Jute Bag Business Plan Sample Template

Here is a jute bag business plan sample.

Are you skilled in jute bag making? If you do, you might want to consider starting a jute bag manufacturing business.

There are so many uses for jute bags. These range from using them as a primary bag for carrying folders, mails, lunch textbooks, and also as shopping bags.

In summary, jute bags have lots of uses and will always be in demand. Meeting such demand requires having the manufacturing skill and putting it into good use by organizing the process of manufacturing and distribution.

Jute Bag Business Plan PDF Sample

Planning for your jute bag manufacturing business is important if you must make any progress.

As you read on, you’ll find information or tips on how to set up your business in the best way possible. By implementing the tips provided here, you should be able to surmount challenges much easier to achieve your goal.

Start-Up Costs

One of the first things you’ll need to consider as an entrepreneur is the financing required to start your jute bag manufacturing business.

Luckily the startup cost requirements aren’t as high because the tools needed are quite affordable.

  • Equipment Needed

Your startup costs will be spent on the purchase of basic equipment for jute bag manufacturing. Apart from this, you’ll also need supplies. Supplies will need to be purchased on an ongoing basis.

Basic equipment and supplies you’ll need include jute cloth, sewing machine(s), scissors, measuring tape, and thread.

Others include marking chalk, zippers, thread, and fabric cutting machines.

Others are a wooden printing table, rubber wiper, dye plastic stirrer, water drum, and cottage steamer. Also get a lockstitch machine, electric fittings, and cutting table among others.

Your scale of operation will determine the type and volume of tools you’ll need. Jute bag manufacturing on an industrial scale is quite expensive and will need bigger machines and tools designed for industrial usage.

For entrepreneurs coming into the business newly, we recommend starting on a small scale and growing your operations as demand increases. The cost of every equipment and supply will need to be included in your startup costs. This helps you know how much is required.

Business Plan Outline

To easily coordinate your business operations, any manufacturing enterprise will require a plan.

The plan is also part of the requirement demanded by money lenders. It enables you to set realistic and measured goals and also directs you on how to achieve such.

When writing your jute bag business plan, a systematic approach must be used by following a laid down procedure consisting of elements or sections. These include the executive summary, business description, marketing strategies, market projection, and pricing.

Other important sections include competitive analysis, design, and development, as well as scheduling and costs.

You’ll also need to include the operations and management section, risk assessment, as well as the breakdown of overhead expenses.


One of the striking things you’d like your jute bag business to be known for is variety. Customers love to be given options and without one, there’s hardly a feeling of enthusiasm for your products.

Now, the variety comes in several ways. These include colors, designs, sizes, shapes, and types of jute material a bag is made of. To understand this better, jute bags can be found in unlaminated, laminated, and muslin lined variants.

Additional variants you could think of include the type of handle the bags will have. Some of these include jute handles rope with eyelets, flat cotton strap, cotton webbing filled with rope, drawstring, and cane handles.

Jute bags come in multiple varieties too! These range from conference bags, jute wine bottle bags, shopping bags, jute drawstring pouches, ladies’ purses, and promotional bags.

There’s more! You have designer bags, Juco bags, calico bags, and jute carry bags as well. The more varied your jute bag collections are, the higher your client interest will be.

Your customers will have varying preferences. Figuring out how such preferences will be best served will help you set up a successful operation.

Identify and Meet a Demand

One of the keys to success for any entrepreneur seeking to start a jute bag manufacturing business starts with identifying a demand.

Already, jute bags are widely accepted in most local markets. You only need to identify those with the highest demand and supply them.

One of the best ways to go about this is by visiting stores and checking the retail price for those on display. Finding out the manufacturers and understanding their marketing policy greatly helps in setting up your operations.

Obtain Financing

Having worked out your startup costs, the next step you’ll need to take involves arranging the needed finance.

There are lots of ways to do this. Some options include saving up for this purpose, applying for government grants (especially SBA loans), seeking investments, and obtaining loans from lenders.

While seeking or setting aside the financing required, ensure you keep sufficient funds for this project. We recommend that you have more funds than you think you need rather than working on a tight budget.

Setting up Your Manufacturing Space

You’ll need sufficient space to set up your jute bag manufacturing operations.

The smallest space we recommend is one measuring roughly 500 sq ft. Such a space should be located in an area with reliable utility connections especially electricity for running your machines.

Is your entrance wide enough? If it isn’t, you’ll need to find ways to create a wider entrance. Your space should have various sections that are crucial to efficient operations.

They include the admin area, production area, storage, and workspace. All these contribute to productivity.

Getting the Skill

Without skill, little or nothing can be achieved. In other words, skill is needed for jute bag manufacturing.

If you’re lacking in such skills, consider obtaining them by working in a jute bag manufacturing company. You can offer your services free in exchange for knowledge.

There are also online resources that help with acquiring the skills needed for your jute bag manufacturing business.

This jute bag business plan guide has provided tips on the procedure for setting up your operations. These are vital approaches that, when implemented properly help your business to succeed.