If you are thinking of starting a new business, then opening a clothing business in India will be very beneficial.
Here are the steps to start your own clothing business in India:
1) Gather your Capital
Starting a clothing shop can be expensive. To earn money in terms of fashion, you also have to spend money. You may have to take a loan from a bank to start your textile shop.
- Some people get their capital from their homes. Some people also take loans from their friends and relatives. You can decide on it according to you.
- It would not be right to estimate the capital used to start your shop.
- You have to buy clothes for the shop. Rent of your shop, promotional equipment, proper lighting and electricity management in the shop, and many other expenses
2) Get your Registration
Before starting business operations there are some mandatory registrations to for your clothing business in India.
For example,
GST registration
Permits and licenses
Trade License
NOC
- If your annual turnover is more than Rs. 20 lakhs, get GST registration of your shop.
- Many traders neglect to work with companies that are not GST registered. As all the transactions are recorded, this leads to tax violations. To avoid any trouble, one should always follow the tax rules made by the government.
- You can do your GST registration online along with company registration.
3) Choose the location of the clothing store wisely
Go where people live.
- Choose the place where there are more chances of making profits.
- The more customers the better for you.
- If you can’t find a location, go to a place where people come every day and where your rivals work.
- Try to do your best and choose a place where your rivals are less.
4) Start your small clothing business in India
All big businesses start with small businesses. Have a good plan before you start. Understand the reality of your economy very well.
Make an accurate estimate of how much it will cost you to open your clothing shop.
- Take a loan from the bank when needed.
- Try to find a private investor for your shop.
- Check where you want to invest the money.
5) Learn from your competitors
- Visit a good clothing store near you and see how they put it together.
- Consider their working hours, service, stock, etc.
6) Be creative but maintain your reputation
- Choose a catchy name for your clothing business in India.
- Make your shop attractive. Spend money on decorating your shop both outside and inside. Put up beautiful-looking shelves. Use your shop space beautifully. It makes customers very happy. All displays in your shop should be visible to customers.
- Make sure that the clothes you put on display can focus the attention of the customers.
7) Bringing stock to your store and finding a supplier
- Your store should have enough stock to meet the needs of all types of customers. Keep enough stock so that both the shelves and the display of your shop are not empty.
- Order your stock from different places.
- Visit local artisans, go to trade fairs, and check them out on Etsy (or a similar website).
- You have to meet vendors from whom you can take clothes and sell them in the shop. The best option for you is to bring goods from trade shows wholesale to your shop. At the trade show, you’ll be able to meet a variety of suppliers, connect with them, and see all the clothing they have.
Before ordering, keep in mind how much money you will need while opening a clothing business in India and how much stock you will have to keep in your shop. Keep clothes according to the season and according to the popular style and brand.
Keep different types of clothes so that most of the customers get clothes from you., but some people do not keep such clothes in your stock which are sold.
You don’t have to satisfy all customers.
You have to properly evaluate your clothes. By doing an evaluation, you can determine your profit, find out the prevailing price in the market, and understand the methods of giving discounts.
8 ) What to sell?
- For 1st-time stock, you will get five lakhs to ten lakhs. But it ultimately depends on how big your clothing business is in India.
- Keep in mind that all your items should be customers’ favorites. For example, sarees, churidars, blouses, lehengas, shirts, party wear, etc are in high demand.
9) Hire Help
- When you start a new work, your budget is already set, due to which you do not spend much, but when your business becomes permanent, you start earning a good income, then you have to handle the business well.
- You should hire workers because with time your business will grow and you will definitely need help to run it.
- Think about the shops you used to go to buy clothes. Where were all the shops run by the owners or were there, workers and, if there were how many?
10) TIME Management
- Choose the right time of day to work.
- Keep in mind that most of the clothing store’s work is done during the holidays.
- Clothing shop owners get a lot of work holidays because their sales are high during this time.
- Be prepared to work in such times.
11) Marketing (Sales & Discounts)
Tell as many people as possible the news of the opening of your clothing business in India. Message your relatives, friends, and everyone you are connected with on social media about your new shop and tells them why they should visit your shop. In the beginning, you may have to pay a little more discount.
- With the sales, you can collect a lot of customers.
- You can sell clothes that do not sell quickly.
- Give new offers to customers during holidays and festivals so that they are eager to visit your shop.
12) Learn Book-keeping
- For all your expenses, profit, loss, income in the clothing business in India, you have to keep a book.
- You can keep an account of your purchases, sales and this will also help you in paying taxes and filing GST. For this, you can use any Inventory Management Application.
- With the help of business accounting software like Vyapar, you will be able to keep track of everything like your shop’s economy, loans, expenses, rent, income, sales, etc.
Author Name
Divyashree Panwar
