Development plan for an upholstered furniture workshop. Business plan for the production of upholstered furniture. Where to open a furniture production

Furniture production is a profitable and in-demand business. The market supply of these products is quite large, which meets the needs of the population.

The high demand for furniture in the mid-price category makes the organization of such production promising.

Market and competition analysis

Even a superficial analysis of the modern market allows us to identify 3 promising areas of activity:

Manufacturing of office furniture. Large companies open new offices in our country almost every day. The requirements for such products are rigor, conciseness, and maximum functionality.
Production of kitchen sets. To improve living conditions and update the kitchen interior in accordance with fashion, people began to change their kitchen furniture more often. Every year there is a steady growth of consumer demand by 20%.
Creation of custom-made furniture. Manufacturing enterprises, kindergartens, schools and medical institutions also need high-quality products.

An entrepreneur who decides to organize this business needs to be prepared for high competition in the segment. It is felt especially acutely in megacities. Here you need to enter the market with a unique, extraordinary idea that is guaranteed to be positively received by the target audience.

In smaller cities there is less competition. To convey the offer to the client, high-quality advertising will be enough.

Production plan

To organize a factory and sell finished products, you will need 3 premises:

Room No. 1 – manufacturing facility area 100-250 sq. meters. The size of the premises is determined by the planned production volumes and the amount of equipment.
Room No. 2 – office, where contracts for the purchase of raw materials will be concluded, orders will be accepted, and possibly equipment of a showroom or even a store.
Room No. 3 – stock finished furniture with an area of 50-150 sq. meters.

The complex can be located in one place and represent a single structure. However, this is not always beneficial. It is better to place an office with a showroom in the city center, next to large supermarkets (this will ensure greater foot traffic).

It is economically profitable to locate production areas outside the city: firstly, rent will be several times cheaper, and secondly, the distance from residential areas eliminates complaints about high noise levels.

An equally important stage in organizing production is the purchase of equipment. The type and number of machines are determined by the chosen direction of production.

To save money when starting a business, you can purchase used equipment.

In general, you will need the following equipment:

Band saw. Machines for cutting sheets of metal or wood to a certain size.
Drying. Equipment for wood processing. It will be necessary if you plan to produce furniture from natural wood.
For glass processing. Machines for cutting, cutting, decorative edge processing, engraving, drilling, sandblasting.
For wood processing. Milling and copying, drilling units, machines for splicing, equipment for imparting decorative effects to wood (aging, varnishing, etc.).
For metal processing. Units for cutting, welding, drilling, polishing, etc.
Sewing. For sewing covers, upholstery and other elements of upholstered furniture.
Auxiliary Tools. Screwdrivers, drills, hammers, planes, industrial staplers, screwdrivers, pliers.

To make cabinet furniture you will need the following materials:

Chipboard (chipboard).
MDF board.
Accessories and fasteners.
Consumables – decorative coatings, glue, paint, varnish.

Information on where to start such activities is presented in the following video:

Recruitment

Working in a workshop requires workers to have special skills and knowledge. You will need:

Specialist manager for office work. Job responsibilities: accepting orders, preparing projects, concluding contracts for the supply of materials.
Production Master. Job responsibilities: control of each stage of the furniture production process, organization of teamwork. The position of a foreman involves bearing financial responsibility for machines, materials, and raw materials.
Workshop specialists(5-8 people depending on production volumes). Job responsibilities: a range of production works, from primary processing of raw materials to assembly of finished furniture.
Driver. Carrying out cargo transportation, delivering finished products to the customer.
Cleaning woman. Maintaining cleanliness of the production area.

Marketing plan

In order for the costs of starting a business to be recouped faster and the company to begin making a profit, it is important to organize a set of activities to find ways to sell products.

Methods for selling furniture:

Through the office of your own company. It is necessary to equip a showroom.
Through furniture supermarkets and showrooms through partnership agreements. It is important to look for such sales points not only in your city or region, but throughout the country, in the CIS countries.
Participation in tenders for the supply of furniture to budgetary organizations - schools, kindergartens, hospitals, etc.
Directly to large private organizations. The tasks of promoting the company's products are assigned to the office employee, who must organize mailings to potential clients.

An important means of advertising your own products and communicating with customers is your own website. It must contain a gallery with high-quality photographs of furniture, a section with prices, terms of cooperation, contact information for exchanging information, etc.

You can inform retail buyers using direct advertising - distributing leaflets in crowded places, placing colorful posters on billboards, etc. Advertising on television or radio works effectively. In the text of the message, it is important to indicate the address of the exhibition center, where everyone can clearly evaluate the quality of the products.

A significant role in creating a positive image is played by high-quality fulfillment of orders on time. For regular customers, it is important to organize a system of discounts and additional services.

Financial plan

Expenses

Investment costs:

Purchase of premises for organizing a business – 1 million rubles.
Purchase of equipment, its installation, cosmetic repairs - 900 thousand rubles.
Other starting expenses (registration of an enterprise, obtaining permission to organize a business, creating a website) – 50 thousand rubles.

Fixed (monthly) expenses:

Payment of utilities – 25 thousand rubles.
Salary to the staff is 200 thousand rubles.
Purchase of raw materials, fittings, consumables – 250 thousand rubles.
Costs for advertising, marketing, website maintenance – 30 thousand rubles.
Taxes and various contributions - 80 thousand rubles.

As production volumes increase, costs for consumables and employee wages will increase. At the same time, as the brand is recognized and a wide customer base is developed, advertising costs can be reduced.

If funds for organizing a business were borrowed, the payment of interest on the loan should be added to the list of expenses.

Revenue

Even if an enterprise with a small production capacity is underutilized, revenue from the sale of furniture can amount to 400-500 thousand rubles per month.

Provided the profitability level is 35-40% (at the initial stage of the business this is a sufficient level, after 1-2 years the value can be increased by 1.5 times), the business income will be 90-100 thousand rubles. Net profit after paying all taxes will be 75-80 thousand rubles.

Payback

The payback period of a business depends on production and sales volumes. A large enterprise can pay for itself in up to 3 years. Under the most favorable conditions, this period can be reduced up to 6 months. The payback rate is determined by the number of orders, sales volume and the company's pricing policy.

The more original and unique the sketch, the higher its cost will be. Furniture created according to a standard design is cheaper, but the demand for it cannot be called high.

Before starting a business and developing layouts, it is important to study the market, evaluate the models presented on it, and take into account their strengths and weaknesses.

If you plan to organize large-scale production, it is important to make efforts to find wholesale customers who will ensure uninterrupted operation. In a small workshop, it is more logical to provide custom production services.

An undeniable advantage of business is the lack of dependence on the season. Furniture is in demand at any time of the year.

The furniture business is an excellent choice for a young entrepreneur to start. People always buy furniture, regardless of the season and weather. Even a crisis will not change anything in your business, except that it will reduce the class of furniture from elite to classic. Therefore, open a furniture workshop – a good and promising idea that will surely bring you excellent profits.

Studying the market

Furniture production can be divided into three main areas:

Production of classic office furniture (cabinets, partitions, cabinets, tables). The main emphasis is on functionality and strict appearance.
Production of kitchens and furniture. The kitchen is the face of the home, it is where people spend most of their free time, so it should be equipped with comfortable and high-quality furniture. Every year the demand for kitchen sets is growing by an average of 15%.
Production of furniture to order. This is the most promising type of business. Furniture is created depending on the client's requirements, according to individual sizes and drawings.

Starting a furniture business is not difficult - a minimal investment is enough

Note: in megacities you will face serious competition, so it is best to start this business either in small cities or enter the market with an original and promising offer.

Be sure to find out if there are similar furniture manufacturing workshops in your city, what services they offer, what the real furniture production times are and the price range of your competitors. Think about what you can do better to win over customers.

Premises requirement

To organize a full-fledged factory, you need three full-size premises. This:

Furniture production workshop. Its area must be at least 100 m2.
Office. Managers will work here, concluding contracts for the purchase of raw materials and accessories, as well as for the sale of finished products. Often the office has a small exhibition stand with samples of materials and furniture, or even a small shop.
Stock. This room will be used to store material and finished products. It should be spacious (about 70-100 square meters) and dry.

These premises may be located in the same building or scattered throughout the city. For example, the workshop itself will be located on the outskirts, and the office with samples will be in the city center or in a convenient location. This will significantly increase the number of possible clients. The warehouse can also be located on the outskirts of the factory. This will allow you to reduce rental prices several times and avoid complaints from residents about the constant noise from cutting material.

The premises for furniture production should be spacious

Purchase of necessary equipment

To start the production of upholstered furniture as a business, you should have a sufficient amount to purchase the appropriate equipment. You can, of course, cooperate with other workshops for cutting furniture sheets, but this will significantly increase the lead time of orders and the cost of finished products, which will reduce all your competitive advantages to nothing. Therefore, it is definitely necessary to buy machines. To save money, you can buy used equipment - its price can be 30-50% lower than that of new one. But you need to have a good understanding of the machines so as not to buy ones that have already been written off.

Staff

A lot in the furniture business depends on the staff. To build a furniture business from scratch, you need skilled and responsible workers who will accompany the product at all stages from design to sale and installation to customers. You will definitely need:

A manager who will be responsible for accepting orders, drawing up contracts for the supply of necessary fittings and materials, and providing project support.
Director of operations. The responsibilities of this person include control over every stage of furniture production. This is a foreman who monitors the workers, organizes their work and accepts ready-made orders.
Workers. For a small workshop, 3-4 people are enough; for a medium one, up to 8 specialists may be needed. Their responsibilities include the entire cycle of work on the production of furniture from raw materials.
Driver. This person will be responsible for delivering furniture to customers from the warehouse. Also ensures the delivery of necessary materials.

Qualified personnel are the basis of your business

This is the minimum possible staff for operating a mini-factory that produces furniture. You can play the role of manager and accountant in the first stages - there is nothing difficult about it. If you don’t want to waste time, you can hire people, but this will reduce the payback period due to salaries.

Marketing

You can start creating a marketing plan even before you open. The goal of this plan is to properly organize various events to sell the maximum possible amount of finished products. How to sell furniture correctly?

Open an exhibition center or mini-shop in your office.
Conclude an agreement with furniture stores and offer products for sale to them.
Start working with tenders created by budgetary organizations. Very often, schools, kindergartens, hospitals and various municipal institutions become regular clients, bringing in serious money.
Interest several large private clients. These could be banks that periodically open new branches, various offices, etc.
Create your own website on which you need to post detailed information about the furniture, telephone numbers for contact and a detailed price list.
Create groups on social networks and support them.
Launch classic advertising: banners, leaflets, banners, signs, billboards.
Advertising in the media: radio, TV, newspapers, magazines.

How much money do you need to open?

It is impossible to accurately calculate how much money is needed to start furniture production as a business from scratch without knowing the specifics of your region: everything greatly depends on the level of rent, the chosen work profile, the number of workers and equipment. We will provide national average prices, which will be fair in almost 80% of cases.

Purchasing premises for running a business will cost approximately 1 million rubles. If you rent a building, you will spend about 50-70 thousand a month, that is, it is still more profitable to buy a building.
Purchase of equipment for the factory, its delivery and installation – 600,000.
Repair of the building, paperwork – 300,000.
Consumables – 250,000.

Never skimp on fittings and tools

Now let's calculate fixed costs. These will include:

Utility fee – 30,000.
Salary – 180,000.
Fixed costs for maintaining the website, social networks, advertising and marketing – 20,000.
Other expenses, incl. and taxes - 30,000.

It is difficult to imagine a comfortable and cozy home without furniture. Starting your own business in the furniture industry, with proper preparation and taking into account all the nuances, can bring considerable profit. In this article we will look at a business plan for furniture production with calculations from scratch on how to open it and not go broke.

Business plan for furniture production

The furniture business exists in two versions: selling manufactured furniture or producing your own. Often businessmen start with sales, and then, having studied the specifics of consumer requests, open their own production. In this direction of activity it will be necessary furniture production business plan.

We will make the calculation for a furniture workshop that produces cabinet furniture in the middle price segment. This includes kitchens, office furniture, cabinets, etc. The organization of the enterprise will be carried out on the principle of an incomplete cycle: suppliers will prepare raw materials, and the company will produce ready-made panels for assembly, using the developed drawings. For an additional advantage in shaping the pricing policy and a shorter payback period, our own funds will be used when launching the project.

Before drawing up a business plan, it is important to carefully study the market - suppliers, consumers, competitors. The volume of furniture production in the Russian Federation, according to data from the Association of Furniture and Woodworking Industry Enterprises, is distributed as follows:

Office furniture - 23%;
Cabinet furniture (sets, hallways, suites) - 25%;
Kitchens - 22%;
Bedrooms - 13%;
Upholstered furniture - 17%.

The range of domestic furniture is presented according to the following parameters:

Functional purpose: cabinet furniture for lying or sitting: armchairs, chairs, chaise lounges, beds, sofas, etc.; for storage: chests of drawers, cabinets, cabinets, shelves; for work and eating: desks, dining tables, coffee tables, etc.
Design: non-dismountable, sectional, universally prefabricated (it can be repeatedly disassembled and reassembled), built-in, bent, transformable, wicker.
Materials: made of wood materials and wood, plastic, metal.

Planned assortment

We will first compile a list of the range of products we produce (data will change as demand is studied):

Facades for kitchens, kitchens;
Cabinets, cabinets, drawers, shelves, chairs, dining tables, stools;
Office furniture - shelves, computer desks, filing cabinets.

Target group

End consumers (wholesale) - hotels, restaurants, large government agencies, office centers, etc.
End consumers (retail) are business people with average incomes who update furniture every 2-3 years.
Intermediaries are design studios, specialized stores of interior items and furniture.

Business plan for furniture production: sales organization

Ways to sell products:

Through your office, which is also a showroom.
Using a network of stores, concluding partnership agreements with them (including stores from other regions and CIS countries).
Direct sales to government agencies, hotels, large private companies, using mailings and calls to a database of potential clients.

Advertising

Your own website on the Internet, its creation and promotion, weekly updating of the catalog, sending news to regular subscribers - contributes to the geographical expansion of the circle of consumers.
Placement of advertising blocks in interior and design publications, furniture magazines and other specialized press.
Placing advertising banners on similar topics on Internet resources.

Required documents

In terms of taxation and working with legal entities, it would be preferable to register an enterprise in the form of a limited liability company.

Documents for LLC registration:

Information about the name of the company - should be associated with its field of activity.
Agreement on the establishment of an LLC with a decision to open;
Charter documents with a list of types of activities and the amount of authorized capital not less than 10,000 rubles (contributed in money or property - office furniture, office equipment, etc.).
Details of the director and chief accountant - copy of passport, identification number, contact phone number, address.
Documents confirming payment of state duty.
Details of the bank where the current account is opened.

Production plan

Business plan for furniture production includes one of its most important parts - the production plan. Production will be organized according to the principles of incomplete cycle. We will produce popular models of cabinets, prefabricated cabinets, kitchens, tables and other cabinet furniture according to the configuration and required sizes. It provides for the processing of purchased ready-made chipboards and MDF boards to the specified patterns. The furniture is delivered to the consumer and assembled on site.

Premises requirements

You will need 2 premises: for furniture production and for receiving clients. It is advisable to locate them close to each other. The premises have different functionality, therefore the requirements for them are different:

The area of the production premises is at least 500-600 m², you need a heated spacious room on the ground floor, the possibility of arranging warehouse space and installing equipment, an equipped entrance with a platform for unloading materials and raw materials and shipping finished products.
Accessibility for the client is important for the office. Its location is preferable in the center of trade and business activity, on the ground floor, with an equipped showroom for displaying product samples. Area - 50-60 m². Communications and cosmetic repairs are required.

Equipment

List of equipment for the production of cabinet furniture parts:

Machines controlled by computer programs for the manufacture and modeling of furniture - “Astra-Furniture Designer”, “Astra-Cutting”.
Milling machine.
Electric jigsaw.
Lathe.
Some small tools.

Staff

List of workers with special skills and knowledge:

Workshop workers - 5-7 people. Requirements: experience operating the main types of furniture machines for processing chipboard and MDF boards.
Production foreman - 1 person. Bears financial responsibility for machines, raw materials and materials. Requirements: knowledge of the features of production processes for the assembly and manufacture of cabinet furniture, experience in organizational work.
Driver - 1 person.

Raw material suppliers

Raw materials for use in production are chipboards (chipboards), MDF boards. You will need domestic or foreign suppliers of slabs, consumables (glue, paints, coatings, hinges, handles, drawer guides, hinges, locks, fasteners, etc.).

Requirements for suppliers: company fame, certificates, delivery, possibility of deliveries with deferred payment. The search for suppliers is carried out in specialized publications, on the Internet, several offers are selected and compared.

Financial plan

To calculate a business plan for furniture production, we take into account all the initial costs of launching and promoting the project, fixed costs, and compare them with cash receipts. We analyze the main financial indicators: profitability, size of investment, payback period of the project.

Initial costs:

Purchase of equipment - 1,000,000 rubles;
Registration of a company - 30,000-40,000 rubles;
Purchase of consumables - 150,000 rubles.

Total for launching the project is 1,200,000 rubles.

Type of funds raised: own, borrowed. In the second case, additional costs for interest on the loan are taken into account. With an average interest rate of 22-25% per year, production profitability is required to be at least 30-35%. The payback period depends on the profit after paying all taxes, interest on loans and other costs.

We will consider the option of using our own funds to start production.

Variable costs (per month):

The workers' salary is 100,000 rubles;
Raw materials and materials - 150,000 rubles.

Fixed costs (per month):

The salary of office workers is 20,000 rubles.
Rent of premises - 50,000 rubles.
Advertising costs - 10,000 rubles.

The planned sales revenue is expected to be about 400,000 rubles per month. Intensive promotion will contribute to revenue growth per year by 20%.

Taking into account 30% profitability, the monthly income will be 150,000 rubles. Monthly fixed costs - 80,000 rubles. Profit after deducting fees, taxes and expenses - 70,000 rubles. If the profitability is 30%, the payback period will be 14 months.

Business risk analysis

The main risks include the smuggling of cheap, low-quality furniture from China and Poland. Such furniture is short-lived and can be harmful to health.

Complex machines and units are used in furniture production

Today no one can imagine a cozy, comfortable home without furniture. Everything that is connected in our life with home comfort and luxury is, first of all, associated with good quality and high-quality pieces of furniture. Kitchen, living room, bedroom, children's room - can we imagine them without wardrobes, sofas and beds?

Business in the furniture industry involves two ways - to sell furniture already made by someone or to produce your own. Often, businessmen who have worked in furniture sales for several years decide to open their own production, knowing the needs and specific needs of their consumers.

To open such a line of business, you need to calculate a business plan for furniture production.

Project Summary

The calculation will be made for a furniture workshop that produces cabinet furniture in the mid-price segment. These are office furniture, kitchens, cabinets, etc. The enterprise will be organized on the principle of an incomplete cycle, that is, suppliers will prepare raw materials, the enterprise will produce ready-made panels for assembly according to the developed drawings. To launch the project, our own funds will be used, which will provide an additional advantage in shaping the pricing policy and a shorter payback period.

Furniture business: how to build a furniture manufacturing business.

Project marketing

Market Review

A business plan for furniture production requires a thorough study of the market - suppliers, competitors, consumers.

According to the Association of Furniture and Woodworking Industry Enterprises, the volume of furniture production in Russia is distributed as follows:

Cabinet furniture (hallways, sets, sets) – 25%;
Office furniture – 23%;
Kitchens – 22%;
Upholstered furniture – 17%;
Bedrooms – 13%.

If we list the entire domestic furniture range presented on the Russian market, it can be conditionally divided into the following groups according to the following parameters:

By functional purpose: cabinet furniture for storage - cabinets, chests of drawers, cabinets, shelves; for sitting or lying - chairs, armchairs, sofas, beds, chaise lounges, etc.; for eating and working - dining tables, desks, coffee tables, etc.
By constructiveness: universal-prefabricated - which can be repeatedly assembled and disassembled; sectional; non-removable; built-in; transformable; bent; wicker
Based on materials: made of wood and wood materials; made of metal; made of plastic.

Planned assortment

Preliminary list of the range of products produced (with further study of demand, these data will change):

Kitchens, facades for kitchens;
Cabinets, cabinets, shelves, drawers, dining tables, chairs, stools;
Office furniture - computer desks, shelves, filing cabinets.

Target group

End consumers (retail) are active business people with an average income who update furniture every 2-3 years;
End consumers (wholesale) – large state-owned enterprises, hotels, restaurants, office centers, etc.
Intermediaries - specialized stores of furniture, interior items, design studios.

The production of frameless furniture is a profitable business.

How and to whom sales are organized

We will sell our products in several ways:

Through our office, which is also a showroom.
Through a network of stores in which partnership agreements have been concluded, including in other regions, including deliveries to the CIS countries.
Direct sales, government agencies, large private companies. To do this, the office worker – the order taker – makes mailings and calls to the database of potential clients.

Advertising

Creating and promoting your website on the Internet - this will allow you to geographically expand your circle of consumers, with weekly catalog updates and newsletters to regular subscribers.
Placement of advertising blocks in specialized press - furniture magazines, design and interior publications, etc.
Placement of advertising banners on Internet resources on similar topics.

Required documents

It is better to register an enterprise as a limited liability company. In this case, this is the optimal form of ownership and taxation, which makes it possible to work with legal entities (suppliers and large consumers) and other enterprises. In order to register an LLC, you will need the following documents:

Information about the name of the company - it is better to immediately think about the name of the company associated with the main activity;
Agreement on the establishment of an LLC, decision to open;
Charter documents, list of types of activities, amount of authorized capital - at least 10,000 rubles, which can be contributed in money or property, for example, office equipment, office furniture, etc.
Information about the director and chief accountant (copy of passport, identification number, address, contact phone number);
Bank details where the company opens its current account;
State duty payment documents.

Drawing up a production plan must be taken very seriously, because this is one of the most important parts of a business plan

Production plan

Production will be built on the principle of incomplete cycle. We will produce popular models of prefabricated cabinets, cabinets, tables and kitchens and other cabinet furniture to order according to the required sizes and configurations. The production will process purchased ready-made chipboards and MDF boards according to specified patterns with the installation of appropriate fittings, delivery to the consumer and assembly on site.

Premises requirements

You will need two premises: for production and for receiving clients. It's good if they are nearby. In terms of requirements, they differ from each other, because designed for different functions:

Production premises – area of at least 500-600 m2. Requirements - a spacious heated room on the ground floor, with the possibility of organizing storage space and installing equipment. You also need an equipped entrance and platform for unloading raw materials and materials, and shipping finished products.
The office must be located in a place accessible to clients, preferably in the center of business and trade activity. It would be optimal to equip a showroom in the office space where product samples will be displayed. Area – 50-60 m2, preferably on the first floor. Mandatory requirements - availability of communications, cosmetic repairs.

Equipment

To produce cabinet furniture parts, you need to purchase the following equipment:

Machines that are integrated with computer programs for modeling and manufacturing furniture. These are “Astra-Cutting”, “Astra-Furniture Designer”.
Jigsaw;
Milling machine;
Lathe.
Other small tools.

The demand for furniture products has been and remains quite high. Human society is developing, new families are appearing who are planning to create their own home, which is unthinkable without furniture. And families with experience periodically update it.

How to open a business?

The furniture business is divided into two components: sales and production. Ideally, when a businessman first chooses the first option, then the accumulated experience in studying demand motivates him to start producing. Therefore, first is better.

If you already have sales experience and are only interested in production. To open a furniture manufacturing enterprise, to register it and become a full-fledged manufacturer within the framework of the law, you will need documentation:

agreement on the establishment of an enterprise indicating the form ();
statutory documentation containing information on the size of the authorized capital;
copies of personal documents of the head of the company, chief accountant and other employees;
Bank details;
receipt of payment of state duty for opening a business.

So, the entire package of documents has been collected. The next step is to go to tax office, where you should register a legal entity or individual entrepreneurship.

Next you need to contact fire department And sanitary service for special permissions. They are issued if the premises of the future enterprise provide for safe working conditions regarding sanitary standards and fire safety measures.

The final step is to contact Rospotrebnadzor for obtaining permission to do business.

Main principle of business

The very concept of production carries the mission of developing the economy as a whole for the country, which is proof of not only benefits, but also benefits to society. This objective factor covers a global scale.

As for the direct effect for a particular enterprise, its success directly depends on competent planning, correct calculations and constant analysis of the results obtained.

An important element of obtaining benefits is the production of quality products. The level of training of the personnel involved in furniture production plays an important role here. This is the main principle of successful business development. Without a responsible attitude to business, the most expensive advertising will not help.

An example of this is the world-famous brands of manufacturers who have conquered the market solely due to high quality.

Before moving on to planning, it is necessary to study the consumer market, work out issues such as the behavior of competitors, and decide on the range of suppliers.

Selecting a room

What should the room be like? It can be owned or rented. There are basic building parameters recommended for starting a furniture business:

The room for direct furniture production should be spacious (area approximately 550-650 sq. m). The production building is located on the first floor. It is necessary to provide an access platform for loading raw materials and shipping finished furniture.
The client area may be located in a different location, preferably one that is more crowded. Its appearance and interior decoration should help attract buyers. It is also worth equipping a hall where models of manufactured products will be presented.
The room must have acceptable temperature conditions and the presence of communications (water supply and sewerage).
Conditions have been created to prevent fire (relevant documentation, evacuation plan, fire-fighting equipment, treating the building with anti-flammable agents).

Such requirements for the premises are justified by the fact that they guarantee a normal atmosphere for productive work.

Definition of assortment

The production volume of various types of furniture should be compared with the level of demand. This analysis is carried out Association of Furniture and Woodworking Industry Enterprises. According to their data, the demand for furniture is as follows:

cabinet furniture – 28-30%;
upholstered furniture – 18-20%;
kitchens – 20-22%;
bedrooms – 12-15%;
furniture for offices – 22-23%.

Based on this data, you can orient the direction of your business, pre-plan your own list of products and record it in a business plan.

Client base

It is necessary to identify the target group of consumers or client base and make an appropriate entry, devoting a separate section to this issue. This group includes:

retail consumers;
wholesale clients;
intermediary companies (furniture stores, design agencies, suppliers).

Organization of sales of furniture products

A separate chapter of the business plan is the problem of product sales. It is necessary to outline forms and methods for solving it:

Through our own service. The manager carries out recommendation conversations with visitors to the showroom, deals with mailings, calls to potential clients.
Concluding cooperation agreements with retail chains. In the near future there are plans to expand beyond the region, and in the future to the foreign market.
Cooperation with private and public enterprises, hotels, catering establishments.

Advertising activity

One of the most effective forms of product promotion is advertising. The issue of its development should also be allocated a separate section in the plan. Advertising activities include:

opening your own website, promoting it, promptly updating the catalogue;
use of media for advertising;
Internet advertising.

Dissemination of information about your products must be done in all possible ways, including word of mouth.

Production plan

This is a significant part of the main plan, which provides for the main positions of the enterprise’s activities:

production of prefabricated furniture;
ready-made cabinet furniture;
custom-made furniture;
delivery of products to the consumer - finished furniture or with on-site assembly.

Necessary equipment

For furniture production you will need special machines, tools, devices, the purchase of which is recorded in the business plan:

machines for modeling pieces of furniture with program control;
milling and turning machines;
electrical and mechanical tools - hammer drill, industrial hair dryer, electric miter saw, jigsaw, hand router, etc.;
freight vehicles for transporting materials and finished products.

Personnel composition of the enterprise

A furniture production company is specific and requires professionals in this field:

wood processing specialists (6-8 people);
a foreman with special education and work experience whose responsibilities include organizing the entire production cycle;
driver.

To run any business, in particular furniture, you need not only professional furniture makers. It is also necessary to have a good economist, accountant and advertising agent on your team.

In addition, when working with clients or partners, controversial issues may arise that only a professional lawyer can resolve. If it is not possible to have such a specialist on staff, you can contact a law firm that provides services of a similar nature.

The selection of personnel must be approached responsibly, because the state of the business depends on their professional level.

Supply of raw materials

To successfully organize a furniture business, it is necessary to thoroughly study the market for raw materials and establish contacts with suppliers. The sequence of this work is recorded in the business plan.

Agreements are necessary with supplier companies in terms of deferred payments, obtaining materials on credit, and various forms of payment.

To guarantee quality materials, the supplier must have certificates.