I. The Executive Summary The Mommy-May I Muffins Company, Inc., is a new company based out of Jersey City, NJ. We develop and market wholesome muffins made from all-natural ingredients, supplying parents with a healthy snack alternative for their families. These muffins are known as Mommy-May Muffins. Its founders, Cherelle Cargill and Jean-Richard Chï¿½ry, who developed the recipes out of a desire to serve their children delicious snacks that were free of artificial colors, artificial flavors, and preservatives, manage the company. This plan will serve as a living document of our growth, and will be updated quarterly.
II. The Industry Analysis The packaged baked goods and retail foods industry is a major industry worth $300 billion per year, according to CNN Business News. It includes some of the largest and most powerful manufacturers in the world, major national grocery chains, tens of thousands of stores, thousands of venders, and of course hundreds of millions of buyers. The health-foods industry is similar in basic structure, channels, costs, and distribution. Additionally, the wholesome foods industry is the fastest growing segment in food retail, accounting for over 10% of annual sales in 2005.
As the Mommy-May I Muffins Company, Inc. is a New Jersey based company, it may be assumed that in the early stages the company will be supplying its product principally to the New York / New Jersey area. There has been a steady 4% growth in the wholesome / organic foods / health foods industry in the Northeast per year over the past decade, most notably with parents of children 2 to 12 years of age.
III. Background of the business a. Brief history of the business: The Mommy-May I Muffins Company, Inc is a new company located in Jersey City, New Jersey, that develops and markets specialty baked goods fro health conscious adults and their families. The company’s primary product is a muffin made with all natural ingredients that appeals to children. The Mommy-May I Muffins Company, Inc is a privately held S-corporation. Its founders, Cherelle Cargill and Jean-Richard Chï¿½ry, are the primary shareholders and managers.
b. Current situation: The Mommy-May I Muffins Company, Inc operates from a home office in Jersey City, New Jersey. All baking takes place at a commercial bakery / food production facility in Bayonne, New Jersey. As the company grows and additional staff is needed, larger office space will be acquired. c. Company’s mission statement: The Mommy-May I Muffins Company, Inc will provide a wholesome snack alternative for nutrition-conscious adults and their families. We will use only the finest, freshest ingredients combined with colorful innovative packaging to deliver a superior muffin.
d. Objectives: 1. To have product available in stores to public by 4/1/08. 2. Sales exceeding $10,000 in 2008, $300,000 in 2009, and $700,000 in 2010. 3. Net loss not to exceed 15% in 2008. Net profits of 5% or greater in 2009 and 10% or greater in 2010. e. Uniqueness: The Mommy-May I Muffins Company, Inc. develops and markets specialty baked goods, specifically wholesome muffins for health conscious adults and their families. All their products are made from all natural ingredients and feature colorful, innovative packaging that is popular with children and parents alike.
Mommy-May I Muffins are available in three varieties: Banana-Nut, Chocolate Chip, and Blueberry. Plans have been laid to develop additional seasonal flavors as well. Currently the company is in R&D to produce an Apple Muffin. Mommy-May I Muffins come one per package. A case contains 12 packages. There are future plans to develop additional flavors of muffins as well as potentially developing some non-muffin products. These will be further explored in year two.