Royal Furniture: Detailed Business Plan for Custom Furniture Business

This business plan outlines the strategy for Royal Furniture, a custom furniture business operating in the United Kingdom. The plan details the business structure, objectives, and operations, including a focus on customized furniture production for residential and corporate clients. It covers key aspects such as market research, customer analysis, competitive strategies, and marketing plans. Financial considerations, including costing, pricing, sales forecasts, and startup costs, are also provided. The plan includes sections on key personnel, training needs, and management teams, along with appendices. The company aims to establish a strong market presence, expand its customer base, and achieve long-term growth through online and offline sales channels. The plan emphasizes the importance of customer satisfaction, quality products, and effective marketing to achieve its goals.

BUSINESS PLAN
for
It is a proposal relating to the business which an organisation or an individual need to start with
an objective is to earn profit and gain competitive advantage in the market. This report sham
consists of the plan relating to start the customised furniture business in which on the demand
and need of the consumer the furniture is being prepared. The supply of these furniture is to be
made to both the residential and corporate houses at the affordable houses. This report wholly
deals with such business and such business has been set in the United Kingdom.

About the Business
Business Name: Royal Furniture
Business Structure*: Sole Trader
Owners’ Names: Roger Federer
Business Address: Lane 2, Opposite Sand Park, Manchester United
Kingdom
Business Telephone: [phone]
Business e-mail: [e-mail]
Website Address: royalfurniture.com
* Sole trader, Partnership, Limited Company or Social Enterprise

Contents
Section 1: Introduction
1.1 Business Plan Summary
1.2 Business Objectives
1.3 Business Description
1.4 Business Operations
Section 2: The People
2.1 Key People
2.2 Training Needs Analysis
2.3 Management Team
Section 3: Marketing Plan
3.1 Market Research
3.2 Customers
3.3 Competition
3.4 Marketing strategy
Section 4: The Money
4.1 Costing and Pricing
4.2 Sales Forecast
4.3 Running Costs
4.4 Start Up Costs and Funding Package
Section 5: Appendices

Section 1 – Introduction
1.1 Business Plan Executive Summary
1.2 Business Objectives
Short Term (0-12 months)
The short-term objectives of the business are to make sure that business could
survive their initial cost they are being incurring as at the beginning variety of
investment are being invested in the business such as raw material in the form of
wood. The equipment, cutters that are used to cut the sheets and other related
material. It is necessary for the organization to focus at the initial stage to recover
their fixed cost which consist of payment of salary to workers, electricity bills,
payment of rent if the premises are being rented and so on. If the business of the
furniture to remain at PAR, then it is the biggest achievement for them as it shows
that they are easily establishing their business in the market and runs their business
in the proper manner. Further another objective of the business is to establish their
position in the market so that people will know them and their work. It is important for
them to complete their assignment as and when they are allotted to them that helps
them in developing their goodwill in the market for the long period of time. If the order
the business will get will be delivered on time, then the customers will start
developing interest and trust in them and if the quality of the furniture is good then
their value will start developing in the market. It is important for them to capture the

market at the initial level as the customer base maintained at the beginning would be
retained for the business for the longer period of time.
Medium Term (12-36 months)
The medium-term goal of the furniture business is to expand their business by
covering maximum number of clients so that they can expand their business
accordingly and engage into luxurious furniture category too. It is important for them
to develop their own website or to register their complete ready to shift furniture
items on the online platforms like amazon so that their customer market in online
shopping could be increased accordingly. This would also enhance their goodwill in
the market and through online sales their revenue and profit will get enhanced at the
same time. In today’s world nobody has time to visit the showroom on the workshop.
Their facility on the online platform is such that they could provide customers,
furniture on customized basis according to their requirement as well. By adopting
both this technique they will easily get their online and offline sales which help them
in expanding the business at the large scale. Online platform provides them new
customers from the different cities which supports the business in an effective
manner.
Long Term (36 months onwards)
Every business needs to plan for long term objectives to get a vision of things as
how business looks like in near future, while ensuring its long-term growth, success
and profitability. They are more strategic with comparison to short term or medium-
term objectives. These objectives are helpful in transformation of business by
making bigger and better in the upcoming future. The long-term objective for a
furniture business can be following:
 To extend the market reach for growing the revenue in different and specific
ways.
 The most important long-term goal for every business is to increase the sales
with huge profit margin. Set a monthly objective to give yourself something to
aspire for if your goal is to grow the number of clients or customers you have
by the end of the year.
 The other long term business objectives are to create awareness about brand
and its name recognition. This is not a one-time event; it is a long-term
process. Being instantly recognizable in your community, on the other hand,
goes a long way toward acquiring new customers and keeping old ones.
 Nowadays, social media popularity plays an important role in increasing the
reputation and followers for your product. Firstly, the best and effortless way
to get customer’s attention is by providing amazing services and hence,
getting many positive reviews as much as possible.

1.3 Business Description
The overview and description outline the various features related to the firm,
comprising the location of the workshop, manufacturer of the furniture and where the
items will be presented and sold through online or in a store or only at exhibitions. If
you own a business, you must also submit information on the store's location, such
as why the location was chosen, if it fit within the budget, demographics, and
proximity to the store. It includes the information about of furniture that the company
will specialize in must also be included in the business plan, such as only beds, only
kitchen furniture, only office furniture, only wooden furniture, iron furniture, mixed
materials furniture, outdoor furniture, and so on. Furthermore, the business entity
chosen by the entrepreneur, whether a sole proprietorship, a partnership, a limited
liability partnership, a one-person company, or any other enterprise, must be
included in the business model, as well as any other mandatory registrations for the
firm, such as a Shop Act License, GST registration, and so on. The mentioned firm
‘Royal furniture’ is a sole proprietorship firm with a variety of ranges available in
which it expands its business.
1.4 Business Operations
The operations of the furniture business is an extended view of the firm’s overview.
This provides the information about everyday functions of the business and how the
operations will take place, also the number of workers need to be hired and the roles
assign to very employee regarding management of manufacturing units, whole store,
delivery functions towards customer and arrangement of getting finished goods,
number of workers available around the store, etc. The furniture store business plan
must include all of these operational and management aspects, as well as the
organizational structure. Staff in the industrial facility must be cared for in addition to

evaluating records to save capital expense. Operations must be well-accounted for
while creating home and workplace furniture such as dining room tables, bar stools,
desks, chairs, and so on. Whether it's milling, drilling, grinding, or final assembly, the
facility architecture must be properly analyzed for best space utilization and to save
time spent in each department.

Section 2 – The People
2.1 Key People
The key people in a furniture business are owner, employees and customers which
needs a major focus for making business successful and stable. All the decisions
and day to day activities are taken with consideration of the objectives and needs of
the customer and firm. The key people of the business consist of workers who
performs whittling, woodworking or refinishing the furniture. Furniture designers,
woodworkers, assemblers, finishers, hand carvers, upholsterers, cabinetmakers, and
finished-stock inspectors are among the employees who contribute to the production
of furniture. Furniture designers normally start the process by translating their
thoughts into blueprints, shop drawings, computer-aided designs, or other
comparable plans from which the pieces of furniture are made.
2.2 Training Needs Analysis
TNA (Training Needs Analysis) is the process through which a firm determines the
training and development requirements of its workers so that they can do their job
properly. It entails a thorough examination of the organization's training requirements
at all levels. Employee training and development requirements are evolving at a
rapid rate, just as technology is developing. It aids in the development of personnel
for advancement. It aids the management in identifying vital areas of growth for his
or her personnel. Productivity rises dramatically with good training and development.
Several businesses have in-house experts who can teach staff on a variety of topics.
Companies may also send workers to various training programs outside of the
organization to get technical knowledge or to enroll in a course that is related to their
job role. TNA is generally a component of the assessment process, and at the end of
the year, an employee must have completed all of the manager's training and
development needs.

Training and development, which was formerly undervalued, is now a critical
component of every company's overall strategy.
2.3 Management Team
Roger Federer, the owner, had a successful career in retail before joining Royal
Furniture as a sole proprietor. He worked as a merchandising assistant for Sears
and Roebuck, as well as an area manager for Ruby Stores and a buyer for Macy’s.
He graduated from the University of Notre Dame with a degree of Literature.
Jim Graham, workshop manager, developed furniture for Haines Manufacturing
before joining Royal Furniture. He developed one of the first executive workstations
with specialized fittings for personal computers, and he was also one of the first to
design the monitor within the desk behind glass. He graduated from Stanford
University with a B.S. in industrial design and the University of Oregon with an M.S.
in industrial design.
Terry Hatcher is the company's marketing manager. Terry came to Royal Furniture
from the marketing department of the Thomasville Furniture business, where he
oversaw national catalog manufacturing and advertising. Terry also employed as a
direct sales supervisor for a furniture wholesaler, which closed owing to merger and
acquisition. Terry earned a B.A. in literature from the University of Washington.

Section 3 – Marketing Plan
3.1 Market Research
A well-structured marketing plan gives the confidence to make operational
and strategic decisions. By ensuring that you are targeting the correct audience,
investing in the proper industries, and delivering the right branding message,
budgeting and planning your market research may save you time, effort, and money
in the long run. A well-structured market research survey helps in determining the
following aspects:
 The firm should enter in a new market or not.
 About launching a new product or service with consideration of demands of
customer.
 About promoting the brands and make them more recognizable.
 By researching the market, producer is able to bring changes in the packaging
of product or in methods of delivering products and services.
 With the help of market research, furniture business is able to improve their
customer services by taking corrective measures.
 The research helps in making the marketing effort more effective by analyzing
all the factors which influences the business and taking corrective actions in
the marketing campaigns to get more customers.
 You may confidently make great marketing decisions armed with your market
research findings. You may confidently launch fresh campaigns, knowing that
you've personally communicated with your target audience and can craft
appropriate messaging.

3.2 Customers
A customer is merely someone who buys something, but a consumer is someone
who buys and utilizes the product or service. In a commercial transaction, a
customer is a customer, but it isn't necessarily a customer. The end user is another
term for a consumer. Before a product or service is offered to the general public,
consumers play an important part in marketing research. After you've identified your
target market, you may invite them to focus groups or send them questionnaires to
quiz them on critical aspects of your marketing strategy. Following the launch of a
company's product, the consumer is also involved in the feedback-gathering
process. You must track outcomes and continuously analyze customer demands
after implementing your marketing plan and distributing the product or service in
order to improve the service in the future. Consumers can also act as
representatives to help your marketing strategy succeed. Consumers who have used
your product evaluate it both offline and online and can suggest other consumers to
it via word-of-mouth marketing. When it comes to testing new products and services,
people prefer to follow the advice of people they know, thus this marketing is both
free and successful.
3.3 Competition
Competitor Key Strengths Key Weaknesses
Competitor A Competitor A sells modern
furniture and one-of-a-kind
home decor. The broad
assortment of furniture
configurations allows
customers to complete room
setups. There are seasoned
Design Associates on hand to
assist you with any design
project or idea. Competitor A
 Competitor A have a large
number of franchisees for
order taking, but no proper
dine-in eating venues
around the country.
 The current technology
does not align with the
corporate ambitions. As a
result, they must invest
more in their ideas in order

offers excellent service,
affordable costs, quick and
easy returns, and a money-
back guarantee. They focus on
timeless style and Australian
craftsmanship that is designed
to last.
to compete in a crowded
market.
 They are having problems
as a result of the disloyalty
of their franchise personnel.
Because there are so many
franchises, it's difficult to
keep track of every
employee that cheats.
Competitor B From modern Italian furniture
lines like Calligaris, Bontempi,
Gamma, and Saba to domestic
contemporary labels like
Chilewich, Focus One Home,
and BDI, Alchemy Collections
has it all. Customer service is a
top focus for the team, who will
not put a sale ahead of the
customer's demands. They
strive to provide each
consumer with the ideal
product for their current
lifestyle. Customers can make
purchases by email, phone, or
in person.
 Customers get confused
with a wide variety of
products and the products
are way too expensive due
to their italic collections.
They do not have a lower
range of products.
Competitor C Living, bedroom, dining, office,
lighting, outdoor, kids, and
accessories are all available at
Blu Dot. Early drawings of
goods, photographs of
prototypes, and references to
things that influence their work
– music, architecture, and
ordinary objects – may all be
found in the modern furniture
store's site-specific collage.
Their
weakness
es would
be some
consumer
s who do
not
consider