A business plan for your distillery provides an outline of its goals and objectives, and can be used as a way to raise funds or plan business activities. Furthermore, it helps identify opportunities and risks. Some key sections include:
Company Analysis
Here you should provide details about what kind of distillery you are running – for instance gin distilling using juniper berries), vodka distillation using grain spirits or any other type. In addition, provide details on whether your business operates as an LLC, S-Corp or sole proprietorship.
Cash Flow Statement
Your business plan should include an annual and monthly cash flow forecast to show anticipated inflows and outflows of cash at regular intervals, helping identify any shortfalls early and put into place corrective measures as soon as they arise. In addition, this projection allows you to measure actual performance against projections; helping identify growth opportunities such as increasing sales or expanding profit margin.
Sales and Marketing Plan
This section details the objectives and budgets associated with your distillery’s sales and marketing plans, such as promotions, advertising, and other forms of promotion. In addition, it should provide pricing strategies based on one of three methods (skimming method, neutral method or penetration method). Lastly, your plan should contain details regarding target markets as well as competitive analysis.
