Business planHandmade jewelry workshop

MOTIVATION

*Reasons underlying launch or business development (business opportunity).

Current trends in the jewelry and accessories show a strong preference of customers (mostly young and educated women) to jewelry made by hand. Offer on the market in Romania is modest, despite growing demand.

 

BUSINESS PRESENTATION

*Description of the business idea.

*Objectives that should be achieved.

*Success Factors.

Our workshop will offer customers educated, demanding jewelry made by hand with unique design of materials such as copper, titanium, semiprecious stones, porcelain and metal alloys.

Objectives are distributing our jewelery in at least 20 profile stores in Romania’s market, increasing jewelry designs by 10% per year and reaching the profitability within 12 months of activity.

Handmade jewelry workshop

SERVICE / PRODUCT PRESENTATION

*Description of the product or service; description of the offer.

*Customer benefits.

*Advantages over the competition. In our own shop, we will achieve brooches,

pendants, rings, bracelets and earrings, with a unique design or in limited series, to give our customers the opportunity to purchase exclusive jewelry at a reasonable price.

THE MARKET

* Market size, structure, barriers to entry, the trends on the market.

Precious Metals and Stones Federation estimates that Romanians buy

on average 15 tonnes of jewelry per year. Jewelry and watches market is valued at about 250 million euros per year.

The rings represent 60% of sales, 20% are for other pendants, necklaces and earrings, bracelets and 10%.

THE COMPETITION

*Bidders, the competitors operating on the market.

*Relevant details about the competition.In Craiova, the offer profile (the handmade jewelry

or made to order, of precious metals) is almost nonexistent, only 4 or 5 workshops currently operating in Craiova.

THE CLIENTS / MARKET SEGMENT

*Target segment customer profile

(age, education, income, consumer behavior, preferences etc.)

Customers are mainly educated adult women, with middle and high incomes, aged 25-45, as well as travelers and companies wishing to provide corporate gifts.

LEGISLATIVE FRAMEWORK*Permits for the activity (environmental, health, etc.)

In addition to the authorizations required by regulation for the establishment business, there are no other specific authorizations.

WORKSTATION*Reasons for choosing premises / working point (near

markets / clients, infrastructure, costs, etc.) 

The headquarters of the company will be in the same place as the workshop, within an apartment, a private residence.

SUPPLIERS / PARTNERS

* Types of providers.

* Modalities of cooperation.

* Terms of delivery and payment.

Suppliers will mainly be producers of raw materials

(semiprecious stones, copper wire, titanium, various alloys).

STAFF

* Employees

* Personnel costs

  The company will be operated by two people in the first year of activity: business owner -who will be both jewelry designer, who will undertake them and also the person who will handle trade relations with distributors and stores- and a sales representative.

Staff costs up to 4.000 RON per month.

ORGANIZATION / MANAGEMENT

* Activities to be covered (purchasing, marketing, sales, accounting

* Activities to be outsourced (accounting, etc.)

The company will be headed by a director who is also the owner of the business. Both the company’s website maintenance work and the accounting will be outsourced.

FINANCIAL

*Start-up budget (for 3-6 months); main categories of budget (equipment, salaries, services, utilities).*Pricing. The initial investment amounts go up to 42,000 RON, of which initial stock of materials costs rise to 3.000 RON, start-up costs (equipment, tools, rent, spatial operating IT system, website development, furniture) represents 10,000 RON, 5,000 RON representing the costs of marketing and 24,000 RON means personnel costs for a period of 6 months. Prices will be determined based on costs, with a gross profit margin of 80%.