Business Plan for Innovative Clothing Case Study

Business Plan for Innovative Clothing - Case Study Example ...................................................13 5.0 Important Milestones and activities...................................................................14 6.0 Financial statements............................................................................................15 6.1 Assumptions.........................................................................................................15 6.2 Profit and Loss statement...................................................................................16 6.3 Balance Sheet.......................................................................................................17 6.4 Cash Flow statement...........................................................................................18 References..................................................................................................................19 INNOVATIVE CLOTHING 1.1Business goals: Innovative Clothing (IC) will manufacture and market a complete range of branded casual clothing to cover the entire segment of this market. The company will position itself as store chain offering casual clothing of quality which is above expectations of the market, at competitive price and with designs which are simple but at the same time makes the wearer look smart. The company will aim to achieve a turnover of 3 million (Aus $) in the first year and 10$ by the end of third year. It will break even in the first year of operation itself and start generating substantial profits from second year onwards. 1.2 The Company Innovative Clothing is a general partnership firm. The fund for the establishment of the business is equally shared by 5 partners. As a general partnership firm the responsibility is also equally shared among the partners. The entire...The fund for the establishment of the business is equally shared by 5 partners. As a general partnership firm the responsibility is also equally shared among the partners. The entire activities of the business are under the control of a Board of directors in which the 5 partners are included. The company is manufacturing and marketing garments locally. With the experience gained, it wants to enter into retail sales of casual garments in a big way by setting up a chain of retail stores in Sydney. It will open 10 stores in the first year followed by ten more in the second year. The partners collectively have experience in production, marketing and design. They propose to recruit a Chief Executive Officer who will be in charge of operations. The CEO will report to the board represented by the five partners. Innovative Clothing proposes to transfer its manufacturing activity to China because of availability of work force at lower wages and various supports given by the government for investing there. The marketing and design activities will be located at Sydney. The company would try to cater to the needs of entire market for casuals instead of focussing on one particular segment only. For this it will evolve appropriate promotion and branding strategy. 1988-89 to $AUD 11.82 billion in 2006-07.