Plant Nursery Business Plan Template

Plant Nursery Business Plan Template

If you want to start a Plant Nursery business or expand your current Plant Nursery business, you need a business plan.

The following Plant Nursery business plan template gives you the key elements to include in a winning Plant Nursery business plan.

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

 

Sample Plant Nursery Business Plan Template

Below is a plant nursery business plan example with each of the key sections to help you write a plant nursery business plan for your own company.

I. Executive Summary

Business Overview

[Company Name], located in [insert location here] is a new plant nursery and garden center that provides flowering plants, trees, bushes, outdoor fountains and designer pottery. The nursery will provide everything for one’s gardening needs including fertilizer, dirt, sod, rocks and outdoor decor. The company sources their plants from the local area and from the most sought after plant distributors in the country. [Company Name] aims to be the best-selling plant nursery in the area.

Products Served

[Company Name] will provide a variety of different types of plants, flowers and bushes. Products will include woody and herbaceous plants, small trees, shrubs, flowers, soil, and fertilizer.

All plants will be tended to daily so that they are ready to be planted in the customer’s garden or flower bed. [Company Name] will only sell the highest quality plants and flowers.

Customer Focus

[Company Name] will primarily serve the residents within a 5 to 10-mile radius of our location. The demographics of these residents are as follows:

• 203,756 residents
• Average income of $54,000
• 56.4% married
• 48.3% in Management/Professional occupations
• Median age: 48 years

Of the above-mentioned residents, about 52% of the population reside in single family homes where they have grass and gardens.

Management Team

[Company Name] is led by [Founder’s Name], a licensed Nurser who is certified in floral and plant nursery in the state of [location]. He is also fully licensed with the Department of Agriculture. [Founder] has been in the gardening industry for over 15 years and has won numerous awards and accolades from local and regional nursing competitions. After working at another local plant nursery for over a decade, he recognized all the plant items that are highly sought after but not sold at any establishments in the area. [Founder] knew it was time to start his own plant nursery business once he reached distribution deals from other plant distributors.

Success Factors

[Company Name] is uniquely qualified to succeed due to the following reasons:

• The company will be providing a broader selection of plants, trees, and flowers to the community.
• The company is in a high-volume area that is near neighborhoods and other shopping centers.
• The management team has a track record of success in the gardening industry and is a proven expert in the field.
• The pricing model is formulated to be slightly higher than the competition as it is a higher-quality product, but low enough that customers will perceive value when purchasing.
• [Company Name] will offer a loyalty program to its customers.

Financial Highlights

[Company Name] is seeking a total funding of $100,000 of debt capital to open its plant nursery business.

• Nursery and greenhouse design/build-out: $50,000
• Equipment, inventory, and supplies: $25,000
• Working capital: $25,000 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:

 

II. Company Overview

Who is [Company Name]?

[Company Name], located in [insert location here] is a newly established plant nursery that will provide a variety of plant and flower options for purchase. In addition to flowers and plants, the nursery will provide everything for one’s gardening needs including fertilizer, dirt, sod, rocks and outdoor decor.

[Company Name] was founded by [Founder’s Name], a local nurser who has worked in several local nurseries in the area and has made a career out of horticulture. He has studied, grew, and competed with the top nurseries in the country and has solidified his expertise in the industry. [Founder’s Name] has won many top awards and has been featured in multiple gardening magazines and articles.

Throughout his career working with different plant nurseries, [Founder’s Name] has come across several clients who are seeking specific types of plants for their garden and can’t find them to purchase anywhere in the area. [Founder’s Name] knew he could own and operate a successful plant nursery as he has the expertise, management skills, and will have a starting customer base as he will be able to carry many of the highly sought after plants and flowers that are not sold at any other local plant nursery.

[Company Name]’s History

Once his market analysis was complete, [Founder’s Name] began surveying the local vacant warehouses with space for an outdoor greenhouse and located an ideal location to house the plant nursery. [Founder’s Name] incorporated [Company Name] as a Limited Liability Corporation on [date of incorporation].

Once the lease is finalized on the warehouse space, light construction can begin to build-out the small retail area and outdoor greenhouse.

Since incorporation, the Company has achieved the following milestones:

• Located available warehouse space for rent that is ideal for plant retail sales and enough room for an adjacent outdoor greenhouse
• Developed the company’s name, logo, and website located at [website]
• Hired a general contractor for the build-out of the warehouse, small office, retail showroom, and outdoor greenhouse
• Determined equipment and necessary supplies
• Began recruiting key employees with previous plant nursery experience

[Company Name]’s Products/Services

Below are [Company Name]’s product offerings:

1. House Plants
2. Herbaceous plants
3. Flowers
4. Small trees
5. Shrubs
6. Soil
7. Fertilizer
8. Pots and planters

 

III. Industry Analysis

The Nursery and Garden Centers industry has experienced strong revenue growth over the past few years and is projected to continue to grow over the next five years. Strong consumer demand for industry products contributed most to the overall increase in sales. Operators have also been able to compensate for higher prices by offering more in-depth product knowledge and superior customer service.

Housing starts and spending on home improvement is also expected to continue to increase, which proves favorable for the industry. The industry will also likely benefit from a growing millennial demographic interested in small plants, gardening and organic produce and an increase in overall consumer spending.

 

IV. Customer Analysis

Demographic Profile of Target Market

[Company Name] will provide plants and accessories to the community residents of [company location] and its surrounding areas.

The community of [company location] has thousands of single-family homes with large backyards and front yards. A large segment of the population enjoys home gardening and regularly plant numerous plants, flowers, trees, and shrubs in their garden. These homes are made up of individuals, families, and senior retirees.

The precise demographics of the town in which the company resides is as follows:

Customer Segmentation

The Company will primarily target the following three customer segments:

• Individuals: There are many households that are made up of singles who are either male or female. They enjoy keeping a nice household and regularly garden.
• Families: Many family households also enjoy gardening and regularly make it a family activity.
• Retirees: There is a large segment of retiree households who regularly enjoy gardening as a hobby and use it as a form of recreation.

 

V. Competitive Analysis

Direct & Indirect Competitors

The following businesses are located within a 10-mile radius of [Company Name], thus providing either direct or indirect competition for customers:

Garden Gods Nursery

Garden Gods Nursery is a local plant nursery that provides trees and shrubs, perennials, native plants, vines, annuals, houseplants, roses, grasses, hardy ferns, and edibles. Established in 2003 by a husband and wife gardening team, Garden Gods Nursery has become a staple in the local market for anything related to plants. The company is able to assist customers for specific types of plants for deer repellent, fly repellent, natural remedies, and butterfly attracting plants.

Garden Gods Nursery also provides ancillary services such as at home garden consultations and design services, delivery, and container design and potting service. The company regularly updates their inventory with seasonal plants and flowers and will pre-order plant selections for clients.

Flowers R Us

Flowers R Us is a wholesaler plant nursery that provides seasonal plants and shrubs as well as landscaping services. Their garden center regularly stocks and sells perennial and annual plants, trees, shrubs, flowers, and accessories. Flowers R Us will also provide delivery and planting service for an additional cost.

Flowers R Us has a landscape group that will design a custom master plan for their clients. The company’s landscape services include custom landscape design/build, retaining walls, patios and walkways, water features, outdoor kitchens and living spaces, fire pits and fireplaces, maintenance and irrigation, outdoor lighting, and horticulture.

In addition to a well-stocked nursery and landscape services, the company also provides custom outdoor lighting.

Harmon House Nursery

Harmon House Nursery is a premier urban garden and retail center of [location]. The company provides plants and flowers with a tropical flair and will only carry seasonal plant products. Their greenhouse is regularly stocked with perennials, annuals, trees and shrubs, and vegetables and herbs. Established in 1996, Harmon House Nursery has everything for its customers to stock up on a variety of plants and pottery. The company has designers to help customers choose houseplant aesthetics with the perfect decor and pottery.

Harmon House Nursery provides the following services – garden design, container design, installation, potting services, and delivery.

Competitive Advantage

[Company Name] enjoys several advantages over its competitors. Those advantages include:

• Inventory: [Company Name] will be able to carry highly sought after plants, shrubs, trees, and flowers that customers are unable to purchase from any other nursery in the area.
• Price: [Company Name] is able to offer high quality plant products at a competitive price point. They will be in line with other nurseries in the area and will offer a rewards program to keep loyal customers coming back and will offer them a chance to earn discounts on certain products.
• Known Expertise: Part of the marketing strategy is to showcase the founder’s expertise and knowledge in the industry. As a proven horticulturist and accomplished nurser, he was able to advise customers on the best plants, trees, shrubs, and flowers for their specific garden.
• Proprietary Technology: [Company Name] will invest heavily on the latest greenhouse technology to help grow its plants, trees, flowers, and shrubs to their fullest potential.

 

VI. Marketing Plan

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

[Company Name] seeks to position itself as a premier plant nursery in the area. Consumers can expect to source the best plants in the industry from an accomplished award-winning horticulturist and nurser.

The [Company Name] Brand

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

• Plant inventory different from any other plant nursery in the market
• Owner will offer his knowledge and expertise to all customers
• Plants grown with proprietary technology
• New, large, and high-tech greenhouse
• Affordable price

Promotions Strategy

[Company Name] expects its target market to be individuals living within a 5-10-mile radius of its location. [The Company’s] promotion strategy to reach these individuals includes:

Billboards

The owner will invest in several billboards in the community to showcase an appealing picture of the greenhouse and pictures of the most exotic plants and flowers. The billboards will be placed in highly trafficked intersections and highways.

Social Media

[Company Name] will invest heavily in a social media advertising campaign. The brand manager will create the company’s social media accounts and invest in ads on all social media accounts. It will use targeted marketing to appeal to the target demographics.

Major Publications

We will also invest in advertising in selected larger publications until we have achieved significant brand awareness. Advertisements such as radio and commercial ads will be shown during peak TV watching time and peak radio listening time.

Website/SEO

[Company Name] will invest heavily in developing a professional website that displays all of the products and services the plant nursery has to offer. The website will include attractive pictures of the plants, trees, shrubs, and flowers as well as the nursery’s location and hours of operation. It will also invest heavily in SEO so that the brand’s website will appear at the top of search engine results.

HomeshowsM

[Company Name] will participate in all of the annual and semi-annual community home shows and gardening shows. The company will purchase a table and showcase some of its most popular plant products and accessories.

Pre-Opening Events

Before opening the plant nursery, [Company Name] will organize pre-opening events such as an open house to draw future consumers to visit the nursery and greenhouse and take a tour. When they witness the appealing greenhouse and see all of the plant offerings in full bloom, they will be enticed to be a regular customer of the plant nursery.

Pricing Strategy

[Company Name]’s pricing will be moderate, so consumers feel they receive great value when purchasing the plant products and accessories.

 

VII. Operations Plan

Functional Roles

[Company Name] will carry out its day-to-day operations as a plant nursery retailer and gardening center. There will also be numerous administrative functions involved.

In order to execute on [Company Name]’s business model, the Company needs to perform several functions. [Company Name] anticipates using the services of X employees, divided into the following roles.

Service Functions

• Greenhouse gardeners to water, maintain, and manicure the plants, etc.
• Plant customer service representatives and retailers
• Drivers for delivery
• Operations manager on duty

Administrative Functions

• General and administrative functions including legal/compliance, marketing, bookkeeping, etc.
• Hiring and training staff
• Delivery coordination with plant distributors
• Brand management/social media
• Supply and plant procurement

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 headed by its founder, [Founder’s Name] who has been an accomplished nurser and horticulturist for over 15 years. He has worked and managed many nurseries in the area and has become a fixture on the local gardening circuit. As a career horticulturist, [Founder] has entered many of his plants and flowers in local competitions and has won several awards.

In addition to his awards and accolades, [Founder] has managed many local plant nurseries and has led medium to large scale teams of employees. He is skilled at customer service, purchasing, billing, inventory management, and greenhouse operations. [Founder] has all of the necessary skills and expertise to own and operate a successful plant nursery.

Hiring Plan

[Founder] will serve as the Owner and Manager of [Company Name]. In order to launch, he needs to hire the following personnel:

• Nursery Manager: 1 full-time employee to manage the day-to-day gardening center and greenhouse operations and assist [Founder] with managerial duties.
  Greenhouse staff: 3-4 full-time greenhouse employees who will work every day from 8:00 am – 5:00 pm.
• Customer service reps: 5-6 customer service representatives who will handle customer interaction, order processing, phone calls, and answer any questions.
  Delivery staff: 1-2 part-time drivers who will be responsible for delivering the plants to customers’ homes or businesses.
• Office staff: 1-2 full-time employees who will manage the phone calls, scheduling, accounting, marketing, clerical, bookkeeping, billing, and any administrative task required.
• Brand manager: 1 full-time employee who will be responsible for developing and launching the brand; manage the website, and social media accounts.
• Janitorial staff: 2 employees who will clean the nursery and greenhouse once it has closed for the day.

 

IX. Financial Plan

Revenue and Cost Drivers

[Company Name]’s revenues will come primarily from its plant nursery sales. The company will sell the plants, trees, shrubs, flowers, soil, fertilizer, and accessories to the residents in the community. As the company’s revenues increase, it will be able to increase its offerings and services.
The plant nursery lease, beginning inventory, supplies, and labor expenses will be the key cost drivers of [Company Name]. The major cost drivers for the company’s operation will consist of:

• Salaries
• Gardening supplies and equipment
• Plant inventory
• Business Insurance
• Lease on business location and utilities
• Taxes

Ongoing marketing expenditures are also notable cost drivers for [Company Name].

Capital Requirements and Use of Funds

[Company Name] is seeking a total funding of $100,000 of debt capital to open its plant nursery. The capital will be used for funding capital expenditures such as nursery and greenhouse build-out, hiring initial employees, beginning inventory, marketing and branding expenses, and working capital.

Specifically, these funds will be used as follows:

• Nursery and greenhouse design/build-out: $50,000
• Equipment, inventory, and supplies: $25,000
• Working capital: $25,000 to pay for marketing, salaries, and lease costs until [Company Name] reaches break-even

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