Frozen Yogurt Business Plan Template

Frozen Yogurt Business Plan Template

If you want to start a frozen yogurt business or expand your current frozen yogurt business, you need a business plan.

The following Frozen Yogurt business plan template gives you the key elements to include in a winning Frozen Yogurt business plan. In addition to this template, a solid plan will also include market research to help you better understand market trends, your competitive advantage and your target customers. It will also help you create a strong marketing plan and financial projections.

You can download our frozen yogurt business plan template (including a full, customizable financial model) to your computer here.

 

I. Executive Summary

Business Overview

[Company Name] is a new frozen yogurt shop located in [Location]. We serve homemade, all-natural frozen yogurt freshly made every day. We offer over 30 flavors of frozen yogurt (including chocolate, vanilla, and pistachio) and a wide assortment of toppings (such as cookie crumbles, fudge, and peanut butter). In addition to frozen yogurt, we also sell frozen yogurt cakes for special occasions and milkshakes. Our quality ingredients and numerous options will satisfy the craving of anyone with a sweet tooth.

Products Served

[Company Name] will sell a variety of frozen yogurt, toppings, milkshakes, and specialty frozen yogurt cakes for our customers to enjoy. Our long assortment of frozen yogurt flavors includes chocolate, vanilla, cookies ‘n cream, pistachio, and strawberry. Some of our most popular toppings include fudge, peanut butter, and cookie crumbles. Frozen yogurt cakes are made to order and can be made with any of the frozen yogurt flavors we offer.

All products will be made using only fresh and all-natural ingredients. Because all of our frozen yogurt is made fresh every day, our products will not include any chemicals or preservatives.

Customer Focus

[Company Name] will serve the community of [Location]. [Location] is a suburban community that is largely made up of families. It also has a large number of schools, churches, and organizations. The demographics of the target customer profile are as follows:

• 67,318 residents
• Average income of $75,000
• 64.9% married
• 25% children under 18
• Median age: 35 years

Management Team

[Company Name] will be owned and operated by [Founder’s Name]. [Founder’s Name] has been making frozen yogurt as a hobby in her home for the past twenty years. Her skills in frozen yogurt making are well known in the town. To the urging of her family and friends, [Founder’s Name] began providing frozen yogurt on a larger scale to school events, church gatherings, and social events. Over the past few years, her frozen yogurt has gained a large following, prompting [Founder’s Name] to formally open her own frozen yogurt shop.

Success Factors

[Company Name] has several advantages over its competition. Those advantages include:

• The company’s competitors use packaged frozen yogurt that was made weeks ago in a large warehouse and sent out for distribution. [Company Name]’s frozen yogurt is made fresh, in-store, using all-natural ingredients.
• The frozen yogurt shop will be located in a highly trafficked, prime retail location in a busy intersection of town.
• [Founder’s Name] has lived in [Location] all of her life and has raised her family in the same community as her target market. She has many connections with the local schools, churches, and organizations.
• [Company Name] will offer premium frozen yogurt at a price point that is competitive with other establishments.

Financial Highlights

[Company Name] is seeking $215,000 in funding to launch its frozen yogurt store. The capital will be used for funding capital expenditures, staffing, marketing and advertising expenses, and working capital. The breakout of the funding may be seen below:

• Store design/build-out: $75,000
• Frozen yogurt equipment: $50,000
• Marketing and advertising: $20,000
• Staffing costs: $50,000
• Working capital: $20,000

Top line projections over the next five years are as follows:

 

II. Company Overview

Who is [Company Name]?

[Company Name] is a new, upscale frozen yogurt shop that focuses on providing specialty-crafted frozen yogurt. We offer a wide selection of frozen yogurt flavors including chocolate, vanilla, cookies ‘n cream, pistachio, and strawberry. We also offer an enormous selection of toppings that include fudge, peanut butter, brownie pieces, and cookie crumbles. In addition to traditional frozen yogurt, we will also sell specialty frozen yogurt cakes, milkshakes, water, and other beverages.

[Company Name] was founded by [Founder’s Name]. [Founder’s Name] has been making frozen yogurt at home as a hobby for over twenty years. With the encouragement and persistence of family, friends, and other members of her community, [Founder’s Name] has begun providing frozen yogurt out of her home for the past year for social events and gatherings. Word quickly spread and the popularity of her frozen yogurt became so much that, [Founder’s Name] decided to establish a retail location of her own in the heart of the community.

[Company Name]’s History

[Founder’s Name] incorporated [Company Name] as an S-Corporation on [Date of Incorporation].

[Company Name] is currently being operated out of [Founder’s Name] home. [Founder’s Name] has identified a prime retail location for the frozen yogurt shop and has begun lease discussions with the landlord and management company. All operations will move to the retail location once the lease is finalized.

Since incorporation, the company has achieved the following milestones:

• Found a potential retail location
• Decided on the company name, and developed the logo and website located at [website]
• Developed the menu
• Determined the equipment and inventory requirements
• Began recruiting key employees that will be integral in the operation of the frozen yogurt shop

[Company Name]’s Products/Services

Below is [Company Name]’s initial menu. All frozen yogurt products will be homemade using all-natural ingredients and toppings. Below are some of the initial frozen yogurt flavors we will offer:

• Chocolate
• Vanilla
• Cookies ‘n Cream
• Pistachio
• Strawberry
• Peanut Butter
• Cherry
• Banana

 
Below are some of the toppings we will offer:

• Peanut Butter
• Fudge
• Brownie bits
• Sprinkles
• Caramel
• Cookie Crumbles
• Gummy Bears
• Whipped Cream

In addition to our traditional frozen yogurt, we will also sell specialty frozen yogurt cakes, milkshakes, water, and other beverages.

 

III. Industry Analysis

According to Fortune Business Insights, over the next five years, the Frozen Yogurt Shop industry is expected to increase to more than $2 billion and will grow at a CAGR of 3.5%. This growth will be driven by per capita disposable income, which is expected to grow at a rate of 1.8%.

This growth is also supported by frozen yogurt’s popularity in American culture. Frozen yogurt has long been a dessert staple in the United States and its popularity has prevented a decline in demand for industry products. Therefore, while some consumers are eating less frozen yogurt, the popularity of this item continues to drive demand for store offerings.

Furthermore, current health trends are leading to Americans choosing healthier options for dessert. Compared to ice cream, frozen yogurt typically contains less fat and calories, making it a better option for those with a sweet tooth. This has improved frozen yogurt’s popularity in recent years as a more health-conscious choice.

 

IV. Customer Analysis

Demographic Profile of Target Market

[Company Name] will serve the community residents of [Location] and its surrounding areas.

The area we serve has dozens of elementary, middle, and high schools, as well as numerous sports organizations, churches, and activities. [Location] is mostly a family-friendly community whose residents regularly consume frozen yogurt and similar dessert items.

Customer Segmentation

We will primarily target the following customer segments:

• Parents of young children: The area has a large population of parents of young children who regularly treat their children to frozen yogurt as a treat.
• Middle and high school-age students: There will be a large number of middle and high school kids who will walk to the frozen yogurt shop for a treat after school or on weekends.
• Local working community: [Company Name] expects to draw in a large number of workers in various industries coming to purchase frozen yogurt during work lunch hour or break.

 

V. Competitive Analysis

Direct & Indirect Competitors

The following establishments are located within a 20-mile radius of [Company Name], thus providing either direct or indirect competition for customers:

Billie’s Creamery
Billie’s Creamery is an old-school, traditional American frozen yogurt parlor that was founded in [Location] in 1985. It was an instant hit with the locals and was able to expand soon after opening. Now with several locations across the U.S., Billie’s Creamery will be a fierce competitor due to its high-quality frozen yogurt that is made fresh daily. Furthermore, Billie’s offers an unparalleled number of flavors, including birthday cake, peanut butter surprise, and chunk of fudge. With its popularity and high-quality offerings, Billie’s will be one of our toughest local competitors.

Sub Zero
Established in 2004, Sub Zero is a popular frozen yogurt franchise that offers a self-serve experience. Customers come in and pay for a cup to fill with whatever frozen yogurt and topping they want. Each location has several machines that dispense a variety of frozen yogurt flavors and toppings that can be used by customers without the assistance of any staff. This allows customers to create confections that are truly unique. We expect that Sub Zero will be a tough competitor for customers who want a self-serve experience over a predetermined recipe.

Frozen Depot
Founded in 1970, Frozen Depot is a [Location]-based provider of frozen yogurt, ice cream, smoothies, milkshakes, and other frozen desserts. They have over 50 flavors of frozen yogurt and dozens of toppings. They have several premade concoctions to choose from but also offer customers the option to create a custom frozen yogurt treat. Frozen Depot also makes ice cream cakes for special occasions and sells prepackaged pints of their most popular ice cream and frozen yogurt flavors. Since Frozen Depot has been an important part of the community for several decades, it will be a difficult competitor for our target market.

Competitive Advantage

[Company Name] has several advantages over its competition. Those advantages include:

• All-Natural and Homemade Ingredients: The company’s competitors use packaged frozen yogurt that was made weeks ago in a large warehouse and sent out for distribution. [Company Name]’s frozen yogurt is made fresh, in-store, using all-natural ingredients.
• Location: [Company Name] will be located in a highly trafficked, prime retail location in a busy intersection of town.
• Relationships: [Founder’s Name] has lived in [Location] all of her life and has raised her family in the same community as her target market. She has many connections with the local schools, churches, and organizations.
• Pricing: [Company Name] will offer premium frozen yogurt at a price point that is competitive with other establishments and be moderately priced for fresh, all-natural frozen yogurt.

 

VI. Marketing Plan

You can download our Business Plan Template (including a full, customizable financial model) to your computer here.

The [Company Name] Brand

The [Company Name] brand will focus on the Company’s unique value proposition:

• Offering all-natural, freshly made frozen yogurt in a variety of delicious flavors.
• Offering an assortment of delicious toppings.
• Located in a prime retail location in a highly trafficked part of town.
• Offering the best-frozen yogurt at competitive prices.

Promotions Strategy

[Company Name] will target all residents of [Location] within a 20-mile radius. The Company’s promotions strategy to reach the most clientele include:

Public Relations
[Company Name] will contact the local media to request a media blitz of the new, up-and-coming frozen yogurt shop. They will be featured in local newspapers and publications as well as local television stations.

Social Media
[Company Name] will be active on social media and use targeted social media advertising to attract its most likely customers. The company will post frequently upcoming specials, events, and seasonal featured flavors.

Website
[Company Name] will have an informative and attractive website that will feature professional photos of the shop, its frozen yogurt, store hours, address, and contact information. It will also use SEO to constantly stay at the top of search engines for anyone searching for dessert/frozen yogurt shops near them.

Billboard
[Company Name] will have a billboard in an area of town at a busy intersection where thousands of cars and pedestrians pass daily. The billboard will have an eye-catching picture of its frozen yogurt that is sure to grab everyone’s attention.

Partnerships with Local Businesses
[Company Name] will partner with neighboring local businesses and request they hand out coupons for the company at their place of business in exchange for discounts for their employees.

Pre-Opening Events
[Company Name] will organize a pre-opening event designed for prospective customers, local merchants, and press contacts. The event will be fun and inviting in order to create awareness for the company. Attendees will be able to sample the different flavors of frozen yogurt.

Advertising
[Company Name] will invest in advertisements in featured local publications, such as community newspapers and newsletters.

Pricing Strategy

[Company Name]’s pricing will be moderate, so customers feel they receive great value when purchasing its products.

 

VII. Operations Plan

Functional Roles

[Company Name] will need to fulfill the following functional roles in order to execute their business plan and ensure the company’s success:

Administrative Functions

• Social media management
• Website management
• Bookkeeping
• Marketing
• Hiring and training staff
• Other general administrative functions

Service Functions

• Frozen yogurt and milkshake preparation
• Maintain sink, counter, serving utensils, and blender cleanliness at all times
• Ongoing frozen yogurt menu creation and modification
• Sourcing and storing ingredients

Store/Retail Functions

• Order-taking and fulfillment
• Customer service
• Janitorial functions

Milestones

The following are a series of steps that lead to our vision of long-term success. [Company Name] expects to achieve the following milestones in the following [xyz] months:

 

VIII. Management Team

Management Team Members

[Company Name] is owned and operated by [Founder’s Name], a local who has spent the last twenty years making fresh frozen yogurt at her home as a hobby. Over the past year, through the constant urging of friends and family, [Founder’s Name] began providing her homemade frozen yogurt at community social events and gatherings. Demand grew, prompting [Founder’s Name] to make [Company Name] a reality. While [Founder’s Name] has never operated a frozen yogurt shop, her career as an accountant makes her adept at bookkeeping and accounting of a business.

Hiring Plan

[Founder’s Name] will serve as the Store Manager. She will hire the following personnel in order to maintain an effective and profitable frozen yogurt shop:

• Assistant store manager (1 to start)
• Frozen yogurt enthusiasts (4 to start)
• Custodial staff (2 to start)
• Administrative assistant (1 to start)

 

IX. Financial Plan

Revenue and Cost Drivers

The revenues for [Company Name] will come from the sales of the all-natural frozen yogurt and milkshakes that will be offered to its customers.

The major costs for the company will be sourcing the fresh ingredients and production of the frozen yogurt. Other cost drivers will be the salaries of the staff, company overhead, and advertising costs.

Capital Requirements and Use of Funds

[Company Name] is seeking $215,000 in funding to launch its frozen yogurt store. The capital will be used for funding capital expenditures, staffing, marketing and advertising expenses, and working capital. The breakout of the funding may be seen below:

• Store design/build-out: $75,000
• Frozen yogurt equipment: $50,000
• Marketing and advertising: $20,000
• Staffing costs: $50,000
• Working capital: $20,000

Key Assumptions

The following table reflects the key revenue and cost assumptions made in the financial model:

 
5 Year Annual Income Statement

 
5 Year Annual Balance Sheet

 
5 Year Annual Cash Flow Statement