2 answers
Reginald
Student
Miami, Florida
6
Questions
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What does it take to invest in a clothing line business and how much money should I save to start it?
Hard working #buisness
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2 answers
Muhammad Shao
Pipeline Integrity Engineer - Onshore Water Crossings
19
Answers
Houston, Texas
Updated
Muhammad’s Answer
I would recommend watching shark-tank to get a feel for distinguishing good business opportunities vs. bad.
You have to weight a few things for any new business idea:
- Initial investment cost (capital): How much would I need to spend, to start making a profit.
- Scalability: Can the business be scaled, to increase profit? What resources do you need for scaling (ties to capital).
- Ingenuity: What is unique about your business. Why you?
The main goal of any business should be to make a profit. If you aren't making a profit, then it's just a hobby not a business.
The reason I bring this up, if you watch shark tank...most clothing brands get turned down , unless they are extremely unique and bring something innovative to the market. Just having a cool brand is not enough. The reason being, clothing business is extremely competitive. For it to scale, it requires a lot of capital for marketing. Also, it requires a lot of capital to mass-produce (make unit price low enough to make a profit)....which in-turn requires inventory (more capital).
My intention is not to discourage you. But I would suggest digging into the fundamentals of a business. Then further building upon your idea, come up with the details of how you will make it work . Specially address the question of .......why you? what is unique about your clothing /brand?
Hope this helps!
You have to weight a few things for any new business idea:
- Initial investment cost (capital): How much would I need to spend, to start making a profit.
- Scalability: Can the business be scaled, to increase profit? What resources do you need for scaling (ties to capital).
- Ingenuity: What is unique about your business. Why you?
The main goal of any business should be to make a profit. If you aren't making a profit, then it's just a hobby not a business.
The reason I bring this up, if you watch shark tank...most clothing brands get turned down , unless they are extremely unique and bring something innovative to the market. Just having a cool brand is not enough. The reason being, clothing business is extremely competitive. For it to scale, it requires a lot of capital for marketing. Also, it requires a lot of capital to mass-produce (make unit price low enough to make a profit)....which in-turn requires inventory (more capital).
My intention is not to discourage you. But I would suggest digging into the fundamentals of a business. Then further building upon your idea, come up with the details of how you will make it work . Specially address the question of .......why you? what is unique about your clothing /brand?
Hope this helps!
Tyghe Boone-Worthman
Strategy Program Manager
10
Answers
Denver, Colorado
Updated
Tyghe’s Answer
Having a good business model is critical to starting any type of business. If you start working on a business model you will get an understanding of the costs associated with the new business you'd like to start. Having a good business model will also help you to find someone who might want to invest in your business as well, Here are a couple things to consider:
Most new businesses don't make profit for several years, so just keep this in mind
How are you going to make the clothes you're selling? (are you buying shirts, for example and adding a logo, or are you actually making them yourself)
There are lots of costs to consider (the actual cost of making or buying the clothes you want to sell, marketing, website hosting, retail space, etc.)
My suggestion would be to check EdX or Coursera to see if there are any free entrepreneurship classes you can take. I think that would help a lot in understanding what it takes to start a business and to be successful.
Good luck!
Most new businesses don't make profit for several years, so just keep this in mind
How are you going to make the clothes you're selling? (are you buying shirts, for example and adding a logo, or are you actually making them yourself)
There are lots of costs to consider (the actual cost of making or buying the clothes you want to sell, marketing, website hosting, retail space, etc.)
My suggestion would be to check EdX or Coursera to see if there are any free entrepreneurship classes you can take. I think that would help a lot in understanding what it takes to start a business and to be successful.
Good luck!