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Business plan of a furniture store with calculations

To open a furniture store and draw up a business plan, you need to decide on the format of the future trading place.

There are several options for the organization of points of sale:

shop;
exhibition hall;
furniture hypermarket;
specialty shop;
salon.
The range of furniture stores is usually 250-300 items of the average price category. The area required for the arrangement of furniture is about 500-800 sq. m. all the main product groups should be Presented in full: furniture for the kitchen, dining room, hall, bedroom, upholstered, Cabinet furniture.

The showroom is a more expensive option. Rent is higher here and the presented furniture must be designer or exclusive, made to order.

The hypermarket has a wide range of products. Large areas are needed for displaying more than a thousand pieces of furniture of various categories.

The specialized store sells furniture of the same type: soft, kitchen, Cabinet, office.

The choice of format depends on the initial capital. It is important to analyze the local market and the presence of competitors, including the world’s largest representatives.

The most profitable according to the calculations is the opening of a standard furniture store.

In the business plan, initial expenses include:

repairs, advertising signs – about 40-45% of the total budget;
the cost of purchasing the product will be 45%;
working capital – the remaining 15-20% will be used to pay for the first months ‘rent and employees’ salaries.
The margin on furniture is about 40% of the purchase price, and the net profit is estimated at 7%.

The estimated payback period is about two years with a starting capital of 3 million rubles.

Business plan of the furniture shop
When drawing up a business plan for the opening of a furniture production shop, you should follow several stages.

First, choose a production room. It should accommodate large equipment and several separate workshops:

shop with machines and equipment;
Assembly shop;
paint shop;
dryer;
warehouse of materials and raw materials;
finished product warehouse;
rooms for staff and meals, shower;
administrative and office space.
Special requirements for electrics three-phase (380W for high-power machines). Space for the shop can be purchased or rented, this largely depends on the expenditure part of the business plan.

All rooms should be well heated, dry, and ventilated. This is necessary for the best preservation of quality material. It is important to have water supply, Sewerage, fire safety. Quite often, significant amounts are spent to resolve issues related to the agreement on all these items. This is important to consider in the business plan.

Second, it is necessary to reflect the cost of the minimum set of equipment:

various types of machines: jointer, planer, milling, drilling and grooving, turning and milling, grinding, format-cutting;
dyeing equipment;
hand tools, screwdrivers, punches.
Third, we need to develop production technology. It includes several stages. Project development, procurement of parts, cutting of material, machining and Assembly. All this is also impossible to do for free

Fourth, it is important to select competent personnel and establish a sales market and reliable suppliers. Employees should get paid every month, and advertising is important for sales. All this data is reflected in the business plan. In this case, it is difficult to say even approximately about the level of expenses, it all depends on the volumes, equipment and plans of the shop managers.

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