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A Sample Direct Sales Company Business Plan Template

Are you about starting a direct sales company? If YES, here is a complete sample direct sales business plan template & feasibility report you can use for FREE.

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

Why Start a Direct Sales Company?

There are some people who are highly skilled when it comes to selling products and services. There is a saying that gifted sales agents can sell snow to Eskimos. If per chance you consider yourself to be gifted in the art of selling, then you should consider starting a direct sales company. The truth is that, this line of business is highly profitable and in some cases, you may not have to commit your money to the products you want to sell. You can get supply on trust.

Just like most business, the direct selling companies industry is pretty open for as many people that are interested in the industry as long as you have what it takes to sell goods and services. Even if you don’t have the finance and other requirements for starting a standard direct selling company, you can come into the industry by starting – out as a freelance sell agent for a manufacturing company / companies.

If you have decided to start a direct sales company, then you must make sure that you carry out thorough feasibility studies and also market survey. This will enable you choose the right products to sell, and also properly locate the business in a community or city with the right demography; a location that can readily accept your products.

Below is a sample direct sales company business plan template that will help you successfully launch your own business;

A Sample Direct Sales Company Business Plan Template

  • Industry Overview

Direct sales companies are involved in the retailing of a product or service from one person to another without having a fixed retail location. Players in this industry are referred to as independent consultants, distributors or sales representatives.

Sales are usually done via home parties, workplaces, trucks or wagons, street corner carts or door-to-door. It is important to state that companies who are involved in direct sales of fuel and food for immediate consumption are not included in the direct selling companies industry.

The Direct Selling Companies Industry is indeed in a mature stage of its growth. The industry is characterized by growth in line with the overall outlook of the economy, consolidation from the largest players in the industry and wholehearted market acceptance of industry products and services.

The products and services of direct sales companies will continue to be in high demand by households and business establishment in the United States, most especially as the number of businesses and employees increases. Manufacturing companies are also expected to continue to outsource their direct sales functions so as to focus their attention on their core area of operations.

Despite the fact that intense competition has negatively affected the Direct Selling Companies industry in the last half a decade, the industry has managed to achieve growth because of the strengthening economy. Increased competition from mass merchandisers, department stores and online retailers has threatened the industry by providing a wider selection of substitute products at low prices in a convenient one-stop shop location.

Nevertheless, because a good number of direct sales companies have no physical locations, the price advantage competitors enjoy over many retailers is minimized, which has somewhat mitigated the loss of industry customers. Driven by improved consumer confidence and disposable income, consumer spending is anticipated to rise further going forward.

The Direct Selling Companies Industry is indeed a large industry and pretty much active in countries such as United States of America, United Kingdom, France, Italy, Nigeria, South Africa Japan, China, Germany, and Canada et al.

Statistics has it that in the United States of America alone, there are about 704,924registered and licensed direct selling companies scattered all across the United States responsible for employing about 797,208people and the industry rakes in a whooping sum of $40 billion annually.

The industry is projected to enjoy 0.7 percent annual growth within 2011 and 2016. No establishment can boast of having the lion share of the available market in this industry. The industry is open for fair competition. The Direct Selling Association (DSA) in the United States has approximately 200 registered members.

A recent report published by IBISWORLD shows that the Direct Selling Companies industry is considered to have a low level of concentration, with the four-largest players estimated to account for less than 10.0 percent of industry revenue in 2016.

The report revealed that the industry is highly fragmented, characterized by a large number of individually owned businesses that are small in size. These operators work within a small locality and serve a limited clientele. That is about 97.0 percent of industry operators are considered non – employers.

In terms of employing operators, in 2016, 74.6 percent of total establishments are estimated to have fewer than five employees, while less than 1.0 percent employ more than 100 workers. This extreme prominence of small operators is characteristic of an industry with low concentration.

One thing is certain when it comes to starting a direct sales company, if you are able to conduct your market research and feasibility studies, you are more likely not going to struggle to identify the right products and services to sell and the right location to sell them. If you have a robust network and you are well positioned, you can indeed maximize sales and profits with your direct sales company.

Direct Sales Company Business Plan – Executive Summary

Fred Nelson® Direct Sales Company, LLC is a registered and licensed direct sales company that will be based in Carson City – Nevada. The company will be involved in the direct sales of home and family care products, wellness and personal care products, clothing and accessories, leisure and educational products, and other products and services.

We are aware that to run an all – round and standard direct sales company can be demanding which is why we are well trained, certified and equipped to perform excellently well.

Fred Nelson® Direct Sales Company, LLC is a client – focused and result driven direct sales company that retail quality goods from top manufacturing brands at an affordable fee that won’t in any way put a hole in the pocket of our customers.  We will ensure that we comb every nooks and crannies of Carson City – Nevada so has to maximize sale of our goods and services.

At Fred Nelson® Direct Sales Company, LLC, our client’s best interest would always come first, and everything we do is guided by our values and professional ethics. We will ensure that we hire professionals who are well experienced in the direct selling companies industry to help us handle our sales.

Fred Nelson® Direct Sales Company, LLC will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible.

We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our clients.

Our plan is to position the business to become one of the leading brands in the direct selling companies industry in the whole of Carson City – Nevada, and also to be amongst the top 20 direct sales companies in the United States of America within the first 10 years of operations.

This might look too tall a dream but we are optimistic that this will surely be realized because we have done our research and feasibility studies and we are enthusiastic and confident that Carson City – Nevada is the right place to launch our direct sales company before launching out to other cities in the United States of America.

Fred Nelson® Direct Sales Company, LLC is private registered business that is owned by Fred Nelson and his immediate family members. Fred Nelson has well over 10 years of experience working at various capacities within the direct sales companies industry in the United States of America. He graduated from both University of California – Berkley with a Degree in Marketing, and University of Harvard (MSc.).

  • Our product and services

Fred Nelson® Direct Sales Company, LLC is in the direct selling companies Industry to sell a wide range of goods and services to corporate and individual clients and of course to make profits, which is why we will ensure we go all the way to enter into partnership with loads of manufacturers within and outside of the United States of America.

We are in the direct selling companies industry to make profits and we will ensure that we do all that is permitted by the law of the United States to achieve our aim and ambition of starting the business. Our business offerings are listed below;

  • Direct selling of home goods
  • Direct selling of coffee-break services
  • Direct selling of cosmetics
  • Direct selling of vitamins and nutritional supplements
  • Direct selling of home delivery newspaper routes
  • Direct selling of party plan merchandisers
  • Direct selling of miscellaneous merchandise

Our Vision Statement

Our vision is to build a direct sales company brand that will become the number one choice for both individual and corporate clients in the whole of Carson City – Nevada. Our vision reflects our values: integrity, service, excellence and teamwork.

  • Our Mission Statement

Our mission is to sell, quality and affordable goods and services from top manufacturing companies within and outside of the United States at affordable prices to residence of Carson City Nevada. We will position the business to become one of the leading brands in the direct sales line of business in the whole of Carson City – Nevada, and also to be amongst the top 20 direct sales companies in the United States of America within the first 10 years of operations.

  • Our Business Structure

Normally we would have settled for two or three full – time staff members, but as part of our plan to build a standard direct sales company in Carson City – Nevada, we have perfected plans to get it right from the beginning which is why we are going the extra mile to ensure that we have competent, honest and hardworking employees to occupy all the available positions in our organization.

The picture of the kind of direct sales company we intend building and the business goals we want to achieve is what informed the amount we are ready to pay for the best hands available in and around Carson City – Nevada.

We will ensure that we only hire people that are qualified, honest, hardworking, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders (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 depending how fast we meet our set target. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;

  • Chief Executive Officer
  • Accounting and Tax Consultants
  • Admin and HR Manager
  • Merchandize Manager
  • Marketing and Sales Executive (Sales Agents)
  • Accountant
  • Customer Care Executive / Front Desk Officer

Roles and Responsibilities

Chief Executive Office:

  • 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; providing educational opportunities.
  • 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.
  • Responsible for fixing prices and signing business deals
  • Responsible for providing direction for the business
  • 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.
  • Responsible for signing checks and documents on behalf of the company
  • Evaluates the success of the organization

Accounting and Tax Consultants

  • Responsible for providing accounting advice to corporate clients
  • Provides accounting advice to individuals and small businesses
  • Responsible for handling accounts preparation
  • Responsible for handling financial auditing services
  • Responsible for handling financial statement review services
  • Handles other financial assurance services and general accounting services
  • Responsible for handling tax planning and consulting services, individual tax preparation and representative services and corporate tax preparation and representative services
  • Other services
  • Responsible for handling other financial consulting and advisory related services such as designing accounting systems, preparing financial statements, developing budgets, tax preparation and compliance work, consulting assistance, restructuring and providing advice on matters related to accounting.

Admin and HR Manager

  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Designs job descriptions with KPI to drive performance management for clients
  • 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.
  • Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
  • Defines job positions for recruitment and managing interviewing process
  • Carries out staff induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Responsible for arranging travel, meetings and appointments
  • Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
  • Oversee the smooth running of the daily office activities.

Merchandize Manager

  • Manages vendor relations, market visits, and the ongoing education and development of the organizations’ buying teams
  • Helps to ensure consistent quality of tires from different manufacturers are purchased and retailed in good price that will ensure we make good profit
  • Responsible for planning sales, monitoring inventory, selecting the merchandise, and writing and pricing orders to vendors
  • Ensures that the organization operates within stipulated budget.

Marketing and Sales Executive / Sales Agents

  • Handles the direct sales of home and family care products, wellness and personal care products, clothing and accessories, leisure and educational products, and other products and services
  • Finds out the customer’s needs, recommend, select and help locate the right merchandise, describe a product’s features and benefits.
  • makes suggestions and encourage purchase of products
  • Provides information about warranties, manufacturing specifications, care and maintenance of merchandise and delivery options
  • Bags or packages purchases and gift wrap merchandise
  • 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 relevant projects.
  • Writes winning proposal documents, negotiate fees and rates in line with company policy
  • Responsible for handling business research, marker surveys and feasibility studies for clients
  • Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
  • Develops, executes and evaluates new plans for expanding increase sales
  • Documents all customer contact and information
  • Represents the company in strategic meetings
  • Helps to increase sales and growth for the company

Accountant

  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • creates reports from the information concerning the financial transactions recorded by the bookkeeper
  • Prepare the income statement and balance sheet using the trial balance and ledgers prepared by the bookkeeper.
  • Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting for one or more properties.
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensures compliance with taxation legislation
  • Handles all financial transactions for the company
  • Serves as internal auditor for the company

Client Service Executive / Front Desk Officer

  • Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
  • Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
  • Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
  • Manages administrative duties assigned by the manager in an effective and timely manner
  • Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients
  • Receives parcels / documents for the company
  • Distributes mails in the organization
  • Handles any other duties as assigned

Direct Sales Company Business Plan – SWOT Analysis

Fred Nelson® Direct Sales Company, LLC engaged the services of a core professional in the area of business consulting and structuring to assist the firm in building a well – structured direct sales company that can favorably compete in the highly competitive direct selling companies industry.

Part of what the team of business consultant did was to work with the management of our organization in conducting a SWOT analysis for Fred Nelson® Direct Sales Company, LLC. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Fred Nelson® Direct Sales Company, LLC;

  • Strength:

Our core strength lies in the power of our team; our workforce. We have a team that can go all the way to sell any goods or services; a team that are trained and equipped to meet and surpass their targets. We are well positioned in a location with the right demographic composition for the kind of goods and services that we are going to be selling.

  • Weakness:

As a direct sales company, it might take some time for our organization to break into the market and gain acceptance especially from corporate clients in the already saturated direct selling companies industry; that is perhaps our major weakness. So also, we may not have the required cash to give our business the kind of publicity we would have loved to.

  • Opportunities:

The opportunities in the direct selling companies industry is massive especially if you know the right goods and services to sell per – time. As a standard and well – positioned direct sales company, we are ready to take advantage of any opportunity that comes our way.

  • Threat:

Increased competition from mass merchandisers, department stores and online retailers will surely pose a threat to the growth of our direct sales company. Other threats that we are likely going to face as a direct sales company operating in the United States are unfavorable government policies, the arrival of a competitor within our location of operations and global economic downturn which usually affects purchasing / spending power.

There is hardly anything we can do as regards these threats other than to be optimistic that things will continue to work for our good.

Direct Sales Company Business Plan – MARKET ANALYSIS

  • Market Trends

The Direct Selling Companies Industry, just like most businesses in the retailing industry, depends on strong consumer spending to spur the demand for industry products. Over the last half a decade, the economy has begun recovering from recessionary declines with both the Consumer Confidence Index and disposable income increasing.

Going forward, as the economy of the United States continues to recover and consumers are expected to loosen their discretionary budgets, the industry is anticipated to thrive. This is why rising disposable income and increase in essential needs will support demand for industry products

As part of marketing strategies, direct sales companies engage in massive clearance sales and discount sales to attract customers. It is a strategy that helps them sell their goods to new customers and also reinforce the loyalty of old customers.

Lastly, in recent time, the direct selling landscape has seen tremendous changes in the last 20 years; it has grown from the smaller door to door selling to a more organized and far reaching venture. The introduction of technology (telemarketing and email marketing) makes it easier for direct sales companies to reach out to a larger market far beyond their present location.

  • Our Target Market

Possibly it will be safe to submit that the direct selling companies industry has a wide range of customers; every individual, households and corporate organizations et al would have one or more things that they would need to buy from direct sales companies.

In view of that, we have mapped out sales strategies that will help us sell our goods and services to the residence of Carson City – Nevada. We have conducted our market research and feasibility studies and we have ideas of what our target market would be expecting from us.

We are in business to retail a wide range of goods and services to the following groups of people and corporate organizations;

  • Men and women
  • Households
  • Bachelors and Spinsters
  • Corporate Executives
  • Business People
  • About to wed couples
  • Students
  • Sports men and women

Our Competitive Advantage

A close study of the direct sales companies 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 stiffer competition and we are well prepared to compete favorably with other leading direct sales companies and throughout the United States and Canada.

Fred Nelson® Direct Sales Company, LLC is launching a standard one stop direct sales company that will indeed become the preferred choice of residence of Carson City – Nevada and every other location where we will market our goods and services.

One thing is certain; we will ensure that we sell a wide range of products from leading manufacturers at all times. One of our business goals is to make Fred Nelson® Direct Sales Company LLC, a one stop direct sales company for individuals, households and corporate organizations. Our excellent customer service culture, telemarketing and email marketing, online store, and various payment options will serve as a competitive advantage for us.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups direct sales companies) 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.

Direct Sales Company Business Plan – SALES AND MARKETING STRATEGY

  • Sources of Income

Fred Nelson® Direct Sales Company, LLC is in business to sell wide products from top manufacturing brands to the residence of Carson City – Nevada. We are in the direct selling companies industry to maximize profits and we are going to go all the way out to ensure that we achieve or business goals and objectives.

In essence, our source of income will be the retailing of a wide range of products from top manufacturing brands at affordable prices. Fred Nelson® Direct Sales Company, LLC will generate income by;

  • Direct selling of home goods
  • Direct selling of coffee-break services
  • Direct selling of cosmetics
  • Direct selling of vitamins and nutritional supplements
  • Direct selling of home delivery newspaper routes
  • Direct selling of party plan merchandisers
  • Direct selling of miscellaneous merchandise

Sales Forecast

One thing is certain when it comes to direct sales business, if you are into the sale of loads of goods from top manufacturing brands, you will always attract customers cum sales and that will sure translate to increase in revenue generation for the business.

We are well positioned to take on the available market in Carson City – Nevada and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the business and our clientele base.

We have been able to critically examine the Direct Selling Companies Industry and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to startups in Carson City – Nevada.

Below are the sales projections for Fred Nelson® Direct Sales Company, LLC. It is based on the location of our business and other factors as it relates to direct sales company start – ups in the United States;

  • First Fiscal Year-: $250,000
  • Second Fiscal Year-: $450,000
  • Third Fiscal Year-: $750,000

N.B: This projection is 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 same products from same manufacturing brands and customer care services as we do within same location. 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 to launch Fred Nelson® Direct Sales Company, LLC, we conduct a thorough market survey and feasibility studies in order for us to be able to be able to penetrate the available market and become the preferred choice for residence of Carson City – Nevada. We have detailed information and data that we were able to utilize to structure our business to attract the numbers of customers we want to attract per time.

We hired experts who have good understanding of the direct selling companies 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 Carson City – Nevada.

In other to continue to be in business and grow, we must continue to sell our products; which is why we will go all out to empower or sales and marketing team to deliver. In summary, Fred Nelson® Direct Sales Company, LLC will adopt the following sales and marketing approach to win customers over;

  • Open our direct sales company in a grand style with a party for all
  • Introduce our direct sales company by sending introductory letters alongside our brochure to organizations, households and key stake holders in Carson City – Nevada
  • Ensure that we have a wide range of quality products from different manufacturing brands at all times.
  • Make use of attractive hand bills to create awareness our direct sales company
  • Create a loyalty plan that will enable us reward our regular customers
  • Engage on road shows within our neighborhood to create awareness for our direct sales company and also to sell our products.
  • List our business and products on yellow pages ads (local directories)
  • Leverage on the internet to promote our business
  • Leverage on telephone (telemarketing) and email (email marketing) to sell our products
  • Engage in direct marketing and sales
  • Encourage the use of Word of mouth marketing (referrals)

Direct Sales Company Business Plan – Publicity and Advertising Strategy

Despite the fact that our direct sales company is well located, we will still go ahead to intensify publicity for the business. We are going to explore all available means to promote our business.

Fred Nelson® Direct Sales Company, LLC has a long – term plan of selling our products in various locations all around Nevada and key cities in the United States and Canada which is why we will deliberately build our brand to be well accepted in Augusta before venturing out.

As a matter of fact, our publicity and advertising strategy is not solely for winning customers over but to effectively communicate our brand. Here are the platforms we intend leveraging on to promote and advertise Fred Nelson® Direct Sales Company, LLC;

  • Place adverts on community based newspapers, radio stations and TV stations.
  • Encourage the use of word of mouth publicity from our loyal customers
  • Leverage on the internet and social media platforms like; YouTube, Instagram, Facebook ,Twitter, LinkedIn, Snap chat, Badoo, Google+  and other platforms to promote our business.
  • Ensure that our we position our banners and billboards in strategic positions all around Carson City – Nevada
  • Distribute our fliers and handbills in target areas in and around our neighborhood
  • Contact corporate organizations, households, landlord associations and schools by calling them up and informing them of Fred Nelson® Direct Sales Company, LLC and the products we sell
  • Advertise our direct sales business in our official website and employ strategies that will help us pull traffic to the site
  • Brand all our official cars and trucks and ensure that all our staff members and management staff wears our branded shirt or cap at regular intervals.

Our Pricing Strategy

Aside from quality, pricing is one of the key factors that give leverage to retailing business such as direct sales business, it is normal for consumers to purchase goods from direct sales companies that they can goods at cheaper price which is why big players in the direct selling companies industry will attract loads of corporate and individual clients.

We know we don’t have the capacity to compete with bigger direct sales companies when it comes to retailing goods at rock bottom prices, but we will ensure that the prices and quality of all the products that we sell are competitive with what is obtainable amongst direct sales companies within our level.

  • Payment Options

The payment policy adopted by Fred Nelson® Direct Sales Company, LLC 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 Fred Nelson® Direct Sales Company, LLC will make available to her clients;

  • Payment via bank transfer
  • Payment with cash
  • 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 client make payment for farm produces purchase 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 transfer for the purchase of our products.

  • Start – Up 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 / leasing a big facility, 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 creative and productive.

This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. As for the detailed cost analysis for starting a direct sales company; it might differ in other countries due to the value of their money.

This is the key areas where we will spend our start – up capital;

  • The total fee for registering the business in the Unites 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 Victory Express Tire Shop®, 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 cost for hiring Business Consultant – $2,500.
  • Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
  • The cost for payment of rent for 12 month at $1.76 per square feet in the total amount of $105,600.
  • The cost for warehouse remodeling (construction of racks and shelves) – $20,000.
  • 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) – $60,000
  • The cost for Start-up inventory (stocking with a wide range of home and family care products, wellness and personal care products, clothing and accessories, leisure and educational products, and other products and services from different brands) – $250,000
  • The cost for counter area equipment – $9,500
  • The cost for store equipment (cash register, security, ventilation, signage) – $13,750
  • The cost of purchase and installation of CCTVs: $10,000
  • The cost for the purchase of office 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: $7,000
  • Miscellaneous: $10,000

We would need an estimate of $500,000 to successfully set up our direct sales company in Carson City – Nevada. Please note that this amount includes the salaries of all the staff for the first month of operation.

Generating Funds / Startup Capital for Fred Nelson® Direct Sales Company, LLC

Fred Nelson® Direct Sales Company, LLC is a private registered business that is solely owned and financed by Fred Nelson and his immediate family members. They do not intend to welcome any external business partner 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;

  • 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 $250,000 (Personal savings $200,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $250,000 from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.

Direct Sales Company 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 all of these factors are missing from a business (company), then it won’t be too long before the business close shop.

One of our major goals of starting Fred Nelson® Direct Sales Company, LLC is to build a business that will survive off its own cash flow without the need for 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 wide range of quality goods from top manufacturing brands 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.

Fred Nelson® Direct Sales Company, LLC 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 re – training of our workforce is at the top burner.

As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of six years or more. 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 warehouse facility and remodeling the facility: 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 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 products that we will sell: Completed
  • Establishing business relationship with vendors – manufacturers and suppliers of home and family care products, wellness and personal care products, clothing and accessories, leisure and educational products, and other products et al: In Progress
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