LIP GLOSS LINE BUSINESS PLAN SAMPLE
A lot of startups have crumbled due to the absence of a plan.
However, this doesn’t have to be your reality. In other words, we can help you avoid this through the use of our lip gloss line business plan sample.
Do you want to start a lip gloss business? If your answer is yes, this will be of help to you.
Executive Summary
Beauty Shimmer Inc is a lip gloss line that manufactures a wide range of quality lip makeup products. We are located in the bustling fashion capital of the United States; New York City. Being a client-focused and result-driven company we are committed to churning out only the best products.
Our products consist of five major finishes. These are mainly focused on existing demands. They include pigmented lip gloss, sheer lip gloss, matte lip gloss, glitter lip gloss, and shimmer lip gloss finishes.
As a highly competitive industry, cosmetic production relies heavily on innovation.
To keep up and stay ahead of the competition, we’ve carefully selected a team of experts. These range from branding professionals, product formulators, a world-class quality control department, and distributors among others.
All of these professionals are adequately motivated to give in their best in promoting the Beauty Shimmer Inc. brand.
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Our Vision Statement
At Beauty Shimmer Inc., we are determined to leave a lasting footprint in the fashion industry through the development of quality products. The aim is to help promote our brand to enviable heights.
We hope that our products will become a reference point for quality and class among our high net-worth clientele.
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Our Mission Statement
Although we are a fairly new lip gloss production line, our ambitious growth plans will be rigorously pursued to become a major player in the cosmetic industry. We have set a timeline within which to reach our targets.
We hope that in less than a decade (7 to 8 years), we should be among the top 5 lip gloss production lines within New York and Beyond.
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Capital Requirement
Crucial to our success as a cosmetic manufacturing company is adequate financing. Although we’ve been in the business for 3 years, there’s a pressing need to grow our business further.
While we’ve witnessed significant progress, we need to source additional funding for the sole purpose of expansion.
The capital requirement for this expansion plan stands at $4,000,000.00. We are seeking interested investors in addition to accessing loans from financial institutions. The latter options are most preferred due to the low interest rates which encourage lending.
A large chunk of this sum will be channeled into the purchase of additional and more advanced production lines.
While expanding our lip gloss production capacity, we will also be embarking on a branding drive. This will seek to promote our image as well as help attract target clients.
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SWOT Analysis
To attain our goals as a business, stocktaking was essential to enable us to identify areas we’ve performed creditably well in as well as identifying those we’re lagging in. A professional and reputable business consulting firm was hired to help out with this task.
The findings made have been an eye-opener and will help us structure our operations to allow for greater impact.
The following are findings made on the key areas of strength, weakness, opportunities, and threats;
i. Strength
Our strength as a lip gloss production company lies in the caliber of personnel within our workforce. Putting together this team of professionals involved a painstaking process that was worth the effort.
Each of these professionals has garnered a significant number of years working within the cosmetic industry.
Hence, it was only a matter of time before they brought their expertise to bear on the company. Also, the ability to leverage prior contacts within the industry has helped in no small measure to create a healthy dose of respect for our products among industry players.
What more? Our products go through the most stringent quality control tests before they are shipped to end-users.
We have been able to create a greater degree of trust among clients which has placed us in favorable standing. This brand promotion strategy is what we intend to improve upon.
ii. Weakness
Although only a handful of cosmetics businesses such as ours want to know areas they don’t do so well in, we consider that a major growth precursor. Our weakness has been identified to be our inability to reach our target audience or market.
We’ve not only identified the problem but also found solutions we’d be applying.
Such solutions include the rejuvenation of our marketing campaign to address the needs of such high net-worth individuals. These consist of celebrities within the fashion, film, and music industries.
We are working together with a reputable marketing firm to address this weakness.
iii. Opportunities
An industry such as ours thrives on innovation. That is something we are never short of.
We have an exceptional team of professionals who have been successful within their areas of specialization. Especially as regards the concept phase, production formulation, production and marketing just to name a few.
We are leveraging these areas of expertise to stand out from our competition. This edge when properly harnessed will enable us to gain a significant market share.
iv. Threats
As a lip gloss line business, we are faced with threats in the form of unhealthy marketing practices from much bigger competitors. Such may include de-marketing our products in a bid to promote theirs.
Also, an economic recession will likely hit our business hard.
Thankfully, that isn’t an everyday occurrence. Nonetheless, we are planning on putting countermeasures in place to limit the fallout from a recession should it happen.
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Sales Projection
Sales are a key aspect of our growth.
To expand as a cosmetic business, a significant sales volume will need to be realized.
Based on our current sales volume coupled with plans to boost our marketing campaign, we’ve been able to make a realistic sales projection that shows a great deal of promise.
This three-year sales projection will be achievable after increasing our capacity as a business. The chart below summarizes our projections as follows;
- First Financial Year $900,000.00
- Second Financial Year $1,950,000.00
- Third Financial Year $10,000,000.00
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Sales And Marketing Strategies
Sales are very crucial to our existence as a business.
Thus, we’ll be embarking on a variety of marketing campaigns that will be coordinated by our marketing department.
These will include billboards, TV and radio ads in addition to leveraging on star power (celebrities will be used for product promotion).
GUIDE: Planning for a Lipstick Business
The reach of the internet and social media platforms will also be harnessed in promoting our lip gloss products. This is in addition to having an attractive, easy to navigate, and content-laden website for easy reach.