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The Truth About How Expensive it Really is to Start a Fashion Business

April 7, 2018



If you have a passion for style and clothing, starting a fashion brand could be a dream come true. That said, as with all new businesses start-up capital is a huge factor to consider when undertaking this project. With the number of new and smaller businesses coming into the market, it can appear that starting a fashion brand is easy and affordable to do. If you look a little closer, then you’ll also notice that unfortunately many of these businesses do not have a sustainable plan and once the novelty has worn off, they disappear into the shadows. So how do you stop this from happening to your new fashion business?


The answer is quite simple, you have to look at the real costs of starting a business to ensure you have everything in place to get it off the ground.


The cost of equipment and sourcing stock


If you have a brand concept, sourcing suppliers for your new fashion brand is one of the first things you need to consider. This is the point where you also decide on the quality you want your brand to be known for, as this will indeed show if you choose to take shortcuts. Stock will be one of your most significant expenses, but it is crucial for the sales of the company, so costs need to be well thought out. If you are designing and producing your own label, the same applies to buying equipment or sourcing clothing manufacturers. Production costs will be an initial outlay to get everything set up, and cheap choices will only hamper your progress. High-quality production and beautiful clothing should be part of your initial business plan otherwise you may struggle to build brand reputation.


Where will you trade?


Another aspect to consider is whether you will have a bricks and mortar shop or purely an online presence, but it’s also worth noting that choosing either can be an expensive outlay. Building an identity is part of creating an overall brand that people will remember. Where you trade from will make the first impressions to customers that visit, whether this is online or on the high street. Setting aside funds for this will help make you stand out in the crowd and seeking the support of professionals in web development and marketing can assist in bringing your ideas to life. Although this initial investment may be substantial, it will provide the building blocks for future success.


There are a host of other costs to think about when starting a fashion brand and these include:


•    Conducting market research

•    Developing your brand identity

•    Marketing and social media

•    Events and PR exposure

•    Trademarks

•    Wages (for yourself and any employees)


Financing your brand


Unless you have personal capital to invest in the start up of your brand, new fashion businesses can benefit from funding to bring ideas to fruition. There are several options alongside the traditional lenders that can assist in creative startups, so seeking professional advice will assist in securing the right finance for your new company.


Getting started can be a daunting task, but with the right backing and level-headedness about how expensive it can be, you will build a brand that exudes quality and substance in this competitive market.


Speak to us and see how we can help your Fashion Business. 







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