Often, the clothes that consumers pay large amounts of money for aren’t the perfect fit. In instances where an evening gown is too long, or the cuffs of a suit too wide, tailors can be a lifesaver. A tailor makes, alters and repairs clothing for a fees. In this article, we’ll tell you how you can get started on building your tailoring business.
1. Assess your industry
When starting a business, it’s wise to gain a solid understanding of the industry you’ll be operating in. This is so that you can understand the nature of what you’ll be doing, the risks involved, and whether it is the right time to enter the market.
2. Learn the right skills
Tailoring is a trade which has been around for centuries, meaning there is a level of skill involved. Before starting your business, make sure you have learnt the tricks and tips to making and altering clothing. It’s important that you know how to sew as well, as well as use a sewing machine.
3. Choose your business structure
After deciding you want to start a tailoring business, you need to determine which business structure is best for your business. You can either be a sole trader, partnership, or register as a company.
Being a sole trader means you have unlimited liability for the costs you incur in running your own tailoring business. Being in a partnership means that you will need a partnership agreement to set out the terms and clauses of running the business alongside your partner(s). Forming a company will mean that your business will be considered a separate legal entity and you will be taxed under corporate rates. Either way, you will need to first register your business and obtain an Australian Business Number (ABN).
4. Make a business plan
After deciding what your business structure will be, you will need to create a business plan. This includes the branding, furnishing of the store, target audience, and how your business will serve your target market. These information’s will be outlined in your business plan which includes your marketing plan, implementation plan and feasibility analysis.
5. Supply of materials
You cannot alter clothing without having the right equipment and materials. Things you’ll need include needles, thread and a tape measure. These are all products you can order wholesale and subsequently, receive for a lower price.
6. Your location
Many tailoring businesses operate out a of store. At this point, you’ll want to think about location, rent and how you’ll make your store visible. For example, setting up shop in a district where a lot of corporate offices are means you may attract more corporate clients. Renting a space also means you’ll have to sign a retail lease. Retail leases are governed by the Retail Leases Act 1994 (NSW).
6. Insurance
A business should always have insurance to reduce liabilities and risks. For instance, public liability insurance will protect you if a third party is injured or their property gets damaged on your premises. Other types of business insurance are also available, including those which cover your employees and contents in your store.
Final Thoughts
Tailoring whilst a traditional industry, is still in demand especially for those who wear suits or other expensive clothing. To get your tailoring business off to the best start, it’s important to plan before you commence operations and know what to expect as a business owner. If you have further questions about your legal obligations as a new business owner, it’s wise to get in touch with a business lawyer.
