- Published: October 31, 2021
- Updated: October 31, 2021
- University / College: Northumbria University at Newcastle
- Level: Undergraduate
- Language: English
- Downloads: 8
The company will deal on customized hand-painted T-shirts. This will give the s an opportunity to choose their desire and have it customized by the company. Other than customization, the shirts will be printed on hydrophobic fabric that comes with additional benefits to the customers. The costs of the shirts will range from $10-$50. Orders will be primarily done online. This will be mailed to the customer and will entail the costs of delivery as well as commission for distribution. Advertising will focus on the Farmer’s Markets alongside conducting public productions in public venues. Promotions would also be done online utilizing social websites including Etsy. However, the project is risky as is characteristic of all business ventures but several strategies will be put in place to ensure success of the company. The industry is going to majorly focus on women clothing designs and will invest on the production of customized t-shirts. This allows the women opportunity to choose their sizes as well as designs. Women are also targeted on the basis that they are the household spenders on clothing.
The company is going to be both a retailer as well as a manufacturer. As such, the company will be engaged in taking order from the clients, creating the shorts and selling them to the customers. In connection to the above, there will be a supplier to furnish the industry with the materials necessary. The difference between this company and others is that most clothing companies do not offer customized shirts and do not operate online. Our company will offer customized shirts and will mostly be an online company.
The company will employ the services of several personnel to ensure effective management. These will include the manager, three painters, in-store retail employee as well as a book keeper. The manager will be an expert in Business administration. The painters will be equipped with artworks and design skills and the bookkeeper will be will be expected to have finance and high level accounting to effectively execute his duties. The business will be licensed under H.P.T-shirt Company.
The total start-up cost for the venture is estimated to be $35,000. This is expected to demand a total financing of approximately $85000. The projected Forma income statement for the first time is estimated at $22,000. The second year is expected to realize a profit of $7250 and the third year $24,720. Both the total assets as well as liabilities and capital for the company is estimated to be worth a total of $7000, $20400 and $23000 in the first, second and third years respectively. This means the company will realize a net worth of -$12 600, -$3,700 and $ 17000 in the first, second and third years respectively. As such, the company is expected to make a lot of profit from the third year onwards.