Starting a butchery business is a profitable and highly rewarding venture. The butchery is one of the oldest business models known to omnivorous man. It is a remarkably versatile and diverse business model that can range from a very small outlet to great commercial multinational corporations. Because of our love of meat, it is one of those enterprises that is unlikely to ever go out of fashion. This article will outline how to start a butchery business, and the butchery business plan – PDF, Word and Excel.
The demand for meat and meat products is always consistently high. This is why more and more people continue to embark on livestock production and still get to realize huge returns. Consequentially this means that starting and running a butchery is an exercise laden with great returns. The prospects are even further enhanced because not only can you just focus on selling meat but you can also include the processing of meat products. You can engage in technical processes which produces various products such as boerewors, pickles, biltong and patties. Read on for more information on starting a butchery business and the meat shop business plan.
Obviously the butchery market is vast but don’t let that fool you; market research is mandatory. There’s a wide array of meats spanning from beef, pork, chicken to meats like lamb, sausages and goat meat. So you must conduct research to help you make up your mind on which meat you’ll provide and to which market. In your market targeting you can also consider that many people are huge fans of barbecues or braais. I’m mentioning that to indicate that finding where people usually converge for such leisure activities can inform you better on how to determine your target market. Basically you need to find out the size of your potential market, its buying habits, levels of income and general meat preferences. Don’t forget to study about competitors so that you come up with ways to edge past them once operational.
Make sure you have a comprehensive butchery business plan
The failure to plan is the beginning of business failure. The butcher shop business plan must be clear and succinct enough to give your potential partners, clients and investors an overview of what your objectives are. At the same time, it must be detailed enough to explain your business well. Your meat shop business plan should have financial statements which show that your business is viable and profitable.
Location And Premises
Locating butcheries close to leisure spots that do past time activities can guarantee steady customer inflows. Butcheries can also be best located in residential areas, shopping areas or central business districts. The principle is to locate the butchery at a spot that’s surrounded by (or part of) a good road network. This is meant to ensure that the butchery is exposed to high volumes of vehicles and people walking on foot.
The other consideration is to not locate it at a place that’s generally unhygienic and not easily accessible. The hygiene aspect is critically important because butcheries are expected to adhere to high standards of hygiene. So when choosing and ultimately setting up your premises consider the environment and also build in mechanisms to ensure impeccable hygiene. The general security of the place you choose to locate the butchery must also be thoughtfully assessed. The operation of a butchery requires a lot of clean and reliably available water so bear that in mind when choosing a spot. The costs of purchasing or leasing the premises should be included in your butchery business plan.
Equipment required for a Butchery Business
There are quite a number of things needed for the smooth operation of a butchery business. There’s a need for tables (preferably made from stainless steel) where processes like meat cutting, sorting and packing are done. You’ll also need carts, trays or any other means of handling or moving the meat whilst working on it in the butchery. You’ll have to get refrigerators and freezer units (a cold room might come in handy) to keep the meat fresh. Obviously you’ll need a display cabinet for when customers come in – it must be a cold cabinet to also keep the meat fresh whilst on display.
The other indispensable pieces of equipment required are scales (both digital and analogue). You must also get various kinds of protective gear such as helmets, goggles, aprons, gumboots and gloves.To effectively deal with flies use mesh doors at the butchery entrance. The other more techy way to use is installing insecutors preferably at a strategic spot near or at the door. An insecutors is a gadget designed with built-in flashing lights that attract flies and insects and electrocutes them once they land on the insecutor. Aprons must ideally be made from robust material than can effectively protect the butcher. You’ll also need to get meat saws, cubers, slicers and grinders – this will help in cutting meat anyhow as per consumer specifications. A wide range of knife, saw and cleaver sets are also must-haves. The costs of purchasing the equipment should be included in your butcher shop business plan.
Get your supply chain right
They say that your butchery is only as good as the stock you have. This means you should identify farmers or meat suppliers who go through the right production process. When you have selected the suppliers that you will partner with, you will need to make arrangements for delivering the stock. Remember that meat is a perishable product and can go bad pretty fast. If you do not store the meat under the right temperature, then the meat could end up being unfit for human consumption, and your butchery business will fail. In some instances, it is even preferable to purchase your own refrigerated truck to use for distribution. These trucks will require good maintenance. Your meat shop business plan should obviously cater for the costs of purchasing the stock/meats.
Staff And Management
The number of staff required will depend on the size of your butchery business. The two major service fronts that individually need someone manning them are sales and the butchering. It’s advised to hire properly trained butchers so as to provide quality service.
Operating a butchery business requires both business and professional skills. For example, the cutting process may take years to master and yet it is a prerequisite for good produce. With the right machinery and trained staff, you will be able to get exceptional meat. Your staff should be trained on how to use all the machinery correctly.
Your staff also need to master the art of selecting the best cuts for the customer. Some consumers are very specific about the cuts they want and how they want them to be prepared. Meat preservation skills and equipment could also be a useful addition to your stock of material. Some customers go as far as asking for advice on the most appropriate cooking methods for given cuts. Your sales staff should have this information at hand. The meat shop business plan should obviously budget for the salaries of all your employees.
The business case for a butchery
The butchery business is a lucrative opportunity precisely because it specializes in the provision of a product that is in high demand. Many cultures have a diet that is very heavy in meat. That means that you are marketing a product that is already capable of selling itself. In order to retain your place at the top of the production pyramid, you have to ensure that you sell meat that is fresh. The meat should also be of the highest quality. Above all, this is a social business which calls for constant contact with the general public. Therefore, your communication skills must good for you to be successful in the butchery business. Find out ways to price your meat and meat products in a way that lures customers more to you. Running periodic specials or discounts can also help immensely in that regard. Be rest assured that if you do all this your butchery business will bloom perpetually. Your butchery business plan should obviously have a proper marketing plan to guarantee success of the business.
Pre-Written Butchery Business Plan (PDF, Word And Excel): Comprehensive Version, Short Funding/Bank Loan Version and Automated Financial Statements
For an in-depth analysis of the butchery business, we encourage you to purchase our well-researched and comprehensive butchery business plan. We introduced the business plans after discovering that many were venturing into the meat shop business without enough knowledge and understanding of how to run the business, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.
The StartupBiz Global meat shop business plan will make it easier for you to launch and run your meat shop business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the butchery business.
Uses of the Butcher Shop Business Plan (PDF, Word And Excel)
The meat shop business plan can be used for many purposes including:
- Raising capital from investors/friends/relatives
- Applying for a bank loan
- Start-up guide to launch your butchery business
- As a butchery business proposal
- Assessing profitability of the butcher shop business
- Finding a business partner
- Assessing the initial start-up costs so that you know how much to save
- Manual for current business owners to help in business and strategy formulation
Contents of the Butchery Business Plan (PDF, Word And Excel)
The butchery business plan include, but not limited to:
- Marketing Strategy
- Financial Statements (monthly cash flow projections, income statements, cash flow statements, balance sheets, break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization)
- Industry Analysis
- Market Analysis
- Risk Analysis
- SWOT & PEST Analysis
- Operational Requirements
- Operational Strategy
- Why some people in the butchery business fail, so that you can avoid their mistakes
- Ways to raise capital to start your butchery business
The butchery business plan package consists of 4 files
- Butchery Business Plan – PDF file (Comprehensive Version – 81 Pages)
- Butchery Business Plan – Editable Word File (Comprehensive Version – 81 Pages)
- Butchery Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying for a loan/funding – 39 pages)
- Butchery Business Plan Automated Financial Statements – (Editable Excel File)
The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the price of meat, amount of meat sold etc, and all the other financial statements will automatically adjust to reflect the change.
Click below to download the Contents Page of the Butchery Business Plan (PDF)
Get the Butchery Business Plan (PDF, Word And Excel)
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