Start-up Funding | |
Start-up Expenses to Fund | $75,000 |
Start-up Assets to Fund | $400,000 |
Total Funding Required | $475,000 |
Assets | |
Non-cash Assets from Start-up | $330,000 |
Cash Requirements from Start-up | $70,000 |
Additional Cash Raised | $0 |
Cash Balance on Starting Date | $70,000 |
Total Assets | $400,000 |
Liabilities and Capital | |
Liabilities | |
Current Borrowing | $0 |
Long-term Liabilities | $240,000 |
Accounts Payable (Outstanding Bills) | $0 |
Other Current Liabilities (interest-free) | $0 |
Total Liabilities | $240,000 |
Capital | |
Planned Investment | |
Investor 1 | $130,000 |
Investor 2 | $105,000 |
Other | $0 |
Additional Investment Requirement | $0 |
Total Planned Investment | $235,000 |
Loss at Start-up (Start-up Expenses) | ($75,000) |
Total Capital | $160,000 |
Total Capital and Liabilities | $400,000 |
Total Funding | $475,000 |
Vino Maestro will be located in the newly developing Southside Towers residential hi-rise project in Boston. The site is one of the densest and wealthiest markets in the nation. When fully completed (in approximately seven years), it will be comprised of 16 residential towers, 17,000 residents and 19 acres of new harbor front manicured park land.
Our storefront will be prime retail space in the southeast corner of the 247 Mainline Avenue building, facing Excelsior Place, a main artery for vehicles and city buses coming and going from the complex. The store is centered within a cluster of eight phase-one residential towers, three fully completed and five more planned for consecutive construction as the residences are sold or rented.
The next building to be constructed at 249 Mainline Avenue is the flagship residential tower of the Southside development, with 440 condominiums currently offered for sales at prices ranging from $350k for a studio, to $3.5 million for a four bedroom home. So far, about 150 of these units have been sold already, prior to construction, which is expected to be completed next year.
XYZ Realty, the agent for the landlord, has advised us that minimum household annual incomes of $100k are required to be eligible for rental residences within Southside Towers. Minimum income requirements are calculated at 95 times monthly rents. One-bedroom apartment rentals average in the $3,000 per month range.
Vino Maestro will be located in one of two currently existing, fully-rented residential towers.
U.S. sales of wines priced at $10 to $14 a bottle have climbed 14 percent over the past 12 months, and sales at $25 a bottle (and up) have grown 18 percent. The trend is expected to continue (source: UBS Warburg research).
Indeed, wine consumption is on the increase in the United States, and customers are trading up. Better still for the wine industry, wine overtook coffee as the most popular meal time beverage in the U.S. in 1998 (Wine Business Monthly, 6/00).
Americans spent more than $20 billion on wine in 1999, up from $17.6 billion the previous year – an increase of more than 13 percent (WBM, 4/00).
Consumption trends and demographics point to robust wine sales growth for the next 15 years.
The bullish outlook was documented by well-known industry consultant Vic Motto of Motto, & Fisher and is based on that firm’s look at the forces driving increased fine wine consumption. His findings and conclusions were presented as part of a presentation entitled “Wine: What’s Powering This Rocket?”
Wine demand is likely to be boosted strongly by the aging of the U.S. population. Per capita consumption of wine increases with age, with early consumers drinking only 6.6 bottles per year. Consumption peaks at 16.4 bottles annually among adults 50-59 years old. “Baby boomers, more than any other previous generation, view wine as a simple, affordable luxury.” Given that the strongest growth in population over the next 10 years will be among these adults, who currently consume about 40 percent of all wines, it is easy to understand Motto’s bullish outlook. “The aging demographic transformation is going to continue for the next 15 years, and the traits of this population as they shift into their older years of life fit wine to a ‘T'” said Motto. Interestingly, their children, today’s echo-boomers, make up another population group that will experience rapid growth over the next decade.
The influence of demographics on wine consumption is so strong, according to MKF, that if the current growth rate in wine sales were adjusted to account for the population changes, then U.S. wine consumption potentially could increase 80 percent by 2015 due to demographics alone. Also, comprehensive industry research has shown that down turns in the economy and the stock market appear to have no impact on wine sales. In fact, wine sales rose slightly during previous stock market declines.
U.S. Per Capita Wine Consumption by Age:
21-29 | 6.6 bottles |
30-39 | 9.7 bottles |
40-49 | 13.6 bottles |
50-59 | 16.4 bottles |
60+ | 14.5 bottles |
(source: Motto, Kryler, & Fisher)
As one would expect, wine consumption in the Boston metropolitan area exceeds national averages, primarily due to higher per capita income levels and a more global population mix. Europeans, for example, drink 5 to 10 times more wine per capita than their American counterparts. Consequently, we conservatively base our business plan projections for the Southside Towers resident segment to buy an average of 15 bottles of wine per capita per year from our store.
The following chart and table show the market analysis for Vino Maestro.
Market Analysis | |||||||
Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Potential Customers | Growth | CAGR | |||||
Southside Towers | 0% | 3,000 | 5,000 | 7,000 | 9,000 | 11,000 | 38.38% |
Milton Co-ops | 1% | 12,000 | 12,060 | 12,120 | 12,181 | 12,242 | 0.50% |
Downtown Harborside District | 2% | 50,000 | 51,000 | 52,020 | 53,060 | 54,121 | 2.00% |
Other | 0% | 0 | 0 | 0 | 0 | 0 | 0.00% |
Total | 4.45% | 65,000 | 68,060 | 71,140 | 74,241 | 77,363 | 4.45% |
Due to regulatory constraints, the retail wine and spirit trade in Massachusetts is comprised of many independent participants. Chain stores are not allowed. No change is seen in this structure for the foreseeable future, although some changes are afoot in Internet-driven distribution operations, particularly for wholesalers.
Competition to a large degree depends on location, as stores take a stake in a territory that engenders best in-store sales prospects. Relationships are cultivated with better customers, both individual and wholesale, who may qualify for discounts based on volume purchases. Prices in the Boston marketplace are not subject to much variance, as retailers seek to protect their margins against distributor costs that are virtually the same for all. Distributors, however, reward volume, and high-volume retailers have the capability to build a competitive advantage. For example, Millstones runs periodic Super Sales, with retail prices of over 200 wines offered at distributor cost prices. This is something only a high-volume retailer could afford to do.
Other competitive factors include breadth and depth of available stock, product knowledge, customer service, expense management, marketing programs, employee productivity, management of detailed information, in-store presentation and overall design, hours of operation, incoming and outgoing delivery efficiencies, product packaging, customer loyalty, out-of-area competition, pricing, and reputation.
Competitors:
Stillman Wines on Packard Street is the next nearest competitor, about 2,500 feet north of our location. Although Stillman is a high-volume shop with strength in pricing power, it remains far beyond the practical boundaries for shoppers who live in our neighborhood.
There are other direct marketers and major advertisers that can deliver into our territory: Beverson’s, Millstone’s, Gainer, and Morrison. We expect our local delivery service will be faster and more responsive than these bigger players.
Internet storefronts (evinyard.com, Wine.com, etc.) are emerging competitiors and may be more of a longer term issue, since the industry and marketplace is in the process of experimenting, testing and adapting to changing conditions in search of a business model that works over the long term. We intend to develop our own website and emerge as a player by developing with website economics that make this a self-funding outlet for sales and service.
Non-local stores that are in commuter paths of our neighborhood residents are also competitors, which will make us ever aware of the importance of cultivating relationships with our neighborhood residents so we can develop a long-term loyal customer base.
The target market profile consists of Boston residents who are educated, successful professionals, with high disposable income, and who are regular consumers of alcoholic beverages. Most of the consumers in this category rely on assistance in selecting wines and spirits. Consequently, they tend to reward the most capable merchants with loyalty and word-of-mouth advertising. This is an area that Vino Maestro will work to develop as a keystone of its marketing strategy.
Other potential segments (geographic, demographic, preferences):
Bulk volume : private and business. Much of this business needs to be cultivated through opportunistic networking, and diligent follow-ups of in-store inquiries and leads.
Boston direct deliverables: (outside immediate store neighborhood) viable only as the store earns its way into a position in which it can invest in vehicle delivery operations and line up target customers that would sustain such an operation.
Intra-state shipments: contingent on expansion following the successful implementation of this business plan in the first year or two of operations. This business would develop through direct-mail catalog marketing, and an Internet sales operation.
Other than the market segment carved out by Beverson’s and a handful of major players, little attention is paid to the opportunities of geographic extensions through direct shipments of wine & spirits throughout Massachusetts. Beverson’s markets over the Internet and has over 220 thousand actual and potential customers on its mailing list. As a goal, our company will seek to capture of piece of the apparently substantial demand for direct shipment sales. Is is important to note that if current lobbying efforts are successful in influencing state and national liquor authorities to allow interstate shipments, our company intends to be in a good position to capture a piece of this outstanding potential growth opportunity. Even without interstate sales, a successful penetration of the Massachusetts intra-state marketplace would mean substantial growth for a neighborhood business.
Exclusivity within Southside Towers is a significant competitive edge. It gives Vino Maestro geographic and protected domain as the most convenient source of fine wines and spirits for over 3,000 current residents and up to 14,000 additional future residents.
Marketing strategy will focus on:
Product pricing will be based on competitive parity guidelines. Prices will be consistent with those of the retail stores in our area, with the exception of very high-volume operations who have more powerful pricing leverage.
Pricing will be monitored continuously against neighborhood and other competitive sources (market leaders) who we can readily research.
Management will focus on daily sales revenue goals.
Best value products will be identified to assist customers with smart selections.
Deliveries will be geared to the customer’s convenience. The situation will be monitored to insure that the company invests adequately in its own delivery operations.
Sales feedback will be elicited to stimulate ideas, approaches, relate success stories, instruct in new techniques, share news, implement improvements.
Major accounts will be solicited through networking, neighborhood solicitations, and opportunistic encounters at any time by management.
Sales Forecast | |||
Year 1 | Year 2 | Year 3 | |
Sales | |||
Wine | $840,000 | $1,200,000 | $1,500,000 |
Spirits | $84,000 | $120,000 | $150,000 |
Other | $0 | $0 | $0 |
Total Sales | $924,000 | $1,320,000 | $1,650,000 |
Direct Cost of Sales | Year 1 | Year 2 | Year 3 |
Wine | $509,091 | $727,273 | $909,091 |
Spirits | $68,852 | $98,361 | $120,968 |
Other | $0 | $0 | $0 |
Subtotal Direct Cost of Sales | $577,943 | $825,633 | $1,030,059 |
Sales staff will have a level of wine and spirits knowledge that will position Vino Maestro to address customer needs better than our competition. The company will support high potential sales staff with education tuition assistance, and we will recruit our sales staff from students of wine education institutes.
One of the managing partners is musically talented and will use his skill to create programmed background music to enhance store ambience and stimulate sales. This music will have the potential to be copyrighted and tested as a stand-alone marketable product, similar to CD’s sold by Starbucks and Pottery Barn. The store layout will be planned with a commercial interior designer, to present an upscale, festive, cosmopolitan and culturally sophisticated image.
A proprietary website address has been registered, and a website will be built to enhance customer service, supplier commerce, and direct sales. Vino Maestro will take advantage of this opportunity as much as possible within budgetary limits.
Peripheral sales and marketing collaterals will be used to expand product lines and customer awareness of our store: wine glasses, recipes (that match wine with food), corkscrews, umbrellas, calendars.
A sophisticated proprietary software tool will be developed to enhance the customer buying experience with product knowledge matched to our customers’ tastes and preferences.
Vino Maestro will seek out opportunities to establish viable strategic alliances, such as co-marketing with gourmet food operations, wine and spirits distributors, importers, and producers. One such opportunity, and a natural fit, is an alliance with the upscale goumet food market that will occupy a neighboring retail storefront on Mainline Avenue, within about 100 feet from our storefront. Packaging party catering and event food services with a complement of fine wines and spirits from Vino Maestro will help promote both businesses and provide an extra measure of service to our neighborhood customers. Coordinating gift baskets with wine orders in a single delivery package presents another compelling co-marketing opportunity. Information specific to pairing wines with food can be used to stimulate sales as well.
Vino Maestro will be managed by Cris Martin and Bob Williams. After the launch of the business, as sales volumes increase, an associate manager may be hired to help with day-to-day store operations.
Cris Martin: Managing Partner
Cris has over 25 years of management experience in the retail, financial services and newspaper publishing businesses. After graduating with a B.A. from Bigten State University in 1981, Cris worked his way up the career ladder in retail management positions for Jensen’s, Hollard’s, and Northbank. In 1986, he became an assistant vice president with Hanson Trust. In 1988, he launched his first business, Atlantic Racquet Club. As the CEO of the organization, he learned, first hand, everything it takes to start and operate a small retail business in a major city. In the 1990’s, Cris worked as a newspaper executive, first for the Metropolis Star and later for the Gotham City Times, where as director of business operations he was a key member of the management team that launched and grew the gothamcitytimes.com website.
Cris holds an MBA degree in finance and accounting from Burke University, a B.A. in psychology from Bigten State University, and a Higher Certificate degree from the Wine and Spirit Education Trust.
Robert Williams: Managing Partner
Bob brings over 20 years of wine trade expertise and executive management skills to our company. For the last ten years, Bob served as the director of food and beverages for the Prestige Athletic Club, an $8 million/year operation where he personally selected the club’s wine list (of over 100 wines), coordinated over 20 wine tastings, taught wine classes, and developed relationships with some of the top wine makers in the world. As a volume buyer for the PAC, he has done business with many of the wine and liquor distributors and importers who cover the metro New York area.
Prior to his position at the PAC, Bob spent more than a dozen years in restaurant management positions–as restaurant manager of Mr. E’s in Houston, Partner and general manager of the Fieldstone Restaurant in Minneapolis, and restaurant manager for the Pinnacle Hotel in Boston.
After graduating from Tellford University in 1983 with a B.A. degree in history, Bob earned a Higher Certificate with Distinction from the Wine and Spirit Education Trust, and a Certified Sommelier degree from the Sommelier Society of America.
The following table shows the personnel needed for Vino Maestro.
Personnel Plan | |||
Year 1 | Year 2 | Year 3 | |
Store Managers/Partners | $96,000 | $96,000 | $100,000 |
Salespeople — Full-time | $0 | $0 | $0 |
Salespeople — Seasonal | $4,650 | $3,070 | $3,380 |
Stock/Delivery — Full-time | $21,320 | $23,500 | $28,850 |
Stock/Delivery — Seasonal | $2,460 | $2,700 | $2,970 |
Other | $0 | $0 | $0 |
Total People | 6 | 7 | 7 |
Total Payroll | $124,430 | $125,270 | $135,200 |
50%-70% of sales are projected as credit card sales, in-line with actual experience of retail liquor stores in Boston.
Credit card collection is typically short, and this plan assumes an one day collection time.
The payment days estimate ranges from 30 days to 28 days. Distributors terms are 30 days, although substantial discounts can be secured with earlier payments.
The long-term interest rate basis is the current SBA guideline of prime plus 2.25% for a seven year loan.
The short-term interest rate basis is the fed funds rate plus 2.5%
Distributors reward volume purchases with lower costs. The company plans to take advantage of distributors’ volume discounts, and will pass along these savings to consumers in the form of sales and special promotions to stimulate loyalty and further growth. Gross margins will be maintained in the 30-33% range, which would put our business in-line with the competition in the Boston metro area.
As the business grows, our investment in inventory increases. This reflects sales volume increases and the commensurate ability to secure favorable volume discount terms with our distributors.
The projected accounts receivable position is relatively low and steady due to the nature of the business, in which up to 50% of our sales are cash, and the balance are consumer credit card purchases. No other consumer credit terms are envisioned or necessary for the operation of this business.
Long-term liabilities are projected to decrease steadily, reflecting re-payment of the original seven year term loan required to finance the business.
It is important to note that part of the retained earnings may become a distribution of capital to the owners, while the balance would be reinvested in the business to replenish depreciated assets and to support further growth.
Pro Forma Balance Sheet | |||
Year 1 | Year 2 | Year 3 | |
Assets | |||
Current Assets | |||
Cash | $242,668 | $326,466 | $486,356 |
Inventory | $60,546 | $86,495 | $107,911 |
Other Current Assets | $0 | $0 | $0 |
Total Current Assets | $303,215 | $412,961 | $594,267 |
Long-term Assets | |||
Long-term Assets | $180,000 | $180,000 | $180,000 |
Accumulated Depreciation | $18,480 | $42,240 | $76,890 |
Total Long-term Assets | $161,520 | $137,760 | $103,110 |
Total Assets | $464,735 | $550,721 | $697,377 |
Liabilities and Capital | Year 1 | Year 2 | Year 3 |
Current Liabilities | |||
Accounts Payable | $73,228 | $89,859 | $110,218 |
Current Borrowing | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 |
Subtotal Current Liabilities | $73,228 | $89,859 | $110,218 |
Long-term Liabilities | $205,716 | $171,432 | $137,148 |
Total Liabilities | $278,944 | $261,291 | $247,366 |
Paid-in Capital | $235,000 | $235,000 | $235,000 |
Retained Earnings | ($75,000) | ($49,209) | $54,431 |
Earnings | $25,791 | $103,640 | $160,580 |
Total Capital | $185,791 | $289,431 | $450,011 |
Total Liabilities and Capital | $464,735 | $550,721 | $697,377 |
Net Worth | $185,791 | $289,431 | $450,011 |
General Assumptions | |||
Year 1 | Year 2 | Year 3 | |
Plan Month | 1 | 2 | 3 |
Current Interest Rate | 9.00% | 9.00% | 9.00% |
Long-term Interest Rate | 11.00% | 11.00% | 11.00% |
Tax Rate | 25.42% | 25.00% | 25.42% |
Other | 0 | 0 | 0 |
Since this is a start-up operation, a steady increase in sales is forecast over three years, as consumer awareness and regular repeat business grows with a strong and consistent increase in the population of Southside Towers, from an initial 3,000 residents to about 17,000 residents upon completion. A solid business plan and the management skills and experience of the managing partners should be sufficient to orchestrate the necessary growth to make this a successful launch with steady increases in sales over the first three years.
Operating expenses are based on an assessment of operational needs for a store of this size. Observations of Boston retail wine shop staffing, direct experience at Liberty and Star City wine stores, and interviews with store owners and suppliers are the basis for these projections. Rent is based on negotiated lease agreement with the landlord. Other estimates are based on experience in operating a 4,000 square foot Boston storefront business, and on vendor quotes and estimates.
Collection days should remain fairly short, given the substantial cash revenues, and standard credit card collection periods.
The following table presents the profit and loss figures for Vino Maestro.
Pro Forma Profit and Loss | |||
Year 1 | Year 2 | Year 3 | |
Sales | $924,000 | $1,320,000 | $1,650,000 |
Direct Cost of Sales | $577,943 | $825,633 | $1,030,059 |
Other | $0 | $0 | $0 |
Total Cost of Sales | $577,943 | $825,633 | $1,030,059 |
Gross Margin | $346,057 | $494,367 | $619,941 |
Gross Margin % | 37.45% | 37.45% | 37.57% |
Expenses | |||
Payroll | $124,430 | $125,270 | $135,200 |
Sales and Marketing and Other Expenses | $0 | $0 | $0 |
Depreciation | $18,480 | $23,760 | $34,650 |
POS computer software lease | $3,000 | $3,500 | $4,000 |
Rent | $56,093 | $77,000 | $80,000 |
Utilities- HVAC and phone/data lines | $6,000 | $6,600 | $7,260 |
Insurance | $6,000 | $6,600 | $7,260 |
Vehicle Delivery Expenses | $6,000 | $12,000 | $24,000 |
Maintenance/Repairs | $6,000 | $6,500 | $7,000 |
Cleaning/Supplies | $6,000 | $6,500 | $7,000 |
Rent | $23,664 | $23,664 | $23,664 |
Leased Equipment | $0 | $0 | $0 |
Advertising/Marketing | $12,000 | $24,000 | $36,000 |
Payroll Taxes | $19,909 | $20,043 | $21,632 |
Other | $0 | $0 | $0 |
Total Operating Expenses | $287,575 | $335,437 | $387,666 |
Profit Before Interest and Taxes | $58,481 | $158,929 | $232,275 |
EBITDA | $76,961 | $182,689 | $266,925 |
Interest Expense | $24,357 | $20,743 | $16,972 |
Taxes Incurred | $8,333 | $34,547 | $54,723 |
Net Profit | $25,791 | $103,640 | $160,580 |
Net Profit/Sales | 2.79% | 7.85% | 9.73% |
We are positioning ourselves in the market as a medium-risk concern with steady cash flows. Accounts payable is paid at the end of each month while sales are in cash and short-term credit card collectibles. Cash balances will be used to reduce outstanding line of credit balances, or will be invested in a low-risk liquid money market fund to decrease the opportunity cost of cash held. Surplus cash balances during the critical first year of operations will function as protection against unforeseen changes in the timing of disbursements required to fund operations.
Pro Forma Cash Flow | |||
Year 1 | Year 2 | Year 3 | |
Cash Received | |||
Cash from Operations | |||
Cash Sales | $924,000 | $1,320,000 | $1,650,000 |
Subtotal Cash from Operations | $924,000 | $1,320,000 | $1,650,000 |
Additional Cash Received | |||
Sales Tax, VAT, HST/GST Received | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 |
New Other Liabilities (interest-free) | $0 | $0 | $0 |
New Long-term Liabilities | $0 | $0 | $0 |
Sales of Other Current Assets | $0 | $0 | $0 |
Sales of Long-term Assets | $0 | $0 | $0 |
New Investment Received | $0 | $0 | $0 |
Subtotal Cash Received | $924,000 | $1,320,000 | $1,650,000 |
Expenditures | Year 1 | Year 2 | Year 3 |
Expenditures from Operations | |||
Cash Spending | $124,430 | $125,270 | $135,200 |
Bill Payments | $592,618 | $1,076,648 | $1,320,626 |
Subtotal Spent on Operations | $717,048 | $1,201,918 | $1,455,826 |
Additional Cash Spent | |||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 |
Principal Repayment of Current Borrowing | $0 | $0 | $0 |
Other Liabilities Principal Repayment | $0 | $0 | $0 |
Long-term Liabilities Principal Repayment | $34,284 | $34,284 | $34,284 |
Purchase Other Current Assets | $0 | $0 | $0 |
Purchase Long-term Assets | $0 | $0 | $0 |
Dividends | $0 | $0 | $0 |
Subtotal Cash Spent | $751,332 | $1,236,202 | $1,490,110 |
Net Cash Flow | $172,668 | $83,798 | $159,890 |
Cash Balance | $242,668 | $326,466 | $486,356 |
Business ratios for the years of this plan are shown below. Industry profile ratios based on the Standard Industrial Classification (SIC) code 5921, [insert code title here], are shown for comparison.
Ratio Analysis | ||||
Year 1 | Year 2 | Year 3 | Industry Profile | |
Sales Growth | 0.00% | 42.86% | 25.00% | 9.40% |
Percent of Total Assets | ||||
Inventory | 13.03% | 15.71% | 15.47% | 42.10% |
Other Current Assets | 0.00% | 0.00% | 0.00% | 32.30% |
Total Current Assets | 65.24% | 74.99% | 85.21% | 76.10% |
Long-term Assets | 34.76% | 25.01% | 14.79% | 23.90% |
Total Assets | 100.00% | 100.00% | 100.00% | 100.00% |
Current Liabilities | 15.76% | 16.32% | 15.80% | 41.80% |
Long-term Liabilities | 44.27% | 31.13% | 19.67% | 19.40% |
Total Liabilities | 60.02% | 47.45% | 35.47% | 61.20% |
Net Worth | 39.98% | 52.55% | 64.53% | 38.80% |
Percent of Sales | ||||
Sales | 100.00% | 100.00% | 100.00% | 100.00% |
Gross Margin | 37.45% | 37.45% | 37.57% | 23.10% |
Selling, General & Administrative Expenses | 34.68% | 29.60% | 27.79% | 12.70% |
Advertising Expenses | 0.00% | 0.00% | 0.00% | 0.50% |
Profit Before Interest and Taxes | 6.33% | 12.04% | 14.08% | 1.10% |
Main Ratios | ||||
Current | 4.14 | 4.60 | 5.39 | 2.19 |
Quick | 3.31 | 3.63 | 4.41 | 0.50 |
Total Debt to Total Assets | 60.02% | 47.45% | 35.47% | 61.20% |
Pre-tax Return on Net Worth | 18.37% | 47.74% | 47.84% | 3.40% |
Pre-tax Return on Assets | 7.34% | 25.09% | 30.87% | 8.90% |
Additional Ratios | Year 1 | Year 2 | Year 3 | |
Net Profit Margin | 2.79% | 7.85% | 9.73% | n.a |
Return on Equity | 13.88% | 35.81% | 35.68% | n.a |
Activity Ratios | ||||
Inventory Turnover | 8.62 | 11.23 | 10.60 | n.a |
Accounts Payable Turnover | 9.09 | 12.17 | 12.17 | n.a |
Payment Days | 27 | 27 | 27 | n.a |
Total Asset Turnover | 1.99 | 2.40 | 2.37 | n.a |
Debt Ratios | ||||
Debt to Net Worth | 1.50 | 0.90 | 0.55 | n.a |
Current Liab. to Liab. | 0.26 | 0.34 | 0.45 | n.a |
Liquidity Ratios | ||||
Net Working Capital | $229,987 | $323,103 | $484,049 | n.a |
Interest Coverage | 2.40 | 7.66 | 13.69 | n.a |
Additional Ratios | ||||
Assets to Sales | 0.50 | 0.42 | 0.42 | n.a |
Current Debt/Total Assets | 16% | 16% | 16% | n.a |
Acid Test | 3.31 | 3.63 | 4.41 | n.a |
Sales/Net Worth | 4.97 | 4.56 | 3.67 | n.a |
Dividend Payout | 0.00 | 0.00 | 0.00 | n.a |
Sales Forecast | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | |||||||||||||
Wine | 0% | $40,000 | $45,000 | $50,000 | $50,000 | $60,000 | $75,000 | $100,000 | $125,000 | $70,000 | $70,000 | $75,000 | $80,000 |
Spirits | 0% | $4,000 | $4,500 | $5,000 | $5,000 | $6,000 | $7,500 | $10,000 | $12,500 | $7,000 | $7,000 | $7,500 | $8,000 |
Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Total Sales | $44,000 | $49,500 | $55,000 | $55,000 | $66,000 | $82,500 | $110,000 | $137,500 | $77,000 | $77,000 | $82,500 | $88,000 | |
Direct Cost of Sales | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Wine | $24,242 | $27,273 | $30,303 | $30,303 | $36,364 | $45,455 | $60,606 | $75,758 | $42,424 | $42,424 | $45,455 | $48,485 | |
Spirits | $3,279 | $3,689 | $4,098 | $4,098 | $4,918 | $6,148 | $8,197 | $10,246 | $5,738 | $5,738 | $6,148 | $6,557 | |
Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Direct Cost of Sales | $27,521 | $30,961 | $34,401 | $34,401 | $41,282 | $51,602 | $68,803 | $86,003 | $48,162 | $48,162 | $51,602 | $55,042 |
Personnel Plan | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Store Managers/Partners | 0% | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 |
Salespeople — Full-time | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Salespeople — Seasonal | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $930 | $1,860 | $1,860 | $0 | $0 | $0 |
Stock/Delivery — Full-time | 0% | $2,050 | $1,640 | $1,640 | $2,050 | $1,640 | $1,640 | $2,050 | $1,640 | $1,640 | $2,050 | $1,640 | $1,640 |
Stock/Delivery — Seasonal | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $820 | $1,640 | $0 | $0 | $0 | $0 |
Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Total People | 6 | 6 | 6 | 6 | 6 | 6 | 8 | 8 | 6 | 6 | 6 | 6 | |
Total Payroll | $10,050 | $9,640 | $9,640 | $10,050 | $9,640 | $9,640 | $11,800 | $13,140 | $11,500 | $10,050 | $9,640 | $9,640 |
General Assumptions | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Plan Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | |
Current Interest Rate | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | |
Long-term Interest Rate | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | 11.00% | |
Tax Rate | 30.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | |
Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Pro Forma Profit and Loss | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | $44,000 | $49,500 | $55,000 | $55,000 | $66,000 | $82,500 | $110,000 | $137,500 | $77,000 | $77,000 | $82,500 | $88,000 | |
Direct Cost of Sales | $27,521 | $30,961 | $34,401 | $34,401 | $41,282 | $51,602 | $68,803 | $86,003 | $48,162 | $48,162 | $51,602 | $55,042 | |
Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Cost of Sales | $27,521 | $30,961 | $34,401 | $34,401 | $41,282 | $51,602 | $68,803 | $86,003 | $48,162 | $48,162 | $51,602 | $55,042 | |
Gross Margin | $16,479 | $18,539 | $20,599 | $20,599 | $24,718 | $30,898 | $41,197 | $51,497 | $28,838 | $28,838 | $30,898 | $32,958 | |
Gross Margin % | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | 37.45% | |
Expenses | |||||||||||||
Payroll | $10,050 | $9,640 | $9,640 | $10,050 | $9,640 | $9,640 | $11,800 | $13,140 | $11,500 | $10,050 | $9,640 | $9,640 | |
Sales and Marketing and Other Expenses | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Depreciation | $880 | $990 | $1,100 | $1,100 | $1,320 | $1,650 | $2,200 | $2,750 | $1,540 | $1,540 | $1,650 | $1,760 | |
POS computer software lease | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | |
Rent | $0 | $0 | $0 | $6,233 | $6,233 | $6,233 | $6,233 | $6,233 | $6,233 | $6,233 | $6,233 | $6,233 | |
Utilities- HVAC and phone/data lines | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Insurance | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Vehicle Delivery Expenses | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Maintenance/Repairs | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Cleaning/Supplies | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Rent | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | $1,972 | |
Leased Equipment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Advertising/Marketing | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
Payroll Taxes | 16% | $1,608 | $1,542 | $1,542 | $1,608 | $1,542 | $1,542 | $1,888 | $2,102 | $1,840 | $1,608 | $1,542 | $1,542 |
Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Operating Expenses | $18,260 | $17,894 | $18,004 | $24,713 | $24,457 | $24,787 | $27,843 | $29,947 | $26,835 | $25,153 | $24,787 | $24,897 | |
Profit Before Interest and Taxes | ($1,781) | $644 | $2,594 | ($4,114) | $261 | $6,111 | $13,355 | $21,550 | $2,004 | $3,686 | $6,111 | $8,061 | |
EBITDA | ($901) | $1,634 | $3,694 | ($3,014) | $1,581 | $7,761 | $15,555 | $24,300 | $3,544 | $5,226 | $7,761 | $9,821 | |
Interest Expense | $2,174 | $2,148 | $2,121 | $2,095 | $2,069 | $2,043 | $2,017 | $1,990 | $1,964 | $1,938 | $1,912 | $1,886 | |
Taxes Incurred | ($1,186) | ($376) | $118 | ($1,552) | ($452) | $1,017 | $2,835 | $4,890 | $10 | $437 | $1,050 | $1,544 | |
Net Profit | ($2,768) | ($1,127) | $355 | ($4,657) | ($1,356) | $3,051 | $8,504 | $14,669 | $29 | $1,311 | $3,149 | $4,631 | |
Net Profit/Sales | -6.29% | -2.28% | 0.64% | -8.47% | -2.05% | 3.70% | 7.73% | 10.67% | 0.04% | 1.70% | 3.82% | 5.26% |
Pro Forma Cash Flow | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Cash Received | |||||||||||||
Cash from Operations | |||||||||||||
Cash Sales | $44,000 | $49,500 | $55,000 | $55,000 | $66,000 | $82,500 | $110,000 | $137,500 | $77,000 | $77,000 | $82,500 | $88,000 | |
Subtotal Cash from Operations | $44,000 | $49,500 | $55,000 | $55,000 | $66,000 | $82,500 | $110,000 | $137,500 | $77,000 | $77,000 | $82,500 | $88,000 | |
Additional Cash Received | |||||||||||||
Sales Tax, VAT, HST/GST Received | 0.00% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Other Liabilities (interest-free) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Investment Received | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Received | $44,000 | $49,500 | $55,000 | $55,000 | $66,000 | $82,500 | $110,000 | $137,500 | $77,000 | $77,000 | $82,500 | $88,000 | |
Expenditures | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Expenditures from Operations | |||||||||||||
Cash Spending | $10,050 | $9,640 | $9,640 | $10,050 | $9,640 | $9,640 | $11,800 | $13,140 | $11,500 | $10,050 | $9,640 | $9,640 | |
Bill Payments | $277 | $8,341 | $9,052 | $10,162 | $30,390 | $64,482 | $80,408 | $107,065 | $122,410 | $23,698 | $64,358 | $71,975 | |
Subtotal Spent on Operations | $10,327 | $17,981 | $18,692 | $20,212 | $40,030 | $74,122 | $92,208 | $120,205 | $133,910 | $33,748 | $73,998 | $81,615 | |
Additional Cash Spent | |||||||||||||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Principal Repayment of Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Long-term Liabilities Principal Repayment | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | $2,857 | |
Purchase Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Purchase Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Dividends | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Spent | $13,184 | $20,838 | $21,549 | $23,069 | $42,887 | $76,979 | $95,065 | $123,062 | $136,767 | $36,605 | $76,855 | $84,472 | |
Net Cash Flow | $30,816 | $28,662 | $33,451 | $31,931 | $23,113 | $5,521 | $14,935 | $14,438 | ($59,767) | $40,395 | $5,645 | $3,528 | |
Cash Balance | $100,816 | $129,477 | $162,929 | $194,860 | $217,973 | $223,494 | $238,429 | $252,866 | $193,100 | $233,495 | $239,140 | $242,668 |
Pro Forma Balance Sheet | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Assets | Starting Balances | ||||||||||||
Current Assets | |||||||||||||
Cash | $70,000 | $100,816 | $129,477 | $162,929 | $194,860 | $217,973 | $223,494 | $238,429 | $252,866 | $193,100 | $233,495 | $239,140 | $242,668 |
Inventory | $150,000 | $122,479 | $91,518 | $57,116 | $37,842 | $45,410 | $56,762 | $75,683 | $94,604 | $52,978 | $52,978 | $56,762 | $60,546 |
Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Total Current Assets | $220,000 | $223,295 | $220,995 | $220,045 | $232,702 | $263,383 | $280,256 | $314,112 | $347,470 | $246,078 | $286,473 | $295,902 | $303,215 |
Long-term Assets | |||||||||||||
Long-term Assets | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 |
Accumulated Depreciation | $0 | $880 | $1,870 | $2,970 | $4,070 | $5,390 | $7,040 | $9,240 | $11,990 | $13,530 | $15,070 | $16,720 | $18,480 |
Total Long-term Assets | $180,000 | $179,120 | $178,130 | $177,030 | $175,930 | $174,610 | $172,960 | $170,760 | $168,010 | $166,470 | $164,930 | $163,280 | $161,520 |
Total Assets | $400,000 | $402,415 | $399,125 | $397,075 | $408,632 | $437,993 | $453,216 | $484,872 | $515,480 | $412,548 | $451,403 | $459,182 | $464,735 |
Liabilities and Capital | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Current Liabilities | |||||||||||||
Accounts Payable | $0 | $8,040 | $8,735 | $9,187 | $28,258 | $61,832 | $76,861 | $102,870 | $121,666 | $21,561 | $61,963 | $69,450 | $73,228 |
Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Subtotal Current Liabilities | $0 | $8,040 | $8,735 | $9,187 | $28,258 | $61,832 | $76,861 | $102,870 | $121,666 | $21,561 | $61,963 | $69,450 | $73,228 |
Long-term Liabilities | $240,000 | $237,143 | $234,286 | $231,429 | $228,572 | $225,715 | $222,858 | $220,001 | $217,144 | $214,287 | $211,430 | $208,573 | $205,716 |
Total Liabilities | $240,000 | $245,183 | $243,021 | $240,616 | $256,830 | $287,547 | $299,719 | $322,871 | $338,810 | $235,848 | $273,393 | $278,023 | $278,944 |
Paid-in Capital | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 | $235,000 |
Retained Earnings | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) | ($75,000) |
Earnings | $0 | ($2,768) | ($3,896) | ($3,541) | ($8,198) | ($9,554) | ($6,503) | $2,001 | $16,670 | $16,700 | $18,010 | $21,159 | $25,791 |
Total Capital | $160,000 | $157,232 | $156,104 | $156,459 | $151,802 | $150,446 | $153,497 | $162,001 | $176,670 | $176,700 | $178,010 | $181,159 | $185,791 |
Total Liabilities and Capital | $400,000 | $402,415 | $399,125 | $397,075 | $408,632 | $437,993 | $453,216 | $484,872 | $515,480 | $412,548 | $451,403 | $459,182 | $464,735 |
Net Worth | $160,000 | $157,232 | $156,104 | $156,459 | $151,802 | $150,446 | $153,497 | $162,001 | $176,670 | $176,700 | $178,010 | $181,159 | $185,791 |
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Home » Sample Business Plans » Wholesale & Retail
Are you about starting a wine store? If YES, here is a complete sample wine store business plan template & feasibility report you can use for FREE . One of the businesses that an aspiring entrepreneur who resides in a community where residents consume wine cum alcohol can start and make profits is to open a wine store.
You can choose to start on a small scale like the average mom and pop shops around the street corner in your neighborhood or you can choose to launch a standard wine store business with several outlets in key locations all around you.
A wine store with assorted wines and liquors from top brands all across the world. The bottom line is that, if you take the necessary steps before starting the business, you are likely not going to struggle to grow the business.
1. industry overview.
It can’t be over emphasized that one of the easy to enter and thriving business line that an entrepreneur how is looking towards starting a business of his or her own is to go into retailing business. The retail business is indeed a wide business of which wine store business falls under.
Simply put, a wine store is a retail shop that is licensed to sell prepackaged alcoholic beverages usually in bottles to customers who are likely to take home or elsewhere to consume.
In the United States of America, the wine and liquor store business is a regulated business which is why The Twenty-first Amendment of the United States Constitution gives states the power to regulate the sale and consumption of wine and other alcoholic beverages.
It is important to note that State regulations vary widely. Most states in the united states of America have laws that clearly define which alcoholic beverages must be sold in specialty wine and liquor stores and which may be sold in other venues et al.
The Wine, Liquor, and Beer industry is indeed a very large industry and pretty much thriving in all the parts of the world. Statistics has it that in the United States of America alone, there are about 41,590 licensed liquor stores responsible for employing about 171,766 employees and the industry rakes in a whooping sum of $50 billion annually.
The industry is projected to grow at the rate of 2.1 percent annual growth between 2011 and 2016. It is important to state that no establishment can boast of having a dominant share of the available market in this industry.
Activities in the Wine, Liquor, and Beer Stores industry is on the increase in the last 5 years (i.e. from 2010 to 2015), even though the revenue generation have not shown remarkable growth within the stated period. Owing to the obvious increase in consumer confidence, more consumers have purchased high-margin products such as craft beer, boosting the industry profitability.
Additionally, the legislation on the liquor, beer and wine market in many states in the U.S has allowed more entrepreneurs to open their own liquor stores. Revenue in the Wine Liquor and Beer Store industry is expected to grow over the next 5 years as stores generate greater sales especially of high-margin products.
The Wine, Liquor, and Beer Store industry is known to be heavily concentrated in the most densely populated regions and cities, mainly in the Mid-Atlantic, which comprises 24.2 percent of total liquor stores. Statistics has it that within the region, New York accounts for 8.5 percent of total liquor stores and trails only California which has 11.6 percent with the largest percentage of industry liquor stores.
So also, the Southeast and Great Lakes regions are heavily concentrated with industry liquor stores, and account for 17.9 percent and 15.4 percent of total liquor stores, respectively. Comparatively large liquor stores, in terms of employment and revenue, tend to be located in the Mid-Atlantic region. Nevertheless, the industry is small business oriented, with 68.0 percent of liquor stores employing four or even fewer full – time employees per time.
Over and above, the wine, liquor, and beer store industry is a profitable industry and it is open for any aspiring entrepreneur to come in and establish his or her business; you can choose to start on a small scale in a street corner like the average mom and pop business or you can choose to start on a large scale with chains of wine stores in key cities all across the United States.
Martins O’Brien Wine Store®, LLC is a neighborhood wine store that will be located in centralized area between a residential neighborhood and a busy business district in downtown Los Angeles – California. We aware that California is one of the states that allows individuals to operate wine and liquor store and also sell other alcoholic drinks which is why we have decided to open our wine store business in Los Angeles – California.
We have been able to secure a 10,000 sq. ft. facility for our wine store as required by the law in the United States of America.
We are in the wine store business to make profits at the same to give our customers value for their money and time; we want to give people who patronize our wine store the opportunity to choose not only from a wide range of both locally and imported wines (alcoholic and non-alcoholic) but also from a wide range of beers and other alcoholic drinks that are manufactured in the United States of America and other parts of the world.
We are aware that there are several large and small wine stores all around Los Angeles – California, which is why we spent time and resources to conduct thorough feasibility studies and market survey so as to enable us locate the business in an area that will support the growth of the business and also for us to be able offer much more than our competitors will be offering.
We ensured that our facility is easy to locate and our outlet is well secured with the various payment of options. Martins O’Brien Wine Store®, LLC will ensure that all our customers are given first class treatment whenever they visit our wine store. We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large the numbers of our customer base may grow to.
We will ensure that we get our customers involved in the selection of wine brands that will be on our racks and also when making some business decisions that will directly or indirectly affect them. At Martins O’Brien Wine Store®, LLC our client’s best interest come first, and everything we do will be guided by our values and professional ethics.
We will ensure that we hold ourselves accountable to the highest standards by delivering excellent and neat jobs and also meeting our client’s needs precisely and completely. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our clients.
Martins O’Brien Wine Store®, LLC is a family business that is owned and managed by Martins O’Brien and his immediate family members.
The business will be managed by his son Mack O’Brien a graduate of Business Administration who has extensive experience working with one of the leading departmental stores in the United States of America. He will bring his experience and expertise to help build and grow Martins O’Brien Wine Store®, LLC to compete favorably with other leading wine and liquor store in the United States of America.
Martins O’Brien Wine Store®, LLC is going to operate a standard and licensed neighborhood wine store that will retail a wide range of alcoholic and non – alcoholic wines, liquors, and beers just like any other licensed and standard wine stores in the United States and in any part of the world.
We are in the wine retailing business to make profits and give our customers value for their money and we are going to do all that is permitted by the law in the United States of America to achieve our business aim and objectives. These are some of the products that we will retail in our wine store;
Our Business Structure
Martins O’Brien Wine Store®, LLC does not intend to start a wine retailing business like the usual mom and pop businesses around the street corners; our intention of starting a wine retail business is to build a standard wine store that will be a one – stop shop for wines, liquors, and beers which is why we will ensure that we put the right structure in place that will support the kind of growth that we have in mind while setting up the business.
We will ensure that we hire only people that are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders (the owners, workforce, and customers).
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of five years or more especially when we start selling our franchise. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;
Merchandize Manager
Sales and Marketing Manager
Information Technologist
Chief Executive Officer – CEO (Owner):
Store Manager:
Accountant / Cashier
Client Service Executive / Sales Agents
Our intention of starting just one outlet of our wine retail store in Los Angeles – California is to test run the business for a period of 3 to 5 years to know if we will invest more money, expand the business and then open other outlets all over California and also sell franchise through the United States of America and Canada.
We are quite aware that there are several wine retail stores all over Los Angeles and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be welled equipped to confront our threats.
Martins O’Brien Wine Store®, LLC employed the services of an expert HR and Business Analyst with bias in retailing to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives.
This is the summary of the SWOT analysis that was conducted for Martins O’Brien Wine Store®, LLC;
Our location, the business model we will be operating on (physical store and online wine store), varieties of payment options, wide range of alcoholic and non – alcoholic wines, liquors, and beers (locally crafted beer inclusive) and our excellent customer service culture will definitely count as a strong strength for Martins O’Brien Wine Store®, LLC.
So also our management team members are people who have what it takes to grow a business from start – up to profitability with a record time.
A major weakness that may count against us is the fact that we are a new wine retail outlet and we don’t have the financial capacity to engage in the kind of publicity that we intend giving the business.
The fact that we are going to operate our wine retail store in one of the busiest neighborhoods in Los Angeles – California provides us with unlimited opportunities to sell our wines, liquors, and beers to a large number of people. We have been able to conduct thorough feasibility studies and market survey and we know what our potential clients will be looking for when they visit our wine retail store; we are well positioned to take on the opportunities that will come our way.
We are quite aware that just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing power. Another threat that may likely confront us is the arrival of a new wine retail outlet in same location where ours is located or even the arrival of a night club and bar can also pose a threat to our business.
In the United States of America, most of the states have strict control on wine and liquor stores hence it is not easy to secure license to open one. In California and in few states in the U.S, individuals can actually open their own wine and liquor retail store and it is the practice for them to sell loads of assorted alcoholic drinks and not only wines and liquors; they are known to retail liquors, wines, beers and even tobacco et al.
If you keep tabs with wine store business and retailing business generally, you would have noticed that it has now become a common phenomenon for retail outlets to leverage on technology to effectively predict consumer demand patterns and to strategically position their store to meet their needs; in essence, the use of technology helps retailers to maximize supply chain efficiencies.
No doubt data collected from customers goes a long way in helping retail store outlets serve them better. Another common trend in the retailing industry is the pricing system.
Aside from having varieties of wines and other alcoholic drinks in a store, one of the easiest ways for wine retail stores to sell the drinks on their racks as fast as they can and keep re – stocking is to ensure that the prices of their drinks are a bit lower than what is obtainable in elsewhere. For example, it is common to see items with prices in this format; $3.99, $99 and $199 et al as against $4, $100 and $200.
Wine stores are also known to follow the rules and regulations regulating the industry in any state that their store is located; regulations like not selling alcoholic drinks to any person who is under – aged amongst other rules and regulations.
When it comes to selling alcoholic and non- alcoholic wines, liquors, beers and locally brewed beer et al, there is indeed a wide range of available customers. In essence, our target market can’t be restricted to just a group of people, but all those who drink alcoholic and non – alcoholic wines, liquors, and beers and those who would want to try out liquor.
One thing is certain, our liquors, and other alcoholic drinks will not be sold to people who are under aged. In view of that, we have positioned our wine retail store to service the residence of Los Angeles – California and every other location where our wine retail stores will be located all over the United States of America and Canada.
We have conducted our market research and we have ideas of what our target market would be expecting from us. We are in business to retail wines and a wide range of alcoholic drinks to the following groups of people;
Our competitive advantage
Martins O’Brien Wine Store®, LLC is launching a standard and licensed wine retail shop that will indeed become the preferred choice of residence of Los Angeles – California and in every other location where our outlets will be opened.
Our wine retail store is located in a corner piece property on a busy road directly opposite one of the largest residential estates in Los Angeles – California and few meters away from a busy business district. We have enough parking space that can accommodate about 20 cars per time.
One thing is certain; we will ensure that we have a wide range of liquors, wines and beers available in our store at all times. It will be difficult for customers to visit our store and not see the brand of alcoholic drinks that they are looking for. One of our business goals is to make Martins O’Brien Wine Store®, LLC a one stop wine and alcohol shop.
Our location, the business model we will be operating on (brick and mortar wine store and online wine store), varieties of payment options, wide range of alcoholic, non- alcoholic wines and other alcoholic drinks and our excellent customer service culture will definitely count as a competitive advantage for Martins O’Brien Wine Store®, LLC.
Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups wine stores) in the wine, liquor and beer stores industry, meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives. We will also give good working conditions and commissions to freelance sales agents that we will recruit from time to time.
Martins O’Brien Wine Store®, LLC is established with the aim of maximizing profits in the wine, liquor, and beer store retailing industry and we are going to go all the way to ensure that we do all it takes to sell a wide range of products to a wide range of customers.
Martins O’Brien Wine Store®, LLC will generate income by retailing the following alcoholic products;
It is important to state that our sales forecast is based on the data gathered during our feasibility studies, market survey and also some of the assumptions readily available on the field. One thing is common with wine retailing business, the larger a wine retail store the larger the numbers of customers that will patronize them.
Although we may not be as large as the biggest wine retail store in the United States, but we will ensure that within our capacity we make available a wide range of alcoholic and non – alcoholic wines, liquors, and beers et al from different brands both local and foreign in our wine store.
We are well positioned to take on the available market in Los Angeles – California and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the business and our clientele base.
We have been able to critically examine the wine, liquor and beer industry and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to startups in Los Angeles – California.
Below are the sales projections for Martins O’Brien Wine Store®, LLC, it is based on the location of our business and other factors as it relates to wine store start – ups in the United States;
N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same products and customer care services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
Before choosing a location to launch our wine store, we conduct a thorough market survey and feasibility studies in order for us to be able to be able to penetrate the available market and become the preferred choice for residence of Los Angeles – California and in every other city where our outlets will be opened.
We have detailed information and data that we were able to utilize to structure our business to attract the numbers of customers we want to attract per time.
We hired experts who have good understanding of the wine, liquor, and beer retail industry to help us develop
In other to continue to be in business and grow, we must continue to sell the products that are available in our store which is why we will go all out to empower or sales and marketing team to deliver. In summary, Martins O’Brien Wine Store®, LLC will adopt the following sales and marketing approach to win customers over;
Despite the fact that our wine retail store is well located in a corner piece property, we will still go ahead to intensify publicity for the business. We are going to explore all available means to promote our wine retail store.
Martins O’Brien Wine Store®, LLC has a long term plan of opening outlets in various locations all around the United States of America and Canada which is why we will deliberately build our brand to be well accepted in Los Angeles – California before venturing out.
As a matter of fact, our publicity and advertising strategy is not solely for winning customers over but to effectively communicate our brand to our target market. Here are the platforms we intend leveraging on to promote and advertise Martins O’Brien Wine Store®, LLC;
Pricing is one of the key factors that give leverage to wine retail stores, it is normal for consumers to go to places (wine retail outlets) where they can get wines, liquors, and beers et al at cheaper price which is why big player in the wine, liquor and beer retail industry attract loads of consumers.
We know we don’t have the capacity to compete with other bigger and well – established wine retail store, but we will ensure that the prices of all the brands of wines, liquors, and beers et al that are available in our wine store are competitive with what is obtainable amongst wine retail stores within our level and in our location.
The payment policy adopted by Martins O’Brien Wine Store®, LLC is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Martins O’Brien Wine Store®, LLC will make available to her clients;
In view of the above, we have chosen banking platforms that will enable our client make payment for farm produces purchase without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for our goods (wines, liquors and beers).
When it comes to starting a wine retailing store the major areas that you look towards spending the bulk of your cash is in of course renting or leasing a standard store facility that has approval from local authority. Aside from that, you are not expected to spend much except for paying of your employees and the stocking of your store with assorted wines, liquors and beers.
This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. These are the key areas where we will spend our start – up capital;
We would need an estimate of $250,000 to successfully set up our wine retail store in Los Angeles – California. Please note that this amount includes the salaries of all the staff for the first month of operation.
Generating Funds / Startup Capital for Martins O’Brien Wine Store ®, LLC
Martins O’Brien Wine Store®, LLC is a private business that is solely owned and financed by Mr. Martins O’Brien and his immediate family members. We do not intend to welcome any external business partners, which is why we have decided to restrict the sourcing of the start – up capital to 3 major sources.
These are the areas we intend generating our start – up capital;
N.B: We have been able to generate about $100,000 ( Personal savings $75,000 and soft loan from family members $25,000 ) and we are at the final stages of obtaining a loan facility of $150,000 from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.
One of our major goals of starting Martins O’Brien Wine Store®, LLC is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over is to retail our wines, liquors and beers a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.
Martins O’Brien Wine Store®, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of three years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
Check List / Milestone
Wine never goes out of demand, and the revenue from the wine store will be consistently progressing too. If you are thinking of starting a wine shop, then don’t forget to make a plan first.
Need help writing a business plan for your wine shop business? You’re at the right place. Our wine shop business plan template will help you get started.
Free Business Plan Template
Download our free wine shop business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!
Writing a wine shop business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:
An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.
Here are a few key components to include in your executive summary:
Ensure your executive summary is clear, concise, easy to understand, and jargon-free.
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The business overview section of your business plan offers detailed information about your company. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:
This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.
The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.
Market size and growth potential: Describe your market size and growth potential and whether you will target a niche or a much broader market.
With a predicted CAGR of 4.30% from 2021 to 2028, the worldwide wine market is expected to increase from $340.23 billion to $456.76 billion by 2028.
Here are a few tips for writing the market analysis section of your wine shop business plan:
The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:
Quality Measures: This section should explain how you maintain quality standards and consistently provide the highest quality.
In short, this section of your wine shop plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.
Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:
Overall, this section of your wine shop business plan should focus on customer acquisition and retention.
Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your wine shop business, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.
The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:
Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.
The management team section provides an overview of your wine shop business’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.
This section should describe the key personnel for your wine shop services, highlighting how you have the perfect team to succeed.
Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:
Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.
The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.
Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.
Remember, the appendix section of your wine store business plan should only include relevant and important information supporting your plan’s main content.
The Quickest Way to turn a Business Idea into a Business Plan
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This sample wine shop business plan will provide an idea for writing a successful wine shop plan, including all the essential components of your business.
After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our wine shop business plan pdf .
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Why do you need a wine shop business plan.
A business plan is an essential tool for anyone looking to start or run a successful wine shop business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.
Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your wine shop company.
There are several ways to get funding for your wine shop business, but self-funding is one of the most efficient and speedy funding options. Other options for funding are:
Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.
There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your wine shop business plan and outline your vision as you have in your mind.
A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any wine shop business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software .
The level of detail of the financial projections of your wine shop business may vary considering various business aspects like direct and indirect competition, pricing, and operational efficiency. However, your financial projections must be comprehensive enough to demonstrate a comprehensive view of your financial performance.
Generally, the statements included in a business plan offer financial projections for at least the first three or five years of business operations.
The following are the key components your wine shop business plan must include:
Indeed. A well-crafted wine shop business will help your investors better understand your business domain, market trends, strategies, business financials, and growth potential—helping them make better financial decisions.
So, if you have a profitable and investable business, a comprehensive business plan can certainly help you secure your business funding.
About the Author
Upmetrics Team
Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more
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Written by Dave Lavinsky
You’ve come to the right place to create your Wine Bar business plan.
We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Wine Bars.
Below is a template to help you create each section of your Wine Bar business plan.
Business overview.
A’Vin Garde is a newly established wine bar located in San Francisco. The company is founded by Abraham Stills, a local sommelier who has worked at some of the finest dining establishments in San Francisco. Abraham has worked in the fine dining industry for over 20 years and received his sommelier certification 10 years ago. Clients around the city seek Abraham as the friendly expert who can pair them with the perfect wine to complete their dish.
A’Vin Garde Wine Bar will be located in San Francisco’s Marina District in a quaint 2,500 square foot space. Aside from wine, A’Vin Garde will offer craft beer, cider, and small bite dishes that are expertly created by a local chef. Abraham plans to hold wine tasting events, specialty wine dinners, and have a wine club for customers to pay for a monthly membership.
The following are the services that A’Vin Gardet will provide:
A’Vin Garde Wine Bar will target the trendy and professional demographic of San Francisco that has mid to high income with plenty of disposable income. They are between the ages of 25 – 65, have a white collar lifestyle, and regularly spend money going out to eat, socializing, and have a moderate knowledge of wine culture.
A’Vin Garde Wine Bar will be owned and operated by Sommelier Abraham Stills. He recruited another local sommelier that he worked and trained with at a high end restaurant, Leslie Fragas, to be his assistant manager.
Abraham Stills received his Sommelier designation from the Court of Master Sommeliers of the Americas ten years ago. Aside from his wine knowledge and expertise, Abraham has managed front of the house operations at multiple fine dining restaurants.
Leslie Fragas received her Sommelier designation from the Court of Master Sommeliers of the Americas two years ago and has assistant managed front of the house staff at the same high end restaurants Abraham most recently worked at. Both Abraham and Leslie’s knowledge of wine and leading a team of employees has equipped them with the ability to own and manage a successful wine bar.
A’Vin Garde Wine Bar will be able to achieve success by offering the following competitive advantages:
A’Vin Garde Wine Bar is seeking $300,000 in debt financing to launch its wine bar. The funding will be dedicated towards securing the retail space and purchasing furniture, decorations, opening inventory, and working capital. The breakout of the funding is below:
The following graph below outlines the pro forma financial projections for A’Vin Garde Wine Bar.
Who is a’vin garde wine bar.
A’Vin Garde is a newly established wine bar located in Indianapolis, Indiana. The company is founded by Abraham Stills, a local sommelier who has worked at some of the finest dining establishments in San Francisco, California. Abraham has worked in the fine dining industry for over 20 years and received his sommelier certification ten years ago. Clients around the city seek Abraham as the friendly expert who can pair them with the perfect wine to complete their dish. They also consult him separately to create their wine list for a gala, party, or event. Abraham is limited to the types of wine and labels to recommend while working at the restaurants, and now wants to open a wine bar where he can recommend and offer a much wider selection of premium wine. While the city has multiple wine establishments, Abraham aims to be the premier wine establishment that is welcoming, price conscious, and has an impressive selection of wines to choose from.
A’Vin Garde Wine Bar will be located in San Francisco’s Marina District in a quaint 2,500 square foot space. The location includes a cozy patio and plenty of seating inside for visitors to relax and socialize. The bar is modern and adorned with contemporary furniture and decor. Aside from wine, A’Vin Garde will offer craft beer, cider, and small bite dishes that are expertly created by a local chef. Abraham plans to hold wine tasting events to feature certain wines and special wine dinners when a representative of an acclaimed winery visits San Francisco. He also plans to have a Wine Club for A’Vin Garde where members are able to receive discounted prices on featured wines and a monthly wine box. Members will also have the first opportunity to reserve seating at the featured events and tastings.
A’Vin Garde is owned and operated by Abraham Stills, a local sommelier who received his Sommelier designation from the Court of Master Sommeliers of the Americas ten years ago. Abraham has a large loyal following that he has gained in each restaurant he has worked at. They like to visit the establishment he is working at for his recommendations on wine pairings and wine menu selections. Aside from his wine knowledge and expertise, Abraham has managed front of the house operations at multiple fine dining restaurants.
Since incorporation, A’Vin Garde Wine Bar has achieved the following milestones:
The following will be the services A’Vin Garde Wine Bar will provide:
The Wine Bar industry has experienced growth over the past five years. Growth is attributed to high disposable income levels, which led to consumers spending more on higher-priced discretionary products. Younger consumers are increasingly buying premium beverages, such as wine and craft beer, and opting for smaller venues.
Over the next five years, the industry is projected to continue to grow as disposable income levels continue to rise. The number of households earning $100,000 or more is expected to increase over the next five years; these consumers are the largest market for industry operators, and thus, a rise in this population is forecast to significantly benefit the industry. Further, establishments generally employ healthy markups on wine, leading to high profits for the industry.
Demographic profile of target market.
A’Vin Garde Wine Bar will target the trendy and professional demographic of San Francisco that has mid to high income with plenty of disposable income. They are between the ages of 25 – 65, have a white collar lifestyle, and regularly spend money going out to eat, socializing, and have a moderate knowledge of wine culture. They prefer organic food, farmer’s markets, five course meals, and entertaining friends on weekends.
The precise demographics for San Francisco, California are:
Total | Percent | |
---|---|---|
Total population | 1,680,988 | 100% |
Male | 838,675 | 49.9% |
Female | 842,313 | 50.1% |
20 to 24 years | 114,872 | 6.8% |
25 to 34 years | 273,588 | 16.3% |
35 to 44 years | 235,946 | 14.0% |
45 to 54 years | 210,256 | 12.5% |
55 to 59 years | 105,057 | 6.2% |
60 to 64 years | 87,484 | 5.2% |
65 to 74 years | 116,878 | 7.0% |
75 to 84 years | 52,524 | 3.1% |
A’Vin Garde Wine Bar will primarily target the following customer profiles:
Direct and indirect competitors.
A’Vin Garde Wine Bar will face competition from other companies with similar business profiles. A description of each competitor company is below.
Wine Society is an exclusive, ultra-expensive wine bar located in downtown San Francisco. It caters to those who don’t have a budget for spending on wine and entertainment. There is a dress code and patrons usually need a reservation for a table. The Wine Society is very exclusive to visit as it boasts one of the most impressive wine lists in North America. Led by one of the most renowned Sommeliers in the world, Wine Society is the ultimate wine bar to visit for lovers of wine who have a wine bucket list.
Wine Society serves a complete list of wine and a few select premium beers and ciders. For wine dinner events, there is a chef who comes to prepare all of the meals. Wine Society will also feature special wine tasting events for representatives who come from exclusive vineyards. The wine bar seeks only premium wine that is produced in small batches and features unusual grapes or is made during a special harvesting season.
The Brothers Wine Company is a laid back, friendly wine bar establishment located in a small neighborhood of San Francisco. Owned by two brothers who both became sommeliers, they wanted to create something that they were never able to do at traditional wine bars and restaurants. The bar is known as the place where you can walk in wearing a hoodie, listen to punk rock, and order a high end bottle of wine. The owners are non-pretentious, do not have a dress code, and prefer to keep it young, fresh, and comfortable.
Aside from their selection of wines, The Brothers Wine Company serves craft beer, casual eats, and bottles to go. They do their wine tasting events paired with a local musical artist and invite customers to bring their favorite vinyl record to play on their system. The wine bar also has a wine club where members can pick up an assortment of wine bottles curated for that specific month.
Petit Blanc is a wine bar that features nightly live music and a spacious outdoor courtyard. As a place meant for socializing and entertaining, Petit Blanc has an expansive wine list that includes all budgets and types of wine. Younger people can enjoy learning about wine by tasting a wine flight or older female friends can get together to enjoy bottles of their favorite sherry’s or ports. Owned by a sommelier that used to work at a Napa Valley winery, Petit Blanc is about the volume of wines offered and people served, rather than having a particular niche.
In addition to nightly entertainment, Petit Blanc hosts monthly wine tasting events taught as classes for those who are new to wine and want to learn about wine culture, tasting, and types of wines. The wine bar has a large and loyal following where followers come for a night out, listen to a local band or musician, and enjoy different types of wine.
A’Vin Garde Wine Bar will be able to offer the following advantages over their competition:
Brand & value proposition.
A’Vin Garde Wine Bar will offer the unique value proposition to its clientele:
The promotions strategy for A’Vin Garde Wine Bar is as follows:
Website/SEO Marketing
A’Vin Garde Wine Bar has hired an advertising firm to develop their branding image and logo. They will also develop the wine bar’s website. The website will be attractive, informative, and their wine menu and wine club information. The advertising company will also manage Best Bet’s website presence with SEO marketing tactics so that anytime someone types in the Google or Bing search engine “San Francisco wine bar” or “wine bar near me”, A’Vin Garde Wine Bar will be listed at the top of the search results.
Word of Mouth/Referrals
Abraham Stills has built up a large list of contacts and clients whom he has created wine menus for or has paired them with an excellent bottle of wine. They have communicated to Abraham that they will definitely be patrons of his new wine bar. Because of the friendly environment and impressive wine bar, word of mouth will get out and soon patrons will start bring friends and family to enjoy a bottle of wine at A’Vin Garde.
Social Media
Once the branding and logo is finalized, Abraham will use social media to his advantage and create social media business pages on all of the popular social media platforms. He will commit to posting daily to increase his list of followers and use it to regularly engage with customers.
Print Advertising
A’Vin Garde Wine Bar will invest in professionally designed print ads to display in local magazines and tourist brochures.
The pricing of A’Vin Garde Wine Bar will be moderate and on par with competitors so customers feel they receive value when purchasing their wines.
The following will be the operations plan for A’Vin Garde Wine Bar.
Operation Functions:
A’Vin Garde Wine Bar will have the following milestones complete in the next six months.
8/1/202X – Finalize contract to lease wine bar space
8/15/202X – Begin build-out of wine bar with bar counter, restrooms, and patio
9/1/202X – Order opening inventory
9/15/202X – Begin marketing campaign
9/22/202X – Hire and train staff of servers
10/1/202X – A’Vin Garde Wine Bar Grand Opening Event
Abraham Stills received his Sommelier designation from the Court of Master Sommeliers of the Americas ten years ago. Aside from his wine knowledge and expertise, Abraham has managed front of the house operations at multiple fine dining restaurants. Through his twenty years of fine dining experience, wine training, and responsibility managing front of house employees, Abraham has developed the necessary skills and training to own and operate a successful wine bar.
Leslie Fragas received her Sommelier designation two years ago from the Court of Master Sommeliers of the Americas and has assistant managed front of the house staff at the same high end restaurants Abraham most recently worked at. Leslie’s specialty lies in training and mentoring staff in order to develop them. She believes that by them feeling comfortable enough to make wine recommendations on their own, the wine bar will ultimately succeed.
Abraham has engaged third party companies and advisors to handle all administrative and legal requirements of the business.
Key revenue & costs.
The revenue drivers for A’Vin Garde Wine Bar are the sales from wine, food, beer, and wine club memberships. Abraham will push to sell memberships as that is recurring revenue that will not take a lot of overhead to manage.
The cost drivers will be the overhead costs required to staff the wine bar. The expenses will be the payroll cost, rent, utilities, wine inventory, and marketing materials.
A’Vin Garde Wine Bar is seeking $300,000 in debt financing to launch its wine bar. The funding will be dedicated towards securing the retail space and purchasing furniture, decorations, opening inventory, and working capital. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing costs for the online ads and branding. The breakout of the funding is below:
The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.
Income statement.
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
---|---|---|---|---|---|---|
Revenues | ||||||
Total Revenues | $360,000 | $793,728 | $875,006 | $964,606 | $1,063,382 | |
Expenses & Costs | ||||||
Cost of goods sold | $64,800 | $142,871 | $157,501 | $173,629 | $191,409 | |
Lease | $50,000 | $51,250 | $52,531 | $53,845 | $55,191 | |
Marketing | $10,000 | $8,000 | $8,000 | $8,000 | $8,000 | |
Salaries | $157,015 | $214,030 | $235,968 | $247,766 | $260,155 | |
Initial expenditure | $10,000 | $0 | $0 | $0 | $0 | |
Total Expenses & Costs | $291,815 | $416,151 | $454,000 | $483,240 | $514,754 | |
EBITDA | $68,185 | $377,577 | $421,005 | $481,366 | $548,628 | |
Depreciation | $27,160 | $27,160 | $27,160 | $27,160 | $27,160 | |
EBIT | $41,025 | $350,417 | $393,845 | $454,206 | $521,468 | |
Interest | $23,462 | $20,529 | $17,596 | $14,664 | $11,731 | |
PRETAX INCOME | $17,563 | $329,888 | $376,249 | $439,543 | $509,737 | |
Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
Use of Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
Taxable Income | $17,563 | $329,888 | $376,249 | $439,543 | $509,737 | |
Income Tax Expense | $6,147 | $115,461 | $131,687 | $153,840 | $178,408 | |
NET INCOME | $11,416 | $214,427 | $244,562 | $285,703 | $331,329 |
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
---|---|---|---|---|---|---|
ASSETS | ||||||
Cash | $154,257 | $348,760 | $573,195 | $838,550 | $1,149,286 | |
Accounts receivable | $0 | $0 | $0 | $0 | $0 | |
Inventory | $30,000 | $33,072 | $36,459 | $40,192 | $44,308 | |
Total Current Assets | $184,257 | $381,832 | $609,654 | $878,742 | $1,193,594 | |
Fixed assets | $180,950 | $180,950 | $180,950 | $180,950 | $180,950 | |
Depreciation | $27,160 | $54,320 | $81,480 | $108,640 | $135,800 | |
Net fixed assets | $153,790 | $126,630 | $99,470 | $72,310 | $45,150 | |
TOTAL ASSETS | $338,047 | $508,462 | $709,124 | $951,052 | $1,238,744 | |
LIABILITIES & EQUITY | ||||||
Debt | $315,831 | $270,713 | $225,594 | $180,475 | $135,356 | |
Accounts payable | $10,800 | $11,906 | $13,125 | $14,469 | $15,951 | |
Total Liability | $326,631 | $282,618 | $238,719 | $194,944 | $151,307 | |
Share Capital | $0 | $0 | $0 | $0 | $0 | |
Retained earnings | $11,416 | $225,843 | $470,405 | $756,108 | $1,087,437 | |
Total Equity | $11,416 | $225,843 | $470,405 | $756,108 | $1,087,437 | |
TOTAL LIABILITIES & EQUITY | $338,047 | $508,462 | $709,124 | $951,052 | $1,238,744 |
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
---|---|---|---|---|---|---|
CASH FLOW FROM OPERATIONS | ||||||
Net Income (Loss) | $11,416 | $214,427 | $244,562 | $285,703 | $331,329 | |
Change in working capital | ($19,200) | ($1,966) | ($2,167) | ($2,389) | ($2,634) | |
Depreciation | $27,160 | $27,160 | $27,160 | $27,160 | $27,160 | |
Net Cash Flow from Operations | $19,376 | $239,621 | $269,554 | $310,473 | $355,855 | |
CASH FLOW FROM INVESTMENTS | ||||||
Investment | ($180,950) | $0 | $0 | $0 | $0 | |
Net Cash Flow from Investments | ($180,950) | $0 | $0 | $0 | $0 | |
CASH FLOW FROM FINANCING | ||||||
Cash from equity | $0 | $0 | $0 | $0 | $0 | |
Cash from debt | $315,831 | ($45,119) | ($45,119) | ($45,119) | ($45,119) | |
Net Cash Flow from Financing | $315,831 | ($45,119) | ($45,119) | ($45,119) | ($45,119) | |
Net Cash Flow | $154,257 | $194,502 | $224,436 | $265,355 | $310,736 | |
Cash at Beginning of Period | $0 | $154,257 | $348,760 | $573,195 | $838,550 | |
Cash at End of Period | $154,257 | $348,760 | $573,195 | $838,550 | $1,149,286 |
What is a wine bar business plan.
A wine bar business plan is a plan to start and/or grow your wine bar business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.
You can easily complete your wine bar business plan using our Wine Bar Business Plan Template here .
There are a number of different kinds of wine bars, some examples include: Trendy Wine Bar, Vineyard Wine Bar, Hotel Wine Bar, and Wine and Coffee Bar.
Wine bars are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding. Having a wine bar business plan pdf or doc will help show investors that you are well prepared to start your own business.
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Back to All Business Ideas
Written by: Carolyn Young
Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.
Edited by: David Lepeska
David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.
Published on March 19, 2023
Investment range
$46,600 - $96,000
Revenue potential
$140,000 - $280,000 p.a.
Time to build
1 – 3 months
Profit potential
$56,000 - $112,000 p.a.
Industry trend
Here are the most important factors to consider when you want to open a wine shop:
You May Also Wonder:
Is a wine shop profitable?
A wine shop can be very profitable if you understand the business and how to mark up wines. It can also make significantly more revenue by holding wine tasting events or even having a wine bar.
What happens during a typical day at a wine shop?
An active wine shop owner spends the day ordering inventory, assisting walk-in customers, hosting wine tasting events, and perhaps tending the wine bar. They also manage employees and do the accounting.
What is the growth potential of a wine shop?
Wine is an industry that will never go away, so it will always be in demand. A successful wine shop can also grow by adding new locations.
Can you start a wine shop on the side?
You could start a wine shop on the side if you want to hire people to manage it for you, but that’s going to make your wine shop much less profitable. You could start an online wine shop on the side, but online wine sales come with certain restrictions.
Pros and cons.
Industry size and growth.
The most popular red wine varieties are:(( https://today.yougov.com/topics/consumer/articles-reports/2019/11/05/most-popular-best-wine-poll-survey ))
The most popular white wine varieties are:
Startup costs for a wine shop range from $46,000 to $96,000. The largest expenses are your initial inventory and operating budget.
You’ll need a handful of items to launch your wine shop, including:
Start-up Costs | Ballpark Range | Average |
---|---|---|
Setting up a business name and corporation | $100 - $500 | $300 |
Business licenses and permits | $500 - $3,000 | $1,750 |
Insurance | $100-$500 | $300 |
Location rental and setup | $5,000 - $10,000 | $7,500 |
Initial Marketing Budget | $200 - $500 | $350 |
Initial Inventory | $25,000 - $50,000 | $37,500 |
Glassware | $700 - $1,500 | $1,100 |
Initial Operating Budget | $15,000 - $30,000 | $22,500 |
Total | $46,600 - $96,000 | $71,300 |
Wine shop profit margins are usually a robust 40%.
In your first year or two, you might sell 10,000 bottles per year at $14 per bottle, bringing in $140,000. This would mean a nice $56,000 in profit, assuming that 40% margin. As your store gains recognition, sales could climb to 20,000 bottles a year. With annual revenue of $280,000, you’d make a tidy profit of $112,000.
You can also bring in additional revenue from wine tasting events.
There are a few barriers to entry for a wine shop business. Your biggest challenges will be:
Step 2: hone your idea.
Now that you know what’s involved in starting a wine shop, it’s a good idea to hone your concept in preparation to enter a competitive market.
Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers, their preferences and desires, as well as the business landscape
It’s worthwhile to take some time to analyze your main competitors, locally and online, to identify opportunities and gain a better understanding of the market.
This should identify areas where you can improve your business and gain a competitive edge. What’s more, knowledge of the market will help you make better business decisions.
You’re looking for a market gap to fill. For instance, maybe the local market is missing a wine shop with an extensive selection of French wines, or a wine shop that offers a wine club with special events and discounts.
You might consider targeting a certain aspect of your industry, such as European wines or South American wines. This could jumpstart your word-of-mouth marketing and attract clients right away.
Talk to your potential customers about which wines they prefer, what they might be finding in the area and why they would frequent your shop. Examine wine trends in your area.
A wine shop has mostly local business, so examine what kind of people live in the area to determine what they might like. Wealthy districts might prefer fine French or Italian wines, while a college area might tend toward lower-priced California wines.
You could boost revenue with wine tastings, wine and tapas nights, or starting a wine club that offers members several bottles at a discount for a monthly fee. You could also do online sales and local delivery.
The average price of a bottle of wine is $14, but prices vary greatly based on variety, region, and age. Examine competitor prices in your area to see their typical markups. Then look at your costs for different types of wines.
Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.
Your target market is going to tend to be local, so again, look at who lives and shops in your area. Is it a younger demographic you might find on TikTok, or is it a more established market that spends more time on Facebook and LinkedIn?
You’ll need to find a suitable space for your wine store, preferably in an area with high foot or street traffic. You can find commercial space to rent in your area on sites such as Craigslist , Crexi , and Instant Offices .
When choosing a commercial space, you may want to follow these rules of thumb:
Here are some ideas for brainstorming your business name:
Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these.
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Finally, make your choice among the names that pass this screening and go ahead and reserve your business name with your state, start the trademarking process, and complete your domain registration and social media account creation.
Your business name is one of the key differentiators that sets your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.
Here are the key components of a business plan:
If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.
Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.
Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business!
Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to wine shops.
If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state.
Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your wine shop will shape your taxes, personal liability, and business registration requirements, so choose wisely.
Here are the main options:
We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have.
Choose Your State
We recommend ZenBusiness as the Best LLC Service for 2024
The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN.
Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.
The IRS website also offers a tax-payers checklist , and taxes can be filed online.
It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.
Securing financing is your next step and there are plenty of ways to raise capital:
Bank and SBA loans are probably the best option, other than friends and family, for funding a wine shop. You might also try crowdfunding if you have an innovative concept for your shop.
Starting a wine shop requires obtaining a number of licenses and permits from local, state, and federal governments.
Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration ( OSHA ), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits.
You’ll need to obtain the appropriate liquor licenses for your state and local governments. You may also need other state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more.
You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.
This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.
If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.
Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .
Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your wine shop business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.
Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account.
Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.
Here are some types of insurance to consider:
As opening day nears, prepare for launch by reviewing and improving some key elements of your business.
Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.
You may want to use industry-specific software, such as Wine Software or Magstar , to manage your inventory, transactions, purchases, and customer lists.
Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism. You can create your own website using services like WordPress, Wix, or Squarespace .
This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.
Your customers are unlikely to find your website, however, unless you follow Search Engine Optimization (SEO) practices. SEO will help your website appear closer to the top in relevant search results, a crucial element for increasing sales.
Make sure that you optimize calls to action on your website. Experiment with text, color, size, and position of calls to action such as “Buy Now” or “Order” if you’re also selling online. This can sharply increase purchases. These are steps that help pages rank higher in the results of top search engines like Google.
Here are some powerful marketing strategies for your future business:
Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your wine shop meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire.
Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your wine shop business could be:
You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a wine shop business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in wine shops for years and can offer invaluable insight and industry connections.
The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in wine. You’ll probably generate new customers or find companies with which you could establish a partnership.
As your business grows, you will likely need workers to fill various roles. Potential positions for a wine shop business include:
At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need.
Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent.
Starting a wine shop takes some capital, but it can pay off in a big way, both financially and from the rewards that come from sharing your passion. A third of Americans drink wine at least monthly, so you should be able to generate a steady stream of customers.
Now that you have the business part down, you’re ready to start your entrepreneurial journey and build a lucrative wine shop that will be the local go-to spot for wine connoisseurs!
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Home » Food
A wine shop is a retail outlet that retails different brands and types (alcoholic and non-alcoholic) of wine for on-and off-premise consumption. The Beer, Wine & Liquor Stores industry in the US is labor intensive which means that businesses are more reliant on labor than capital. The highest costs for businesses in The Beer, Wine & Liquor Stores industry in the US are Wages (6.8%), Purchases (71.1%), and Rent & Utilities (3.5%).
Statistics have it that in the United States of America alone, there are about 44,307 licensed wine and liquor stores responsible for employing about 171,766 employees, and the industry rakes in a whooping sum of $50 billion annually. The industry is projected to grow at 1.7 percent annual growth between 2017 and 2022.
Conduct market research.
Conducting market research before starting any business is key to the success of the business hence you must not open a wine shop without conducting market research. This is so because Market research provides critical information about your market and your business landscape. It can tell you how your business is perceived by the customers and clients you want to reach.
It can help you determine where your customers are, and which customers are most likely to do business with you. In essence, thorough market research will help you understand how your target customers think and adapt to their needs to turn them into regular customers.
If you are thinking of opening a wine shop, then you should make target demographics all-encompassing. It should include corporate executives, socialites, students, migrants, entrepreneurs, celebrities, tourists, and every adult in the neighborhood where your wine shop is located.
Yes, the wine shop business is profitable, but according to a recent Forbes study, wine shops are among the top five least profitable businesses, taking home a profit of 1.7 percent. Owners who can run their own business take home an average salary of $21,000 – $51,000, depending upon size, location, and sales.
No, there are no existing niches when it comes to wine shops because wine shop is a niche idea in the beer, wine & liquor stores industry.
Yes, there are county and state regulations and zoning laws for wine shops in the United States. Please note that the Food and Drug Administration (FDA) sets the federal Food Code. However, the FDA doesn’t oversee individual wine shops. Instead, the various states use the Food Code as the basis for their food codes. They may adopt its rules, interpret them differently or set their own rules.
Please note that in the United States, you are required to follow your own state’s food service code. Visit the FDA website for a list of food service codes by state. Use this to find the state authority handling restaurants and bars and view the laws that apply in your state.
Yes, there are franchise opportunities for wine shops, and here are some of them;
A. what type of business structure is best for wine shops.
The truth is that there are several options when it comes to the business structure of a wine shop, but the one that most players in this line of business consider is an LLC. It is common to consider an LLC because providers want to protect themselves from lawsuits. Please note that an LLC will need an EIN if it has any employees or if it will be required to file any of the excise tax forms listed below.
You don’t need any certifications to open a wine shop business.
If you are considering opening a wine shop business, usually you may not have any need to file for intellectual property protection or trademark. This is because the nature of the business makes it possible for you to successfully run it without having any cause to challenge anybody in court for illegally making use of your company’s intellectual properties.
A. how much does it cost to start a wine shop business.
There is no clear-cut startup cost for a wine shop, but available data shows that the costs for a small to medium wine shop can range from $50,000 to over $300,000.
In reality, it is not compulsory to build a new facility for your wine shop business, but if you have the required finance, it will pay you to build your facility. The truth is that building or reconstructing a facility will allow you to come up with a facility that will perfectly fit into your business goals and vision.
A. executive summary.
Our business is a neighborhood wine shop that will be located in a centralized area between a residential neighborhood and a busy business district in downtown West Chester – Ohio. We are aware that Ohio is one of the states that allow individuals to operate wine and liquor stores which is why we have decided to open our wine shop in West Chester – Ohio.
We have been able to secure a 10,000 sq. ft. facility for our wine shop as required by the law in the United States of America. We are in the wine shop business to make profits and at the same time to give our customers value for their money.
Our mission is to establish a wine shop that will make available different types of wine in the United States and other parts of the world to our highly esteemed customers.
Our vision is to establish a one-stop wine shop in West Chester – Ohio and other cities in the United States of America.
The goals and objectives of a wine shop business are to provide a retail outlet where patrons can go to buy different types of wines.
A. swot analysis.
Wine shops make money by selling the following products;
A. how much should you charge for your product/service.
The industry standard to mark up a bottle of wine is between 200 to 300% over its retail sales price. Thus, if a high-end wine retails for $20 at a wine retail store, it is likely to sell for $60 to $80 at a restaurant. For rare, expensive, or specialty wines, the markups could be as high as 400%.
It depends, but the available report shows that on average, a wine shop in a less desirable location or state will make up to $70,000 annually. Other businesses can make between $100,000 to $150,000 on average. Most owners make somewhere between $20,000 and $50,000 a year.
The profit margin of a wine shop is not fixed. On average, wine shops tend to have an overall profit margin of between 20% and 30% annually.
Below is the sales forecast for a wine shop. It is based on the location of the business and other factors as it relates to such startups in the United States;
A. how do you choose a perfect location for wine shop.
Before you can open a wine shop, you should budget and buy chairs and dining tables, POS and receipt issuing machines, storage hardware (bins, rack, shelves, food case), (Flat Screen TVs, sound system, DVD players, Satellite dish and decoder, furniture (table, stools, and sofas), telephones, filing cabinets), store equipment (cash register, security, ventilation, signage), and fancy lightening amongst others.
When it comes to hiring employees for a standard wine shop, you should make plans to hire a competent shop manager (you can occupy this position), account clerk, sales boys and sales girls, cleaners, and security guard.
In recent times, no wine shop opens its door for business without first organizing an opening party to officially launch the business. You can choose to do a soft opening if you are operating on a low budget or you can go for a grand opening party. The bottom line is that with the proper launching of the wine shop, you will be able to officially inform people that your wine shop is open for business.
However glamorous the thought of opening a wine bar may seem, you have a long road ahead of you if you want to operate a thriving business. Because you are dealing with a specialty bar that emphasizes a particular product, namely wine, you will have to develop a thorough grasp of your niche. Your patrons will expect this. That is where your business plan comes in: not only can it help you secure funding, but it will help you define your concept. Without a solid plan, your elegant wine bar might end up turning into a "regular" bar or pub.
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This post was last updated on June 13, 2024
Despite its ongoing surge in popularity, many people in the U.S. still think of wine drinking as being a European phenomenon. However, wine has never been more popular in the States. In fact, Americans consumed an average of 3.18 gallons of wine per resident in 2021. This number is 33% higher than it was 15 years ago.
Wine is produced in over 68 different countries . The diversity of styles and price points for wine means that there’s something for every type of customer. For entrepreneurs that are interested in getting into the wine industry, there is certainly plenty of opportunity at the moment.
Nevertheless, in coming up with a good plan, it’s imperative to figure out your intended audience and equip your store with the right tools to succeed. Below is a guide on how to start a wine shop.
Wine shops are one of the most profitable businesses you can open . Still, opening a store that sells alcohol can be a bit more complicated than just any other retail store. That’s because many states and municipalities have laws limiting the amount of liquor licenses available.
If you wanted to open a wine shop in New York, for example, the process would be much different than doing so in a controlled state , such as Pennsylvania. In fact, some places, like Florida , limit new liquor licenses to population counts. They only release a set number of new licenses per year on a lottery system.
Some towns and municipalities will limit the number of liquor licenses available on the same street, zip code, and jurisdiction. Because of the nature of liquor licensing, choosing a location should be a preliminary and focal decision. Don’t start planning anything until you know for sure that you will be able to open the type of shop that you want in the location that you desire.
Planning is essential to successfully opening any real business. Your business plan should cover all aspects of your business. Be sure to include the following:
Once you get your location nailed down, you can begin to think about doing market research. Try to get a thorough understanding of who and what is around you. That means researching both competitors and customers.
The adult beverage industry has a ton of competition. Luckily, people love to drink, and there is an incredible variety of types of wine, beer, and spirits. In fact, even non-drinkers have started flocking to bars that offer alternative non-alcoholic beverages.
To be sure, there are options out there for all palates and preferences.. Aspiring wine shop owners shouldn’t be dissuaded from the fact that the market is a bit oversaturated. Nonetheless, it’s necessary to do a thorough assessment of local competition before deciding on where to open and what to sell.
Open a shop offering products that make you stand out from your competitors. Are you opening in a place that has a lot of expensive Old World wines? Then try to go for more New World or natural varietals.
Is there a store nearby that specializes in French producers? Then try offering Spanish and Portuguese wines.
The point is to pick something that isn’t already widely available in your community. Having a distinctive identity, branding , and unique merchandise is key.
None of this planning matters if you don’t have a community that actually wants to buy wine. Part of your market research should research what your community actually likes to drink. Having a well-defined target audience will help guide your merchandising and marketing.
This type of research can be done by looking around at local businesses like other bars and restaurants. It can also be performed by analyzing Facebook groups, clubs, and social events.
Another option is to hire a third-party research company. These specialists can give you a focused and professional breakdown of your local market.
Before you start selling any wine you will have to register your business entity and obtain all necessary licenses. Here’s what to keep in mind:
Retail business owners have the option of structuring their business as a limited liability company (LLC) or a sole proprietorship . LLCs give owners protections from being personally liable for debts accrued by and lawsuits against businesses.
Setting up an LLC gives owners more tax flexibility. But a sole proprietorship is a much more simple and straightforward setup. For small retailers that don’t plan on getting loans or expanding, sole proprietorships are a perfectly fine option. An LLC will likely be recommended as your business grows, however.
In order to legally open a wine shop you need to get all of the necessary licensing in order. Fortunately, most of the licensing filing can now be done online. Make sure to keep the following in mind:
This refers to the general license to conduct any type of business. Most cities and states will require business licenses with a nominal fee.
This license allows you to collect taxes on products sold at your business.
The rules for obtaining liquor licenses vary in each location. Many times you will be required to apply for a state liquor license. Add to that, obtaining approval from the local community board. Take care to familiarize yourself with these regulations before making plans to open your place of business.
Most wine shop owners will need to hire employees. If you plan on doing so then you will need to register with the IRS to get an EIN number. This identification allows you to legally hire employees and pay them taxable wages.
Any brick and mortar business will be required to have active permits. Some places have more regulations than others, but generally, you will need at least the following:
Allowing you to post menus, marketing, and any other branded designs on the face of your storefront.
Essentially, this consists of getting approval for the building or property in which you are operating.
The cost of opening a wine shop varies immensely depending on where your shop is located. Your location will have two main factors that will impact your bottom line: licensing costs and real estate pricing.
For example, the price of a liquor license to sell wine off-premise in Alabama is $150. In California, that same type of license is $990. That’s not including all of the other licensing and application fees needed to get certified.
You also have to consider wide variations in real estate costs. Take, for instance, the average cost per square foot to rent in Mobile, Alabama, which is about $15 . In Los Angeles, that cost is more than double, at $35 per square foot .
Wine shop owners will also have to consider an array of additional costs other costs:
Salaries: $35,000 – $50,000 per year, per employee, contingent on local labor laws and other factors.
Marketing: $5,000 – 30,000, or about 3-5% of your projected revenue.
Insurance: $500 – $1,000 per year, depending on the policy and protection you choose.
Renovations: $2,000 – $100,000, some wine shops require an entirely new build while others are already equipped with shelving, coolers, and other necessary infrastructure. The latter will simply change hands and signage.
Point of Sale Software: $500 – $1,200 per year for monthly fees, plus upfront hardware costs.
Remember that most of the places that have more expensive real estate and higher minimum wages will also have local clientele that are willing to spend more money on products.
If you have enough funds to start a wine shop without borrowing any money then that’s almost certainly the best option. However, most business owners don’t have this kind of capital on hand.
With a solid business plan, a well-thought-out concept, and some thorough market research, you should be able to acquire the financing you need to open a wine shop. You have the option of reaching out to national banks, local banks, credit unions, or even venture capitalists for these loans.
Financing can help with covering all types of cash needed to start the business. Loan capital can be used for a variety of purposes:
Driving foot traffic into your shop will rely on spreading the word about your business and products. Luckily, so much of marketing can now be done through social media. If done the right way, this user-generated, hands-on style of promotion can be highly effective.
Use your inventory to show off the personality of what you have to offer. What sets you apart from other stores? Try posting interesting bottles and unique varieties of grapes.
There are many examples of successful social media campaigns uplifting eCommerce vendors. Try educating your followers about the history and topography of wine producers is a great way to generate content on Instagram. Posting photos and videos of wine pairings will show followers how to best enjoy your products with food.
Searchability is a major contributor to the success of retail businesses these days. When someone nearby searches Google for “natural wines from Spain,” and you have those in your inventory, you want your store to come up in the results.
Improving your local SEO will ensure that your shop pops up for relevant searches. The first thing you can do is add a Google My Business profile with all of the information about your store. Make sure your phone number, hours, address and description are completely accurate.
Next, you can build a website that describes your business, lists all of your products, and offer online wine sales . Keep an accurate and complete list of all of the wines that you offer. This will ensure that customers looking for specific grapes, regions, and styles will find your shop in the results.
Finally, be sure to put the same exact address, phone number, and business name as you did on Google My Business. Having identical descriptors across your social media, website, and Google profile will help your business get better visibility over time.
Having a powerful, robust point of sale system is a must for wine shops. These stores deal with a huge variety of inventory with products that often fluctuate in price and availability.
Wine shops also need dynamic customer data analytics in order to power the customization and segmentation that wine shoppers demand. Using a POS with vertical-specific loyalty programs will keep your clientele coming back and spending more.
KORONA POS is built to optimize retail inventory management , rewards, and eCommerce integration. Our software is also equipped to handle age verification checks and liquor tax management. Give us a call today to learn more about how our wine shop point of sale system is the best in the industry.
Mahougnon Martial Amoussou
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By: Author Tony Martins Ajaero
Home » Business ideas » Food Industry » Wine Business ideas
Are you about starting a wine distribution business? If YES, here is a complete sample wine distribution business plan template and feasibility report you can use for FREE .
Okay, so we have considered all the requirements for starting a wine distribution business . We also took it further by analyzing and drafting a sample wine distribution business marketing plan template backed up by actionable guerrilla marketing ideas for wine distribution businesses. So let’s proceed to the business planning section.
A wine distribution business is one that can be started even by a novice because this business is unlike a conventional retail store.
A wine distribution business is highly regulated and any entrepreneur starting this business is protected by the law as everyone you would deal with would need to have proper licensing and the right amount of finances. The wine distribution business is one that is an all seasonal business and is also one that is recession proof.
This business is one that is very lucrative because it doesn’t require employing too many hands. Another plus to starting this kind of business is that you get to know all the vintners in the area where you will be operating from. Writing a business plan is another aspect of starting a business that cannot be overlooked.
While writing a business plan might not be so easy, there are several options available from hiring a business plan writer to going online to get free templates that would aid you in writing the business plan. Below is a sample of a wine distribution business plan for you.
1. industry overview.
According to analysis, the wine industry has been experiencing tremendous growth. Women constitute about 56 percent of the wine drinking industry on the average; however Millennials women account for more than 66% of the wine drinking population.
The reason why women make 85 percent of all the customer purchase is due to the fact that they earn about 8.1 percent income higher than their male counterparts who earn about 5.8 percent. Another fact is that men prefer beer to wine.
Domestic wines have continued to dominate the market with an increase in volume sales and value, as Californian wine has a major share of the market value followed by Washington and Oregon wines which have all experienced a double digit growth.
Globally, Italy dominates with an 8.1 percent value share as well as a 6.3 percent volume sales in its wine industry whilst New Zealand has the greatest import which stands at 17.7 in value and 16.7 in volume.
While baby boomers are regarded as the base of this industry due to their frequency of drinking wine; however, Millennials have started taking a fair share of the market because while baby boomers who drink wine frequently account for 38 percent of the market, Millennials account for 40 percent of the market.
As at 2015, Millennials accounted for the largest volume of wine that was consumed with close to 160 million cases being purchased by this group. While baby boomers purchased the bulk of domestic wine, Millennials have continued to experiment allowing more imports of wine from other countries.
There are now few people who take wine exclusively as more wine drinkers now also purchase spirits, beer and even cider. Millennials in particular are cross drinkers, as only 4 percent take wine exclusively while about 40 percent drink all categories several times a year.
Within the united states of America, there are close to 75,000 companies that specialize in wine and other alcoholic beverage drinks distribution. These businesses generate more than $100 billion in revenue and provide jobs directly for more than a million Americans.
Dees Fine Wine Distributor Inc is a leading and standard wine distributorship company that will be located in Boston – New York and is seeking to raise the sum of $280,000 to enable us cater to all our various customers not only here in New York but all over the United States of America.
We have put various processes and plans in place to allow us compete favorably against our competitors by having exclusive agreements with several vintners, allowing us to be sole distributors for several quality wines in the Boston area of New York.
We have applied to the Federal Alcohol and Tobacco Tax and Trade Bureau, TTB for our alcohol distributor’s license and have submitted documentation as regards our incorporation and also our loan documents to show the regulated authorities where the finances are coming from. We have also gotten state distributor’s permit for the products we intend to distribute and the facility we intend to lease.
We intend to be primarily engaged in purchasing orders of wholesale wines so as to be able to sell to various retail stores in our target market. This means that about 80% of our revenue will be generated from the distribution of wines through our sales channels.
In order to create additional sources of income, we will generate revenue from other services such as ancillary distribution fees as well as consultancy and advisory services to our various customers.
Our vision is to ensure that Dees Fine Wine Distribution Inc is the preferred wine distributorship store here in Boston for all our existing and potential customers in the next 5 years. We will ensure that we adhere to industry’s best practices through our offering of quality inventory as well as excellent customer service in order to compete favorably against our competitors.
Location is very important to us because it is one of the ways we intend to achieve our vision and objectives. Being in a strategic location will allow us to have the growth in sales that we intend to use in achieving our desired goals and objectives. New York is a thriving place for any entrepreneur and Boston has all the qualities we need that will allow us achieve our goals and objectives.
Building a solid business structure is very important to us and as such we are prepared to go the extra mile in ensuring that we get competent and professional employees who not only understand the industry but the business as well so as to ensure that we are able to achieve all our desired goals and objectives.
We are going to ensure that our employees work in an environment that is conducive and mentally stimulating. We are also going to ensure that we pay our employees the best salaries and have better welfare packages than what similar start-ups are offering their employees here in Boston – New York.
Our owner and Chief Executive Officer, Mr. Derrick Hans is a consummate entrepreneur with several years of experience.
He has worked in this industry for years and has a great relationship with several vintners in the region. Mr. Derrick’s MBA from the University of Oxford is a pointer to the fact that he has the managerial abilities to drive this company achieve its goals and objectives.
Dees Fine Wine Distributor Inc is a business that intends to deal primarily in the distribution of alcoholic and non alcoholic wines to our various customers from our permanent location here in Boston – New York.
However, because we intend to create multiple sources of income, we will add more services such as distribution fees and consultancy services in addition to our core service. Our intention of adding these other services to our wine distribution business is to make as much profits as we can under our ambition and according to the regulated laws of the United States of America.
Therefore the products and services we intend to offer are;
Our Business Structure
Building the best business structure is very important to us and to the growth and success of our wine distribution business. We are therefore prepared to go the extra mile in ensuring that we get the best hands that understand the industry to work at our company and make it thrive to the extent that we desire.
Our management team consists of very experienced personnel that have a deep understanding of the industry and know how best to take our company to where we intend it to be. The management team also understands our corporate goals and policies and therefore know how best to ensure that the lower end staff not only understand these policies but that it is effectively implemented as well.
Because we intend to run other services in addition to our core service, we will be hiring more employees than necessary so that they can effectively handle the responsibilities that the new tasks would bring. Therefore the business structure that we intend to build at Dees Fine Wine Distributor inc is;
Chief Executive Officer
Human Resources and Administrative Manager
Facilities Manager
Marketing and Sales Team
Logistics Manager
Customer Service Executive
Truck Drivers
Security Guard
Due to the fact that we intend to run a standard business, we have engaged the services of a reputable business consultant here in Boston – New York City to look through our business concept and help us determine if we would succeed at the wine distribution business we intend to start.
The aim of having a consultant look through our business concept is to know if we have what it takes to compete favorably against our competitors here in Boston.
Due to our request, the business consultant used attributes such as strengths, weaknesses, opportunities and threats to determine how likely we were to succeed in the wine distribution business especially when exposed to several factors. Below therefore, is a of the SWOT analysis that was conducted on behalf of Dees Fine Wine Distributor Inc;
There are several strengths that we have to our advantage. We are located in Boston – New York which is a very strategic place for us as it is not only conspicuous but also easily accessed by our various customers. We have an excellent customer culture that has been infused into our corporate philosophy and this is because we place a high value on our customers.
We have an exclusive distributorship deal with several vintners here in New York which has led us to be the sole distributors of several new wines, thereby allowing us to not only gain a huge share of the market but also penetrate the market as well.
We understand how important it is for us to build a solid business structure and so we would endeavor to employ only competent and professional staff to handle all the important tasks an responsibilities that would be assigned to them. Also, our Chief Executive Officer, Mr. Derrick Hans has the necessary experience to ensure that we fully attain our goals and objectives.
The fact that we are a relatively new business means that it would be hard for us to compete with already established wine distributor businesses in terms of staff strength and finances.
Since we are relatively new, there are a whole lot of market opportunities that are open to us as a business and we intend to use every one of them to our advantage. We will also conduct researches on new target markets so as to get a large share of them.
Every business faces threats every now and then; how they handle these threats determine if they are serious about their business or not.
Therefore, the threats that we are likely to face when starting our wine distribution business include; strict government policies, downturn of the economy and the arrival of a competitor to the same location, offering same services such as ours. We however have laid down structures and strategies to combat any threat we are likely to face as a company.
Even though the wine business is one that is recession-proof, the sluggish economy has seen less people starting businesses and this affects those in our target market as well, which has in a way affected the growth of the wine distribution sector.
According to economists, the sluggish economic growth will continue for a period of time before the market recovers and have a better impact on this sector of the economy.
There are nearly 75,000 companies that engage in the sale and distribution of wine to the general public within the United States of America. These businesses not only generate revenue of more than $100 billion, they have also provided jobs for more than 1 million Americans.
The last five years has seen annual payrolls exceed $20 billion a year and as there is no legislation or stringent government regulations against this sector, it has contributed to the continued growth of this industry. Also, the Boston area is one that is very beneficial to the growth of the business as the target market that is around and within Boston is huge.
There exist a wide range of wine consuming customers and so our target market cannot in truth be limited to just a group of people or business but everyone. We have therefore conducted a market research that will allow us effectively map out our target market so that we can create marketing strategies that will be effective when created.
Also, the market research we intend to conduct will allow us to better understand our target market, what we expect from them and what they in return would be expecting from us. We therefore are in business to distribute and retail our alcoholic and non-alcoholic wines to the following groups of people;
Our competitive advantage
Our aim of starting Dees Fine Wine Distributor’s Inc is to build a business that will last for a very long time. Our intention is to ensure that we are the preferred wine distributorship store here in Boston for all our existing and potential customers in the next 5 years.
To achieve this, we have laid down strategies that will allow us to compete favorably against our competitors here in the industry. Our location here in Boston – New York City is centralized and this offers us a competitive advantage by allowing our customers to have easy access to our location, which then translates to growth in sales.
We have digitized our inventory and customer database which now makes it easier for us to know when stock levels are dropping and also enables us keep in touch with our various customers. This has not only seen our growth increased but has improved our relationship with our customers, as it allows us to provide excellent customer care.
Our management team is one that comes with vast experience. They do not only bring their experience to the table but also their expertise as well. Having aligned and identified with our corporate goals and objectives, our management staff has remained committed to ensuring that our business rises from the position of an unknown start-up to one that will gain national prominence.
Finally, we intend to ensure that all our employees are well taken care of, and that their welfare packages remain among the best within categories such as ours not only here in Boston – New York but all over the United States of America. This will make them more committed and willing to ensure that we are able to attain our business goals and objectives.
Dees Fine Wine Distributor Inc is a wine distribution business that has been established with the sole intention of maximizing profit in the industry, and for this reason we intend to do all we can to achieve our corporate sales goals and objectives.
We therefore intend to generate income by engaging in the following services;
Wine is consumed by everyone regardless of religion, race and tribe. While the kind of wine consumed might not be the same, there will always be a demand for wines, which makes it a recession proof business .
Our strategic location here in Boston – New York has us well positioned to take on the available market. We are also optimistic of not only meeting our target revenue but exceeding it and generating enough revenue within 6 months of operation that will allow us grow our business.
We however carried out a critical examination of this industry in order not only to analyze our chances in the wine distribution industry but to come up with an accurate sales forecast. Our sales projections are therefore based on information and data that were gathered from similar start-ups such as ours here in Boston – New York City.
Below therefore are the sales projection for Dees Fine Wine Distributor Inc that is not only based on the location of our business but on several other factors as well.
N.B : The above sales projections were conducted based on certain factors such as our location not changing during the defined period, no arrival of any competitor and a continued growth of the economy to allow us have a quick turnover. Should there be a change in any of the assumptions; it will greatly affect our projected sales by causing an increase or decrease in figures.
Marketing is very important as this is the aspect that allows major revenue to be generated for an organization. Due to the importance of marketing, we ensured that the location we got for our wine distribution business is one that will effectively aid all our marketing efforts and allow us penetrate the available market so that we can position our business to become amongst the industry leaders.
Because of this, we conducted a market research and feasibility studies where we obtained detailed information on how best to structure our business in such a way as to attract customers and also gain a huge share of the market in such a way as to allow us effectively compete against other leading wine distributors not only here in Boston – New York but all over the United States of America.
We have engaged the services of a reputable marketing consultant who resides here in Boston but has national knowledge about our kind of industry to help us develop marketing strategies in order to achieve our goals of winning a large percentage of the available market here in Boston – New York as well as throughout the United States of America.
We will also empower our marketing executives in order for them to develop marketing strategies that will further enhance the corporate goals of our company. Our marketing executives will also be able to use online means to ensure that they attract clients to our wine distribution business.
In essence, we intend to adopt the following sales and marketing approach in order to sell our variety of wines at Dees Fine Wine Distributor Inc;
Having the right publicity for one’s business is very vital and so we have ensured that we will roll out effective publicity strategies that would be a great boost to our business and also project the image of our business positively. This is why publicity and advertising is regarded as one with dual purpose where not only awareness is created but revenue is generated as well.
We intend to seek the services of a reputable brand consultant who is knowledgeable in the industry that will help roll out effective publicity strategies that will not only create awareness within our target market but also ensure that we stand out and be able to compete against our competitors.
Therefore, the publicity and advertising strategies we will deploy for Dees Fine Wine Distributor Inc are;
When it comes to setting the price for our wines, there will be no need for any detailed strategy as the price depends on the kind of wine, the waybill expenses in getting the wine as well as how valuable the wine is. We also do not intend to set a price that will be in conflict with what our major competitors are offering as we do not intend starting a price war.
However, in order to attract as much clients as we want and increase visibility for our business, we will for the first three months offer a price discount on several of the wines we intend to distribute. A detailed look at this plan we intend to carry out shows that even though our revenues are going to dip during this period, they will not result in any loss for our company.
Having the right payment options is very important to us and so at Dees Fine Wine Distributor Inc, we have come up with different payment options that will suit all the preferences of our various clients. The payment options that we intend to make available to our various customers are;
It should be noted that we deliberately chose the above payment options because it is not only convenient for our customers but for our business as well. This means that we would have little or no hitches when using this payment platform.
Starting a wine distribution business is not really capital intensive except if you intend to run the business on a very large scale. The bulk of the capital for this kind of business is used to get the necessary stock for the business, purchase the trucks for delivery, lease a facility as well as pay the salaries of employees and utility bills at least for a period of three months.
Below are the key areas that we intend to spend our start-up capital;
From the above analysis, it is apparent that we would need as estimate of $280,000 in order to run a standard wine distribution store that will eventually become successful here in Boston – New York City. We realize that this amount will cater to leasing of a facility, paying the salaries of employees and utility bills for a defined period (3 months), getting the stock needed for our business as well as purchasing delivery trucks.
Generating Funding/Startup Capital for Dees Fine Wine Distributors Business
Dees Fine Wine Distributor Inc is a business that is fully owned and run by Mr. Derrick Hans. Due to the nature and potential growth of the business, Mr. Derrick is not seeking for external investors for his business, which is why he has decided to limit the sources where he intends to source for capital.
The areas where Mr. Derrick Hans will generate revenue for his start-up capital are;
N.B : We have been able to generate the sum of $100,000 from personal savings and sale of stock. The bank was approached for a loan of $180,000 to be repaid in 10 years at the rate of 7% interest rate per annum. All the necessary documents and papers have been signed and therefore the loan which has been approved is going to be credited to our business account before the end of the work week.
Having the right sustainability and expansion strategies will ensure that a business secures its future. There are several factors that can ensure that a business remains long in existence and these factors are the location of the business, the business structure and distribution channels as well as the continuous financial capability of the business.
The location of a wine distribution store is very important as it can ensure that a business succeeds or fails. This is why we are going the extra mile in ensuring that we secure a strategic location here in Boston that will not only allow easy access or is conspicuous for our various customers but one that is central as to allow for our growth in sales.
Ensuring that we secure the best distribution channels is very important for our business and we have several structures and plans in place to ensure that we have the right channels that will allow for our continuous financial growth and capability. If we are able to successfully put all these factors in place, it will help us build our business to the level we want as well as ensure that we attain our goals and objectives.
Check List/Milestone
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Currently getting surveys done for the market research section of my business plan, going to contact Alcohol Beverage Control pretty soon. I'm hoping to have it all ready for a presentation to investors in the next month or so.
Has anybody started a similar business? Any advice?
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Creating a business plan is essential for any business, but it can be beneficial for wine bar businesses that want to improve their strategy or raise funding.
A well-crafted business plan outlines your company’s vision and documents a step-by-step roadmap of how you will accomplish it. To create an effective business plan, you must first understand the components essential to its success.
This article provides an overview of the critical elements that every wine bar business owner should include in their business plan.
What is a wine bar business plan.
A wine bar business plan is a formal written document describing your company’s business strategy and feasibility. It documents the reasons you will be successful, your areas of competitive advantage, and it includes information about your team members. Your business plan is a critical document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.
A wine bar business plan is required for banks and investors. The document is a clear and concise guide to your business idea and the steps you will take to make it profitable.
Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.
The following are the key components of a successful wine bar business plan:
The executive summary of a wine bar business plan is a one- to two-page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.
This section should include a brief history of your company. Include a short description of how your company started, and provide a timeline of milestones your company has achieved.
You may not have a long company history if you are just starting your wine bar. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your wine bar company, mention this.
You will also include information about your chosen wine bar business model and how, if applicable, it is different from other companies in your industry.
The industry or market analysis is an important component of a wine bar business plan. Conduct thorough market research to determine industry trends and document the size of your market.
Questions to answer include:
You should also include sources for your information, such as published research reports and expert opinions.
This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.
For example, a wine bar business’ customers may include:
You can include information about how your customers decide to buy from you as well as what keeps them buying from you.
Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or wine bar services with the right marketing.
The competitive analysis helps you determine how your product or service will differ from competitors and what your unique selling proposition (USP) might be that will set you apart in this industry.
For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation or advantage; that is, in what ways are you different from and ideally better than your competitors.
This part of the business plan is where you determine and document your marketing plan. . Your plan should be clearly laid out, including the following 4 Ps.
This part of your wine bar business plan should include the following information:
The operations plan is where you also need to include your company’s business policies. You will want to establish policies related to everything from customer service to pricing, to the overall brand image you are trying to present.
Finally, and most importantly, your Operations Plan will outline the milestones your company hopes to achieve within the next five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters, and then each year for the following four years. Examples of milestones for a wine bar include reaching $X in sales. Other examples include increasing the number of regular customers by a certain amount or adding a few new menu items.
List your team members here including their names and titles, as well as their expertise and experience relevant to your specific wine bar industry. Include brief biography sketches for each team member.
Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute on your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.
Here you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix).
This includes the following three financial statements:
Your income statement should include:
Revenues | $ 336,090 | $ 450,940 | $ 605,000 | $ 811,730 | $ 1,089,100 |
$ 336,090 | $ 450,940 | $ 605,000 | $ 811,730 | $ 1,089,100 | |
Direct Cost | |||||
Direct Costs | $ 67,210 | $ 90,190 | $ 121,000 | $ 162,340 | $ 217,820 |
$ 67,210 | $ 90,190 | $ 121,000 | $ 162,340 | $ 217,820 | |
$ 268,880 | $ 360,750 | $ 484,000 | $ 649,390 | $ 871,280 | |
Salaries | $ 96,000 | $ 99,840 | $ 105,371 | $ 110,639 | $ 116,171 |
Marketing Expenses | $ 61,200 | $ 64,400 | $ 67,600 | $ 71,000 | $ 74,600 |
Rent/Utility Expenses | $ 36,400 | $ 37,500 | $ 38,700 | $ 39,800 | $ 41,000 |
Other Expenses | $ 9,200 | $ 9,200 | $ 9,200 | $ 9,400 | $ 9,500 |
$ 202,800 | $ 210,940 | $ 220,871 | $ 230,839 | $ 241,271 | |
EBITDA | $ 66,080 | $ 149,810 | $ 263,129 | $ 418,551 | $ 630,009 |
Depreciation | $ 5,200 | $ 5,200 | $ 5,200 | $ 5,200 | $ 4,200 |
EBIT | $ 60,880 | $ 144,610 | $ 257,929 | $ 413,351 | $ 625,809 |
Interest Expense | $ 7,600 | $ 7,600 | $ 7,600 | $ 7,600 | $ 7,600 |
$ 53,280 | $ 137,010 | $ 250,329 | $ 405,751 | $ 618,209 | |
Taxable Income | $ 53,280 | $ 137,010 | $ 250,329 | $ 405,751 | $ 618,209 |
Income Tax Expense | $ 18,700 | $ 47,900 | $ 87,600 | $ 142,000 | $ 216,400 |
$ 34,580 | $ 89,110 | $ 162,729 | $ 263,751 | $ 401,809 | |
10% | 20% | 27% | 32% | 37% |
Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:
Cash | $ 105,342 | $ 188,252 | $ 340,881 | $ 597,431 | $ 869,278 |
Other Current Assets | $ 41,600 | $ 55,800 | $ 74,800 | $ 90,200 | $ 121,000 |
Total Current Assets | $ 146,942 | $ 244,052 | $ 415,681 | $ 687,631 | $ 990,278 |
Fixed Assets | $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 |
Accum Depreciation | $ 5,200 | $ 10,400 | $ 15,600 | $ 20,800 | $ 25,000 |
Net fixed assets | $ 19,800 | $ 14,600 | $ 9,400 | $ 4,200 | $ 0 |
$ 166,742 | $ 258,652 | $ 425,081 | $ 691,831 | $ 990,278 | |
Current Liabilities | $ 23,300 | $ 26,100 | $ 29,800 | $ 32,800 | $ 38,300 |
Debt outstanding | $ 108,862 | $ 108,862 | $ 108,862 | $ 108,862 | $ 0 |
$ 132,162 | $ 134,962 | $ 138,662 | $ 141,662 | $ 38,300 | |
Share Capital | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Retained earnings | $ 34,580 | $ 123,690 | $ 286,419 | $ 550,170 | $ 951,978 |
$ 34,580 | $ 123,690 | $ 286,419 | $ 550,170 | $ 951,978 | |
$ 166,742 | $ 258,652 | $ 425,081 | $ 691,831 | $ 990,278 |
Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:
Below is a sample of a projected cash flow statement for a startup wine bar .
Net Income (Loss) | $ 34,580 | $ 89,110 | $ 162,729 | $ 263,751 | $ 401,809 |
Change in Working Capital | $ (18,300) | $ (11,400) | $ (15,300) | $ (12,400) | $ (25,300) |
Plus Depreciation | $ 5,200 | $ 5,200 | $ 5,200 | $ 5,200 | $ 4,200 |
Net Cash Flow from Operations | $ 21,480 | $ 82,910 | $ 152,629 | $ 256,551 | $ 380,709 |
Fixed Assets | $ (25,000) | $ 0 | $ 0 | $ 0 | $ 0 |
Net Cash Flow from Investments | $ (25,000) | $ 0 | $ 0 | $ 0 | $ 0 |
Cash from Equity | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Cash from Debt financing | $ 108,862 | $ 0 | $ 0 | $ 0 | $ (108,862) |
Net Cash Flow from Financing | $ 108,862 | $ 0 | $ 0 | $ 0 | $ (108,862) |
Net Cash Flow | $ 105,342 | $ 82,910 | $ 152,629 | $ 256,551 | $ 271,847 |
Cash at Beginning of Period | $ 0 | $ 105,342 | $ 188,252 | $ 340,881 | $ 597,431 |
Cash at End of Period | $ 105,342 | $ 188,252 | $ 340,881 | $ 597,431 | $ 869,278 |
You will also want to include an appendix section which will include:
Writing a good business plan gives you the advantage of being fully prepared to launch and grow your wine bar . It not only outlines your business vision but also provides a step-by-step process of how you are going to accomplish it.
A well-written wine bar business plan is a must for any new business owner. It’s a great tool for attracting investors and keeping the company focused.
Written by Dave Lavinsky
Over the past 20+ years, we have helped over 500 entrepreneurs and business owners create business plans to start and grow their wine shops.
If you’re unfamiliar with creating a wine shop business plan, you may think creating one will be a time-consuming and frustrating process. For most entrepreneurs it is, but for you, it won’t be since we’re here to help. We have the experience, resources, and knowledge to help you create a great business plan.
In this article, you will learn some background information on why business planning is important. Then, you will learn how to write a wine shop business plan step-by-step so you can create your plan today.
Download our Ultimate Business Plan Template here >
A business plan provides a snapshot of your wine shop as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategies for reaching them. It also includes market research to support your plans.
If you’re looking to start a wine shop or grow your existing wine shop company, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your wine shop to improve your chances of success. Your wine shop business plan is a living document that should be updated annually as your company grows and changes.
With regards to funding, the main sources of funding for a wine shop are personal savings, credit cards, bank loans, and angel investors. When it comes to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to ensure that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for wine shops.
How to write a business plan for a wine shop.
If you want to start a wine shop or expand your current one, you need a business plan. The guide below details the necessary information for how to write each essential component of your wine shop business plan.
Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.
The goal of your executive summary is to quickly engage the reader. Explain to them the kind of wine shop you are running and the status. For example, are you a startup, do you have a wine shop that you would like to grow, or are you operating a chain of wine shops?
Next, provide an overview of each of the subsequent sections of your plan.
In your company overview, you will detail the type of wine shop you are operating.
For example, you might specialize in one of the following types of wine shops:
In addition to explaining the type of wine shop you will operate, the company overview needs to provide background on the business.
Include answers to questions such as:
In your industry or market analysis, you need to provide an overview of the wine shop industry.
While this may seem unnecessary, it serves multiple purposes.
First, researching the wine shop industry educates you. It helps you understand the market in which you are operating.
Secondly, market research can improve your marketing strategy, particularly if your analysis identifies market trends.
The third reason is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.
The following questions should be answered in the industry analysis section of your wine shop business plan:
The customer analysis section of your wine shop business plan must detail the customers you serve and/or expect to serve.
The following are examples of customer segments: individuals, families, and corporations.
As you can imagine, the customer segment(s) you choose will have a great impact on the type of wine shop you operate. Clearly, individuals would respond to different marketing promotions than corporations, for example.
Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the potential customers you seek to serve.
Psychographic profiles explain the wants and needs of your target customers. The more you can recognize and define these needs, the better you will do in attracting and retaining your customers.
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Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.
Direct competitors are other wine shops.
Indirect competitors are other options that customers have to purchase from that aren’t directly competing with your product or service. This includes other types of wine retailers, wineries, bars, and restaurants that serve wine. You need to mention such competition as well.
For each such competitor, provide an overview of their business and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as
With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.
The final part of your competitive analysis section is to document your areas of competitive advantage. For example:
Think about ways you will outperform your competition and document them in this section of your plan.
Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a wine shop business plan, your marketing strategy should include the following:
Product : In the product section, you should reiterate the type of wine shop company that you documented in your company overview. Then, detail the specific products or services you will be offering. For example, will you provide a wide variety of wine brands, locally produced wines, or specialty wines?
Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your plan, you are presenting the products and/or services you offer and their prices.
Place : Place refers to the site of your wine shop company. Document where your company is situated and mention how the site will impact your success. For example, is your wine shop located in a busy retail district, a business district, a standalone shop, or purely online? Discuss how your site might be the ideal location for your customers.
Promotions : The final part of your wine shop marketing plan is where you will document how you will drive potential customers to your location(s). The following are some promotional methods you might consider:
While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.
Everyday short-term processes include all of the tasks involved in running your wine shop, including answering calls, helping customers make their selections, collecting payments, restocking inventory, etc.
Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to acquire your Xth customer, or when you hope to reach $X in revenue. It could also be when you expect to expand your wine shop to a new city.
To demonstrate your wine shop’s potential to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.
Ideally, you and/or your team members have direct experience in managing wine shops. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.
If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing a wine shop or running a small wine brand.
Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet, and cash flow statements.
An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenue and then subtracts your costs to show whether you turned a profit or not.
In developing your income statement, you need to devise assumptions. For example, will you sell wine by the bottle or the case and will you offer discounts for repeat customers? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.
Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your wine shop, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a lender writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.
Your cash flow statement will help determine how much money you need to start or grow your business, and ensure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt.
When creating your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a wine shop:
Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your wine shop location lease or a list of brands you carry.
Writing a business plan for your wine shop is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will understand the wine shop industry, your competition, and your customers. You will develop a marketing strategy and will understand what it takes to launch and grow a successful wine shop.
Don’t you wish there was a faster, easier way to finish your Wine Shop business plan?
Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success. Click here to see how a Growthink business plan writer can create your business plan for you.
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Financial Plan. Provide an overview of your financial goals and projections, offering insights into revenue targets, profit margins, and anticipated growth trajectories. Example: The Vintage Vineyard Wine Bar aims for a projected revenue of $760,000 annually, targeting a 13% EBITDA profit margin by 2028.
Writing an Effective Beer and Wine Bar Business Plan. The following are the critical components of a successful beer and wine bar business plan:. Executive Summary. The executive summary of a beer and wine bar business plan is a one- to two-page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.
One-bedroom apartment rentals average in the $3,000 per month range. Vino Maestro will be located in one of two currently existing, fully-rented residential towers. U.S. sales of wines priced at $10 to $14 a bottle have climbed 14 percent over the past 12 months, and sales at $25 a bottle (and up) have grown 18 percent.
Operational cost for the first 3 months (salaries of employees, payments of bills et al) - $60,000. The cost for start-up inventory (stocking with a wide range of alcoholic and non - alcoholic wine, liquors, beers, tobaccos et al) - $70,000. The cost for storage hardware (bins, rack, shelves, food case) - $3,720.
Wine Bar Business Plan. Over the past 20+ years, we have helped over 500 entrepreneurs and business owners create business plans to start and grow their wine bars. If you're unfamiliar with creating a wine bar business plan, you may think creating one will be a time-consuming and frustrating process, but it won't be since we're here to help.
Market size and growth potential: Describe your market size and growth potential and whether you will target a niche or a much broader market. With a predicted CAGR of 4.30% from 2021 to 2028, the worldwide wine market is expected to increase from $340.23 billion to $456.76 billion by 2028.
A Sample Liquor Store Business Plan Template 1. Industry Overview. ... The Liquor, Beer and Wine Store industry is known to be heavily concentrated in the most densely populated regions and cities, mainly in the Mid-Atlantic, which comprises 24.2 percent of total liquor stores. Statistics has it that within the region, New York accounts for 8.5 ...
Sample from Growthink's Ultimate Liquor Store Business Plan Template: The following industry statistics bode well for [Company Name]. According to the recent report entitled, "Beer, Wine & Liquor Stores in the U.S." by Supplier Relations US, LLC, the liquor store industry's annual revenue is approximately $62 billion, with an estimated ...
Wine bar space build-out: $100,000. Opening inventory, furniture decorations: $100,000. Three months of overhead expenses (payroll, rent, utilities): $50,000. Marketing costs: $25,000. Working capital: $25,000. The following graph below outlines the pro forma financial projections for A'Vin Garde Wine Bar.
A liquor store business plan will help you meet the typical challenges of operating a new liquor business and control your store's growth in a logical and organized way. It will also prove to outside investors and lenders that your liquor store is a good financial risk. Your business plan provides an overview of your liquor store as it exists ...
Number of businesses - In 2023, 40,798 beer, wine, and liquor stores are operating in the U.S.((https: ... Step 4: Create a Wine Shop Business Plan. Here are the key components of a business plan: Executive Summary: Provide a concise summary of your wine shop business, ...
What are the Costs Involved in Starting a Wine Shop. The total fee for registering the business in the United States of America - is $750. Legal expenses for obtaining licenses and permits as well as accounting services - $1,200. Marketing promotion expenses (2,000 flyers at $0.04 per copy) for the total amount of $80.
Below is the sales projection for Crespo and Tina® Wine Bar, it is based on the location of our business and other factors as it relates to wine bars start - ups in the United States; First Fiscal Year-: $250,000. Second Fiscal Year-: $500,000. Third Fiscal Year-: $900,000.
2. Discuss the legal entity you have chosen for your wine bar. State the reasoning behind being a sole proprietor, corporation or other entity. Use this or a separate management section to ...
Renovations: $2,000 - $100,000, some wine shops require an entirely new build while others are already equipped with shelving, coolers, and other necessary infrastructure. The latter will simply change hands and signage. Point of Sale Software: $500 - $1,200 per year for monthly fees, plus upfront hardware costs.
Richard Garcia and his partners, Jamie and Liz Zoeller, thought for a year about opening a natural wine shop in Kansas City, Missouri. As Garcia faced unemployment at his restaurant job, the trio decided to go for it. Big Mood Natural Wines opened in August. "My advice would be to just trust yourself," says Garcia.
A Sample Wine Distribution Business Plan Template. 1. Industry Overview. According to analysis, the wine industry has been experiencing tremendous growth. Women constitute about 56 percent of the wine drinking industry on the average; however Millennials women account for more than 66% of the wine drinking population.
Its a rough business w/ small margins. I used to run a wine shop and am have many friends in all aspects of the business. Standard mark up on wine is 1.5 on liquor 1.25. If you have a location with reasonable rent and minimal competition you have a shot but its very tough. So much competition online. If your heart is set on it try to find one ...
Top 10 Best Wine Store in Saint Petersburg, FL - September 2024 - Yelp - CellarMasters Wine Bar & Bottle Shop, Total Wine & More, Mazzaro's Italian Market, Lolita's Wine Market, 688 Fine Wine And Spirits, Vino Simpatico, MUST Wine Loft, Pasadena Liquors & Fine Wines, Try Wine, Dolphin Village Liquors
This part of the business plan is where you determine and document your marketing plan. . Your plan should be clearly laid out, including the following 4 Ps. Product/Service: Detail your product/service offerings here. Document their features and benefits. Price: Document your pricing strategy here.
See more reviews for this business. Top 10 Best Craft Beer Store in Saint Petersburg, FL - May 2024 - Yelp - Beer World, Rally, The Beverage House, Total Wine & More, Norman's Liquor Beer & Wine, The bier boutique, Jug & Bottle Dept, Pasadena Liquors & Fine Wines, Rollin' Oats Market, 7 Stars Wine and Spirits.
Reviews on Wine Shop in Saint Petersburg, FL - 4th and Vine, CellarMasters Wine Bar & Bottle Shop, Total Wine & More, The Wine Shop, Vino Simpatico, ABC Fine Wine & Spirits, Tampa Wine Room , Norman's Liquor Beer & Wine, Try Wine, 688 Fine Wine And Spirits
Traditionally, a marketing plan includes the four P's: Product, Price, Place, and Promotion. For a wine shop business plan, your marketing strategy should include the following: Product: In the product section, you should reiterate the type of wine shop company that you documented in your company overview.