Introduction
In this post, we will learn how to start a furniture business. This site aims to generate some of the top business ideas that anyone can launch. Here, every business concept—from problem statements to investments—is described in great depth. Also, I’ll get back to you in a week if you want more details. In this article, we will discuss an innovative furniture business idea.
In today’s modern life, we expect the best of what we want, so shape, size, appearance, and quality are important in our life. This specific human characteristic brings changes in commerce, often when the economy permits this change converts human lives into luxury and fancy.
So, what we buy is always expected to be the best in terms of utility and appearance or looks. Today, when we look at our day-to-day essentials notice a distinct evolution that took all the materialistic things of our life into a gradual transformation process, doors are no exception to this.
The door is no longer protection stuff only, it is a carrier of social connotation, status, and reputation hence in today’s market if anyone wishes to buy an expensive door can easily get one. High price tags and luxury tags are common for doors.
Why this furniture business?
We know door is a heavy and durable product and that has a typical-year-old purchasing behavior that is making the stuff at home by hiring a carpenter. Which is now taking a gradual shift towards the way FMCD products get sold.
As said, in the past (Even now) people used to get a door of their choice by hiring a carpenter and supplying wood and other stuff. But now customers have choices on design and price variants which are widely available and that can be delivered immediately. So, the door has two distinct routes to get sold, which are “on the shop” and “make your own by a hired carpenter”.
Unique way of doing furniture business
In this article, we will see how a third option can make a furniture business happen. In this third option, the business will take the doors to the customer’s premises, let’s see what this will be like.
As I said, there are two options for buying a door, renting a carpenter, or going to a furniture store. So, if we want to sell doors to customers on the premises, the source of our collection should be to set up a furniture factory or from a third-party factory.
Since I always believe in starting small but with a big dream, here we will look at how we can engage a third party in the business and turn the business into a successful venture with our marketing skills.
Please note, here I am talking about wooden doors, which are made of Teak wood or Sheesham(Sissoo) and have carved designs. It is said that teak is the best wood for the main door and Sheesham is ideal for the interior door of the house (Know the difference). So, we will develop the product line accordingly.
How will the furniture business go?
- Please register the business with the government authority, you may need to get a special license from the forest department (check your state control).
- Contact the door-making factory and make an agreement with them to sell furniture made by them through your organization.
- Business needs to have a car that can carry 20 to 30 dummy doors (small size with original material).
- There will be no business showrooms but daily selling campaigns and intense digital marketing in different residential areas, apartments, and societies. The purpose is to sell on the spot or take orders for customized make and delivery.
- The business is moderately labor-intensive so must have adequate manpower. [A team of five i.e. 1 Sales Executive / 1 Carpenter / 1 Helper / 1 Driver / 1 Sales and Service Coordinator] 6. The business should have a portable, elegant outdoor display system for conducting sales campaigns.
Thus, this furniture business will have two revenue lines, one direct sale and the other digital. In addition, I recommend implementing simple monthly installments because the products are high-priced items. The price range can vary from 20K to 50K INR.
This model of furniture business does not exist, so you can start and continue without any competition.
Now let us know why I am proposing this furniture business and why the business has good potential.
- Cost
- Quality
- Prior perceived value
- Brand
- Utility.
So, here the three remaining main catalysts are cost, quality, and price perception, if you manage these three aspects properly, it will be a success story.
The influencers
Please understand the following three influencers correctly.
- Cost: You must be competitive. The EMI offer will take this catalyst to your side
- Quality: Teak wood means teak wood, so there is no compromise. The design must be the best and most elegant.
- Quality Assurance: Provide a certificate of quality and serve a long-term warranty.
Investment to start this furniture business model.
The investment will be around ten lakhs INR.
- Getting a car under bank finance [Three Lakhs down payment]
- Seven lakhs as working capital. [Equivalent to three months fixed cost and EMI load as you may have to pay supplier upfront. [If your supplier agrees to take the EMI load the investment will come to around 5 Lakhs INR].
Best of luck!
