisements and ads placed on search engines on the Internet. Below is a description of how the business intends to market its services to the general public.

The Head Shop will also use an internet based strategy. This is very important as many people seeking local retailers, such as head shops, now the Internet to conduct their preliminary searches. Mr. Doe will register the Head Shop with online portals so that potential customers can easily reach the business. The Company will also develop its own online website with e-commerce functionality.

The Company will maintain a sizable amount of print and traditional advertising methods within local markets to promote the new age and head shop products that the Company is selling.

5.3 Pricing

In this section, describe the pricing of your services and products. You should provide as much information as possible about your pricing as possible in this section. However, if you have hundreds of items, condense your product list categorically. This section of the business plan should not span more than 1 page.more than 1 page.

 

6.0 Organizational Plan and Personnel Summary

6.1 Corporate Organization

6.2 Organizational Budget



6.3 Management Biographies

In this section of the business plan, you should write a two to four paragraph biography about your work experience, your education, and your skill set. For each owner or key employee, you should provide a brief biography in this section.

7.0 Financial Plan

7.1 Underlying Assumptions

The Company has based its proforma financial statements on the following:

  • The Head Shop will have an annual revenue growth rate of 16% per year.

  • The Owner will acquire $100,000 of debt funds to develop the business.

  • The loan will have a 10 year term with a 9% interest rate.

7.2 Sensitivity Analysis

In the event of an economic downturn, the business may have a decline in its revenues. However, the pricing point for the Company’s head shop products is low. As such, only a much more severe economic downturn would result in a decline in revenues.

 

7.3 Source of Funds


7.4 General Assumptions

7.5 Profit and Loss Statements 

7.6 Cash Flow Analysis

 

7.7 Balance Sheet

.

7.8 General Assumptions

7.9 Business Ratios

Expanded Profit and Loss Statements

Expanded Cash Flow Analysis