Are you designing and pricing your products to make enough to support a hobby or do you want a CAREER that supports doing what you LOVE?
Are the products priced by what you want or your customer dictates?
The factory will ask you for target costs. The customer will dictate the price they are willing to buy.
It’s important to figure out exactly how much you are willing to spend on product costs and at what quality, if you’re going to successfully build a fashion business.
It is also impossible to estimate profit without a target cost.
The factory will ultimately look at the total budget. Have you mapped out how much you can spend on orders each year, before you have actually sold anything?
Setting aside a budget is crucial to managing inventory availability.
Working thru a MOCK (pretend) purchase order will help you assess, with sizes and colors how much you are also able to sell.
This template is vital in creating a budget for product orders and pricing formulas to help establish target costs and retail costs.
The template auto populates and can be tweaked to fit your business.
Along with the competitor analysis template and yearly budget template; all go hand in hand.