Free T-Shirt Company Business Plan
For Raising Capital from Investors, Banks, or Grant Companies!
Please note that the financials
in this complete free business plan are completely fictitious and may not
match the text of the business plan below. This free business plan demonstration
purposes only. If you are interested in purchasing the completed editable MS Word
and Excel documents for this business plan, please click the button below! Also,
the text of the business plan is formatted with a fully automated
table of contents.
It should be noted that there is no special software required to use these
templates. All business plans come in Microsoft Word and Microsoft Excel format.
Each business plan features:
- Excecutive Summary
- Company and Financing Summary
- Products and Services Overview
- Strategic Analysis with current research!
- Marketing Plan
- Personnel Plan
- 3 Year Advanced Financial Plan
- Expanded Financial Plan with Monthly Financials
- FREE 30 Page Sample Private Placement Memorandum
- FREE PowerPoint Presentation for Banks, Investors,
or Grant Companies!
1.0 Executive Summary
The purpose of this business plan is to raise $100,000 for the development of a t-shirt printing and distribution company while showcasing the expected financials and operations over the next three years. T-Shirt Company, Inc. (“the Company”) is a New York based corporation that will provide both sales of printed t-shirts (with customer designs) and sales of t-shirts with company produced designs to customers in its targeted market. The Company was founded in 2009 by John Doe.
1.1 Products and Services
The primary revenue center for the business will come from the sale of t-shirts that are printed using logos and designs provided by customers. Mr. Doe anticipates that a large number of these orders will come from businesses that are seeking to have their corporate logo or image embossed onto standard t-shirts. The Company’s secondary line of revenue will come from the sale of Company produced t-shirts. The Company will acquire logos and artwork from artists, and will brand t-shirts with these artistic images. These shirts will then be distributed within the Company’s store, via online sales channels, and to other retailers. Management expects that 30% of the Company’s revenue will come from this segment of the business. The third section of the business plan will further describe the services offered by the T-Shirt Company.
1.2 The Financing
Mr. Doe is seeking to raise $100,000 from as a bank loan. The interest rate and loan agreement are to be further discussed during negotiation. This business plan assumes that the business will receive a 10 year loan with a 9% fixed interest rate.
1.3 Mission Statement
The T-Shirt Company’s mission is to provide high quality t-shirt printing services to individuals and businesses while concurrently developing a line of proprietary t-shirts for distribution to the general public.
1.4 Mangement Team
The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the apparel industry. Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations.
1.5 Sales Forecasts
Mr. Doe expects a strong rate of growth at the start of operations. Below are the expected financials over the next three years.
1.6 Expansion Plan
The Founder expects that the business will aggressively expand during the first three years of operation. Mr. Doe intends to implement marketing campaigns that will effectively target individuals and businesses within the target market.
2.0 Company and Financing Summary
2.1 Registered Name and Corporate Structure
T-Shirt Company, Inc. The Company is registered as a corporation in the State of New York.
2.2 Required Funds
At this time, the T-Shirt Company requires $100,000 of debt funds. Below is a breakdown of how these funds will be used:
2.3 Investor Equity
Mr. Doe is not seeking an investment from a third party at this time.
2.4 Management Equity
John Doe owns 100% of T-Shirt Company, Inc.
2.5 Exit Strategy
If the business is very successful, Mr. Doe may seek to sell the business to a third party for a significant earnings multiple. Most likely, the Company will hire a qualified business broker to sell the business on behalf of T-Shirt Company, Inc. Based on historical numbers, the business could fetch a sales premium of up to 4 times earnings.
3.0 Products and Services
Below is a description of the t-shirt printing services and products offered by the T-Shirt Company.
3.1 Sales of Printed T-Shirts
As stated in the executive summary, the primary revenue center for the business will come from the sale of t-shirts that are printed to customer specifications. Management anticipates that a majority of these orders will come from businesses that are seeking to produce promotional t-shirts for distribution to their employees and customers. Management also expects that a large number of artists will seek to have their produced art placed on t-shirts which will be resold to the general public. This segment of the Company will produce highly predictable streams of revenue for the business.
3.2 Sales of Proprietary T-Shirts
The Company’s secondary line of income will come from the sale of proprietary t-shirts produced, marketed, and sold under the T-Shirt Company’s name. The business will collect art, logos, and t-shirt designs from graphic artists. In turn, the business will produce and sell lines of t-shirts with their art printed on the t-shirt. The Company will maintain several sales channels for this aspect of the Company’s operations. Mr. Doe expects that 25% to 30% of the revenues of the business will come from this business segment. Please note that the seventh section of the business plan will further document the marketing that the Company will use to promote its proprietary brand of t-shirts while concurrently promoting the t-shirt printing services offered by the business.
4.0 Strategic and Market Analysis
4.1 Economic Outlook
This section of the analysis will detail the economic climate, the apparel industry, the customer profile, and the competition that the business will face as it progresses through its business operations. Currently, the economic market condition in the United States is in recession. This slowdown in the economy has also greatly impacted real estate sales, which has halted to historical lows. Many economists expect that this recession will continue until mid-2009, at which point the economy will begin a prolonged recovery period.
4.2 Industry Analysis
The direct retail sale of apparel to the end user is a $150 billion dollar a year industry in the United States (this includes t-shirt printing company services). This growth rate for this industry has been tremendous over the last five years. Growth is expected to occur at a rate of 4% to 5% on an annual basis. The economic tastes of Americans have changed significantly over the last five years as the overall wealth of the country has grown. However, this growth is expected to dramatically slow over the next 12 to 18 months as the economy completes its correction and comes out of a recession. One of the most exciting areas of t-shirt industry is the ability to have a virtual store online. Management fully anticipates that once retail operations commence, the Company will develop a streamlined method for end user clients. This will allow them to order, purchase, and make transportation arrangements for t-shirts without having to visit the Company’s retail location.
4.3 Customer Profile
Management anticipates that a sizeable portion of its business will come from businesses and individuals that will have large numbers of t-shirts produced with the intent to resell them or use them as promotional materials.
4.4 Competitive Analysis
With the advent of the Internet, many t-shirt printing companies (and proprietary t-shirt distributors) have developed online operations that allow customers to place orders for t-shirts directly over the internet. This is especially true among t-shirt companies that only provide printing services. This is one of the sections of the business plan that you must write completely on your own. The key to writing a strong competitive analysis is that you do your research on the local competition. Find out who your competitors are by searching online directories and searching in your local Yellow Pages. If there are a number of competitors in the same industry (meaning that it is not feasible to describe each one) then showcase the number of businesses that compete with you, and why your business will provide customers with service/products that are of better quality or less expensive than your competition.
5.0 Marketing Plan
T-Shirt Company, Inc. intends to maintain an extensive marketing campaign that will ensure maximum visibility for the business in its targeted market. Below is an overview of the marketing strategies and objectives of the Company.
5.1 Marketing Objectives
• Implement a local campaign with the Company’s targeted market via the use of flyers, local newspaper advertisements, and word of mouth advertising among local businesses.
• Develop an online presence by developing a website and placing the Company’s name and contact information with online directories.
5.2 Marketing Strategies
Mr. Doe intends on using a number of marketing strategies that will allow the T-Shirt Company to easily target businesses and individuals. These strategies include traditional print advertisements and ads placed on search engines on the Internet. Below is a description of how the business intends to market its services to the general and business public. The Company will also develop an expansive internet presence by not only developing its own e-commerce platform where customers can place orders for t-shirts with their designs, but the T-Shirt Company will maintain online sales channels for distributing proprietary branded t-shirts. The Company may even use distribution channels like CafePress.com (one of the T-Shirt Company’s competitors) for sales of its proprietary t-shirts. As more and more people use the internet for their t-shirt purchasing needs, it is imperative that the business maintain online platforms that use state of the art technology for order placement, order fulfillment, and distribution. The Company will also maintain moderate print and flyer distribution marketing campaigns among local businesses that need t-shirts produced for resale or marketing purposes. T-Shirt Company may also work with local advertising agencies to produce promotional t-shirts on an outsourced basis.
In this section, describe the pricing of your services and products. You should provide as much information as possible about your pricing as possible in this section. However, if you have hundreds of items, condense your product list categorically. This section of the business plan should not span more than 1 page.
6.0 Organizational Plan and Personnel Summary
6.1 Corporate Organization
6.2 Organizational Budget
6.3 Management Biographies
In this section of the business plan, you should write a two to four paragraph biography
about your work experience, your education, and your skill set. For each owner or
key employee, you should provide a brief biography in this section.
7.0 Financial Plan
7.1 Underlying Assumptions
• T-Shirt Company will have an annual revenue growth rate of 10% per year.
• The Owner will acquire $100,000 of debt funds to develop the business.
• The loan will have a 10 year term with a 9% interest rate.
7.2 Sensitivity Analysis
In the event of an economic downturn, the business may have a decline in its revenues. T-shirts and related apparel are non-essential items, and in times of economic recession, the Company may experience issues with top line income. However, the high margins generated by the business will ensure that the Company can remain profitable and cash flow positive in any economic climate.
7.3 Source of Funds
7.4 General Assumptions
7.5 Profit and Loss Statements
7.6 Cash Flow Analysis
7.7 Balance Sheet
7.8 General Assumptions
7.9 Business Ratios
Expanded Profit and Loss Statements
Expanded Cash Flow Analysis