Butcher shop how to start a business. Butcher shop as a business: calculating costs and profits. What OKWED code to indicate for a butcher shop

An example of a business plan for opening a butcher shop in a 65 sq. m. in a residential area of \u200b\u200bthe city.

Project indicators

• Monthly turnover (revenue): 1,260,000 rubles.
• Net profit: 74,500 rubles.
• Payback: 19 months

How much money does it take to open a butcher shop

According to preliminary calculations of the business plan, the organization of a butcher shop will require investing about 1,400,000 rubles:

• Renovation and design of the premises - 400,000 rubles.
• Purchase of commercial equipment - 250,000 rubles.
• Creation of an assortment of goods - 150,000 rubles.
• Advertising budget - 200,000 rubles.
• Business registration and other organizational costs - 100,000 rubles.
• Reserve fund - 300,000 rubles.

Step-by-step plan for opening a butcher shop

The opening of the butcher shop will be carried out in the following sequence:

1. Market analysis and assessment, competitor research
2. Search for funding sources for the project
3. Selection of premises
4. Finding reliable suppliers
5. Business registration, conclusion of a lease agreement
6. Sales outlet personnel search
7. Renovation and design of premises
8. Purchase of commercial equipment
9. Purchase of the first batch of goods
10. Advertising campaign
11. Store opening

Description of products and services

One of the main conditions for the rush of such a business is the availability of a good range of goods and reliable suppliers. Finding the best suppliers of goods will take at least 2 - 3 months.

Among them will be: farms, agricultural enterprises, culinary industries, wholesale resellers. Ultimately, we want to see the following items in our store:

• Pork carcass cutting, chilled
• Beef carcass cutting, chilled
• Cutting lamb carcasses, chilled
• Kebab, chilled
• Chicken's meat
• Semi-finished products, chilled meat
• Vareniki, dumplings, khinkali
• Quail meat
• Rabbit meat, nutria
• Chicken egg, quail
• Goose, turkey, duck meat
• Spice

In the future, it is possible to add ready-made dishes to the assortment: salads, side dishes, pastries, pickles, herbs and drinks. The trade margin will be 40% on average. According to preliminary data of the business plan, the average check of the store will be 700 rubles. The number of buyers per day, in dynamics, will look as follows (by months, in the first six months of work):

In the first three months of the butcher's operation, its attendance will be no more than 30 people a day. Subsequently, with the promotion of the point, the average attendance should be at least 60 people per day. The planned annual turnover of the store in the first year of operation, according to our calculations, will be equal to 15,120,000 rubles.

Production plan

It is planned to rent premises with a total area of \u200b\u200b65 sq. m., located on the first floor of an apartment building. The choice of this premises is due to the following criteria: high traffic, convenient access roads and parking, low rental rate, loyal terms of the lease. The rent will amount to 39 thousand rubles per month.

The premises will be divided into several sections: the area for acceptance and cutting of carcasses, a sales department, a staff room, a shower room and a toilet. It is planned to spend about 400 thousand rubles for the repair and design of the premises. Before the start of trading, an opinion will be received from the SES and Fire Supervision authorities on the compliance of the premises with all food and fire safety requirements.

What equipment to choose for the store

• Refrigerated display cases;
• Freezing showcases;
• Refrigerating cabinets;
• Cooled table;
• Equipment for carcass cutting.

In total, it is planned to spend about 250 - 300 thousand rubles for the purchase of equipment. Particular attention will be paid to the selection of store personnel. And first of all, to the department of acceptance and processing of meat carcasses. The profit of the outlet directly depends on the skill and experience of the butcher, who knows how to give the meat a presentation.

If you do not know all the subtleties, then you can lose from 10 to 25 kg from the carcass, that is, receive a guaranteed loss. I cut off a piece in the wrong place - it turned out to be a different proportion of bone and fat, and it will be possible to sell such a “creation” only at a price 2 times lower than the purchase price.

Profitable pork cut:

Finding an experienced butcher can take months, as well as finding vendors. Therefore, even before opening a retail outlet, you need to take care of creating a team of workers. The total staff will be 6 employees with a salary fund of 135 thousand rubles per month.

What OKVED code to indicate for a butcher shop

The organizational form of the store will be an ordinary individual business registered with the local tax office. The OKVED code for such activities is as follows: 47.22 "Retail trade in meat and meat products in specialized stores." It is planned to use UTII as a tax system - a unified tax on imputed income. This activity is not subject to licensing.

What documents are required to open and operate a butcher shop

Experienced entrepreneurs recommend to their novice colleagues to resolve the issue with mandatory documents for a butcher shop once and save themselves from unpleasant conversations with representatives of regulatory authorities and the need to pay fines. The list of required documents includes:

• registration papers for individual entrepreneurs or LLC;
• rospotrebnadzor and fire inspection permits;
• certificates for products sold;
• conclusion of veterinary services (confirming the quality and safety of meat);
• retail permit;
• sanitary books of sellers.

If your store sells not only meat, but also semi-finished products, make sure that suppliers prepare quality certificates for them. In addition, do not forget to design a buyer's corner where the store's customers can leave their opinion about the work of the outlet. You do not need to issue any additional permits or licenses (except for the above papers) for the legal sale of meat.

Marketing and advertising

Competition in the meat business of our city is quite strong. In addition to direct specialized butcher shops (of which there are about 5), chain stores (Magnit, Pyaterochka, Auchan) are selling meat products. Therefore, without a competent marketing policy, it will be extremely difficult to achieve positive results in this matter. The main ways to attract customers are the following:

1. Bright advertising sign above the store entrance
2. Distribution of leaflets to mailboxes
3. Outdoor advertising placement
4. Big discounts in the first month of the store
5. Regular promotions and contests

All this should be supported by good assortments, competent display of goods, freshness control, polite and responsive staff.

Professional business plans on the topic:

• Butcher shop business plan (14 sheets) - DOWNLOAD ⬇
• Grocery store business plan (18 sheets) - DOWNLOAD ⬇

Financial plan

Let's move on to calculating the main indicators of the economic efficiency of the project. Fixed monthly expenses for the business plan:

• Rent - 39,000 rubles.
• Salary + insurance contributions - 175,000 rubles.
• Taxes (UTII) - 9,000 rubles.
• Utility bills - 15,000 rubles.
• Transportation costs - 20,000 rubles.
• Advertising - 15,000 rubles.
• Other expenses - 10,000 rubles.

Total - 283,000 rubles.

How much can you earn on selling butcher's products?

The break-even point of sales with a trade margin of 40% and fixed costs of 283 thousand rubles will be 990.5 thousand rubles. With a revenue of 1188.6 thousand rubles. the profit of the store will be 198, 1 thousand rubles.

According to calculations, the net profit in the first year of the store's operation will amount to 894,000 rubles. The payback of a butcher shop with such indicators comes after 19 months of work.

This is a complete, ready-made project that you will not find in the public domain.
Business plan content:
1. Confidentiality
2. Summary
3. Stages of project implementation
4. Characteristics of the object
5. Marketing plan
6. Technical and economic data of equipment
7. Financial plan
8. Risk assessment
9. Financial and economic justification of investments
10. Conclusions

The trend for farm products that has formed among Russians in recent years has spurred entrepreneurs to open a meat business from scratch. How and where to start work on opening a butcher's shop in 2019-2020, if you want to make a profit, but competitors are not asleep either? The entrepreneurial experiences and calculations published in this article will help you determine the course of action.

What you will learn about:

Is it a profitable business - butcher shop

In developed countries, a specialized butcher shop is considered a lucrative business, and butcher shop owners are prosperous entrepreneurs. In Russia, the meat business is just starting to develop from scratch, after the problems in the 90s.

However, recent crises have shown that the meat store is practically not affected by economic downturns. People do not stop buying meat during a crisis, they only change the category and volume.

In a butcher shop, as in any other retail business, an inventory accounting system is required. You should think about it even at the planning stage. With the help of the inventory system, you will be able to analyze revenue, maintain full-fledged warehouse accounting, set a ban on negative sales, calculate product profitability, forecast sales and remotely monitor the operation of a retail outlet.

In addition, a correctly selected inventory system in combination with an online cash register allows you to connect the scales and automatically display the cost in the cash register program interface, while writing off the balances.

Is the meat business right for you?

If you are thinking about how to open a meat business from scratch, where to start, then you are not a vegetarian, and working with meat, its smell does not repel you from the business.

There are other features that distinguish the butcher shop from others:

usually meat is brought in half carcasses, and it is necessary to have a small room - a workshop - for cutting them (in a retail network, the workshop is usually separate from the stores, and in a separate butcher's shop the utility room borders on the trading floor, but is closed from prying eyes);

it is necessary to work closely with veterinary services, follow their recommendations, as well as understand the system of electronic veterinary certificates "Mercury", since it is in it that the supply and sale of meat products is reflected;

at the first stage of business development, a lot of funds must be invested in equipment, since not only refrigerators and an online cash register are needed, but also cutters, electric meat grinders, and sometimes a vacuum unit.

The experience of entrepreneurs

Journalists from Biznes.Ru interviewed business representatives and analyzed forums related to the meat business in order to highlight the unique features of the business:

It is better not to start a meat business from scratch in the summer. Meat, as strange as it may sound, is a seasonal commodity. In summer, demand is the lowest, in autumn it starts to grow gradually. There are many buyers before the New Year holidays, as well as before February 23 and March 8.

Beef is the worst selling beef (this can be seen from the statistics presented in the next paragraph), but you cannot live without it. Therefore, usually this meat is processed into semi-finished products, then to be sold in minced meat (minced pork is the most popular);

It is difficult to choose a room to suit the requirements of the sanitary examination. Therefore, based on the experience of entrepreneurs, it is advisable to start a meat business not only with finding suppliers, but also with premises for a store;

There are certain tricks and tricks in cutting meat. For example, if you choose the wrong cut angle, there will be more fat in the piece. And you will have to sell the piece for much less. In general, it is imperative to find a butcher with experience in similar stores, and not in cooking.

Market situation and popular types of meat

Buyers will: the growth in demand for meat has been recorded all over the world. Over the past 50 years, the amount of meat eaten per year has increased by 21 kilograms per person. Today the average consumption of meat worldwide is 43 kg per person.

Consumption depends on the level of income of the population, as it is an expensive product, as well as national habits.

For Russia, there is data for 2018 (since 2019 has not ended yet) on the volume of meat consumption: this is 71 kilograms per person per year. It is noteworthy that over the year the figure grew by 200 grams. The number fits well with the recommendations of the Ministry of Health (about 70-75 kilograms).

According to the analytical company Nielsen, meat dishes make up the diet of almost all Russian families. Only 3% of consumers admitted to being vegan or vegetarian.

Let's present the statistics of popular types of meat, including:

chicken (an increase of 13% per year!), its sales account for about half of all meat sales, in rubles;

pork (approximately 18% of all meat sales in rubles, and its consumption is also increasing);

beef (about 6%), meat consumption is decreasing due to the high price.

According to experts, Russians prefer chicken not only because of the low price. It is simpler and quicker to prepare meat. For example, it only takes a couple of minutes to fry a sliced \u200b\u200bchicken breast.

In addition, chicken is considered more juicy and is included in the diet of people who pay attention to proper nutrition. Considering all this, many entrepreneurs start with the sale of chicken meat.

This once again proves the potential for starting a meat business. Where to begin?

How to start a butcher shop from scratch?

Professionals advise starting a meat business by defining a format. Then:

look for a place to open a store, suitable for SES standards;

determine with suppliers;

purchase equipment;

draw up business documents;

hire staff;

prepare marketing campaigns.

Definition of format: shop or store

Butcher or shop? Entrepreneurs starting a meat business can determine the future format based on the desired investment and profit.

The shop implies a limited assortment, less money invested and the ability to work without hired personnel.

A butcher shop is an ideal way to get a feel for this particular business at first without significant costs, since starting a butcher shop from scratch is more difficult.

The store implies a larger space than a store, a wider assortment, including not only meat, but also sausages, semi-finished products, cookery, as well as related products: sauces, ketchups, spices, cheese, sour cream, eggs and broth noodles.

Having no experience in the meat business, open a shop or a small shop: the outlet will not bring a millionth profit per month, but you will see how the business works from the inside, protect yourself from big mistakes.

Search for a place

A good location will help reduce waste significantly. For example, in a large city it is important that it is a residential area or a part of the city with a large number of high-rise buildings.

However, the store should not be hidden in the courtyards: the sign should be clearly visible, and parking near the store is desirable. The latter provides a steady stream of visitors who shop after work for dinner.

Do not seek to find a place without similar outlets at all. It is important for your store to be able to differentiate at the initial stage by competitive positioning (come up with a set of measures to help differentiate itself from competitors).

It is important that the premises have:

shopping room;

a place for cutting meat, where you could connect a sink;

toilet and changing room for employees.

Suppliers and assortment

Purchasing directly from farmers is considered the best and often cost-effective option. However, there are downsides to working only with farmers. According to entrepreneurs, if you rely on the work of two or three farmers, in winter, due to weather conditions, you can lose supplies. Therefore, it is imperative to cooperate with wholesale meat suppliers, large meat processing plants or regional dealers of Moscow meat factories.

Working through an intermediary reduces your potential margins, but wholesalers are more likely to be more reliable partners than farmers.

The same rule applies to semi-finished products. Hand-sculpted dumplings and manti always attract a paying audience. However, distributors will help you diversify your assortment with those semi-finished products that farmers cannot offer.

In addition, the dumplings made at the factory are half the price of farmers' dumplings. Hence, you will be able to work for different audiences.

Equipment purchase

The meat trade as a business involves investments in equipment. These are both refrigerated display cases and industrial refrigerators. You should not save on the latter, since a good refrigerator can preserve the presentation of meat for up to four days.

For your own peace of mind, purchase a backup generator. Power outages can also affect the storage quality of meat.

Design the space so that the meat cutting areas are properly equipped.

You will need cutting machines, a storage area for professional knives, professional meat grinders (it is important that there are two: main and spare) and an online cash register with an inventory program.

Online checkout Business.Ru fully complies with 54-FZ and due to its functionality is well suited for a butcher shop. The smart cash register is compatible with more than 50 models of fiscal registrars, barcode scanners and scales, easily scales to fit the size of the business and can work without the Internet for an unlimited time.

In addition, you need a personal computer on which you will work with electronic veterinary certificates in the "Mercury" system.

Everything, except the online checkout, can be purchased second-hand, since opening a butcher shop from scratch requires savings. Over time, the equipment can be upgraded.

Butcher shop staff

If you open a butcher's shop, you can do without hired personnel. If there is no experience in carcass cutting, contact an experienced butcher and ask for extra. board to give a few lessons.

If you want to start a butcher shop from scratch, ideally, you need two experienced salesmen, an accountant and a veterinarian.

Registration of a butcher shop

To register a store, the following documents will be required:

after registration of an individual entrepreneur or LLC (a meat business provides for codes according to OKVED 22, 22.1 and 22.2 - they all imply trade in different types of meat);

if the premises are not owned, a lease agreement is required;

an extract from ERGUL or ERGIP for opening a current account;

a conclusion from Rospotrebnadzor that the room meets the standards, has a sewerage system (if carcass cutting is meant, then there is a place for a workshop);

garbage collection agreement.

According to the experience of entrepreneurs, it is not so easy to get a conclusion that the premises meet all the standards. However, if the violations are minor, it is important to show that the entrepreneur is working to eliminate them (write down all the problems and show at a subsequent visit that they are being corrected gradually).

"Mercury" for a butcher shop

Since meat products require a veterinarian check, each such shop must install the Mercury system before opening to work with electronic veterinary certificates.

The most difficult thing to work with "Mercury" will be a store that receives meat not in packaged packages, but in half carcasses.

Expert of the Kontur.Mercury service of SKB Kontur - Pavel Bolshakov

The first thing that the store will do is to extinguish the IRR from its supplier. When canceling a commodity expert [this can also be done by another employee of the store, the main thing is to give him the administrator function in "Mercury" - approx. author] must make sure that the product data in the VVD exactly matches what the supplier brought.

If three carcasses are indicated in the VSD, then three carcasses must also be supplied. If one is indicated in the VSD, but another was brought, the merchant has several acceptance options, depending on the situation.

For example, two mascaras may come to a store instead of three. In this case, it is possible to pay off the VSD only partially - with an act of discrepancy, indicating the amount of goods that actually arrived, and the reason for partial acceptance - for example, underweight.

In addition, one of the three carcasses can be deformed on the way, then the merchant can accept two carcasses and issue a partial return for the deformed carcass, or return all three carcasses to the supplier at once - issue a full refund.

The term “extinguish” means that the one who has accepted the goods defines it as his own. That is, at the moment of extinguishing the VSD, the store becomes the owner of the received carcasses. After extinguishing, the resulting three carcasses appear on the remains in the store's product magazine and in "Mercury".

In the store, these three carcasses are cut into pieces and receive shoulder blades, brisket, legs, etc. In this case, the merchant draws up a production transaction, where he indicates the raw materials and finished products that he received from these raw materials.

After that, the carcasses are written off from the product magazine, instead of them new products appear there, which the store will sell by weight - shoulder blades, brisket, legs, etc.

We consider the case when a butcher's shop produces and sells goods on the same site, but it happens that the production workshop is not in the store, but in a separate room. If the sites of the enterprise are located in different places, in addition to the production transaction, it is necessary to execute the "Move without change of ownership" transaction.

During the sale to the end consumer, the store does not need to issue an IRR according to the Order of the Ministry of Agriculture of the Russian Federation dated December 27, 2016 No. 589. At the same time, parts of carcasses will accumulate on the leftovers, which in fact are no longer in the store - they are sold at retail. By law, the store does not need to write off parts of carcasses from leftovers. But to keep records easier, the merchant can use the inventory and thus bring the balances in "Mercury" in order.

Butcher shop marketing promotions

Marketing promotions are an important element of trading, especially when starting a meat business. Reduced prices are encouraged when opening a store to attract shoppers and differentiate from the competition. In the future, price tags can be set like everyone else's.

Butcher shop marketing positioning options:

unique assortment (due to culinary or unique products, for example, a separate display case for halal products or fresh lamb);

discounts on goods whose shelf life is coming to an end;

high-quality assortment (you work with farmers supplying the best chickens).

When planning marketing campaigns, it is advisable to analyze the pricing policy of your competitors (all outlets related to the sale of meat within a radius of 500 meters).

If you are going to implement the action “delivery of meat by pre-order”, work only on a prepaid basis, since every fifth consumer does not come for his order, saying that he has changed his mind.

How to name a butcher shop

Opening a butcher shop is impossible without a memorable sign. There are several options for forming a name for a meat outlet.

Playing on the word "meat". In this case, meat is used at the beginning of the word: "Meat!", "Meat-edoff", "Meat edge" and so on.

The use of "near-meat" words: "My chicken", "Meatball", "Cutlets for everyone!" etc.

Positioning the store as a place where farm products are sold: “Good Farmer”, “Naturprodukt” and so on. In this case, it is necessary to emphasize with the help of a logo or a picture that the basis of the assortment of the store is meat products.

Meat trade as a business: what investments

As you can see from the text above, investments will be required for renting premises, purchasing equipment, hiring personnel and marketing. Let's consider what investments are required by the meat trade as a business.

Table - Minimum and average costs to open a butcher shop

Experienced entrepreneurs advise starting with the lowest possible cost, if until now you have not had to work in the meat business.

Butcher shop franchise

If there is no experience in the selection of assortment, there is no premises before the opening of a butcher shop, a franchise will help the development. Let's consider two franchise offers: "Chebarkul bird" and "Meat here".

Franchise "Chebarkul bird"

"Chebarkul Bird" is considered one of the fastest growing franchises according to Forbes.

The agricultural holding began franchise development in 2015 and has already opened in many regions of Russia. The geography of the shops is wide: Tyumen region, Bashkortostan, Chelyabinsk region.

The requirements for stores are shown in the figure:

According to the calculations of the company, the franchisee with costs of 400 thousand rubles (excluding rent) can reach full payback in three months.

The entrance fee is 150 thousand rubles, the monthly royalty is 10 thousand.

It is assumed that the store owner will spend 200 thousand on refrigeration equipment, 30 thousand on the production of a sign and only 20 thousand on the renovation of the rented premises.

Franchise "Meat here"

The company has already opened 48 stores throughout Russia. We offer comprehensive support for franchisees at all stages of business development. Starting with the selection of a profitable place that will allow you to open a successful meat business. And ending with marketing support.

It is assumed that the investment will pay off in 10-12 months, the first profit - in three months.

Franchise "Butcher"

The Myasnichy franchise offers one of three formats. They differ in the area of \u200b\u200bthe trading floor:

butcher shop;

medium-sized butcher shop;

supermarket.

The lump-sum contribution does not differ from the format and amounts to 1 million rubles. Differences in investment. The Butcher Shop "Myasnichy" suggests investments of 1.6 million or more. Investments in a medium-sized store - 3.7 million, and in a supermarket - 7.4 million rubles

The development of the store also implies opening its own production of semi-finished products in the future, which will increase profits.

The Myasnichy franchise assumes:

store design development;

managerial assistance at various stages of the store's work, starting from the opening;

selection of a range of products depending on the specifics of consumers in the region and district;

training personnel to work according to company standards;

installation of a special program on a computer for working with goods and sales analytics.

The project payback depends on the format and ranges from 20 months to two years.

These are not the only franchises, but the ones that are growing rapidly. Previously, among them was the franchise of the Nizhny Novgorod retail chain "Myasnov", then the company stopped developing in this way.

Approximate data:

• The monthly income is 1,500,000 rubles.
• Net profit - 85 850 rubles.
• Initial costs - 869 800 rubles.
• Payback - from 11 months.

This business plan, like all others in this section, contains calculations of average prices, which may differ in your case. Therefore, we recommend that you make calculations for your business individually.

In this article, we will draw up a detailed business plan for a meat store with cost and income calculations.

Service description

This business plan considers the concept of a small butcher shop, which will sell fresh and chilled meat, semi-finished products, packaged portions, various sets of offal. The possibility of working with orders of goods with subsequent home delivery will also be highlighted. We will start with an analysis of the meat market and potential competitors.

Market analysis

The butcher shop is perfect for aspiring businessmen. There are several reasons for this:

1. easy and smooth entry into and out of business in case of failure;
2. you can get by with a small investment;
3. meat is a commodity of everyday demand, therefore it will be somewhat easier to regulate your sales and sell products;
4. lack of strict requirements (no need to obtain a license, certificates are issued by product suppliers);
5. the ability to change the assortment depending on consumer demand.

Of course, before talking about the benefits, you need to understand whether such an enterprise is profitable, will it bring income? Everything will depend, first of all, on the entrepreneur himself. Almost any business can be effective if it is properly managed.

Meat is an everyday commodity. People constantly consume this product, and, therefore, need it. Even in a difficult crisis situation, few give up meat.

As a result of recent events, the crisis is not affecting butcher shops as sharply as it is on stores in other segments. Another plus is the imposition of sanctions on certain types of products, including meat. This prompted domestic producers to scale up production. And the buyers themselves today prefer to buy meat and semi-finished products of Russian production.

Looking at the graph below, you can replace several very important trends:

If we consider the most popular types of meat separately, then we can also talk about positive dynamics. Here are the results to date from 2013 to 2015:

If you look at the diagram below, you can see that these 3 types of meat today account for more than 95% of meat consumption in Russia. The first place is occupied by poultry (40.1%), the second - pork (32%), and the third - beef (25.7%). Much of the lower demand for beef is due to the higher cost.

It should be noted that in a segment of this market, the price should be set based on consumer demand. People are willing to pay well for quality products, but they are not willing to pay dearly. A high mark-up cannot be set. Its average level in the meat business is 30%. Anything above can scare the client away and make him look for another place of sale.

Before opening your own store, it is also very important to study the market structure of a particular city. The situation is different in different federal districts. For example, with regard to the production of sausages, more than 50% falls on the Central and North-Western districts. The lowest indicator is in the North Caucasian Federal District, it accounts for less than 1%. This may indicate the following facts:

• Demand is higher in regions with high production levels.
• The cost is higher where there is practically no own production, because the products have to be brought from other regions.

It's no secret that in the Caucasus they prefer kebabs and lamb. Of course, the consumption of sausage there is small, so selling it in large quantities will not bring success to the entrepreneur.

So you need to consider each type of product in order to decide what to sell in your store especially actively, and what to move to the background.

Here you can make adjustments in the course of your own store development. Often, consumers themselves suggest to the entrepreneur what to add and what is better to remove from the counter.

We will sell the following types of products in our store:

• chilled poultry, pork, beef (you can add something else depending on the region, maybe it will be lamb, horse meat, rabbit or something else, no less exotic);
• various sets of offal;
• packaged portions;
• various semi-finished products (it can be cutlets, dumplings, shashlik, minced meat and much more).

Having dealt with the assortment, you can think about competitors. This can be done in parallel with the definition of the products sold in the store. You can work with competitors based on the following strategies:

• perceiving them as competitors;
• perceiving them as their partners.

The latter option allows you to strengthen the positions of both sellers. Firstly, the volume of consumer demand is very large; it will still not be possible to cover it alone. Second, each of the salespeople may have their own strengths and weaknesses. So, one can willingly buy meat, and from another, minced meat. It was according to this strategy that Alexander Kerimov (owner of a chain of butcher shops who has been working on the Russian market for over 5 years), opening your own butcher shop.

If we talk about the preferences of buyers, then most often they visit super- and hypermarkets to buy meat. They account for 40 and 26%, respectively. Food markets are preferred by 1/5 of the country's population. Manufacturing stores account for about 13%. To many, this may seem like a small value. But a small shop cannot provide even a tenth of a percent of the demand for meat in the city. Therefore, they have plenty of opportunities.

When choosing a room, you need to take into account the location of other outlets specializing in meat. You don't need to locate your store near super and hypermarkets. It is better if it will be a district outlet that local residents can later trust. Thus, additional loyalty to the products of a particular store will be developed, which will have a positive effect on the organization's profits.

Make up portrait of a potential buyer in this case it is not necessary, because all segments of the population (including the class with incomes above the average), people of different ages and genders will become consumers.

SWOT analysis

Of particular importance are external and internal factors that influence or can affect the performance of the business.

External factors are factors that cannot be influenced. For a butcher shop, they are as follows:

1. Capabilities

• Revision of the pricing policy during the operation of the store.
• Fast customer service, especially in the evening, will ensure an excellent flow of customers to the store.
• A high assortment will be a competitive advantage. This is due to the lack of competitors in this market segment.
• The ability to switch to the format of work 24-hours a day, in the absence of convenience stores nearby.

1. Threats

• Dumping center from the side of large shops. Federal level discounters like Pyaterochka, Magnit, and Disks are especially dangerous.
• Poor assortment in contrast to large stores.

Internal factors are those that can be influenced by the entrepreneur, if necessary. If we talk about a butcher shop, then the internal factors include:

1. Strengths

• Average level of competition between stores of the same format.
• High car and pedestrian traffic.
• Excellent visibility of the store.
• Finding close to shops and establishments with related offers (grocery store, for example).
• High population density in a particular area.
• A high level of well-being of the population in a particular part of the city.

1. Weak sides

• High competition from urban supermarkets and hypermarkets.
• Lack of parking, convenient access roads.
• Low traffic in the daytime, lack of significant buildings nearby, which could provide an additional flow of customers.
• Unknown store.
• Lack of work experience.

Opportunity assessment

When evaluating the store's capabilities, you need to understand that this is a seasonal product. The lowest level of demand is observed during the hot season. Can we fight this? Yes, you can. This should be done in two ways:

• Look for wholesalers who would buy products in the store. These can be restaurants, small summer cafes and verandas.
• Change the assortment. In the hot season, people prefer to relax in nature, barbecue. Consequently, the main level of demand should be shifted to the preparation of preparations for barbecue, its pickling. At the same time, sales in other categories of goods will be significantly lower, and the overall level of revenue will be practically at the same level.

As for suppliers, it is better to work either with large factories or with those farmers who can provide a veterinary certificate for the products sold. At the same time, in our case, the butcher working in the store will be engaged in cutting, he will chop the meat, sort it into portions. It is very important to find an experienced worker who knows how to cut the carcass so as to sell the resulting pieces as expensive as possible. Much will depend on the work of this employee.

The seller will sell the products. There will be two of them in total. They will work in shifts - 2 in two. The store will be open seven days a week according to the following schedule:

Total: 84 hours per week, 360 hours per month.

The butcher will work according to his schedule. He will come to the store by 8:00 and leave at 14:00. Total: 42 hours a week.

You will also need a loader driver to bring products from suppliers and unload them. He will do this in the morning, and leave work as it is done. Another option can be considered, when the supplier himself will be engaged in the delivery of the goods, and the butcher will unload it.

Bookkeeping will be carried out by a third-party organization (outsourcing), cleaning in the store - a cleaning lady working part-time. Sunday will be her day off, when the rest of the staff will do the cleaning (the butcher in his room, the sellers in his territory).

If the store subsequently sells meat in bulk, then the driver will also be engaged in its delivery.

Organizational and legal aspects

1. Organizational and legal form or. When registering, it will be necessary to indicate the codes of activity according to OKVED. For this store, these will be:

• 52.22 - Retail trade of meat, poultry meat, products and canned meat and poultry meat;
• 52.22.1 - Retail trade of meat and poultry meat, including offal;
• 52.22.2 - Retail sale of meat and poultry products.

If in the future it is planned to expand the assortment, then it is better to think in advance about including the sale of these products in the list of activity codes.

2. Retail trade in accordance with the Tax Code of the Russian Federation makes it possible to use preferential taxation systems. In this case, the entrepreneur can choose:

• "Income" 6%;
• "Income minus expenses" 6-15% (the rate is determined depending on the region);
• UTII;
• shape.

1. To work, you will need a certificate from veterinary services, which is issued by Rospotrebnadzor. For its compilation, an act of inspection of the veterinary shop will be preliminary made.
2. All employees, including the driver, must have a health book. Employees must pass the necessary examinations on time.
3. Permit for retail sale, which is issued by the veterinary service (doctor) after inspection of carcasses. To avoid such a need, it is better to look for suppliers with a ready-made veterinary certificate and certificate.
4. There must be a book of complaints and suggestions in the store. It is necessary to arrange the consumer's corner, placing in it the texts of various documents that must be in the store by law.
5. Permission from the fire department.
6. Permits for the store itself from the veterinary service.
7. It is worth reading the document "Requirements for Meat Industry Enterprises".
8. If you accept payment from buyers by bank cards, then you need to.
9. You can keep accounting records at.

Marketing plan

It is very important to properly promote your own store. For this, it makes sense to use the following types of advertising:

• Local advertising in the form of posting leaflets at entrances, in elevators.
• Placement in local newspapers.
• The store must have a sign. Nearby you need to place appropriate signs, pillars, stretch marks over the road.
• You can use advertising on the Internet, but spending a lot of money on this is impractical.
• Communication with clients on thematic forums. This advertising method is especially relevant when looking for wholesale buyers.

And yet, word of mouth will be the main tool. This requires the customer to like the product, atmosphere and service in the store. Getting recommendations from your customers isn't easy. But to do this is real, you just need to treat your own business with awe.

Calculation of projected income

Every day, a small store is able to sell about 250 kilograms of various meat, bones, lard. The approximate revenue is 50,000 rubles. At the same time, the production cost is about 38,500 rubles (the margin, as mentioned above, is about 30%).

The monthly revenue will amount to 1,500,000 rubles, and the cost of production - 1,154,000 rubles.

Production plan

To organize your own store, you will need a room. Many people believe that for the "face" of a retail outlet, it must necessarily be large. In fact, this is not at all the case. It is important that the store is neat and tidy, and the size does not really matter. Inside you will have to place:

• shopping area;
• zone for preparing semi-finished products and cutting products;
• area for cutting carcasses and their boning.

For the first time, the last two rooms can be combined, especially since the butcher will be engaged in both.

It is very important that the place has high traffic. The presence of serious competitors nearby is undesirable.

It is better to look for premises where renovations have already been made in order to minimize the cost of finishing the store.

One of the major cost items will be the purchase of equipment. It is not necessary to buy everything at once, you can rent something or buy a used one. As you make a profit, you can buy the necessary equipment. So, for work you will need:

• cooling chamber;
• refrigerated showcase;
• freezer;
• trays;
• scales (conventional and industrial);
• block;
• ax (1-2);
• a set of knives;
• packaging equipment;
• thermometers;
• meat grinder.

For the first time, you need to purchase consumables (price tags, bowls for finished products, packaging).

The stock will be small, as the products spoil rather quickly.

With regard to salaries (including tax and insurance premiums):

• seller - 29,000 rubles;
• butcher - 32,000 rubles;
• loader driver - 31,000 rubles;
• cleaning lady - 15,000 rubles.

Organizational plan

You can do without a car and order delivery, but it is better to have your own car, as practice shows.

Financial plan

• Profit before tax: 1,500,000 - 1,399,000 \u003d 101,000 rubles.
• Tax (we will calculate the STS for the difference between income and expenses): 101,000 * 0.15 \u003d 15,150 rubles.
• Net profit: 101,000 - 15,150 \u003d 85,850 rubles.
• Profitability: 85 850/1 500 000 * 100% \u003d 5.72%.
• Payback: 869 800/85 850 \u003d 10.13. Consequently, the business will pay off in at least 11 months.

Risks

Seasonality is one of the most significant risks. How to deal with it was mentioned above.

Another serious risk is excessive savings. In no case should you save on products or equipment. Let it be already used, but high quality equipment than cheap and bad. The success of the store and the duration of storage of goods depend on the storage conditions.

We must not forget that products can deteriorate. Therefore, it is very important to calculate the approximate daily revenue and compare the demand for the product for each item in order to adjust your purchases and not accumulate surplus products.

It is imperative to establish and work with suppliers. Interruptions can result in serious downtime and cost to the store.

Important: Remember that you can draw up a business plan yourself just for your business. To do this, read the articles:

Last request: We are all human and we can make mistakes, overlook something, etc. Do not judge strictly if this business plan or others in the section seemed incomplete to you. If you have experience in this or that activity or you have seen a defect and can add to the article, please let us know in the comments! This is the only way we can together make business plans more complete, detailed and relevant. Thank you for attention!

The business related to the sale of meat products has always been quite an attractive event. If the marketing process is well organized, then the retail trade in meat can bring substantial income.

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Regardless of the pace of life and changing trends, food still remains in demand. And it is meat that occupies a leading position in the human diet, being a product that provides us with energy and health. Based on this, we can confidently talk about the stability of the business based on the sale of meat. In this case, the opening of a butcher's shop is one of the most successful decisions.

Business butcher in theory

The question of opening a butcher shop comes to mind for many entrepreneurs.

In this regard, experts advise to start the process with the sale of secondary meat raw materials.

The sale of sausages, dumplings or sausage products will require significantly less permits than for the sale of meat.

The next step is to choose a showcase. The buyer must see the entire range of products. For full-fledged work, you also need a refrigerator, a cash register.

It should be noted that the successful operation of the butcher's shop, first of all, will depend on consumer demand.Therefore, it is very important that the assortment of goods meets the needs of the buyers. A standard product list usually includes 30 positions.

Also, do not forget about the quality and appearance of meat products. Since it is these factors that will provide worthy competition for the products of other companies.

The last stage is the selection of personnel who will deal with meat cutting and selling. You may need another loader who will be engaged in the delivery of goods to points of sale. The entrepreneur himself is most often involved in accounting.

Possible format

The most common type of container is the butcher's shop - these are installed in markets, near residential buildings. This is an undemanding and relatively inexpensive way of trading, but also one of the most inconvenient to use - the lack of basic hygienic units, poor ventilation and lack of space for storing products.

One of the formats of a butcher's shop can be the purchase of an operating outlet (20 m²). A more serious approach would require opening a stationary store (50 m²).

Such a room can be divided into three sectors:

1. trade area;
2. workshop for the preparation of semi-finished products;
3. cutting area.

The third sector can be placed together with the trading area, but in such a way that there is a dividing screen with a height of two meters.

Location

When choosing a room, first of all, you need to take into account the permeability of the place. The flow of potential buyers is the main criterion in this matter.

It is optimal to open the meat department in a large shopping mall or pavilion near a grocery supermarket.

Since the company's income will depend on store traffic, you need to take care of a location with high traffic. It can also be the sleeping areas of the city.

How to open a butcher shop from scratch?

Selling meat involves preparing:

• veterinary certificates issued by Rospotrebnadzor and veterinary documentation for the store;
• permits for retail trade, which is issued based on the results of the inspection of carcasses by a veterinarian;
• documentation issued by the fire safety service;
• sanitary books for all employees;
• books of complaints and suggestions.

Activity registration

Registration of commercial activities begins with the Federal Tax Service. The whole procedure will take no more than 5 days.

It is also worth noting that a license is not required to trade in meat products.

However, it can take about two months to obtain all other permits. The optimal form would be individual entrepreneurship or registration of a limited liability company. The main advantage of the retail trade in meat is preferential taxation.

Room upgrade

One of the key factors in popularization is the design of the butcher's shop. Experts recommend applying thematic drawings to shop windows, making a beautiful sign above the entrance and naming the store with a hint of the specifics of meat products.

In addition, if further expansion of points of sale of meat products is planned, it is advisable to make the store design memorable.

Expensive repairs are not necessary, but an acceptable environment must be created. The room should be clean, bright and well lit. The purchaser must ensure that the meat is stored in proper sanitary conditions.

In order to ensure satisfaction with product quality, the following measures can be taken:

• ensure the availability of our own minilab for quality control;
• organize work with consumer complaints;
• create a book of reviews regarding meat products;
• encourage staff to adhere to occupational hygiene practices;
• subject suppliers to checks;
• inform buyers about the work done.

Workers

In the presence of one meat pavilion, two sellers working in shifts are enough. The shopkeeper can handle the bookkeeping, while the supplier or loader can be responsible for unloading the goods.

To open a butcher shop from scratch, you need to replenish the staff with a butcher and a chef who will be engaged in the preparation of beautiful semi-finished products.

The volume of products sold will depend on the work of the butcher. Cuts of meat, first of all, should be appetizing in appearance. As for the salesperson, it is their responsibility to have a good knowledge of the product. All personnel are required to have medical records with them.

Search for suppliers and purchase

On the eve of the opening of the meat department, you need to find reliable suppliers of fresh meat. An excellent option would be to conclude agreements with farms that are not very far from the outlet.

The mandatory terms of the agreement include:

• fixed purchase cost of goods;
• weight and age categories of products;
• documents confirming the health of the animal;
• number of carcasses.

When purchasing several carcasses, it is necessary to take into account the drying out of the goods, which leads to a loss of 2% of the weight of the total volume.

Therefore, you should not buy in tons at once, losses can be significant. Better more often, but always fresher.

Watch a video about opening a butcher shop: a professional to share experience

Range

As previously mentioned, the standard product listing usually includes 30 headings. Increasing the assortment of the meat pavilion is unprofitable, especially when the store is just developing. It is more important for customers that the products are fresh, and the “zest” of the products will make the meat department more popular.

For example, you can supplement the assortment of products with the presence of turkey meat or rabbit meat - they will be gladly disassembled by those who are keen on the idea of \u200b\u200brational nutrition.

For an average purchase of meat, you need from 30 to 75 thousand rubles.

The assortment of the meat department may include:

• pork, beef, lamb;
• semi-finished products;
• sets of offal;
• packaged meat;
• animal fats.

Sample business plan

Your own business starts with choosing good equipment. Then you need to decide on meat products. In the process of developing the shop, it is possible to resolve issues related to the cost of cutting carcasses and finding experienced sellers.

Stationary store equipment includes:

• weighing equipment;
• electric meat grinder;
• refrigerating chamber with an area of \u200b\u200babout 4 m²;
• refrigerated display case for portioned meat;
• freezer for semi-finished products;
• packing material for meat products;
• utensils for storing semi-finished products;
• equipment for packaging products;
• overalls for staff;
• thermometers for cold rooms;
• chopping block and axes;
• a set of knives;
• minced meat shovels;
• cutting boards;
• baking trays, trays for products;
• steel hooks for hanging whole carcasses;
• calculator;
• hot water supply or a boiler for heating water;
• sanitary equipment.

Initial costs

In the case of purchasing equipment for a stationary store, its cost will be about 300 thousand rubles... excluding the cost or rent of premises. In addition, depending on the area of \u200b\u200bthe room, about 200 thousand rubles may be needed for the primary purchase of meat. The registration of permits will additionally take another 5 thousand rubles. Whereas buying a separate outlet can cost an entrepreneur from 60 to 80 thousand rubles

On average, the opening of a butcher shop should be set aside from 500 thousand to 800 thousand rubles.

Fixed costs

Expenses for monthly maintenance of a butcher shop (50 m²):

• Rent - 20 thousand rubles;
• Security - 8 thousand rubles;
• Staff salary - 60 thousand rubles;
• Electricity - 5 thousand rubles;
• Purchase of products - 75 thousand rubles;
• Taxation.

Monthly expenses will amount to about 168 thousand rubles.

Expenses for the monthly maintenance of a meat outlet (20 m²):

• Rent - 8 thousand rubles;
• Security - 3 thousand rubles;
• Staff salary - 24 thousand rubles;
• Electricity - 2 thousand rubles;
• Purchase of products - 30 thousand rubles;
• Taxation.

Monthly expenses will be about 67 thousand rubles. Taxation is calculated separately.

Profitability

The daily profit from the sale of meat products will be from 6,000 to 15,000 rubles... The amount of profit will be proportional to the number of outlets or the area of \u200b\u200bthe store.

The payback of the outlet is usually within a year. But large butcher shops with high opening costs and a large staff of workers can increase this period.

Important nuances of the case

Successful trading tips:

• The meat sold must be fresh.
• Semi-finished products are made exclusively in front of customers.
• A wide range of meat products.
• Correct lighting.

An important point: the main thing is to adhere to sanitary and fire regulations, as well as require veterinary certificates from suppliers in order to avoid serious fines.

Your butcher's customers will be grateful and will probably come back to shop more than once if you offer them something interesting. For example, post periodic, simple meat recipes. You can place in a conspicuous place the "planogram" of the animal carcass.

Underwater rocks

The meat market is subject to seasonal fluctuations, which is why there is a drop in sales in summer. But, since this is the period of picnics, more semi-finished products can be added to the product range, which are good for grilling.

Butcher shop customers are people of all ages, social strata and wealth.

Both an expensive product and a cheap one have their own customers. Therefore, it is better that the store has a wide range of prices, then customers will reach out.

Layout

Layout is of particular importance in commerce, especially when it comes to self-service.

As a rule, trade uses three main options for stacking goods:

• in bulk;
• stack;
• stacks.

However, a combined method is most often used, which combines horizontal and vertical methods of stacking products. This combination allows for more efficient use of the equipment area.

See the most optimal and successful options for displaying meat products:

Marketing

To have stable sales, the butcher needs to be advertised. It is more practical to do it directly at the point of sale. The exterior of the butcher's shop includes a good sign. You can set up a tripod and hang a sign near the store, and post flyers on neighboring houses. A local newspaper is suitable for posting ads.

Small-scale wholesale sales can be established with restaurants and cafes that practice the preparation of business lunches. Internet advertising can come to the rescue in this direction.

Actual ways of informing about product quality:

• Distribution of advertising tracts near the entrance to the butcher's shop.
• Issue of a newspaper that includes a description of the product line, other useful information about the store.
• Training of employees of the department in the skills to conduct polite advice to buyers on issues related to product quality.
• Creation of information stands at the point of sale.
• Placement in the meat department of information on the availability of a laboratory.
• Providing customers with access to information about the quality control system.

* Calculations use average data for Russia

600 000 ₽

Minimum start-up capital

8 %

Profitability

22 months

Payback period

74 500 ₽

Profit per month

Your own meat shop is an attractive, exciting, but very complex business that requires the constant participation of an entrepreneur in all processes. How to start opening a butcher shop and what are the most basic steps to take?

Many aspiring entrepreneurs are thinking about opening a butcher shop. There are several reasons for the visual appeal of this business. The first is in the product itself. Meat is an everyday commodity. Meat is always in demand by buyers, it was bought and will be bought even during a crisis. The meat trade is, as a rule, a very lively and lively business, a large flow of buyers, this is a kind of drive. Moreover, the seller has the opportunity to increase his profit by producing and selling semi-finished products, sausages, dumplings, etc. Even if a large retail chain appears in the neighborhood - “death with a scythe” for any grocery store, a butcher shop can not only stay afloat, but also thrive due to the ability to vary the assortment and offer customers fresh and unique products that cannot be found in a supermarket.

Secondly, you can enter the meat trade with small investments (from 600 thousand rubles for a small outlet). It does not require large areas and expensive equipment, such as in a restaurant or canteen. Even in case of failure, the finished business and its products are easy to sell, avoiding serious financial losses. No strict formalities are required from an entrepreneur - you can trade in meat without a license and the need to obtain product certificates.

How to start opening a meat business? After analyzing the advice of practicing entrepreneurs, you can deduce a whole chain of actions that should lead to success in this type of business. Please note that the division into steps should not be taken as a strictly regulated guide to action, since many stages must be carried out in parallel.

Step 1. Do I want to open a butcher shop

Before you start opening a meat selling business, firstly, you need to think about whether you really need it. Experienced entrepreneurs who have made a name for themselves in this industry emphasize that people who come to the meat business are divided into random ones, that is, those who, looking through all possible ways of earning, by chance decided to sell meat, and those who for some reason reason, he felt this occupation as his own, had a certain personal incentive to do it. For example, a person was dissatisfied with the quality of meat sold in city markets, or he felt a desire to develop in an industry familiar to him (for example, raising pigs or calves and then selling them profitably). Well, or was he looking for a new way out for his talent as a butcher-cook or a kebab man, when his heart is drawn to everything meat ...

The point is that if in the first case there is a high probability of being emotionally burned out from doing something other than your own business, then in the second case the chances of success are much higher, since a person is initially immune to failures, losses and other adversities. But the main difference between “non-random” and “random” people in the meat trade is not even that. The main thing is knowledge, or at least a clear understanding of the specifics of working with meat, on the one hand, and ignorance of these features in others. And the difference between the first and the second will begin to manifest itself from the very first minutes of work, as soon as the “random” person discovers that the pieces of beef, which he did not stack in a row, but on top of each other, for some reason turned green. Or when he suddenly realizes that he does not know at all what to do with meat that has not been sold for several days. And a hundred and one more nuance. Simply put, a successful business selling meat (like any other business in general) begins with a love of meat, a clearly understood and partly hard-won task, goal, mission. If in your case it all started with something else, then you should once again ask yourself this question directly: “Do I want to open a butcher shop?

Step 2. Analyze the local market

If the answer to this question is yes, then the first thing you should do is conduct a local market analysis. First, you need to find out what kind of meat people want to see and at what price, who sells this meat, who brings it in and who buys it. There is no need to regret the time spent on gathering information - in practice, it pays off many times over due to avoided errors. A holistic picture of existing competitors, prices, possible obstacles and ways of responding to certain events should form in my head. The key task at this stage is to mentally fit yourself and your future store into the current picture. Moreover, after analyzing the situation, sometimes it is necessary to abandon the original ideas that seemed brilliant. For example, when it suddenly turns out that rabbit meat, horse meat or lamb in a particular region is not needed by anyone for nothing - simply because it has historically developed that way and the tastes of the population are different.

Step 3. Define the assortment, calculate the margin and profit

After you analyze the market, you will have a more or less clear picture of what you want to trade and what turnovers are in question. The strategic issue is finding a supplier. You will need to find affordable meat with excellent quality. The catch is that no one will ever say that his meat is of poor quality - everyone always sells only “good” and “best”. Much at this stage will depend on how you analyzed the market. You need to get out of your comfort zone: communicate with buyers, sellers, suppliers, farmers and draw conclusions. At the same time, a wide range of prices within one city or region, as a rule, cannot be found. The difference will be no more than 10%. In a word, digging on the surface, the advantages and disadvantages of one or another proposal are almost impossible to see. In this matter, there is no universal remedy - you need to look for and negotiate yourself, drive, watch, call, and so on.

At this stage, you also need to draw up an approximate financial plan, which should be guided in the future. There is one difficulty here - compared to other types of business in the sale of meat, the pricing system is rather complicated. It depends not only on purchase prices, purchasing power of customers, fixed costs of the entrepreneur, prices of competitors and other traditional factors, but also on the characteristics of cutting and drying of the supplied products. Once in the store, one carcass can go into dozens of positions, and each one must be assigned its own adequate, but at the same time profitable price. The way of calculations here is complicated, scrupulous and lengthy, but they have to be done constantly, since you may need to change the cut, the supplier may suddenly raise prices, and the client may order a non-standard piece. At the same time, with a thoughtless approach, there is a real risk not only of losing some amount of profit, but of losing it altogether. Therefore, it is best to use automated electronic services for butcher shops for price selection, which allow quick calculations using ready-made algorithms. It would also be reasonable to make such calculations at the very beginning, choosing the most acceptable wholesale price, and only then look for a supplier using it.

The markup for meat in general in the market is quite low because buyers are very price sensitive. The reaction to any price increase is extremely painful - they simply stop taking meat and switch to cheaper products. Therefore, margins in butcher shops almost never exceed 20-30%, and an entrepreneur's profit is made up mainly of the number of sales. Of course, the mark-up varies depending on the type of meat. For example, on pork, it can be 40%, and on semi-finished products it can reach 60-100%, but on average the same 20-30% comes out. Much on the issue of pricing will depend on the region - in those regions of Russia that do not have large enterprises or farms nearby, meat prices are much higher. When calculating, do not forget to take into account the damage to products - at the very beginning, losses are unlikely to be avoided.

Step 4. Find a suitable room for the purpose

The step on which 90% of the success of a meat store depends is the right location and premises. It is imperative that the butcher shop is located in a walk-through area - profits in this type of business are mainly due to sales volumes, and not due to markups. When choosing a location, experienced entrepreneurs recommend spending a day or two and personally counting pedestrian traffic. The minimum traffic for a working day is about 2000 people. From the received number of buyers of the store can become about 2-3%. This data can be used in planning revenue and net income.

As a rule, a large area is not required for butcher shops: even 90 and 100 sq. meters - this is a lot, the rent will be too large and unaffordable. For a start, 10-25 sq. meters, the optimal area is about 30-40 squares. The cost of renting such a room can, depending on various factors, vary from 15 to 120 thousand rubles. In table 1, we presented the average rental cost according to the Avito website for cities in Russia with different numbers of residents. Data is current as of September 2017.

Table 1. Average rent for retail space 25-60 sq. M. meters in Russian cities *

Rent	25 sq. meters	40 sq. meters	60 sq. meters
Moscow (over 12 million people)
St. Petersburg (more than 5 million people)
Rostov-on-Don, Kazan (more than 1 million people)
Lipetsk, Khabarovsk (more than 500 thousand people)
Tambov, Petrozavodsk (more than 250 thousand people)
Essentuki, Novomoskovsk (more than 100 thousand people)

* according to Avito website as of September 2017

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Looking ahead, let's say that expensive repairs are not required for butcher shops: the specifics of the business are such that buyers, in principle, do not care about the design of the premises. There are no requirements for the interior as for kitchen salons or catering establishments. The main criteria are store visibility and traffic. Of course, you need a sewerage and toilet, water supply and a sink. There are some other points to consider. For example, wide doorways for unloading incoming products will not interfere with the room.

Step 5. Settle legal issues

Since the process of finding a suitable premises can take more than one month, from the point of view of economy, it will be more profitable to register a business after there is a preliminary agreement with the supplier and a place is selected. However, in order to conclude a lease agreement, it is already necessary to have at least an individual entrepreneur. For a small butcher shop, an individual entrepreneur is quite enough, and as a form of taxation, the so-called simplified taxation (6% of income), or UTII, the amount of tax in which is constant and tied to the area, is suitable. An individual entrepreneur is issued within three days, the size of the state duty is 800 rubles.

The premises for the sale of meat, like the meat itself, must comply with certain standards. An entrepreneur does not need to obtain any licenses, but some issues need to be resolved. Issues with fire safety and SES most often bypass tenants. The owners of the premises usually already have the appropriate permits. After opening the store, within a month, it is necessary to notify Rospotrebnadzor about the start of trading activities. But the main thing that you need is a certificate for meat and a veterinary form for meat No. 4. The supplier should provide them, so the problem is solved by selecting a good supplier. You should also not forget about the consumer's corner with a book of complaints and suggestions and that employees must have health books.

According to the experience of practitioners, many of the rules for butcher shops are not always feasible in reality. For example, it is not always possible to equip two entrances to the premises or regularly receive veterinary certificates for products from a supplier. Questions are usually resolved with a veterinary inspector who periodically drops into the store. In general, the room should be well ventilated, properly cleanable, properly positioned, and the cutting deck should be properly installed to keep the inspectors happy, and staff should have uniforms and gloves. Fanatical adherence to legal norms is usually not required in practice.

Step 6. Purchase equipment

As a minimum set, you will need equipment for cutting, storing and displaying. The first category will include a cutting table, a cutting block, knives, axes, hooks, etc., about 15-20 thousand rubles will be spent for these purposes. Also, for a butcher shop, you can't do without a band saw - it will increase productivity, work with frozen products and increase the quality of cutting. The saw is the most expensive of the minimum equipment. Prices for it can exceed 80-100 thousand rubles, which discourages many entrepreneurs from starting a business. Here you can consider a second-hand option or ordering equipment from China - costs can be reduced by 1.5-2 times. It is not recommended to completely abandon the band saw - otherwise there is a great connection to the butcher's skills, and many commodity items will simply need to be abandoned.

Ready ideas for your business

To store and display fresh meat, you will need a closed refrigerated display case. The cost of one such 1.5 meter showcase starts at 30 thousand rubles. You also need at least one chest freezer, prices for them start from 15 thousand rubles. For recycling, you must definitely purchase a meat grinder for preparing semi-finished products, for example, minced meat, all kinds of rolls, cutlets, dumplings and others. Usually, professional meat grinders costing from 20 thousand rubles are purchased for butcher shops, but if the funds do not allow, then for a small store, a couple of ordinary household ones may be enough to start. The costs of lamps should also be foreseen. It's no secret that the quality of lighting directly affects sales. The store will also need scales, trays, overalls for employees and other little things.

Thus, the required minimum of equipment for a butcher's shop will require 200-250 thousand rubles. Entrepreneurs with experience in the meat business advise that when choosing and buying equipment, it is necessary not to attach excessive importance to it - the assortment should be in the first place in terms of importance. So consider saving options. To begin with, it would be quite reasonable to take used equipment. If you're lucky, you can find good quality equipment with a good discount of up to 50-70%. Many shops, restaurants, cafes either close, or move, or replace equipment with a newer one, etc., so there will always be options to save money if you look carefully.

Step 7. Select staff

The key employee of the butcher shop is, of course, the butcher. Moreover, it should be not just a butcher-seller, but a butcher-cutter with knowledge of “shop” cutting. Without knowing the principles of such cutting, you can lose up to 25 kg of meat from each carcass. Even if the supplier is engaged in cutting the meat, this skill is necessary, since in a butcher's shop there is always something to cut, prepare, put it into minced meat, and so on. Here, entrepreneurs usually choose one of two strategies - someone spends time and money looking for the perfect specialist with experience, others teach young guys the necessary skills on their own. It is clear that not everyone can afford the first option, besides the dependence on the skills of the cutter creates some lack of freedom and shackles the hands of the entrepreneur. For the second option, and in general ideally, the entrepreneur himself knows the whole meat kitchen from the inside and has all the necessary skills.

If we talk about the role of the entrepreneur himself, then, of course, he can independently act as a cutter, a seller, or as their replacement, especially when it comes to a small point and the very start of a business. However, it shouldn't be irreplaceable in any case. In an optimal scenario, an entrepreneur plays the role of a manager, only occasionally monitors employees, is engaged in promotion and strategic planning. All other duties that are not directly related to making a profit - accounting, security, etc. - are transferred to freelance specialists.

How much to pay store employees? There is no clear answer here: there are too many variable factors that depend on the financial capabilities of the business, the experience and skills of the staff, the work schedule, etc. At the same time, there are some guidelines that can be taken as a basis when estimating future expense items. Table 2 shows the average butcher wages for September 2017, based on an analysis of the ads on the Avito website.

Table 2. Average salary by profession butcher in Russian cities *

* based on data from Avito website as of September 2017

An important point is the personality of the butcher shop seller. This person should not only be good at meat, he should be liked by people. The flow of buyers in this business is great, so you need to be as patient, polite as possible, be able to interest and talk about the meat.

Step 8. Take care of the promotion of the butcher shop

There are passive and active methods of customer promotion. Passive methods include mandatory things like store signs, pillars, and signage. To active - everything else. The meat trade is not a business that will tolerate an advertising campaign on a grand scale. It is more important here not to thunder in the whole country or city, but to be famous in your area. That is, the most effective are low-budget local advertising methods - posting ads, distributing leaflets and flyers, the least effective are expensive advertising on television. It is best to focus on the distance in the immediate vicinity of the store, namely within a radius of 800 meters. Advertisements are best posted at entrances and in elevators, where they can be read several times. In general, the meat market is a fairly traditional market, so it is not so difficult to stand out from competitors with the help of advertising in it as it might seem at first.

You can also use the Internet for selling meat, but it is better to focus on individual tasks of the store - for example, to find new customers and sales markets. It is most advisable to create your own website if the store already has some significant competitive advantage. For a small point, which practically does not stand out, the site can only do harm by deceiving the client's expectations and distracting the entrepreneur from more important tasks. At the same time, even a small retail outlet must be present in 2Gis, Yandex.Maps and Google Maps. Social networks in this type of business are almost irrelevant and require extra effort to keep them active. Of course, the biggest, underwater part of the iceberg is word of mouth. It is thanks to the recommendations of other people that the flow is ensured that no other type of advertising will give the store. And word of mouth, as you know, is mainly based on product quality. Also, do not forget to follow trends in the meat industry and business ideas of foreign butcher shops, sometimes something worthwhile appears among the sea of \u200b\u200bjunk.

Step 9. Become “yours” for the buyer

From the very first days, a meat store should strive to win its customer and gain profit in the first month. If the profit was not obtained even in the second month of work - this is a reason to sound the alarm. It means that one of the previous steps was passed with errors: the place was chosen incorrectly, the wrong seller, the wrong assortment, pricing policy, and so on. It is imperative that the customer sees as much fresh tasty meat as possible on the counter from the start and wants to return. Trying to trade with half-empty windows is a guarantee of imminent failure. Even with the most conservative estimates, almost 3.5 tons of meat with a 30% markup will have to be sold to cover the costs per month. Since meat is a perishable product and lives for 1-2 days, the purchase will have to be made constantly or every other day. And it is worth at least once to sell stale meat - the bad fame of a new store can spread instantly.

It should also be remembered that customers love consistency. Here it is important to know and master the principles of cutting meat from the very beginning. Experiments with cutting, when every day a new piece flaunts on the counter, is completely useless. It is necessary to try so that the buyer is sure that tomorrow and in a month he will be able to buy exactly the same meat and the same quality that he bought today. Of course, you can negotiate with the supplier to cut the meat in his workshop on his own, but practice shows that this option will not bring success.

We must not forget about the seasonality factor in the meat trade - you need to build a response strategy in advance. This factor is felt most tangibly in the summer, when there is a general drop in demand for meat products. During this period, store owners buy smaller volumes of meat, reduce cutting, redistribute their assortment. A profitable direction for this period is the sale of kebabs and barbecues, active cooperation with cafes and restaurants. Many butcher shop owners manage not only to smooth out the effects of the season, but also to earn more in the off-season than in the season. The main thing is to feel the needs of the buyer and promptly respond to them.

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