business plan sample for garments

Clothing Line Business Plan Template

Written by Dave Lavinsky

Clothing Line Business Plan

You’ve come to the right place to create your clothing line business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their clothing line.

Clothing Line Business Plan Template & Example

Below is a template to help you create each section of your Clothing Brand Business Plan.

Executive Summary

Business overview.

Posh Sophisticate is an emerging clothing line start-up that is geared towards female professionals between the ages of 26 – 64. The clothing line is designed to be everyday work essentials with a modern and trendy flair, appropriate for the office or afterwards for cocktails. The clothing is designed for the modern woman who has a busy professional career and engaging social life.

Posh Sophisticate is the brainchild of Boston native and Paris-trained fashion designer, Marla Worthington. Now living in New York, Marla has taken her decades of apprenticeship and design to develop her own unique and trendy clothing line, while maintaining the style and sophistication required of a professional woman.

The Posh Sophisticate clothing line is suitable for women of all ages and body types. No matter what status level or background, there is a professional look suitable and affordable for any female. The Posh Sophisticate clothing line can be found at major retail department stores around the United States.

Product Offering

The following are the Posh Sophisticate clothing line items:

Customer Focus

The Posh Sophisticate clothing line will focus on professional women in the United States working in urban cities that regularly shop at large retail department stores such as Macy’s, Dillard’s, Nordstrom, or Bloomingdale’s.

Management Team

The Posh Sophisticate clothing line will be led by President & Founder, Marla Worthington and the CFO, Kimberly Fornell. Because they are a startup clothing line, they have decided to outsource the manufacturing and distribution of all clothing items to a third party manufacturing warehouse located in New York City.

Success Factors

Posh Sophisticate will be able to achieve success by offering the following competitive advantages:

• Posh Sophisticate will pride itself in using high quality material at affordable prices. They have been able to negotiate with U.S. based suppliers that are able to manufacture their design concepts at an affordable price.
• Posh Sophisticate’s designs are trendy, affordable, professional, and classy. They aim to be known for its unique and flattering styles that can be worn at work or afterwards during happy hour.

Financial Highlights

Posh Sophisticate is seeking $1,000,000 in debt financing to launch its clothing line. The funding will be dedicated for the manufacture and distribution of the clothing line. Funding will also be dedicated towards the advertising agency and law firm on retainer. The breakout of the funding is below:

• Manufacture and distribution: $500,000
• Advertising agency in charge of promotions: $300,000
• Law firm retainer: $100,000
• Working capital: $100,000

Company Overview

Who is posh sophisticate clothing line.

Posh Sophisticate is an up and coming clothing line tailored toward female professionals between the ages of 26 – 64. From the mind of creator and fashion designer Marla Worthington, Posh Sophisticate is a breath of fresh air that sets itself apart from the traditional attire usually available to professional women. The clothing line of Posh Sophisticate does not include drab pant suits or unflattering dresses; the clothes are modern and trendy yet sophisticated enough to be seen in the executive boardroom. The clothing line is geared towards women who work in an office setting who want to dress in clothes that allow them to feel trendy while maintaining the utmost professionalism.

Posh Sophisticate Clothing Line History

Marla Worthington has been in the fashion industry for over three decades. She worked at Bloomingdale’s in Boston during her high school years as a stock girl and cashier. She kept the job while attending Boston College, eventually becoming a window dresser and was in charge of the mannequin displays of the Donna Karan and Carolina Herrera brands. It was while she was an undergraduate that Marla found her passion and decided that she wanted to dedicate her life to designing women’s clothes. After earning her Bachelor of Arts degree, Marla packed up everything she had and moved to France to attend the Paris Fashion Institute. Upon completion of the school, Marla was able to apprentice with a few of Paris’ top fashion designers and was able to travel to fashion shows all over the world – from Paris to Milan, Singapore, Hong Kong, and New York.

The business of fashion proved to be intimidating, but Marla continued to pursue her passion. She moved to New York in 2010 and rented a small studio loft where she could focus her attention on designing and branding her clothing line.

Through a business acquaintance, Marla was introduced to an angel investor who has committed to investing $500,000 to help Marla launch her clothing line. The funding will be used as initial equity to obtain a business start up loan.

Since incorporation, Posh Sophisticate has achieved the following milestones:

• Registered and trademarked the Posh Sophisticate brand, logo, and limited liability corporation.
• Hired a branding and design company to professionally design the logo, website, price tags, clothing tags, social media and promotional ads.
• Approached and received Letters of Intent from retail stores such as Bloomingdale’s, Nordstrom, Dillard’s, and Macy’s for the department stores to allow a small display of the Posh Sophisticate clothing line.
• Held a focus group for women between the ages of 26 – 64 to receive feedback on the designs of Posh Sophisticate. Marla displayed ten of her clothing pieces and the ladies offered feedback and critique.

Posh Sophisticate’s Products

The following will be the available items of the Posh Sophisticate Clothing Line:

Industry Analysis

The rising demand for high-end clothing, accessories and jewelry has benefited the fashion industry. For designers, demand from retail trade operators is a crucial factor for success. Demand from retail trade is expected to increase over the next five years.

Social media and mobile apps have also contributed to industry growth over the past five years. Websites such as Pinterest and e-commerce platforms such as Etsy enable smaller designers to both showcase their designs and draw potential new clients.Moreover, the increasing number and popularity of fashion blogs have also helped industry operators. The growing number of fashion blogs enable smaller designers to gain exposure and attract new clientele.

The industry will also benefit from rising disposable income and increased consumer confidence; it will also be aided by downstream apparel manufacturing industries. As consumers demand trendier yet reasonably priced items, department stores will continue collaborating with designers to create product lines with mass appeal.

Customer Analysis

Demographic profile of target market.

Posh Sophisticate will target the working professional female in the United States between the ages of 26 – 64. The women will work in an office setting and come from a variety of backgrounds. They can be at their first job right out of college or near retirement. They can be the administrative assistant who greets you when you first arrive at an office or they could be the CEO and President of a large company.

The precise demographics for the Posh Sophisticate Clothing Line are:

Customer Segmentation

Posh Sophisticate will primarily target the following customer profiles:

• Female consumers looking for the trendiest in latest fashion that is appropriate for work.
• Young professionals in their 20’s or 30’s.
• Professional women in their 40’s up to their early 60’s.
• Women who regularly shop in large department stores such as Macy’s, Dillard’s, Bloomingdale’s or Nordstrom.

Competitive Analysis

Direct and indirect competitors, donna karan new york.

Donna Karan New York is one of the clothing lines by famed fashion designer, Donna Karan. A native of Queens, New York, Donna Karan is also known for her other clothing label, DKNY. Donna Karan launched her first collection “Seven Easy Pieces” in 1984 that consisted of a bodysuit, a tailored jacket, a skirt, pants, a cashmere sweater, a leather jacket, and an evening look. The idea behind the collection was that women could create infinite combinations with easy-to-wear garments to take them from daytime looks to evening looks without sacrificing elegance. Donna Karan is the epitome of New York energy and attitude for the powerful and elegant woman. The label has grown into a global powerhouse and is an icon in American fashion design.

Donna Karan New York clothing line can be purchased online or in a boutique store in larger cities. The collection can also be found in major department stores throughout the United States.

Ann Taylor has been a staple for the modern career woman for decades. Founded in 1954, Ann Taylor and its sister company LOFT, provides classic tailored styles with a wide range of crisp button-downs and sharp business suits. Early in its inception, Ann Taylor became the go-to destination for professional women and set several styles on the map. In the 1960’s and 1970’s, Ann Taylor was one of the first to sell tailored professional trousers and pants as more and more women entered the workplace. In the 1980’s, the power business suit emerged and became a status staple for the most ambitious female professionals. Ann Taylor LOFT was created to appeal to the younger professional women who were budget-conscious and required a more trendy business look. The Ann Taylor clothing line can be found at a retail store of its name around the country or purchased online. Today, Ann Taylor is owned by Ascena Retail Group who acquired the brand in 2015.

Express, Inc. is an American fashion retailer that caters to young men and women. Express is known as a fashion-forward apparel and brand that sells everyday wardrobe essentials to the latest trends. Women and men of all walks of life can find something at an Express store. They carry a large selection of professional business attire, as well as jeans, dresses, outerwear, and casual attire. Known for being trendy and fashionable, Express is seen as a go-to destination for anyone wanting the latest and trendiest clothing. Founded in 1980, it first opened up as Limited Express in Chicago and only sold women’s clothing. In 2001, Express expanded to include a men’s fashion line. Today, Express operates over 600 stores in the United States, Puerto Rico, Mexico, Costa Rica, Panama, El Salvador, and Guatemala.

Competitive Advantage

Posh Sophisticate will be able to offer the following advantages over their competition:

Operations Plan

The following will be the operations plan for the Posh Sophisticate clothing line.

Operation Functions:

• Marla Worthington will act as President & Founder of Posh Sophisticate, LLC. She will be providing oversight of the design and distribution warehouse located in New York.
• Marla has decided to hire an outside manufacturing company to manufacture each piece of clothing. As a startup clothing line, Marla believes by hiring an outside manufacturing company that already has the equipment and personnel needed, it will be less for her to manage.
• Kimberly Fornell is the clothing line’s CFO. She will be in charge of all business expenditures and tax obligations.
• Marla also has a law firm on retainer to provide legal guidance and business filings for the clothing line. They have been tasked with all limited liability corporation state and federal requirements as well as permitting and licensing.

Milestones:

Posh Sophisticate will have the following milestones complete in the next six months.

3/1/202X – Finalize manufacturing agreement with manufacturing company

3/15/202X – Execute advertising agency contract

4/1/202X – Finalize contracts with large retail department stores

5/1/202X – Review first batch of manufactured clothing

5/15/202X – Review first round of advertising campaign and provide feedback

6/15/202X – Launch advertising campaign via social media, magazines, media, and billboards

9/1/202X – Posh Sophisticate clothing line is available to purchase at large retail department stores

Marketing Plan

Brand & value proposition.

Posh Sophisticate will offer the unique value proposition to its clientele:

• Professional and trendy attire uniquely tailored and suitable for women ages 26 – 64.
• Each piece of clothing is made with high quality materials that is priced competitively with competing clothing lines, yet not intimidating to the average income.
• Classic styles with a unique and modern flair that is appropriate in the office setting or for drinks afterward.

Promotions Strategy

The promotions strategy for Posh Sophisticate is as follows:

Professional Media Campaign

Marla Worthington has hired a professional advertising agency based in New York who has extensive experience in the launch and advertising campaign of emerging brands. The advertising agency has developed numerous print ads for fashion magazines, commercial spots to be aired on major networks, and billboard advertisements aimed at getting the most maximum exposure in large urban areas of U. S. cities.

Social Media

The advertising agency has also been tasked with launching an aggressive social media platform for Posh Sophisticate. The clothing line will have a Facebook, Twitter, and Instagram account with professionally photographed images and posts. There will be a number of sponsored Facebook and Instagram posts.

Brand Ambassadors

Posh Sophisticate will partner with young professionals who have a social media following of more than 100,000. The brand ambassadors will post themselves wearing Posh Sophisticate items and tag the account so that they gain exposure through their legion of followers. The brand ambassadors receive compensation based on the number of likes or followers gained through their Posh Sophisticate posts.

The pricing of the Posh Sophisticate clothing line will be moderate and on par with competitors so customers feel they receive value when purchasing their items.

Posh Sophisticate will be led by its founder Marla Worthington. While she has decided to outsource the manufacturing, marketing, and legal, her and her CFO will oversee the clothing line.

Marla Worthington, President & Founder

Marla Worthington has been in the fashion industry for over three decades. She worked at Bloomingdale’s in Boston during her high school years as a stock girl and cashier. She kept the job while attending Boston College, eventually becoming a window dresser and was in charge of the mannequin displays of the Donna Karan and Carolina Herrera brands. It was while she was an undergraduate that Marla found her passion and decided that she wanted to dedicate her life to designing women’s clothes. After earning her Bachelor of Arts degree, Marla packed up everything she had and moved to France to attend the Paris Fashion Institute. Upon completion of the school, Marla was able to apprentice with a few of Paris’ top fashion designers and was able to travel to fashion shows all over the world – from Paris to Milan, Singapore, Hong Kong, and New York. After returning to New York, she was introduced to an angel investor that has agreed to provide the equity required in order to obtain a startup business loan.

Kimberly Fornell, CFO

Kimberly Fornell is the CFO for Posh Sophisticate, LLC. She has over 20 years of accounting and tax experience and is a licensed CPA in the state of New York. Kimberly has worked with numerous Fortune 500 companies providing accounting oversight and filing all of the company’s tax returns and filings. Kimberly’s accounting and tax knowledge combined with her extensive experience in the corporate world will set up the Posh Sophisticate clothing line for success.

Financial Plan

Key revenue & costs.

The revenue drivers for the Posh Sophisticate clothing line will be the merchandise sold at the major retail stores. The line will consist of everyday women’s clothing staples – blouses, sweaters, pants, skirts, dresses, and coats.

The cost drivers will be the cost of manufacturing and distributing the clothing items. Other cost drivers will be the law firm on retainer and the New York advertising agency. Marla Worthington and Kimberly Fornell have priced all expenses to be 70% of revenues.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.

• Number of Items Sold Per Month: 800
• Average Item Cost: $85.00

Financial Projections

Income statement, balance sheet, cash flow statement, clothing line business plan faqs, what is a clothing line business plan.

A clothing business plan is a plan to start and/or grow your business. Among other things, it outlines your business concept, provides market research about the fashion industry, identifies your target customers, presents your marketing plan and details your financial plan. It is meant to be a living document that should be updated as trends in the industry or changes within your company occur. 

You can  easily complete your clothing line business plan using our Clothing Line Business Plan Template here .

What Are the Main Types of Clothing Line Businesses?

The types of clothing line businesses include men’s apparel, women’s apparel, children’s clothing and athletic apparel.

What Are the Main Sources of Revenues and Expenses for a Clothing Line Business?

The primary source of revenue for a clothing line business comes from its sale of clothing. Businesses can sell directly to consumers, or to clothing stores and clothing wholesalers.

The key expenses for a clothing line business includes rent, salaries, materials, and marketing expenses.

How Do You Get Funding for Your Clothing Line Business?

Clothing lines are often funded through small business loans. Personal savings, credit card financing and crowdfunding are also popular forms of funding. Angel investors will oftentimes invest in a business plan for a clothing brand too.

What are the Steps To Start a Clothing Line Business?

Starting a clothing line business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Business Plan for Your Clothing Line – The first step in starting a business is to create a detailed clothing line business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure – It’s important to select an appropriate legal entity for your clothing line business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your clothing line business is in compliance with local laws.

3. Register Your Clothing Line Business – Once you have chosen a legal structure, the next step is to register your clothing line business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options – It’s likely that you’ll need some capital to start your clothing line business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location – Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees – There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Clothing Line Equipment & Supplies – In order to start your clothing line business, you’ll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business – Once you have all the necessary pieces in place, it’s time to start promoting and marketing your clothing line business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful clothing line business:

• How to Start a Clothing Line Business

Where Can I Get a Clothing Line Business Plan PDF?

You can download our free clothing line business plan template PDF here . This is a sample clothing line business plan template you can use in PDF format.

Other Helpful Business Plan Templates

T-Shirt Business Plan Template Retail Business Plan Template Clothing Store Business Plan Template

• Business Plan for Investors

Bank/SBA Business Plan

• Operational/Strategic Planning Services
• L1 Visa Business Plan
• E1 Treaty Trader Visa Business Plan
• E2 Treaty Investor Visa Business Plan
• EB-1 Business Plan
• EB-2 NIW Business Plan
• EB-5 Business Plan
• Innovator Founder Visa Business Plan
• Start-Up Visa Business Plan
• Expansion Worker Visa Business Plan
• Manitoba MPNP Visa Business Plan
• Nova Scotia NSNP Visa Business Plan
• British Columbia BC PNP Visa Business Plan
• Self-Employed Visa Business Plan
• OINP Entrepreneur Stream Business Plan
• LMIA Owner Operator Business Plan
• ICT Work Permit Business Plan
• LMIA Mobility Program – C11 Entrepreneur Business Plan
• USMCA (ex-NAFTA) Business Plan
• Franchise Business Plan
• Landlord business plan
• Nonprofit Start-Up Business Plan
• USDA Business Plan
• Cannabis business plan
• Ecommerce business plan
• Online boutique business plan
• Mobile application business plan
• Daycare business plan
• Restaurant business plan
• Food delivery business plan
• Real estate business plan
• Business Continuity Plan
• Pitch Deck Consulting Services
• Financial Due Diligence Services
• ICO whitepaper
• ICO consulting services
• Confidential Information Memorandum
• Private Placement Memorandum
• Feasibility study
• Fractional CFO
• How it works
• Business Plan Examples

Clothing Line Business Plan Sample

AUG.26, 2013

How to start your own clothing line

Do you like fashion? Maybe you like advising your friends and family on what to wear and how to wear it and they have encouraged you to turn your passion into a business venture. Instead of retailing clothes from established clothing brands, you may decide to start your clothing line. All favorite designer clothing brands began somewhere, and this could be your turn to make money out of your passion.

Creating a successful clothing line business plan involves dedication and great work. It will require a systematic clothing line business plan sample that will guide your business and set your foundation for success. Starting a business is not only having an excellent idea, but it is also more than that. A clothing line business demands creativity to build your loyal customer base. Our business plan clothing writers have gained a wealth of experience over the many years of helping successful entrepreneurs establish their clothing line business plan sample from scratch.

Executive Summary

1.1 clothing business.

Lavish will be an independent clothing line owned by Julia Adam. The outlet will be based in Brooklyn, the most populous borough in New York City. In the initial stages, Lavish will just be selling apparel for women and juniors alongside accessories and gifts. The designs will include modern western, and southwestern wear. In this business plan sample for clothing line, we’ll be providing all details that can help anyone start their own clothing branding.

1.2 Management

A clothing line business plan can’t run without fine management and without hardworking and talented employees. So, before thinking about how to start a clothing company, you must devise your management plan. Julia decided to hire a manager for managing the overall operations – so that she can have time to invest in design ideas. However, she will be keeping an eye on all the activities by herself.

A wide space in a strategically ideal location that is Brooklyn, will be taken on rent. To provide an assortment of various brands and designers’ clothes, representatives will be holding talks with big giants of this market. Moreover, efficient staff after rigorous testing will be hired to ensure the smooth running of the startup.

1.3 Customers

Before making a clothing line business plan sample, you must be clear about who will be your target customers. As your entire setup, inventory and apparels will be dependent on them. Lavish decided to aim at targeting just the women and junior population in the vicinity. Thus, the store will be providing clothing line of just their interest.

1.4 Business Target

To be clear about what the company aims to do, Lavish defined the following targets in its clothing store business plan . Our target is to become the most renown clothing line in the whole of NYC within a year of our launch. We aim at providing modern, trendy, high quality and unmatched apparel and accessories to the women and juniors of our town.

Company Summary

2.1 company owner.

Julia, the company owner is a passionate and brilliant woman. Following her graduation from Hewlett High School, she went to Parsons School of Design to excel her skills as a fashion designer. After working for two years in ASMclothing, she has gained both experience and knowledge to implement her own ideas.

2.2 Why the clothing business is being started

Julia always wanted to be a fashion designer and work with the big names in this domain. However, after acknowledging that she can better implement her unique ideas by producing clothes on her own, she decided to launch her own clothing line. After gathering info about how to start a clothing line and looking at the opportunities that a startup clothing brand can offer her, she made up her mind to enter this venture.

2.3 How the clothing business will be started

Starting your own clothing line is a time taking task and needs efficient and accurate planning. If you also want to manufacture the material yourself then you will be needing a business plan template for clothing line to take major decisions.

Here we’re providing a clothing company business plan sample free of cost to help you in making a clothing line business plan for your startup.

Julia decided to do a contract with pre-existing cloth manufacturing company to utilize their services and machinery to produce the fabric like she wants. She’ll be hiring textile engineers who can help her devise ways to produce high-quality and eco-friendly material.

Moreover, to execute the ideas on her mind, she’ll be hiring fashion designers, dress-makers, tailors and direct to garment printing experts alongside the usual staff.

The financial experts have forecasted following costs for expenses, assets, investment, and loans for the startup.

Services for Customers

If you are passionate about building fashion brand, you must first decide the right domain for you. Accurate fashion clothing line business plan sample can only be made after you have decided your services, as your inventory, manufacturing clothes, orders, and designs will all be dependent on your services.

After researching on how to design a clothing line and combining her interests, Julia decided to opt for the following services.

Daily wear & College wear: To provide our customers with a daily-life comfort and style, Lavish will be offering premium quality dresses, elegant shirts and pants to be worn routinely.

Day-outs and Party Outfits: We’ll be providing perfect outfits for casual occasions, proms, cocktail nights, wedding parties, hangouts, and similar events. We’ll offer gorgeous Bandeau Dresses, Pencil Dresses, Trench Dresses, Denim Dresses, Layered Dresses, Spaghetti Dresses, and Tweed Dresses.

Juniors Clothing: We’ll be providing clothing line for juniors too that will include daily-routine casual outfits, events’ clothing as well as party dresses.

Handbags & Accessories: We’ll be offering an assortment of unique handbags, jewelry items, bracelets, hats, watches, and scarves.

These are the services which Julia will provide for 5-years of the launch of her startup. After being established in the market she’ll expand her product line and amend her business plan for clothing line accordingly.

Marketing Analysis of Clothing line Business

If you have made up your mind to start a clothing line for the sake of making your own clothes to sell, you must carry out thorough research on market first. As it will be hard to strive among already-established businesses, therefore, you must go for a location where there are comparatively fewer competitors.

The most favorable location for your fashion brand launch can only be found after analyzing various markets and natives. Thus it’s essential for you to include a detailed marketing analysis in your clothing line business plan .

Here we are providing fashion marketing plan example so that anyone who is thinking about creating a clothing brand can benefit.

4.1 Market Trends

Initiating a clothing line has enormous scope provided that one plans it efficiently. As clothing trends and fashion wears vary from day-to-day, people especially women are in continuous search of something that is unique and different from others so need to create a business continuity plan checklist . Women are always willing to spend on luxury clothing and accessories that make them appear beautiful besides providing comfort and confidence, therefore you will not be at loss if you have some good designing ideas on your mind.

In the United States, the revenue of $37 billion has been generated by women clothing stores in 2019. More than 64 thousand such businesses are running in the whole state while employing about 340k people. But a concerning fact is that the business is not seeing growth from the past few years due to high competition, so you must keep in mind to focus on a specific group and excel in your domain.

4.2 Marketing Segmentation

in order to develop an accurate retail clothing line business plan template, it’s essential to do marketing segmentation in it. Marketing Segmentation includes detail of the major groups of your target customers and the ways you’ll adopt to fulfill their needs.

Since Julia has launched her clothing line for just women and children thus her target customers will mostly be the females living in Brooklyn. To meet the demands of every type of lady Julia has divided them into two groups so that she can focus on the requirements of each group effectively. Marketing segmentation as done by Julia for her startup is given here in this fashion marketing plan example.

The detailed marketing segmentation of our target audience is as follows:

4.2.1 Working Class

The biggest consumer of our products will be the women who work in offices or in some other places. They will buy our comfortable and formal outfits for daily routine as well as our party dresses for whenever they have to go to some event. We’ll also be having a small office wear jewelry items so that they can enhance their work look.

As working women can spend a sufficient amount on clothing to appear up-to-date while being comfortable, thus we expect them to make significant purchases with us.

4.2.2 College & School Going Girls

The second group of our target customers will be the young girls who are in the way of completing their degrees. We’ll keep stylish and mod apparel for them to wear at party nights, proms, and hangouts.

4.2.3 Parents of Juniors

The last group of our target customers will be the parents of children under 13 years of age. We’ll be offering daily routine supreme quality clothes as well as stunning party outfits for the junior population of our area.

The detailed market analysis of our potential customers is given in the following table:

4.3 Business Target

Our major targets are:

• To generate a profit margin of $15 per month by the end of the first year
• To earn a net promoter score of 25 by the end of the first year and of 40 by the end of the second year
• To increase our monthly sales by 25% every month
• To expand our product line by the end of five years

4.4 Product Pricing

The prices of most of our products are comparable with that of our competitors. however, some apparels which were hard to design are priced a little higher. Our trench apparels and Bandeau dresses will also be a bit expensive as we’ll be using newer fabric with enhanced features while making them.

Clothing line Marketing Strategy

Great work.

Had the pleasure of working with Alex on a business plan for a new venture. The end result looks very professional. His communication is always prompt and he was very patient with my detailed requests. I would definitely work with this company in the future.

After you have gathered information regarding how to start a private label clothing line, you must start exploring garments business tips that can help you in increasing your sales.

In your clothing line business plan  you must explore the ways that can provoke people to choose you among your competitors. To help you in getting an idea of what startups in these modern times are doing to promote themselves, we’re providing the sales strategy of the startup, Lavish.

The sales strategy developed by our experts is as follows:

5.1 Competitive Analysis

The biggest aspect that can help us in becoming a successful clothing company is our strategic location. Julia has selected an ideal location where she’ll be having competition with just two or three businesses of the same kind.

Secondly, our fabric will be of the highest quality and will be breathable, durable, anti-wrinkle, lint-resistant and comfortable. Thirdly we will be coming up with extremely unique, stylish and eye-catching designs. In fact, the only thing that inspired Julia to go for developing a clothing line was her hundreds of ideas that she could only implement independently. Lastly, we’ll offer a wide variety of dresses so that every lady has something to buy from us.

5.2 Sales Strategy

Our experts have come up with the following brilliant ideas to advertise and sell ourselves.

• We will have a really amazing and eye-catching display in our stores as well as on your website
• We’ll be offering a 10% discount on every purchase of $50 for the three months of our launch
• We’ll be allowing customers to make online purchase
• We’ll be giving a small gift on every purchase of $30 for the first month of our launch

5.3 Sales Monthly

5.4 Sales Yearly

5.5 sales forecast.

The detailed information about sales forecast, total unit sales, total sales is given in the following table:

Personnel plan

No matter how many unique clothing line business plan sample ideas you do have, they’ll all go waste if you fail at implementing them. To implement them at the right time, you’ll be needing efficient staff. Considering the importance of dedicated employees in a business, Julia decided to hire them after rigorous testing.

The list of her staff with average salaries is given here in this clothing line business plan sample.

6.1 Company Staff

• 1 General Manager to manage the company’s display store
• 1 Manager to monitor operations in the manufacturing center
• 2 Textile Engineers to work in production unit to produce highest quality material
• 4 Fashion Designers to design clothes
• 1 Direct to Garment Digital Printing Expert
• 2 Accountants to maintain financial records
• 3 Sales Executives to interact with retailers and to execute sales strategy plan
• 8 Tailors to stitch and fit the dresses
• 1 Receptionist
• 1 Driver for delivery tasks
• 2 Cleaners to maintain the facility
• 2 General Assistants for routine works

 6.2 Average Salary of Employees

The following table shows the forecasted data about employees and their salaries for next three years.

Financial Plan

You might have questions on your mind such as is the  clothing line business plan profitable? Well, that’s a natural concern and can only be relieved after you have analyzed all the finances in a financial plan. After manipulating investments, loans, expected salaries, and all possible expenses you’ll be able to learn how much does it cost to start a clothing line. Moreover, through an accurate financial plan, you can figure out how much profit can you generate while managing all the finances. It can also provide possible solutions if you somehow fail to generate the revenue you expected.

Considering the long-term importance of a financial plan, Julia had it written by a financial expert. A sample of that financial plan is provided here.

7.1 Important Assumptions

7.2 brake-even analysis.

7.3 Projected Profit and Loss

7.3.1 profit monthly.

7.3.2 Profit Yearly

7.3.3 Gross Margin Monthly

7.3.4 Gross Margin Yearly

7.4 Projected Cash Flow

7.5 Projected Balance Sheet

7.6 business ratios.

Download Clothing Line Business Plan Sample in pdf

Professional writers OGS capital specialized also on theme such as business plan for baby clothes , online boutique business plan , bridal store business plan , lingerie store business plan , clothing store business plan , shoe business plan and many others.

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

Add comment

E-mail is already registered on the site. Please use the Login form or enter another .

You entered an incorrect username or password

Comments (0)

mentioned in the press:

Search the site:

OGScapital website is not supported for your current browser. Please use:

• Create A Business Plan For Your Clothing Brand

• Home  > 
• Clothing Resource Hub  > 

Do I Need A Business Plan For My Clothing Brand?

Is it difficult to write a clothing line business plan, start creating the business plan for your clothing business, 1. company overview & executive summary, 2. products & services, 3. market overview, 4. sales strategies, 5. competitive assessment, 6. production schedule, 7. financial assessment & projection, things to keep in mind when writing your business plan.

If you are just launching your clothing business and you are wondering about the future of your company, constructing a business plan for your brand can help you better understand your current situation, and allow you to build detailed business development plans for the future.

In this article written by some of the most experienced fashion experts here at Appareify , you will discover all you need to know to create your clothing line business plan including the reasons to craft a business plan, how to craft a business plan, as well as things to consider when crafting your business plan.

You may wonder if a business plan is really necessary for your clothing business. Well, the answer is not exactly yes, since you can operate your business at the beginning with an “unwritten” plan. However, if you are looking for promising future developments and business expansions, you will probably need a business plan eventually.

There are a lot of reasons why business owners will craft a detailed business plan when they build their brands, especially for startups. Below are some of the common reasons.

Define Brand Image And Business Core Values

Creating a business plan for a clothing line helps you identify what your business stands for and how to correctly position itself on the market. Precisely defining your fashion brand is crucial in order to make it customer appealing and to generate revenue that will eventually fuel your business further.

Increase Investment Attractiveness

A steady and generous cash flow from generous investors can make your business thrive, and you will get exactly that by creating a well-written and thorough clothing business plan. Before investing their cash, every investor would first like to know what are your business goals, what strategies will be put into place, and how you intend to expand it in the future.

Establish And Achieve Business Goals

You can easily go off track if you don’t have your business goals in writing. Setting milestones for the next 1, 5, and 10 years will offer you direction and vision, while also promoting a proactive approach to expanding your business. A business plan for your clothing brand is the safe way to secure this.

Even if you might get caught in the web of uncertainty and think that it’s difficult to assess financial predictions or tackle market analysis, writing a clothing company business plan is not that hard. With a bit of attention to detail, constant research, and vision, along with our detailed guide, creating a fashion business plan can be easier than you think.

Writing a fashion business plan from scratch can feel intimidating. How about getting started with the basic structure of a clothing line business plan?

• Company Overview & Executive Summary;
• Products & Services;
• Market Overview;
• Sales Strategies;
• Competitive Assessment;
• Production Schedule;
• Financial Assessment & Projection.

Building a solid business plan should start with the company overview and executive summary that can provide any of the interested parties with a snapshot of your business status and the operation details.

1.1 Company Overview

Brand statements.

What does your clothing brand bring to the table? Is it unique and does it differentiate from so many others out there? If your fashion brand has anything distinctive and positive make sure to include it in the very first section of the company overview.

Company Missions

Is your clothing company planning to expand globally, while being environmentally friendly and eco-conscious? State your brand’s missions in order to create a truthful yet attractive image of your company.

Core Values

Are your business decisions impacted by ethical strategies? Make sure that your clothing line values are aligned, concise, and well-written so that everyone will understand what your core vision is.

1.2 Executive Summary

Leadership, management, and staff.

The executive summary is at the core of your business plan. For this section of the executive summary, you need to focus on the people that will be in charge of the daily tasks. Make sure to write clear and concise descriptions of their roles, attributes, and strong points, such as training, qualifications, and professional background.

Owner Supervision

Do you intend on closely following your personnel’s performances or do you plan on delegating these attributes to a highly skilled person? No matter what your plans might be, it’s advisable to include as much information as possible regarding the salaries, benefits, key roles, and major management strategies of your decision-makers.

For apparel business plans, the products and services explanation section is crucial, since it directly demonstrates the sources of revenue. This section should cover information about your fashion line production details, services offered, production plans, and the eventual benefits of using your products.

2.1 Production And Service Description

In this portion of your clothing store business plan, you should include information about what type of clothing products you sell, the fabrics, the production techniques involved, and the kind of services you tend to offer, for both “to B” and “to C” if necessary.

Also make sure to include descriptions of the services that your customers will benefit from, such as sampling, craftsmanship, and logistics.

2.2 Feature Benefits

In this part of the business plan, you need to write down every potential benefit you can think of. From basic clothing comfort levels to greater sustainability goals, you need to create compelling and attention-grabbing points for your fashion products.

2.3 Product Development Plans

This section offers an overview of how your production line will expand in the near, mid, and far future. You need to focus on underlining the proactive steps your clothing brand is planning to take in order to create better, sustainable, and appealing products, using the ever-evolving technological processes.

With the market overview section in your apparel business plan, you will emphasize your brand’s position in comparison to your competitors and how your business stands out from the rest.

3.1 Market Analysis

Looking at what your direct competitors and indirect competitors (such as department stores) are doing, generate reports that describe their modus operandi. From analyzing inspiring moves and worst decision-making patterns to detailing strengths and weaknesses through a SWOT analysis, this part of your business plan for a clothing brand is paramount.

3.2 Target Customer

Who will buy your products? You need to address the age limits of your customers, their gender, location, social status, budget potential, buying habits and tendencies, and as much information that would indicate whether or not your products are destined for the right consumer. If the target customer is not right, you might want to change your brand’s message or image.

3.3 Marketing Strategies

This section should focus on detailing your marketing strategies for acquiring a community around your products and brand. Will you focus on organic or paid marketing? If you’re planning on expanding internationally, you should tackle ways of developing your online presence through digital marketing, such as social media platforms, email marketing, and online PPC advertisements.

3.4 Marketing Investments

What metrics will you use in order to track whether or not your marketing strategies pay off? This part of your fashion line business plan focuses on detailing the provision of periodic marketing investments which convert your target audience into your actual customers.

In this part of the business plan, you can include graphics and statistics on how you will effectively allocate your budget to meet your financial goals.

In a perfect clothing line business plan, the sales strategies section will focus more on how the fashion line will generate revenue through efficient pricing strategies and optimized sales plans.

4.1 Pricing Strategies

The pricing strategies should include a detailed analysis of your production costs in correlation with the previous target customer analysis as well as market demand and offer. You should argue why your competitive price is set above or under the market’s average. Also, you might even include a chart with how you will adjust your prices in case of certain events.

4.2 Sales Plan

In your clothing brand business plan, you should include the sales plan information on what types of payment you’re going to accept, if you’re going to open a showroom or operate as an e-commerce business, how many sales staff you plan to hire, or if you will implement any promotional discounts to attract and build your customer base.

4.3 Sales Goals

Charts are best for this section of your business plan since they’re straightforward and concise. Are you planning on doubling your sales in the next year? What is your profit margin for this quarter compared to your competitors and how are you planning to evolve? This section should be all about numbers, analysis, and evaluations.

This part of any clothing line business plan focuses on the SWOT analysis, detailing your brand’s position in comparison to your potential competitors.

5.1 Main Competitors

Analyzing your main competitors should underline their strengths and weaknesses, and their strategy when it comes to production and branding, as well as pinpointing their sales numbers, and how they manage to stay on top of the niche through so many years.

5.2 The SWOT Analysis

The SWOT analysis is the most common approach to assess, evaluate and conclude a company’s competitiveness. By conducting a detailed analysis of the 4 critical areas of your business, you can thoroughly understand your own business and make thoughtful decisions along the way.

A SWOT analysis first dives deep into the strengths of your business. Do you offer free delivery? Are your fabrics ethically sourced? Have you lowered your carbon footprint? Is your target customer inclined to spend their large budget on the products that you sell? Are you highly experienced and do you possess the know-how?

In short, you need to explain “why customers would like to choose my products over the others.”

Focusing on your brand’s weakness might feel like a burden, but it will save you time and money in the future. Is your business not so prone to building connections because of its remote location? Should you be choosing an e-commerce business model rather than paying so much on warehouses?

That is, you want to know for sure “what is stopping my customer from buying my products” at first and to arrange solutions accordingly.

Opportunities

This section taps into external factors that will positively impact your business, the “thing” you can take advantage of. Do you have a potential unexplored market? Do you have any access to next-generation production technology? Or perhaps your team is young, proactive, innovative, and passionate about the future. And maybe your products are the new wave in an emerging market.

In any clothing business plan template, the threats analyze potential harmful factors for your brand. Is your competitor in the business for more than 10 years? Or perhaps the majority of your budget will be redirected to marketing strategies, and not to new investments in the production line? This analysis allows for creating mitigating plans in the future.

The production schedule of any clothing brand business plan outlines the timelines for production, inventory, verifying, and delivering the products.

6.1 Production Development Arrangements

It’s all about preparing your products in time for the next season. This part focuses on the timeframes of sourcing fabrics, their delivery times, how long it takes for the design and pattern to be made, and the actual production and quality control times, all depending on the number of products you’re planning on selling.

6.2 Production Arrangements

You should have all of your craftsmen and production line on the go since you don’t want to miss any of the six fashion seasons (if we also include the resort and holiday collections). Here is a useful fashion calendar for you to reference.

Development Dates: May - August

Sell Dates: August - October

Production Dates: October - January

Delivery Dates: January - March

Summer Collection

Development Dates: July - September

Sell Dates: October - January

Production Dates: December - February

Delivery Dates: March-May

Fall Collection

Development Dates: October - December

Sell Dates: January - March

Production Dates: April - June

Delivery Dates: July - August

Winter Collection

Development Dates: December - January

Sell Dates: March - April

Production Dates: June

Delivery Dates: September

Holiday & Resort Collection

Development Dates: February - March, March - May

Sell Dates: May - June, June - August

Production Dates: July - September

Delivery Dates: October - January

6.3 Sales Arrangements

The sell dates are crucial for financial prediction and goal aspiration. You can’t hope for stellar selling numbers if your products aren’t ready to hit the shelves when buyers are looking to spend their money. This part of the business plan should include strategies for distribution channels, on-sale timetable, sales team structure, and also selling strategies.

6.4 Delivery Arrangements

It’s mandatory to take into account if you’re shipping your orders internationally or even to a different continent. Do you offer free shipping? It’s also essential to consider cost-effective delivery methods for your business. You also need to factor in the logistics, such as standard delivery times that can be delayed by unforeseen natural events, strikes, and so on.

The projection on your brand’s financial evaluation is crucial when developing a coherent apparel company business plan, including assessments on investments, costs, and profit margins.

7.1 Upfront Investments

Considering the upfront investments when writing a business plan for your clothing brand shouldn’t miss on expenses for production equipment, warehouse costs, showroom rent, manufacturing and marketing costs, as well as sourcing fabrics and labor force. The more realistic the investment evaluation, the more your investors will trust your business plan.

7.2 Funds Usage / Expenses

For this part of your business plan, you should indicate how exactly your funds will be allocated and spent. Its purpose is to underline that your business is viable and can withstand the rate at which the funds are spent. You can consider using bullet lists or charts for better visual representation.

7.3 Expected Cash Flow

For a clothing line business plan, the expected cash flow describes the inflow and outflow of cash for your business, during a specific timeframe. You should factor in aspects such as rent, salary expenses, returns, and reinvestments, as well as sales revenue, and capital realization channels, all of which determine the scalability of your business.

7.4 Income Projections

The income projections part of a business plan template for a clothing line offers an estimate of the future revenue over an exact timeframe. You should go into detail as much as possible when it comes to projecting the price points, sale volumes, as well as gross and net profit margins.

7.5 Balance Sheets

The balance sheet is a useful tool that underlines the estimated financial situation, factoring in all of the costs as well as any source of income. At times, especially once the business develops, it might feel daunting to be personally in charge of this. A professional accountant can be the easiest solution in this situation.

Look Out For Overestimation

It’s easy to get hyped about your business idea and to oversell without even realizing it. However, this might be perceived as unrealistic and investors might feel lied to, and eventually refrain from giving you their cash. It’s important to maintain as objective as possible and present everything fact-based, without compromising on the benefits of your business.

Contain Both The Pros, and The Cons

An effective clothing brand business plan will never stay away from pinpointing the actual cons of your business. No success ever comes without hardships, so investors are familiar with having to overcome a few cons along the way. Focusing only on the pros of your business will make it look like a scam and potentially scare the investors away.

Keep Your Business Plan Up-To-Date

Once you’ve come to a certain milestone in your business, it is important to keep your business plan up-to-date. This will help you track your progress, maintain your focus on achieving your target, and adapt to the ever-changing market while keeping your investors informed.

If you are able to make it here throughout the article, you're already halfway through the long path of starting your own clothing brand, and we assume that you should know a bit better about your fashion business after the long “self-assessments.” Follow the steps, parts, and structure mentioned in our guide, and start drafting your business plan right now!

Clothing Hub

• How to Find the Best Wholesale Clothing Manufacturer in New York
• What Is MOQ?
• Top 10 Wholesale Clothing Distributors For Your Business
• Finding the Best Clothing Sample Maker for Your Fashion Business
• What Are Overseas Clothing Manufacturers?
• 10 Best Wholesale Clothing Vendors & Suppliers
• How to Find a Garment / Clothing Factory Near Me?
• Where to Buy Clothes in Bulk for Resale?
• How to Start a Clothing Business with Buying Wholesale
• Clothing Distributors vs Wholesale Clothing Manufacturers
• Best High Quality Overseas Clothing Manufacturers
• 10 Best US Wholesale Clothing Vendors, Suppliers, and Distributors
• 10 Best Hemp Clothing Wholesalers
• Top 10 Cheapest Clothing Manufacturers by Country & City
• 10 Best Children’s Clothing Wholesale Suppliers (USA & Global)

Contact us today to discuss your bespoke apparel needs. You can email us at [email protected] or use the form here.

Garment Manufacturing Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Fashion & Style

Woman working in sewing industry on machine

Are you about starting a ready-made garment factory? If YES, here is a complete sample ready-made garment business plan template & feasibility report you can use for FREE .

Okay, so we have considered all the requirements for starting a ready-made garment company. We also took it further by analyzing and drafting a sample ready-made garment marketing plan template backed up by actionable guerrilla marketing ideas for ready-made garment factories. So let’s proceed to the business planning section .

One very good business that is evergreen and remains profitable is the ready – made garment business. Ready-made garments are mass – produced finished textile products of the clothing industry. Ready-made garments are not custom tailored according to measurements, but rather generalized according to anthropometric studies. They are made from many different fabrics and yarns.

Players in the clothes manufacturing industry and related businesses thrive on creativity, branding (media hype) and good marketing. They ensure that they work with the comprehensive data/measurement of a specific region they intend marketing their garments.

No doubt, starting a ready-made garment factory business is capital intensive and you are going to be confronted with competition from all across the globe hence the need to carry out thorough market survey and feasibility studies before venturing into the business.

As a matter of fact, a good number of American investors who have stakes in the industry prefer to situate their production factory in Bangladesh or Thailand. This is due to the fact that they can easily access cheap raw materials and labor plus favorable government policies.

If you are interested in starting a ready-made garment factory, here is a sample ready-made garment factory business plan template that can help you to successfully write yours with little or no difficulty.

A Sample Ready-Made Garment Manufacturing Business Plan Template

1. industry overview.

Players in the Global Ready-Made Garment manufacturing industry produce men, women and children’s apparel. The industry includes manufacturers that purchase fabrics and those that manufacture the fabrics themselves and have fixed operational facilities.

If you observe trends in the Global Ready-Made Garment Manufacturing industry, you will agree that the industry has greatly benefited from an increasing number of consumers choosing to purchase more garments at lesser prices. In few of that, the revenue in this industry is expected rise going forward.

Rising disposable income levels across both developed and emerging economies are expected to be the main driving force behind the industry’s renewed growth. Continually improving global economic conditions are anticipated to benefit the industry over the five years to 2022.

Rising per capita disposable income, coupled with the steady upward trend in the global population, will give way to rising demand for ready-made garment.

The Global Ready-Made Garment Manufacturing industry is indeed a major sector of the economy of the world and the industry generates over $696 billion annually from more than 284,571 ready-made garment manufacturing companies scattered all around the world.

The industry is responsible for the employment of over 11.6 million people. Experts project the ready – made garment manufacturing industry to grow at a 4.5 percent annual rate. Please note that there is no single company that can boast of having a lion share of the available market in this industry.

Research shows that the hurdles to enter into the Global Ready-Made Garment Manufacturing industry are lower in countries like China, Bangladesh and Vietnam.

Governments and companies in these countries actively seek foreign investment to develop the industry and exploit the comparative advantage they have over more developed nations. Industry operators in these countries also have greater access to less costly labor.

On the other hand, it can be costly to acquire capital equipment and machinery to manufacture apparel on a large scale. Companies from developed countries looking to manufacture have to compete with low – cost countries and large multinational companies that have the capability to set up manufacturing operations overseas.

Over and above, the Global Ready-Made Garment Manufacturing industry is a profitable industry and it is open for any aspiring entrepreneur to come in and establish his or her business; you don’t necessarily need to situate your factory in the united states of America if the indices do not favor you. You can take your factory to Bangladesh or elsewhere in Asia or even Africa and South America.

2. Executive Summary

Harrison Cage™ Apparels, Inc. is an international ready-made garment manufacturing company with its administrative and marketing offices located in Austin – Texas and production factory located in Bangladesh. We have been able to secure a large warehouse in a strategic area in Bangladesh that will be converted to our factory. We were able to out rightly buy over the facility with the help of our bank.

Harrison Cage™ Apparels, Inc. will be involved in the mass – production of ready – made garments like Outer clothing (work wear and uniform, leisure wear, sportswear, suits, pants, dresses, ladies’ suits, blouse, blazers, jackets, cardigans, pullovers, coats, sports jackets, skirts, shirts (short- or long-sleeved), ties, jeans, shorts, T-shirts, polo shirts, sports shirts, tracksuits, bathing shorts, bathing suits, bikinis etc.) and Underclothing/Underwear – lingerie (e.g. underpants, undershirts, briefs, socks, stockings, and pantyhose).

Our business goal is to become one of the leading ready-made garment manufacturing companies in the United States and we will make sure that every apparel that leaves our factory can favorably compete with the best brands in the industry.

Our workers are going to be selected from a pool of talented clothes designers, and garment factory workers in and around Austin – Texas, Bangladesh and also from any part of the world as the business grows.

We will make sure that we take all the members of our workforce through the required trainings that will position them to meet the expectation of the company and to compete with leading ready-made garment manufacturing companies in the United States.

We have put plans in place to build a state of the art factory in Bangladesh, which is why we have entered into agreement with some manufacturers of sewing machines to produce customized sewing machines for us that will give us the quality of garments that we want to be known for. Our factory will be well equipped and we will ensure that we follow the trend in the industry.

Harrison Cage™ Apparels, Inc. will manufacture high quality garments for both the high – end customers and also for low income earners; we want to become one of the people’s choice where ever our clothes are put up for sale. Apart from mass production of ready-made garments, we will also be engaged in the customized production of clothes for customers based on their demands.

We are quite aware that there are some clients such as sporting clubs, political parties, schools, churches and organizations that would need quality customized T – shirts for specific purposes and we are well prepared to deliver as requested.

Harrison Cage™ Apparels, Inc. is owned by Harrison Cage and his immediate family members. He is an American fashion enthusiast with over one and half decades worth of experience in the fashion industry. He will occupy the position of the chief executive officer (CEO)/President of the organization.

Harrison Cage has a Degree in Fashion Designing from New York School of Fashion and also an MBA from Harvard Business School. He is a well – respected figure in the fashion industry. Prior to starting Harrison Cage™ Apparels, he was the creative director of one of the world’s leading fashion labels that is based in Paris – France.

3. Our Products and Services

Harrison Cage™ Apparels, Inc. is established with the aim of producing high quality and highly fashionable ready – made garments for men, women, young adults and children. We know that quality is a key factor that will help us sell our brand which is why we have put in place a competent quality assurance team that will ensure that all our clothes meet and even surpass our customers’ expectations.

We will work hard to ensure that Harrison Cage™ Apparels, Inc. is not just accepted nationally in the United States of America, but also in other parts of the world. Here are the products we will be manufacturing;

• Coats and winter clothes
• Suits for men and women
• Leisure clothes
• Children’s and baby clothes
• Work and ethnic clothes

4. Our Mission and Vision Statement

• Our vision is to establish a ready-made garment manufacturing company whose products will not only be sold in the United States of America, but all across the globe.
• Our mission is to build a ready-made garment manufacturing company that will design and mass – produce high quality ready-made garments for male, female, young adults and children; a ready – made garment factory that will grow to command a good percentage of the available market share in the globe.

Our Business Structure

Harrison Cage™ Apparels intends competing favorably with leading ready-made garment manufacturing companies both in the United States and on a global stage.

We are aware of the importance of building a solid business structure that can support the picture of the kind of world class business we want to own. This is why we are committed to only hiring the best hands within our area of operations.

At Harrison Cage™ Apparels, Inc., we will ensure that we hire people that are qualified, hardworking, customer centric and are ready to work to help us build a prosperous business that will benefit all our stakeholders (the owners, workforce, and customers).

As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions;

Chief Executive Officer (Owner), General Manager, Human Resources and Admin Manager, Sales and Marketing Executive, Accountant, Fashion Designers (With Bias in corporate and casual clothes), Quality Control Officer, Tailors, and Factory Workers.

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions.
• Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
• Accountable for fixing prices and signing business deals
• Responsible for providing direction for the business
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the organization
• Reports to the board

General Manager:

• Develops strategic plan by studying technological and financial opportunities; presenting assumptions; recommending objectives.
• Accomplishes subsidiary objectives by establishing plans, budgets, and results measurements; allocating resources; reviewing progress; making mid-course corrections.
• Coordinates efforts by establishing procurement, production, marketing, field, and technical services policies and practices; coordinating actions with corporate staff.
• Builds company image by collaborating with customers, government, community organizations, and employees; enforcing ethical business practices.
• Maintains quality service by establishing and enforcing organization standards.
• Responsible for supervising all the employees
• Ensures that the organization operates within stipulated budget.

Human Resources and Admin Manager

• Responsible for overseeing the smooth running of HR and administrative tasks for the organization
• Regularly hold meetings with key stakeholders to review the effectiveness of HR Policies, Procedures and Processes
• Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
• Defines job positions for recruitment and managing interviewing process
• Carries out induction for new team members
• Responsible for training, evaluation and assessment of employees
• Responsible for arranging travel, meetings and appointments
• Oversees the smooth running of the daily office activities.

Sales and Marketing Manager

• Manages external research and coordinates all the internal sources of information to retain the organizations’ best customers and attract new ones
• Models demographic information and analyzes the volumes of transactional data generated by customer purchases
• Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
• Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
• Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
• Develops, executes and evaluates new plans for expanding sales
• Documents all customer contact and information
• Helps to increase sales and growth for the company

Accountant/Cashier:

• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects.
• Responsible for financial forecasting and risks analysis.
• Performs cash management, general ledger accounting, and financial reporting
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the organization
• Serves as internal auditor for the organization

Fashion Designers

• Responsible for designing clothes to meet the latest trend
• Stays abreast of the dynamics in the fashion industry with key interest in corporate and casual clothes
• Researches and advice the organization on style, size, anthropometric studies and other trendy fashion statements.

Quality Control Officer

• Ensures that all the corporate and casual ready – made garments in our production line meets the required quality before they are released in the market
• Makes certain that production and manufacturing lines perform efficiently, coordinate employee efforts, and facilitate communication between management and production departments.
• Devises ways of improving the manufacturing process to ensure higher-quality and durable garments
• Ensures that manufacturing production lines run smoothly and generate a consistently suitable output for their employers
• Ensures that the organization work in line with international best practices
• Handles any other responsibility as assigned by the general manager

Tailors (Industrial Sewing Machine Operators)

• Responsible for sewing corporate and casual clothes as instructed by the supervisor / fashion designer
• Handles any other duty as assigned by the general manager

Factory Workers:

• Responsible for ironing and packaging apparels
• Responsible for movement of equipment and raw materials as required
• Cleans both the interior and exterior of the factory, machines and other equipment
• Handle any other duty as assigned by the general/floor manager.

6. SWOT Analysis

Harrison Cage™ Apparels, Inc. plans to build a world class ready – made garments factory that will manufacture a wide range of garments for men, women, young adult and children. We will be based in Austin Texas with our factory located in Bangladesh, but we will not restrict the sale of our clothes to the U.S market alone, we will sell our ready – made garments in other parts of the world.

In other to achieve this in a highly competitive industry like this, we must ensure that we look through our strengths, weaknesses, the opportunities available in the industry and the threats that we will are likely going to face.

Because of the nature of the business we are involved in and the brand we want to build, we hired the services of an HR and Business consultant with bias in fashion and retailing to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives.

Here is the summary of the SWOT analysis that was conducted for Harrison Cage™ Apparels, Inc.;

Our strength lies in the high quality of our finished garments, the power of our team and our state of the art and well – equipped factory.

We have a team of highly trained tailors and support staff members that can produce top notch ready – made garments. We are well positioned in the heart of Austin – Texas and we know we will attract loads of clients from the first day we push our ready – made garments into the market.

A major weakness that may count against us is the fact that we are a new garments manufacturing company and we don’t have the financial capacity to compete with multi – billion dollar garment manufacturing companies when it comes to manufacturing at rock bottom prices.

So also, we may not have enough cash reserve to promote our ready – made garments manufacturing company the way we would want to, especially when it comes to signing first – class celebrities to model for us.

• Opportunities:

One thing is certain, whether good or bad, people will always look for clothes to wear and they usually go for casual clothes because it is cheap. So, the opportunity for ready – made garment manufacturers to sell their apparels is massive and we hope to leverage on these opportunities to sell our ready – made apparels.

Just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing power. Another threat that may likely confront us is the arrival of a new ready – made garments manufacturing company in same location where our target market exists who may want to adopt same business model like us.

7. MARKET ANALYSIS

• Market Trends

In recent time, the clothing industry relies more on mass market sales for them to make the kind of income that will sustain the business. The mass market takes care of a wide range of customers that cuts across both the rich and the poor.

Most of the new clothing lines that are trying to catch up with the market ensures that they produce ready-to-wear clothes using trends set by leading fashion labels.

What they do is that they try to see the direction of the trend as established by renowned fashion brands before producing their own versions of the original look by making use of cheaper fabrics and simpler production processes which can easily be done by machines.

They can comfortably sell such product at a cheaper price to the masses who can’t afford to buy the original which is often way too expensive.

Clothes manufacturers now leverage on the runway – fashion expo to promote and attract market for their products. Any fashion designer who is recognized in Paris, Milan, New York City, or London can comfortably become a global recognized fashion label.

Small startup garment manufacturing companies leverage on small markets such as companies, churches, schools, organized groups and sport fans to sell their clothes. These group of people can order large quantities of customized clothes for special purposes.

For example, a political party may enter into a business deal with a ready – made garments manufacturing company to help them mass – produce shirts to be used by their supporters during political rallies and campaigns.

8. Our Target Market

When it comes to selling ready – made garments, there is indeed a wide range of available customers. In essence, our target market can’t be restricted to just a group of people, but all those who reside in the locations where we intend retailing our ready – made apparels.

Despite the fact that Harrison Cage™ Apparels, Inc. will start operation from a single factory in Bangladesh, we have a holistic view of the kind of business we want to build; we want to grow to the level where we will build factories in Thailand and China.

Our clothes is going to be designed to penetrate not just the United States market, but also the world’s clothing industry.

We want people from all walks of life across the globe to someday put on our garments; we want to see our clothes being worn in Paris, in London, in Tokyo, in Lagos, in Madrid, in Johannesburg, in Bueno Aries, in Sao Paulo, in Port Elizabeth, in Dubai and all over the world. We are in business to retail our ready – made garments to the following groups of people;

• Businesses and Corporate Organizations
• Every adult that resides within the locations where our clothes will be retailed

Our Competitive Advantage

A close study of the global ready – made garment manufacturing industry reveals that the market has become much more intensely competitive over the last decade. As a matter of fact, you have to be highly creative, customer centric and proactive if you must survive in this industry.

We are aware of the competition and we are prepared to compete favorably with other garment manufacturing companies both in the United States of America and other part of the world.

Another competitive advantage for Harrison Cage™ Apparels, Inc. is the quality and robust wealth of experience of its management team. Our management team comprises of professionals who have worked with some of the leading international brands in the ready – made garments industry.

Our latest machines and equipment also count towards our advantage especially when it comes to competing with other clothes manufacturing companies within the same category that we operate. The quality of every apparel that comes out of our production line must be certified OK before they are released to the market.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category in the industry, meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives.

We will also give good working conditions and commissions to freelance sales agents that we will recruit from time to time.

9. SALES AND MARKETING STRATEGY

• Sources of Income

Harrison Cage™ Apparels, Inc. is in business to retail a wide range of ready – made garments in the United States and other countries of the world. We are in the industry to maximize profits and we are going to go all the way out to ensure that we achieve or business goals and objectives. Our source of income will be the manufacturing and retailing of a wide range of;

• Outer clothing (work wear and uniform, leisure wear, sportswear, suits, pants, dresses, ladies’ suits, blouse, blazers, jackets, cardigans, pullovers, coats, sports jackets, skirts, shirts (short- or long-sleeved), ties, jeans, shorts, T-shirts, polo shirts, sports shirts, tracksuits, bathing shorts, bathing suits, bikinis etc.)
• Underclothing/Underwear – lingerie (e.g. underpants, undershirts, briefs, socks, stockings, and pantyhose).

10. Sales Forecast

One thing is certain when it comes to the ready – made garments manufacturing business, if you manufacture a wide range of garments, you will always attract customers cum sales and that will sure translate to increase in revenue for the business.

We are well positioned to take on the available market in and around Austin – Texas and we are quite optimistic that we will meet our set target of generating enough income from the first six month of operations. Below is the sales projection for Harrison Cage™ Apparels, Inc., it is based on the location of our business and other factors as it relates to garments manufacturing company startups in the United States;

• First Fiscal Year: $550,000
• Second Fiscal Year: $950,000
• Third Fiscal Year: $1.5 Million

N.B : This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor producing same designs as we do within same location where our market exists. Please note that the above projection might be lower and at the same time it might be higher.

• Marketing Strategy and Sales Strategy

Before choosing a location for Harrison Cage™ Apparels, Inc., we conducted a thorough market survey and feasibility studies in order for us to be able to penetrate the available and become the preferred garment choice. We have detailed information and data that we were able to utilize to structure our business to attract the number of customers we want to attract per time.

We hired experts who have good understanding of the ready – made garments manufacturing industry to help us develop marketing strategies that will help us achieve our business goal of winning a larger percentage of the available market in the United States of America and the world.

In summary, Harrison Cage™ Apparels, Inc. will adopt the following sales and marketing approach to win customers over;

• Introduce our clothing label by sending introductory letters to schools, corporate organizations, political parties, groups, and other establishments.
• Attend fashion expos in the U.S and in other parts of the world
• Organize our own fashion show in order for us to display our designs
• Advertise our clothing label in newspapers, TV and radio stations
• Canvass celebrities to wear and help us promote our clothing label
• List our business on yellow pages ads
• Leverage on the internet to promote our business
• Engage in direct marketing
• Leverage on word of mouth marketing (referrals)

11. Publicity and Advertising Strategy

Beyond every reasonable doubt, the media plays a very big role when it comes to helping a clothing labels gain international significance.

The social media also plays an important role in modern day fashion advertisement; it gives clothing labels the ability to reach out to a wide range of customers all over the world within a short period of time and of course at a very cheaper price when compared to other advertising platforms.

Any player in the global garment manufacturing industry that wants to take on the market must be deliberate when it comes to building brand awareness and credibility. Most often than not, big clothing labels ensure that they create great hype whenever they are about to release any design from their stable.

Social media such as blogs, podcasts, photo and video sharing sites are some of the tools fashion designers leverage on to promote their labels.

Some of the preferred social media platforms that are used in the fashion industry are Instagram, Tumblr, WordPress, Facebook, twitter, YouTube and other sharing sites. Here are the platforms we intend leveraging on to promote and advertise Harrison Cage™ Apparels, Inc.;

• Place adverts on both print (newspapers and fashion magazines) and electronic (radio and TV) media platforms
• Sponsor relevant community programs like school fashion shows et al
• Leverage on the internet and social media platforms like Instagram, Tumblr, WordPress, Facebook, twitter, YouTube and other sharing sites to promote our brand
• Attend local and intentional fashion expos
• Organize our own fashion show
• Promote our clothing label on our own official websites and online fashion community
• Build relationship with celebrities especially in the entertainment industry

12. Our Pricing Strategy

The prices for all our corporate and casual ready – made apparels will be affordable and at the same time competitive with what is obtainable in the global ready – made garments manufacturing industry.

• Payment Options

The payment policy adopted by Harrison Cage™ Apparels, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Harrison Cage™ Apparels, Inc. will make available to her clients;

• Payment via bank transfer
• Payment via credit cards/Point of Sale Machines (POS Machines)
• Payment via online bank transfer
• Payment via check
• Payment via mobile money transfer
• Payment via bank draft

In view of the above, we have chosen banking platforms that will enable our clients make payment for ready – made garments purchased without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfers.

13. Startup Expenditure (Budget)

In setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be productive.

The machines and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked. As for the detailed cost analysis for starting a cloth manufacturing business; it might differ in other countries due to the value of their money.

These are the key areas where we will spend our startup capital;

• The total fee for registering the business in the United States of America – $750.
• Legal expenses for obtaining licenses and permits as well as the accounting services (software, P.O.S machines and other software) – $3,300.
• Marketing promotion expenses for the grand opening of Harrison Cage™ Apparels, Inc. in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
• The total cost for hiring business consultant – $2,500.
• The total cost for the purchase of insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
• The cost for payment of lease for manufacturing factory for 24 months – $350,000
• Factory remodeling (construction of racks and shelves) – $20,000
• The amount required for the purchase of industrial sewing machines and clothes making tools – $200,000
• Other start-up expenses including stationery ( $500 ) and phone and utility deposits ( $2,500 ).
• Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $250,000
• The cost for start-up inventory – $100,000
• The cost for store equipment (cash register, security, ventilation, signage) – $13,750
• The cost of purchase and installation of CCTVs – $5,000
• The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al) – $4,000.
• The cost of launching a website – $600
• The cost for our opening party – $5,000
• Miscellaneous – $5,000

We would need an estimate of $2.5 million to successfully set up our ready-made garment manufacturing factory.

Generating Startup Capital for Harrison Cage™ Apparels, Inc.

Harrison Cage™ Apparels, Inc. is a family business that is solely owned and financed by Harrison Cage and his immediate family members. They do not intend to welcome any external business partners which is why he has decided to restrict the sourcing of the startup capital to 3 major sources.

• Generate part of the start – up capital from personal savings
• Source for soft loans from family members and friends
• Apply for loan from my Bank

N.B: We have been able to generate about $500,000 ( Personal savings $400,000 and soft loan from family members $100,000 ) and we are at the final stages of obtaining a loan facility of $2 million from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.

14. Sustainability and Expansion Strategy

One of our major goals of starting Harrison Cage™ Apparels, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to retail our ready – made garments a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.

Harrison Cage™ Apparels, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.

We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List/Milestone

• Business Name Availability Check: Completed
• Business Registration: Completed
• Opening of Corporate Bank Accounts: Completed
• Securing Point of Sales (POS) Machines: Completed
• Opening Mobile Money Accounts: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of Insurance for the Business: Completed
• Leasing of facility and remodeling the factory and office: In Progress
• Conducting Feasibility Studies: Completed
• Generating capital from family members: Completed
• Applications for Loan from the bank: In Progress
• Writing of Business Plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents and other relevant Legal Documents: In Progress
• Design of The Company’s Logo: Completed
• Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
• Recruitment of employees: In Progress
• Purchase of industrial sewing machines and sewing equipment / tools: In Progress
• Purchase of the needed furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business both online and around the community: In Progress
• Health and Safety and Fire Safety Arrangement (License): Secured
• Opening party/launching party planning: In Progress
• Compilation of our list of ready – made garments that we will be producing: Completed
• Establishing business relationship with vendors – suppliers of textile (fabrics), sewing accessories and related merchandize, clothes wholesalers and other stake holders: In Progress

Related Posts:

• Online Jewelry Store Business Plan [Sample Template]
• Textile Shop Business Plan [Sample Template]
• Sunglasses Line Business Plan [Sample Template]
• Fashion Stylist Business Plan [Sample Template]
• Leggings Manufacturing Business Plan [Sample Template]

NASA is asking for help to retrieve Mars samples that could be the first evidence of alien life

• NASA's Perseverance Mars rover is collecting samples that could be evidence of ancient alien life.
• But NASA's Mars Sample Return mission to bring them to Earth will now cost $11 billion and take two decades.
• NASA is scrapping that plan now and asking companies for a better idea.

NASA bit off more than it could chew when it sent the Perseverance rover to Mars to collect samples.

The $2.4 billion mission landed the rover in Jezero Crater , the site of an ancient lake. It's the ideal spot to search for the fossils of Martian microbes that may have existed when the planet was lush with lakes and rivers.

Perseverance's main mission is to collect samples of the rock and sediment along the lake bed and the crater rim, in hopes of finding a sign that life once thrived on the red planet. The rover has done a fine job — so far it's secured 24 samples — but NASA no longer knows how it's going to bring them to Earth for analysis.

NASA's original design for the retrieval mission, called Mars Sample Return, has fallen apart. The agency is asking companies to step in and propose better ideas.

"We are looking at out-of-the-box possibilities that could return the samples earlier and at a lower cost," Nicola Fox, head of NASA's Science Mission Directorate, said in a press briefing on Monday. "This is definitely a very ambitious goal. We're going to need to go after some very innovative new possibilities for design, and certainly leave no stone unturned."

NASA's old plan costs $11 billion and takes too long

NASA's original proposal for the Mars Sample Return is "mind-bendingly complicated," David Parker, director of space exploration at the European Space Agency, said in 2021.

The idea was to launch two rockets toward Mars, one carrying a lander and one carrying an orbiter.

Related stories

The lander would be the largest ever sent to Mars. It would touch down near the stash of samples that Perseverance set up, deploy a rover to fetch the sample tubes, and load them onto a small rocket attached to the lander.

Then the rocket would launch the samples into Mars orbit, where it would eject them toward the orbiter, which would be the largest spacecraft NASA ever sent to Mars.

The orbiter would have to grab the samples, journey back to Earth , and drop the sample vessel on a fiery plummet to our planet's surface, where a team would retrieve them.

The mission plan relied about $4 billion in new technology and a decade of mission design and construction.

But the projected cost has ballooned to $8 to $11 billion since Perseverance touched down at Jezero Crater. Independent reviews have also concluded that instead of one decade to bring the samples to Earth, it would take two.

"The bottom line is that $11 billion is too expensive, and not returning samples until 2040 is unacceptably too long," NASA Administrator Bill Nelson said in the briefing. "It's the decade of the 2040s that we're going to be landing astronauts on Mars."

At the current price tag, Mars Sample Return would "cannibalize" other NASA missions, Nelson said. So the agency is calling all hands on deck, inside and outside of NASA, to come up with a new plan.

NASA wants companies with 'tried-and-true' technology

Fox said that NASA needs to see short proposals from companies or laboratories by May 17. Then the agency will choose a few of those competitors to further develop their ideas over a 90-day period, with complete proposals on NASA's desk by late fall or early winter.

Some of NASA's most tried-and-true contractors include Lockheed Martin, Northrop Grumman, Boeing, and SpaceX. Startups like Astrobotic and Intuitive Machines are getting their foot in the NASA door through the agency's new moon program.

"What we're hoping is that we will be able to get back to some more traditional tried-and-true architectures," Fox said. "Anything requiring huge leaps in technology usually, from experience, takes a lot of time."

As for the return trip from Mars to Earth , that will be a technological leap no matter what.

"We've never launched from another planet, and that's actually what makes Mars Sample Return such a challenging and interesting mission because it really is the first of a kind," Fox said.

Watch: This asteroid dirt might explain the origins of life on Earth

• Main content

Sample Fashion Business Plan

Writing a business plan is a crucial step in starting a fashion business. Not only does it provide structure and guidance for the future, but it also helps to create funding opportunities and attract potential investors. For aspiring fashion business owners, having access to a sample fashion business plan can be especially helpful in providing direction and gaining insight into how to draft their own fashion business plan.

Download our Ultimate Fashion Business Plan Template

Having a thorough business plan in place is critical for any successful fashion venture. It will serve as the foundation for your operations, setting out the goals and objectives that will help guide your decisions and actions. A well-written business plan can give you clarity on realistic financial projections and help you secure financing from lenders or investors. A fashion business plan example can be a great resource to draw upon when creating your own plan, making sure that all the key components are included in your document.

The fashion business plan sample below will give you an idea of what one should look like. It is not as comprehensive and successful in raising capital for your fashion as Growthink’s Ultimate Fashion Business Plan Template , but it can help you write a fashion business plan of your own.

Fashion Business Plan Example – VogueVista Designs

Table of contents, executive summary, company overview, industry analysis, customer analysis, competitive analysis, marketing plan, operations plan, management team, financial plan.

Based in the vibrant city of Portland, VogueVista Designs is a forward-thinking fashion brand that aims to revolutionize the industry with our unique blend of sustainable, trendy, and personalized apparel. Our mission is to cater to the individualistic spirit of our customers, offering them pieces that not only stand out but also resonate with their personal style and values. With sustainability at our core, we are committed to using eco-friendly materials and processes, ensuring that each piece we create not only looks good but also benefits the planet. Our dedication to innovation, quality, and environmental stewardship positions us as a leading fashion brand in Portland and beyond.

Our success can be attributed to several key factors, including our commitment to sustainability, which has resonated well with our target market in Portland, known for its environmental consciousness. We have also excelled in creating a strong brand identity that appeals to the fashion-forward and individualistic customers we target. Our accomplishments to date include the successful launch of several fashion lines that have been well-received by the market, establishing a loyal customer base, and forging partnerships with local suppliers to ensure the sustainability of our products. These achievements underscore our potential for growth and our capacity to become a dominant player in the fashion industry.

The fashion industry is undergoing a significant transformation, with sustainability and technology driving major changes in how apparel is designed, produced, and consumed. Consumers are increasingly favoring brands that demonstrate environmental responsibility and offer personalized experiences. This shift represents a tremendous opportunity for VogueVista Designs, as we are positioned at the intersection of these trends. Our focus on eco-friendly materials and processes, along with our ability to tailor our offerings to the unique tastes and preferences of our customers, aligns with the industry’s direction. Moreover, the rise of e-commerce and digital marketing presents new avenues for us to reach and engage with our target market, further enhancing our growth potential in a changing landscape.

Our target customers are the fashion-forward residents of Portland, who prioritize sustainability and individuality in their apparel choices. We cater to a diverse demographic, including young, trend-setting individuals active on social media, professionals seeking stylish yet work-appropriate attire, and those who appreciate unique pieces that reflect their personal style. By understanding and responding to the eclectic tastes of this community, VogueVista Designs is uniquely positioned to meet their needs, ensuring that our offerings not only resonate with our clientele but also encourage brand loyalty and engagement.

In the competitive landscape of Portland’s fashion industry, VogueVista Designs stands out due to our unwavering commitment to sustainability, our innovative approach to fashion, and our strong community engagement. Our competitors may offer similar products, but our brand’s dedication to environmental responsibility and our ability to create personalized, trend-setting apparel set us apart. These competitive advantages not only differentiate us in the market but also align with the growing consumer demand for sustainable and unique fashion options, positioning VogueVista Designs for continued success and growth.

Our marketing strategy centers around showcasing our unique, sustainable, and fashion-forward products through a mix of traditional and digital channels. Pricing is carefully considered to reflect the quality and sustainability of our materials, while remaining accessible to our target market. We will leverage social media to engage with our customers, share our brand story, and showcase our products through visually compelling content. Special promotions and collaborations with influencers will further amplify our reach. Additionally, we plan to participate in local fashion events to build community engagement and brand recognition. Our promotions plan is designed to create a cohesive and engaging brand experience that resonates with our target customers and drives sales.

Our operations are focused on ensuring excellence across customer service, inventory management, product development, marketing, sales, and quality control. Key processes include efficient handling of customer inquiries, maintaining accurate inventory levels, developing trend-aligned fashion lines, and implementing effective marketing strategies. We are committed to continuous improvement and will monitor and adjust our operations to meet customer needs and market demands. Our milestones include launching new collections, expanding our online presence, and achieving specific sales targets, all aimed at establishing VogueVista Designs as a leading sustainable fashion brand.

Our management team comprises experienced professionals with diverse backgrounds in fashion design, business management, marketing, and sustainability. This blend of expertise ensures that VogueVista Designs is not only at the forefront of fashion trends but also operates efficiently and sustainably. The team’s shared vision for the brand and its commitment to innovation, quality, and environmental stewardship are fundamental to our success and growth.

Welcome to VogueVista Designs, a beacon of fashion innovation located in the vibrant city of Portland, OR. As a pioneering local fashion business, we are thrilled to fill a significant gap in the market by providing high-quality fashion products and services. The absence of high-caliber local fashion establishments in the area has led us to seize this opportunity to serve our community with unparalleled style and creativity.

Our offerings encompass a broad spectrum of fashion-related products and services. At VogueVista Designs, customers can explore an exquisite selection of clothing, accessories, and footwear that cater to diverse tastes and occasions. Beyond apparel, we extend our passion for aesthetics into beauty products, ensuring our clientele can achieve their desired looks from head to toe. Additionally, we recognize the importance of a harmonious living space in fostering creativity and comfort, which is why we also provide an array of home goods. Each product in our portfolio is carefully curated or designed with the modern consumer in mind, ensuring quality, uniqueness, and style.

Strategically based in Portland, OR, VogueVista Designs is perfectly positioned to serve the local community with our innovative fashion solutions. Our physical presence in the city not only makes us accessible but also allows us to contribute positively to the local economy and cultural landscape.

The potential for VogueVista Designs to flourish in Portland is immense, thanks to several key factors. Firstly, our founder brings invaluable experience from previously running a successful fashion business, ensuring that we have the knowledge and expertise to navigate the industry successfully. Additionally, our commitment to creating superior fashion designs sets us apart from the competition, allowing us to offer our customers something truly unique and desirable.

Since our inception on January 6, 2024, as a Sole Proprietorship, VogueVista Designs has made significant strides towards establishing a strong presence in the fashion industry. Our journey began with the creation of a distinctive logo and the careful selection of our company name, which collectively embody our brand’s ethos and aesthetic. Finding an ideal location for our business was another crucial step, enabling us to lay a solid foundation for our operations and future growth. As we continue to build on these accomplishments, we are excited about the opportunities that lie ahead and remain committed to making a lasting impact on the fashion scene in Portland and beyond.

The Fashion industry in the United States is a significant market, with an estimated size of $390 billion in 2021. This industry encompasses a wide range of products and services, including clothing, accessories, footwear, and cosmetics. The market is expected to continue growing steadily, with a projected annual growth rate of 3.5% over the next five years.

One of the key trends in the Fashion industry is the increasing demand for sustainable and ethically produced products. Consumers are becoming more conscious of the environmental and social impact of their purchases, leading to a shift towards eco-friendly and socially responsible brands. This trend bodes well for VogueVista Designs, as the company focuses on creating stylish and sustainable fashion pieces for customers in Portland, OR.

Another trend in the Fashion industry is the rise of online shopping and e-commerce. With the increasing prevalence of online retail platforms, consumers have more options than ever to shop for clothing and accessories online. VogueVista Designs can take advantage of this trend by establishing a strong online presence and reaching a wider audience of customers beyond their local market in Portland.

Below is a description of our target customers and their core needs.

Target Customers

VogueVista Designs will target the fashion-forward demographic within the local residents of Portland, known for its unique blend of urban and outdoor lifestyles. This segment is characterized by individuals who value sustainability, individuality, and are always on the lookout for unique pieces that stand out. The company will tailor its offerings to meet the eclectic tastes of this community, ensuring that each piece resonates with the personal style of its clientele.

The brand will also focus on the younger, trend-setting population that thrives on social media platforms. This segment is crucial for building brand recognition and fostering a community around VogueVista Designs. By creating trendy, Instagram-worthy apparel, the company will attract customers eager to share their fashion finds with followers, thus amplifying its reach and influence within the Portland area.

Moreover, VogueVista Designs will cater to the needs of professionals looking for stylish yet work-appropriate attire. This customer segment values quality and versatility in their wardrobe, seeking pieces that can transition seamlessly from the office to social gatherings. The brand will emphasize designs that blend functionality with fashion-forward elements, ensuring that their offerings meet the diverse needs of Portland’s working professionals.

Customer Needs

VogueVista Designs understands the importance of offering high-quality fashion designs that meet the desires of discerning customers. These customers expect more than just clothing; they seek unique, well-crafted pieces that stand out in a crowd. By focusing on superior craftsmanship and innovative designs, VogueVista Designs ensures that their clientele can express their individuality and style with confidence.

In addition to providing high-quality fashion, VogueVista Designs recognizes the growing demand for sustainable and ethically produced clothing. Consumers are increasingly mindful of their environmental footprint and the ethical implications of their purchases. VogueVista Designs caters to this need by incorporating eco-friendly materials and fair labor practices, allowing customers to look good while doing good.

Finally, VogueVista Designs offers personalized service that enhances the shopping experience. Customers appreciate the attention to detail and the customized approach that allows them to find pieces that perfectly suit their tastes and body types. This commitment to personalization ensures that each customer leaves feeling valued and confident in their fashion choices.

VogueVista Designs’s competitors include the following companies:

Boys Fort specializes in a curated collection of men’s gifts, accessories, and home decor. They offer a unique shopping experience that blends lifestyle products with a rustic, masculine aesthetic. Price points vary across their range, catering to mid-range budgets. Boys Fort operates primarily out of its single location in Portland, OR, serving a local customer base. Their key strength lies in their niche focus on men’s lifestyle products, creating a strong brand identity. However, their limited presence to one location could be seen as a weakness, restricting their market reach.

Crafty Wonderland is a hub for handmade gifts and goods, featuring products from local artisans and crafters. They offer a wide array of items from art prints to jewelry, and home goods, appealing to customers looking for unique, locally-made items. Prices are generally affordable, aiming to make handmade crafts accessible to a broad audience. Crafty Wonderland has a storefront in Portland, OR, and also hosts large craft markets, expanding their reach. They serve customers looking for unique, artisan items across various demographics. A key strength is their support for local artisans, fostering a community around local craft. However, their reliance on craft markets and a single store location could be seen as limiting their growth potential. lululemon, although not based in Portland, has a significant presence in the city with multiple store locations. They specialize in high-quality athletic wear and accessories for men and women.

Lululemon positions itself in the high-end market, with price points reflecting the premium quality of their products. They generate substantial revenue, with a global presence and a strong brand in the athletic apparel industry. lululemon serves a wide range of customers looking for premium athletic and leisurewear, from fitness enthusiasts to casual consumers seeking quality. Their key strengths include a strong brand loyalty and a wide range of high-quality products. A potential weakness could be their higher price points, which may limit accessibility for some customers.

Competitive Advantages

At VogueVista Designs, we pride ourselves on our ability to deliver superior fashion designs that set us apart from the competition. Our team of innovative designers is constantly on the pulse of the latest trends and techniques in fashion, allowing us to create unique and appealing pieces that cater to a wide range of tastes and preferences. We understand that fashion is not just about wearing clothes; it’s an expression of individuality. That’s why we focus on creating designs that not only look good but also resonate with our customers on a personal level. This commitment to excellence in design is one of our key competitive advantages, enabling us to attract and retain a loyal customer base.

In addition to our standout designs, another competitive advantage we hold is our dedication to quality and sustainability. We carefully select high-quality, eco-friendly materials for our collections, ensuring that our products are not only stylish but also durable and kind to the planet. This attention to detail extends to our craftsmanship, with each piece being meticulously constructed to meet the highest standards of quality. By integrating sustainability into our business model, we not only contribute to a healthier environment but also appeal to the growing number of consumers who prioritize eco-conscious products. This combination of innovative design, quality, and sustainability positions us strongly in the competitive fashion landscape of Portland and beyond.

Our marketing plan, included below, details our products/services, pricing and promotions plan.

Products and Services

VogueVista Designs prides itself on offering a diverse range of products that cater to the fashion-forward individuals of today. With a keen eye for the latest trends and a commitment to quality, customers can find everything they need to elevate their style, from clothing to home goods. Each product category not only showcases the best of contemporary design but also comes with an average selling price that reflects VogueVista Designs’ commitment to delivering value to their customers.

In the realm of clothing, VogueVista Designs offers an extensive selection that caters to various styles, occasions, and preferences. Customers can expect to find everything from casual wear that’s perfect for everyday outings to more formal attire suitable for special events. The average selling price for clothing items is approximately $50, balancing affordability with quality. This price point ensures that customers can access the latest fashion trends without breaking the bank.

Accessories are an essential part of VogueVista Designs’ product lineup, offering customers the perfect finishing touches to their outfits. From statement jewelry pieces to stylish scarves and hats, there’s something for everyone. The accessories are thoughtfully curated to complement the clothing offerings, ensuring a cohesive look. Customers can expect the average selling price for accessories to be around $30, making it easy to update their style with new pieces regularly.

Footwear at VogueVista Designs is all about combining comfort with style. The selection includes everything from casual sneakers to elegant heels, ensuring there’s a pair of shoes for every occasion. The footwear collection is designed to meet the needs of fashion-conscious individuals who do not want to compromise on comfort. The average selling price for footwear is set at $70, reflecting the quality materials and craftsmanship that go into each pair.

Beauty products are a newer addition to VogueVista Designs’ offerings, featuring a range of skincare and makeup items that cater to diverse beauty needs. The beauty products are carefully selected to ensure they meet the high standards of quality and efficacy that VogueVista Designs’ customers expect. With an average selling price of $25, these beauty products are accessible to those looking to enhance their skincare routine or makeup collection without a hefty price tag.

Last but not least, VogueVista Designs brings contemporary style into the home with its selection of home goods. From chic decorative items to functional pieces that add a touch of elegance to any space, the home goods collection is perfect for those looking to infuse their living spaces with style. Customers can find these items at an average selling price of $40, making it possible to refresh one’s home decor without significant investment.

Overall, VogueVista Designs offers a comprehensive range of products that cater to the modern consumer’s lifestyle needs. With competitive pricing across all categories, customers can indulge in updating their wardrobe, beauty regime, and home with the latest trends and quality products.

Promotions Plan

VogueVista Designs embarks on a journey to captivate and expand its clientele through a blend of innovative and traditional promotional tactics. At the heart of its strategy lies online marketing, a powerful tool that will engage customers where they spend a significant portion of their time. Through the implementation of social media campaigns, VogueVista Designs will leverage platforms such as Instagram, Facebook, and Pinterest, where visual appeal plays a crucial role in attracting fashion enthusiasts. The company will curate engaging content, showcasing its unique designs, behind-the-scenes looks, and fashion tips to foster a strong community of followers.

In addition to online marketing, VogueVista Designs will utilize email marketing to directly reach customers. By creating a subscription-based newsletter, the brand will keep its audience updated on the latest collections, exclusive offers, and fashion events. This personalized approach will not only enhance customer loyalty but also drive traffic to its website and physical store in Portland, OR.

Understanding the importance of local presence, VogueVista Designs will also engage in community events and partnerships. Participating in local fashion shows, pop-up shops, and collaborations with local influencers and businesses will amplify its visibility within Portland. These efforts will not only introduce VogueVista Designs to a wider audience but also establish it as a key player in the local fashion scene.

Furthermore, VogueVista Designs will implement a referral program, encouraging satisfied customers to spread the word in exchange for discounts or special offers. This word-of-mouth marketing tactic will leverage the trust and satisfaction of existing customers to attract new ones. Additionally, the brand will explore opportunities for press coverage in fashion magazines and blogs, highlighting its fresh perspective and innovative designs to capture the interest of a broader audience.

In conclusion, VogueVista Designs will employ a multifaceted approach to promotion, combining the far-reaching capabilities of online marketing with the authenticity and engagement of local community involvement and partnerships. By tailoring its strategies to meet the dynamic needs and preferences of its target audience, VogueVista Designs expects to establish a strong brand presence and attract a loyal customer base in Portland, OR, and beyond.

Our Operations Plan details:

• The key day-to-day processes that our business performs to serve our customers
• The key business milestones that our company expects to accomplish as we grow

Key Operational Processes

To ensure the success of VogueVista Designs, there are several key day-to-day operational processes that we will perform.

• Respond promptly to customer inquiries and feedback via phone, email, or social media.
• Process orders, returns, and exchanges efficiently to ensure customer satisfaction.
• Collect and analyze customer feedback to identify areas for improvement and adjust services accordingly.
• Maintain accurate records of inventory levels to prevent stockouts and excess inventory.
• Conduct regular inventory audits to ensure accuracy and identify discrepancies.
• Order new supplies and restock popular products to meet customer demand.
• Research current fashion trends and customer preferences to guide new product development.
• Collaborate with designers to create new fashion lines and individual pieces that align with the brand’s vision.
• Review and refine prototypes and final products to ensure quality and customer appeal.
• Develop and implement marketing strategies to promote new products and special events.
• Manage social media accounts to engage with customers and build a strong online presence.
• Create compelling content, including photos and videos, to showcase products and fashion lines.
• Monitor daily sales performance and adjust strategies as needed to meet revenue targets.
• Manage expenses and budgets to ensure profitability and sustainable growth.
• Prepare financial reports and forecasts to inform decision-making and strategy planning.
• Ensure the website is user-friendly, up-to-date, and accurately reflects the brand’s products and values.
• Optimize the online shopping experience to make it easy for customers to browse and purchase products.
• Analyze website traffic and customer behavior to improve functionality and increase online sales.
• Implement strict quality control measures to ensure all products meet the brand’s high standards.
• Ensure compliance with local, state, and federal regulations affecting the fashion industry.
• Address any quality or compliance issues promptly to maintain brand integrity and customer trust.

VogueVista Designs expects to complete the following milestones in the coming months in order to ensure its success:

• Secure a Physical Location and Online Platform: Finding a strategically located storefront in Portland, OR, and launching an aesthetically pleasing, user-friendly online shop.
• Permits and Licenses Acquisition: Obtaining all necessary permits and licenses to legally operate in the fashion industry, ensuring compliance with local, state, and federal regulations.
• Initial Inventory Procurement: Sourcing and purchasing an initial inventory that aligns with VogueVista Designs’ brand identity and target market preferences.
• Launch Our Fashion Business: Officially opening the physical store and online platform with a launch event to generate buzz and attract our first customers.
• Marketing and Branding Initiatives: Implementing a strategic marketing campaign that includes social media marketing, influencer partnerships, and local advertising to build brand awareness and drive traffic.
• Build a Strong Team: Hiring and training a team of passionate individuals who believe in the brand and can deliver exceptional customer service both in-store and online.
• Establish Operational Efficiencies: Setting up an efficient inventory management system, customer relationship management (CRM) tool, and financial accounting system to streamline operations.
• First Seasonal Collection Release: Designing, producing, and launching the first seasonal collection to establish VogueVista Designs as a trendsetter in the local fashion scene.
• Get to $15,000/Month in Revenue: Reaching a monthly sales goal of $15,000 through direct sales, online sales, and potentially wholesale orders to boutiques and other retailers.
• Customer Feedback and Product Improvement: Collecting customer feedback through surveys and direct communication to refine product offerings and improve customer experience continuously.

VogueVista Designs management team, which includes the following members, has the experience and expertise to successfully execute on our business plan:

Jacob Wright, President

Jacob Wright brings a wealth of experience and a track record of success to the helm of VogueVista Designs. His journey in the fashion industry is marked by a notable tenure as the leader of a previous fashion venture, where he demonstrated an innate ability to navigate the complex and ever-evolving world of fashion. Jacob’s strategic vision and his deep understanding of both the creative and business sides of fashion make him uniquely qualified to guide VogueVista Designs towards achieving its ambitious goals. With a keen eye for trends and a solid grasp of business operations, Jacob is poised to steer VogueVista Designs to new heights, ensuring its position as a leading name in the fashion world.

VogueVista Designs requires significant investment to achieve our growth goals. This funding will be allocated towards expanding our product lines, enhancing our marketing efforts, and improving our operational capabilities. With the right financial backing, we are confident in our ability to scale our business, increase our market share, and establish VogueVista Designs as a leader in the sustainable fashion industry.

Financial Statements

Balance sheet.

[insert balance sheet]

Income Statement

[insert income statement]

Cash Flow Statement

[insert cash flow statement]

Fashion Business Plan Example PDF

Download our Fashion Business Plan PDF here. This is a free fashion business plan example to help you get started on your own fashion plan.  

How to Finish Your Fashion Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your fashion business plan?

With Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

Don't bother with copy and paste.

Get this complete sample business plan as a free text document.

Clothing Manufacturer Business Plan

Start your own clothing manufacturer business plan

New Look, Inc.

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">, opportunity.

New Look intends to lever up its position as an established retail men’s clothing business now to become a manufacturer of an upscale clothing line targeted at males between the ages of 20 and 40. New Look not only develops the clothing line, but supports it with advertising and promotion campaigns. The company plans to strengthen its partnership with retailers by developing brand awareness. New Look intends to market its line as an alternative to existing clothing lines, and differentiate itself by marketing strategies, exclusiveness, and high brand awareness.

The key message associated with the New Look line is classy, upscale, versatile, and expensive clothing. The company’s promotional plan is diverse and includes a range of marketing communications. In the future, the company hopes to develop lines of accessories for men, women, and children. These accessories will include cologne/perfume, jewelry, eyewear, watches, etc.

New Look not only develops the clothing line, but supports it with advertising and promotion campaigns. The company plans to strengthen its partnership with retailers by developing brand awareness

Our customers are males  between the ages of 20 and 40 with a disposable household income. Within this group, there are no color barriers, and customers have diverse backgrounds. The New Look customer is a versatile man who can fit into any environment and is willing to pay a high price for quality clothing.

Competition

Companies are restructuring to create leaner organizations and adopt new technologies. Consolidation has been prevalent in this industry in the past few years, as larger companies gain leverage in market position and cost cutting. In the apparel industry, companies can operate as retailers or manufacturers (wholesalers) or both. For instance, Gap, Inc., a vertical retailer, manufactures and markets their own apparel and accessories. A company like VG Corporation is a manufacturer and sells solely to retail channels. A company like Tommy Hilfiger does both, selling its products to both retailers and consumers (through retail outlets).

We are an alternative to existing clothing lines. We make our own lines which offers exclusivity, your coworkers or other fashion forward friends won’t be wearing the same thing. We are also highly aware of trends and brands,  you will be the envy of all your friends because you found us first.

Expectations

The company’s goal is to expand from retail into online, with its own branding, to be sold by the end of the period in other retail stores as well as online.

Financial Highlights by Year

Financing needed.

We are looking to expand our design line so our owner will put in $65,000. Further we are looking for a $115,000 business loan. Both will be paid back by our second year with our already established customer base and relationships

Problem and Solution

Problem worth solving.

The New Look strategy is to expand and grow our existing retail clothing business by aggressively developing and marketing a full range collection of its own brand. It intends to market its line as an alternative to existing clothing lines and differentiate itself through its marketing strategies, exclusiveness, and brand awareness. New Look intends to build on its core portfolio of products and overcome any obstacles by using the company’s expertise in the clothing industry.

The company’s goal over the long term is to make an overwhelming impact on the fashion industry and create a large consumer demand for the product. The company’s goal in the next 2-5 years is to venture into women’s and children’s clothing. It plans to also license a line of cologne and perfume, bedding, underwear, small leather goods, jewelry, and eyewear. According to Standard & Poor’s (S&P’s), women’s apparel accounted for 52% of total apparel sales in 2015.

Nashville Connection

The company has strategic alliances with Music Records and the Entertainment Group. These alliances are valuable to New Look because they provide the needed exposure for its line and the association of its products with celebrities. Celebrities are valuable assets because they receive free clothing for interviews, concerts, and music videos.

Our Solution

New Look clothing line is classy, upscale, versatile, and expensive clothing. Our current customers are males between the ages of 20 and 40. New Look not only develops the clothing line, but supports it with advertising and promotion campaigns. Our customers are the envy of their fashion forward friends. Our prices are in the mid range to upper level in the market, there are more expensive clothes on the market. Our clothes are top notch. This allows our customers to believe they are incredibly smart fashion forward shoppers. 

Target Market

Market size & segments.

[note: information here is for illustration purposes only, to serve as a sample business plan. It is not accurate and should not be reused]

The company plans to target males between the ages of 20 and 40 with a combined household income of more than $40,000. Within this group, there are no color barriers, and customers have diverse backgrounds. The New Look customer is a versatile man who can fit into any environment and is willing to pay a high price for quality clothing.

The company’s target group is seen as having enough disposable income to spend on high priced quality clothing.  From 2000 to 2007, for example, disposable personal income grew at a healthy average annual of 7.0%. Apparel and footwear expenditures increased at a strong .2% annual rate during the same period. After 2008, however, growth in personal income slowed somewhat and so did apparel expenditures. From 2008 to 2016 disposable personal income rose at an average annual rate of 4.7%, while apparel and footwear expenditures grew 4.5% per year.

According to S&P’s, in the men’s apparel segment, much of the growth in spending is being driven by consumers with annual household incomes of more than $60,000. Spending in this segment increased by approximately 13% in 2010. Apparel purchases by men from households with incomes between $40,000 and $59,999 grew by 7% in 2010. Men’s apparel sales at department stores and off-price retailers grew at double-digit rates in 2010.

As growth slows in the mature U.S. apparel and footwear markets, companies are increasingly looking overseas for growth opportunities.  American brands translate well internationally, and many expanding economies overseas are interested in buying U.S. products. International business has therefore become a focus of some U.S. companies.

Many apparel and footwear manufacturers see Europe, with a population of 350 million, as an attractive market. Tommy Hilfiger and Polo Ralph Lauren recently opened flagship stores in London in an effort to build up their brands in Europe. Expansion in Asia, however, has been sidelined by economic troubles. In other parts of the world, footwear company Payless ShoeSource Inc., has been performing well in Canada and South America.

Distribution

Brought to you by

Create a professional business plan

Using ai and step-by-step instructions.

Secure funding

Validate ideas

Build a strategy

As companies in these mature industries continually look for ways to compete effectively, U.S. apparel and footwear manufacturers have increasingly moved their production facilities to lower-cost locations outside of the United States. Although some manufacturers have moved operations completely offshore, others are retaining a few production facilities in the United States to manufacture products requiring a quick turnaround time.

While manufacturing in Asia remains substantial, the growth of apparel manufacturing in Mexico and the Caribbean has been significant due to the North American Free Trade Agreement (NAFTA) and the lowering of tariffs. Apparel assembled in Mexico and the Caribbean nations from fabric formed and cut in the United States accounted for 27% of all apparel imports in 1998, up from 9% in 1990.

With an improved economic outlook, Asian currencies have strengthened against the U.S. dollar over the past year. For example, the Thai bhat and Korean won appreciated 13% and 20%, respectively, from June 2013 to June 2014. While this has benefited U.S. exports somewhat, it has put pricing pressures on imported Asian goods. For the vast amount of goods manufactured in China, however, no such benefit is currently expected, as this country’s currency has remained fixed in value versus the U.S. dollar.

Leaner inventories, but continued pricing pressures

After several years of inventory build-ups, the apparel industry’s inventory-to-sales ratio declined steeply in 2008, and through 2010 it remained near its lowest levels in 16 years. According to the U.S. Department of Commerce, the inventory-to-sales ratio was 1.49 as of May 2016, significantly below the 1.74 of a year earlier.

After several difficult years and many bankruptcies in the early 2010s, the apparel industry is relatively healthier overall, and its lower inventory levels are a sign of that. Despite the lean inventories, however, prices of women’s apparel declined in the first 6 months of 2015, compared with year-earlier levels, after rising slightly in 1998. S&P’s still expects some degree of apparel pricing pressure to persist in the near future. Intensifying competition doesn’t bode well for apparel manufacturers’ ability to raise prices. Companies are continually searching around the globe for cheaper sourcing and are looking for ways to cut operating costs. Consumers are also very value conscious-they want quality merchandise at the lowest possible price. This trend is evident in the successful growth of off-price retail stores.

Modest growth in ’16

As with most mature industries, the apparel and footwear industries are experiencing intense competition and pricing pressures, while facing the need for constant product innovation. However, these industries are enjoying a great economic cycle, with low interest rates, low unemployment, strong consumer confidence, and a low savings rate. Consumers are continuing to spend at a healthy clip. As a result, S&Ps expects sales for the apparel industry to rise about 4% in 2016. We believe that maker’s with strong brand recognition and those that are closely in tune with consumers’ needs will enjoy average growth. The footwear industry faces a tougher environment, however, considering the still-high inventory levels and low-margin price points. 

Apparel outlook still positive

Although S&P’s doesn’t expect the economy and consumer spending to sustain growth forever, we expect the overall apparel industry to continue to post-modest gains through 2016. Among apparel makers, we expect the best performances to come from companies with strong brand recognition, such as Tommy Hilfiger Inc., Gap, Abercrombie & Fitch, and Jones Apparel Group Inc. As more and more companies have adopted casual attire in the workplace, the trend toward casual dressing continues. This has sustained the need for men and women to establish new wardrobes or alter their existing ones. S&P’s believes this has had more of an effect in the men’s segment, as evidenced by the higher growth rate in sales of that segment in the past year. Eventually, the casual trend will slow to a level of demand that satisfies basic replenishment needs, but for now we expect heightened consumer confidence to encourage spending beyond basic needs. Current career offerings have less structured looks, and consumers have favorably received these.

S&P’s expects the branded apparel companies that sell to the department store channel of distribution to grow somewhat faster than the overall industry. In addition to favorable demographic trends, this segment is benefiting from its strength in design and marketing, which has led to a high consumer awareness of and demand for branded apparel. Nonetheless, because there’s little pent-up demand for apparel, the need for freshness is still a vital part of keeping customers interested.

In response to a challenging and saturated domestic market with slower growth prospects, S&P’s expects that companies with strong brands will increasingly turn to international markets for growth. Companies are hoping that the international consumer’s interest in the U.S. lifestyle will translate into sales of brands that represent that lifestyle. Many companies as a significant growth area see Europe, and Asia appears to be recovering from the economic turmoil experienced in the past couple of years.

Apparel companies have been quick to recognize the importance of the youth market and have started to establish product lines to target this group. Generation Y–those individuals between four and 21 years of age–is a large demographic group with considerable spending power. This group is also significant in setting styles and trends that influence the styles for older consumers.

The current environment of abundant supply, consolidation, and intense competition has forced companies to maximize profits, not only for growth but for survival as well. Companies are constantly searching for ways to maximize efficiencies, cut costs, and increase sales. S&P’s believes this improved condition of apparel companies has positioned the successful ones for a greater degree of growth and should serve to develop a healthier industry.

Buy now, wear now

In the past, consumers purchased apparel and footwear for the upcoming season when retail stores decided it was best to carry the merchandise, usually months in advance. Times are changing, however, consumers are buying apparel and footwear closer to or during the season. The industry has had to adjust to this trend, or risk losing sales and carrying unwanted inventory. Companies have had to shorten design, development, production, and distribution cycles.

In order to stay in tune with consumer needs and trends and to aid in product planning, companies have established internal teams or have hired firms to gather feedback from relevant consumer groups. For example, Tommy Hilfiger recently established what it calls Quick Response Capsules (QRC), teams of designers and production staff to work in collaboration with retail stores to bring out fresh, new fashions within a month. When Nike recently reorganized its apparel division, it created a strategic response division to monitor consumer trends. Other companies are doing this as well.

At the moment, a few apparel companies are using domestic plants to fulfill small orders for fresh products. Although indications now are that most merchandise will continue to be sources offshore, some seasonal/special items may need to be produced domestically. If such demand increases, there may be some benefit to the rapidly shrinking domestic production industry. This buy now, wear now trend is a manifestation of the power that consumers now have in the mature apparel and footwear industries. Consumers dictate price, location, styles, and time of purchase more, something we don’t see changing anytime soon.

What’s in a name?

In a market where consumers are barraged by advertising and marketing campaigns delivering an onslaught of lifestyle and fashion messages, a brand name is a powerful weapon. Brands have become an increasingly significant factor in apparel and footwear. Many consumers have less time to shop an are spending their disposable income more carefully. Established brand names, with their quality image, make the shopping experience easier and faster for many consumers. For manufacturers, brands build consumer loyalty, which translates into repeat business.

Many established brand manufacturers, such as Tommy Hilfiger, Polo Ralph Lauren Corp., Jones Apparel, Liz Claiborne Inc., and Nautica Enterprises Inc., are leveraging their existing brand names by adding various accessory lines, such as sunglasses, watches, fragrances, wallets, and footwear. Jones Apparel’s recent acquisition of shoe retailer Nine West Group Inc. was a strategic move aimed at broadening the company’s product lines and creating opportunities to cross-sell products between the two brands. However, most companies choose to extend their product lines through licensing. Most recently, Tommy Hilfiger announced new licensing deals to market jewelry, hosiery and, most notably, watches through Movado.

A company with an impressive brand name must exercise caution when entering into licensing agreements. If a new product line doesn’t live up to the quality standards that consumers have come to expect from the brand name, the brand’s image can be tarnished. It remains to be seen how consumers will react to this onslaught of new brand name product introductions. To date consumers have embraced the extended product lines.

The Apparel Industry

The U.S. apparel industry is large, mature, and highly fragmented. Apparel sold in the United States is produced both domestically and in foreign locations. According to estimates from the American Apparel Manufacturers Association (AAMA), an industry trade group based in Arlington, Virginia, the dollar value of domestic apparel production was $39 billion at the wholesale level in 2014 (latest available), which was less than the $46 billion (U.S. wholesale value) of goods imported into the United States. In addition, $15 billion of goods were produced in both the United States and other countries.

The U.S. apparel market can be divided into two tiers: national brands and other apparel. National brands are produced by approximately 20 sizable companies and currently account for some 30% of all U.S. wholesale apparel sales. The second tier, accounting for 70% of all apparel distributed, comprises small brands and store (or private-label) goods.

Apparel is sold at a variety of retail outlets. Based on data from NPD Group, discount stores, off-price retailers, and factory outlets accounted for 30% of 2015 apparel sales, while specialty stores and department stores accounted for 22% and 18%, respectively. Another 17% were sold at major chains, and direct mail/catalogs accounted for 6%. The remaining 7% of apparel sales occurred through other means of distribution.

Current Alternatives

Although the apparel industry is mature and slow growing, it exists in a dynamic and competitive environment. In order to improve profitability, many companies are restructuring to create leaner organizations and adopt new technologies. Consolidation has been prevalent in this industry in the past few years, as larger companies gain leverage in market position and cost cutting. In the apparel industry, companies can operate as retailers or manufacturers (wholesalers) or both. For instance, Gap, Inc., a vertical retailer, manufactures and markets their own apparel and accessories. A company like VG Corporation is a manufacturer and sells solely to retail channels. A company like Tommy Hilfiger does both, selling its products to both retailers and consumers (through retail outlets).

Our Advantages

In a market where consumers are barraged by advertising and marketing campaigns delivering an onslaught of lifestyle and fashion messages, a brand name is a powerful weapon.  Brands have become an increasingly significant factor in apparel and footwear. Many consumers have less time to shop an are spending their disposable income more carefully. Established brand names, with their quality image, make the shopping experience easier and faster for many consumers. For manufacturers, brands build consumer loyalty, which translates into repeat business. 

The company’s name, New Look, is a competitive advantage in itself. The name is not attached to any particular group of customers and it allows entry into different segments of the industry. Another competitive advantage is the company’s marketing strategy. Through the use of celebrities, advertising, promotion, and giveaways, the company is able to develop its presence in the market. Although the company uses retailers to sell its line, most of the marketing and advertising is done in-house.

Keys to Success

Keys to succeses.

It’s about fashion, and style. We live or die with the look. 

Distribution will be critical. Although we start online, to grow we need to get the resonance of appearing in retail. 

• Department stores 
• Apparel specialty stores 
• Internet store

Marketing & Sales

Marketing plan.

The companies marketing plan is: 

• Public relations. Press releases are issued to both technical trade journals and major business publications such as DNR Magazine.
• Trade shows. Company representatives will attend and participate in several trade shows such as Magic in Las Vegas.
• Print advertising. The company’s print advertising program includes advertisements in magazines such as Code, and Rap Pages.
• Website. New Look plans to establish a presence on the Internet by developing a website. Plans are underway to develop a professional and effective site that will be interactive and from which sales will be generated worldwide. When up and running the customers who choose will be able to purchase our clothes from the comfort of their own home. We will even offer free expedited shipping to our reglars. 
• Social Media – We will use Facebook, Twitter, Instagram and YouTube. Celebrities will be seen wearing our clothes on Facebook and Instagram. We will also run sales and promotions online. We will speak with our customers as well as have them speak back on Twitter. Youtube will be used as a way of promoting our clothing line designers. They will answer questions about fashion "dos and don’ts" and the best way to pick their color palate. 
• The company also plans to use various other channels including billboards, radio and television commercials, and a street team.

New Look intends to build a sales team that will be tasked with generating sales leads on a regional and national basis. They will also be responsible for establishing connections with retail outlets.

Several large retail chains-particularly in the athletic footwear sector-have developed formats called superstores, which have more square footage dedicated to a particular product category. 

Differences exist in the distribution mix for men’s, women’s, and children’s items. For example, more women’s apparel is purchased in specialty and department stores than is the case for men’s apparel. Men’s apparel is more prevalent in discount stores and general merchandise chains. In the children’s segment, a considerably higher portion of apparel is purchased in discount stores.

Catalogs are another important method of distribution. Consumers have less time to shop, and for some, catalog shopping offers a more convenient and pleasant alternative. 

The distribution channel that has received the most attention recently is the Internet. Although it now represents only a small portion of apparel sales, this distribution channel has the most potential for growth. Consumers like the convenience of being able to shop from anywhere and at anytime they wish. Manufacturers with Internet sites use them for marketing and informational purposes. With expected technological advances in hardware, software, and data pipelines in the future, shopping for apparel and footwear should gain popularity.

Milestones & Metrics

Milestones table, key metrics.

Key Metrics are: 

1 – Keeping track of the customers that mention the print publications. We want about 10 to 15 percent of our people to mention the add, use a code or a referral. We will be taking surveys and each cash register attendant is set to ask two questions, did any one help you, where did you hear about us? 

2 – Trade shows – Connect with designers and make manufacturing deals at trade shows. We will keep very good records of the cost of the trade show and the profit from going there. We must cover our costs and make 1 or 2 percent of sales or it is not worth it. 

3 – Public Relations – Keep the cost low and measure by overall sales. These are hard to see and measure directly. They fall under branding and will be seen in sales and Twitter and Facebook. We need to be on people’s minds, have them speaking about us. 

4 – Website. These are measured by page views and links and sharing and our sales on our site. We want 80 percent of the people who search for us and view our clothes to turn into online sales. Technology allows us to keep track of if they drop out and what point in the process. We will have sales people on chat standing by to help. 

Ownership & Structure

New Look was founded as a Tennessee C-Corporation with principal offices located in Memphis, TN. All operations, from administration to marketing strategies, take place at this leased office location of approximately 500 square feet.

Past Performance

We brought our sales up to $3 million last year, with a 25% gross margin, but no profits. That gross margin was way below industry averages for good reasons as we ramped up, and we project an industry-standard gross of 50% for the future. 

New Look products will be priced at the high end to reflect the quality and exclusiveness associated with the brand. The company will use high-end materials such as cashmere, a wool blend, and high gauge denim. When a mark up is placed on New Look products, customers are willing to pay the premium because of the perceived value and quality guarantee that comes with all products. The New Look line is targeted at males between the ages of 20 and 40.

Management Team

The company’s management philosophy is based on responsibility and mutual respect. New Look has an environment and structure that encourages productivity and respect for customers and fellow employees.

Personnel Table

Financial plan investor-ready personnel plan .">, key assumptions.

Key Assumptions: 

– There are fashion forward men in the area

– These men have money they could spend on luxuries if they choose 

– These men are looking for high quality and unique clothes. They appreciate brands over everything else. 

Revenue by Month

Expenses by month, net profit (or loss) by year, use of funds.

The New Look strategy is to aggressively develop and market a full range collection to consumers. The company intends to market its line as an alternative to existing clothing lines and differentiate itself through its marketing strategies, exclusiveness, and brand awareness. New Look intends to build on its core portfolio of products and overcome any obstacles by using the company’s expertise in the clothing industry.

Sources of Funds

We believe we will be able to finance our growth through careful management of existing streams of income and working capital generated by the business. 

Projected Profit & Loss

Projected balance sheet, projected cash flow statement.

The quickest way to turn a business idea into a business plan

Fill-in-the-blanks and automatic financials make it easy.

No thanks, I prefer writing 40-page documents.

Discover the world’s #1 plan building software