Errand Service Business Plan

1. Errand Service Business Plan Sample And Example

Errand service businesses provide a valuable service to busy people by taking care of their everyday tasks that take up time and energy. This business plan solution for errand service outlines the steps necessary to create and launch a successful errand service business. The plan includes market research, product development, operational strategies, financial analysis, and marketing plans. With the right combination of operational efficiency, market positioning, and effective customer service, an errand service business can become a successful and lucrative business.

2. Executive Summary

Business Overview

Our company, Busy Bee Errands, provides a comprehensive errand service that caters to the needs of individuals and businesses. We offer a range of personalized services that include grocery shopping, package delivery, prescription pickups, laundry services, and more. Our services are designed to provide convenience and alleviate stress for our clients, allowing them to focus on more important matters.

As a new entrant in the market, Busy Bee Errands aims to provide high-quality services that meet each client’s unique needs. Similar to Concierge Service Business Plan, our team consists of experienced professionals who are passionate about providing exceptional customer service. We pride ourselves on being reliable, efficient, and flexible to accommodate our clients’ schedules.

We understand the importance of trust and confidentiality when it comes to handling our clients’ personal and business affairs. Our team is trained to maintain the utmost professionalism and confidentiality, ensuring that our client’s privacy is always respected.

We are committed to growing our business by developing long-term client relationships. We believe that our personalized services and attention to detail will set us apart from our competitors in the market.

Products

Busy Bee Errands is committed to providing quality errand services to busy professionals, families, and seniors. Our services will include the following:

• Grocery Shopping: We will pick up and deliver groceries for our clients.
• Prescription Pickup: We will pick up and deliver prescriptions for our clients.
• Dry Cleaning: We will pick up and deliver dry cleaning for our clients.
• Pet Care: We will provide pet care services, including dog walking and pet transportation.
• Package Delivery: As the Courier Company Business Plan mentioned, we will pick up and deliver packages for our clients.
• Home Organization: We will provide home organization services to declutter and organize our client’s homes.
• Home Maintenance: We will provide minor home maintenance services such as changing lightbulbs, assembling furniture, and other minor repairs.
• Personal Shopping: We will shop for our clients, such as helping them find the perfect gift for a loved one.
• Errands: We will run any errand our clients need, such as standing in lines, waiting for appointments, or returning items.

Customer Focus

The main focus of our errand service business is to provide convenience to our customers by providing them with a practical and dependable errand service. Our company goals business plan for errand service is to provide our customers with an affordable and reliable way to get errands done. We will strive to create a dependable and convenient service that will enable customers to save time and money. Our services will include delivery of groceries and other items, grocery shopping, dry cleaning, pick up and delivery, running errands, and other tasks that our customers may require.

Our customers will be able to request our services through our website or through our mobile application. We will have a customer service desk that will be available to answer any questions and provide assistance when needed. Our services will be provided in a timely manner and with the utmost professionalism. We will strive to ensure that our customers are satisfied with our service and that their errands are completed promptly and efficiently.

Management Team

We plan to hire qualified and experienced employees to provide the best service possible. Our employees will be trained to provide excellent customer service and to ensure that our customers are satisfied with our services. We will also provide our employees with the necessary tools and resources to ensure they can provide the best service possible.

We will also maintain a high standard of safety and security for our customers and our employees. We will ensure that our vehicles are maintained and serviced regularly and that our employees are properly trained in safety protocols. We will also ensure that our vehicles are securely locked at all times to prevent theft.

Franchise Business Planning 

Helps the franchisee get business case approval from the franchisor

Success Factors

The success of an errand service business depends on several key factors. First, the business must be able to provide quality service that meets customer expectations. This means having reliable transportation, reliable employees, and efficient communication systems, as mentioned in the Transport Business Plan. 

Second, the business must be able to market itself effectively. This means having a strong social media presence and using targeted marketing tactics to reach potential customers. Third, the business must have an organized business structure, with clear employee roles and responsibilities. 

Finally, the business must have a reliable customer service system with a commitment to responding to customer inquiries quickly. With these factors in place, an errand service business can be successful.

Financial Highlights

Busy Bee Errands is confident that it will achieve profitability in its first year of operations. To achieve this, Errand Solutions forecasts that it will generate revenues of $120,000 from the provision of errand-related services and will make money running errands for the elderly. These revenues will be generated from an estimated 1,000 customers. Busy Bee Errands’ projected expenses for its first year of operations are $69,000, including $9,000 for marketing and advertising.

Errand Solutions’ financial highlights for the first year of operations are as follows:

• Revenues of $120,000
• Estimated 1,000 customers
• Expenses of $69,000
• Gross profit of $51,000
• Net profit of $41,000

3. Company Overview

Who is Busy Bee Errand Service

Busy Bee Errand Service is a professional errand-running business offering personal assistance for those who are too busy to take care of their errands. Our services include grocery shopping, dry cleaning pick-up, pet sitting, laundry, bill payment, and more. We are a company dedicated to providing quality services to busy professionals and busy families. We understand the importance of time and strive to make sure our clients can get their errands done in a timely and efficient manner.

At Busy Bee Errand Service, we provide exceptional customer service. Our team of experienced errand runners is highly trained and dedicated to providing our clients with a hassle-free experience. We are also committed to providing a safe and secure service similar to other errand companies. Our security protocols are designed to ensure the safety of both our clients and our errand runners. We strive to ensure that all of our services are provided in a safe and secure environment.

Busy Bee Errand Service is also dedicated to environmental sustainability. We strive to limit our environmental impact by using recyclable materials and eco-friendly products whenever possible. We are also committed to giving back to the community by supporting local charities and organizations.

Busy Bee Errand Service History

Busy Bee Errand Service was founded in 2019 by two sisters, Linda, and May Smith. They were inspired to start this business after noticing how busy their friends and family were and how difficult it was for them to find the time to do things like grocery shopping, dry cleaning, and running errands. With their family’s help, they could open their own errand service business.

Busy Bee Errand Service offers a wide range of services, from grocery shopping to pet care and house sitting. Customers can choose from one-time services or longer-term packages that can be customized to suit their individual needs. The company’s goal is to provide customers with a convenient, reliable, and cost-effective service that can make their lives easier. 

The company is committed to providing an exceptional customer experience and is proud to be a part of the local community. They strive to make every customer’s experience with Busy Bee Errand Service as stress-free and enjoyable as possible.

4. Industry Analysis

Errand service businesses provide customers with various services, from grocery shopping to pet care to house cleaning. The industry is composed of small, independent businesses that provide services to both residential and commercial customers. The industry is highly fragmented, with no major players dominating the market.

The major trends driving the industry are increasing customer demand for convenience and time savings, as well as the emergence of technology that enables customers to book errand services online. Additionally, a growing number of businesses are offering errand services as part of their employee benefits packages, as employers recognize the benefit of providing these services to their employees.

The industry is expected to continue to grow at a steady rate over the next five years. As customers become increasingly busy, the demand for errand services will continue to rise. Additionally, technological advancements such as mobile apps are expected to make it easier for customers to book errand services, further increasing demand.

To succeed in the industry, businesses must provide reliable, high-quality services at competitive prices. Additionally, businesses must invest in developing relationships with customers, as well as in marketing and advertising their services. Furthermore, businesses must stay up-to-date on industry trends and customer preferences in order to remain competitive.

5. Customer Analysis

Demographic Profile of Target Market

The target market for the business plan for errand service is primarily people ages 25-65 who live in medium to large cities and have a household income of at least $50,000. The majority of these people are likely to be professionals or have full-time jobs, as they have the financial means to pay for errand services.

The primary demographic for the errand service business is likely to be women, as they are typically the primary decision-makers when it comes to household errands. In addition, women are more likely to be busy with work and family obligations and may find errand services to be a useful solution.

• Age: 25-65
• Gender: Male and Female
• Geographic Location: Medium to Large Cities
• Income: At least $50,000

Occupation: Professionals/Full-Time Jobs

Customer Segmentation

The customer segmentation for an errand domestic help service business plan includes: 

• Seniors: Seniors are often in need of assistance with various errands due to age-related difficulties. They may need help with grocery shopping, running errands, and other tasks.
• Busy Professionals: Many professionals have limited time to complete their errands and tasks. They may need help with grocery shopping, dry-cleaning, picking up prescriptions, and other errands.
• Families: Families may need help with errands such as grocery shopping, picking up prescriptions, and other tasks.
• Students: College students often need help with errands such as grocery shopping, picking up textbooks, or getting to class.
• People with Disabilities: People with disabilities may need help with errands such as grocery shopping, picking up prescriptions, or other tasks.
• Small Business Owners: Small business owners may need help with errands such as picking up supplies, making deliveries, or other tasks.

6. Competitive Analysis

The personal errand service business plan has a competitive marketplace, with several companies providing similar services. The competitive environment is characterized by a variety of service providers offering different pricing structures, services, and levels of customer service.

Direct and Indirect Competitors

Direct Competitors

• TaskRabbit: TaskRabbit is a leading task-based platform that connects customers with local taskers to complete errand services such as grocery shopping, house cleaning, delivery, assembly, and more.
• Fancy Hands: Fancy Hand is a task-based platform that provides customers with virtual assistants to help with errand services such as grocery shopping, making appointments, and more.
• Thumbtack: Thumbtack is a platform that connects customers with local professionals to help with errand services such as pet sitting, cleaning services, and more.

Indirect Competitors

Indirect competitors in the errand service industry include companies such as local grocery stores, dry cleaners, and other retailers that offer specific services that could be done as errands. These companies may not offer the same range of services as the Errand service business but could provide competition if they offer lower prices or more convenient locations.

Competitive Advantage

The Errand service business has several advantages over its competitors. First, the business has a well-established reputation for providing reliable and efficient services. Second, the business has a large network of contacts in the local area which can be used to locate and hire qualified errand runners quickly. Finally, the business offers competitive prices and flexible payment terms, allowing customers to save money on errand services.

7. Marketing Plan

Our marketing plan aims to create awareness and generate interest in our errand service business. We will use a variety of marketing tactics, including online, print, and radio advertising, direct mail, and public relations.

• Online Advertising: We will utilize online advertising to create awareness and drive traffic to our website. This will include Google AdWords, Facebook Ads, and banner ads on other relevant websites.
• Print Advertising: We will create print ads targeting our target demographic. This will include magazine and newspaper ads as well as direct mail.
• Radio Advertising: We will also utilize radio advertising to reach our target audience. We will focus on local radio stations that target our demographic.
• Public Relations: We will work with local media outlets to create news stories and feature stories about our errand service. We will also work with local influencers to help spread the word about our business.

Promotions Strategy

To create excitement and generate interest in our errand service, we will utilize a variety of promotions and incentives.

• Discounts: We will offer discounts and coupon codes to drive interest and encourage people to use our service.
• Referral Program: We will offer a referral program that rewards customers for referring friends and family to our business.
• Social Media: We will use social media to create buzz about our business and drive traffic to our website. This will include creating engaging content and running promotions.

Pricing

Our pricing will be competitive and tailored to the needs of our target market. We will offer various packages and pricing options to meet the needs of our customers. We will also offer discounts and specials for first-time customers.

8. Operations Plan

Operation Functions

Errand Service: Our primary service will be providing errands to customers. We will pick up groceries, dry clean, retrieve documents, or do other errands as our customers request.

Delivery Service: Besides errand service, we will also provide delivery services for businesses and individuals. We will pick up and deliver items such as documents, food, and other merchandise in the Food Delivery Business Plan.

Courier Service: We will provide a courier service for businesses that need documents or packages delivered. We will provide door-to-door delivery service for businesses that need documents or packages delivered to other businesses or locations.

Milestones

3/22/202X –Develop and launch website

4/1/202X – Develop and launch marketing campaign

4/8/202X – Recruit and train errand runners

4/15/202X –Obtain necessary business permits and licenses 

4/22/202X – Sign contracts with clients

5/1/202X – Launch errand service in the local area

5/8/202X – Monitor customer feedback and adjust services accordingly

5/15/202X –  Assess and expand operations to other cities/regions

Licensing organization in the Errand Service industry:

9. Management Team 

The management team of the errand service business plan consists of the following members:

1. CEO: The CEO of the errand service business plan will be responsible for the company’s overall direction. They will be responsible for setting the company’s goals and developing and executing strategies to achieve those goals. They will also be responsible for managing the day-to-day operations of the business.
2. CFO: The CFO will be responsible for overseeing the financial aspects of the business, such as budgeting, accounting, and financial reporting. They will ensure the business complies with all applicable laws and regulations.
3. Operations Manager: The operations manager will be responsible for managing the business’s day-to-day operations. They will manage staff, schedule errands, and ensure customer satisfaction.
4. Marketing Manager: The marketing manager will develop and execute marketing strategies to promote the business. They will be responsible for creating and implementing campaigns to attract new customers and retain existing ones.
5. Customer Service Representative: The customer service representative will be responsible for providing assistance to customers. They will be responsible for answering questions, resolving complaints, and providing feedback to the management team.

10. Financial Plan

For errand running services, we are seeking a loan of $50,000 to start our business. This will be used to purchase the required equipment, pay for office space, hire staff, and cover other business costs.

Key Revenue & Costs

Key Revenue

Our primary source of revenue will be from errand service fees, with an estimated rate of $25 per hour. We will also generate income from delivery services and grocery shopping services, which will be priced at a flat fee of $10 per item.

Key Costs

Our key costs will include: 

• Equipment and technology costs for the business
• Insurance costs
• Office space rent
• Employee wages
• Advertising and marketing costs
• Professional fees for legal and accounting services.

Funding Requirements and Use of Funds

Funding Requirements 

To start our errand service business, we will need approximately $50,000 in startup capital. This capital will cover expenses incurred in setting up the business, such as renting office space, purchasing equipment and supplies, hiring staff, and marketing our services.

Use of Funds

The $50,000 in startup capital will be used to cover the following expenses:

• Renting office space: $20,000 
• Purchasing equipment and supplies: $10,000 
• Hiring staff: $15,000 
• Marketing: $5,000 

Key Assumptions

The business will be based in the city of Austin, Texas and will focus on providing services to the local community.

The business will target local customers, who will pay for services as needed.

The business will employ two part-time employees who will be paid hourly.

The business will use its own vehicles for errand services.

The business plan for opening an elderly person errand service will focus on providing services for the elderly, disabled, and busy customers.

The business will use various digital marketing techniques to reach out to potential customers.

The business will charge an hourly rate for services provided.

The business will focus on providing services promptly and with great customer service.

The business will use word-of-mouth marketing to ensure customer satisfaction.

The business will use online services such as Yelp and Google My Business to boost customer reviews.

Financial Projections

All tables in Errand Service Business Plan PDF.

11.  Unlocking the Potential of Your Delivery and Errand Service Business with OGS Capital’s Professional Business Plan

At OGS Capital, we understand that your delivery and errand service business is more than just a way to make money. It’s an opportunity to make a difference in your community by providing reliable, efficient, and affordable services. That’s why we’re committed to helping you unleash the potential of your business by providing you with a comprehensive business plan tailored to your business’s unique needs.

Our team of experienced consultants has years of experience in creating business plans for delivery and errand service businesses. We can guide you through the process of creating a plan that covers all aspects of your business, including marketing, finance, operations, and management. We can also provide you with a written example of a delivery and errand service business plan that you can use as a template for developing your own plan.

At OGS Capital, we take the time to understand the unique needs of your delivery and errand service business and tailor our services to meet those needs. We can help you create a business plan that outlines your business goals and objectives and that includes realistic projections of your business’s profitability. We can also provide you with sound advice on the most effective ways to market and operate your business.

When you work with OGS Capital, you can be sure that your business plan will be prepared with the utmost care and attention to detail. Our consultants are experienced professionals who understand the importance of creating a comprehensive and realistic plan. With our help, you can unlock the potential of your delivery and errand service business and make it a success. Contact us today to get started.

12. FAQ

• How do I advertise my errand service?
  Advertising your errand service is a great way to get the word out about your business. You can use traditional methods such as flyers, newspaper ads, and radio spots, or you can use digital methods such as social media, web design, and email marketing. For example, you can create a website that showcases your services and displays your contact information. You can also set up social media accounts on popular sites like Facebook, Twitter, and Instagram and use them to promote your business. Additionally, you can send out email newsletters to reach potential customers who may be interested in your services. Lastly, you can take part in local events such as fairs and festivals to network and advertise your errand service. By utilizing these methods, you can ensure that you reach a wide variety of potential customers and increase your chances of success.
• How do I write a business plan for an errand business?
  A business plan for an errand business should include a description of the services offered, the target market, a marketing and sales plan, an operational plan, a financial plan, and a risk management plan. The description of services should include what types of errands the business will offer and the fees charged for them. The target market should focus on the types of customers most likely to use the services. The marketing and sales plan should outline the strategies used to promote the services, such as online marketing and direct mail. The operational plan should address the business’s day-to-day operations, such as staffing and scheduling. The financial plan should include start-up costs, operating expenses, and projected revenue. Finally, the risk management plan should identify potential risks and their mitigation strategies.

Download Errand Service Business Plan Template in PDF