Initial investment: RUB
3,250,000 ♦ Florist payback period: 48 months
♦ Profit rate according to the business plan: 45.3%
Creating a business in a flower shop attracts many with its aesthetics. In addition, the business also has a high level of profitability and can generate high income for the owner.
However, along with the positive aspects, it has a number of disadvantages.
To protect yourself from risk and succeed, you must develop and adhere to a development plan containing a business plan for a flower shop.
Flower Shop Business Plan: Planning
“Your future is created by what you do today, not by what you will do tomorrow.”
Robert Kiyosaki
Project Summary
This business plan describes the implementation of a flower shop project in Moscow.
For the needs of the company, premises will be purchased on the first floor of the shopping center near the exit.
The shopping center is very close to the N metro station.
The proximity to an unusual gift shop provides an additional flow of customers.
The goals of opening the store are pursued:
- profit from the sale of products;
- future expansion to a chain of stores;
- ensuring the needs of the population in the purchase of flowers;
- creation of additional jobs.
Marketing plan
The dynamics of the flower market in Russia shows positive trends.
At the moment, it has reached the pre-crisis level and is growing at an average of 4.5-5% per year. New outlets open regularly.
However, most stop working after six months or a year. Therefore, the service market is ready for the opening of new stores. Its further development depends entirely on the literacy of the project initiator’s approach to doing business.
Take Note: Detailed Online Store Business Plan
The target audience
The target audience of the florist according to the current business plan is people who need to purchase bouquets and flower arrangements, as well as potted indoor plants.
Thus, the main demand is created by:
- men buy women flowers as a sign of attention;
- people who buy bouquets and arrangements as holiday gifts for relatives, friends and colleagues;
- women who buy houseplants;
- private organizations to present at celebrations and send to clients or colleagues by courier;
- private organizations for interior design of offices, shops, halls.
Advertising campaign
To attract customers, the advertising methods described in the flower shop business plan will be used:
- a visible sign above the entrance and additional signs of points of active movement of people (exit from the metro, entrance to the shopping center, intersections);
- attractive decoration of the facade with flowers and auxiliary details, change of design to the theme during the holidays;
- distribution of brochures describing current promotions.
Shop space
The chosen location of the flower shop meets two main criteria: it is close to the city center and the metro station. This ensures maximum performance. After all, most buyers do not go to the store on purpose, but go to the one that is on the way.
A number of other requirements for registration and repair are presented, which is reflected in the business plan:
- In order for the flow of people who are about to pass through to pay attention to you and come in, install a large glass showcase in the store.
Through it, a potential buyer will be able to evaluate the range without even entering.
In addition, you will save on advertising. Beautiful design and bright colors will do their job for free. - Poor lighting can negate this effect.
Even the most beautiful bouquet in low light will lose its charm, and visitors will not see all the details of the composition. This cannot be allowed.
The light should brightly illuminate the entire assortment, while allowing the florist to examine each individual composition. - When choosing the area of \u200b\u200bthe room, proceed from the actual volumes of the assortment.
In a large room, an insufficiently large stock can look poor.
The disadvantages include the high cost of rent and more waste (goods that have become unusable). But at the same time, in a small room it will be too crowded and uncomfortable.
Look for the sweet spot, usually 12 to 15 square meters.
In the future, if you want to expand, you can always move to a larger premises.
But before that, try using additional surfaces – walls, and for the most original – the ceiling. - The flower shop must have access to water communications, because this resource will be needed in this work.
Barrels can be used for storage. However, it will not look very nice and just uncomfortable. Besides, where would the vendors wash the vases and pots then? - Another system you should check is the electrical wiring.
The landlord is obliged, upon request, to provide you with his scheme, all permits from various authorities. - The main equipment you will need in a flower shop is a flower refrigerator.
Before installing it, it is necessary to analyze the room for a suitable exit, free space and the possibility of organizing a passage into it.
On the subject: How to open a flower shop – step by step
flower shop staff
To work as a florist, it is enough to have three florists on staff.
With round-the-clock daily work, the schedule of field shifts, fixed in the business plan, is approved: one day after three.
A contract service will be involved to perform the functions of a courier.
Searching for highly qualified specialists in the flower industry is not an easy job. Therefore, it will be used to attract workers from other organizations by offering higher wages and comfortable working conditions.
Refresher courses will also be held.
The initiator of a business project acts as a manager.
| Quantity | Salary (rub.) | |
|---|---|---|
| Total: | 120 00 rub. | |
| Seller-florist | 3 | 40 000 |
The responsibilities of a florist include:
- customer service (consultations, arrangement of bouquets, sale of related products);
- monitoring the state of stocks of raw materials, cleanliness of premises and serviceability of equipment;
- receive and control the goods;
- window dressing;
- reports and financial control.
As your business expands, you may need the help of a contract florist manager.
The average salary is about 40,000-50,000 rubles.
Additional expenses from your salary will be compensated if the employee performs his duties professionally and efficiently. His list includes:
- organization of the workflow in the store;
- solve emerging problems;
- training of employees and control of their work;
- replenishment of the assortment: orders, calculation, attention to the terms of delivery of goods;
- creating reports in the 1C program.
Flower shop business plan: project implementation
A mandatory element of the business plan is to indicate the implementation of the flower shop project in stages with a cost calculation.
Calendar plan
| Event | 1 month | 2 months | 3 months |
|---|---|---|---|
| Get a business loan from a bank |   | ||
| Preparation of necessary documents, registration |   | ||
| Conclusion of a contract for the purchase of premises |   | ||
| Purchase and installation of equipment |   | ||
| Recruitment |   | ||
| Development staff |   | ||
| Advertising campaign |   |   |   |
| Flower shop opening |   |
In addition to the “schedule” of the stages, it is necessary to draw up a table in the business plan indicating who will lead and control each of them.
Most of the tasks of a flower shop fall on the initiator of a business project.
However, the hiring of workers can be entrusted to a personnel officer under a contract. And entrust the organization and conduct of an advertising campaign to a marketing specialist or even an independent agency.
Calculation of opening costs
| Item of expenses | Cost, rub.) |
|---|---|
| Total: | RUB 3,250,000 |
| Purchase of premises | 1,400,000 |
| Purchase of the necessary equipment | 150 000 |
| Fund the project to break even | 1,640,000 |
| Registration and permissions | 20 000 |
| Unexpected expenses | 40 000 |
To implement the current business plan for a flower shop, a budget of 3,250,000 rubles is needed.
Expenses include the amount needed not only to start the business, but also to support the growth of the business to break even.
The required capital will be received in full from a loan from Bank X with an annual interest rate of 17.5.
Interest will be paid monthly from the moment the project is launched.
Full repayment of the loan is expected in 24 months.
The distribution of costs for a flower shop is as follows:
Flower shop business plan: financial section
Current monthly expenses
| Product cost | Cost, rub.) |
|---|---|
| Total: | 410 000 rub |
| Payment of wages to employees | 120 000 |
| tax deductions | 50,000 |
| Advertising campaign costs | 20 000 |
| Payment of interest on a loan to start a business | 50,000 |
| Buying Consumables | 10,000 |
| Payment for services under the contract | 50,000 |
| Unexpected expenses | 10,000 |
According to the flower shop business plan, a monthly investment of 410,000 rubles is required.
Analysis of revenue and payback period of the project
The following data is used to analyze the potential income of a flower shop:
- information on the average sales volume in similar companies;
- the average cost of goods that are in the greatest demand.
Average cost of the best selling items
| Name | Price, rub.) |
|---|---|
| 1. Flowers for bouquets: | |
Bamboo  | 224 |
Gladiolus  | 180 |
Lily longiflorum  | 150 |
White Rose  | 150 |
Rose Trix  | 280 |
Tulip  | 112 |
Chrysanthemum  | 280 |
| 2. Indoor plants: | |
Hibiscus (12cm)  | 230 |
Cactus mix (5-7 cm)  | 60 |
Monstrous  | 160 |
durable ficus  | 200 |
Chlorophyte  | 170 |
In addition to the main products, the store will also sell related products: soft toys, postcards, pots, soil and fertilizers.
An analysis of the business plan data indicates that the flower shop will break even after 4 months from the date of opening. The payback period of the project will be 48 months.
How to open a flower shop
Mistakes of flower shop owners and tips on how to avoid them
- The desire to decorate the store as beautifully and modern as possible leads to an absolutely opposite effect.
Free space is occupied by non-functional equipment and decorative elements.
To avoid this problem, arrange furniture arrangement in advance in the business plan. - You must contact the owners directly and not through managers.
Good established contact will play into your hands and prevent many small problems. - Aspiring entrepreneurs often try to save on florist staff.
Instead of professional florists with high requirements, merchants with extensive experience in underground passages are hired.
What are the business implications of this?
Bouquets such workers make, as a rule, incorrectly, not observing the rules of composition and proximity of flowers. Even if they skillfully sell the bouquet to a random buyer, they are unlikely to return a second time. Also, such employees are more likely to be convicted of fraud. - If you decide to hire a young employee and train him, then do not forget about such an important point as the ability to reanimate flowers. This will prevent most of the illiquid stock and therefore the loss of the store’s budget.
According to statistics, opening a flower shop involves a lot of risk, although this business is very profitable.
The choice of location and the proper use of a marketing strategy have the greatest influence on the success of a project.
Subject to all the conditions of the business plan and a careful approach to doing business, a start-up business will receive stable profits for many years.
