Do you want to start a picture framing company and need to write a plan? If YES, here is a sample picture framing business plan template & feasibility report.
If you are a photographer or artist and you have a penchant for business, then you may want to think of opening your own picture framing store. The market for picture framing has continued to soar from generation to generation hence making the business viable and profitable.
Picture framing can’t go out of fashion because people would always appreciate good photographs and artworks in good frames.
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 a photo studio alongside your picture framing store if indeed you want to maximize profits in this business.
A Sample Picture Framing Business Plan Template
1. Industry Overview
The picture framing business is part of the picture framing stores industry and operators in this industry primarily provide custom framing services for pictures and other items. Industry establishments may also retail ready-made frames and other craft supplies. This industry does not include broad-line crafting stores that also offer framing services.
The Picture Framing Stores industry is a thriving sector of the economy of the united states and the industry generates over billion annually from more than 8,263 picture framing stores in the United States of America. The industry is responsible for the employment of well over 14,657 people.
Experts project the industry to decline at a -2.7 percent annual rate. Please note that no player in this industry can boast of having the lion share of this industry; this industry has no major players with a market share of greater than 5 percent.
A recent report published by IBISWorld shows that over the past five years, the industry has contracted due to heightened competition from online retailers, toy and hobby stores and big-box retailers. External operators offer a wider variety of services and competitively priced products as well as added convenience.
Moving forward, the Picture Framing industry will continue its structural descent as external competition mounts and consumer preferences change.
However, improving economic conditions, particularly in the form of rising disposable income and consumer expenditure, will slow the pace of the industry’s decline. Furthermore, demand for artwork is expected to rise, contributing to sales of custom frames during the period. As a result, over the five years to 2023, industry revenue is forecast to decrease at a slower rate.
Starting a picture framing business is indeed a profitable business and it is open for any artist or photographer 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
Classic Corner® Picture Framing Store, Inc. is a standard picture framing store that will be located in one of the busiest roads in Chicago – Illinois. We have been able to lease a facility that is big enough to fit into the kind of picture framing store that we intend launching and the facility is located in a corner piece directly opposite the largest residential estate in Chicago – Illinois.
Classic Corner® Picture Framing Store, Inc. will be involved in providing custom photo and artworks framing services and sell ready-made frames and other craft supplies to a variety of customers. We will also partner with leading photographers and artists in and around the United States of America.
We are aware that there are several picture framing stores and art galleries all around Chicago – Illinois, 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.
Much more than producing and retailing various types of picture frames, our customer care will be second to none in the whole of Chicago – Illinois. 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 store and gallery.
We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large they may grow to. We will ensure that we get our customers involved when making some business decisions that directly affect them.
Classic Corner® Picture Framing Store, Inc. is a private – registered business that is owned by Daniel Howard and his immediate family members. Daniel Howard is an artist and photographer per excellence, he has a BA. in Fine Arts, with over 15 years’ experience in the picture framing industry, working for some of the leading brands in the United States.
3. Our Products and Services
Classic Corner® Picture Framing Store, Inc. is in the picture framing industry to make profits and we will ensure we produce various types of unique picture and artwork frames from our studio. Our product and service offerings are listed below;
- Providing custom photo framing
- Selling ready-made frames
- Selling other craft supplies
- Photography and other media services
4. Our Mission and Vision Statement
- Our vision is to become a household name in Illinois by running a one stop picture framing store and art gallery.
- Our mission is to establish a picture framing store and art gallery that will make available a wide range of unique picture frames at affordable prices.
Our Business Structure
Our intention going into the picture framing business is to build a standard picture framing store and art gallery in Chicago, Illinois.
Although our 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 structures 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.
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)
- Picture framing Store and Gallery Manager
- Craft and Fine Artists
- Human Resources and Amin Manager
- Merchandize Manager
- Sales and Marketing Manager
- Customer Services Executive
5. 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
- 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
- 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.
- Defining job positions for recruitment and managing interviewing process
- Carrying out 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 CEO 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:
- Responsible for providing custom photo framing, ready-made frames and other craft supplies
- 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 on photo frames
- 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 photo frames in our art gallery
- Responsible for the purchase of photo framing materials and related products for the organizations
- Responsible for planning sales, monitoring inventory, selecting the merchandise, and writing and pricing orders to vendors
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
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Document all customer contact and information
- Represent the company in strategic meetings
- Help increase sales and growth for the company
- 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
- 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
- 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 picture framing store in Chicago – Illinois 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 picture framing stores and art galleries all over Chicago 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.
Classic Corner® Picture Framing Store, 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 Classic Corner® Picture Framing Store, Inc.;
Our location, the business model we will be operating on (physical and online picture framing store), varieties of payment options, wide range of uniquely designed picture frames and related products and our excellent customer service culture will definitely count as a strong strength for Classic Corner® Picture Framing Store, Inc.
A major weakness that may count against us is the fact that we are a new picture framing store and art gallery – business and we don’t have the financial capacity to compete with multi-million dollar art galleries who are into picture framing and who are already determining the market direction for the industry in the United States.
Factors such as improved household expenditure from wealthy consumers will lead to renewed demand. The fact that art dealers reduced minimum price guarantees, inventory and advertising to remain stable and positive economic factors will encourage spending on picture framings and art.
The fact that we are going to be operating our picture framing store in one of the busiest streets in Chicago – Illinois provides us with unlimited opportunities to sell our picture frames to a large number of people.
The Picture Framing Stores industry is expected to continue its downward trajectory due to changing consumer tastes and mounting external competition hence posing a threat to our business. So also, 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 picture framing stores in same location where ours is located.
7. MARKET ANALYSIS
- Market Trends
Despite a highly competitive environment, the picture framing stores industry has achieved modest growth over the last five years. As a result, the industry has developed special exhibitions and interactive educational displays to attract new customers and retain existing patrons. Picture framing stores have continued to reposition themselves as social institutions, widening their appeal to new clientele.
Projections show that the demand for artwork is anticipated to grow, driven by the popularity of contemporary art and the increasing number of museums seeking high-priced purchases to entice visitors. Individuals and institutions seeking to frame artwork are projected to generate a large portion of sales for industry operators.
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. You may want to leverage on social media platforms like Instagram, Facebook, and Twitter, and others to publicize your picture framing store.
You can as well go ahead to open an online picture framing store where people can order picture frames and related merchandize from your store. You must ensure that your delivery system (shipping) is efficient if you intend to do well with your online section.
8. Our Target Market
There are loads of people who can’t do without having framed pictures and even framed artworks in their houses or offices. This goes to show that if a picture framing store cum gallery is well positioned, they will continue to sell their picture frames to a wide range of clients on a regular basis.
In view of that, we have positioned our picture framing store to service residents of Chicago, Illinois and the entire United States via our online store. 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 picture frames to the following groups of people;
- Photographers and photo studios
- Artists and art galleries
- Interior Decorators
- Home Remodelers
- Event Planners
- Churches and other religious centers
- Funeral Homes
Our competitive advantage
A close study of the picture framing 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 stiff competition and we are prepared to compete favorably with other leading picture framing stores in and around Chicago – Illinois.
Classic Corner® Picture Framing Store, Inc. is launching a standard picture framing store and art gallery that will indeed become the preferred choice for art lovers in and around Chicago – Illinois. Our picture framing store and art gallery is located in a corner piece property on a busy road directly opposite one of the largest residential estates in Chicago – Illinois.
One thing is certain, we will ensure that we have a wide range of unique picture frames available in our store at all times. It will be difficult for customers to visit our picture framing store and not make a purchase. 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 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
Classic Corner® Picture Framing Store, Inc. is in business to produce, and retail a wide range of photo frames to the residents of Chicago – Illinois other cities in the United States via our online store. We are in the picture framing store industry to maximize profits and we are going to ensure that we achieve or business goals and objectives.
We will generate income by retailing the following products;
- Providing custom photo framing
- Selling ready-made frames
- Selling other craft supplies
- Photography and other media services
10. Sales Forecast
One thing is certain when it comes to picture framing, if your store has talented craft and fine artists and is well stocked with unique photo frames and centrally positioned, you will always attract customers.
We are well positioned to take on the available market in Chicago – Illinois and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow the business and our clientele base.
We have been able to examine the picture framing store industry and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the sales projections for Classic Corner® Picture Framing Store, Inc., it is based on the location of our business and other factors as it relates to picture framing store and gallery startups in the United States;
- First Fiscal Year (FY1): $300,000
- Second Fiscal Year (FY2): $480,000
- Third Fiscal Year (FY3): $580,000
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 producing same style of photo frames 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 Classic Corner® Picture Framing Store, Inc., we conducted a thorough market survey and feasibility studies in order for us be able to penetrate the available market and become the preferred choice in Chicago – Illinois. 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 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 Chicago. In summary, Classic Corner® Picture Framing Store, Inc. will adopt the following sales and marketing approach to win customers over;
- Introduce our picture framing store and art gallery by sending introductory letters alongside our brochure to organizations, photographers, artists, religious centers, interior decorators, home remodelers, households and key stake holders in Chicago – Illinois
- Ensure that we have a wide range of photo frames in our art gallery at all times.
- Make use of attractive hand bills to create awareness and also to give direction to our picture framing store and art gallery
- Position our signage/flexi banners at strategic places around Chicago
- Create a loyalty plan that will enable us reward our regular customers
- Engage on roadshows within our neighborhood to create awareness for our picture framing store and art gallery.
11. Publicity and Advertising Strategy
Despite the fact that our picture framing store and art gallery is well located, we will still go ahead to intensify publicity for the business.
Classic Corner® Picture Framing Store, Inc. has a long – term plan of opening outlets in various locations all around Illinois which is why we will deliberately build our brand to be well accepted in Chicago before venturing out. Here are the platforms we intend leveraging on to promote and advertise Classic Corner® Picture Framing 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 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 Chicago – Illinois
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Advertise Classic Corner® Picture Framing Store, 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 picture framing stores, it is normal for art lovers to go to picture framing stores where they can get unique photo frames and related merchandize at cheaper price.
We know we don’t have the capacity to compete with bigger and well-established picture framing stores, but we will ensure that the prices of all the products that are available in our store are competitive with what is obtainable amongst picture framing stores within our level.
- Payment Options
The payment policy adopted by Classic Corner® Picture Framing Store, 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 Classic Corner® Picture Framing 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
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our clients make payment for the purchase of our photo frames and framing services without any stress on their part. Our bank account numbers will be made available on our website and promotional materials.
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 leasing or purchasing a property, 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 startup 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 Classic Corner® Picture Framing 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.
- The cost for hiring Business Consultant (business plan inclusive) – $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 $45,600.
- The cost for facility remodeling (construction of racks and shelves) – $10,000.
- 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) – $30,000
- The cost for start-up inventory (stocking with a wide variety of picture frames, and other related merchandize) – $30,000
- 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
- Miscellaneous – $2,000
We would need an estimate of one hundred and ninety-five thousand dollars ($195,000) to successfully set up our picture framing store and art gallery in Chicago – Illinois.
Generating Funds/Startup Capital for Classic Corner® Picture Framing Store, Inc.
Classic Corner® Picture Framing Store, Inc. is a private business that is 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 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 $95,000 (Personal savings $80,000 and soft loan from family members $15,000) and we are at the final stages of obtaining a loan facility of $100,000 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.
14. Sustainability and Expansion Strategy
Part of the plans we have in place to sustain Classic Corner® Picture Framing Store, Inc. is to ensure that we continue to make available a wide range of unique photo frames and related merchandize, 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 businesses is financial leakage. In order to plug financial leakages, the management of Classic Corner® Picture Framing Store, 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 types of photo frames they want to see in our store.
We will not waste time in adopting new technology, best practices and diversifying our services. Classic Corner® Picture Framing 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 retraining of our workforce is at the top burner. 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.
- 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 picture framing store 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
- Printing of Packaging and 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
- Establishing business relationship with artists, photographers and vendors – suppliers of picture frames and other merchandise: In Progress.