Own business is the dream of almost every person. And today, novice entrepreneurs are often interested in the question of how to open a furniture store. After all, before investing money, you need to find out how profitable such an enterprise can become and what success depends on.
Is it profitable to open a furniture store?
If you are wondering how to open a furniture store, you are probably wondering if such a business can really be profitable. Everyone needs furniture, whether it's a family moving to a new apartment, a boss opening an office or a new restaurant.
Therefore, of course, such an enterprise can become profitable. But, as in any other business, it requires careful calculation, analysis of the market and competitors, as well as attention to detail and creative, but sober thinking.
What documents will be needed?
A business plan for a furniture store should include the cost of registering the activity. First, you will need to register with the tax office. It will be easiest to get the status of an individual entrepreneur, on the other hand, if in the future you are going to expand your business, cooperate with large companies, it is better to register a limited liability company.
In order to sell furniture in the premises of your choice, you will need permission from some government authorities. In particular, you will have to pass a fire inspection and an inspection of the labor protection service. All collected documents will need to be sent to the city council, where you will be given permission to trade.
There is another option - to issue a franchise. Today there are many large companies, which offer partnerships, a proven system of advertising promotion and, of course, support in everything. Work with famous brand A well-established scheme is much easier than starting a business from scratch. But there are some drawbacks here too - you will have to carefully comply with all the terms of the contract.
Deciding on a market niche
Don't know how to start a furniture business? First of all, you should think about who exactly you want to see as buyers. Of course, today there are many opportunities for business development.
Maybe you want to sell relatively cheap furniture that will attract low- and middle-income customers to you? Or will you offer premium products, serving wealthy people? If you have a large room and sufficient start-up capital, then there will always be an opportunity to allocate a separate room for expensive high-quality furniture, while at the same time selling cheaper goods.
There are other options - you can choose a narrow, but at the same time low-competitive niche. For example, you can offer furniture for offices, hospitals, pharmacies. Quite popular today is garden wicker furniture, which is much cheaper. Or you can sell furniture made of glass, natural wood, any other material. In any case, before starting a business, it is worth studying the demand and, of course, the level of competition.
Where to rent a room?
The choice of premises for the store is extremely milestone business development. Location matters. Where is the best place to locate a furniture store? It is more expedient to rent a room in a busy place so that the store is always in sight of the residents of the city.
Thanks to the quality advertising campaign and positive feedback from customers, your business can become really popular. But there are some requirements to consider. Of course, electricity and water must be connected in the room.
Do not forget about a high-quality heating and ventilation system. In addition, there should be a wide large entrance to the building, as trucks will often come to you. And do not forget that you will probably need a large storage room, because not all furniture sets can be displayed in the store.
Room design
Knowing how to open a furniture store won't be successful if you don't pay attention to the nuances. For example, the design of the room is extremely important. After all, after all, you will sell furniture, and therefore the atmosphere should be elegant and comfortable.
So, for the walls it is better to choose discreet pastel colors, decorate them with photographs with furniture samples. Consider lighting as well, as buyers need to be able to see exactly what they are going to buy. If your store has furniture of different styles, then you can group the goods based on this.
How to sell furniture the right way?
Of course, you will need to find furniture suppliers. Difficulties with this are unlikely to arise, as there are enough manufacturers today. Nevertheless, you will have to carefully monitor the quality of the goods supplied. Try to find the best value for money that would attract new customers.
Of course, not only the quality and atmosphere in the store are important for good sales. Sellers play a big role - you will have to hire 1-3 employees, depending on the size of the enterprise. There are strict requirements for consultants.
For example, sociability and ease of communication is necessary qualities for any seller. In addition, employees must be well versed in the features of a particular product, know specifications etc.
Ideally, you should also organize the delivery of furniture to your home. Here you will also need additional staff who can assemble the products. The cost of this service may be included in the price of goods or paid separately.
Making furniture to order
Yes, selling furniture can be a really profitable business. But what if the client needs some specific and rare thing? Or do you need furniture of non-standard sizes? Or maybe the buyer wants to buy a table from a special kind of wood? In this case, your store either refuses to provide customers with a similar service, or orders the required products from the manufacturer.
Furniture belongs to the group of consumer goods, without which the existence of a modern person is impossible. In addition, existing furniture production technologies, a variety of styles and designs, as well as logistics, have made available to the majority of the country's population types of furniture that were previously the privilege of wealthier citizens.
In developing this business plan as business case The project used two main trends that exist in the furniture market in Russia:
- Among Russian consumers over the past 20 years of a free economy and market, a European culture of choosing a style and standard of living has developed, where last place occupies the arrangement of his home, its interior. People have become more selective in the choice of furniture, its design, quality. Moreover, the majority of Russians no longer consider the purchase of furniture as something capital in terms of investment and are not going to pass the purchased furniture by inheritance to their children, grandchildren and great-grandchildren. Those. there is a purely practical approach to furniture, and, for example, when changing the place of residence or acquiring an apartment, preference is given to buying completely new furniture. Thus, the existing diversity on the market encourages customers to change their furniture interior more often, which is directly reflected in the fact that the Russian furniture market is growing at about 5% per year.
- The second point is related to the fact that the new opportunities for inexpensive delivery of high-quality furniture from almost any country in the world allow entrepreneurs working in the furniture market not only to quickly adapt to the consumer preferences of buyers, but also to some extent form the demand for different types furniture products. A clear confirmation of this trend is that almost 45% of the Russian furniture market is occupied by foreign-made furniture.
In addition, the fact that the import substitution policy is bearing fruit and there are already quite a few furniture factories and companies fully and completely operating on the Russian market using domestic forest raw materials speaks in favor of working on the furniture market.
The payback period is 10 months.
The initial investment will be 1 720 000 rub.
The break-even point is reached at 3 month of store operation.
Average profit per month 195 000 rub.
2. Description of the business, product or service
This project considers work in the local (local) furniture market with a predominant focus on the consumer belonging to the middle class, as well as work with furniture suppliers for commercial companies, state and municipal institutions.
Buyers are offered a range of the following furniture products:
- Living room furniture (cabinet furniture) is predominantly an imported product. The average price of a check is 24,000 rubles. for one set.
- Upholstered furniture for bedrooms and living rooms. 50% of the goods are supposed to be purchased from domestic producers. Average check for each set - 22,000 rubles.
- Kitchen sets and dining room furniture. It is supposed to purchase from domestic producers at the level of 40%. The average check for a set is 20,000 rubles.
- Office furniture - 70% of the assortment is supposed to be formed from a domestic manufacturer. Average bill for a set of office furniture ( workplace) - 16,000 rubles.
Systems are considered for clients cumulative discounts and delivery of purchased furniture within the city.
As additional service buyers are offered a selection of furniture for individual orders.
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3. Description of the market
For comprehensive analysis local sales market for furniture store products (data analysis - average number of potential buyers, total market capacity, market segmentation of competitors), it is proposed to use the following parameters in this business plan.
To date, the Russian furniture market has mainly products of Italian, German, Swedish and domestic furniture manufacturers. There are many products on the Russian furniture market (especially in the part that is located in Siberia and the Far East) from China and other countries of Southeast Asia. For example, furniture sets made of bamboo and cheap varieties of mahogany (Malaysia and Indonesia) are very popular.
If we take into account the price parameter, then the most expensive furniture is German. Its quality is very high. Italian manufacturers are next. Their products are cheaper, but in the field of design they have no equal. Russian furniture is mostly middle class. It is still slightly inferior in design style, but in some cases it surpasses Swedish and Italian counterparts in quality. In Russia, the furniture market, starting from the beginning of the 2000s, begins to develop actively and in the last ten years (since the crisis year 2008) the growth rate has averaged 5% per year. The ratio of Russian and foreign manufacturers is 60% to 40%.
In Moscow, St. Petersburg and other Russian major cities countries - this is a ratio of 70 to 30% in favor of imported manufacturers.
The market capacity is approximately 8 - 10 billion dollars annually. Furniture consumption according to the average annual indicator is 4500 rubles. per person, which is 6-8 times lower than European indicators. For our country, this indicator is too small, but given the rapid growth of market capacity and the gradual improvement in the well-being of Russian citizens, we can hope for a rapid increase in this indicator.
The bulk of the demand in Russia is for cabinet furniture. The second position is occupied by upholstered furniture. Honorable third place - kitchen furniture. Serious positions today are occupied by office furniture - a sector in which domestic manufacturers are steadily leading. Along with the growth in demand for office furniture, there is an increase in the level of sales of furniture for home offices.
Furniture for cafes and restaurants occupies no more than 5% of the market. Today in Russia there are about 6,000 furniture manufacturers, including medium and small enterprises. And the competition in the market is quite high. The leader in furniture production is the Central District, which produces more than 50% of all Russian furniture.
Taking the above data as a basis, the following conclusions can be drawn.
- The furniture market in Russia is in a growing trend, adding about 5% per year. This in 10 years will lead to a doubling of sales of furniture products.
- The average market share, where there is a relatively stable demand from wealthy citizens, is about 20 - 30%.
- The volume of the Russian furniture market lags behind its European counterpart by several times, which gives a confident hope that with the improvement in the quality and standard of living of Russians, the furniture market will be one of the first favorites to increase market demand.
For a city with a population of 300-400 thousand people, the maximum market volume will be approximately 1.35 - 1.5 billion rubles a year. If you cover only 1% of this entire market, then a furniture store can count on its share in the amount of at least 15 million rubles (competing only with the same small shops). This is a fairly convincing incentive to develop furniture business, despite short-term crises and recessions in the economy.
4. Sales and Marketing
5. Production plan
A distinctive feature of organizing a furniture store business is that such activities do not require going through the procedure for obtaining licenses in various licensing, regulatory authorities (this will significantly save not only time, but also money).
At the initial stage, it is optimal to use organizational legal form IP. This will allow, on the one hand, to reduce the document flow for maintaining various reports, and on the other hand, to choose the most optimal taxation regime. AT this case the variant of the tax regime was chosen according to the form of the simplified tax system with a 6% tax burden (according to the scheme: "income - expenses").
In addition, when applying for registration, the best option is to indicate, in addition to the main code activities of OKVED- 52.44.1 - "Retail sale of furniture" as well as similar codes related to the sale of furniture to retail and wholesale consumers. Such codes, in particular, can be:
- 52.12 - Other retail sale in non-specialized stores;
- 52.44 - Retail sale of furniture and household goods;
- 52.48.1 - Specialized retail trade in office furniture, office equipment;
- 52.48.11 - Retail sale of office furniture
- 51.15 - Activities of agents in the wholesale trade of furniture, household goods, hardware, knives and other metal products;
- 51.15.1 - Activities of agents in the wholesale trade of household furniture;
- 51.47.1 - Wholesale household furniture, floor coverings and other non-electric devices;
- 51.47.11 - Wholesale of household furniture;
- 51.64.3 - Wholesale of office furniture.
Such foresight will make it possible in the future, when expanding the business of a furniture store, to work freely on the market without additional registration and paperwork with the Federal Tax Service.
By the time the store opens, you must have the following documents:
- Official permission of the Rospotrebnadzor to trade in consumer goods.
- Positive conclusion of the local SES and Rospotrebnadzor departments on the readiness of the store premises to serve customers.
- Drawing up contracts for carrying out deratization, disinfestation, disinfection work, which involves the execution of sanitary work to exterminate pathogens, rodents, insects.
- Certificates of conformity and quality for each batch of imported furniture. Special attention should be given to obtaining phytosanitary certificates for imported furniture arriving on the Russian market from the countries of the South - East Asia and China.
- Permits received from the local division of the Ministry of Emergency Situations - (fire supervision) for the compliance of the premises of the furniture store accepted standards fire safety. Since the premises for the store are supposed to be used on a leasehold basis, the owner of the premises (landlord) is obliged to provide a certified copy of such a certificate.
Based on the existing Russian practice, for the full legal registration furniture store business, it will take about 70,000 rubles and 2-3 months of time.
6. Organizational structure
The full payroll calculation, taking into account the bonus part and insurance premiums, is presented in the financial model.
7. Financial plan
8. Risk factors
Usually, when considering the risks of a business operating in the consumer market, it is customary to put the systemic risk of competition in the first place. This is a little strange, because at its core, all commerce is competition. Of course, there are risks of unfair competition, but in practical terms, the degree of its danger for most businesses is not so critical. Most noteworthy are the other types of risks that a furniture store business can face.
Risk one- risks of damage to goods, furniture due to utility accidents. This risk is more likely for those furniture stores that are located on the first floors of residential buildings or office centers. In case of any communal accident (breakthrough of water supply, heating systems), damage to furniture in trading floor or in storage areas can result in significant losses for the store. Moreover, the demand for compensation from the owners of the rented premises will not bring results and you will have to file lawsuits against the direct perpetrators of such accidents. The best measure to counteract such risks is to insure the premises of the furniture store and the goods found in it.
The second risk is poor-quality logistics. Despite the fact that more than 65% of the country's furniture market is provided by furniture supplies from domestic enterprises, more than 1/3 of the goods come to the market under import contracts. Often the delivery of furniture from abroad is carried out by complex logistics routes, which significantly increases the risk of furniture damage along the way (in rail cars, car trailers or sea containers). So, for example, if furniture is delivered from the Chinese city of Guangzhou or Foshan (furniture "capitals" of China) by sea, then along the way the sea container crosses a number of climatic zones until it arrives at Russian ports. Naturally, such changes in humidity and temperature can significantly affect the quality of furniture. Such risks are neutralized either by reducing the logistics shoulder, buying furniture from wholesale or customs warehouses in Russia, or by insuring the cargo.
People seek comfort and certainty. They want the work to be built thoroughly and bring in a solid income, they want to start their day in an environment that pleases the eye and meets all needs. The words "quality", "stability", "respectability" are applicable both to a well-established life and to a thriving business. One of the most stable and promising directions the latter is the furniture sector.
Analysis of the Russian furniture market
From a geographical point of view, most of the furniture production enterprises are located in the Central Federal District, namely in the Moscow region - Moscow and the Moscow region. At the same time, large players tend to stretch the network from the capital to smaller cities.
In the 1990s, the Russian market was dominated by imported products. The period of demand for domestic goods came after the crisis of 1998, when people simply could not afford expensive foreign furniture and preferred Russian manufacturers. A similar trend was observed in 2008 as well.
In 2015-2017, dense development was carried out in Russia, while the total share of sales in the furniture niche decreased by 5-7%. But 2018 promises an increase in demand. It's time to get into business.
Dominate the legion of furniture makers trade organizations Selling ready-made and "made to order" products. Companies operating full technological cycle: design, production of materials, release finished product, the provision of delivery and assembly services is much less. Own production, the maintenance of storage facilities is a costly business.
Furniture is conditionally divided into several categories: household, office and special. Further on the body and soft. The niche of the economy and middle price segments is firmly occupied by domestic manufacturers, but in the premium class, competition from foreign companies is extremely high.
To date, on Russian market dominates (in descending order): cabinet, office, kitchen, upholstered, children's, summer cottage furniture, specialized (includes furnishing of public buildings, transport, gardens, parks).
Business plan for a furniture store
So how do you start a furniture selling business? First of all, you should find out what is in demand by the buyer for the current period, what is offered modern market and how to make a profit while avoiding high competition. And then calculate the costs, risks and strategy.
A business plan for the production and / or sale of furniture includes the following mandatory items:
- Product type (cabinet, upholstered, office furniture, etc. in accordance with your assortment).
- Technological cycle of production, estimated costs, payback periods.
- Enterprise financing: own assets, borrowed funds, attraction of partners, investors, founders. Salary distribution plan.
- Organization of production: rent or acquisition of production and storage facilities, purchase of related equipment, recruitment of personnel and specialized personnel.
- Target audience of buyers: wholesale customers, private customers, dealers, retailers.
- Realization of goods and services: own outlets, individual orders, direct deliveries to wholesalers and individual customers.
- Advertising and promotion of the company. Sum Money allocated for advertising.
- Company registration and legal registration in the appropriate authorities.
Important: in order to avoid unforeseen expenses, each item of the plan should be carefully worked out and calculated.
Who is potential buyer new interior? For the most part it is:
- young families;
- families with children of school age;
- opening firms and organizations;
- the elderly, pensioners.
Choosing a place for a furniture store
Chinese furniture center project Retail space can be rented / bought in a large shopping center, a separate building, a room with a separate entrance, etc. The main criterion for selection is patency. It is not so important whether it will be a center or a sleeping area, the key to success is an intense flow of people in this location. It is also advantageous if the store can be seen from the roadway. A bright sign, visible from the road, will reduce advertising costs and attract potential buyers.
A small retail area with several expositions can be played up in the form of an apartment and samples of each room can be presented according to their intended purpose: kitchen, bedroom, living room, hallway. Distribute extensive retail spaces thematically: upholstered furniture, cabinet, glass, wicker.
In order to freely move from object to object and not miss a single sample, the passages should be made spacious, flowing one into another. And do not be afraid of bold decisions! The more outstanding the styles and combinations, the more chances to be remembered and stand out from the mass of typical, hackneyed solutions.
In addition, you can hire a designer and work out the exhibition in all details. After all, if a bedroom is exposed, there should be a bedspread on the beds, bed linen, flower arrangements on the bedside tables, an intricate picture on the wall, dishes with original ornaments in the kitchen, a delightful carpet in the living room that beckons you to take off your shoes and step barefoot on a soft pile . Often, the interior comes to life and is “sold” precisely due to the decor and stylish little things.
The larger the area of \u200b\u200bthe room, the higher the ceilings should be. In any case - from 3 meters. Lighting is of particular importance: it should not blind or distort the color, but it should be enough to see the details.
Furniture store advertisement
Why invest in advertising? So that people know that there is a company, it is engaged in the arrangement of residential premises, regularly informs customers about the arrival of new collections, the beginning of discounts and, with well-organized work, thereby attracts a new audience.
You need a website to grow your business. Still need pages in popular in social networks, customer base to which you can send commercial offers by e-mail, printed catalogs with product samples, company brochures. The methods are combined with each other and the optimal one is chosen.
If you have an initial budget, you can contact a marketer who will conduct a detailed market analysis, help identify the target audience and calculate advertising investment options with a high probability of payback.
For those who start without a financial cushion, there are plenty of options to make themselves known with minimum investment. A fair number of firms sell furniture “by photo” - they create a page on Instagram or Vkontakte, post pictures of beautiful interiors and offer services for calculating, designing and manufacturing identical goods. And, as statistics show, people order.
If the exhibition area is located on the territory of the furniture center, this is already an advertisement. It's all about the small - an attractive sign and an original exposition. Further development depends on the work of consultants and the quality of products.
If the store is based in a separate building, you should organize a magnificent opening: print leaflets, hire promoters, decorate the entrance and offer pleasant bonuses to the first customers in honor of the start of work.
Search and selection of suppliers
Work in the furniture industry involves interaction with a number of contractors. First of all, these are manufacturers. The ideal option is to cooperate with the factory directly, but this is only possible if the volume of the order is beneficial to the manufacturer. The plant will not make a couple of cabinets and a kitchen for a small apartment. That's why small firms easier to communicate with dealers and distributors.
When choosing a supplier, the following points are important:
- Does the furniture meet the established quality standards?
- Do the supplier's capabilities match the technical and design objectives of your projects?
- Stability and reliability of the company, popularity in the market, recommendations of large firms.
- Warranty terms.
Attention: the supplier must guarantee that the furniture conforms to the declared characteristics, subject to the conditions of transportation, storage, assembly and operation, produce replacement elements of the product during the warranty period to ensure the maintainability of the furniture.
Pricing: How to Conduct Competitor Analysis
In order to assess the situation on the market, experts advise conducting marketing research. This does not mean that you need to pay big money, wait months and rack your brains over a dozen schemes and tables. No, this is a set of data on what and how competitors trade, what are their advantages and disadvantages.
Firms-newcomers, as a rule, are not ready to spend the budget on analytics. Here's what you can do in this case: attend furniture exhibitions. Manufacturers from all over the world present existing and new models, willingly get acquainted and share professional information. There are many ordinary buyers and representatives at the exhibition retail chains and this is a great opportunity to understand what they offer, what discount system they use and what bonuses cooperation promises.
As a last resort, resort to the help of the Internet and collect all possible information about your competitors there.
Legal registration of business
Choosing a taxation system
In the field retail there are 4 main tax regime: UTII ( single tax on imputed income), STS (simplified taxation system), OSNO (general taxation system), PSN ( patent system taxation).
The simplified system of taxation is considered the most popular. For individual entrepreneurs there are no restrictions on the application of the simplified tax system, for LLC there are a number of requirements for the number staff members, income and affiliates.
Reference: the tax rate depends on the region, the type of activity of the company and the turnover of funds.
In general, the choice of the system looks like this:
- small store without branches - USN
- a store with a high, uninterrupted profit - UTII
- seasonal trade, exhibitions – PSN
- cooperation with legal entities, including VAT - OSNO
Choosing a form of ownership
Forms of ownership for the operation of a furniture company 2 - LLC and IP. For orders from commercial organizations you need to register an LLC, and if you work only with individuals, it is enough to open an IP.
To register a company, you must prepare the following documents:
- Company name
- opening decision protocol
- information about the director and accountant
- charter indicating the type of activity and the amount of the authorized capital
- Bank details
- receipt of payment of state duty
There are few special requirements for the furniture trade. It will be necessary to conclude agreements with Rospotrebnadzor, Rospozhnadzor and MUP Gorenergo.
Recruitment and registration
To launch the project, you need a staff of employees: a director, sales assistants (the number depends on the area and assortment of the store), a designer, an accountant, a customer service manager. It is also necessary to conclude agreements with transport companies and carriers.
Employees should be officially registered in accordance with the provisions of the Labor Code of the Russian Federation: sign labor contract, an order for employment, create a personal employee card and make an entry in the work book.
The usual markup on furniture is +/- 50%, there are models with a 100% markup and more. During the promotions, discounts are set at 20%, 30% and reach up to 50%. The maximum discount is given in order to quickly sell stagnant goods and purchase a new collection.
Offers that guarantee the client personal benefit work perfectly: interest-free installments, a loan at a small percentage, free shipping, departure for measurement or cashless payment.
Working in the same area, entrepreneurs closely monitor each other. One of the ways to influence consumer market dumping is an artificial price reduction. Many companies, in order to survive competitors and capture a niche, put price tags below the cost of goods, thereby causing people to feel "there is a scam around, but these are honest." But sooner or later the cost will have to be raised, people will react negatively and again go looking for somewhere cheaper. How to deal with dumping? Become not competitors, but colleagues and, on a contractual basis, agree on a system of discounts that will be attractive to customers and enable sellers to earn.
Online shopping: a good way to cut costs
How to thread an elephant through the eye of a needle? Or applicable to furniture: how to present the maximum number of collections and samples of goods without investing a single extra ruble in rent? Open an online store. Most of the buyers, before coming to the salon, look for and select models on the Internet. Many do not even reach the salon and make a purchase online - a photo of the product from various angles, descriptions, guarantees and manager's consultations are enough.
The larger the range, the more calls come in with questions. That is why it is advisable to organize the work of a call center and hire specialists who will competently advise and guide the buyer to miscalculations and orders.
By tracking the behavior of buyers on the site, you get pure statistics on which models are in the highest demand, where, on the contrary, there are obvious shortcomings in everyday life. Based on the information received, it is possible to correct the work of a real salon, open additional points and exhibit a guaranteed in-demand assortment.
With the growth in demand and turnover, it makes sense to open new salons, expand lineups. Many large enterprises make bets on the regions and open branches in the region and nearby cities.
No matter how changeable the economic sphere, fashion, the behavior of competitors, service remains the main thing in any business. I would like to return to a place where the service is high quality, fast and friendly. Properly built communication, clear work of employees within the team and following current trends will help you survive and flourish under any circumstances.
The article describes the features of compiling business plan for opening a furniture store. Furniture is an essential attribute in an apartment, house, offices, shops. There is a wide variety of types and areas of business specialization in this area, ranging from sales commercial equipment ending with expensive items made from solid wood.
In any case, in order to create a successful furniture store need to draw up business plan, which is built on the basis of a detailed market analysis, study target audience and their preferences, identifying the main competitors. Business plan for a furniture store will allow not only to calculate the efficiency and feasibility of investing in this project, but will also become an assistant in negotiating with banks and investors to obtain additional financing.
Key Features business plan for opening a furniture store
Starting a furniture store business
Opening any business requires preparatory activities and opening furniture store is no exception.
First, within the framework business plan the following information needs to be analyzed:
- Study the demand for different kinds goods;
- Determine consumer preferences;
- Identify the main competitors;
- Find suppliers.
Second, spend everything financial calculations and decide on the future format furniture showroom. It is best to do this within business plan.
Description
Files
Furniture store in accordance with business plan can specialize in the following types of goods:
- For business - exhibition racks, registration and reception desks, tables and chairs for the office, showcases, etc.;
- For home;
- For summer cottages - sun loungers, wicker tables and chairs, benches, deck chairs, sandboxes, rocking chairs.
The most popular direction is furniture designs for the home, which include:
- Kitchen
- Sofas and armchairs;
- Walls;
- Cabinets;
- Cabinets, chests of drawers, shelving;
- Beds;
- hallways;
- Children's furniture, etc.
According to business plan you can consider the sale options in furniture store both economy-class interior items and elite products made from natural materials.
Chosen concept furniture showroom is reflected in business plan and fully substantiated, including with the help of calculations.
1 - Summary
1.1. The essence of the project
1.2. The amount of investment for a furniture showroom
1.3. Work results
2 - Concept
2.1. Project concept
2.2. Description/Properties/Characteristics
2.3. Goals for 5 years
3 - Market
3.1. Market size
3.2. Market Dynamics
4 - Staff
4.1. staffing
4.2. Processes
4.3. Wage
5 - Financial plan
5.1. Investment plan
5.2. Funding Plan
5.3. Salon furniture store sales plan
5.4. Spending plan
5.5. Tax payment plan
5.6. Reports
5.7. Investor income
6 - Analysis
6.1. Investment analysis
6.2. The financial analysis
6.3. Salon Furniture Store Risks
7 - Conclusions
The business plan for the salon furniture store is provided in MS Word format - it already has all the tables, graphs, diagrams and descriptions. You can use them "as is" because it's ready to use. Or you can adjust any section for yourself.
For example: if you need to change the name of the project or the region where the business is located, then this is easy to do in the "Project Concept" section.
Financial calculations are provided in MS Excel format - parameters are highlighted in the financial model - this means that you can change any parameter, and the model will automatically calculate everything: it will build all tables, graphs and charts.
For example: if you need to increase the sales plan, then it is enough to change the sales volume for a given product (service) - the model will recalculate everything automatically, and all tables and charts will be ready immediately: monthly sales plan, sales structure, sales dynamics - all this will be ready .
A feature of the financial model is that all formulas, parameters and variables are available for change, which means that any specialist who knows how to work in MS Excel can adjust the model for themselves.
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Svetlana Nazarova, Cinderella LLC, Voskresensk
Feedback on a business plan for a perfumery and cosmetics store
A meticulously written business plan allowed us to attract investments for our cosmetics and perfumery store (15.9 million rubles). The professionalism and attention to detail of the specialists made it possible to positively resolve the issue of financing.
Boris Ignatievich G., Izhevsk
Feedback on a business plan for a furniture store
To obtain a loan from Sberbank in the amount of 20 million rubles for opening a furniture store downloaded ready business plan on Plan-Pro. Easily got approval for the required amount. The document was also actively used during the preparation of the opening, the sequence of actions is spelled out in detail and all the nuances are taken into account. Particularly impressed financial model, with which you can predict profit.
Schepkina Nina Egorovna, Director, Izhevsk.
Furniture Market Analysis
On the market furniture stores there is a high level of competition, which is presented in accordance with business plan the following companies:
- Hypermarkets for home;
- construction markets;
- manufacturers' points of sale;
- Internet shops;
- Large network companies;
- Similar specialized outlets.
It is difficult to limit the circle of the target audience, since most people regularly purchase such a product. The main division according to business plan goes to individuals and legal entities.
Among individuals visit furniture showroom relevant during the renovation. In most cases, women are engaged in the selection of interior items.
Legal entities are represented by various companies that purchase structures for the office, for trading, for equipping the premises where certain services are provided.
To attract both groups of consumers in business plan formulated competitive advantage future furniture store, which can be:
- Good quality;
- Wide range, variety of types;
- Organized delivery system;
- Possibility of ordering online;
- Departure of the measurer;
- Production under the order;
- Cooperation with the largest manufacturers;
- Low prices;
- Permanent discounts and promotions, the presence of a bonus system;
- Interesting design, modern solutions;
- Free interior designer consultations, etc.
By the way, you can also check out . Despite the fact that there is quite strong competition in this area, there is always the opportunity to develop some unique niche of your own.
How to advertise a furniture showroom?
In order to attract maximum flow potential clients a marketing campaign is carried out in accordance with the strategy defined in business plan. For furniture stores it is advisable to carry out the following activities:
- Creation online furniture store, website and groups in social networks;
- Distribution of leaflets nearby shopping centers, construction markets;
- Cooperation with construction teams, design bureaus, home goods stores;
- Building a loyalty system for regular customers;
- Conducting workshops on construction and interior design, meetings with well-known furniture manufacturers, etc.
How to open a furniture store
AT business plan the following sequence of steps is defined for opening a furniture store:
- Register as legal entity or individual entrepreneur;
- Tax registration and choice of taxation system;
- Selection of premises, conclusion of a lease agreement;
- Repair work;
- Purchase of equipment and its installation;
- Reaching agreements with suppliers, purchasing the first batch of goods;
- Hiring employees;
- Launch of an advertising campaign;
- Opening organization.
For each of these stages, funds are allocated within the framework of financial plan furniture showroom business plan.
Calculation of starting investments in a furniture showroom
Opening furniture store will require according to calculations business plan investments in the amount of 20 to 100 million rubles. They are carried out under such articles as:
- Business registration — xxx rub.;
- Acquisition of equipment - xxx;
- Premises rent - xxx;
- Repair work - xxx;
- Marketing and advertising - xxx;
- Purchase of the first batch of goods - xxx;
- Cash reserve - xxx.
The final amount of the required investment depends on the scale furniture showroom in accordance with business plan.
For funding furniture store you can use both your own funds and take a loan from a bank or seek help from investors. In this case, you will need a professionally compiled business plan. We have created for you ready-made business plan for a furniture store, in which the entire necessary information and made calculations. He will show you professional approach to the point. Download link below.
Furniture Suppliers
Special attention when opening furniture showroom is given to the selection of suppliers, since the quality of products directly depends on them, which means customer satisfaction with cooperation with you.
AT business plan it is possible to purchase both from manufacturers directly and through intermediaries - large wholesale centers.
Manufacturers can be both Russian and foreign companies. Job benefits furniture store directly through them according to business plan are:
- Lower prices;
- No commission for mediation;
- Possibility to make an individual order;
- Accelerated delivery times;
- Order any items you like, etc.
Requirements for a furniture store
In accordance with business plan optimal location furniture store is one of the following:
- Central part of the city;
- Sleeping area of new development;
- Construction market;
- Shopping center.
The area should be sufficient to demonstrate all positions, as well as to organize a warehouse and an administrative area.
For equipment furniture showroom need to purchase the following equipment according to business plan:
- Cash register and acquiring terminal;
- Exhibition stands;
- Carts;
- Loader;
- Truck for delivery;
- Computers and furniture for administrative premises;
- Security system and video surveillance system;
- Fire extinguishing system.
The financial side of the issue
Financial plan for the future furniture showroom It is an integral part business plan.
furniture store monthly expenses
AT business plan the current costs of a furniture store are divided into the following main items:
- Rent - xxx rub.;
- Utility payments - xxx;
- Taxes and fees - xxx;
- Maintenance of equipment - xxx;
- Procurement of goods - xxx;
- Salaries of employees - xxx;
- Advertising - xxx.
Total from xxx rub. per month.
furniture store monthly income
Revenue furniture showroom formed by paying the cost of goods. She according to business plan can reach up to xxx rub. per month at average price products - xxx rub. In this case, the monthly profit will be from xxx rubles.
store staff
- Director;
- Shop assistant;
- Cashier;
- Security guard;
- Loader;
- Driver;
- Cleaning woman.
In addition, for furniture showroom you will need to hire an accountant, a purchasing manager, a merchandiser, a marketer. Their labor costs are also included in business plan.
The financial model is a separate file in MS Excel format - in fact it is
a separate product designed for business planning and calculation of all its
indicators. Each of the parameters of the financial model can be changed manually.
There are no macros in the financial model. All formulas are transparent and accessible to
changes.
In the process of working on a business plan, we look at dozens of different sources
information. These are data from equipment suppliers, and industry portals, and interviews with market experts, and official statistics - such a systematic data analysis gives a complete picture of all project parameters: prices, equipment costs, premises costs, costs, etc. .
Download a ready-made furniture store business plan with financial calculations and an Excel financial model
Despite the high level of competition, furniture showroom you can occupy your niche in the market if you study demand in detail and identify the most popular positions before opening. Based on the data obtained, build a company concept in business plan.
In order to speed up the process of implementing your idea, we have already created furniture store business plan, which can be downloaded right now by clicking on the link below. We included in it detailed information and necessary calculations. In addition, there is an easy-to-use financial model in Excel format. Such a document will attract funding from banks and investors. If you want to take into account any features, it is possible to draw up an individual turnkey business plan.
According to business plan selection of a suitable assortment, its constant updating and following fashion trends in the field of interior design allow furniture salon do not lose relevance for a long time.
The furniture market in Russia is vast, new enterprises survive if they find a free niche in a particular region. It is important to consider that the competition is lower in the low and medium price category. The volume of sales depends on the size of the settlement. Experts believe that it is profitable to produce furniture in a settlement with 500-800 thousand inhabitants. It helps to reduce costs, keep demand at the desired level and reduce the impact of competition.
Experts' forecasts are encouraging - small and medium-sized furniture business will reach 75% in the coming years. The most rational are small workshops that manufacture economy and middle class furniture of the same type to order.
The benefits of the workshop include:
- small initial investment (900-1,300 thousand rubles)
- no need for large areas
- manufacturing process flexibility
- ease of assortment change
- the opportunity to become a monopolist in a separate niche
Manufacturing to order avoids the negative effects of competition. Low cost finished products accelerates sales, which makes it possible to quickly return the initial investment.
But when choosing, it is necessary to take into account the disadvantages. If the furniture is made by hand, creativity and large temporary are required. A small assortment can quickly saturate the market. But the workshop is a good option for initial stage. How to promote the furniture business in the future depends on the circumstances. You can often change the range or expand production.
It is not worth buying a room for a workshop. Location (entrance), temperature (18оС) and humidity level (up to 70%) are important. This means that a ventilation and heating system is needed. Under adverse conditions, both raw materials and finished products can be damaged. The area should be enough for production, warehouses and premises for administration.
Equipment for the workshop is purchased semi-automatic:
- panel saw (manual feed) with cross and longitudinal cut
- drilling machine for drilling open and blind holes
- Grinder
- edge banding machine
In the manufacture of furniture to order, it is necessary and small tool: cutting devices, perforators, screwdrivers, drills, drills, knives, etc.
Reaches 25%, the average payback period is 2-2.5 years.
Features of outlets selling furniture
A furniture store can be of various sizes:
- from 300 m2, with a narrow specialization (a wide range of one group of goods)
- from 1,000 m2, a hypermarket with a wide selection of goods from different groups, warehouses and parking lots
- salon in the city center with luxury goods for wealthy buyers
- warehouse-shop of finished furniture from the manufacturer
The premises for the hypermarket are selected in a residential area or outside the city in order to reduce. A hypermarket should have a wide range of goods at various prices (from economy to elite). Efficiency is enhanced by additional services.
The salon is small (from 30 m2), as buyers make orders from the catalog. The room should have a place for employees (tables, chairs, computer equipment) and a place for visitors, equipped with upholstered furniture.
The warehouse furniture is sold at an affordable price and immediately. allows an additional offer to order some types of goods according to an individual sketch.
The amount of initial investment directly depends on the type of store. You can make a choice only after a thorough analysis of the market in a particular region. It is important to offer customers something that is not in sufficient quantity.
Shop benefits include:
- stable demand for goods
- the possibility of opening in almost any city
- the opportunity to increase sales by launching an online store
But the competition is high, since such stores already exist in any locality. Initial costs are high regardless of the type of outlet (they can reach 2.5-3 million rubles), since a lot of money is required to purchase goods. If the choice of assortment is unsuccessful, there is a possibility that the purchased product will be difficult to sell. In the most successful scenario and an extra charge of 20-40%, the initial investment will pay off in 2 years.
Furniture factory: advantages and disadvantages
Under own brand required from 30 million rubles. This option is a furniture workshop expanded several times. With the arrangement of production with modern equipment, it is possible to achieve a profitability of 15-25% due to the supply of furniture throughout the region and the country.
The pluses include:
- neutralization of competition due to the full production cycle and a wide range
- purchase of large volumes of raw materials at a reduced cost
- lower cost of finished products (compared to the workshop)
- constancy wholesale with its own dealer network and well-developed marketing
Factory Disadvantages:
- the need for large initial investments
- difficulties in choosing premises (large areas are required)
- high costs for the purchase of modern equipment
- difficulties with (requires special education and high qualifications)
- high costs for brand development and advertising due to competition
A furniture factory should be opened if there are large investments and a willingness to wait for returns for a long time.
Criteria for choosing between workshop, shop or factory
When looking for an answer to the question of which is better, production or trade, it is important to take into account financial opportunities and personal qualities. If you have skills in plumbing, it is better to start from the workshop. If he is sure that he will be able to manage production, the stage of the workshop is skipped if there is money. For a person who has the ability to trade, the store will be the best option.
All options have advantages and disadvantages, profitability depends on a number of factors that do not always depend on the entrepreneur. Of great importance is the quality of finished products and economic conditions in the region and country.
You can make money without having a lot of money for an initial investment in a small room. The only condition is the availability of a raw material supplier offering cutting services. This allows you not to purchase expensive equipment. When buying a semi-finished product, components and an inexpensive assembly tool are required. In such a situation, success depends only on the planning of the model and the quality of manual assembly. If the products meet the needs of customers, you can expand production.
Even in a large factory, it is impossible to produce all kinds of furniture. It is important to determine who the product is intended for. It may not be households. In the city there are children's and, public organizations in need of specific products. Each institution needs a special style. In addition, furniture is made not only from wood. Warehouses, banks and medical centers, in chemical and Food Industry metal furniture is required. This is a good option if such products are not produced in a particular region.
When opening a store, you should not start with a large area and a wide range. It is advisable to walk around the already working shops of the city and determine what they offer. There is always a type of product that does not exist. It becomes the basis for the formation of the assortment of a specialized store. The advantage of this approach is the ability to become a monopolist in a small niche.
Purchase of equipment when opening a furniture business from scratch
Furniture can be kitchen, built-in, cabinet, upholstered, garden, specialized, for offices or children's and medical institutions. The equipment is purchased after choosing the type of product. The factory requires bulky machines and tools; in trade, a minimum amount of furniture is enough for staff and customers.
If a workshop opens and it is not planned to cut the material on its own, then a hand tool is bought: drills, screwdrivers, grinders, milling machines, a hair dryer, a puncher, etc. Machine tools are expensive, they can be bought later (if desired), when the customer base and sales level are formed rise.
For a factory, equipment is selected depending on what is planned to be produced. For example, in the manufacture of cabinet furniture, there is no need for upholstery tools and compressors. It should be noted that equipment designed for processing chipboards is not suitable for working with natural wood. In the first case, sawing, grinding, milling, decorating machines are required. The slabs are cut with molding machines, drilling and edge processing equipment is required.
In a furniture store, it is better to focus on compliance with sanitary standards and the design of the room. A professional designer is involved, especially if the outlet is for rich people. Expensive repairs and original exposition are needed. It is desirable to organize a place for customers to relax with the opportunity to drink coffee, tea, buy water. This does not require large expenses, but the level of service increases. In the warehouse-shop, the interior is simple, the main attention is paid to the distribution of products in the halls and sections.
Ways to promote a furniture business
The number of users of online stores, including furniture stores, is growing. Websites are available for both manufacturers and merchants. It is important to attract a specialist who can optimize the resource and organize promotion in a particular region. If the site is constantly developed and updated, offline and online traffic increases quickly. If a factory opens, the brand quickly becomes popular, consumers begin to recognize the company.
In third place is the organization of exhibitions with the preliminary distribution of business cards or leaflets, in fourth place are groups in social networks. When writing texts, attention is focused on what interests the target audience:
- for buyers of economy class furniture, the possibility of obtaining a loan and receiving discounts, bonuses, gifts, the cost of delivery and assembly is important
- middle-income people pay more attention to the popularity of the manufacturer and the environmental friendliness of the product
- in advertising for expensive furniture, it is important to emphasize exclusivity: expensive wood, popular brand, custom-made fittings (do not mention strength and durability)
The production and sale of furniture are relatively profitable business areas. The organization requires careful selection and assortment in order to reduce the negative impact of competition.
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