Sample Pharmaceutical Manufacturing Business Plan Template


Since time immemorial, man has always placed a premium on his health and well being.

From our forefathers who devised means, methods and materials, however crude, to help cure diseases and ward off illnesses; to the present day, where modern technological advances in medicine and health practices are ensuring high standard of living and age longevity .

At the center of these strides, has been the discovery and synthesis of drugs to combat a variety of ailments and diseases. The case is no different in Africa. Especially when one considers the recent outbreaks of the Ebola and Lassa fevers, which galvanized the government and international health organizations into marshaling men and resources in combating the epidemics.

With a growing population domiciled by a large youth base, an expanding economy as well as the need to provide affordable and quality healthcare, establishing a generic pharmaceutical manufacturing company and in other nations of the world commands favorable business indices. ARCpoint Labs is a popular drug testing and screening franchise you can also look into.

Tremendous progress has been made in the pharmaceutical industry. This has seen the production of a variety of drugs that has enhanced human life expectancy.

We are not going into details on that, but seek to provide you with a pharmaceutical manufacturing business plan sample. But why do you need this?

Do you know start your own pharmaceutical company?

You will find this useful if you need a guide on how to handle the planning of your business.


  • Observe all the rules and obtain relevant certification. 

Licenses required to open a pharmaceutical company

To start a pharmaceutical manufacturing company, one must first and foremost be a registered pharmacist with the Pharmaceutical Certifying Board of your country. In lieu of this, the would-be investor must procure the services of a registered pharmacist, whose license can be employed for the purpose.

In-depth knowledge of the workings, composition and effects/efficacy of drugs is critical, not only for the survival of the small scale pharmaceutical manufacturing business but more importantly to safeguard the lives of end-users.

  • Gain Relevant Exposure and Experience.

To successfully start a pharmaceutical manufacturing company, the investor should intern at an existing pharmaceutical distribution company outfit that runs a drug manufacturing plant.

If possible, such an internship can be done at no cost to the outfit. The period will serve as a guide to witnessing standard operating procedures, sales and marketing strategies, business accounting and other critical aspects of the business. Also the would -be investor can fully be subsumed in the day-to-day running of the generic pharmaceutical company business, observe how decisions are made and the routes employed in making them.

In effect, the investor is exposed to the rigors of administering an existing pharmaceutical manufacturing plant, without having to commit funds to the venture.

  • Have lofty dreams but start small. 
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Dilip Shanghvi, founder of the largest pharmaceutical manufacturing company in India,  Sun Pharma, began business in 1983, with staff strength of 2 marketers and a small manufacturing facility.

A number of options can be picked; a mini factory that focuses on one product line like pain relievers or entering into partnership with a contract manufacturer to produce a line for one product. This step is necessary to test the waters (market) and to gradually gain market acceptability and share. Develop a business plan for a pharmaceutical manufacturing business that focuses on niche generic drugs offering potential for growth.

How much does it cost to start a pharmaceutical company? Starting a pharma company and going immediately into competition with older industry players, in more popular patent drugs, could spell doom for the new startup. This is because the markets for these type of drugs are usually saturated, hence it would require enormous resources and extensive marketing to establish a foothold in such markets.

So instead off with the production of anti-infectives (drugs administered for the treatment of communicable diseases), a drug manufacturing company could decide to focus on drugs that help in the treatment and containment of lifestyle diseases, especially as most African nations begin to grow a large middle class.

Drugs in this class include those for psychiatry, neurology and cardiovascular uses. The reasoning behind this strategy is that consumers, who desire to live longer, will more often than not, take such generic drugs, in order to boost their health and achieve longevity.

  • Develop a Robust Marketing and Sales Plan

A newly established pharmaceutical manufacturing company must devise ways and means, by which end users can be exposed to its drug offerings. This will often involve taking unconventional paths in finding  markets, obtaining agreement with hospitals and medical facilities, promotional trades and any other activity that will engender the sales of its products. All these must be taken into due consideration when calculating the minimum investment to start a pharma company.

At this early stage, the pharmaceutical manufacturing company must also draw up a robust distribution network, which will ensure that its drugs are available at all times. Necessary pharma company registration procedure and licensing must also be done.

  • Plan for Location and Equipment

As the pharmaceutical manufacturing company gathers steam, as you evolve effective marketing and distribution networks, it becomes imperative that one keeps his focus on the big picture: transitioning into a large, profitable drug manufacturing outfit.

This will not happen by the wave of a magic wand. Rather the investor must save and plow back profits, into acquiring suitable and strategically located factory space, machinery and equipment. The cost of starting a pharmaceutical company must consider how raw materials will be sourced and be readily available in order to support full time production.

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In all, the success setting up a pharmaceutical manufacturing plant, and indeed any other business, will depend on factors such as the drive and willingness to take calculated risks, having an eye on the future trends that will shape the industry, cultivating excellent customer service and support and placing a premium on research and development.


Here is a sample business plan for starting a pharma production company.

All too often, lots of pharmaceutical manufacturing businesses have closed shop. On close examination, the problems that led to this situation has been due to inadequate planning. This happens through a rushed or shabbily written plan or as a result of lack of its implementation. No matter how good a plan is, none or partial implementation renders it useless. Let’s get to details;

Executive Summary

EV Pharmaceuticals is a new and registered pharmaceutical manufacturing business to be located in Salt Lake City, Utah. We bring expertise as well as experience into the field of drug making. These drugs range from anti-malarial drugs to mood stabilizers as well as hormone replacements. Further reference to this will be made shortly. We have obtained all and fulfilled all regulatory guidelines which are relevant to our smooth operations.

  • Products and Services

At EV Pharmaceuticals, we produce a wide range of pharmaceutical products. These consist of antipyretics, stimulants, antibiotics, stimulants, anti-malarial drugs, tranquilizers, oral contraceptives, analgesics as well as mood stabilizers. All of these have their functions and will be produced while abiding to all regulatory and minimum requirements.

In addition to the production of these pharmaceutical products, we will also offer advisory services to professionals who may require such.

  • Vision Statement

At EV Pharmaceuticals, our vision is to be a major name in the pharmaceutical business. We are not only seeking to break into the league of major players but to be known for quality. To achieve this brand recognition, a lot of work needs to be done which we are capable of.

  • Mission Statement

Our mission is to make quality drugs accessible to users across the United States. We will be using cutting edge technology to achieve our aims. Our operations are also research focused. This enables us to develop or improve on available medications for different conditions.

  • Financing

Running a successful pharmaceutical manufacturing business requires significant funding. In other words, the pharmaceutical manufacturing industry is capital intensive. Our immediate financial need amounts to $3,000,000.00. This will be obtained through loans from 2 major banks. This loan comes with a quarterly interest rate of 2%.

Funds raised will be used in the purchase of equipment a factory space as well as storage and distribution vehicles. Our running costs will also come from this amount and will take 20% of the amount.

  • SWOT Analysis

We have decided to gauge our performance by taking a SWOT analysis. This process has been revealing and has shown areas that need to be improved on. This analysis was carried out by a reliable independent business consulting firm. The findings are summarized as follows;

  • Strength
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Our strength as a business lies in our capacity to anticipate problems and proffer far-reaching solutions before they arise. This is made possible through our pool of highly qualified manpower who have been carefully selected. Their quality reflects in our ability to run a thriving business that is able to withstand the odds.

  • Weakness

In spite of our strength in identifying and creating solutions to problems before they arise, we still have a weakness.

This comes in the form of our size. This limits our reach in the short-term. We view this weakness as only temporary as we embark on expanding our operations once the conditions are right.

  • Opportunities

Where others see problems, we see opportunities. We have assembled a highly motivated workforce. These are fully dedicated to exploring better ways of providing solutions/products to a market in need. Therefore we are constantly researching using the best scientific procedures as well as state-of-the-art equipment.

  • Threats

There are threats that may affect our operations. These include unfavorable government policies that may be made and implemented. Another area that can affect our business is when there is an economic meltdown. Any of these could pose a serious challenge to our business operations.

  • Financial Projection

Based on available information on the performance of the pharmaceutical manufacturing industry in the past 5 years, there is great potential for profitability. We have done our research and have created a three-year financial projection. The results have been encouraging and show the following;

  • First Financial Year $590,000.00
  • Second Financial Year $900,000.00
  • Third Financial Year $1,700,000.00


  • Competitive Advantage

Our competitive advantage exists in the form of our common passion as a team of professionals. These consist of people with varied expertise in the field of pharmacy, branding, marketing, administration and product design and distribution. We are all bonded by the common passion to provide only the best pharmaceutical products.

  • Target Market

Nobody wants to be plagued by ailments. However these can come at any time due to a variety of reasons. It is a fact that most people take different medications for different reasons. This presents us with a huge market to cater for.

By filling the need for quality medication, our pharmaceutical manufacturing business caters for the needs of a wide market.

If you have read to this point, you should have gained a better understanding of how this works. Our pharmaceutical manufacturing business plan sample stands as a guide to help you write one without much difficulty. We always state that implementation is equally important too.

Therefore, your plan should be such that can be easily read, comprehended and implemented.