Are you about starting a clothing line (garment manufacturing)? If YES, here’s a complete sample clothing line business plan template & feasibility report you can use for FREE to get started.
Okay, so we have considered all the requirements for starting a clothing line. We have analyzed and drafted a sample clothing line marketing plan backed up by actionable guerrilla marketing ideas for clothing line businesses. In this article, we will take it further by providing you an in-depth sample clothing line business plan template.
Table of Content
- Executive Summary
- Market Analysis
- SWOT Analysis
- Financial Projection
- Marketing Plan
- Marketing ideas & Strategies
If you have ever heard the aphorism that says ‘looking good is good business’, Then you may as well agree that nothing is too big an amount of cash to lavish of clothes. Whether you agree or not, the truth remains that those who run clothing line businesses would always smile to the banks. This is because of the level of profitability which the business promises all over the globe. Furthermore, this is also largely dependent on the fact that people would always need to cover their nakedness.
Why Start a Clothing Line?
Starting a clothing line business is one of the best things that can happen to any one- this is because of the avalanche of consumers who would always jump at the fashion trend. There are even some folks who phase out their wardrobes, once a new trend hits the streets. This is why those who are in the trade have continued to look at ways to get better at this art, so as to continue to attract loads of people. One other thing is certain about his type of business- it need lots of capital.
Without ample capital, one may not be able to start this type of business. This is because of the expertise needed, the equipment needed, as well as the very skilled people who will need to be hired and paid well to churn out the best clothes. That is not all; there will also be the need to stay abreast with the trends so as to attract the high-end consumers. This is also because of the level of competition which the industry records, and the need to outshine other competitors.
Writing a Business Plan
Starting a clothing line business requires that you write a detailed business plan so as to start on the right footing. More often than not, writing a business plan just might not come easy. This is because of the level of details and technicality that is involved in drawing up one. It is for this reason that consultants who are business experts charge their clients an arm and a leg to get the job done. However, there are still ways that you can pull things off.
You can use an existing business plan to draw up yours from start to finish. What does this require, you just might ask? It entails that you use an existing business plan to write yours. Why is this important? This is especially important so that you can take a cue from the template and then tweak it to fit your own business. Here is a sample clothing line business plan which you can use to carry out yours.
A FREE Sample Clothing Line Business Plan Template
- Clothing Line Business Overview
The fashion industry all over the globe is known as a thriving trade. The clothing line business which happens to be a subset of the industry is also booming as the years go by. There are various clothing labels that abound; some are national brands, whilst the others are international brands. The fashion industry- especially cloth making business was not as easy as it is now (Years ago). This was because clothes were handmade based on demand by individuals.
In the 20th century after the invention of sewing machines (industrial sewing machines), it became pretty much easier to produce clothes in tons. Therefore, technology indeed is responsible for opening up the clothing industry to a large extent. Clothes can now go through factory system of production and still maintain good quality and standard sizes. With that, it is easier for retailers to order and sell clothes at fixed prices in departmental stores and boutiques without stress.
The fashion industry is a creation of the modern age. It is no wonder that fashion style changes at a regular basis and in most cases people go back to the past to re – introduce old fashion. The fashion industry is indeed a rapidly changing industry; fashion trends will always come and go at different seasons.
The bottom line is that successful clothing labels have a thorough grasp of the market and they know how to meet the needs of the consumers, as well as cajole them to accept what they have to offer because they are always flexible and creative
No doubt, a retailer or wholesale distributor can order for diverse sizes of clothes from anywhere in the world, and sell in his or her country without even visiting the production factory. As a matter of fact, clothing line based business is one business that has the capacity to survive regardless of what is happening in the economy of the world. Economic downturn or even a galloping inflation does not in any way affect the sale of clothes; people can’t do without wearing clothes.
From time immemorial, the fashion industry is known to be one of the largest employers of labor (both directly and indirectly) in the United States of America. Some of the leading labels in the fashion industry are from the United States of America. Although some of these clothing label outsource the production of their clothes to other parts of the world; predominantly countries in Asia just in the bid to cut cost.
Some cities of the world are considered to be main fashion hubs; they dictate what happens in the industry. The cities are Paris, Milan, New York City, and London. These cities are known to host fashion exhibitions; designers who want to play at the global stage ensure that they exhibit their clothing collections to fashion enthusiasts during fashion week in any of the cities mentioned above.
As a fashion designer, once your brand is accepted in any of the fashion capitals of the world, it wouldn’t be too long before you become a globally recognized clothing label – brand.
Clothing Line Business Plan – MARKET ANALYSIS
- Market Trends
Presently, the fashion industry relies more on mass market sales for them to make the kind of income that will sustain the business. The mass market take care of a wide range of customers that cuts across both the rich and the poor. Most of the new clothing brands that are trying to catch – up with the market ensures that they produce ready-to-wear clothes using trends set by leading fashion label.
What they do is that, they see the direction of the trend as established by renowned fashion brand 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 machine. 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 for the common man.
Clothing line and fashion designers now leverage on the runway – fashion expo to promote and attract market their products. Any fashion designer who is recognized in Paris, Milan, New York City, or London can comfortably become a global recognize fashion label.
- Our Target Market
No doubt the clothing line industry has the widest range of customers; everybody on planet earth wears clothes howbeit different designs, quality and style.
In view of that, we have created strategies that will enable us reach out to people that cut across different classes in the society; we will produce clothes for male, female, young adults and children. We have conducted our market research and survey and we will ensure that our clothing label is well accepted in the market place. These are the different group of people that we will be producing clothes for;
- Young Adult
- Corporate Executives
- Expectant mothers
- Sports Men and Women (sport clubs)
- Churches (Customized church robes)
- Para Military organizations (Uniforms)
Our Competitive Advantage
Our competitive advantage as a clothing line company is the fact that we are going to produce clothes for a wide range of people. As such; we will produce clothes for both the rich and the poor.
Another competitive advantage for Classic Label™ Clothing Line is the quality and wealth of experience of its management team. The management team comprises of professionals who have worked with some of the leading international brands in the fashion industry.
Our latest machines and equipment also counts towards our advantage especially when it comes to competing with clothing line within the same category that we operate. The quality of every clothes that comes out of our production line must be certified ok before they are released to the market.
Clothing Line Business Plan – SALES AND MARKETING STRATEGY
Since we are a new clothing line who wants to take on the international market, we have deiced to model some of the leading international clothing manufacturing brand. We will ensure that we interact with our target market (customers) and sample their opinions to know what they want before mass – producing clothes. It is easier to penetrate the market when what you produce is exactly what the people have always wanted.
The fashion industry is indeed a very competitive industry; thus, all clothing coy must ensure that they are always on their toes and in touch with the trend, if indeed they want to continue to be in business. We are aware of this, which is why we hired business consultant with a bias for marketing and sales to help us craft a winning marketing and sales strategy.
In summary, Classic Label™ Clothing Line will adopt the following sales and marketing approach to promote and sale our clothes;
- Introduce our clothing label by sending introductory letters to churches, schools, paramilitary, and other establishment that wears uniforms
- 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 / clothes
- Advertise our clothing label in newspapers, TV and radio stations
- Canvass that 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
- Direct marketing
- Word of mouth marketing (referrals)
Garment Manufacturing Business Plan – Publicity and Advertising Strategy
Publicity and advertising in the fashion public industry involves being in touch with the organizations target market and being very creative and proactive. No doubt the media plays a very big role when it comes to helping a clothing label gain international significance.
The social media also plays an important role in modern day fashion publicity and advertisement; it gives fashion brands the ability to reach out to a wider range of customers all over the world within a short period of time and of course at a very cheaper price.
Any fashion label that wants to take on the market must be deliberate when it comes to building brand awareness and credibility. Most often than not, big – time clothing labels ensure that they create great hype whenever they are about to release any unique design from their stable.
Social media, such as blogs, micro 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 People’s Choice Retail Store;
- 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.et al to promote our brand
- Attend local and intentional fashion expos
- Organize our own fashion shows
- Promote our clothing label on our own official websites and online fashion community
- Build relationship with celebrities especially in the entertainment industry and sports to endorse of clothing label.
Our Pricing Strategy
Classic Label™ Clothing Line will ensure that we design and manufactured products that will meet the financial capacity of different classes of people in different parts of the world. The prices for all our clothes will be affordable and at the same time competitive with what is obtainable in the fashion cum clothing line industry.
- Payment Options
Our payment policy is all inclusive because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that will be available in every of our outlets where our clothes will be sold;
- Payment by cash
- Payment via Point of Sale (POS) Machine
- Payment via online bank transfer (online payment portal)
- Payment via Mobile money
- Payment by cash
In view of the above, we have chosen banking platforms that will help us achieve our payment plans without any itches.
Start – Up Expenditure (Budget)
These are the machines, equipment and tools that we would need to start our clothing line business;
- Industrial machines
- Pattern makers for crafting designs.
- Women and men dress forms used for garment building.
- Hole punchers
- Straight and curved rulers
- Measuring tapes
- Notchers for marking seams.
- Dotted pattern paper.
- Sewing machine needles
- Hand sewing needles.
- Sketching books.
- Drapings tools.
- Dressmaking Stick pins
- Style tapes
- Fabric shears
- Soft lead pencil
- Marking pen
- Pattern plotter.
- Pattern making software.
- CAD tools for designs
- Digital drawing tools
- Digitizer board for pattern scanning.
- Heat transfer machines for T-shirts.
- Print tables.
- Slat wall
- Labels and Tags.
- Packaging materials
- Industrial pressing irons
- Supply of fabrics
Generating Funding / Startup Capital for Classic Label™ Clothing Line
Classic Label is a private business that is solely owned and financed by Bob Wesley and family. They do not intend to welcome any external business partners which is why he has decided to restrict the sourcing of the start – up capital to 3 major sources. These are the areas we intend generating our start – up capital;
- The Chief Executive Officer who happens to be the lead partner will contribute 20 percent of the start – up capital from his personal savings and other sources
- 30% of the capital will be generated from partners and investors
- 50% of the capital will be sourced from banks as a loan facility
Clothing Line Business Plan – Sustainability and Expansion Strategy
The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If any of these factors is missing from a business (company), then it won’t be too long before the business close shop.
Classic Label™ Clothing Line will ensure that all the factors listed above are reinforced on a regular basis and also we will engage in continuous capacity building of our workforce. 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. This will enable us secure their loyalty and services for a long period of time.
We will make sure that the right foundation, structures and processes are put in place to ensure that employee welfare is well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.
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 licenses (Health department license and business license, Fire department permit, Air and water pollution control permit, and Sign permit et al): Completed
- Purchase of Insurance for the Business: Completed
- Acquiring facility and remodeling the facility: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from business partners / investors: 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 sewing machines and sewing equipment / tools: In Progress
- Purchase of furniture and gadgets (Printers, Telephone, vacuum cleaner, tables and chairs et al): In progress
- Creating Official Website for the Company: Completed
- Creating Awareness for the business both online and in the neighborhood: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party / launching party planning: In Progress