When investing in business, finance has a great influence on success. How much capital does it take to open a clothing store? CashBerry will answer for you.
How much capital is required to open a clothing store depends on the form and size of the business. If you have little capital, you should only start an online business. If you invest more, rent space to open a store. Here are the costs you have to spend when starting a clothing business.
● Who will you sell clothes to (men/women/children)?
● Sell where?
● Import goods from which source?
● How much capital is needed?
● Marketing through which channel?
Just thinking about it is quite a headache, isn't it? How much capital to open a clothing shop ?
Don't worry too much, take the time to read the article, sit down to think, sketch ideas on paper, make a detailed clothing shop business plan, opening your clothing shop will become simple and feasible. test much more.
There are many things that need to be clearly defined before you want to know how much capital you need to open a clothing store .
For a successful business , you need to thoroughly research the types of expenses required to start and maintain a clothing retail store. According to the experience of many people, the total cost of opening a small clothing store ranges from a few tens of millions to several billion, depending on the size and method of business (selling online, offline).
The location and location of your business premises is an important factor that directly affects your business revenue and profit. An open clothing store in a good location, with high traffic density will help you attract attention and increase visits from customers (including target customers and visitors).
A few useful tips for you when looking for a location to open a clothing store:
- For clothes shopping, people often have the habit of coming to choose, try on clothes directly at the shop, then make a buying decision. Therefore, choose locations in densely populated areas, where many of your target customers are concentrated.
Locations inside commercial centers, near restaurants, cafes, places where people often go back and forth for entertainment, relaxation, and shopping will be a good suggestion that you should consider.
- Find out the cost of renting a store: With beautiful premises, the cost of renting a shop ranges from 10 - 50 million / month (depending on the area and location), accounting for about 30 - 50% of the total cost of doing business. month.
Therefore, before renting space, you should consult the rental prices of many different premises and find the best location to rent business premises for you.
- Experience in opening an online clothing store: If you decide to only open an online clothing store, you can use your own home as a warehouse or let customers try on clothes (if necessary). This will help you save a lot of rental costs compared to opening a clothing shop in the traditional way.
After finding a suitable space, you need to find ideas to decorate your clothing store so that it stands out, in accordance with the preferences and styles of the target customers. How much capital does it take to open a small clothing store for design and decoration?
To design and decorate your store, you can refer to the fashion store designs on the internet, allocate space yourself, shop for shelves, shelves, hangers, mirrors, curtains, decor, decorate, Hire a billboard maker, or hire a full interior design and construction unit.
Experience in opening a clothing store with design and interior design items: the cost of hiring a shop interior designer from third parties ranges from 100,000 - 120,000 VND/m2 . The cost of interior construction depends on the type of materials, the items to be constructed in the design drawings, ranging from 70 million to 300 million .
How much does it cost to open a clothing store ? Surely you will have to take into account the cost of importing goods and managing the source of goods.
Your clothing store will not be able to operate if it does not have clothes available for sale and for customers to try on. Please rely on existing market research data to analyze and predict the number of goods to be imported and the amount of capital needed to import goods.
If you're new to sales, don't order more than you can sell. Spending too much money on importing goods, you will not have much capital to handle other problems. Normally, the cost of importing goods for a small clothing shop ranges from 100 million to 600 million .
Besides the cost of importing goods, you also need to invest in software, sales applications, and professional order management. Currently, the cost for these software ranges from 100,000 - 300,000 VND/month . With a sales management tool on Facebook, the average usage fee is from 200,000 to 300,000 VND/month depending on the package.
With small clothing stores, you alone can take care of tasks such as importing goods, selling goods, making payments, checking inventory, packing goods to send to customers. However, if you do not have much sales experience and you are busy with many different jobs, you can ask a relative for help or find a professional salesperson.
Experience when opening a fashion shop and recruiting staff: the cost of hiring a full-time salesperson ranges from 5-7 million/month . The cost of hiring part-time employees is about 12,000 - 18,000 VND/hour .
If you have serious business intentions, you should learn about marketing tools yourself, whether or not you outsource them. If you have basic knowledge, you will save a lot of costs to pay for marketing services.
If you choose to do it yourself, start with Facebook ads. Advertising money can be both a marketing expense and a tuition fee. And you need at least about 10 million to run the first campaigns for your store.
According to surveys and market research, the average spending rate of each individual on clothing needs accounts for about 14% of total daily spending. Clothing is an essential need of every person, moreover, with the tendency to "eat well and dress well", if your business is good, you will receive a lot of profit.
However, the clothing shop business market is quite diverse, highly competitive, how to open a successful clothing shop?
Clothing business is a type of investment that many people pursue. But not everyone's business is profitable, so to be successful, you must have a specific strategy before starting a business.
● Survey and find yourself a suitable niche
You need to survey what the consumer market is aiming for. Survey the living standards of people around you, how much money they are willing to spend to buy clothes.
Within a radius of 5km, are there other shops that are also competing with you? Once you've answered these questions, you'll know which markets are right for you and have the most potential.
● Shaping your own style for a clothing store
For the business to be effective, it is important that the clothing store has its own style, and has specialized products. Selling office clothes, clothes for students, clothes for middle aged or children, specializing in beach fashion, large size fashion,...
You also need to find a difference for your store in terms of quality and design in line with trends on television, movies, and on the street. That difference can also be location and convenience for the customer or come from the service, e.g. door-to-door delivery, fast delivery, etc.
Put yourself in the shoes of the customer to get the best sales quality and achieve business success.
● Product quality must be good, with a variety of models
Whether you are opening a shop selling children's or adult clothing, male or female, Vietnamese exports or Chinese, Thai, Japanese, Korean goods, etc., you still need to ensure the quality and diversity factors. product designs and models.
In addition to imported goods, you can also trade in self-designed fashion clothes "following" the hot styles on the market. And whether it's an imported product or a designer product, you always have to ensure that the criteria are beautiful, unique, strange, and reasonably priced.
● Choose a business location
Clothing business is not profitable, more or less profitable, largely depends on the location of your business. Should open a clothing store in crowded places, or small neighborhoods to easily attract customers' attention to your store.
If the store offers youthful, dynamic and suitable clothing for students of all ages, it should be opened in areas near universities, colleges or high schools.
● Clothing business wants to make a certain profit can not ignore the online market
45 million Vietnamese people regularly go online to find information and buy goods. So you need to start an online business now to reach your potential customers.
Initially, when investing with a small amount of capital , you can post products and sell them on Zalo, Facebook. There are many methods to reach customers such as advertising, like, share to receive incentives.
Like, share, tag friends to receive a discount of 40-50% or get a gift, participating in mini games to receive free gifts is the best form of advertising for business owners. . When you have excess capital, you should create a sales website to build your own brand and help users trust more.
With opening an online clothing store, you can initially spend a small amount of capital, about 3 - 10 million VND. After the business is profitable, expand the store size. CashBerry - a financial consulting company will support you with a loan from 1 to 10 million dong in the same day.
Need to import goods urgently, just register cashberry.vn or CashBerry app to have money in your account. This is a simple and easy form of online loan with ID card that can solve your financial difficulties quickly.
Besides making a business plan, you also need to take risk into account. Here are the notes you need to keep in mind to make opening a clothing store go more smoothly.
If you want to sell clothes effectively, you need to avoid inventory and outdated goods because it is difficult to sell and rotate capital. Therefore, if you are just starting a business, don't import goods in too large quantities, just import a little bit at a time to explore customer tastes. At the same time regularly update new, unique and seasonal models.
To avoid overstocking, when half of the first imported goods are sold out, boldly open a sale program to release inventory and import new season goods.
Note, never apply fake sales, display the whole sale but only sell outdated products, double the price, and then hang a discount sign to attract customers because it is easy to lose trust in customers. Therefore, promotions should only be at real prices or with meaningful products that are valuable for use.
When trading in clothing, you should pay attention to the competitors around. You need to have a reasonable price, not too different from competitors. In addition, absolutely do not pounce, force customers to buy products.
Please enthusiastically introduce new models, help customers coordinate until they choose the right product. Even if "customers only watch, not buy", they should smile and thank them.
In general, how much capital it takes to open a clothing shop depends on the segment you do business, how to source goods, rent space, etc. But basically, ask yourself if this is the business you own. whether you have a talent and passion for fashion or not.
In addition, you also need to determine whether you can withstand the inherent risks of the fashion business because all businesses are associated with risks when there are periods of peak sales, when stress is high. straight, difficult…
In order to have a successful clothing business, in addition to answering the question " How much capital does it take to open a clothing store ?", you also have to answer a series of other questions. Of course, everything must have money, right? If you need capital, CashBerry right away. For more information, please contact CashBerry Fanpage !