Part of owning a brand is taking into consideration what everything is going to cost. Budgeting for these costs helps for you to be ahead of the curve and make a sustainable profit. One of those costs that is often overlooked is import taxes and freight fees. Import taxes and freight fees effect the price that you charge a customer so it is important that you keep these low to be a competitive brand.
Now is the time to launch that brand! As you may be out of a job or realizing you can work from home and have the life you want, that brand that's been on your mind may be calling your name to launch. You have the dream and the opportunity, but maybe you aren't sure where to begin. Here's why 2021 is your year to launch that brand and how we can help you get there.
So, you’re starting a fashion brand. There are a lot of factors that contribute to the success of your brand so it’s important to know where to start and where to focus your energy, because it’s easy to get overwhelmed. Here are 5 proven hacks for building a successful fashion brand:
One of the most important aspects to consider when launching a fashion brand is how it is going to be funded. The average cost to start a fashion brand is around $20,000, product development alone is $5,000, so without personal wealth, your options are loans or investment. A loan puts you at risk of severe debt if your brand goes belly up. Investment gives up control of your company, and without a wealthy network may not even be a viable option. The best option to avoid these problems and get the funding your brand needs is to start a crowdfunding campaign.
It has become common knowledge that the fashion industry is a major contributor to the world's pollution. This has created a demand for sustainable fashion in the last five years as consumers seek better alternatives for people and planet. However, what it takes to achieve this goal is a higher price. Is sustainable fashion elitist? Let’s take a look at the components that factor into the higher standards that correlate to higher costs.
Fashion is the largest employer around the world and also one of the heavier hit industries affected by COVID. As brands and retailers pull back orders and furlough staff to stay afloat, many garment workers are feeling the brunt of the fallout. But with many economies closed, and the future uncertain, how do we move forward? We did a little digging to see how life has been for garment workers in this pandemic and some organizations doing their part to help.
The entire world has been turned upside down due to the Covid-19. Industries have been put on pause and the future seems uncertain. Fashion weeks are going digital and the normal flow of the fashion world has stopped. Designers have had to shut down their workshops and their production has totally shifted. However, some think that there is a silver lining to this pause. The CFDA has urged brands to skip the resort season. Some brands have halted their fall season as well and are getting rid of excess stock. This means lower waste and consumption which is positive in a sustainability sense. Designers have been focusing on what they can do during this time to make a positive impact and it's rebooting their creativity.
The fashion industry is fundamentally built on a system where supply is ordered based off of predicted demand prior to any factual determination. Trends are determined seasons ahead of time, demand is hypothesized and the orders are placed by brands before they can know the actual consumer demand. A system like this has proven to be unsustainable over the years and has resulted in overproduction in the garment factories. In a study released by the SAC and Higg Co in April it is stated that, “Further back in the global supply chain, a survey of over 500 manufacturing facilities across all main production regions...shows 86% of all facilities have been impacted by cancelled or suspended orders. As a direct consequence, 40% now struggle with paying employees, leading to layoffs and factory closures.” Yet there are still some garment factories managing to keep their doors open despite the hardships and how they are doing so might surprise you.
We are living in strange times as most of the world is on lockdown trying to reduce the spread of coronavirus. The fashion industry in particular is taking the hit hard as we begun feeling the effects of Coronavirus in our shut down supply chain in the winter in China. Now, as retail stores are all closed too, it is a very real worry what this global pandemic will do to our industry and our global economy.
While we wait out the news each day, here's a list of grants and resources for small businesses to help you weather this unprecedented time. We hope this gives you a positive place to focus your energy, pay your employees, and stay in business so when this is all over you come out more nimble and ready to grow.
With news of the Coronavirus now reaching Europe and America, after already taking a huge toll on the workforce of China, fashion braces itself for the aftermath in the days and months ahead for sales and our supply chain. As we remain entrenched in a global market, here's the ways the CoVid19 is already affecting the fashion industry and what we can predict as a result.