Lingerie Retail Clothing Store Business Plan

Introduction

This plan shows the financial plans and promotions of Bravo intimates, which will be situated in downtown Royal Oak. This exciting project will bring a much-needed women’s intimate clothing store to the Metro area. In the second year, the company will expand to include mastectomy products. No major mastectomy store is available in the metro to serve this customer. Bravo Intimates will have the opportunity to capture the highest market share in the region by active support for women’s and community groups, linking events to in store promotions. Our ultimate goal is to be the premier intimate apparel and swimwear store in Michigan, fitting every customer in a fashionable bra or swimsuit, giving her incredible support and shape, therefore enhancing her entire silhouette!

A portion will be put in a bank account to help us purchase our own building. We are tentatively planning for year 4.

The Company

Bra~vo has a very strong, experienced and professional management team, with over 35 years of combined experience. Each member works in their own area of expertise, so we cover every aspect of the business.

Autumn will be the Owner/Operator with 55% of ownership. He/she will be responsible for purchasing, customer sales, and fittings.

Lucille Wins will become: Co-owner with 26% Ownership and will act in the capacity of merchandising consultant, employee-training and part time sales.

Deborah Summers will become: Co-owner with 19% Ownership and will act Operation Manager responsible to pay and receivables. In store promotions, billing, sales, and inventory control.

The store will be found in Royal Oak’s downtown area. South Washington street is the main shopping area in town. The space measures 2,000 (10×200) square feet.

The Products

Our shop will sell only those brands that we have found that meet our fit and quality requirements. Our customers will soon be introduced to new brands.

Bravo will be carrying quality European and American brands such as Rigby & Peller and Prima Dona, Wacoal and OnGossomer. Our specialty is bra fitting for full-figured women. Bras/intimate attire will be the first category of merchandise. Then, swimwear/At Homewear and hosiery will be added.

Bravo will expand as it meets its sales and profitability goals. On our first anniversary, we will be expanding in the following categories: bra/intimate clothing, swimwear & accessories, nightwear & at home-wear, hosiery.

The Market

The total market for women&#8217s intimate clothing, or innerwear, grew by 10% in the last three year to $11.8billion. All product categories saw strong growth during this time, with the most notable growth being Bras (17%) or Bottoms (12%) Since 2008, consumers have been more aware of the importance of fitting bras correctly. Many independent stores across the country have been experiencing double digit sales increases for the last five years. This can be attributed to two factors. First, the clothing industry has featured more skin-exposing clothes that require speciality foundations. Second, fashion columnists stress the importance and benefits of bra fitting.

Bravo Intimates, which is a Non-Chain Speciality store, captured $304 Million of the $10.702 million market. It also captured $341 Million of $11,797 M of the intimate apparel industry’s $11,797M market. With $914 million in revenue last year, direct mail merchants accounted for the largest share of market share. Internet sales made up the majority of the increase.

Based on the potential customers in the Royal Oak region, we have calculated that there are 94,201. This strongly suggests that there is a significant market void. This is why we believe there is a market niche for an intimate apparel shop that can cater to the needs and wants of all Tri-county ladies.

Projections Financial

Bra~vo Intimates’ financial goals are the following:

• To achieve a net income margin of at least 7% in year two and 15% in year three.
• To make a net profit exceeding $100,000 the third and fourth years.

For such numbers, we need to raise approximately $196,000 for start-up, which includes $80,000 for initial inventory.

We will work with National City Bank Royal Oak to obtain a five year loan. This will allow us to make the first-year’s payments as flexible as we can.

1.1 Objectives

• Our goal is to create a unique destination shop offering premier lingerie, swimwear and personalized fit service.

• To capture the largest market share in the region, speciality foundation clothes.

• To be active in supporting women’s and community organizations, connecting events to in-store promotions.

• To achieve a net income margin of 15% or more in the third year.

• A net profit of $41,000 in the second year, and more than $100,000 the third year.

1.2 Mission

To be the best in intimate apparel and swimwear in Michigan. We fit every customer in a stylish bra or swimsuit and give her amazing support, shaping, and shape. This enhances her whole silhouette.

1.3 Keys to Success

If you want to succeed in the intimate clothing business, here are some things you should do:

• We carry a wide range of foundations in quality brands, in different sizes, styles, colors and colors.

• We carry fashion and basic brands that set us apart from the rest.

• We educate and advise our customers about fitting.

• Continuously evaluate our sales and adjust inventory levels as necessary.

• Inspire positive body image by providing excellent customer service.

• Advertise in areas where customers may learn about you and the services that we provide.

• Stay up to date with technology and the latest brands.

• Be open to a variety in price points as women come in many shapes and sizes.