I am writing this proposal on behalf of the discussions we held yesterday concerning a new furniture showroom business setup. The main idea is to include furniture pieces in the store that clients are looking for. We are confident that our professional team will fulfill your requirements. Please look through this proposal and if you have any questions, feel free to ask them. We are excited to work with you. Regards,
ABC Furniture located at XYZ is a new furniture retail store focusing on providing home furnishing as well as décor. The products we will have will mostly be from local manufacturers, therefore, highlighting the talent in our country.
The store is independently owned. We will provide home furniture consisting of items like tables, chairs, shelves, beds, bed stands, etc. We will be selling soft goods as well including pillows, carpets, bed linens, and more. There will be different décor available such as mirrors, frames, etc.
The store will include a rotating display of a particular manufacturer’s work in the front window and front area. The transactions will occur by professional salespeople who will aim to provide a high level of customer service to clients. There will be the possibility of delivery of large items to customers.
We have other showrooms present across the country. These all focus on what we want to do for this new showroom. We have experienced success in these showrooms.
Our services include the following:
According to our analysis, the US retail furniture market is estimated to be around $X billion. This is a rough $X annual furniture spend per capita by Americans. According to the research, furniture purchases have increased in the country.
ACB Furniture will serve the residents of Los Angeles and the surrounding areas. The residents we aim to serve to tend to be affluent and we hope they will spend more money on furniture. We looked at the professions of these individuals residing here, in this analysis.
ABC Furniture is led by Mr. XYZ who has been in this business for 15 years. Whilst Mr. XYZ has not run any retail store by himself, he has been the director of the operation at top furniture manufacturing plant. Therefore, he has much knowledge when it comes to the furniture business. This includes stuff like warehouse management as well as operations, managing delivery of products, the basics of furniture design, marketing furniture items, and hiring plus training the workers.
Mr. XYZ is a member of prestigious furniture organizations and has attended conferences on manufacturing and selling furniture. He graduated from the University of ABC.
ABC Furniture will concentrate on providing high-quality and locally made furniture pieces, soft goods as well as décor. We aim to provide customers with the best customer service. For this, we aim to hire the best team that can deliver positive results. Before hiring any staff member, we will interview them thoroughly to get to know how good their communication skills are.
ABC Furniture analyzes that the target market will be people staying within a 10-mile radius of this store. We hope to promote the showroom to these people through direct mail, public relations, adverting, and using social media platforms like Facebook and Instagram.
The following furniture stores are present within a 10-mile radius of ABC Furniture, therefore providing direct or indirect competition for customers:
Mike’s Furniture has been in business for 10 years. They provide a variety of furniture pieces and décor options.
Mike has a range of products from regional and national manufacturers. They have low, medium as well as high priced options for every type of furniture. However, they do not sell around 80% of local supplier’s items that ABC Furniture will be selling. They also do not provide delivery services.
George’s Interior has been doing business in this area for 20 years. They focus on providing low-cost furniture items of good quality to people. They have enjoyed success here. They sell main items like beds, and tables and do not have any décor items in the store.
This is an advantage for ABC Furniture. However, they also do not have a variety of products for sale like ABC Furniture is planning to have. Customers will come to our showroom to have a look at the variety of options available that are not able to be found here.
ABC Furniture’s revenues will be coming from selling furniture and décor products to customers. The main costs for the company will include the costs of the goods that are sold, salaries of staff, as well as the rent for this prime location. Initially, the marketing spend may be high, whilst the business tries to establish itself.
ABC Furniture is looking for total funding of $X so that they can launch the store. We aim to employ the capital for funding capital expenditures, manpower expenses, marketing costs, etc.
These funds will particularly be used for the store design and build and the working capital.
Description Price Buying furniture items $[AMOUNT] Renovations $[AMOUNT] Paying Staff Members $[AMOUNT]