How to Open & Operate a Financially Successful Fashion Design Business

If you are artistic and interested in fashion, working for yourself may sound tailor made for you. Keep in mind that owning a design business requires more than creativity. Business and technical skills

Some sources for information within the fashion industry include:
• U.S. Department of Labor, Bureau of Labor Statistics (www.bls.gov)
• The American Apparel and Footwear Association (www.apparelandfootwear.org)
• U.S. Census Bureau, County Business Patterns (www.census.gov/prod/www/abs/cbptotal.html)
• U.S. Census Bureau, Economic Census (www.census.gov/econ/census02/)
• U.S. Census Bureau, Monthly Retail Trade and Food Services (www.census.gov/mrts/www/mrts.html)
• U.S. Census Bureau, Current Industrial Reports (CIR) MQ313A-Textiles (www.census.gov/cir/www/313/mq313a.html)
• The International Trade Administration, Office of Textiles and Apparel (http://otexa.ita.doc.gov/msrpoint.htm)

The executive summary hits the main topics from the entire plan:
• What is the business?
• What is the purpose of the business plan?
• Who is running the business?
• Where will the business be located?
• Why is there a need for the business?
• How will the business make money or pay back the loan?

A good business plan should grow and change with your business.

Unfortunately, new business owners tend to wait until their business has grown too big to manage before they write a plan. They construct a business plan to address problems, not to prevent them.

Once you have a working business plan, it can serve as a map to keep your business on track.

Most loans are negotiable, so do not be afraid to ask for specific repayment terms.

Although personal savings is the first place to look for startup capital, you do not have to be wealthy to start a fashion design business.

If you will be manufacturing the clothes you sell, you may need:
• Sewing machine
• Serger
• Knitting machine
• Linker
• Shelving and storage
• Cutting table
• Workbench
• Directional lighting
• Notions
• Embroidery machine
• Dressmaking or tailor’s bust form
• Pattern paper
• Grader’s set square
• Fabric/fiber

Think about the image you want for your business. Do you want potential customers to see you as artsy, earthy, sophisticated, fresh, or sexy?