Introduction
This plan shows the financial plans and promotions of Bravo intimates, which will be situated in downtown Royal Oak. This exciting venture will provide a need-based women’s apparel store in the metro area. The second season will be expanded to include mastectomy supplies. This customer is not served by any major mastectomy stores in the metropolitan area. Bravo Intimates is expected to have the largest market share in the area through its active support of women’s organizations and communities, as well as connecting events with in-store promotions. Our ultimate goal is for Bravo Intimates to be Michigan’s premier swimwear and intimate apparel store. We will fit every customer in fashionable swimwear or bras, and enhance her silhouette.
A portion of our profits will go to a fund that we use to purchase our own building. This is tentatively planned for year four.
The Company
Bravo’s management team boasts over 35 years combined experience. They are professional, strong, and highly experienced. With each member working in their area of specialization we have every aspect of the business covered.
Rebecca autumn will have 55% ownership. The owner/operator will be responsible in buying, customer selling and fittings.
Lucille Snows is a co-owner, with 26% ownership. She acts as a merchandising consultant and employee training.
Deborah Summers, will be: A co-owner with 19% ownership and will act in the capacity of Operation Manager, responsible for all payables and receivables as well as inventory control, billing, and sales.
The store will open in Royal Oak, Michigan’s downtown shopping district. South Washington street, the main high-end avenue in town, is where you will find the store. It measures 2,000 square feet (10 x 200).
The Products
We will only be selling brands that we find that fit our requirements and are of high quality. We will be introducing brand new products to our customers.
Bravo will sell quality European and American products like Rigby & Peller and Prima Dolce, Wacoal and OnGossomer. Our focus is on bra fitting full-figured and full-busted women. The initial percentage of our merchandise will be in bras/intimate apparel followed by swimwear, nightwear/At Home-wear and hosiery.
Bravo will continue expanding its range of products as it achieves its financial and sales goals.
Market
Intimate apparel for women, also known as innerwear, has seen a 10% increase in sales over the last three-years to $11.8 million. This period saw strong growth across all product categories, with Bras (17%) as well as Bottoms (12%) seeing the highest growth. Consumer awareness of proper bra fitting has been on the increase for the last eight years. Over the last five-years, there have been double-digit sales growth in many independent stores. This has been due to two factors,the clothing industry has featured more skin exposing fashions that require speciality foundation garments, and fashion column writers have been stressing the importance of bra fitting along with mentioning the speciality stores in the area and their services.
Bravo Intimates was able to capture $304 million from the $10,702m market. This is in addition to $341 million of $11,797 millions that Bravo Intimates had accumulated over the past two years. With $914 million in revenue last year, direct mail merchants accounted for the largest share of market share. Internet sales were the main reason for this rise.
We have estimated the number of prospective customers in the Royal Oak area as 94,201, and, knowing the missed opportunities of our competitors, this strongly indicates that there is a large void in the market. We see a market opportunity for an intimate clothing store that will serve all the needs in the Tri-county area.
Projections Financial
These are Bravo Intimates’#8217’s financial goals
- To achieve a net income margin of at least 7% in year two and 15% in year three.
- To earn a net profit over $100,000 the second year, and $41,000 the third.
To achieve these figures, we require a start-up capital of approximately $196,000 and $80,000 in initial inventory.
To make the first year’s payments as flexible and affordable as possible, we will be looking for a five-year loan with National City Bank in Royal Oak.
1.1 Objectives
- We aim to be a destination shop that offers the best lingerie, swimwear, and personal fitting services.
- To gain the highest market share in the area for speciality foundation clothing.
- To support women’s and community groups, connect events with in-store promotions.
- To achieve a net profit margin exceeding 7% in the second year and 15% in the third.
- To achieve a net profit of $41,000 the second year and over $100,000 the third year.
1.2 Mission
To be Michigan’s best intimate apparel and swimwear shop, fitting every customer in a trendy bra or swimsuit, giving her exceptional support and shaping, thus enhancing her entire figure!
1.3 Keys to Success
If you want to succeed in the intimate clothing business, here are some things you should do:
- Quality brands carry a range of foundations in various sizes, styles, colours, and quality.
- Our competitors are not able to compete with us if we don’t carry basic and fashion brands.
- Help our customers to be fitted and have a wardrobe of foundations that will suit a variety fashion needs.
- Continuously assess our sales and adjust our inventory accordingly.
- Inspire positive body image by providing excellent customer service.
- Advertise in areas where customers may learn about you and the services that we provide.
- Stay up to date with technology and the latest brands.
- There are many price points to choose from, as women come at different shapes, sizes, and economic levels. However, the average price point falls in the middle.
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