Do you want to start an art studio and need to write a plan? If YES, here is a detailed sample art studio business plan template & FREE feasibility report.
It is important to point out that art studio business is one the businesses that can’t go out of fashion simply because people would always appreciate good artwork. Depending on the scale you want to start, the startup capital for this type of business can be considered to range from small to moderate.
As a matter of fact, it is advisable to run an art gallery alongside your art studio if indeed you want to maximize profits in this business.
A Sample Art Studio Business Plan Template
1. Industry Overview
Art studios are part of the art gallery and museum industry and the industry comprises of art studios and art galleries, museum and art auction houses that primarily retail original and limited-edition artwork. Art galleries usually purchase artwork from an artist or individual owner and then sell the artwork to consumers, with little or no further development of the product.
So also, auction houses that bring buyers and sellers together and collect a commission are part of this industry. The gallery and museum industry is highly fragmented, with most operators having only one to four employees. However, on the opposite end, though smaller in number, the industry also includes multibillion-dollar institutions, such as Sotheby’s and Christie’s International.
Over the five years to 2022, industry revenue is projected to grow. Contemporary art has become a considerable growth segment as the sheer number of traded artworks increases; this trend is not expected to slow.
The Art Galleries and Museums industry is a thriving sector of the economy of the united states and the industry generates a whooping sum of well over billion annually from more than 3,561 art galleries and museums scattered all around the United States of America.
The industry is responsible for the employment of well over 23,213 people. Experts project the florist industry to grow at a 1.5 percent annual rate. Christie’s International and Sotheby’s Holdings Inc. are the market leader in this industry, the have the lion market share in the industry.
A recent report published by IBISWorld shows that in the art gallery and museum industry, capital intensity is determined by the ratio of capital to labor. In the absence of official data on capital and labor costs, depreciation and wage costs are used as proxies.
For the Art Gallery and Museum industry, the average operator spends $0.06 on capital for every dollar spent on labor. This ratio indicates a low level of capital intensity and reflects the industry’s emphasis on hiring and retaining high-quality personnel.
Sourcing and valuing artwork is crucial to the success of an art dealership (gallery), and these activities require highly skilled labor. Retailers and auctioneers are also required to provide knowledge of the products and an ability to place a value on new stock.
Over and above, starting an art studio is indeed a profitable business and it is open for any artist with an entrepreneurial mindset to come in and establish his or her business. With the right location and network, you will just be fine with this business.
2. Executive Summary
Daniel Howard® Art Studio, Inc. is a standard and registered art gallery that will be located in one of the busiest roads in Las Vegas – Nevada.
We have been able to lease a facility along a major road that is big enough to fit into the design of the kind of art studio that we intend launching and the facility is located in a corner piece directly opposite the largest residential estate in Las Vegas – Nevada.
Daniel Howard® Art Studio, Inc. will be involved in drawing, painting, pottery (ceramics), sculpture, origami, woodworking, scrapbooking, photography, and graphic design et al.
So also, in order to maximize profits, we will in the nearest future go into auctioning off art, retailing art privately, retailing art through galleries, art gallery exhibitions, merchandise sales, other products and services and renting of art works. We will also partner with leading artist in and around the United States of America.
We are aware that there are several large and small art studios and art galleries all around Las Vegas – Nevada, which is why we spent time and resources to conduct our feasibility studies and market survey so as to offer much more than our competitors will be offering and our outlet is well secured with the various payment of options.
Much more than producing, retailing and renting out various types of art works, our customer care will be second to none in the whole of Las Vegas – Nevada. We know that our customers are the reason why we are in business which is why we will go the extra mile to get them satisfied when they visit our art studio and gallery and also to become our loyal customers and ambassadors.
Daniel Howard® Art Studio, Inc. will ensure that all our customers are given first class treatment whenever they visit our art studio and art gallery.
We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large the numbers of our customers’ base may grow to. We will ensure that we get our customers involved when making some business decisions that directly affect them.
We are aware of the trend in the art gallery and museum industry and we are not only going to operate a system where our customers would have to come to our art studio to place order or to make purchase or whatever they want but we will also operate an online art gallery and our customers can order artworks and related merchandize online and they will get it delivered to their houses or any location they want us to deliver the goods to within Las Vegas – Nevada.
Daniel Howard® Art Studio, Inc. is a private – registered business that is owned by Daniel Howard and his immediate family members. Daniel Howard is an artist per excellence, he has a BA. in Fine Arts, with well over 15 years of experience in the art gallery and museum industry, working for some of the leading brand in the United States.
Although the business is launching out with just one studio in Las Vegas – Nevada, but there is a plan to open other studios and art galleries all around Nevada and perhaps in other key cities in the United States of America.
3. Our Products and Services
Daniel Howard® Art Studio, Inc. is in the art gallery and museum industry to make profits and we will ensure we go all the way to produce various type of unique artworks from our studios and also to make available a wide range of art works from different artist and other related merchandize to our clients in our art gallery.
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 product and service offerings are listed below;
- Pottery (ceramics)
- Photography and other media
- Other related artifacts and merchandize
4. Our Mission and Vision Statement
- Our vision is to become a household name in Nevada by running a one stop art studio and art gallery.
- Our mission is to establish an art studio and art gallery that will make available a wide range of art works (paintings, drawings, prints, pottery (ceramics), sculpture, origami, woodworking, scrapbooking and other merchandize) at affordable prices to the residence of Las Vegas, Nevada and other cities across the United States of America where we intend exhibiting our art works.
Our Business Structure
Daniel Howard® Art Studio, Inc. do not intend to start a small and neighborhood art studio and art gallery; our intention going into the art studio line of business is to build a standard and one stop art studio and art gallery in Las Vegas, Nevada.
Although our art studio business might not be as big as multimillion-dollar institutions, such as Sotheby’s and Christie’s International, but will ensure that we put the right structure in place that will support the kind of growth that we have in mind while setting up the business.
We will ensure that we hire people that are talented, qualified, honest, 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 artists and management staff and it will be based on their performance for a period of ten years or more. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;
- Chief Executive Officer (Owner)
- Art Studio and Gallery Manager
- Craft and Fine Artists
- Human Resources and Amin Manager
- Merchandize Manager
- Sales and Marketing Manager
- Information Technologist
- Accountants / Cashiers
- Customer Services Executive
5. Job Roles and Responsibilities
Chief Executive Officer – CEO (Chief Artists):
- 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.
- Creating, communicating, and implementing 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
- Creating, communicating, and implementing 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
- Reports to the board
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- 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.
- Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
- Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
- Defining job positions for recruitment and managing interviewing process
- Carrying out staff induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversee the smooth running of the daily office activities.
- Managing projects from initial idea to final completion
- Liaising with clients to understand business and project needs
- Assessing client briefs and assigning designers to a project
- Proofing and reviewing designs and checking documents before they are sent off
- Assisting on the creative production side when needed and meeting with team members for feedback
- Creating and implementing monthly deadlines, project goals, expectations and workflows to ensure a smooth production process with on-time delivery
- Foster a collaborative, iterative creative environment while inspiring safety and confidence amongst team members
- Provide feedback, coaching, and recognition at regular intervals
- Support learning and growth, helping team members expand current roles
- Partner with Chief Artists and Key Stakeholders to achieve production schedule
- Employ judgement and strategy; creating assignments that compliment team member strengths and satisfy business needs
- Model straightforward, transparent, inclusive communication
- Assist in the identification and recruitment of talent
Craft and Fine Artists:
- Work with many different materials, including ceramics, glass, textiles, wood, metal, and paper, to create unique pieces of art, such as pottery, quilts, stained glass, furniture, jewelry, and clothing.
- Use techniques, such as knitting, weaving, glass blowing, painting, drawing, or sculpting
- Develop creative ideas or new methods for making art
- Create sketches, templates, or models to guide their work
- Select which materials to use on the basis of color, texture, strength, and other qualities
- Process materials, often by shaping, joining, or cutting
- Use visual elements, such as composition, color, space, and perspective, to produce desired artistic effects
- Develop portfolios highlighting their artistic styles and abilities to show to gallery owners and others interested in their work
- Display their work at auctions, galleries, museums and online marketplaces.
- Manage vendor relations, market visits, and the ongoing education and development of the organizations’ buying teams
- Help to ensure consistent quality of art works in our art gallery
- Responsible for the purchase of materials and art works (paintings, drawings, prints, sculptures, photography and other merchandize) and related products for the organizations
- Responsible for planning sales, monitoring inventory, selecting the merchandise, and writing and pricing orders to vendors
- Ensures that the organization operates within stipulated budget.
Sales and Marketing Manager
- Source for avenues for the organization to exhibit our artworks and generate sales
- Manage external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
- Model demographic information and analyze the volumes of transactional data generated by customer purchases
- Identify, prioritize, and reach 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
- Develop, execute and evaluate new plans for expanding increase sales
- Document all customer contact and information
- Represent the company in strategic meetings
- Help increase sales and growth for the company
- Manage the organization website
- Handles ecommerce aspect of the business
- Responsible for installing and maintenance of computer software and hardware for the organization
- Manage logistics and supply chain software, Web servers, e-commerce software and POS (point of sale) systems
- Manage the organization’s CCTV
- Handles any other technological and IT related duties.
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; 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
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensuring compliance with taxation legislation
- Handles all financial transactions for the organization
- Serves as internal auditor for the organization
Client Service Executive
- 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 customers on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the human resources and admin manager in an effective and timely manner
- Consistently stays abreast of any new information on the organizations’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to customers when they make enquiries (answer customer queries regarding the store and the merchandise)
- Find out the customer’s needs, recommend, select and help locate the right merchandise, describe a product’s features and benefits.
- make suggestions and encourage purchase of products
- Provide information about warranties, manufacturing specifications, care and maintenance of merchandise and delivery options
- Bag or package purchases and gift wrap merchandise
6. SWOT Analysis
Our intention of starting just one outlet of our art studio and art gallery in Las Vegas – Nevada is to test run the business for a period of 2 to 5 years to know if we will invest more money, expand the business and then open other outlets in key regions within the United States of America.
We are quite aware that there are several art studios and art galleries all over Las Vegas and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be welled equipped to confront our threats.
Daniel Howard® Art Studio, Inc. employed the services of an expert HR and Business Analyst with bias in new business 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. This is the summary of the SWOT analysis that was conducted for Daniel Howard® Art Studio, Inc.;
Our location, the business model we will be operating on (physical art gallery and online art gallery), varieties of payment options, wide range of art works and related products and our excellent customer service culture will definitely count as a strong strength for Daniel Howard® Art Studio, Inc.
A major weakness that may count against us is the fact that we are a new art studio and art gallery – business and we don’t have the financial capacity to compete with multi – million dollars art galleries who are already determining the market direction for the art gallery and museum industry in the United States.
Factors such as improved household expenditure from wealthy consumers will lead to renewed demand. The fact that art dealer reduced minimum price guarantees, inventory and advertising to remain stable and positive economic factors will encourage spending on art.
The fact that we are going to be operating our art gallery in one of the busiest streets in Las Vegas – Nevada provides us with unlimited opportunities to sell our art works and related products to a large number of people.
We have been able to conduct thorough feasibility studies and market survey and we know what our potential clients will be looking for when they visit our art gallery; we are well positioned to take on the opportunities that will come our way.
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 / spending power. Another threat that may likely confront us is the arrival of a new art gallery and museum in same location where ours is located.
7. MARKET ANALYSIS
- Market Trends
Despite a highly competitive environment, the Art Galleries and Museum industry has achieved modest growth over the last five years. Art galleries and museums contend with other leisure, sporting and entertainment organizations for a share of consumer expenditure and government funding.
As a result, the industry has developed special exhibitions and interactive educational displays to attract new visitors and retain existing patrons. Art galleries and museums have continued to reposition themselves as social institutions, widening their appeal to new audiences and helping them secure government grants.
Successful art gallery and museum operators have made use of existing and emerging digital media to offer online virtual museums. In this era when the online community is growing rapidly, you would do your business a whole lot of favor if you create your own online presence.
One of the easiest ways to get people to see you as an expert in your line of business is to blog constantly about art works. You may also want to leverage on social media platforms like Instagram, Facebook, and Twitter, and others to publicize your art gallery and art works.
You can as well go ahead to open an online art gallery where people can order art works and related merchandize from your art gallery. You must ensure that your delivery system (shipping) is efficient if you intend to do well with your online art gallery.
8. Our Target Market
There are loads of people who can’t do without having art works in their houses or offices. This goes to show that if an art studio cum gallery is well positioned, they will continue to sell their art works to a wide range of clients on a regular basis.
In view of that, we have positioned our art studio and gallery to service the residence of Las Vegas, Nevada and the entire United States via our online art gallery shop. We have conducted our market research and we have ideas of what our target market would be expecting from us. We are in business to retail a wide range of art work and related merchandize to the following groups of people;
- Interior Decorators
- Home Remodelers
- Event Planners
- Churches and other religious centers
- Funeral Homes
Our Competitive Advantage
A close study of the art gallery and museum 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 art galleries and other leading art studios who are into retailing art works in and around Las Vegas – Nevada. Daniel Howard® Art Studio, Inc. is launching a standard art studio and art gallery that will indeed become the preferred choice for art lovers in and around Las Vegas – Nevada.
Our art studio and art gallery is located in a corner piece property on a busy road directly opposite one of the largest residential estates in Las Vegas – Nevada. We have enough parking space that can accommodate well over 20 cars per time.
One thing is certain, we will ensure that we have a wide range of art works and related products available in our art gallery at all times. It will be difficult for customers to visit our art studio and gallery and not make a purchase of art works or other related products.
One of our business goals is to make Daniel Howard® Art Studio, Inc. a one stop art studio cum art gallery. Our excellent customer service culture, online store, various payment options and highly secured facility 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 art studios) in the art gallery and museum 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
Daniel Howard® Art Studio, Inc. is in business to produce, retail and rent out a wide range of art works and related products to the residence of Las Vegas – Nevada other cities in the United States via our online art gallery. We are in the art gallery and museum 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 production and retailing of a wide range of art works and other related products at affordable prices. We will generate income by retailing the following products;
- Pottery (ceramics)
- Photography and other media
- Other related artifacts and merchandize
10. Sales Forecast
One thing is certain when it comes to art studios and art galleries, if your art studio and art gallery facility has talented craft and fine artists and is well stocked and centrally positioned, 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 Las Vegas – 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 art gallery and museum 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 projection is based on information gathered on the field and some assumptions that are peculiar to startups in Las Vegas – Nevada.
Below are the sales projections for Daniel Howard® Art Studio, Inc., it is based on the location of our business and other factors as it relates to art studio and gallery startups in the United States;
- First Fiscal Year (FY1): $350,000
- Second Fiscal Year (FY2): $750,000
- Third Fiscal Year (FY3): $1.5 Million
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 producing same style of crafts and fine arts 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 for Daniel Howard® Art Studio, Inc., 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 Las Vegas – 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 art gallery and museum 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 Las Vegas.
In other to continue to be in business and grow, we must continue to sell the art works and related products that we produce and are available in our art gallery which is why we will go all out to empower or sales and marketing team to deliver.
In summary, Daniel Howard® Art Studio, Inc. will adopt the following sales and marketing approach to win customers over;
- Open our art studio and art gallery in a grand style with a party for all.
- Introduce our art studio and art gallery by sending introductory letters alongside our brochure to organizations, religious centers, interior decorators, home remodelers, households and key stake holders in Las Vegas – Nevada
- Ensure that we have a wide range of art works (paintings, drawings, prints, sculptures, photography and other merchandize) in our art gallery at all times.
- Make use of attractive hand bills to create awareness and also to give direction to our art studio and art gallery
- Position our signage / flexi banners at strategic places around Las Vegas
- Position our greeters to welcome and direct potential customers
- Create a loyalty plan that will enable us reward our regular customers
- Engage on roadshows within our neighborhood to create awareness for our art studio and art gallery.
11. Publicity and Advertising Strategy
Despite the fact that our art studio and art gallery is well located, we will still go ahead to intensify publicity for the business.
We are going to explore all available means to promote Daniel Howard® Art Studio, Inc. Daniel Howard® Art Studio, Inc. has a long – term plan of opening outlets in various locations all around Nevada which is why we will deliberately build our brand to be well accepted in Las Vegas 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 Daniel Howard® Art Studio, Inc.;
- 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, Snapchat, Google+ and other platforms to promote our business.
- Ensure that our we position our banners and billboards in strategic positions all around Las Vegas – Nevada
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Advertise Daniel Howard® Art Studio, Inc. business in our official website and employ strategies that will help us pull traffic to the site
- Brand all our official cars and vans and ensure that all our staff members and management staff wear our branded shirt or cap at regular intervals.
12. Our Pricing Strategy
Pricing, uniqueness and quality are some of the key factors that gives leverage to art galleries, it is normal for art lovers to go to places (art studios and gallery) where they can get unique art works and related merchandize at cheaper price.
We know we don’t have the capacity to compete with bigger and well – established art gallery, but we will ensure that the prices of all the products that are available in our art gallery are competitive with what is obtainable amongst art galleries within our level.
We are aware that there are contracts for art work supplies by government, and art work merchandizers; we will ensure that we abide by the bidding pricing template when we bid for such contracts.
- Payment Options
The payment policy adopted by Daniel Howard® Art Studio, 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 Daniel Howard® Art Studio, Inc. 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 the purchase of our artworks 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 our artworks that they purchase.
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 creative and productive.
In view of that, here are the key areas where we will spend our start – up 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 Daniel Howard® Art Studio, 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 months at $1.76 per square feet in the total amount of $105,600.
- The cost for facility 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 art materials and a wide range of art works, and other related merchandize) – $250,000
- 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 four hundred and fifty thousand dollars ($450,000) to successfully set up our art studio and art gallery in Las Vegas – Nevada. Please note that this amount includes the salaries of all the staff for the first month of operation.
Generating Funds / Startup Capital for Daniel Howard® Art Studio, Inc.
Daniel Howard® Art Studio, Inc. is a private business that is solely owned and financed by Daniel Howard 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 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 $150,000 (Personal savings $100,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $300,000 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.
14. Sustainability and Expansion Strategy
Part of the plans we have in place to sustain Daniel Howard® Art Studio, Inc. is to ensure that we continue to make available a wide range of unique drawing, painting, pottery (ceramics), sculpture, origami, woodworking, scrapbooking, photography, and graphic design et al, deliver quality services, improvise on how to do things faster and cheaper.
We are not going to relent in providing conducive environment for our workers and also the required trainings that will help them deliver excellent services at all times.
From our findings, another factor that kills new business such as ours is financial leakages. In order to plug financial leakages, the management of Daniel Howard® Art Studio, Inc. adopt the use of payment machine and accounting software to run the business.
We are quite aware that our customers are key component to the growth and survival of our business hence we are going to continuously engage them to give us ideas on how to serve them better and the products they want to see in our store.
We will not waste time in adopting new technology, best practices and diversifying our services; expand our product and service offerings once the need arises.
Daniel Howard® Art Studio, 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 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 three 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 facility and remodeling the art studio and gallery: 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 will be available in our shop: Completed
- Establishing business relationship with artists and vendors – suppliers of artworks and related merchandize (paintings, drawings, prints, sculptures, photography and other merchandize) In Progress.