Art Supply Store and Gallery Business Plan


Art Supply Store and Gallery Business Plan


The NALB Creative Centre (NCC), is where artists come together. NALB stands as an acronym for “No artist left behind”, with our company’s by-line being: “Live Your Arts.” NCC is specialty retail store offering a wide array of materials and supplies to artists, crafters, and educators. NCC will be a welcoming facility that will support crafters, professionals, and amateurs in the Big Island’s art community. NALB will sponsor art shows and competitions, art and craft fairs, scholarships for artists to continue their formal education, and other community events. NALB will offer creative classes and workshops in many media and techniques.

The Market

NALB is leading in an exciting, growing market. Only two stores currently exist on Hawaii offering only art and craft supplies. None of these stores can offer education or hands-on experiences. They do not support the artists in any active way. They are also not able to give the high level of customer support that NALB can. NALB is unique in that it is run by artists and is the only art supply shop on the island. NALB Creative Center will tap into the growing number of professional artists in West Hawaii. We will also cater to the growing needs of retirees (100% increase in the past three years), many of which have settled in Kona thanks to the vibrant arts community. NALB will market actively for teachers and students in the rapidly growing private and public education systems.

The Organization

NALB is operated and owned by practicing artists. The company was founded on the belief that satisfied customers are essential to its success. With this in mind, NALB Creative Center will be working hard to ensure that all of their customers’ expectations are exceeded in all transactions. NCC will continue to be active in the local art scene by participating and educating. NALB staff will get training in the most recent trends and products. NALB’8217;s owners can anticipate consumer trends and make them happen in their creative work.

Products, Services and Delivery

NALB will locate in the commercial business district between Costco and Home Depot in a store of 3,000 square feet. Many of the original tenants were cabinetmakers. NALB has the space and ability to offer many types of art and craft materials. Our size will enable us to buy directly from the manufacturer, which will reduce middle man markups. Regular customers will get discounts. For orders over $300, we will offer free delivery in North Kona. NALB will provide Artist’s Oasis holidays for travelers through the arrangement of local accommodations, renting equipment and selling supplies. We also offer maps and guides.

Financials

NCC will make modest profits in the first month. The ability to buy wholesale will result in a 50% increase in margins. Sales in the first full year will be slightly over $300,000. Although existing art supply shops are reporting growth of over 30%, we are conservatively projecting a growth rate in the first year of sales of slightly more than $300,000. We budget prudently but have great vision.

1.1 Objectives

  1. Customer Satisfaction – To create an environment where art and crafts enthusiasts can shop by providing knowledgeable and professional support. Customer satisfaction is measured by repeat business (our goal to have 50% of our customers returning within six months to purchase additional products) and multiple sales. Our goal is for 30% of sales to be accompanied by additional purchases.
  2. To gain 80% market share to become the most important art and craft supplier on the Island.
  3. To reach a 50% profit margin in the first year.
  4. To be a vocal and active member of the community. To provide ongoing reinvestment through sponsorship of community festivities and activities.
  5. To develop, in year two and three, Artist’s Oasis of Hawaii. We would rent materials and accommodation locally for visiting artists.

1.2 Keys to Success

In order for NALB Creative Center to succeed we must:

  • Provide 100% satisfaction for all our customers.
  • Places where the target customer base is likely to learn about your store are ideal places to advertise and promote it.
  • Continuously evaluate sales and inventory levels, and adjust them accordingly.
  • Provide products that have the highest quality, reliability and quality. Our competitors must offer more premium products than we do. Offering loss leaders and other promotions that encourage customers to visit the store to make purchases, view our service line, and sign up in future events are all good ideas.
  • Be active member of the community.
  • Provide in-store classes, demonstrations, and events.

    • 1.3 Mission

    NALB Creative Center is a non-profit organization that supports and promotes the island as an artist’s destination and oasis.

    We will strive, constantly, to supply what the consumer is asking for; we will continually review what is available in the marketplace. We will provide new products and services to the areas of need. NALB will be maintained as an area for artists to gather.

    Our customers will define success as their trust in us and their ability to deliver on their price, service, or selection expectations.

    Feed and Farm Supply Business Plan


    Feed and Farm Supply Business Plan


    This plan, which is based upon 16 years of experience and is very focused, promises to lead to prosperity for both its owners and employees. The projections are based on conservative sales figures. Actual sales may be higher. These projections are accurate and will serve as the budget for your business. Latheethen Feeds, Inc. is expected to make a profit immediately and increase its sales each year.

    Latheethen Feeds, Inc., is a well-established custom food store. The company manufactures custom livestock feeds and bird feed, as well other animal products. Latheethen Feeds, Inc. just expanded its production facility (custom-mill) and is now well-positioned in order to market its workroom product beyond its current client base. The company strives to provide the best customer service and meet the agreed delivery dates. It also keeps the prices in line with current market trends. This business plan focuses on identifying future clients, explaining our marketing strategy, improving internal procedures, and obtaining the financing required to expand.

    Latheethen Feeds, Inc. is located in Pleasantville, Michigan. The company is a privately owned corporation and has been operating for nearly 16 years. The former owners, who live right next to the store, plan to move to Northern Michigan when this transaction is complete. However, since the current owners and new owners are in fact family, the current owners will be around if needed and to visit on a bi-weekly basis.

    The six counties surrounding Latheethen Feeds contain an estimated 14,695 livestock farms, and 20,434 hunters. However, the entire state is an open market once delivery to customers is an option. Latheethen&#8217’s would then have the opportunity to compete with 53,315 farmers for this business. USDA records indicate that the same farms spend nearly a quarter of an billion dollars each year on Michigan’s feed. The company has a less than 1% share in the nearby market. On an annual basis, the company has established $140,000 of the state total. They achieved this without the need for advertising and outside sales. The new owners are focused on growing the business to gain a greater share, $260,000 annually, of the state total.

    The marketing research and tailored marketing strategy described in this business plan will result in after-tax profits of $22,806 in Year 1 and increasing to nearly $30,000 in after-tax profits within three years, despite significant new advertising and renovation expenses.

    Latheethen needs funding to fund two phases of expansion in order to achieve its goals. A $15,000 short-term loan is needed, which must be repaid in two years. This loan will enable us to purchase a delivery truck, a key element of our new sales and marketing strategy. To build the best equine board stable in the region, we will require a $135,000 long-term loan. This loan is due to us in the first year of Year 2. The addition of “Mid-Town Meadows” will not only be another source of revenue, but also another source of feed sales. Mid-Town Meadows is a luxurious, comfortable equine resort that will make our customers feel like they are in their own private world. The theme and decor will have log exterior walls and a formal private clubhouse that overlooks the enclosed arena. You will find the feed store at the main entrance. It is next to a waterfall and company signs.

    1.1 Objectives

    The success of Latheethen Feeds is measured by five main objectives:

    1. With consistent customer service, maintain 100% of your customer base.
    2. Our customer base will be expanded through referrals and aggressive direct sales.
    3. Our product line will be expanded gradually, according to customer requests.
    4. To meet the increasing demand for our custom feed mill, we have expanded.
    5. Expand the types of services offered to our customers, as their desires are identified.

    1.2 Mission

    Latheethen Feeds was established in 1998 by a family.

    We offer the finest premium products and service on the market to our customers. Latheethen’s provides all our customers with the personalized attention they deserve. Our committment to customer service and satisfaction assures us that our customers are 100% satisfied with our products and services.

    1.3 Keys to Success

    The primary keys to the success of Latheethen Feeds are as follows:

    1. Product freshness and quality.
    2. You can choose from many prices.
    3. Constant research of industry to keep knowledgeable of market needs.
    4. Management: products delivered on-time, professional customer service, and managing budgets.
    5. Continuous evaluation of strengths & weaknesses, with adjustments where necessary.