A

Report on
FASHION DESIGNING STUDIO
Submitted to
INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I2IM)
CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY (CHARUSAT)
Prepaid by
RATHOD SHIVANGI
ID No: 18BBA089
BBA PROGRAMME,
SEMESTER VI
UNDER THE GUIDANCE OF
ASSISTANT PROFESSOR
Dr. Pranav Desai
FACULTY OF MANAGEMENT STUDIES
CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY
(CHARUSAT)

INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I2IM)

CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY (CHARUSAT)
AT. & PO. CHANGA – 388 421 TA: PETLAD DIST. ANAND, GUJARAT
MARCH-2021

DECLERATION
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I RATHOD SHIVANGI student of the Semester VI, BBA Programme at Indukaka
Ipcowala Institute of Management (I2IM) Hereby Declare That the Report on Fashion
Designing Studio. Is The Result Of My Own Work? I Also Acknowledge The Other
Works / Publications Cited In The Report.

Place:Changa Signature

Date: 19th March, 2021 RATHOD SHIVANGI

ACKNOWLEDGEMENT

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On the outset of this report, I would like to extend my sincere thanks towards the
entire personage who have helped me in this report. Without their active guidance,
help, cooperation and encouragement I would not have headway in this report.

I am extremely thankful and pay my gratitude to my Professor Dr. Pranav Desai for
his valuable guidance and support on completion in this project.

I also acknowledge with a great sense of reverence, my gratitude towards my parents

and my family members, who has supported me morally as well as economically.

At last but not least gratitude goes to all of my friends who directly or indirectly
helped me to complete this report.

INDEX
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No. Particular Pg. No.

1. Executive Summary 05

2. Business Details 05

3. Key personnel 06

4. Mission Statement 07

5. Vision Statement 07

6. Target Market and Customer Characteristics 07

7. Market Trends 09

8. Manpower and Equipment 10

9. Financial Plan 11

10. Sales Revenue 11

11. Requirement 12

12. Funding Requirement 12

13. Projected Profit 14

14. Cash Flow Statement 14

15. Marketing 15

16. Risk Analysis 15

17. Marketiing Mix 16

18. Product Marketing Strategy 18

19. Sales Strategy 19

20. SWOT Analysis 19

21. Rational For This Business Plan 19

22. Conclusion 20

Executive Summary

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Fashion is one aspect that cannot be done without especially in an age where different
age groups all have a large percentage of them that are geared to fashion. A fashion
design business is a business for entrepreneurs who are creative and enterprising in
nature.
These individuals understand the fashion world such as the importance of texture,
color, and shape in varied clothing as well as the business of ensuring that this
creativity yields revenue and eventually profit. Also, before starting this business it is
vital that you write out a business plan that is comprehensive in nature.
Shiya’s Designer Studio, is a inspired clothing brand emphasizing chic, urban designs
that highlight the wearer’s playful and artistic side. Our clothing line will be sold in
select specialty boutiques on the East Coast and then expand into wholesale to reach a
greater number of stores and, eventually, department stores. It will also aim to sell via
ecommerce on third party sites and will explore the incorporation of an ecommerce
platform on its own site later in the year.

Business Details

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CompanyName:Shiya’sDesigner

DESIGNER STUDIO
Address: 3-B, Dwarkesh Complex,Rajpath road,Anand - 388120

Telephone number: 9638125758

The business will: My designs aim to provide the wearer with a unique and
individualistic flair. The design offers stylish and sustainable apparel. Each piece is made
of eco-friendly fabrics. My Fashion designer studio offers looks based on simplicity,
individuality, and femininity. My designs are made of luxury fabrics trimmed with
intricate hand stitching and accents to add individuality and personality to each piece.

Key personnel
Name of Owner: Shivangi Rathod

Position: As a owner of Shiya’s Designer Studio

Responsibilites:

 Managing design process from conception through to final styling.

 Conducting market research to identify new trends, fabrics and techniques, and seeking
design inspiration.
 Collaborating with team members to select seasonal themes, make edits to line, and
create new concepts.
 Ensuring product is in agreement with business strategy.
 Selecting fabrics and trims.

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  Experience and knowledge of our industry:

1 Year course of fashion designing and 6 months of internship in prapti’s redefine

yourself

Key skills brought to the business: 

 Sense of Style

 Strong Sewing Skills

 Team Player

 Knowledgeable of Current Fashion Trends

Business experience : Through Prapti Define yourself training has been undertaken

Academic/professional qualifications: 1 Year course of Fashion designer taken

INIFD,Gandhinagar

Mission Statement

To give every Women the means to STYLE HER OWN LIFE . To make shopping a
pleasant, yet inexpensive for Women, while providing their lives with sense of
confidence and beauty ”.

Vision Statement
 “To create a global brand that provides fashionable products at affordable prices to
Women , whilst achieving the goal of becoming the NUMBER ONE VALUE
FASHION BOUTIQUE across the country”

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Target Market & Customer Characteristics
“Middle-class consumers have worked very hard for their money. So they’re not
stupid customers buying luxury for vanity. Unless you understand the real value of
money through hard work, you cannot really enjoy luxury.

To get specific with whom your target market is, you’ll have to identify several
aspects about your ideal customer. Fashion Business Insider recommends the
following attributes:

 Demographics (age, gender, profession, income level, marital or family status)

 Psychographics (values, attitudes, belief systems, pain points aka major areas
of frustrations)
 Lifestyle (geographic location, leisure activities, travel)
 Buying habits (brand loyalty, impulse buyer or saver, price awareness, unique
features they look out for)
 Customer Needs – remember that needs are stronger than wants and a customer
is willing to hand over their money for that thing that meets their needs.

AGE OCCUPATION MARKETING FASHION

CHANNEL
16 Student Internet High
25 Working Internet and High
Magazines
40 Working Magazines Medium

Identifying the target market determines the types of promotion used. One way is to
purchase a mailing list of potential customers in your geographical reach.

Products and Pricing Strategy

The clothes in a boutique must be different from those of the competition. Look at the
products your competitors carry and look at their pricing strategies. You must have a

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unique clothing style that stands out from the crowd and that brands your store as the
place to go to for its particular designs.

Advertising and Website

The boutique's advertising should highlight the uniqueness of the store's merchandise.
A boutique should have a consistent design for its logo and color scheme. This theme
should be consistently used on mailings, signage and other marketing materials.

Every business needs to have a website. This has become the norm for potential
customers obtaining information on a business. Having a website is an excellent way
to present a unique image for your boutique. It's useful as a product showcase and to
demonstrate how they differ from the competition.

Sales and Events

Special events are opportunities to attract more traffic. Consumers are always
interested in something new and different. Events could be promoted by regular
mailings, emails to existing customers and ads in local newspapers and magazines.
Coupons could be used occasionally, but not so often that they cheapen the image.

Exemplary Customer Service

Sales staff should be knowledgeable about the products in the store and understand
how each piece of clothing is unique. Each item can have a story about its quality,
construction, type of material and where it came from. Sales people in a boutique are
more customer-friendly than sales staff in a big box store.

Set Sales and Profit Goals

To justify the cost of marketing and advertising, set sales and profit goals that must be
reached. Identify products that sell the best and that have the highest profits.
Occasionally, it may be necessary to overhaul your product line.

Constantly evaluate the results of your marketing efforts and quantify the return on
investment.

A marketing plan for a clothing boutique involves identifying the target demographic
and finding unique products that meet their interests. The owner of a clothing boutique
needs to constantly search for clothes that are hard-to-find and not available at the
competitors' stores.

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 Market Trends
Understanding the target market and its dynamics is very crucial in any business
development. As earlier stated, our target market includes the young people who
account for the greatest percentage in the total population of the country. However,
the market is segmented into two units. To start with, there is that population
consisting of college students mostly aged between 18 and 25. Other than that, the
market is segmented into the age group between 25 and 35 years who majority fall in
the working class category. These different segments of the population have varying
spending power and so do their tastes of fashion vary to some extend. With such
knowledge in mind, it becomes very easy for the company to adjust towards meeting
the needs of each market segment because it matters a lot to see that the customers’
needs are well taken care of.

Manpower and equipment

It is not just the cloth that will be sold, there are a lot of things that pair up with a
piece of cloth that make it desirable. List the most reliable wholesale suppliers for
your boutique. When you go to the wholesaler, be sure to get samples. Pick the best
supplier after negotiating and coming to a reasonable price for a good quality product.
Some of the materials you will require when you start your business are:

 Buttons
 Laces
 Zippers
 Clasps
 Elastics
 Threads
 Needles
 Embroidery threads
 Glasses and mirrors
 Labels, tags, and packaging

Running a one man show might sound as a big money saver, but eventually you will
need a few helping hands for the smooth running of your business. To be a customer-
centric business, hire employees that are representatives of your boutique’s style, and
are friendly and efficient. You need to list down all the posts and who will fill them.
Describe each post in detail, list down their duties and responsibilities. Figure out the
gaps in your employment and understand how you can eliminate them. Make sure the

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staff is reliable and willing to work extra hours during times of need if required. These
are some of the employees you might  need:

 Production staff
 Designer
 Tailors
 Press/iron man
 Dyer
 Administrative staff
 Customer service staff

Financial plan
Finance is the most important part of any business. You should aim to be as specific
as you can when it comes to your finance, which includes describing your financial
strategy and how it will support your projected growth. Create your clothing
boutique’s financial statements. Include a personal financial statement, balance sheet,
cash flow analysis, and income statement. Estimate your liquid fund requirements to
start your business. Before you actually start running the boutique, you must purchase
all the products, material and equipment required running the business. List down the
services and what raw materials and equipment are required.

You must also decide where the funding for your business will come from. You have
a number of options to choose from:

 Self-financed
 Banks and other financial institutions
 Government and institution grants
 Investors
 Friends and family

Whether you’re borrowing money through a traditional bank loan or have teamed up
with investors, you need to figure out how much money you need to get started.
Research the paths for each and come to a decision about which one is suitable for
you.

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 Year Items(s) Quantity Rate per Piece Sales
Sold/Year (Rs) Realisation
(Rs)
1 Kurtis,Tops & 900 600 540000
Tunics
2 Salwar Kameez 500 1000 500000
2 Designer Chanya 600 2000 1200000
Choli
3 Designer Blouse 1200 400 480000
Total : 2720000

Sales Revenue

REQUIREMENTS
Start-up Expenses

Legal Rs35,000
Stationery etc. Rs10,000
Brochures Rs15,000
Consultants Rs9,000
Office Supplies Rs10,000
General Supplies Rs15,000
Website Creation Rs50,000

Total Start-up Expenses Rs 3,35,000

Start-up Assets Cash Required Rs 20,65,000
Start-up Inventory -
Other Current Assets -
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Long-term Assets Rs 25,35,000
Total Assets Rs 30,65,000
Total Requirements Rs 50,00,000

Funding Required
Start-up Expenses to Fund Rs7,35,000
Total Funding Required Rs20,00,000
Assets -
Non-cash Assets from Start-up Rs8,00,000
Cash Requirements from Start-up Rs5,65,000
Additional Cash Raised -
Cash Balance on Starting Date Rs 3,00,000
Total Assets Rs 4,30,000
Liabilities and Capital -
Liabilities -
Current Borrowing -
Long-term Liabilities -
Accounts Payable (Outstanding Bills) -
Other Current Liabilities (interest-free) -
Total Liabilities -
Capital Planned Investment -
Other -
Additional Investment Requirement -
Total Planned Investment Rs 20,95,000

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Loss at Start-up (Start-up Expenses) (Rs3,35000)
Total Capital Rs44,30,000
Total Capital and Liabilities Rs44,30,000
Total Funding Rs30,00,000

PROJECTED PROFIT
Note
Particulars No. Amount (In Rs.)
Revenue from Operations
(Sales) 900,000
Less: Raw Material 1 200,000
Salary & Wages 2 100,000
Sales man commission 3 5,000
Electricity 4 20,000
Repairs & Maintenance 5 7,000
Transport & Reimbursements 6 5,000
Insurance 7 8,000
Depreciation 8 25,000
Interest on loan 9 70,000
Advertisement Expenses 10 10,000

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 Estimated Profit 450,000
Less: Tax @ 30% 135,000
Net Profit 315,000

CASH FLOW STATEMENT

Sources Amount Application Amount
Opening Balance of
Cash - Tax Paid 1,35,000
Profit Before Tax 4,50,000 Depreciation 25,000
Contingency 60,000
Closing Balance of
Cash 5,10,000
8,00,000 8,00,000

Marketing

No matter how amazing your clothing line is, if you don’t market it right, your store
will be as good as invisible. Once you start the boutique and have a unique collection
of clothes ready, the next step is to get the customers. Having a good marketing plan
will solve this problem.

Social media is today’s giant! Use it to increase your popularity. With such amazing
online platforms, it becomes easy to spread the word. Exhibit the piece de resistance
of your collection on social media to increase sales. This will not only increase the
footfall in your business but also increase sales online. Your plan should include how
you intend to show your target market that you’ve got something they’re looking for.

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You could mail flyers to businesses or residences in the zip code where your store is
located, as well as to surrounding zip codes; and also put ads in local newspapers.

Opening a clothing boutique is a unique and rewarding experience once you gather all
the necessary information about how to start a boutique. Further, starting a business
on your own can be exhilarating and having a business plan in place helps make the
process additionally easier and smoother. Writing a business plan is the first step you
will take in making your dream a reality. While writing a business plan, the points
discussed above are some of the conventional elements that need to be included.
However, it depends on your requirement which will decide what you choose to
include while preparing a business plan.

Risk Analysis

As a young startup in the highly competitive fashion industry and dealing with very
high product development, manufacturing and logistics costs, My company is
confronted with a large quantity of relevant risks. By starting out with a collection
bags, the startup-costs and risks are reduced.There are certain risks that the company
will not be able to influence, such as market risk. These systemic risks, which also
include political and currency exchange risks (these will become relevant as soon a
overseas suppliers or customers become involved), cannot be avoided by anyone in
the industry. A farsighted and liquidity-conscious management should be able to
maintain a reasonable degree of financial flexibility to deal with any negative impacts
from the overall economy.

The operational hazards that the company will be confronting are of a very different
nature. To begin with it is very unlikely that the prototyping and manufacturing will
be smooth and flawless from the very beginning. A lot of scrap will be produced until
the production process is perfected, which will lead to high production costs. Other
unforeseen costs are going to be incurred at least in the first two years of operation.
Even though by the selection of experienced and well-reputed partners some
uncertainty might be eliminated, it would be too optimistic to assume that everything
will work right from the beginning.

With the wrong partners in overseas manufacturing there is a very high risk of designs
being knocked off and copied, which reduces the value of the brand and can in some
cases even hurt sales.It is also advised that the high risk of damage to products during
the warehousing or transport as well as all other material risks (damage, theft, etc.)
concerning the office infrastructure and health risks of the founder and eventually the
staff team should be covered to maximum extent by adequate insurance.

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 Marketing Mix
Four Ps are the most important factors for any company in making the marketing plan.
To be specific, these 4 Ps are:

PRODUCT:
The product, in terms of marketing, refers to all the elements that go into making
the actual product marketable. Some of these are design, packaging, quality,
branding and value. In fashion, the main element of the product is the design,
while other important considerations are quality, seasonality and tag style.

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 PRICE:
Pricing in the fashion industry is often a marketing decision in addition to other
factors. The price of any product is generally based on the costs of the materials
and labor needed to produce the item. In fashion, an additional factor is that the
price needs to reflect the image that the company wants to establish. If it wants to
appear cheap and chic, it may procure less-expensive materials and cheaper labor
to be able to offer that. 

PLACE:

The place refers to where and how the product is distributed. Certain brands will sell
exclusively through small, luxury boutiques to maintain an exclusive image.This is
an important consideration for fashion houses, because selling through the wrong
distribution sources can cheapen the company's brand. Many luxury brands for
example, don't even use social media to hype their products for fear of diluting their
elite images.

PROMOTION:

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The promotion of the product is how you are going to communicate to customers. A
large part of this is done through advertising, where potential customers can get a
sense of who you are and decide if they identify with your brand before ever seeing
or touching the product. Your sales strategy is also key; it refers to how you plan to
roll out the product. A fashion company may, for example, dress a celebrity in a
dress and then sell a limited number of that same dress.

Product Marketing Strategy

To help promote this better experience, there are many things you can do such as:
 Create a Loyalty Programme
 Have In-Store Events (In a safe manner)
 Incorporate Social Media Into Promotions
 Create a YouTube Channel
 Support Your Local Community

These simple, tried-and-tested ways of marketing are great for small clothing
boutiques to offer a great customer experience, which is one way that you can provide
competition to the large, international brands who offer the cheapest prices.

Sales Strategy

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My fashion designer studio intends to build a sales team that will be tasked with
generating sales leads on a regional and national basis. They will also be responsible
for establishing connections with other retail outlets. A key factor in the success of
My fashion designer studio will be by its distribution. The company plans to use the
following retail distribution channels:  Departmental stores  Apparel specialty
stores  Internet stores Catalogs are another important method of shipping.
Consumers have lesser time to shop, and for some, catalog shopping offers a more
convenient and pleasant alternative.

SWOT Analysis

STRENGTHS WEAKNESS

 Experience and understanding  Lack of special design

 of the fashion industry
 Fashionable designs
 Great downtown location
 Large and growing consumer base
 Similarity between differenct brands
 While market is large, it is a niche
market

OPPORTUNITES THREATS

 Expansion with unique designs  Several different place to buy

 Growing online clothing store Booming products.
Boutique
 Fashion constanly changing
 More choice in products-more sales
 Easy to enter in market

Rational For This Business Plan

Taking a gander at the bustling timetables of individuals in India we felt that
individuals don't get time to purchase gifts for their friends and family, consequently
there was a requirement for organization which could cater this need of individuals.
Individuals in different organizations, for example, individuals offering dispatch
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administrations are offering this assistance as well, yet there is no organization in
India which exclusively obliges clients who need to send blessings to their friends and
family and need to cause them to feel unique.

Conclusion
Apparently, this is one of the sectors which are witnessing a lot of growth in terms of
moving large volume of sales due to the fact that people are spending more on
clothing especially in the developed countries. Our target market for our clothing line
will be young ladies between the age of 18 and 35. This is because this is the age
which is very adventurous when it comes to fashion and highly treasures fashion
designs. The mechanism that our company will put in place will be to ensure that the
needs of our customers are fully met and thus we will shift our previous approach to
production to give more attention to production of fancy ladies wear.

This will be a very new venture for our organization because previously we have been
dealing with manufacturing of official wears for both men and women of all age
brackets. Therefore the location of our previous company did not matter a lot as long
as it is in a strategic place in terms of total population. However, for the case of our
new clothing line, a number of factors will have to be considered before settling on the
best location. One of such factors is proximity to the target population which in this
case is the fashion conscious youth. Therefore, this rules out any possibility of
situating our business in the rural areas.

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