Classique Gifts Etc. is a start-up retail store offering fine gifts, collectible dolls and doll accessories. The store will be located in Lexington, Kentucky, catering to the middle- and upper-class consumers who look beyond the congested retail malls for the special shopping experience. In addition to offering a wide array of unique, quality products, the consumer will enjoy friendly and knowledgeable customer service and a convenient, uncongested location.
This business plan is prepared to obtain financing in the amount of £50,000 to purchase inventory and to help cover expenses in the first year of operations. We are also asking for a credit line of £10,000 to be used as necessary in low cash flow periods. Brenda and Charles Gajdik will own and operate the store together as a team. They will provide £40,000 in cash as an equity investment to be used in start-up costs, equipment purchases, and operating capital.
The sales forecasts used in this plan are very conservative compared to a similar business now operating in Lexington. Brenda has observed the strengths and weaknesses of this store and is convinced it can be done better.
To develop Classique Gifts Etc. into the premier gift retail store in Central Kentucky.
To begin and maintain a gross profit margin above 40% for the first year.
To acquire a customer base of 4,000 by the end of the second year by using personal customer service and marketing.
To achieve a substantial net profit by the end of Year 3.
Classique Gifts Etc.will be a retail gift store specializing in fine gifts, collectible dolls and doll accessories. We want to provide products from quality suppliers and provide professional customer service in a friendly environment.
1.3 Keys to Success
To succeed in this business we must:
Sell products the customer desires and are of the highest quality.
Provide friendly customer service.
Establish excellent vendor/supplier relations that will facilitate quick shipment of orders.
Advertise and promote our store immediately to take advantage of the current Christmas shopping season.
Continuously review our inventory and sales and adjust our inventory levels based on detailed records.