I. Executive Summary
This Section's Contents
You can download our Business Plan Template (including a full, customizable financial model) to your computer here.
Business Overview
[Company Name] is a new CBD shop located in [insert location here] that sells a variety of hemp and CBD-infused products. Our products can help customers manage their chronic pain and anxious feelings or generally support their overall well-being.
The shop will offer a wide variety of CBD and hemp products to choose from, including edibles, oils, topicals, and capsules.
Products Served
[Company Name] will offer customers a wide range of CBD and hemp products. Some of our initial products will include:
- Oils
- Edibles
- Topicals and body care products
- Capsules
- Flowers
Customer Focus
[Company Name] will primarily serve the residents who live within a 5-mile radius of the store. The demographics of these customers are as follows:
- 82,543 residents
- Average income of $42,000
- 38% married
- Median age of 38 years
Management Team
[Company Name] is led by [Founder’s Name], who has been in the CBD/hemp business for [X] years. Before starting [Company Name], he worked at several CBD/hemp shops, spending most of that time in management positions. As such, [Founder’s Name] has an in-depth knowledge of the hemp/CBD business, including the operations (e.g., running day-to-day operations) and management (e.g., staffing, marketing, etc.) sides of the industry.
Success Factors
[Company Name] is uniquely qualified to succeed due to the following reasons:
- There are currently very few CBD/hemp stores in [insert location here], meaning there is little competition.
- Our location is in a high-volume traffic area and thus will be highly convenient to a significant number of passersby each day.
- The management team has a track record of success in the CBD business.
- With more relaxed state and local laws, CBD and hemp products are increasing in popularity and demand.
- The residents of [insert location here] overwhelmingly support the use of CBD and hemp products, meaning we have a large demographic that will potentially patronize our business.
Financial Highlights
[Company Name] is currently seeking $370,000 to launch. Specifically, these funds will be used as follows:
- Store design/build: $200,000
- Initial inventory: $50,000
- Working capital: $120,000 to pay for marketing, salaries, and lease costs until [Company Name] reaches break-even
Top line projections over the next five years are as follows:
| Financial Summary | FY 1 | FY 2 | FY 3 | FY 4 | FY 5 |
|---|---|---|---|---|---|
| Revenue | $560,401 | $782,152 | $1,069,331 | $1,379,434 | $1,699,644 |
| Total Expenses | $328,233 | $391,429 | $552,149 | $696,577 | $776,687 |
| EBITDA | $232,168 | $390,722 | $517,182 | $682,858 | $922,956 |
| Depreciation | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 |
| EBIT | $225,168 | $383,722 | $510,182 | $675,858 | $915,956 |
| Interest | $6,016 | $5,264 | $4,512 | $3,760 | $3,008 |
| Pre Tax Income | $219,152 | $378,458 | $505,670 | $672,098 | $912,948 |
| Income Tax Expense | $76,703 | $132,460 | $176,985 | $235,234 | $319,532 |
| Net Income | $142,449 | $245,998 | $328,686 | $436,864 | $593,416 |
| Net Profit Margin | 25% | 31% | 31% | 32% | 35% |
