Starting a woodworking business can be a highly profitable venture with a lot of flexibility; however, it is important that you plan carefully. Having a carpentry business plan will allow you to borrow funds from investors or the bank to get started. In this guide you will learn what you need to have in your woodworking business plan.

Executive Summary

Your business plan should start with an executive summary. This will describe the purpose of your business, for example selling handmade wooden furniture, and how you will achieve this goal. It should be short and to the point.

Basic business information

Here you will list basic information about your business. This should include hours of operation, how long you’ve been in business, your contact details such as your phone number, email address, and website. This doesn’t need to be extensive, but it should cover the essentials of your business operation.

Products or Services Offered

Here you will give a summary of the products or services that you will be offering. For example, if you were producing handmade wooden jewelry boxes, you might describe the wood used in the construction, as well as the techniques you use to produce these boxes.

Management and organization details

This is where you will list who is managing your business. If you are the only person involved in the business right now, it will simply be you. If you have other people working in the company, detail the organizational structure of your company. Below this list, the ownership structure of the business. This is whether you are running a sole proprietorship, partnership or a limited liability company.

Marketing plan

This is where you include how you are going to get your customers. This is one of the most important parts of your woodworking business plan because without clients you don’t have a business. For example, if you are going to have a mail order side of the business, you might include direct mail as a marketing method. If you are going to advertise in home and garden magazines, this could be another marketing method. List these in bullet form so they are easy to understand.

Operations Plan

Think of this as if you were going to spend a day at your business. How will the work be done, from order taking to delivery? This can really help you understand how your business will run and any potential issues or room for improvement.

Financial projections

If you plan to borrow money, this is a very important section. If you are already in business and have a track record of earnings, you can list it here. It can then be extended into the future based on its previous growth.

The key to a successful business plan is to include all relevant information but none of the superfluous information. It must be clear and direct so that even someone unfamiliar with the wood industry can follow it.