Starting an independent gelato shop is a bold business venture. If you aren’t familiar with gelato, it’s a frozen dessert that’s similar to ice cream. Hailing from Italy, gelato has become a global phenomenon due to its’ full flavor and creamy texture.
Start With a Detailed Business Plan
In order to create and prepare a budget you’ll have to first figure out what costs are associated with starting up a gelato business. The more thought and detail that you place inside of your business plan, the more prepared you will be once it’s up and running.
Think about the range and quantity of your products. Also, how are you going to market your business? What type of capital are you willing to put down for doing that? What about your gelato and ice cream cups and spoons? Is your set location in a populated area? Ask yourself these questions and more. Take the time to look at the various demographics and data of your proposed area so you get a better understanding of the competition you’re going to face.
Map Out Your Investments
An analysis of your investments is always important when starting a business. This will determine where your capital is going to be invested – property, equipment, supplies, etc. Additionally, it’s important to recognize the amount of depreciation and amortization of each of your investments based on its expected useful life.
There are two types of assets that you’re going to deal with during your tenure as an owner: intangible and tangible. The intangible assets are legal, accounting, trademarks, advisory services, start-up costs, and marketing expenses. The tangible assets involve equipments costs, gelato and ice cream spoons and cups, furnishings, computers, etc.
Revenue Estimation
Although it’s highly unlikely that your first estimation will be on target, that shouldn’t stop you from forecasting the future – which is an important aspect for business owners. Estimate revenues for the first and second year of business. If other similar businesses are willing to share some useful information, take it. Remember to include all of the necessary taxes and fixed costs that are associated so you have a realistic figure upon the initial calculation.
A good way to create an investment plan is to list all of your investments in a row – from training and development to construction and refurbishment. Write down the amount of capital that’s going into each investment. Next to it, write its useful life in years. Lastly, you’re going to want to fit in each investment’s annual amortization and expenses.
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Gelato Products is a premium supplier of gelato and ice cream shop supplies. For more information, visit them online today.