Sample business Plan of the online store of children's goods, opened in one of the major cities of Russia (1 200 000 inhabitants).
Turn-based plan to open an online store of children's products
In order to open a business will need to perform a number of successive actions:
- To conduct an analysis of the market of online sales of children's goods in our city. Assess the level of competition and the overall prospect of entering the business.
- Search for funding sources for the project.
- Find profitable suppliers of goods.
- Find a convenient and not expensive room for a warehouse store.
- To purchase the web-shop engine, to start the site and to fill it with the content (articles and instructions).
- Find responsible and experienced workers.
- Purchase goods, create a catalog of goods on the site.
- Launch an advertising campaign on the Internet.
How much money you need to open an online store of children's goods
According to preliminary calculations, to open an online store will need to invest at least 3 300 000 rubles:
- Creation of assortment of goods-2 500 000 rub.
- Acquisition and configuration of the site engine-100 000 rub.
- Website promotion on the Internet – 100 000 rub.
- Advertising budget for the first half-year-200 000 rubles.
- Cosmetic repair of premises and purchase of warehouse equipment – 150 000 rub.
- Business registration and other organizational expenses – 50 000 rub.
- Reserve Fund – 200 000 rub.
Description of products and services
In order to be required to create a wide range of products. It is planned to spend not less than 2 500 000 rubles on these goals under the business plan. In our store you will be able to purchase:
- Games and toys-designers, dolls, books, educational games, radio controlled toys, soft toys, goods for school, goods for hobby and creativity, etc. Dr.
- Goods for the baby and for mother-car seats, strollers and accessories, pots, household chemicals, goods for feeding, Walker and jumper, children's cosmetics, etc.
- Interior and textiles – children's tables and chairs, playpens, cots, sets of children's furniture, gates and barriers, bed linen, chests of drawers etc. Dr.
- Baby food-porridge, mashed potatoes, dry mixes, soups, drinks biscuits, etc.
- Clothing and footwear
- Goods for sports and recreation-children's playgrounds, bicycles, rollers and skateboards, scooters, sports, kites, etc.
Delivery within the city will be free of charge when ordering more than 1000 rubles (depends also on the size and weight of the goods). Fares of transport companies will be operating outside the city. Buyers can also pick up the goods from the warehouse of our store on their own (pickup).
The average check of our shop will be about 3500 rubles, and the average trade mark-up is 70%.
The main attention in the creation of the online store will be given to:
- Finding suppliers of children's goods at low prices and acceptable quality.
- Finding a warehouse store-premises, with a convenient location and not a high rent.
- Purchase of the Web-shop engine – creation and promotion of the site in search systems.
Finding suppliers is perhaps the most difficult and most important stage. Any online store is in demand because the prices are lower than in real stores. And it depends not only on lower fixed costs, but more on the availability of profitable suppliers. Our company plans to conclude contracts for the supply of goods with wholesale companies in Moscow, Novosibirsk, Yekaterinburg. Part of the goods will be purchased directly from China (from trading platforms). It is possible to connect to the network of other large federal stores, for the sale of goods in Dropshopinga format.
Another important point is the availability of a warehouse for the goods. From a logistical point of view it should be located closer to the center, to deliver goods at the same speed to any area of the city. However, the closer to the city center, the higher the cost of renting. We see the exit in the rental of inexpensive basement premises in one of the office buildings. There is no good repair, but there are all the necessary communications (water, heating, ventilation). Near the building there is good parking and convenient access roads. Just 150 m from the warehouse there is a tram stop and the entrance to the Metro. And most importantly-the price of rent is only 450 rubles. per sq. M. For the central part of the city this is an extremely advantageous offer. The total costs of renting 72 square meters will cost us 32 400 rubles. Per month. In the same room we organize a small office for receiving applications and shipment of goods.
The third point is the purchase and configuration of the online store engine. For these purposes we plan to spend at least 150 000 rubles. Our site will function on the famous engine opencart. This is a relatively inexpensive ready-made engine of the site, while the functionality is not much inferior to expensive analogues, like Bitrix.
It is important to consider the issue of delivery. Delivery of goods from the warehouse of the online store to the buyer will be carried out by courier service. At the initial stage, when there are not so many orders, it is more reasonable to use the services of specialized companies on delivery of goods, than to contain couriers in the state.
As for the staffing table, we will need to employ several employees:
- Seller-Consultant (3 people)-their task is constantly on the telephone line, accept and execute orders, advise buyers. Average salary-18 000 rubles.
- Worker warehouse (2 pers.)-The responsibility of storekeeper will be to receive and ship the goods from the warehouse. Average salary-15 000 rubles.
- Sales Manager (Pers) – Manager's tasks will be to search for suppliers of goods, work with current suppliers, control of fulfillment of contract terms. Average salary-18 000 rubles.
- Administrator of the site (1 person)-the duties of the administrator are the constant updating of the catalogue of goods, creation of photos, price adjustment and setting of categories. Average salary-20 000 rubles.
Services of the lawyer and the accountant are planned to take under the contract of outsourcing, as it is not expedient to contain these employees in the state. The wage fund will thus be 122 000 rubles. Per month.
What tax system to choose to open an online store
As an organizational form of the store is planned to register individual entrepreneurship. Taxation system – imputed (single tax on imputed income). It is not necessary to use the cash register under such a system of taxation.
Marketing and promotion of the store
The most important thing in the online store-is the traffic of targeted visitors to the site or site attendance. This directly depends on the profitability of the business. This is the same as the permeability of the real store. If the store is in a good and popular place, it will always have sales.
Therefore, the important thing is to ensure a constant flow of visitors to the site. This will be achieved by:
- Writing unique articles on the topic of purchasing children's products. Articles will be purchased both on specialized exchanges and ordered from private copywriters.
- Promotion in search engines. The higher the site is in the search engine for specific requests (for example, "buy a pram")-the more it gets targeted visitors. In this sense, it is planned to use the services of an experienced SEO-specialist.
- Advertising in Yandex-direct. A very good tool for attracting visitors is contextual advertising. A well-tuned context can bring a regular stream of targeted visitors. Even at a considerable cost – certainly, it is profitable advertising.
As one of the tools to attract and retain customers, we plan to add special bonus cards. They will give our customers: bonuses from any product, the opportunity to participate in closed sales and receive special offers. Accumulated bonuses can be paid for goods (up to 100% of the value of goods).
Let's proceed to calculation of the basic indicators of economic efficiency of business.
Constant monthly expenses of the shop:
- Rent of premises-32 400 rub.
- Salary-122 000 rub.
- Deductions to extra-budgetary funds (RPF and FSS) – 36 600 rubles.
- Outsourcing – 12 000 rub.
- Advertising-30 000 rub.
- Taxes (imputed) – 8 000 rub.
- Hosting fee-1500 rub.
- Other expenses-20 000 rub.
Total-276 000 rub.
Variable costs: Courier Payment-250 rub. From the order (on average).
How much you can earn by opening an online store of children's products
The break-even point of sales at a trade markup of 70% will be 670 286 rubles. At the revenue of 804 343 rub. The profit of the store will be 134 057 rubles:
Income: According to the business plan, in the first year of work site attendance will average 500 people per day. With an average conversion of 2% (the number of purchased goods from the total number of those who came to the site) a day will be about 10 purchases. With an average cheque of 3500 rub. Daily revenue will be 35000 rubles, and monthly: 1 050 000 rubles.
Net profit, taking into account the cost of delivery of goods will be approximately 150-200 thousand. Rubles per month. Profitability of the store will be equal to 55%. Return on investment in the business will come in 22 months of work.
This is a complete, ready project that you will not find in the free access.
Business Plan content: 1. Konfindencialnost 2. Summary 3. Stages of project implementation 4. Object characteristic 5. Marketing Plan 6. Technical and economic data of the equipment 7. Financial plan 8. Risk Assessment 9. Financial and economic substantiation of investments 10. Conclusions
How to choose the equipment for the online store of children's goods
The Internet shop of children's goods can be opened when in the region there is a constant and stable internet. Accordingly the equipment for business is a computer which allows to be on communication in a network.
The main tool in the creation of Internet trading is the site. It should have a clear interface that is accessible even to the inexperienced user. After all, the easier it will be to communicate and find products, the more you can get purchase orders.
When buying a large lot will need a storage room. It can be equipped very simply by installing shelving for storage of goods.
What okved to specify at registration of activity
For legitimize activities you can use the following okved:
47.91.2 retail trade on the Internet
47.91.1 retail trade by mail
47.91.3 retail trade by means of Internet auctions
47.91.4 retail trade with your phone
53.20.31 Courier delivery of products
82.92 Packing of Products
96.09 Services. Not included in other subclasses
When registering an IP or LLC, you can specify several codes, but the primary can be only one.
What documents are needed to open
For the sale of children's goods by means of Internet it is necessary to register an IP or LLC. The choice of legal form depends on the scale of the enterprise. If you plan to create a small virtual site it is better to formalize IP. Otherwise it is necessary to formalize an LLC.
The procedure of legalization of business of both forms is similar: a photocopy of a passport, application and receipt on payment of the state duty are provided to the Tax inspectorate at the place of registration.
Do I need permission to do business
Opening of the Internet shop of children's goods does not require obtaining a license, permits. All children's goods must be certified. That is why when purchasing products from the supplier it is necessary to demand quality certificates.
Shop Opening Technology
Technology of creation of the Internet shop of children's goods is very simple: legalization of business in tax inspection, opening of bank account for non-cash payments with buyers and suppliers, creation of a site, purchase of production. Before making the first purchase it is recommended to carry out the analysis of demand of the goods.
When you start the online store also do not do without the promotion of the site. To entrust the specific work is worth to the professionals of the business. With a competent approach, the fame of the virtual trading point will soar in a matter of months.
Delivery of goods is another component of the remote business. Many provide different types of delivery, thus attracting customers.