So you want to break out of the day to day grind and start a business of your own. Congratulations! You are taking the first step towards a better life. It’s important to maintain financial stability as we all know, but those that can do so while doing something they love are particularly fortunate and that is a fortune that doesn’t just come on a whim but is reached through perseverance and choice. Knowing what you want is the first choice that leads to bigger and better things.

Many different options for opening a small business exist, and all of them have their pros and cons. Of concern here is the opening of a small clothing store or boutique. There are several concerns that must be addressed by someone wanting to open any kind of boutique, and a clothing store must face these same concerns and then others that are specific to clothing lines and merchandise selection. The questions that a new clothing store owner must answer include the following:

What kind of clothing will I carry?

What sizes and colors do I need to address?

Where will I purchase my merchandise from?

How will I display my merchandise?

How can I build my customer base and return business?

What kind of clothing will I carry?

Once you know that you want to open a clothing store you will need to define what type of clothing you want to carry and what audience you are wanting to appeal to. The requirements for a shop catering to the exercise clothing needs of women from the ages of 20 to 40 are going to be very different from the needs of a outdoor apparel shop for men interesting in hunting and backpacking. In order to best meet the needs of your specific audience you will need to do some research for what clothing items appeals to those needs. We’ll take the example of exercise clothing for women. The following clothing pieces, at minimum, would need to be included in the business plan:

Sports bras

Sports shirts

Tank tops

Sports shorts

Sports pants

Athletic shoes

Headbands and wristbands

What sizes and colors do I need to address?

Having narrowed down the type of clothing you need you will then want to consider what kinds of styles, fabrics and colors that you wish to carry. Write all of these down in your business plan. At first you will want to keep this scope narrow as your finances will not be able to cover every color and style that is possible. Your lines will be able to expand as your shop grows in size and revenue. Most shops that do well can expect approximately a 15% increase per year for at least the first five years and that will open up many possibilities for expansion as you go. When making purchases many manufacturers will push for you to purchase at least four pieces per size and per color. Four pieces is fairly reasonable as long as you keep the number of colors and sizes in check. If you are pressured to purchase six do not do so as it will be far more merchandise than you can turn over swiftly.

As far as sizes are concerned most sizing for tops runs in Petite to Extra Large, and pants from size 0-14. If you need to acquire sizes that are outside of these typical ranges you will have to meet with manufacturers that specialize in over or undersized clothing. You should plan to bring in several sizes per cut or style of clothing.

Where will I purchase my merchandise from?

Before you begin purchasing merchandise you will want to acquire your small business license and wholesale license. These licenses will open the door to merchandisers that otherwise you would not be able to make purchases from. It is vital that your own purchasing be at the lowest rates possible so that the merchandise in your clothing store can be kept at a reasonable price for your customers. Too much mark up in order to make up for high purchasing prices will keep clothing from selling and be detrimental to your business.

Much of your purchasing can be done from local sources if such exist. You will need to do some research of what exits in your area in order to know what your resources are. Get on the local manufacturer’s mailing lists so you can know about new lines when they come out and be involved in sales and discounts.

At least quarterly you will want to make large shopping trips where you will purchase most of your inventory for a three month period. These trips will likely require going out of your home area and attending a show or a market in a major city. Such shows run at various times of the year and in a few places, such as Los Angeles, there are markets that are open for purchasing year round. Remember to budget the cost for getting to one of these events in your financial plan, and make the most of your trip. Take time to look at everything you can and to compare and contrast merchandise and pricing. Many sales representatives will try to get you to place orders on the spot. Stand firm and be the one driving the deals. Manufacturers want your business, but you decide what will be purchased and when you will purchase it.

How can I build my customer base and return business?

Building a customer base is one of the hardest thing that any clothing store or boutique faces, especially in the early days of the business. Be confident that you will succeed and make sure that you, and your employees, are friendly and knowledgeable. This will help to make your customers feel confident in their purchasing experience and in your store. When you first open throw a grand opening party and advertise with a small space in local papers and fliers. Have those that attend write their name and contact information on slips of paper for a raffle and use these to create a mailing list. Keep the mailing list active and invite any new customer to sign up with you. Those that have such lists find that about 20% of their mailing list generates nearly 80% of their business, impressive numbers and a good impetus to grow that list as much as possible. Most importantly remember that word of mouth is your strongest advertising. For every customer that has a good experience two or three more will be directed to your shop. On the other hand each customer that has a bad experience will drive away just as much business. The power to bring people in and to help your business expand is in your hands.

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Garment racks are a fixture in retail stores worldwide. But not all retailers realize the close relationship between their garment rack layout and the personality and feel of the store. Everything each customer sees and experiences within the store contributes to the overall impression she will carry with her, and will certainly influence her likelihood of returning. So the positioning of garment racks and your ability to use them effectively are very important in successful store management.

The usage and layout of garment racks within your store speaks volumes to your customers and contributes to their overall experience as a shopper. That being the case, retailers need to put more thought into how clothing is displayed and what the collective projected personality of the store is as a result.

Store owners should consider mixing a variety of racks into their store design, but cautions against having too much variation in materials or appearance. In other words, a square rack used for displaying shirts could work fine near a circular necktie rack. However, they should carry the same appearance as far as color and materials are concerned.

It is also important to think about your clothing racks beyond aesthetics. Consider the space you have to work with, and mix and match racks that will allow you to do the most good within that space.

Here are a few tips to bear in mind when thinking about your garment rack needs:

Reinforce your Brand: If you own a western wear store, don’t use a rack that looks like it came directly out of an upscale Manhattan boutique. If you own a store that caters to teenagers, don’t use a traditional garment rack that belongs in their mothers’ department store. Build to your audience and reinforce your brand.

Mind your Space: It is always a difficult line to walk between the space you have available and the products you’d like to carry in your store. Carefully selecting your garment racks for the layout of your store, may free up some room you didn’t even know you had available.

Stay Consistent: Wherever possible, try to consistently use garment racks that look similar to one another with regards to material, colors and finishes. Consistency makes for seamless flow from rack to rack throughout the store.

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A boutique is a small retail shop that generally offers specialized products and services. The most common boutiques sell crafts, gifts, accessories and apparel. Boutiques have always been popular for the variety that they bring to a mall or shopping center and that popularity has increased as the number of small business owners has likewise increased. Customers come to boutiques in search of unique merchandise at reasonable prices with a quality service experience.

In order to open a boutique a potential owner must start with a desire to work in the retail industry and enjoy interacting with the public. Most boutique owners are those that choose to break away from the day-to-day grind of working for someone else and take the plunge into small business ownership. These owners are looking for flexibility in their schedules and to have control over their lives as well as financial stability. Boutique ownership can be a major step on this path. Making the decision that you want to open your own boutique is the first step and one that should be applauded. You will want to start by putting a business plan and financial plan on paper before you physically lease a space or buy your inventory. This paper version will not only help you to focus your efforts, but as you look for financial assistance you will be asked for your business plan by just about everyone you deal with. Before anyone wants to put money into your efforts they want to see that you’ve thought about where you’re going and how you’re going to get there.

As you create your business plan you will need to consider such factors as:

What niche will my boutique fill? Where will I get my merchandise? What location is right for my boutique? How will I advertise my boutique?

Getting the answers to these questions will set you on the right path for the action that will help you get your boutique open and make it successful!

What niche will my boutique fill?

This question is perhaps the most important to answer as it is the basis for the rest of your work. A boutique that is just like every other boutique in the area will struggle to be successful. You must offer some angle of your boutique that is unique. This may be the type of merchandise you carry, or the age group you are appealing to, your pricing, or simply a customer experience that is so positive that it will bring customers, and, most importantly, their friends and family in for repeat business. In order to decide what you want to do you need to consider, first of all, what you like and second of all what is missing in your area. If you love Asian style nick nacks and accessories this may be where you’d like to focus your work. Take a good look around your local shopping centers and malls and see if there are other stores already offering these items. If there is not you easily have a niche to fill. If there are other such stores get to know them and see if there is a unique angle you can use in your approach to stay competitive and bring customers your way.

Once you have determined what your niche is get it down in your business plan, as well as what specific items you would like to sell. Using our Asian style accessories idea you might write down the following:

- Small bamboo plants - Tea sets - Oriental fans - Incense - Buddha statues

Once you have a good idea of what you are looking for you can move forward into figuring out where you will acquire your merchandise from and how much you will need in order to open your doors. You may not be able to carry everything that you’d like to at first, but remember that your boutique will grow by nearly 15% per year, provided things go well, and you will have opportunity to expand your lines as your finances allow.

Where will I get my merchandise?

Before you begin any shopping you will need to do some paperwork to acquire your wholesale license. This is critical as you will want the opportunity to purchase merchandise directly from the manufacturers, and most will require such a license before they will sell to you. If you buy your merchandise at the same price you sell it for you can’t make money. As well if you have to over price your merchandise in order to make up for purchasing at too high of a cost, your business will be short lived. You need to put yourself in the best position possible to buy at the lowest rate possible so even with your profit and expense mark up your prices are still in the range the customer is willing to pay.

Get familiar with your local marketplace and what wholesalers and manufacturers are close by. Many of these can be visited on a day-to-day basis and may carry many of the items that you want to sell. For your seasonal buying you may wish to look outside of your local area and towards one of the bigger population centers. Many of the larger cities in the United States, including: Las Vegas, Los Angeles, New York and Chicago, have large merchandising shows and markets where you can meet up with manufacturers and sales representatives to get higher quality and higher quantities for your boutique. You will want to shop for an approximately three-month supply for your inventory at this big shows. Take the time to meet people at these shows and get on mailing lists for the merchants that you most like. Do not be pressured to buy immediately, but take time through the show to compare and contrast merchants and get the merchandise that YOU want.

What location is right for my boutique?

Usually the biggest consideration in boutique location is whether you want to be located in a shopping center, a mall, or a single location. The last is the most expensive and often not a good choice for a starting boutique, though may become a possibility once you are better established. The pro of a mall location is that you are guaranteed a certain amount of random traffic simply because of the number of people that frequent a mall. The biggest drawback is that you must play by the rules of the mall, which may effect your hours of operation and your allowed décor. In a shopping center the Landlord may still have come control over these aspects, but such interference is much rarer provided you continue to pay your lease. No matter what you choose you should bargain for at least 30 days rent free as you will need this time to set up your shop before opening to the public.

How will I advertise my boutique?

Advertising is a multi billion dollar business in the retail industry. When you are first opening your boutique you will not have the money for a huge marketing budget. Don’t worry about this, but make efforts to use the budget you do have as wisely as possible. Hand out fliers, have a grand opening party and invite other shop owners, invite your local chamber of commerce to have a meeting in your shop, and most importantly talk about your shop to everyone you meet. Word of mouth is one of the most powerful tools you have, and if your shop provides a good customer experience you will see success in customers that will return time after time and, even better, bring others with them to your boutique.

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