Soap Making Business Plan Template
[Updated 2024]

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I. Executive Summary

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

Business Overview

[Company Name] is a soap production company in [insert location here] that makes high-quality, all-natural, organic soaps. The Company distributes its products nationwide to major retailers and select department stores. The Company’s products are also available directly to consumers via their website.

Products Served

The Company manufactures and sells the following products to its customers:

  • Bar Soap
  • Baby Soap (Bar and liquid)
  • Liquid Body Wash
  • Liquid Hand Soap

Customer Focus

[Company Name] will primarily offer its products to retail locations and e-commerce buyers. The demographics of the customers are as given below:

  • Individual Buyers: 35%
  • Retail Locations: 65%

Management Team

[Company Name] is led by [Founder’s name], who has been in the soap manufacturing business for [x] years. While [Founder] has never run a soap-making company himself, he has extensive experience and in-depth knowledge of managing a certified soap manufacturing company, including the operations side, such as running day-to-day operations as well as handling the business management side (e.g., staffing, marketing, etc.).

Success Factors

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

  • There is currently a high demand for handmade, all-natural soaps in the U.S. In addition, the company surveyed the population and received highly positive feedback pointing towards an explicit demand for the products, supporting the business after launch.
  • The Company will use high-quality and exceptional packaging materials which are environmentally friendly.
  • The soap making business has proven to be a successful industry in the United States.

Financial Highlights

[Company Name] needs an estimate of $200,000 to launch the soap making business. Specifically, these funds will be used as follows:

  • Manufacturing equipment and plant setup: $100,000
  • Working capital: $100,000 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 SummaryFY 1FY 2FY 3FY 4FY 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 Margin25%31%31%32%35%

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