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Artificial Flowers Import Business Plan

A complete business plan for Fantastic Florals

About this business plan

Fantastic Florals, Inc. is a start-up business that imports exclusively handmade flowers by artisans from Indonesia. Its products are unique and its target consumers are women with upper-middle to upper-end incomes. For the starting year 1995, the company plans to attrac t manufac turer reps and retailers to distribute the products by attending the Silk '94 trade show in Chicago, Illinois.

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Executive Summary

Fantastic Florals, Inc. (FFI) imports exclusively handmade flowers by artisans from Indonesia. The firm's main office is in Anytown, Oregon, and has a customs house broker in Seattle, Washington to deal with related matters.

FFI quality products are unique and exclusive, and its target consumers are women with upper-middle to upper-end incomes. FFI's competitive edge is that the products are 100% handmade, unlike competitor's products. By this fact, the firm hopes to attract people that value the artistry of producing silk flowers. Since FFI products are mostly silk flowers and silk hair accessories, it considers itself to be in the retail gift market, although some consumers purchase the product for themselves.

For the starting year 1995, the company plans to attract manufacturer reps and retailers to distribute the products by attending the Silk '94 trade show in Chicago, Illinois. This trade show is where suppliers of silk flowers and other silk products and buyers meet and arrange deals to sell the product. FFI projected sales are approximately $1.1 million by the end of the first year of operation. Also during this year, FFI plans to open an exclusive gift shop for our product in Anytown at the Third Street Public Market, leasing for five years.

For the following year, the company plans to expand to direct mail catalog sales by being in an established catalog, with a similar target market. FFI projects sales of $1.5 million in 1996. During the third year, FFI plans to do both selling through suppliers, catalogs, and the exclusive gift store in Anytown, projecting sales to be nearly $2 million.

The FFI family will expand in 1997 by adding 10 different kinds of flowers and flower arrangements. Maintaining an average gross margin of 25 to 30 percent is very realistic. The projected rate of annual growth in sales is 25 percent.

1.1 Objectives

Achieve 1995 sales of $1.1 million.
Open gift shop in Anytown at Third Street Public Market with five-year lease.
For 1996, expand into direct mail catalogs.
Maintain gross margin of 25 percent.
Establish annual growth rate of 25 percent.
Expand product family by adding 10 different kinds of flowers and flower arrangements in 1997.

1.2 Mission

FFI's mission is to become a recognized importer of artisan quality silk gift items in the United States. The company guarantees 100 percent customer satisfaction and values friendly service.

FFI's purpose is to increase customer appreciation of handmade silk flowers and other silk products and to provide customers with beautiful unique artistic decorations.

1.3 Keys to Success

Keys to success for Fantastic Florals Inc. are:

Product quality.
Customer service.
Access to manufacturers and distribution channels.
Controlling fixed and variable costs during first two years.

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