Ecommerce Start-Up | The Initial Steps for Starting a Clothing Business
So you've decided to start an ecommerce clothing business...
Starting any business takes work, but an ecommerce business in the clothing industry can be a monster of its own.
Aside from needing to understanding the clothing industry, you have to keep up with trends, price margins and know your competition to get your brand seen and desired.
FIRST STEPS
Before getting into the details of starting a business, the first thing you'll want to do is start an online search to check out your competition. The reason for this may not be what you think...
You'll want to check out your competition to ensure that you can either offer a better product, service, or price on an existing item, or you've come up with a new garment or style all together.
A customer will not sway company or designer loyalty, unless you provide something that's worth their while.
After you've established that your business model is viable, follow these next steps to get your business off the ground and running smoothly.
WRITE A BUSINESS PLAN
Here's an overview of the main components needed for a business plan:
Executive Summary
Company Description
Market Analysis
Competitive Analysis
Description of Management and Organization
Breakdown of Products and Services
Marketing Plan
Sales Strategy
Request for Funding
Financial Projections
Get more details about writing a business plan at SBA.gov - "Write Your Business Plan"
Free Business Plan Templates & downloads
500+ Free Sample Plans | BPlans.com
Business Plan Template for a Startup Business | Score
Top 10 Components of a Good Business Plan | Smart Asset
LOOK AT YOUR FINANCES
Not paying attention to the cost to get started is the downfall of many businesses.
To keep yourself from falling into the trap of not being prepared, take note of...
Do you savings or will your borrow to get started?
If you borrow, are you borrowing from family and friends, or will you need an investor?
Is your personal credit in good standing? (This will impact your ability to get business credit)
If you use savings, do you have another source of income or capital?
Do you want to leave a job, or do you want to only do this part-time?
The overall costs will depend on the type of ecommerce store you want to open (resale, retail or wholesale).
DECIDE YOUR BUSINESS STRUCTURE
Sole Proprietorship
Ran by one person; this structure is the easiest to start. Learn more about starting a sole proprietorship (solopreneur).
Partnership
There are different forms of partnerships, but overall it's ran by 2 or more individuals. Learn more about business partnerships.
LLC (Limited Liability Company)
The flexibility of a sole proprietorship and the liability coverage of a corporation. Learn more about limited liability companies.
Corporation
The most complicated structures of all business types. Starting a corporation involves detailed paperwork, tax and regulations. But has the highest amounts of benefits, including being free of any business liability.
CHOOSE YOUR BUSINESS NAME
Your choice of business name should have meaning, yet be unique and memorable.
Your choice of name should reflect the message of your brand and should represent your business practices and services.
Read "How to Choose an Effective Business Name" to learn tips on creating a memorable and impactful business name.
REGISTER WITH THE GOVERNMENT
As a business owner (even a sole proprietor), you are required to search for and register your business name with the state and the government (depending on your business structure).
PURCHASE INSURANCE
If you plan on having employees, insurance is something you should have to keep your protected. We never seem to need it until we don't have it, you don't want this to be the case in regards to employees and your business.
BUILD A TEAM
Aside from being a sole proprietor, building the right team is very important in regards to your business' success.
You want to ensure that everyone understands your message and your values. You also want to ensure that your team has the expertise needed to carry out essential tasks.
As a sole proprietor, you can also build a team, by nurturing relationships with local vendors and other small business owners. Your team will not conduct business with you, but building a team for networking is extremely valuable for a sole proprietor.
FIND VENDORS
Finding the right vendor as a designer for private label, a retailer or even a reseller is important for your company's reputation. You'll have to visit or get samples from each vendor your considering in order to get the best quality for your money.
See Directories and other wholesale resources @ vynes apparel
MARKET & ADVERTISE
Marketing and advertising is major for getting your business out there for the world to see. If your budget is large enough, you can create campaigns that will draw customers to your site if they like you product.
If your budget is on the smaller sides, there are techniques you can use to advertise for nearly nothing or even free.
Hopefully this post has been helpful in assisting you with choosing the best business name for your startup.
