Are you about starting a shoe repair company? If YES, here is a complete sample shoe repair business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a shoe repair company. We also took it further by analyzing and drafting a sample shoe repair marketing plan template backed up by actionable guerrilla marketing ideas for shoe repair companies. So let’s proceed to the business planning section.
Table of Content
- 1 Why Start a Shoe Repair Business?
- 2 Shoe Repair Business Plan – Executive Summary
- 3 Shoe Repair Business Plan – SWOT Analysis
- 4 Shoe Repair Business Plan – MARKET ANALYSIS
- 5 Shoe Repair Business Plan – SALES AND MARKETING STRATEGY
- 6 Shoe Repair Business Plan – Publicity and Advertising Strategy
- 7 Shoe Repair Business Plan – Sustainability and Expansion Strategy
Why Start a Shoe Repair Business?
Starting a new business from the scratch is not as easy as it sounds. Detailed planning and finance must be in place if indeed you want to build a profitable business. Businesses that do well are not as a result of trial and error. You must work hard if you want your business to succeed.
There are businesses that someone with little schooling and no serious business background and training can start. One of such businesses is to open a shoe repair shop. The major things you need to have in place to succeed in this type of business is a good location, easy access to shoe repair raw materials (shoe thread, leather, soles, lace, polish, and dye amongst others) and good customer service skills.
The truth is that if your shop is located in an area with good human and vehicular traffic, and you have competent cobblers under your payroll, you will not struggle to get people to visit your shop.
So if you have decided to open a shoe repair shop, then you should ensure that you carry out feasibility studies and market survey. Business plan is yet another very important business document that you should not take for granted when launching your own business.
Below is a sample shoe repair business plan template that can help you to successfully write your own with little or no difficulty.
A Sample Shoe Repair Business Plan Template
- Business Overview
Any human you find on the streets is likely to wear one form of footwear or the other. Shoes cum footwear can be pure leather, synthetic, fabric or rubber. And the fact that these shoes are subjected to wear and tear goes to show that there is indeed a very large market for shoe repair stores.
The shoe repair business is grouped under the shoe and footwear industry and players in this industry are involved in manufacturing footwear for men, women and children or repairing shoes.
Research conducted by IBISWORLD shows that the Shoe & Footwear Manufacturing industry in the United States has a low to moderate level of concentration. The US shoe and footwear manufacturing industry is concentrated: the top 50 companies account for more than 95 percent of sales.
New Balance and Allen Edmonds who are considered to be the two dominant players in the industry are estimated to account for an estimated 35.3 percent of the revenue generated in industry. This low-to-moderate concentration reflects a fragmented market that has a mix of a few large companies and many small industry operators specializing in higher valued-added footwear.
The largest global footwear companies such as Nike and Adidas, manufacture nearly all of their products outside of the country. This practice has increased over the past few years as large manufacturers discontinue production in the United States, instead focusing domestic activities on design and wholesale of footwear.
The Shoe and Footwear Manufacturing industry that shoe repair business is a part of is indeed a major sector of the economy of most countries in the world. Statistics has it that in the United States of America alone, the Shoe & Footwear Manufacturing industry generates over $2 billion annually from more than 876 registered and licensed large scale shoes and footwear manufacturing companies scattered all around the United States of America.
The industry is responsible for the employment of over 10,416 people. Experts project the shoe and footwear manufacturing industry to grow at a -2.7 percent annual rate. In the United States, men’s footwear accounts for about 50 percent of sales, women’s for about 20 percent, and athletic and other footwear for about 30 percent. The establishment in this industry that has a dominant market share in the United States of America are; New Balance and Allen Edmonds.
If you are interested in starting a business in the shoe & footwear manufacturing industry and you don’t have enough capital, then you can start with a shoe repair business. It is a business that can be started in any part of the world.
Shoe Repair Business Plan – Executive Summary
Vincent Jonas & Sons® Shoe Repair Shop is a registered shoe & footwear repair company that will be located in Albany – New York; in an ideal location highly suitable for the kind of business we want to establish. We have been able to lease a facility that fits perfectly into the kind of business we want to launch.
Vincent Jonas & Sons® Shoe Repair Shop will be involved in repair and refurbishing of all types of shoes. We are set to service a wide range of clientele in and around the location of our shoe repair shop.
We are aware that there are several shoe repair shops and even footwear manufacturing companies that are also into shoe repair all around the United States of America, which is why we spent time and resources to conduct a thorough feasibility studies and market survey so as to be well positioned to favorably compete with all our competitors.
Vincent Jonas & Sons® Shoe Repair Shop will ensure that all the footwear repair works that we carry out are of the highest quality and affordable. We want to build a business with a wide range of clientele base that cuts across people of different financial status. We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large the number of our customers’ base may grow to.
Vincent Jonas & Sons® Shoe Repair Shop 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 services.
Vincent Jonas & Sons® Shoe Repair Shop is a family business that is owned by Vincent Jonas and his immediate family members. Vincent Jonas has a Diploma in shoe and footwear Making, with over 10 years’ experience in the shoe and footwear manufacturing industry, working for some of the leading brands in the United States. He will be bringing in his vast experience to help build Vincent Jonas & Sons® Shoe Repair Shop to compete with other leaders in the industry.
- Our Product Offering
Vincent Jonas & Sons® Shoe Repair Shop is in the shoe repair line of business to repair and refurbish shoes for men, women and children. We are set to service a wide range of clientele in and around our shop location and of course to make profits.
We will do all that is permitted by the law of the United States to achieve our business aim and ambition. Our product offerings are listed below;
- Repair and refurbishing of rubber and plastic footwear
- Repair and refurbishing of house slipper
- Repair and refurbishing of athletic shoes
- Repair and refurbishing of ballet slipper
- Repair and refurbishing of cleated athletic shoes
- Repair and refurbishing of other footwear
Our Vision Statement
Our vision is to become the leading shoe repair shop in and around Albany – New Work.
- Our Mission Statement
Our mission is to establish a world – class footwear repair business whose services will be patronized by people of different financial status; we want to become the household name when it comes to shoe repair in the whole of Albany.
- Our Business Structure
Our intention of starting a shoe repair business is to build a standard footwear repair business in Albany – New York. Hence, we 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 qualified, 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 senior 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)
- Shop Manager
- Sales and Marketing Manager
- Shoes and Footwear repair Experts
- Accountants / Cashiers
- Customer Services Executive
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; developing incentives; developing a climate for offering information and opinions.
- 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
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- 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.
- Guarantees operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Defines job positions for recruitment and managing interviewing process
- Carries out induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for managing the daily activities in the shoe and footwear repair workshop
- Ensures that proper records of shoe repair materials are kept and warehouse does not run out of raw materials
- Ensures that the shop is always in tip top shape
- Interfaces with third – party suppliers (vendors) of raw materials (leather, synthetic leather, rubber, soles, fabrics, gum, polish and shoe dyes et al)
Sales and Marketing Manager
- Manages external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
- Models demographic information and analyze the volumes of transactional data generated by customer purchases
- Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Documents all customer contact and information
- Represents the company in strategic meetings
- Responsible for repairing and refurbishing of rubber and plastic footwear
- Accountable for repairing and refurbishing of house slipper
- Responsible for repairing and refurbishing of athletic shoes
- In charge of repairing and refurbishing of ballet slipper
- Responsible for repairing and refurbishing of cleated athletic shoes and other footwear
- 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
- 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 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
Shoe Repair Business Plan – SWOT Analysis
Vincent Jonas & Sons® Shoe Repair Shop is set to become one of the leading shoe and footwear repair shops in the United States of America and we are fully aware that it will take the right business concept, management and organizational structure to achieve our goal.
We are quite aware that there are several shoe repair shops and even shoes and footwear manufacturing companies that are also into shoe repairs all over the United States of America 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.
Vincent Jonas & Sons® Shoe Repair Shop employed the services of an expert Business Analyst with bias in the startups such as ours 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 Vincent Jonas & Sons® Shoe Repair Shop;
Our core strength lies in the quality of our finished shoes and footwear, the power of our team and the well-equipped shoe repair shop that we own. We have a team of experienced cobblers that can go all the way to give our customers value for their money. We are well positioned in the heart of Albany – New York and we know we will attract loads of clients from the first day we open our shoe repair shop for business.
A major weakness that may count against us is the fact that we are a new shoe repair shop and we don’t have the financial capacity to compete with large footwear manufacturing companies who are also into shoe repair and refurbishing. So also, we may not have enough cash reserve to promote our shoe repair shop the way we would want to do.
The fact that we are going to be operating our shoe repair shop in Albany – New York provides us with unlimited opportunities to provide our services 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 shoe and footwear repair workshop; 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. Another threat that may likely confront us is the arrival of a new shoe repair shop and even footwear manufacturing company that are also into shoe repair and refurbishing in the same location where ours is located. So also, unfavorable government policies may also pose a threat for businesses such as ours.
Shoe Repair Business Plan – MARKET ANALYSIS
- Market Trends
One common trend in the footwear manufacturing industry that shoe repair business is a part of is that the demand for its product is driven by fashion, demographics, and of course consumer disposable income. The profitability of individual footwear repair businesses depends on their ability to carry our faultless shoe repairs services.
Going forward, shoe repair shops will have to position themselves to cater to a stronger middle class market. It has been projected that by the year 2030, the majority of the world’s population will be part of the middle class, primarily due to a drop in the amount of people living in extreme poverty.
With this development, there will be an influx of new consumers and this will put pressure on product developers to meet their unfamiliar preferences and needs. Developed economies placing their products in emerging markets will also have to adjust their pricing strategies to compete with local low-price manufacturers.
- Our Target Market
Perhaps it will be safe to submit that the footwear manufacturing industry that shoe repair business is a part of is amongst the industries that have the widest range of customers; almost everybody on planet earth need one form of footwear or the other. It is pretty difficult to find someone in the United States and of course in other developed countries that don’t have shoes.
In view of that, we have positioned our shoe repair shop to service the clientele in and around our shop location. We have conducted our market research and feasibility studies and we have ideas of what our target market would be expecting from us.
- Our Competitive Advantage
A close study of the shoe and footwear manufacturing 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 with your designs and market approach, be 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 shoe repair shops in the United States.
Vincent Jonas & Sons® Shoe Repair Shop is launching a standard shoe and footwear repair business that will indeed become the preferred choice of residents of Albany – New York and every other location where our outlets will be opened. Our shoe and footwear repair shop is located in an ideal property highly suitable for the kind of business that we want to run.
One of our business goal is to make Vincent Jonas & Sons® Shoe Repair Shop a one stop shoe repair shop. Our excellent customer service culture, excellent repair and refurbishing services, 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.
Shoe Repair Business Plan – SALES AND MARKETING STRATEGY
- Sources of Income
Vincent Jonas & Sons® Shoe Repair Shop is in business to repair and refurbish a wide range of shoes and footwear in and around Albany – New York. We are in the shoe repair line of business to maximize profits and we are going to go all the way out to ensure that we achieve our business goals and objectives.
Vincent Jonas & Sons® Shoe Repair Shop will generate income by offering the following services;
- Repairing and refurbishing of rubber and plastic footwear
- Repairing and refurbishing of house slipper
- Repairing and refurbishing of athletic shoes
- Repairing and refurbishing of ballet slipper
- Repairing and refurbishing of cleated athletic shoes
- Repairing and refurbishing of other footwear
If you are into the repair and refurbishing of various types of shoes and footwear, 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 and around the location where our shop will be located and we are quite optimistic that we will meet our set target of generating enough profits from the first six months of operation and grow the business and our clientele base.
We have been able to critically examine the shoe repair business, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to startups in Albany – New York.
Below are the sales projection for Vincent Jonas & Sons® Shoe Repair Shop, it is based on the location of our business and other factors as it relates to shoe and footwear repair startups in the Albany – New York;
- First Fiscal Year: $150,000
- Second Fiscal Year: $250,000
- Third Fiscal Year: $500,000
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 within the same location as ours. 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 Vincent Jonas & Sons® Shoe Repair Shop we conducted a thorough market survey and feasibility studies in order for us to penetrate the available market and become one of the preferred choice for consumers in and around the location of our shoe repair shop.
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 shoe and footwear manufacturing 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 the United States of America.
In summary, Vincent Jonas & Sons® Shoe Repair Shop will adopt the following sales and marketing approach to win customers over;
- Open our shoe and footwear repair shop in a grand style with a party for all.
- Introduce our shoe repair shop by sending introductory letters alongside our brochure to organizations, households and key stake holders in and around Albany – New York
- Make use of attractive hand bills to create awareness and also to give direction to our shoe and footwear repair shop
- Position our signage / flexi banners at strategic places around Albany – New York
- Create a loyalty plan that will enable us reward our regular customers
- 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)
Shoe Repair Business Plan – Publicity and Advertising Strategy
Despite the fact that our shoe and footwear repair shop is well located, we will still go ahead to intensify publicity for the business. We are going to explore all available means to promote our business.
Vincent Jonas & Sons® Shoe Repair Shop has a long term plan of opening our shoe repair shops in various locations all around New York and other key cities in the United States which is why we will deliberately build our brand to be well accepted in Albany – New York 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 Vincent Jonas & Sons® Shoe Repair Shop;
- 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 Albany – New York
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Advertise our shoe and footwear repair shop in our official website and employ strategies that will help us pull traffic to the site
Our Pricing Strategy
At Vincent Jonas & Sons® Shoe Repair Shop we will keep the prices of our shoe repair services below the average market rate for all of our customers by keeping our overhead low and by collecting payment in advance from corporate organizations who would hire our services. In addition, we will also offer special discounted rates to all our customers at regular intervals.
- Payment Options
The payment policy adopted by Vincent Jonas & Sons® Shoe Repair Shop 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 Vincent Jonas & Sons® Shoe Repair Shop will make available to her clients;
- Payment with cash
- Payment via Point of Sale Machine (POS)
- Payment via online bank transfer
- Payment via check
In view of the above, we have chosen banking platforms that will enable our clients make payment for our services 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 services.
- 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 / leasing a big facility, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.
The tools and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked. As for the detailed cost analysis for starting a shoe and footwear repair business; it might differ in other countries due to the value of their money.
These are the key areas where we will spend our start – up capital on;
- 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 Vincent Jonas & Sons® Shoe Repair Shop 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 total cost for hiring Business Consultant – $2,500.
- The total cost for payment of insurance policy covers (general liability, workers’ compensation and property casualty) coverage at a total premium – $9,400.
- The total cost for long – term leasing of a standard shop facility – $50,000
- The total cost for remodeling the shop facility – $5,000.
- 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 total cost for start-up inventory (purchase of footwear repair and refurbishing tools and equipment and the purchase of raw materials (leather, synthetic leather, rubber, soles, fabrics, gum, polish and shoe dyes et al)) – $30,000
- The total cost for store equipment (cash register, security, ventilation, signage) – $13,750
- The total cost for the purchase and installation of CCTVs: $10,000
- The cost for the purchase of office furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al): $4,000.
- The total cost of launching a website: $600
- The total cost for our opening party: $5,000
- Miscellaneous: $3,000
We would need an estimate of one hundred and fifty thousand dollars ($150,000) to successfully set up our shoe and footwear repair business in Albany – New York.
Generating Startup Capital for Vincent Jonas & Sons® Shoe Repair Shop
Vincent Jonas & Sons® Shoe Repair Shop is a family business that is solely owned and financed by Vincent Jonas 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 $50,000 (Personal savings $30,000 and soft loan from family members $20,000) and we are at the final stages of obtaining a loan facility of $100,000 from our bank. All 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.
Shoe Repair Business Plan – 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 the business structure. If all of these factors are missing from a business, then it won’t be too long before the business close shop.
One of our major goals of starting Vincent Jonas & Sons® Shoe Repair Shop is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over is to offer our shoes and footwear repair and refurbishing services a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.
Vincent Jonas & Sons® Shoe Repair Shop 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 facility: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of shoe and footwear repair and refurbishing machines and equipment: Completed
- 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
- Establishing business relationship with vendors – suppliers of shoe and footwear repair raw materials: In Progress
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