3. Organise your business

Even if you’re not writing a full-on business plan, the same principles apply when organising your startup. You may be planning just to buy a sewing machine and get straight to work, but even this is a time and resource commitment.

If you’re investing effort and have goals for the future, put down in writing how your business will take shape, including plans and ideas for:

Your location(s)

Are you working from your bedroom but aiming to move into a small studio? Remember, certain rules apply for online businesses, or market stall traders.

How it works

Think about where you’re going to sell clothes. Is it going to be you selling pieces on a stall for now? Or are you going to be an online retailer? Could Facebook Marketplace or Instagram be a good place to start? If so, check out our guide on how to sell on Facebook Marketplace and how to sell on Instagram before you get started.

Read more about online retailer insurance.

Maybe you’re even planning to open a bricks and mortar shop. Whatever option you go for, most businesses will need to get set up with HMRC for tax purposes, and factor in time to sort out any licenses or permits (especially if you’re planning to trade on the street or at a market).

You’ll also need to research the rules you must follow before selling clothes online, buying from or selling abroad, or storing personal details from your customers, fanbase or even your suppliers.

Who’s running things?

Even if it’s just you managing the business, are there any other key people involved who you’re going to rely on? For example, a designer, accountant, people to help you with setting up a stall, storage etc?

Your product catalogue

This might just be one hero product, or you could have a long list of items. Be aware of your product list and think about how you plan to manufacture, stock and store pieces, along with particular packaging needs.

Sales and marketing

We’ll cover this in more detail below, but it’s a good idea to think through your marketing plans and how you’re going to create some buzz around your clothes and designs.

You’ll want to think about how you might use social media and whether you need a business website, blog, or to print marketing materials.

And when it comes to sales, pricing your product properly is important. It’s not as simple as deciding how much profit you want to make.

If you want to be a luxury fashion brand, then you need a price point that reflects that ambition. If you’re going for simplicity, then the price should show your no-frills attitude.

Read our guide on how to price a product for more on pricing strategies.

Insurance

You might just be planning to sell clothes and accessories online, straight from your sewing machine, but if you’re investing time and funds, it’s worth protecting your small business from the outset, ideally with a tailored business insurance or clothing/fashion shop insurance policy.

This can include things like online retailer insurance, product liability insurance, and stock cover.

Funding

You’ll need some idea of what money you already have, to get your business up and running, and where you can look for additional support. From government-backed Start Up Loans to crowdfunding, our small business finance guide is a great place to start.

When it comes to managing your finances, you might find it helpful to read our guide on the best business bank accounts and best accounting software for small businesses.