Are you about starting an eyelash extension business? If YES, here is a complete sample eyelash extension business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting an eyelash extension business. We also took it further by analyzing and drafting a sample eyelash extension marketing plan template backed up by actionable guerrilla marketing ideas for eyelash extension companies. So let’s proceed to the business planning section.
Table of Content
- Why Start an Eyelash Extension Business?
- Industry Overview
- Executive Summary
- Our Product Offering
- Our Mission and Vision Statement
- Job Roles and Responsibilities
- SWOT Analysis
- MARKET ANALYSIS
- Our Target Market
- SALES AND MARKETING STRATEGY
- Sales Forecast
- Publicity and Advertising Strategy
- Startup Expenditure (Budget)
- Sustainability and Expansion Strategy
Why Start an Eyelash Extension Business?
One business that is fast gaining grounds across the world is eyelash extension related business. It could be eyelash extension manufacturing, wholesaling/retailing and it could eyelash extension fixing business. But for the purpose of this sample business plan, we will consider eyelash extension retail business.
Starting an eyelash extension retail business is indeed profitable and if your store is located in an area with good human and vehicular traffic, and you have quality eyelash extensions from different brands, you may not have to struggle to get people to visit your store and make purchase.
So, if you have decided to open an eyelash extensions retail store, then you should carry out feasibility studies and also market survey. Business plan is yet another very important business document that you should not take for granted when launching your retail store.
Below is a sample eyelash extension retail business plan template that can help you to successfully write your own with little or no hassles.
A Sample Eyelash Extensions Retail Store Business Plan Template
Eyelash extension retail stores are part of the Wig & Hairpiece industry and players includes stores that specialize in selling eyelash extensions, wigs, hairpiece and hair extensions for both aesthetic and medical purposes. Please note that this industry does not include retailers that provide wigs and hairpieces via electronic mediums.
The Wig & Hairpiece industry depends on strong consumer spending to spur demand for industry products. Over the last half 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.
The Wig & Hairpiece industry is indeed a major sector of the economy of the United States of America and they generate over $224 million annually from more than 696 wigs and hairpiece retail outlets scattered all around the United States of America.
The industry is responsible for the employment of over 1,997 people. Experts project that the industry will grow at a 4.0 percent annual rate. No player can boast of having a lion share of the available market in this industry. A close study of the Wig and Hairpiece stores industry shows that the industry has low barriers to entry.
For instance, the capital requirements to open a store location are relatively low and primarily consist of leasing a commercial property and purchasing initial inventory. Increased vacancies and lower leasing rates as a result of the recession have improved new entrants’ ability to find low-cost property in attractive locations over the past five years.
However, high competition may deter potential entrants. It is important to note that the cost of purchasing initial inventory can vary considerably and is dependent upon the retailers’ ability to work with manufacturers and suppliers. As a new entrant in the industry, you have to establish relationships with suppliers and build a clientele base.
It is a fact that an estimated two-thirds of the United States’ gross domestic product (GDP) comes from the general retail industry of which the eyelash extension retail industry contributes greatly. In essence, when there is an unstable economy, purchasing power drops and it would impact the eyelash extension retailing industry negatively which may result in the closure of some stores.
Over and above, the wig and eyelash extension retail industry is a profitable industry and it is open for any aspiring entrepreneur to come in and establish his or her business. You can choose to start on a small scale in a street corner or on a large scale with several outlets in key cities in the United States of America.
Isabella Kingston® Eyelash Extension Store, Inc. is a registered eyelash extension retail store that will be located in one of the busiest streets in the heart of Dallas – Texas. We are deliberate about this location because from our research, Dallas and other cities in Texas are a good market for eyelash extensions.
We are aware that there are several eyelash extension retail outlets all around Dallas – Texas, which is why we spent time and resources to conduct a thorough feasibility studies and market survey so as to be well positioned to compete with all our competitors.
We have an online – service option for our customers, and our outlet is well secured with various payments of options. Isabella Kingston® Eyelash Extension Store, Inc. will ensure that all our customers are given first class treatment whenever they visit our store.
We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large their numbers may grow to. We will ensure that we get our customers involved in the selection of brands that will be on our racks and also when making some business decisions.
Isabella Kingston® Eyelash Extension Store, Inc. 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 customers’ needs precisely and completely whenever they patronize our products. Isabella Kingston® Eyelash Extension Store, Inc. is a family business that is owned by Sharon Williams and her immediate family members.
Mrs. Isabella Kingston has a B.Sc. in Business Administration, with over 3 years’ of experience in the retailing industry, working for some of the leading brand in the United States. Although the business is launching out with just one outlet in Dallas – Texas, but there is a plan to open other outlets all around major cities in the United States.
Our Product Offering
Isabella Kingston® Eyelash Extension Store, Inc. is in the eyelash extension retail industry to service a wide range of clients and of course to make profits, which is why we will go all the way to make available a wide range of eyelash extensions from top manufacturing brands in the United States and other countries of the world.
Our product offerings are listed below;
- Retailing of eyelash extensions
Our Mission and Vision Statement
- Our vision is to become the number one brand in the eyelash extension retail industry in Texas and to establish a one stop eyelash extension retail store in Dallas – Texas.
- Our mission is to establish a world – class eyelash extension retail business that will make available a wide range of eyelash extension products from top eyelash extension manufacturing brands at affordable prices to residents of Dallas – Texas and other key cities in the United States of America.
Our Business Structure
Isabella Kingston® Eyelash Extension Store, Inc. will be built on a solid foundation. From the outset, we have decided to recruit only qualified professionals to man various job positions in our organization. We are quite aware of the rules and regulations governing retail businesses especially a business like eyelash extensions retail store which is why we decided to recruit only experienced employees.
When hiring, we will look out for applicants that are not just qualified and experienced, but honest, customer centric and are ready to work to help us build a prosperous business. 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 five 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)
- Store Manager
- Human Resources and Admin Manager
- Merchandise Manager
- Sales and Marketing Manager
- Information Technologist
- Sales Agents/Customer Services Executive
Job Roles and Responsibilities
Chief Executive Officer – CEO:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results and developing incentives
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Accountable for fixing prices and signing business deals
- Responsible for providing direction for the business
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
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.
- Defines job positions for recruitment and managing interviewing process
- Carries out induction for new team members
- Accountable for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversees the smooth running of the daily office activities.
- Responsible for managing the daily activities in the store
- Ensures that proper records of eyelash extensions are kept and warehouse does not run out of products
- Ensure that the store facility is in tip top shape and goods are properly arranged and easy to locate
- Controls eyelash extension distribution and supply inventory
- Supervise the workforce in the sales floor.
- Manages vendor relations, market visits, and the ongoing education and development of the organizations’ buying teams
- Helps to ensure quality eyelash extensions 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.
Sales and Marketing Manager
- Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts
- Responsible for supervising, implementation, advocating for the customer’s needs
- Develops, executes and evaluates new plans for expanding sales
- Documents all customer contact and information
- Represents the company in strategic meetings
- Helps to increase sales and growth for the company
- Manages the organizations’ website
- Handles eCommerce aspect of the business
- Responsible for installing and maintenance of computer software and hardware for the organization
- Manages logistics and supply chain software, Web servers, e-commerce software and POS (point of sale) systems
- Manages the organization’s CCTV
- Handles any other technological and IT related duties.
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for the organization
- Serves as internal auditor for the organization
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
- 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
- Makes suggestions and encourage purchase of products
- Provide information about warranties, manufacturing specifications, care and maintenance of merchandise and delivery options
- Responsible for cleaning the store facility at all times
- Ensures that toiletries and supplies don’t run out of stock
- Handles any other duty as assigned by the store manager.
Our intention of starting with just one outlet is to test run the business for a period of 3 to 4 years to know if we will invest more money, expand the business and then open other outlets. We are quite aware that there are several eyelash extension retail stores all over Dallas 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 equipped to confront our threats.
Isabella Kingston® Eyelash Extension Store, Inc. employed the services of an expert HR and Business Analyst with bias in retailing to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives.
This is the summary of the SWOT analysis that was conducted for Isabella Kingston® Eyelash Extension Store, Inc.;
Our location, the business model we will be operating on, varieties of payment options, wide range of eyelash extensions and other related beauty products from different manufacturing companies, the fact that we will fix eyelash for our customers on demand and our excellent customer service culture will definitely count as a strong strength for Isabella Kingston® Eyelash Extension Store, Inc. So also, our team of highly qualified staff members is also a plus for us.
A major weakness that may count against us is the fact that we are a new eyelash extension retail store and we don’t have the financial capacity to compete with multi – million dollar stores when it comes to retailing at a rock bottom prices.
The fact that we are going to be operating our eyelash extension retail store in one of the busiest streets in Dallas – Texas provides us with unlimited opportunities to sell our eyelash extensions. We have been able to conduct thorough feasibility studies and market survey and we know what our potential customers will be looking for when they visit our eyelash extension outlets; 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 eyelash extension retail outlet in same location where ours is located. So also, unfavorable government policies may also pose a threat for us.
- Market Trends
If you are conversant with the Wigs and Hair Extension Stores Industry, you will quite agree that the changes in disposable income, consumer sentiment, and ever – changing trends are major growth drivers for sales in this industry.
No doubt, a massive rise in consumer confidence has also contributed in helping the industry experience remarkable growth, but uneven performance in these drivers has led to slightly constrained revenue growth for the industry.
So also, the rising demand for trendy eyelash extensions, as a result of increasing disposable income and consumer sentiment, will result in revenue growth, but profit margins will stagnate as eyelash extension stores keep prices low to attract more sales amid growing competition.
A close watch on the industry activities reveals that concentration has increased slightly over the past five years, as merger and acquisition activity has become more prominent. Additionally, companies that have enough funds to invest in multichannel operations have benefitted more than smaller operators with minimal resources.
As part of marketing strategies, eyelash extension retail stores engage in massive clearance sales and discount sales to attract customers. It is a strategy that helps them welcome new customers and also reinforce the loyalty of old customers.
The eyelash extension retail landscape has seen tremendous changes in the last 20 years; it has grown from smaller outlets to a more organized and far reaching venture. The introduction of franchise and online store makes it easier for a retailer to reach out to a larger market.
Our Target Market
We are aware that loads of females make use of eye extensions and in view of that, we have positioned our eyelash extension retail store to service the residents of Dallas – Texas. 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 eyelash extension to females in and around the location where our eyelash extension stores will be located.
We are aware of the stiff competition that exists in this line of business and we are prepared to compete favorably with other leading eyelash extension retail stores. Our eyelash extension retail store is located in a corner piece property on a busy road directly opposite one of the largest residential estates in Dallas – Texas.
One thing is certain; we will ensure that we have a wide range of eyelash extensions from leading manufacturers available in our store at all times. It will be difficult for customers to visit our store and not see the type of eyelash extension products they are looking for.
One of our business goals is to make Isabella Kingston® Eyelash Extension Store, Inc. a one stop eyelash extension shop for all classes of customers. 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 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.
SALES AND MARKETING STRATEGY
- Sources of Income
Isabella Kingston® Eyelash Extension Store, Inc. will retail a wide range of eyelash extensions. We are in the wigs and eyelash extension retail stores industry to maximize profits and we are going to ensure that we achieve or business goals and objectives. Our source of income will be the retailing of a wide range of eyelash extensions at affordable prices.
One thing is certain when it comes to eyelash extension retail stores, if your store is stocked with various types of eyelash extensions and is 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 Dallas – Texas and we are quite optimistic that we will meet our set target of generating enough profits from our first six months of operation. We have been able to examine the wigs and eyelash extension retail stores industry, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast.
Below is the sales projection for Isabella Kingston® Eyelash Extension Store, Inc. It is based on the location of our business and other factors as it relates to eyelash extension retail startups in the United States;
- First Fiscal Year: $250,000
- Second Fiscal Year: $450,000
- Third Fiscal Year: $750,000
N.B: This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor retailing same eyelash extension brands 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 Isabella Kingston® Eyelash Extension Store, Inc. we conducted a thorough market survey and feasibility studies in order for us to be able to penetrate the available market. We have detailed information and data that we were able to utilize to structure our business to attract the number of customers we want to attract per time.
We hired experts who have good understanding of the eyelash extension retail 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 Dallas – Texas.
In summary, Isabella Kingston® Eyelash Extension Store, Inc. will adopt the following sales and marketing approach to win customers over;
- Open our eyelash extension retail store in a grand style with a party for all
- Introduce our eyelash extension store by sending introductory letters alongside our brochure to organizations, households and key stake holders in Dallas – Texas
- Ensure that we have a wide range of eyelash extensions from different brands at all times.
- Make use of attractive hand bills to create awareness and also to give direction to our eyelash extension store
- Position our signage/flexi banners at strategic places around Dallas – Texas
- Position our greeters to welcome and direct potential customers
- Create a loyalty plan that will enable us reward our regular customers
- Engage in roadshows within our neighborhood to create awareness for our eyelash extension store.
- List our business and products on yellow pages ads (local directories)
- Leverage on the internet to promote our business
- Engage in direct marketing and sales
- Encourage the use of Word of mouth marketing (referrals)
Publicity and Advertising Strategy
Despite the fact that our eyelash extension store is well located, we will still go ahead to intensify publicity for the business. Isabella Kingston® Eyelash Extension Store, Inc. has a long – term plan of opening outlets in various locations around Texas and key cities in the United States which is why we will deliberately build our brand to be well accepted in Dallas before venturing out.
Here are the platforms we intend leveraging on to promote and advertise Isabella Kingston® Eyelash Extension Store, Inc.;
- Place adverts on community based newspapers, radio and TV stations
- Encourage the use of word of mouth publicity from our loyal customers
- Leverage on the internet and social media platforms to promote our business.
- Ensure that our we position our banners and billboards in strategic positions all around Dallas – Texas
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Advertise our eyelash extension store business in our official website and employ strategies that will help us pull traffic to the site
- Brand all our official cars and ensure that all our staff wear our branded shirt or cap at regular intervals.
Our Pricing Strategy
Aside from quality, pricing is one of the key factors that gives leverage to eyelash extension stores, it is normal for consumers to go to places where they can get eyelash extensions at cheaper prices which is why big player in the industry usually attract loads of clients.
We know we don’t have the capacity to compete with big players in the industry, but we will ensure that the prices and quality of all the eyelash extensions that are available in our store are competitive with what is obtainable in the market.
- Payment Options
The payment policy adopted by Isabella Kingston® Eyelash Extension Store, Inc. is all inclusive because we are aware that different customers prefer different payment options 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 Isabella Kingston® Eyelash Extension Store, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
In view of the above, we have chosen banking platforms that will enable our client make payment for products purchase without any stress on their part.
Startup Expenditure (Budget)
From our market survey and feasibility studies, we have been able to come up with a detailed budget for establishing a standard eyelash extension retail store. These are the areas we are looking towards spending our startup capital on;
- 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 Isabella Kingston® Eyelash Extension Store, 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.
- Cost of hiring a Business Consultant – $2,500.
- Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
- Cost for payment of rent for 12 months at $1.76 per square feet in the total amount of $105,600.
- Cost for Shop 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 eyelash extensions from different brands) – $50,000
- Cost for store equipment (cash register, security, ventilation, signage) – $13,750
- Cost of purchase and installation of CCTVs – $10,000
- The cost of 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
- Miscellaneous – $10,000
We would need an estimate of $200,000 to successfully set up our eyelash extension retail store in Dallas – Texas.
Generating Startup Capital for Isabella Kingston® Eyelash Extension Store, Inc.
Isabella Kingston® Eyelash Extension Store, Inc. is a registered business that is solely owned and financed by Isabella Kingston and her immediate family members. They do not intend to welcome any external business partner which is why she has decided to restrict the sourcing of the startup capital to 3 major sources.
These are the areas we intend generating our startup capital;
- Generate part of the startup capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from the bank
N.B: We have been able to generate about $50,000 (Personal savings $40,000 and soft loan from family members $10,000) and we are at the final stages of obtaining a loan facility of $150,000 from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and business structure. If all these factors are missing from a business, then it won’t be too long before the business closes shop.
One of our major goals of starting Isabella Kingston® Eyelash Extension Store, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over is to retail our eyelash extensions a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.
Isabella Kingston® Eyelash Extension Store, 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.
We know that if all 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.
- 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 shop: 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
- Printing of Packaging, Marketing/Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of 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
- Compilation of our list of eyelash extensions and other beauty care products that will be available in our store: Completed
- Establishing business relationship with manufacturers and suppliers of eyelash extensions: In Progress