Berkli (2015) by Jodi

BERKLI Claritas est etiam processus dynamicus, qui sequitur mutationem consuetudium

BERKLI 342 NUTT ST. WILMINGTON, NC 28401 USA

Berkli is owned operated Q U and E S Q U by E North Carolina native Jodi McNeill, who spent most of her life in the small coastal surf town of Wrightsville Beach, NC. With roots in one of National Geographic’s World’s 20 Best Surf towns, Berkli’s store and collections are inspired by salty, sun kissed hair, extraordinary designs, and never ending 1 summer.

T A B L E

O F

C O N T E N T S

EXECUTIVE SUMMARY

COMPANY SUMMARY

Overview General Products

MARKETING PLAN Economics

5-6

Productâ&#x20AC;&#x2122;s & Services

7-8

Customers

Competition, Niche, Pricing

Promotion Strategy

Proposed Location

OPERATIONAL PLAN

MANAGEMENT &

ORGANIZATION STARTUP EXPENSES AND

CAPITALIZATION, SALES FORECAST, BUDGET & LOSS Sales Forecast Data

Budget & Loss Data

Projected Cash Flow Data

Personal Financial Statement

APPENDIX

Market Industry Overview

Works Referenced

Berkli is a luxury women’s contemporary boutique centered in the historic, river front downtown of Wilmington, NC with a grande opening planned for March 2016. Berkeli is run by its’ chief officer and founder, Jodi McNeill, and organized as an LLC. The founder of Berkli has a longstanding relationship with the community. and an educational background in Business Administration Marketing, and Luxury Brand and Fashion Management. Berkeley’s retail focus is high end beachwear and swimwear that’s not available anywhere else in the area. Some of the signature lines we will carry are Missoni, Mara Hoffman, and Flagpole Swim. Berkeli provides services such as personal shopping assistance, special ordering, and private appointments on Sundays.The Berkli customer is social woman who lives in Wilmington , loves to vacation, and has a household income over $100K. She enjoys the boutique experience and want’s a place where she can enjoy services that accommodate her luxurious lifestyle.

Q U I S

Berkli will promote itself through social media campaigns, word of mouth, and through participation in community event’s like Wilmington’s Women Wine & Shoes fashion show. Berkli will steer clear of sales promotion techniques and focus on enticing customers to our full-priced offerings which are always advertised with the utmost class. To cover start up costs and first year operation expenses Berkli is asking for a $150K loan at 5% with three year terms. This is to finance store upfit, attorney fees associated with incorporating, deposits, and initial operating captial. In addition to this loan Berkli will extend a revolving line of credit worth $150K to cover merchandise, payroll, and overhead expenses. Start up costs will be $112K which includes expenses such as store upfit, first months inventory, and rent. These cost’s will be covered by our line of credit and the loan. Berki will hold COGS at roughly 39% of sales revenue and we intend to maintain this approximately 61% markup for the next three years. There are very few competitors in our market and a high demand for the product and services we offer. We intend to hit out $2 million sales goal by year two and continue to grow into year three. The global annual swimwear industry revenue is $13.25 billion, inspiring us to continually increase and reach our sales goals.

BERKLI

E X E C U T I V E S U M M A R Y

Berkli is a women's contemporary clothing boutique with a focus on swim and resort wear. The store offers a selection of high-end brands such as Fuzzi, Flagpole Swim, Missoni and more. Berkli is centered around luxurious, unique pieces and offers a variety of apparel and accessory items. We strive to make Berkli a destination store where locals and tourists alike come to expand their wardrobe with high-end pieces guaranteed to turn heads. Women around the world are adopting healthier lifestyles and becoming more confident in their own skin,and we as a company want to encourage complete wellness of the mind, body, and soul. Our wide range of beach, leisure, and lifestyle brands will meet your wardrobe needs

whether it be at yoga, the beach or on vacation. Berkli will dominate the Coastal Carolina market by supplying one of a kind, beautiful, innovative designs that aren't accessible anywhere else in the area. Our customers are local and seasonal affluent w i t h g e n e r o u s s p e n d i n g h a b i t s. M y knowledge of the area and consumer tastes will aid in Berkli successfully selecting it’s initial inventory. The womenswear market if constantly expanding, with swimwear exponentially gaining market share and profits every period. Wilmington’s geographic location, relatively high household income,, and our unparalleled designs are the foundations that will make Berkli a wild success.

MISSION STATEMENT Our mission is to provide exceptional designs that enhance a woman’s beauty and lifestyle at the highest level of customer service available and always with a touch of sophistication and class.

Goals • Establish itself as destination store for Coastal Carolina • Generate buzz through exceptional customer service and products • To be the leading high end retail store in Wilmington

Objectives • Use social media to maintain a positive connection with customers. • To maintain profit margins at 15-20% by close attention to COGS • Hit $2 million in sales by year 2

Berkli is a Limited Liability Company incorporated in North Carolina. Being an LLC, I am not personally responsible for business debts and liabilities. In case of bankruptcy or defaulting on payments, creditors cannot pursue my personal assets. Being an LLC also adds heightened credibility incase the store ever wanted to expand and open more locations. LLC’s allow the owner, me, to create any management structure I like and there are few restrictions on who or how many owners there can be.

Womenswear Industry: Snapshot U.S. 2015 Market Value: $191.2 billion Forecast for 2019: $237 billion Segmentation: 29.4% of global market Market Rivalry: Strong

Buyer Power: Moderate Supplier Power: Moderate Substitute Threat: Moderate Threat of New Entrants: High

Sale of Women’s Swimwear Sales of Women’s Swimwear 4

0 2009

2010

2011

2012

Women’s swimwear is expected to show the highest growth rate in both volume and value terms over the forecast period. With the continued improvement of the US economy, American women are more willing to spend money on discretionary apparel i t e m s s u ch a s s w i m we a r. T h e introduction of several new brands and new styles and designs can also be expected to give a boost to the swimwear category during the forecast period. Women’s swimwear is also transfor ming into a year-round business, which is altering traditional production and retailing schedules. A more in depth industry analysis can be found in the appendix.

2013

2014

The US womenswear market is fairly fragmented and the rivalry is strong due to the absence of switching costs and the similarity of products on offer. There are low barriers to entry and relatively low requirements for capital making the US market a prime market for Berkli to enter. The fact that brand loyalty within the womenswear market is connected with the particular designer rather than the retailer will work towards our success. Berkli prides itself on their unique luxury brands which are inaccessible elsewhere in the area. This will act as a customer driver since women have few to no other points

Units (bn)

USD (bn)

% Vol. Growth

Forecast Sale of Women’s Swimwear 4

0 2014

2015

2016

2017

2018

2019

POLITICAL

ECONOMICAL

successful democracy

12th freest economy in the world

freedom of speech & media ability to make bold statements little government corruption

7.5% unemployment rate 1.5% average tariff rate possible inflation high

SOCIAL

growing population stable social class system consumers easy going women moving up in society high discretionary spending income

Market Entry Women’s swimwear increased in current value by 4% in 2014 and witnessed steady sales throughout the review period while several new brands entered the category. Womenswear customer demand patterns are susceptible to branding and advertising, which tends to weaken buyer power. In the industry, individual buyers’ demand changes at a fast pace so in an attempt to maintain market share within a highly competitive market, Berkli will attract customers with the fostering of strong brand consciousness. Berkli will offer a unique product selection and retail experience that the consumer could not otherwise come across , all at a low switching cost. We will be centrally located between both islands, Midtown and the university. The store surrounded by other community vendor producing a high level of foot traffic. Berkli will be established in an affluent area, where clothes are perceived as inherently linked to lifestyle and social status, which grants us the opportunity to influence consumer behavior. Consumer Trends With active lifestyles becoming more popular, consumers increasingly want access to versatile technology in athletic apparel throughout the year, according to the Outdoor Industry Association. “Athleisure” is a new product category gaining wide popularity. Consumers continue to look for multi-functional products such as yoga apparel. Consumers want to be able to switch from one activity to another comfortably in the same clothes.

TECHNOLOGICAL

wide use of ecommerce & multichannel retailing as competition rapid growth of social media presence can successfully implement SM campaigns

ENVIRONMENTAL

warm climate most of the year attracts tourists

LEGAL

liquor license required if catering alcohol building codes

fashion selections directly related to climate consumer focus on sustainability

max capacity import laws & fees business license required

Women are searching for multipurpose pieces like a bathing suit bandeau doubling as a layer or a coverup as an outfit. Strictly speaking swimwear, consumer purchasing habits nod towards a high emphasis on comfort, edging for more organic seamless bikinis with deconstructed silhouettes. Industry Trends Target demographics are shifting as younger women gain more discretionary income. With this newfound money, population’s are gravitating towards coastal cities for relocation and vacation. These factors, among many others, are contributing to swimwear's year round demand. As the swimwear market continues to morph into a seasonless business, production schedules are altering to accommodate the order demand. We will continue to see less importance put on the spring season and more weight given to the summer. As an independent account, to take advantage of this year-round business Berkli will order less up front and reorder throughout the season to make inventory profitable and manageable. In regards to design, cheeky and Brazilian bottoms, laser cutouts, strappy-back and flounce tops will all be present in our stores lineup. Consumers will see fewer tie bottoms which have been decreasing in popularity. Manufactures and shop’s report a shift from florals, strong prints, and textured fabrics to more mature colors, premium fabrics, braiding, and simple styles. The future of swimwear is sophistication which is the image Berkli aims to foster at all times.

OUR KEY BRANDS MISSONI “Missoni is one of the best know, loved, & recognized fashion & design brands in the world.They inaugurated & affirmed an unmistakable way of dressing & living; with colorful “put-together” of zigzag motifs, stripes, waves & slub yarns in a patchwork of geometric and floral jacquard. Missoni is now one of the best representatives of Italian fashion and design excellence around the world.”

HOT AS HELL “Hot As Hell was born out of a desire for simplistic MORE- more sensibility, more sustainability, & more attainability in the designer market. A movement, a lifestyle, & a brand, HAH is raising the bar in elevated apparel. With versatile collections of swimwear & beach lifestyle apparel, HAH clothing fills a niche of timeless, wearable, ethical, & accessible fashion. “

FLAGPOLE SWIM

MARA HOFFMAN “Hoffman established a recognizable aesthetic heavily focused on colorful, original prints early in her career. Recurrently drawing from nature & mythology, Hoffman ultimately draws inspiration from her own travels around the world.”

“Flagpole Swim is a line of high quality swimwear. The best Italian fabrics are imported to artisan tailors in the heart of NYC’s fashion district, & fashions are created daily by the cofounders. Combining beach life with city style, Flagpole is designed to take you to the beach & carry you throughout the day-all the way into the evening with flexible styles ready for every adventure in between.”

BENEFITS & FEATURES: Mara Hoffman Mara Hoffman will be the staple brand for our resort formalwear, swimsuits, and activewear. Her designs are vibrant, unique, and full of personality. Owning a Hoffman design gives women a sense of adventure, youthfulness, and boldness. They are must have statement pieces for any climate.

Hot As Hell HAH is a relatively new company with a trendy, gypsy soul vibe that cloaks women with a sense of blasé coolness. Much of t h e i r l e i s u r e we a r c a n d o u bl e a s beachwear turning each luxury piece into a wardrobe investment.

Missoni We will pull select swimsuits, coverups, and one or two dresses for our resort collection from Missoni. Their signature knit designs let people know your part of one of the most recognizable and loved brands in the world. The bikinis and beachwear are made of lace wave fabrics in a variety of bold zigzag patterns which can only be delivered by this high fashion house.

Flagpole Swim This extensive brand will be another staple for our swimsuits, activewear, and leisure wear. Flagpole offers a variety of styles and designs to flatter any body type. Their functional designs make them appropriate for any and all beach activities and appeal to a range of ages

and tastes.

P R O D U C T S S E R V I C E S

Berkli’s unique, high end inventory is the foundation for its’ success and sustainability. Our customer’s brand preferences, price range, lifestyles, and geographic location are what divides Berkli from other commercialized swimwear boutiques in the area. Our store is a vacation in itself, where women can immerse themselves in designs collected from across the world and experience five star customer service. Our inventory is carefully hand selected throughout the year from trade shows hosted in Italy, Hong Kong, Paris, Australia, and the West Coast. Our one of a kind assortment of designs give back to the buyer long after their initial purchase by exuberayting classic styles, comfort, and guaranteed to strike envy in your social circle. Berkeli provides in-store services such as style consultations, special ordering, personal shopping, and alterations by appointment. In order to preserve the integrity and limited nature of our designs, our clothing and accessories are available only through our store or phone orders for local customers . We want every customer to love there purchases, however all unworn and unused merchandise can be returned within seven days of purchase for a full refund. We strictly adhere to this policy so that we are able provide only the latest designs to our customers.

CUSTOMER PROFILES Berkli will rely on business from tourists during the vacation season to supplement a steady influx of local and destination shoppers year round. Our core customer demographic is females ages 25-50 with a mid to high level of discretionary income. They live within the vicinity of Wilmington or own a vacation home on either Wrightsville Beach or Figure Eight Island. Berkliâ&#x20AC;&#x2122;s customers have a luxurious signature style and prefer to indulge in the social boutique experience as opposed to impersonal online retailers and department stores.

CHLOE RHOTEN IS 35. SHE HAS A B.S. IN ENTREPRENEURSHIP FROM CAROLINA. SHE IS A SMALL BUSINESS OWNER IN WILMINGTON. HER HOUSEHOLD INCOME IS $68,000. SHE ENJOYS FEELING PRETTY AND SOCIAL SETTINGS. SHE LIKES YOGA, CONCERTS, AND GOING OUT ON THE BOAT.

CHANDLER STACKS IS 47. SHE IS A STAY AT HOME WIFE AND MOTHER. HER HOUSEHOLD INCOME IS $150,000. HER FAMILY OWNS A VACATION HOME ON FIGURE EIGHT ISLAND SHE IS A FREE THINKER, SELF MOTIVATOR, AND VALUES LUXURY.

OUR COMPETITION Berkli will have two main competitors in the Wilmington area: Beanie + Cecil, and Oliver. Both of these stores will compete with Berkli across the board with customer’s looking for high-end brands. While these competitors don’t carry the same brands Berkli, they do carry a selection of resort wear, swimwear, and leisurewear with a broader focus on contemporary womenswear as a whole. Berkli will carry a much narrower assortment with a strong focus on beachwear, and a higher price point differentiating it from the competition. Compared to these competitors, Berlie carries a higher concentration of luxury brand verse high end brands which leads us to believe we will experience little to no sharing of customers. A potential weakness that could be considered is our low SKU count which can’t compete with these two larger stores selections. To capitalize on this weakness, Berkli will create a more intimate environment giving each customer the highest level of treatment and promoting each designs individualist value. We will also offer more extensive services like style assistance and tailoring. Our indirect competitors will be surf shops (The Annex, Sweetwater), consignment boutiques (Return Passage), and chain stores such as Target, located throughout town.

OUR NICHE Our most profitable customer’s will be luxury consumers (affluents) who have an annual household income over $100,000. In Wilmington, these women are mature, established and generally in their forties to fifties. These women are married and either self-employed or stay at home mother’s, having completed at minimum a Bachelor’s degree .They will either live or own a sizable home in Wilmington towards downtown (around the country club), on Wrightsville Beach, or on Figure Eight Island. They vacation multiple times a year traveling both domestically and internationally. They look for basic, classic items each season, with one to two trendy items. They have a positive outlook on life and are incredibly active within their social circles. These women health and fitness conscientious, placing much value on youthful appearances They buy luxury brand clothes for their status symbol high quality, and simply out of habit. They expect the finest food, accommodations, transportation, and wardrobe. These women don’t conform to typical shopping habits and visit their favorite retail stores multiple times a month. They buy out of want, not need ,and look for quality over quantity.

PRICING Berkli’s pricing strategy was intensely researched to ensure that our prices reflect our mission statement and merchandising policies. Average price points will be around $300. We use a cost oriented pricing strategy where a basic markup is added to the cost of merchandise. It is common in the luxury retail industry to use a retail coefficient of 2.6 or 2.4, or a 61% retail markup, which we will use interchangeably on a per product basis. A retail coefficient is the retail price divided by the cost of the product sold, which can then be directly translated into gross margin percentage. Price is not a determining factor with our customers. They are not incentivized by sales or promotional pricing,. These women will buy designs they favor at any reasonable price.

PROMOTION Berkli’s promotion strategy relies heavily on social media. Before our store opens, we will have all our networking account’s up and running so that we can target specific customer’s and start creating brand awareness. An efficient way to find customer’s with specific taste preferences is to troll competitors Instagram and Facebook account’s then friend request their followers. We will post photo’s and updates of the stores remodeling, upcoming inventory, and invitations to the grand opening to generate buzz. To promote the grand opening, Berkli will throw a party where targeted customer’s are invited, via social media event invitations, to bring themselves and friends. We aim at keeping the cost low, budgeting only $2,000 for supplies like refreshment’s and signage. All promotional material is designed and supplied by Wilmington Design Company. Guests will be able to walk around the store, shop, and socialize with champagne and wine. At the counter, we’ll have offerings to join our VIP program and to receive a grand opening discount on one item purchased that evening. Every guest is treated special, but our VIP membership can be earned by making a minimum of three purchases a month. Once a member, you are entitled to special order privileges, invited to after hour events, and can host a Berkli birthday party during your birthday month. These tactics are used to foster a “Berkli Community” and create strong bonds between the store and our shoppers. Berkli will steer clear of sales promotion techniques and focus on enticing customers to our full-priced offerings through promotions like thematic events. Christmas party, new designer launches, and season changes will be celebrated in high style with our customers in lieu of traditional sales. We have budgeted $2,000 a month for these events. We intend to have a “clean inventory” and items will only be discounted

once they have been on the floor for a certain amount of time or are the only piece left in a collection. We will also log repeat customer’s in our computer system to track their purchase history and frequency, enabling us to reach out when they’ve been absent a long period of time or notify them of a favored brand coming in store. Social Media will be our biggest advertising method with Berkli having a presence on Instagram, Facebook, Pinterest, and Twitter. We will post photo’s of new inventory, event’s we’re hosting, and general fashion news. We will also“repost” items our customers have uploaded of them wearing our products. Berkli will not engage in E-commerce and our website will not carry photo’s of currently stocked inventory. Instead our website will serve as a driver for consumers to connect with us either in person or through one of our linked social media accounts. Information that can be found on the website includes; collection’s currently carried, store contact information, store news, and our featured items titled “obsessions”. Aside from social media promotion, Berkli will rely on word of mouth through our existing customer network to reach new clientele. Our participation in community event’s such as Wilmington’s Wine Women and Shoe charity fundraiser will build Berkli a solid reputation.

Shop_Berkli

Chandler245 ChloeRhoten3 Shop_Berkli

OUR LOCATION Berkli is located on the historic riverfront in Wilmington in an old historic building named The Cotton Exchange, which was built in 1884. The Cotton Exchange is the northern anchor of downtown Wilmington. Eight graciously restored buildings are connected by courtyards, cobblestone walkways, and lovely landscaping. Historically rich, the entire city block is a walk through time. Many pictures from early 1900's grace the walls and corridors. All shops are locally owned and operated. The building has a non-compete clause so each store is unique and specialized. The Cotton Exchange provides free parking for its’ tenants and their customers, which is a necessity for Berkli’s customers. There are multiple parking decks and street parking in accessible range, as well as a boardwalk that parallels the Cape Fear River. The store is within walking distance of numerous shops, restaurants and performance theaters. The downtown Hilton hotel is also across the street which we intend to bring in wealthy out of town shoppers. It is important that our store’s located conveniently for our target demographic. The purposed location is a 5 minute drive from Cape Fear Country Club and its’ lush neighborhoods, and 10 minutes from Wrightsville Beach. Downtown is also a convenient location for people commuting from Figure Eight Island either by boat or car. Our two main competitors are located in midtown and close to Landfall Country Club, which creates a nice geographical divide when considering potential customers. The purposed interior has beautifully aged exposed brick and fire places. The furniture will be kept minimalistic and clean, with fresh colors like white and gold used sparingly. Customer’s will find our quant 840 square foot welcoming and rich. This physical store will be the only point of sale for Berkli.

OPERATIONAL PLAN Production: Quality Control is to be conducted upon receipt of each package. Inspection of delivery container and all contents is a requirement. If tampering is evident, photograph and report findings to management. Customer Service is a key function of our business. Each customer is to be greeted upon entry, offered a beverage, and assisted with fitting rooms and check out up to standards. Inventory Control- all inventory must be logged upon receipt and all sales must be logged at the time items are purchased. Inventory must be kept in appropriate sections on the floor and properly tagged. Damaged inventory is to be pulled and stored in the back until further instruction (on a case by case decision). Product Development- all new inventory is selected by management at appropriate buyer conventions or through other means. Fashions will be cycled Location: Amount of Space- 840 square feet Type of Building- it is a retail building for lease, that sits on 2.5 AC located within the Cotton Exchange complex downtown. The building already has exposed brick and a working fireplace so minor aesthetic renovations would be needed. Access: The Cotton Exchange has a small parking deck adjacent to the building where patrons pay hourly during the week and park for free on weekends. It is walkable from the majority of restaurants and stores downtown, as well as the Hilton hotel. Business hours are: Monday-Friday 10AM-7PM Saturday 11AM-7PM Sunday by appointment only Legal: All legal concerns can be addressed to our attorney: David Collins Collins Law Firm 5725 Oleander Dr. Wilmington, NC 28403

Personnel: Jodi McNeill-Owner • Annual salary of $35K • In charge of merchandising, account’s payable, and managerial duties • Background in retail, BS in Business Administration Marketing and a M.A. in Luxury Brand and Fashion Management Sales Associate • Paid hourly wage of minimum wage $7.25. Once sales skills are proven, they can begin to earn commission. • Duties include maintaining floor presentation, welcoming guests and accommodating their requests. • Must have previous retail experience and knowledge of the brands we carry Personal Style Consultant • Paid hourly wage of minimum wage $7.25. Once sales skills are proven , they can begin to earn commission • Duties include pulling outfits for customers, arranging display outfits, and phone consultations • Must have previous retail experience, background in fashion, and knowledge of the brands we carry Social Media Intern • Must be enrolled in university and have proven record of success regarding social media campaigns or projects • Given class credit in exchange for projects completed • Must be able to visit the store bi-weekly Inventory: Our inventory for year one is estimated to cost a minimum of $764,473. We intend to keep COGS at 39% of sales. Due to the demand for up to date fashions, inventory turns are projected at 5, which is higher than the industry average of 4. Suppliers: Collection’s will vary depending on the season and consumer preferences. We will buy directly from designers or order at trade shows. Because our inventory orders will be small, we do not expect shortage or delivery problems. We will steadily reorder throughout the year. Purchasing term depend on designer as well.

MANAGEMENT & ORGANIZATION With years of experience in marketing and retail, owner Jodi McNeill has gathered an abundance of expertise to complement and grow the business. She has a M.A. in Luxury Brand and Fashion Management, a B.S. in Business AdministrationMarketing, and a minor in Leadership Studies. Jodi also has hands on experience with start up companies that have shown promising growth. As founder and management, Jodi will continue with the business as long as the store is up and running. Our advisory team as experience in project plan accounting and entrepreneurship endeavors. In addition to the manager, there will be one part-time sales associate (30 hours per week) and one part time personal style consultant (30 hours a week). Store Manager/Officer • Formulates pricing policies by reviewing merchandising activities; determining additional needed sales promotion; authorizing clearance sales; studying trends. • Markets merchandise by studying advertising, sales promotion, and display plans; analyzing operating and financial statements for profitability ratios. • Secures merchandise by implementing security systems and measures. • Maintains the stability and reputation of the store by complying with legal requirements. • Maintains professional and technical knowledge by attending educational workshops; reviewing professional publications; establishing personal networks; participating in professional societies.

Sales Associate • Welcomes customers by greeting them; offering them assistance. • Directs customers by escorting them to racks and counters; suggesting items. • Advises customers by providing information on products. • Helps customer make selections by building customer confidence; offering suggestions and opinions. • Documents sale by creating or updating customer profile records. • Processes payments by totaling purchases; processing checks, cash, and store or other credit cards.

Personal Style Consultant • Listens to customer concerns and suggests appropriate design styles as solutions • May conduct hair or makeup demonstrations to complete looks • Has superb communincation skills and knowledge of trends • Handle customer budget constraints Professional and Advisory Support

David Collins Collins Law Firm 5725 Oleander Dr. Wilmington, NC 28403 Accountant Goodson & Taylor, CPAs 771 S. Kerr Ave Wilmington, NC 28403

START UP EXPENSES & CAPITALIZATION Better economic conditions and a big increase in competition mean lenders are willing to reduce their rates for good prospects seeking small business loans according to the US Small Business Administration (SBA). I would choose Wells Fargo as my lending institution because my family business has a 40 year history with them. After speaking with a family friend who ran a high-end retail store in the same location as this store, I forecasted Berkli doing $2 million in sales annually. I’m asking for a fixed $150,000 loan, three year terms at 5% interest rate which will cost a total of $170,000. The projected monthly payment would be $4,723 per month.The loan is anticipated to cover store upfit, attorney fees to set up the business, deposits and initial operating capital. In addition to the loan I will be taking out a revolving line of credit for $150,000 which will cost me $600 a month.This is for merchandise purchases, payroll, overhead, and marketing. Having a revolving line of credit will help me keep on terms with my suppliers and enable me to take advantage of discounts when offered. Because of my poor financial standing, my family would co-sign on the loan with me using personal asset’s and their business as collateral. Initial startup costs will be $112K which includes promotional materials, store upfit, and initial inventory. After industry research and consulting someone with first hand experience I believe these numbers to be a true and accurate estimate.

SALES FORECAST 2016 The projected sales for our opening month March are low to take into concern customer’s adjustment period in getting to know our store and for word of mouth to spread. March “accessories” and “others” sales are high to take into account people buying smaller items at the grande opening and during their first, maybe unintentional, visit to the store. Bathing suit sales start to accelerate in May, peak during the summer season, and climb back down after Labor Day in September. The summer season and December are our most profitable months because of the influx of tourists and holiday shoppers. Activewear peaks in December and January because of “new years resolutioners” as well as accessories and others, which are being considered gift items.

BUDGET & LOSS PROJECTION Sale’s figures were derived from the 2016 sales forecast. Research indicated that $1.5 million should be allocated for merchandise purchasing annually, which I distributed evenly across every month. For store unfit, a one time cost, $70,000 was accounted for under COGS in the first month. All employee’s aside from one officer, the owner, are part-time, therefore no insurance expense is incurred. $27,500 was budgeted for sales associate payroll, which is an hourly position paid weekly. Payroll expenses will fluctuate month to month depending on how many pay roll cycles are incurred and hours worked. A $40,000 budget was put into place under Meals & Entertainment to cover travel and accommodation costs for the owner when she is on buying trips for the company and at trade shows.

YearB3 2,250,000

$BBBBBBBBBBBBB38,500.00 $BBBBBBBBBBBBB56,000.00 $BBBBBBBBBBBBB23,500.00 $BBBBBBBBBBBBB36,750.00 $BBBBBBBBBBBBBBB8,000.00 $BBBBBBBBBBBBBBB5,750.00 $BBBBBBBBBB168,500.00

June

$1,700,000.00'$1,800,000.00'$1,900,000.00'$2,000,000.00'$2,100,000.00'$2,200,000.00'$2,300,000.00'

Year' 1

Year' 2

Year' 3

2,000,000

$BBBBBBBBBBBBBBBB32,000.00 $BBBBBBBBBBBBBBBB51,000.00 $BBBBBBBBBBBBBBBB13,100.00 $BBBBBBBBBBBBBBBB34,250.00 $BBBBBBBBBBBBBBBBBB5,750.00 $BBBBBBBBBBBBBBBBBB4,250.00 $BBBBBBBBBBBBBB140,350.00

May

Total'Sales

YearB1 YearB2 $BBBBBBBBB1,886,750.00

TotalBSales

$BBBBBBBBBBBB29,000.00 $BBBBBBBBBBBB49,500.00 $BBBBBBBBBBBB12,200.00 $BBBBBBBBBBBB33,500.00 $BBBBBBBBBBBBBB5,000.00 $BBBBBBBBBBBBBB3,000.00 $BBBBBBBBBB132,200.00

April

$BBBBBBBBBBBBBB27,000.00 $BBBBBBBBBBBBBBB49,000.00 $BBBBBBBBBBBBBBB10,200.00 $BBBBBBBBBBBBBBB32,000.00 $BBBBBBBBBBBBBBBBB7,000.00 $BBBBBBBBBBBBBBBBB5,000.00 $BBBBBBBBBBBBB130,200.00

March

Sales: Swimwear Resortwear Activewear Leisure Accessories Other TotalBSales $BBBBBBBB42,000.00 $BBBBBBBB57,000.00 $BBBBBBBB23,000.00 $BBBBBBBB37,000.00 $BBBBBBBBBB8,500.00 $BBBBBBBBBB6,250.00 $BBBBBB173,750.00

July $BBBBBB38,000.00 $BBBBBB50,000.00 $BBBBBB21,000.00 $BBBBBB32,500.00 $BBBBBBBB7,500.00 $BBBBBBBB6,750.00 $BBB155,750.00

September

$20,000.00'

$40,000.00'

$60,000.00'

$80,000.00'

$100,000.00'

$120,000.00'

$140,000.00'

$160,000.00'

$180,000.00'

$200,000.00'

$BBBBB43,500.00 $BBBBB58,750.00 $BBBBB22,000.00 $BBBBB35,000.00 $BBBBBBBB8,750.00 $BBBBBBBB7,500.00 $BBB175,500.00

August

Sales&Forecast:&Berkli&2016

$BBBBBBBBBBBB32,250.00 $BBBBBBBBBBBB40,000.00 $BBBBBBBBBBBB24,250.00 $BBBBBBBBBBBB35,750.00 $BBBBBBBBBBBBBB8,750.00 $BBBBBBBBBBBBBB7,750.00 $BBBBBBBBBB148,750.00

November $BBBBBBBBBBBB36,500.00 $BBBBBBBBBBBB54,250.00 $BBBBBBBBBBBB32,500.00 $BBBBBBBBBBBB39,500.00 $BBBBBBBBBBBB10,250.00 $BBBBBBBBBBBBBB9,750.00 $BBBBBBBBB182,750.00

December

Swimwear Accessories

Sales: Leisure

Other

Resortwear

Total' Sales

Activewear

$BBBBBBBBBB32,750.00 $BBBBBBBBBB47,500.00 $BBBBBBBBBB36,500.00 $BBBBBBBBBB32,750.00 $BBBBBBBBBBBB5,750.00 $BBBBBBBBBBBB3,000.00 $BBBBBBBB158,250.00

January

Berkli'Forecast'Sales'2016

$BBBBB33,500.00 $BBBBB45,750.00 $BBBBB23,500.00 $BBBBB34,750.00 $BBBBBBB8,250.00 $BBBBBBB7,250.00 $BB153,000.00

October

$BBBBBBBBBBBBBBBBB34,750.00 $BBBBBBBBBBBBBBBBB50,250.00 $BBBBBBBBBBBBBBBBB37,500.00 $BBBBBBBBBBBBBBBBB34,000.00 $BBBBBBBBBBBBBBBBBBBB6,500.00 $BBBBBBBBBBBBBBBBBBBB4,750.00 $BBBBBBBBBBBBBBB167,750.00

February

COGS

Totals

Total+Revenues Total+Expenses+ %Monthly%Cash%Flow%7%In%(Out) Cummulative%Cash%Flow%7%In%(Out)

++++++++++++78,642 ++++++++++++++8,391 %%%%%%%%%%%70,251 %%%%%%%%%%%70,251

+++++++++++++++++200 ++++++++++++++++++A ++++++++++++++2,500 ++++++++++++++++++A ++++++++++++++3,000 +++++++++++++++++741 +++++++++++++++++200 ++++++++++++++1,050 +++++++++++++++++500 +++++++++++++++++200 %%%%%%%%%%%%%%8,391

+++++++++++++++++200 ++++++++++++++3,000 ++++++++++++++2,500 ++++++++++++10,000 ++++++++++++++3,000 +++++++++++++++++741 +++++++++++++++++200 ++++++++++++++1,050 +++++++++++++++++500 +++++++++++++++++200 %%%%%%%%%%%21,691

++++++++++++48,778 ++++++++++++21,691 %%%%%%%%%%%27,087 %%%%%%%%%%%27,087

++++++++++++++++++A

%%%%%%%%%%%78,642

Total%Gross%Profit %%%%%%%%%%%48,778

+++++++++++++++++300

%%%%%%%%%%%53,558

COGS %%%%%%%%%%%81,422

+++++++++132,200 %%%%%%%%%132,200

Budget Apr716

++++++++++++51,558 ++++++++++++++2,000

+++++++++130,200 %%%%%%%%%130,200

Budget Mar716

++++++++++++79,422 ++++++++++++++2,000

Fixed%Expenses Accounting Insurance+A+Commercial* Insurance+A+Officers Legal Sales+Wages Meals+and+Entertainment Payroll+A+Officer Payroll+A+Taxes+ Office+Supply Rent Utilities Bank+Services Fixed%Expenses%Total

Purchases Marketing+&+Promotion Credit+Card+Fee+(3%)

Sales

Income

Description

2016%Budget%and%Loss%Projection

++++++++++++83,614 ++++++++++++++8,391 %%%%%%%%%%%75,223 %%%%%%%%%145,473

++++++++++++++++++A

%%%%%%%%%%%83,614

%%%%%%%%%%%56,736

++++++++++++54,736 ++++++++++++++2,000

+++++++++140,350 %%%%%%%%%140,350

Budget May716

+++++++++100,785 ++++++++++++18,391 %%%%%%%%%%%82,394 %%%%%%%%%227,867

+++++++++++++++++200 ++++++++++++++++++A ++++++++++++++2,500 ++++++++++++10,000 ++++++++++++++3,000 +++++++++++++++++741 +++++++++++++++++200 ++++++++++++++1,050 +++++++++++++++++500 +++++++++++++++++200 %%%%%%%%%%%18,391

++++++++++++++++++A

%%%%%%%%%100,785

%%%%%%%%%%%67,715

++++++++++++65,715 ++++++++++++++2,000

+++++++++168,500 %%%%%%%%%168,500

Budget Jun716

+++++++103,988 ++++++++++++8,691 %%%%%%%%%95,297 %%%%%%%323,164

+++++++++++++++200 ++++++++++++++++A ++++++++++++2,500 ++++++++++++++++A ++++++++++++3,000 +++++++++++++++741 +++++++++++++++200 ++++++++++++1,050 +++++++++++++++500 +++++++++++++++200 %%%%%%%%%%%%8,691

+++++++++++++++300

%%%%%%%103,988

%%%%%%%%%69,762

+++++++++67,762 ++++++++++++2,000

+++++++173,750 %%%%%%%173,750

Budget Jul716

++++ 105,055 +++++++++8,762 %%%%%%%96,293 %%%%419,457

++++++++++++200 +++++++++++++A +++++++++2,500 +++++++++++++A +++++++++3,000 +++++++++1,112 ++++++++++++200 +++++++++1,050 ++++++++++++500 ++++++++++++200 %%%%%%%%%8,762

+++++++++++++A

%%%%105,055

%%%%%%%70,445

+++++++68,445 +++++++++2,000

++++ 175,500 %%%%175,500

Budget Aug716

+++++++93,008 +++++++18,391 %%%%%%%74,617 %%%%494,073

++++++++++++200 +++++++++++++A +++++++++2,500 +++++++10,000 +++++++++3,000 ++++++++++++741 ++++++++++++200 +++++++++1,050 ++++++++++++500 ++++++++++++200 %%%%%%%18,391

+++++++++++++A

%%%%%%%93,008

%%%%%%%62,742

+++++++60,742 +++++++++2,000

++++ 155,750 %%%%155,750

Budget Sep716

+++++++91,330 +++++++++8,391 %%%%%%%82,939 %%%%577,012

++++++++++++200 +++++++++++++A +++++++++2,500 +++++++++++++A +++++++++3,000 ++++++++++++741 ++++++++++++200 +++++++++1,050 ++++++++++++500 ++++++++++++200 %%%%%%%%%8,391

+++++++++++++A

%%%%%%%91,330

%%%%%%%61,670

+++++++59,670 +++++++++2,000

++++ 153,000 %%%%153,000

Budget Oct716

+++++++88,738 +++++++++8,691 %%%%%%%80,047 %%%%657,058

++++++++++++200 +++++++++++++A +++++++++2,500 +++++++++++++A +++++++++3,000 ++++++++++++741 ++++++++++++200 +++++++++1,050 ++++++++++++500 ++++++++++++200 %%%%%%%%%8,691

++++++++++++300

%%%%%%%88,738

%%%%%%%60,012

+++++++58,012 +++++++++2,000

++++ 148,750 %%%%148,750

Budget Nov716

++++ 109,478 +++++++18,391 %%%%%%%91,087 %%%%748,145

++++++++++++200 +++++++++++++A +++++++++2,500 +++++++10,000 +++++++++3,000 ++++++++++++741 ++++++++++++200 +++++++++1,050 ++++++++++++500 ++++++++++++200 %%%%%%%18,391

%%%%109,478

%%%%%%%73,272

+++++++71,272 +++++++++2,000

++++ 182,750 %%%%182,750

Budget Dec716

+++++++94,533 +++++++++8,762 %%%%%%%85,771 %%%%833,916

++++++++++++200 +++++++++++++A +++++++++2,500 +++++++++++++A +++++++++3,000 +++++++++1,112 ++++++++++++200 +++++++++1,050 ++++++++++++500 ++++++++++++200 %%%%%%%%%8,762

+++++++++++++A

%%%%%%%94,533

%%%%%%%63,717

+++++++61,717 +++++++++2,000

++++ 158,250 %%%%158,250

Budget Jan716

++++ 100,328 +++++++++8,391 %%%%%%%91,937 %%%%925,853

++++++++++++200 +++++++++++++A +++++++++2,500 +++++++++++++A +++++++++3,000 ++++++++++++741 ++++++++++++200 +++++++++1,050 ++++++++++++500 ++++++++++++200 %%%%%%%%%8,391

+++++++++++++A

%%%%100,328

%%%%%%%67,422

+++++++65,422 +++++++++2,000

++++ 167,750 %%%%167,750

Budget Feb716

Comments/Assumptions

++++++++++1,049,499 ++++++++++++++123,646 %%%%%%%%%%%%%%925,853

++++++++++++++++++++++900 Tax+Returns+&+payroll Employees+part+time ++++++++++++++++++2,400 ++++++++++++++++++3,000 For+incoproation+ ++++++++++++++++27,500 5+months+out+of+year+with+higher+payroll+expense ++++++++++++++++40,000 For+buying+trips+ ++++++++++++++++33,000 ++++++++++++++++++8,896 ++++++++++++++++++2,400 ++++++++++++++++12,600 ++++++++++++++++++5,500 ++++++++++++++++++2,400 %%%%%%%%%%%%%%123,646

%%%%%%%%%%%%%%990,077

%%%%%%%%%%%%%%766,473

++++++++++++++764,473 $1.5m+annually+predicted+to+spendAused+as+needed+ ++++++++++++++++++2,000

%%%%%%%%%%1,756,550

Budget%Total

September

October

November

December

January

February

142508.64

EndDofDMonth2(EOM)

10%

39%

20%% 14% 0%

32%

Month-1-Expenses

122508.64

7691.36

Profit2/2Loss

&&&&&&&&&&&&&&&&20,991

&&&&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&10,000 &&&&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&&&&500

SubBtotal

&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&&&200

Legal Sales&Wages Meals&and&Entertainment Payroll&B&Officer Payroll&B&Taxes& Office&Supply Rent Utilities

&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&B

&&&&&&&&&&&&&&&&&&&&&&&&&300

Accounting Insurance&B&Commercial* Insurance&B&Officers

Expenses

267017.28

124508.64

7691.36

&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&B

$&&&&&&29,000.00 $&&&&&&49,500.00 $&&&&&&12,200.00 $&&&&&&33,500.00 $&&&&&&&&5,000.00 $&&&&&&&&3,000.00

12 11 10 9 8 7 6 5 4 3 2 1

389675.92

122658.64

17691.36

&&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&& 2,500 &&&&&&&&&&&&&&&&&&10,000 &&&&&&&&&&&&&&&&&&&& 3,000 &&&&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&& 1,050 &&&&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&&&B

$&&&&&&& 32,000.00 $&&&&&&& 51,000.00 $&&&&&&& 13,100.00 $&&&&&&& 34,250.00 $&&&&&&&&&&5,750.00 $&&&&&&&&&&4,250.00

550184.56

160508.64

7991.36

&&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&& 2,500 &&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&& 3,000 &&&&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&& 1,050 &&&&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&&300

$&&&&&&& 38,500.00 $&&&&&&& 56,000.00 $&&&&&&& 23,500.00 $&&&&&&& 36,750.00 $&&&&&&&&&&8,000.00 $&&&&&&&&&&5,750.00

50000

715872.52

165687.96

8062.04

&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&1,112 &&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&B

$&&&&&&42,000.00 $&&&&&&57,000.00 $&&&&&&23,000.00 $&&&&&&37,000.00 $&&&&&&&&8,500.00 $&&&&&&&&6,250.00

100000

Profit/Loss

873681.16

157808.64

17691.36

&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&& 10,000 &&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&B

$&&&&&&43,500.00 $&&&&&&58,750.00 $&&&&&&22,000.00 $&&&&&&35,000.00 $&&&&&&&&8,750.00 $&&&&&&&&7,500.00

150000

1021739.8

148058.64

7691.36

&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&B

$&&&&38,000.00 $&&&&50,000.00 $&&&&21,000.00 $&&&&32,500.00 $&&&&&&7,500.00 $&&&&&&6,750.00

200000

1166748.44

145008.64

7991.36

&&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&&300

$&&&&&&&&33,500.00 $&&&&&&&&45,750.00 $&&&&&&&&23,500.00 $&&&&&&&&34,750.00 $&&&&&&&&&&8,250.00 $&&&&&&&&&&7,250.00

$267,017.28& $142,508.64& 4

$550,184.56&

$715,872.52&

$873,681.16&

$1,021,739.80&

$1,166,748.44&

$1,623,053.68& $1,472,495.04& $1,297,807.08&

1660107.36

37053.68

130696.32

&&&&&&&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&27,500 &&&&&&&&&&&&&&&&&&&&&40,000 &&&&&&&&&&&&&&&&&&&&&33,000 &&&&&&&&&&&&&&&&&&&&&&&&8,896 &&&&&&&&&&&&&&&&&&&&&&&&2,400 &&&&&&&&&&&&&&&&&&&&&12,600 &&&&&&&&&&&&&&&&&&&&&&&&5,500

&&&&&&&&&&&&&&&&&&&&&&&&2,400

&&&&&&&&&&&&&&&&&&&&&&&&&&&900

$&&&&&&&&&&34,750.00 $&&&&&&&&&&50,250.00 $&&&&&&&&&&37,500.00 $&&&&&&&&&&34,000.00 $&&&&&&&&&&&&6,500.00 $&&&&&&&&&&&&4,750.00

Cash&Flow

1623053.68

150558.64

7691.36

&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&&B

$&&&&&&&32,750.00 $&&&&&&&47,500.00 $&&&&&&&36,500.00 $&&&&&&&32,750.00 $&&&&&&&&&5,750.00 $&&&&&&&&&3,000.00

$389,675.92&

1472495.04

174687.96

8062.04

&&&&&&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&&&&1,112 &&&&&&&&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&&&&&&&200

&&&&&&&&&&&&&&&&&&&&&&&&&&&&&B

$&&&&&&&&&&&36,500.00 $&&&&&&&&&&&54,250.00 $&&&&&&&&&&&32,500.00 $&&&&&&&&&&&39,500.00 $&&&&&&&&&&&10,250.00 $&&&&&&&&&&&&&9,750.00

$20,000.00&

1297807.08

131058.64

17691.36

&&&&&&&&&&&&&&&&&&&&&&&&&&B &&&&&&&&&&&&&&&&&&&&&2,500 &&&&&&&&&&&&&&&&&&&10,000 &&&&&&&&&&&&&&&&&&&&&3,000 &&&&&&&&&&&&&&&&&&&&&&&&&741 &&&&&&&&&&&&&&&&&&&&&&&&&200 &&&&&&&&&&&&&&&&&&&&&1,050 &&&&&&&&&&&&&&&&&&&&&&&&&500

&&&&&&&&&&&&&&&&&&&&&&&&&200

$&&&&&&&&32,250.00 $&&&&&&&&40,000.00 $&&&&&&&&24,250.00 $&&&&&&&&35,750.00 $&&&&&&&&&&8,750.00 $&&&&&&&&&&7,750.00

$&&&130,200.00 $&&&&132,200.00 $&&&&&140,350.00 $&&&&&168,500.00 $&&&&173,750.00 $&&&&175,500.00 $&&155,750.00 $&&&&&&153,000.00 $&&&&&&148,750.00 $&&&&&&&&&182,750.00 $&&&&&158,250.00 $&&&&&&&&167,750.00

August2

SubBtotal

July

$&&&&&27,000.00 $&&&&&49,000.00 $&&&&&10,200.00 $&&&&&32,000.00 $&&&&&&&7,000.00 $&&&&&&&5,000.00

June

Revenue Swimwear Resortwear Activewear Leisure Accessories Other

May

$&&&&&20,000.00 $&&&&142,508.64 $&&&&&267,017.28 $&&&&&389,675.92 $&&&&550,184.56 $&&&&715,872.52 $&&873,681.16 $&&1,021,739.80 $&&&1,166,748.44 $&&&&& 1,297,807.08 $& 1,472,495.04 $&&&&&1,623,053.68

April

Start2of2Month

March

Projected2Cash2Flow:2Berkli22016

Table 1: Competitive Analysis Beanie + Cecil 1904 Eastwood Rd Suite 108 Wilmington, NC 28403

Oliver 1055 Military Cutoff Rd Wilmington, NC 28405

Berkli

Products

Strength

High end, luxury, hand picked, and distinctive. Limited number to ensure uniqueness

Price

High

Quality

High

Selection

Limited

Service

Personal shopping assistance, intimate, VIP experience always

Expertise

Weakness

Beanie + Cecil Oliver

Importance to Customer

High end, handful of luxury items, moderate selection

Medium to high end items, large selection

Moderate

Low to moderate range

Moderate to high range

Moderate

High

Slightly above standard

Standard

Knowledge of the brands, how to dress for customers body type, customer relations experience

Low

Location

Prime real estate within reach of WB, Figure Eight, downtown and the university

Mid Town

Appearance

Posh, clean interior where all merchandise is visible in orderly fashion

Clean, minimalistic

Overstuffed

Advertising

Promote through social media and community events/magazines

Promote through local magazines

Promote through local magazines and online

Image

Luxurious, high end

High end

Average

Type to enter text X

Personal)Financial)Statement)of: Jodi%McNeill as)of: Oct-15

Assets Amount)in)Dollars Cash%-%checking%accounts $%%%%%%%%%%%%%%%%%%6,000 Cash%-%savings%accounts %%%%%%%%%%%%%%%%%%%%%%%500 Certificates%of%deposit %%%%%%%%%%%%%%%%%%%%%%%%%%%%Securities%-%stocks%/%bonds%/%mutual% funds %%%%%%%%%%%%%%%%%%%%%%%%%%%%Notes%&%contracts%receivable %%%%%%%%%%%%%%%%%%%%%%%%%%%%Life%insurance%(cash%surrender%value) %%%%%%%%%%%%%%%%%%%%%%%%%%%%Personal%property%(autos,%jewelry,% etc.) %%%%%%%%%%%%%%%%%%%%4,000 Retirement%Funds%(eg.%IRAs,%401k) %%%%%%%%%%%%%%%%%%%%2,000 Real%estate%(market%value) %%%%%%%%%%%%%%%%%%%%%%%%%%%%Other%assets%(specify) %%%%%%%%%%%%%%%%%%%%%%%%%%%%Other%assets%(specify) %%%%%%%%%%%%%%%%%%%%%%%%%%%%Total)Assets $))))))))))))))))12,500 Liabilities

Amount)in)Dollars

Current%Debt%(Credit%cards,%Accounts) Notes%payable%(describe%below) Taxes%payable Real%estate%mortgages%(describe) Other%liabilities%(specify) Other%liabilities%(specify) Total)Liabilities

$%%%%%%%%%%%%%%%%55,000 %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%$))))))))))))))))55,000

Net)Worth

$%%%%%%%%%%%%%%%(42,500)

APPENDIX

Market Overview The womenswear market comprises: womenâ&#x20AC;&#x2122;s active wear, casual wear, essentials, formalwear, formalwear-occasion and outerwear. The marketâ&#x20AC;&#x2122;s value is calculated at retail selling price (RSP). The US womenswear market has continued to experience steady growth in recent years. This trend is predicted to continue over the forecast period at an accelerating rate. The US womenswear market had total revenues of $191.2b in 2014. Clothing, footwear, sportswear and accessories retailers accounted for the largest proportion of sales in the US womenswear market in 2014. Sales through this channel generated $130.2b, equivalent to 68.1% of the markets overall value. The performance of the market is forecast to accelerate, with an anticipated CAGR of 4.4% for the five-year period 2014-2019, which is expected to drive the market to a value of $237 billion by the end of 2019. The distribution of apparel generally continued to shift towards internet retailing in 2014, with sales via e-commerce platforms representing 12% of overall value sales of apparel in 2014, up from 11% in 2013. The average price of womenswear is expected to decline at a CAGR of 1% in constant 2014 terms over the forecast period. As discussed previously in this report, consumers continue to expect promotional prices, although with the US economy improving and with discretionary incomes on the rise, retailers might be less willing to discount as extensively as they did during the recessionary years of the review period. Additionally, higher labor costs in manufacturing hubs such as China and Bangladesh are expected to translate into higher prices for end consumers. Given the current environment of conflicting consumer expectations, it is likely that there will be fewer promotions and discounts on offer during the forecast period while unit price increases will likely be kept to a minimum.

APPENDIX

Works Referenced

"About Missoni." About Missoni. Web. 15 Oct. 2015. "About Us." Flagpoleswim. Web. 15 Oct. 2015. "2016 Swimwear Trend Report | Transworld Business." Transworld Business. 15 July 2015. Web. 15 Oct. 2015. "342 Nutt St, Wilmington, NC 28401." Cityfeet.com. Web. 15 Oct. 2015. "Data Monitor." OneSource. Web. 15 Oct. 2015. <http://globalbb.onesource.com/Web/Reports/ ReportMainIndustry.aspx? SicCodeID=94001181&Report=ALLMARKETRESEARCHREPORTS&Process=IP&Type=GetReport&F ileFormat=PDF&ReportID=60371&FileName=0072-2005-2014.pdf&VendorName=Datamonitor>. "Mara Hoffman." Main Website. Web. 15 Oct. 2015. "Story." Hot As Hell Story Comments. Web. 15 Oct. 2015. "Wrightsville Beach, North Carolina." (NC 28480) Profile: Population, Maps, Real Estate, Averages, Homes, Statistics, Relocation, Travel, Jobs, Hospitals, Schools, Crime, Moving, Houses, News, Sex Offenders. Web. 15 Oct. 2015. "World's Best Surf Towns - National Geographic." National Geographic. Web. 15 Oct. 2015.