How to start a flower business: investment calculation, profit forecasting, pros and cons

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Each of us comes the very moment when we have to make a choice on the topic of earnings. Today we will consider the option of a flower business, and how to deal with it. It should be noted that the smallest store will cost approximately $1,000 (65,000 rubles). But where to start a flower business from scratch and how to do it?

Where to start

So how to open a flower business from scratch (shop, pavilion or social media page)?

First you need capital to invest in the flower business, suppliers and sales (the most important basis, before opening a store, do not miss this topic). You need to choose a promising suitable place where they will buy flowers. Business districts are more suitable for starting a flower business, the payback of the goods depends on the place, which should be a walk-through, crowded, in a residential area.

So, if you want to be engaged in the flower business in the future or present, you need to think about the premises (it will be yours or rented, and for whatpayment, do not forget to calculate the tariffs for paying for electricity and heating, also, is there water and a drain in the room).

Equipment

The second question of where to start a business (flower shop) will be the display of goods. A lot depends on it, mainly your sale and demand for your product. Therefore, think about the racks on which the flowers will be sold. It is important that the room is bright, clean and there is an assortment of goods at an adequate price. It must maintain an aesthetic appearance.

Take care of the shop equipment. For all this, furniture is needed, it can be bought at special points of sale. Or make to order on the advice of an interior designer. For more storage of delicate beautiful flowers, special refrigerators are needed, or ordinary large ones, as in a supermarket for storing food.

Where to sell

Everyone says "I want my little flower business". But not everyone understands how to find the best place to trade. After all, this is the key to success in business.

We give examples of several options for premises.

Pavilion at the market

Such points can be seen near crossings, metro stations, transport stops in the market itself (bazaar) or in a shopping center. A small pavilion can also generate income if located in the right place.

Flower boutique

Or call it a salon or boutique. Everything should be beautiful, close to ideal. Design room, beautiful flower arrangements,made by masters of floristry, competent staff who know how to communicate with customers is important. For such a salon, an approximate amount of $ 9,000 (590 thousand rubles) is required. Corporate clients, decoration of halls, banquets are important here. All this will ensure a good profit from customers. This is an exclusive luxury product in expensive packaging. The premises should be located surrounded by boutiques, expensive shops and shopping centers. Their audience is we althy we althy people who can afford such a luxury. Although you can insure yourself and open another small shop in the pavilion for sale and sale as a fallback in sales turnover.

Online flower shop

Now this is a relevant option for those who are thinking how to start a flower business with minimal investment. Very convenient when there is a shortage and save your time. You can buy and sell without leaving your home. The cost of online shopping is the smallest. But here is an important point - the order must be delivered to the customer. Or the customer himself will pick up the goods. And this option is suitable if you are the owner of a regular store, and online sales are an option for additional income. You can deliver flowers to your region.

So how do you start a flower business at home? To do this, create your account on Instagram or Facebook. To do this, you need beautiful presentable photos of your work, preferably on a SLR camera. Photos must be clear, not blurry. Make an idea in some style, show a video with a comment, introduce buyers to your work,let them appreciate it. Create testimonials from customers so that you can be trusted. Treasure your reputation in the market. If you are not buying flowers yet, but selling your own, show how you grow them, show a photo of how to grow and care for flowers. Mostly this is the work of a blogger. Communicate with clients, listen to comments. For delivery, you need a person who knows the area well, quickly and efficiently delivers the result of your work to the customer. You can create a website and maintain it.

Flower shop

You can open a "flower shop" business on the first floors of shopping centers, in business districts, shopping centers. We need a trading platform, as well as equipment and an assortment of goods. This option is not as demanding as a boutique. Here the range can be expanded with various trifles. Here you can sell potted plants, souvenirs, ceramics, gifts, postcards, soil. The profit of such a store does not depend so much on sales of flower turnover. Due to the large assortment, it will provide regular customers, and the business will be more stable.

For such a business, a specialist is needed, and this personnel issue is very important, since plants need to be properly looked after for high-quality storage and a long period for sales. This question is more acute in relation to the clothing or food market, or other business, since the product has a shelf life.

What to focus your work on

For a client to come to you for the second time, you need a specialist to draw up a designer bouquet,thematic compositions, or creative compositions on different topics: birthday, wedding, hall decoration, christening, decor for a photo zone, corporate parties, decorating a wedding table with natural flowers, making boutonnieres with natural flowers, and so on. Your imagination and responsibility are important here.

Staff

And most importantly, where to start a flower business - you need a seller. This is a specialist for quality advice on the product for buyers. To improve the skills of the seller, he needs to be sent to floristry courses (but this option also needs to be taken into account in the store’s budget, can you afford such generosity). For such work, you need a florist-designer, and it is better with experience. The seller must understand the product, must be able to communicate with the client, correctly present the product, and be able to sell - the most important part in business. Usually, a percentage is used as an incentive in the sales effect, that is, a share of a percentage of sales (5, 10, 15 percent) will go to the salary of the seller, so the seller will be interested in effective sales.

We also need a manager in the store, a courier for delivery if necessary, a driver, we need a person who will keep accounts.

Assortment

You need to think about the range of goods, where to store and ensure the temperature regime of the room. The flowers themselves are fragile, especially when cut, and storage at the right temperature for 20 days. During this period, you need to have time to purchase the goods, deliver them correctly so as not to damage, and mostthe main thing is to sell to the buyer.

Therefore, do not delay, do not delay the process, otherwise you will throw away your investments and everything will end in a banal loss.

Proper procurement is important for business, its assortment (minimizes the cost of damaged goods).

Which flowers to choose

Wholesale and large suppliers offer goods from local producers, as well as from abroad: Holland, Colombia, Ecuador, America. Flowers are also delivered by air.).

Flowers do not last long and are rejected many times.

Flowers such as carnations, chrysanthemums, tulips are also relevant, you can add potted plants and their components to this assortment, you can add souvenirs, gift sets, postcards.

Do I need flowerpots

After knowing how to start a flower business and what flowers to use, other selling items should be considered. It would also be possible to add indoor plants (vases) to the assortment, and means for caring for them: nutrient liquids, watering cans, flowerpots, beautiful decorative pots for decorating the interior and various figurines in the form of a gnome, hedgehog, etc., which are placed in flowerpot for decoration.

We need to remember the holidays that raise the demand for flowers: beloved Valentine's Day (Valentine's Day), September 1, February 14, March 8 - it's just a flower boom.

In order not to go broke, you need to work hard, do not count on instant success. And who doesn't love flowers created by flower fairies?

Remember that the success of your business depends on the performance of your entire team. You must have a good idea with a twist. Find an individual approach to each client.

Pros and cons

This business is always risky, but with the right approach it can bring profit.

Pros of business: you don't need big investments to get started. To open a small pavilion, you need about 7-8 thousand dollars (459 - 525 thousand rubles). Also in this business you need to make a large margin of 100-150 percent. This percentage is due to the risk of investments, since the flowers are very fragile, and if you miss something, you can burn out.

After all, flowers are a short-lived commodity. Flowers wither, dry, freeze.

You also need to pay attention to the season of sale of goods.

After all, rent, salaries, utilities, taxes and other expenses are paid from the sales amount.

In this business, a reliable supplier is important, because the holidays are once a year, and for the holidays you need to deliver the goods urgently and all at once. And the supplier must not let you down, otherwise your money and your reputation in the market among customers will be lost.

Selling area of the store should be about 8-11 square meters. m. Here you need to take into account the monthly fee for the requirements of the premises: payment for heating,electricity, water, sewer service, if any, rent.

Need furniture, shelving will cost about 200 dollars (13 thousand rubles), chairs (3-4 pieces), office table (1-2 pieces), vases, special coasters, wrapping materials.

For staff: 2-3 sales assistants, accountant, administrator, cleaner.

It is very important not to forget about such a nuance as a utility room. Do not forget about the workplace for the florist to make compositions, pack beautiful bouquets. Don't forget the different tools for the job that cost money: gift wrapping bags, gift boxes, wrapping paper, scissors, grooming liquids, potting soil.

It is not recommended to save on equipment, equipment is an important part of the workflow and the key to success. You may need an air conditioner to maintain the room temperature. A refrigerator has already been recommended for storing cut flowers. Another important detail in your budget expenditures is deductions to the tax Pension Fund, various additional deductions. Advertising is also important, attending special courses for advanced training.

Please note that before you decide where to start a flower business, and if you have little experience in it, you should not invest in a large room right away, rent a small one. It will be enough to get started. After all, buying a large batch of flowers is also a risk, there is no way to review each flower for rejection (so that the buds do not wither, they are whole in a marketable form, so thatthe stems were not broken and the flowers looked good. Small lots are easier to review and sort through than larger lots.

You need to learn to understand the quality of the goods, so as not to take substandard goods, such flowers will wither faster and their shelf life will become shorter.

Due to the short shelf life, it is recommended to start with the most popular flowers, such as roses, daisies, lilies and those that are unpretentious in caring for them and more stable. The price also matters, the poor will not buy expensive flowers, and vice versa, a poor man does not need a poor flower.

You also need to take into account that a good specialist, namely a florist, is the guarantor of success in the flower business.

Recommendations

Before you understand how to start a flower business, you should listen to what experienced business florists recommend:

• wash your hands after working with flowers (they are treated with different chemicals, of course, this is not always noticeable, but you can go for a snack, touch your face, all this can cause a reaction, for example, an allergy);
• ventilate the room you work in periodically, smells can cause headaches;
• collect water in tanks and leave overnight to settle various impurities, the water will become softer for flowers, which will ensure shelf life;
• you must have stickers and adhesive paper, tape and markers to write the name of the flowers and notes to send to the client;
• cut flowers only with sharp tools, as the stem does not absorb water well;
• do bookkeeping: income andexpenses, record everything on paper in order to understand your expenses and profits; get a file in Excel, take notes on your phone or a separate notepad, but all expenditure figures must be clearly recorded;
• observe the temperature in the room; if you brought flowers in the winter, let them lie down in the package for a while (30-40 minutes), usually they are wrapped in paper so as not to freeze, they must adapt to room temperature, after removing the package, let them lie for another 10-15 minutes and only after put flowers in water;
• strong temperature changes are detrimental to flowers;
• do not stop there, learn, at least periodically, and you will exceed your expectations;
• give gifts: gift wrapping, a small bouquet as a gift, a convenient carrying box, a gift to a client in the form of a discount or free shipping;
• use only fresh flowers, don't try to sell poor quality flowers;
• let your imagination run wild and add non-standard material: viburnum in a bouquet as a decorative element, a bouquet in a pumpkin, experiment and let your creativity run wild.

Do not make mistakes when creating compositions in floristry. This is seen quite often if there is no professional florist. For example, illiterate sellers make a downed composition, do not think about the selection and arrangement of the correct composition. The lack of form and contour makes the composition unfinished; do not focus on the center, do everything with a slight offset, at a slight angle; do not upset the balance of the composition. Remember it's unreliableinstalled flowers in the bioflora is about 1 cm, install securely and tightly - about 3 cm, and make sure that the stem is positioned securely, that it will not fall out during transportation or installation, that the flower will not wither

Don't expect the business to pay off immediately, in three months or six months. Everything takes time and your perseverance and patience.

Another option, if you are a hardworking person and like to dig in your summer cottage, plant flowers there and sell them at the same time. In cold weather, greenhouses will be needed. If you enjoy the process of caring for flowers and growing them, be a supplier, develop this niche.

This can be either a store or wholesale delivery.

The question is how ready and willing you are to develop your skills, floristry is a kind of responsibility. And it's good to start a business when you have something to offer, when you have the skills to work, then everything becomes easier. The question is how many flowers your florist can make per day. It takes a lot of time. You can also act as a business partner, occupying a separate niche in which you personally play a role, for example, growing and delivering flowers from a flower plot. To deliver flowers fresh, only from the garden. This is necessary so that they are cut in the morning and they are already in the store and preparing for the client. Purchased flowers contain additives to make them last longer.

Of course, you can buy a ready-made flower business. Feedback on this deal is good. But only if you understand how to manage it.

We also need positive feedback to get yourecommended by satisfied customers. Good recommendations are the result of your work. You already know where to start a flower business from scratch and how to do it. Now you can take decisive action.