A business plan will give you a clear direction on the steps you intend to take in the running of your embroidery business and help you to stay on track so that your business can grow.
A key element to writing a great, actionable embroidery business plan is to take it piece by piece. You can begin by planning out your day to day actions. A great Simple Working Plan needs to be laid out at the end of every day. Set aside a few minutes to write down the things that need to be done the following day, prioritize them, and you are ready for the next day‚’s work.
When you are in the habit of planning the next day‚’s work, you can move on to planning your week. At the end of every week, set aside some time to lay out your next week‚’s work. This will help you to know if you have spots open for more embroidery work as it comes in.
As the planning progresses and you are able to schedule out a few weeks worth of work, you are then ready to really think about how to plan out your entire embroidery business.
An important part of any business plan is to include how you intend to check your progress along the way. Because there are so many different types of business plans, some you find may already include this, and some may not. In either circumstance, you will want to create for yourself a simple plan or roadmap to help you check your progress and make sure you are staying on track.
This simple embroidery business plan will require you to do some research on your embroidery competition, what is going on in your market and what you can do to stand out from the crowd.
You will also want to write down why you want this embroidery business and what goals you intend to reach as a result. These will be your markers and help you to create a plan that is real and one that you will actually use!
Now, if you are planning on seeking financial assistance, then you will need to progress to a formal business plan. This will take some more research so that you have the right facts and figures to present to the financial institution. Take your time and fill this in as you use your simple business plan.
It does not matter if you are using the
only or if you are writing a formal Embroidery business plan, it is important to remember that you will be making changes to your embroidery business plan and will adjust it as you go, just make sure that you are referring to your plan to help keep you on course and using it to help you make the right decisions.
The Embroidery Coach
Having enough cash to run your embroidery business at times can be a real challenge but this is an area that you must stay on top of at all times. It is so easy to run on a day to day basis and forget how important managing your cash flow is to the overall health of your business.
Number One Way To Manage Cash Flow
The number one way to manage your cash flow is to get at least 50% down for each sale and collect the remainder on delivery or pickup of the finished product. This is the way that all Retail and Small Business accounts should be handled. Make sure you are making a profit on each sale.
Keep An Eye On Automatic Withdrawals
Do you have automatic withdrawals from your bank account? Stay on top of these to make sure that they are accurate and up to date. If the date that they are being withdrawn is causing you issues, ask your supplier to change the date to one that will better work for you. I found some programs on my statement that are no longer useful for me but the money was still coming out every month. If this is happening to you, cancel those programs. This one action alone resulted in $119.00 more per month in my bank account.
Keep Track Of Your Payments
Keep track of when your payments are due. If they are due in 30 days, and you do not have an early payment discount, pay them on the last day that they are due. This will keep you current wit your supplier and yet you can hold onto your cash as long as possible. Make sure that you pay them within the period that they are due to avoid having to borrow from your credit line or payment any interest on that payable.
Offer Early Payment Discounts
If you have contract accounts, make sure that they are current with their payments. If you offer them a small early payments discount, many will take advantage of it and pay early.
Create A Cash Flow Budget
Create a Cash flow budget or Cash Flow Statement that you will use on a daily basis. When you write a business plan you are required to write a Cash Flow Statement and many times it just stays with the business plan and never looked at again. Bad mistake! This Cash Flow Statement should be used and checked at least once per month to see if you are staying on track. If not make some adjustments.
Keeping a close eye on your cash flow or cash outflow will help to give you the cash that you need when an emergency arises or you find a special sale that you can take advantage of. Managing your cash flow can keep you in business much longer than just having a profitable business. A profitable business can go out of business just because they do not have enough cash to run with on a monthly basis.
The Embroidery Coach
7 Key Elements To A Highly Profitable Home Based Embroidery Business
I am Joyce Jagger, The Embroidery Coach and I simplify the complex world of embroidery into easy to understand lessons for the new embroiderer. My passion is to show you how to start an embroidery business and help you get off to a fast start. I will help you, if you are an existing embroiderer, improve your skills so that you can provide higher quality embroidery and increase your profitability!
When beginning your embroidery business, it is important to start on the right foot. These 7 key elements will help you to properly plan your new business venture the right way, saving you time, frustration and costly mistakes.
It’’s important to create a simple working plan, road map or guide for you to follow. A business plan is supposed to provide you with a clear direction and act as a guide for you on how you intend to run your embroidery business and plan for future growth. With this plan, you will be able to stay on track by analyzing and measuring each step along the way to ensure that you are sticking to the plan you originally laid out.
You will need to create an off line and online marketing plan to cover all angles of your business. Marketing does not have to be scary, as it is a plan and method of helping you to stay in touch with customers and helping to create and attract new prospects. Marketing entails following channels that will help you to get your embroidery products in front of your target market (the right people, persuade them to purchase your product or service, and keep them coming back for more.
Many business people recommend that you survey other, similar embroidery businesses in order to create your own price list. This may actually kill your business. The most important thing to remember is that you are in business to make money, not just to survive. You will need to let go of any fear you have and charge what you think your product or service is worth to your customer by developing a total pricing structure that will cover every pricing scenario.
- Niche Marketing
The most common question regarding niche marketing is, What is a niche?‚ A niche is a small section of the market that you can specialize in. This section is one that others in your market have either overlooked or are not willing to service because of the special nature or size of that section. You can specialize in this particular embroidery section and brand yourself as the expert (that‚’s the marketing part!), ensuring that you always have an audience and low competition.
- Finding Good Employees
Before you begin actually looking for an employee, you will need to decide if your business is in the right place to actually pay a competitive wage and/or offer benefits to that employee. Once you have determined that, it‚’s a good idea to ask friends and family for recommendations first. If that does not yield any results, then check with your State Unemployment Service, but be sure to let them know exactly what kind of worker you are looking for.
You really need to make the commitment to investing in your education. Set aside time and funds so that you can attend seminars, embroidery trade shows, buy books and videos etc. Your business with flourish when you have the proper skills, so don’t cheat yourself of valuable information.
- Creating an Action Plan
I have a fill in the blanks Embroidery Business Plan Template for you inside of “How To Start An Embroidery Business” to download to get started. While you are working on the business plan, begin to market your product or service. Write down the steps you plan to take and break them up so that you do some each day. Then, stick to the plan! Taking action is the only way to get your business up and running.
I have created a program teaching you How to start your own Embroidery Business as well as how to plan out each area of your embroidery business. This is a course that will teach you how step by step how to write your own Embroidery Business Plan, plan out your entire promotional calendar for the year as well as your business. This is a course that every embroidery business owner should be required to take.
Evaluating my current business plan and creating a new plan is a task that I look forward to at the end of every year. This is the end of the year, 2018. It is hard to believe that another year has passed so quickly but here we are. At the end of every year, I like to take some time to reflect on what I have done within the past year and see what changes I need to make in my business plan to make some improvements for this new upcoming year.
Napoleon Hill says The majority of men meet with failure because (they don‚’t create) new plans to take the place of those that fail. I have found that to be very true. It is extremely important to evaluate what is working and what is not!
This has been a great year for me. I have accomplished a lot more than I had planned at the beginning of this year and it really is a wonderful feeling. I have also not been able to finish some of the projects that I had started, but I am continuing on with those projects into the New Year. They will be finished.
This is going to be another exciting year of growth for me and my business! I am really looking forward to all of the new opportunities that are still awaiting me!
Make sure that you take the time out to really reflect on what you have been able to accomplish this past year and update your business plan for the New Year. If you have not yet created a Business Plan, let me help you get that process started. I have created a Business Plan Template for you to help get you started. If you purchase my book, “7 Elements to a Highly Profitable Home-Based Embroidery Business,” this will help you even further to get this process started quickly!
If you have been in business and have already created a business plan, it is time to update that plan and create a plan to help you grow your embroidery business. I have a course called “Embroidery Business Growth Plan” where I teach you how to evaluate your last year for efficiently and create a new plan for this coming year, one that is going to help you grow your business the right way!
A well organized, profitable embroidery business is something that all embroidery business owners dream of! Have you ever thought about what it would be like to wake up in the morning and know exactly what you were going to be doing all day long? I mean just picture this, you hop out of bed, you quickly do your household chores and then you start on your business, or you get ready to go to your shop to start your work for the day. You go to your desk, pick up your list and you get right to it.
Your day is totally planned out, your office is in great shape, your workroom is totally organized and you feel so good because you can get started with your day knowing that you really do have it all together! Does that sound like your typical morning or do you start off with a feeling of overwhelm right at the beginning of the day?
Perhaps you start out your day wondering how you are possibly going to get through the whole pile of work by the end of the day; you can‚’t find where you put the information that you need for your order and then all of a sudden you just remembered, you forgot to order the supplies that you needed to get that rush job done. If this sounds a little bit familiar, I know exactly how you feel. Before I really learned the secret of how to plan out my business and each day I would have many days where I felt like I just wanted to quit! That is a horrible feeling and one that you really can get behind you!
Have You Ever Felt Like You Are Totally Disorganized, But You Are At A Loss As To How To Get Organized?
I have found that so many embroiderers do not know how to plan out their embroidery business and are very disorganized in their shop and workroom and do not know where to begin to get it organized. At the beginning of my business, I was the very same way. I did not start out being organized and having everything planned out. I had to go through some very tough times before I finally learned how to run my business in such a way that I could actually make a profit.
Do You Run Out Of Hours Each And Every Day? Are You Still Not Making Enough Money To Pay All Of The Bills Or To Even Pay Yourself?
Are You Ready To Change All That?
As a former owner of a profitable embroidery business I am now in the business of helping you start your own profitable embroidery business or help you take your current embroidery business to a higher profit level. I‚’ve spent over a decade helping other embroiderers get started and increase their profits. Embroidery can be a very lucrative business when you have the right systems, approach and tools in place!
Chances are you started your embroidery business because you were very creative and loved what you were doing. That is how I got started. I loved to sew and create beautiful gift items and I thought that this would be a perfect match. However, I did not have a guide of any kind to build my business, and I was not at all prepared for what was ahead of me. It was a huge struggle trying to learn how to embroider and run a business that was going to be profitable at the same time.
Are you among the embroidery business owners that are struggling in your business to make a profit and really have no idea as to how to create a business that will bring in that profit?
I want to tell you a little bit about how I got started in this wonderful world of embroidery and about my situation. I have not always been a success. I made so many costly mistakes while I was a growing business but fortunately I learned from those mistakes and worked closely with my accountant who was a huge help to me in getting on the right path.
One day back in 1977, a friend of mine asked me if I could embroider names on some jackets for him. Someone came into his sporting goods store with a box of jackets that needed the names on them and there was no one is our area that was doing any embroidery at that time. He knew that I loved to sew and was always making gift items for my family and friends. I had no idea as to how to do this, but the instruction book that I received with my home sewing machine said that I could. Now, that was back before they even made home embroidery machines. This was a single needle home zig zag sewing machine.
Through many trials and tears, I finally was able to get this job accomplished and it was the beginning of my embroidery career. My first few attempts were not pretty, but I stuck with it and learned very quickly. I loved doing the embroidery. I did not have anyone that I could call on to get some help from or to teach me anything about embroidery so I went to the goodwill store and bought everything that I could that had embroidery on it and started tearing it apart. I also went to the library and tried to get as much information as I could but it was very difficult. There just was not much information out there about it and most of what was available was about hand embroidery, not machine embroidery.
In 1978 after doing a lot of practicing I decided to start my embroidery business in the basement of my home. My business grew very quickly by word of mouth and finally I had so much work that I had to hire someone to help me and I also had to move out of my house. The embroidery business had totally taken over much of the space in my home and I was running out of room. That was the beginning of my embroidery business that soon grew into a shop that had 2 multi-head machines and 3 single head machines.
We also did some manufacturing and all of a sudden I had 32 employees and a whole lot of stress.
I grew far too quickly, was very heavily in debt and was making a whole lot of costly mistakes. My biggest mistake was the way that I was pricing and my accountant told me that I was going to have to raise my prices or close the doors. I was very hesitant to raise my prices because I thought that I would lose all of my business, but my accountant insisted and I decided that I had to do what he said. I really had no choice. It really was stupid for me to continue to work so hard, make sure that all of my employees were paid and not even have a pay check for me! If you are in a situation like that, it is time that you stopped right now and listen to what I have to say!
I hate to see any embroidery business owner struggle in their business. It is not at all necessary! It really is not that hard, but without the proper help and guidance from someone that has been there and done that, it is really hard! Watching an embroiderer turn their struggling embroidery business into a profitable embroidery business is the biggest payback I could possibly ask for! That is when I know that my system is working!
Can This Shop Be Saved?
I was sent out by Stitches Magazine‚ to help a struggling embroidery shop owner with his business in Wisconsin and it is so exciting to watch Craig Wold turn his business around and create one that is profitable. During this process Craig has:
- Changed his pricing structure
- Reorganized his workspace
- Reorganized his work flow
- Created an office for himself
- Started collecting Accounts Receivables faster!
- Collecting a Deposit with each order!
- Cut down on his Accounts Receivables!
- Cleaned out old inventory
- Created an inventory structure
- And Much Much MORE!
Craig is continuing to make changes and grow each and every week! Make sure you read his story!
You too can have the same type of story! It is time for you to start making your changes and reaping your rewards!
9 Steps To A Profitable Embroidery Business I want to share with you the 9 steps that it takes in planning for a successful and profitable embroidery business! Having your business well organized and planned out is very important and a must if you want to have a profitable embroidery business!
Before I get started, I want to ask you a few very important questions, questions that you need to think seriously about. I also want to tell you that at the end of this presentation, I will be sharing an opportunity with you that if you take me up on it, you will be able to get your business organized much quicker and will have all of the tools to work with in order to be able to do it more efficiently. This will be huge in being able to get your business set up properly and get you on the right path to a profitable embroidery business.
- About how much planning do you think do you for your business on a daily basis?
- Do you have a business Plan-One that you can actually use to run your business?
- Do you have a marketing Plan?
- Do you have specific goals for your business?
- Is your embroidery business on track for meeting it‚’s goals this year?
- Do you have a plan in place for the lean times?
- Do you have a plan for each area of your business?
And the most important question of all!
- Do you run your business or does your business run you?
Planning for your Embroidery Business is one of the most important functions that you can perform in your business. Every single area within your business needs a plan, not only the one in your head, but one written on paper.
Without a plan in place we wonder aimlessly through our day taking care of whatever problem comes across our path. The phone rings, you handle that problem, a customer comes in the door, you take care of that person, the day goes by in just this manner and before you know it, the day is gone and you feel like you have accomplished nothing.
How do I know this, I have been very guilty of this. Before I started planning out my entire business, I just handled each issue as it showed up and hoped at the end of the month I had enough money to pay the bills! This is not the way to run a business!
Your business is a very serious venture and if you do not plan it out, you are just running a hobby and you would be better off doing something else with your time unless of course this is the kind of life that you want! For me, I want to know what I am doing and what I need to do each day of my week and month. I wake up each morning with my plan in place and I know exactly what I have to get done that day and I do whatever I can to get it accomplished. Does it always happen, No, but I surely do work at it hard enough and try to get it all accomplished. Without a written plan, I would not know what I had to get done by the end of this week or this month in order to reach my goal.
If you have your goals set and your plan together it is much easier to get through your day. Crazy things happen at times that put a stumbling block in front of you, but you still try to get around that block! This is the time when you have to make adjustments
I Started With No Business Plan
You may have heard me talk about how I started my business with no plan. I had no plan of any kind! I would sort of plan out my next day but it was only a to do list that usually did not mean much of anything. If it got through my to do list, OK, if I did not, oh well, I just did not get it done!
I did not even know what a business plan was. It was not until I had to go to the bank to borrow some money that I found out about a business plan. I also found out that I could not borrow any money without a business plan. They also wanted a business plan that made sense, one that I was going to follow.
I went to the Small Business Administration because that is what the bank told me to do. This is where I started learning how to create a Business Plan. I also worked with my accountant to help me get through my first one. It was really tough for me and took a huge amount of time. They required that I do a ton of research and I had to create a lot of financial data for them. I had not even heard of most of the statements that they required that I create.
At that time, I had no accountant and was not at all familiar with all of the statements that they were talking about. They wanted 3 years of projections, 3 years of Cash Flow statements, A Balance Sheet, my current Income statement, What was that? I was clueless!
Going through this entire process prompted me to go to our local college and take accounting courses. I found them very interesting and I learned a ton about business that was totally foreign to me. I also took Business Law and Business Report Writing. I finally felt a little more qualified to run a business!
There are 4 areas within your business that must be will be planned out and have systems set up for and we will be focusing on these during this presentation.
Organization Is Key To A Profitable Embroidery Business!
I have worked with many embroiderers that have been in the business for many years and still do not have their business organized and really do not know how to go about organizing it. Unless you are a person that has had organizational experience, it is not a skill that come natural to very many people.
Organization is one of the key elements to a highly profitable embroidery business and without a good organization and management system in place it is very difficult to keep track of your business on a daily basis and grow your business over time. In phase 1 of this program you are going to organize your business and start the process of setting up your systems for a quicker and more efficient work flow for your embroidery business.
Having a profitable embroidery business starts with Good Organization. Common questions that have been asked by my students when they are trying to organize their embroidery business are:
- How do I manage my embroidery business?
- Where do I go to get the help that I need?
- How do I know what I will need?
- Where should I Start?
- Is there some type of software that I can purchase to help me?
So many people that start an embroidery business do so because they love what they do and are very creative. I was one of those people. They do not even think about the business side of the business. There are certain components that every business needs in order to run smoothly and create a profit.
One of the main components is a system for daily checks and balances to see if you are profitable. It is very important that you learn how to manage your entire business and it starts on a daily basis with each and every job. Whether you are a one person operation or a large apparel decorating shop, there are some important factors that must be present in whatever type of business Management system you choose.
- The ability to create and deliver a quote very quickly
- A way to follow up on the quotes in a timely manner
- The ability to measure the progress of each order as it goes through each and every process.
- A way to measure your production
- A way to measure your profitability
- A system to keep track of your acquisition of goods
- A way to schedule your production
- The quick way to see if you can handle a rush order
- The ability to create a repeat order so there are no errors in ordering or production
- A system to see how quickly your money is coming in.
I have found so many businesses that do not have any type of system in place to help manage any part of their apparel decorating business. You can create your own management system or you can use one of the Business Management Software packages that are easily available for the apparel decorating industry. Either way, you must have one. This is a must in order to manage a growing business and become profitable at the same time.
I do not recommend the management software for a small business just starting out or even one that has been in business for a while. It is very helpful for a larger business to have management software but that is another expense and an extra person that a small business owner does not need. The business management systems take a lot of work to get set up and you must know exactly where you are and what all of your costs are before you can even set one up. You must have your pricing in place and have a good business plan before you can successfully set up one of these systems in order for it to give you all of the correct information.
If purchasing a management package is one of your goals, you must create your system with spreadsheets first and then it will be easier for you to set up your Management system with all of the right figures and it will work beautifully for you.
Within these areas you have “9 Steps” that you must go through and plan for in order to create a profitable embroidery business.
- Step 1-Find out where you stand Financially & Set Your Goals
- Step 2-Set up Organizational Systems for Order Taking and Order Processing
- Step 3-Create A Good Work Flow Floor Plan for faster production, Create Process Manuals, Create A Production Schedule
- Step 4-Create A Profitable Pricing Structure
- Step 5-Create your Embroidery Price List
- Step 6-Set up a System for Instant Price Quotes & Keeping it Simple
- Step 7-Create Marketing Materials & A Referral System
- Step 8-Create A Marketing Plan
- Step 9-Create A Follow Up System
I have created a group coaching program, 9 Steps To A Profitable Embroidery Business‚ that is going to help you take that struggle out of your business, help you bring in more money and help to make your life a whole lot easier! This is not private coaching but it is the next best thing to private coaching! After you get through with this course you may decide that what you really want is my personal one on one training. Most people do! The Private Coaching will help you move your business faster and you will see profits increase sooner!
This is a private group where you are going to learn:
- How to Plan Out Your Week to make it run more smoothly
- How to Get your Pricing Right once and for all so that you are bringing in more money!
- How to Get your Embroidery Business Organized so that you can keep track of your orders and be able to plan your production much easier!
- How to Create A Marketing Plan so that you can have work coming in even during the lean times. A plan that will work!
- How not to be discouraged when it gets tough. You will receive the Encouragement to get you through those tough times! We all have them!
- And much more!
It‚’s Your Time To Start Reaping The Benefits From Your Embroidery Business and Start Increasing Your Profits!
When organizing your business for success, if you keep doing the same thing year after year and hoping for different results, you‚’re in for a big surprise. You have to take action, invest in your business and make it happen!
Let‚’s face it, we all want to have a business that we love! We all want to start each day with a feeling of I can‚’t wait to get started today!
I know that this ‚Äú9 Steps‚Äù program will be very valuable to you and will help to get you started on the right path to creating your profitable embroidery business. If you will follow these 9 steps and put them into practice you will see a huge growth in your business! Click here for more information and to see how to can benefit from this amazing group coaching program!