How to start a clothing brand in India | 5 Quick and Easy Steps

 

A new clothing line is an ideal business for the creatively inclined if you have a strong design ethic, artistic expertise, and a love for building a brand. So, if you are looking for how to start a clothing brand in India, here is what you must do.

A clothing brand can refer to a variety of things, including designing and producing one's brand, selling multiple designers' brands under one roof, or marketing the clothesline of an established brand. 

In all three circumstances, follow the actions below to ensure that the clothing brand is launched and maintained smoothly.

 

Step-by-Step process to start a Clothing Brand in India

 

Step 1 - Plan of Action

Understanding the costs for the first five years, sources of funding, market competition, and drafting a plan to expand the business in the short and long term are all part of a business plan. 

Sales projections are necessary for a business plan as well as a branding strategy.

This will serve as a roadmap for the rest of your career as a fashion designer and garment producer. 

Consider the following question: 

• What is my ultimate goal for this product? 
• If I want to be a well-known brand that can be found in stores like Nordstrom and Macy's? 
• Do I want to start my private label for a retailer like Target or H&M? 
• Do I want to launch a high-end line that will be offered in a boutique on Melrose Avenue in Los Angeles or SoHo in New York City? 
• Determine your aim and keep it in mind while you develop your brand.

Before you begin your journey of how to start a clothing brand in India, you must understand how the clothing industry works. 

What legal formalities you must follow, what your product will be and which clients you will target, who your competitors are, what equipment you will require, and most importantly, what type of clothing product you will sell.

You must create a report and a business plan for yourself based on the market research that you will undertake.

 

Step 2: Decide your Target Audience

To define the market's breadth, you must first identify a target customer/niche sector to specialise in. Teen apparel, maternity wear, formal women's or men's wear, newborn infants, plus size clothing, and so on are all possibilities for specialisation. 

After you've decided on a niche, you'll need to figure out who your target market is. When deciding on a target, take into account demographics, purchasing habits, and so forth. 

Material and texture must also be examined about the target customers' traditions as well as the local climate. 

It would aid in determining market demand and ensuring the feasibility of operations at the size chosen.

Determine if there is a market need. A successful clothing line will not be built on the ego of its founder. 

Consider a market segment that isn't already being served. Is it a tee that can be worn to a formal event? Is it a line of hoodies that attractively accentuates someone's contours? Determine what product should exist that a large apparel brand does not currently offer.

 

Step 3: Business Registration and Licenses

To start a business, you must register your idea first. Therefore, look for name ideas for clothing store and apply for name reservation on MCA.

After that, obtain permits and licences applicable to the operation location.

You can incorporate your business as any of the following structures:

• Private Limited Company Registration Online 
• Limited Liability Partnership
• Sole Proprietorship
• One Person Company
• Partnership

If the business involves opening a shop or an establishment, a shop and establishment act licence must be obtained from the appropriate state government. 

You should register your store in a high-traffic area where a large number of people can view your clothes as they stroll by. 

Leasing a store in a retail centre with a lot of foot traffic, for example, could be an excellent choice. 

You should have a receiving and tagging area, a modest employee lounge, and office space in addition to the main showroom. 

Your store should be situated in such a way that passers-by may see it from the road. People are more likely to come and check out your store if it is visible.

 

Step 4: Design and Source

Assuming that, this is your strong suit, now is your moment to shine creatively. 

The first collection you release to the public will say a lot about you as a designer, so make sure it's something you'd be proud to use as a calling card in the future. Simultaneously, consider the practical. Whatever you create will have to be produced at a reasonable price. Being a successful fashion designer necessitates a balance of the ideal and the realistic.

Locate a maker of apparel. You'll need a manufacturing partner unless you plan to source, cut, and sew all of your materials yourself. It can refer to a variety of things. 

Perhaps you're just looking for somebody to help you produce clothes in your home studio. Maybe you're looking for a cloth vendor. 

Possibly you're seeking a fully operational factory that can produce a small number of boutique items alongside mass-produced items from a well-known brand. 

Decide on a pricing range for your items. This step is related to identifying and comprehending your target market. Choose a pricing point that covers your production costs while also not alienating the customers you'll need to get your fashion business off the ground.

 

Step 5: Marketing your Clothing Business

Your new business requires brand awareness at this point. Many Instagram influencers are ready to promote new fashion brands in exchange for merchandise, and Instagram has become a popular medium for this.

Set attainable sales and distribution targets. Don't be hesitant to team up with a business expert to take this move. 

Just because you have a fashion sense doesn't mean you understand how clothes distribute. You can continue to grow according to your business plan if you meet your sales targets.

Create a Brand Identity

Your apparel brand's public image is its brand identity. So pick a brand name, logo, and slogan that goes with your collection and the message you want to send. Customers prefer companies that tell a captivating storey, so include one in your logo and business name.

Branding on Social Media

Your Facebook page profile photo cover and the short explanation below it should get a lot of attention. At first glance, most visitors notice this. As a result, you must improve the image and description to ensure that it leaves a lasting impression.

 

Frequently Asked Questions

Q. How do I obtain a permit to sell clothing in India?

Ans- After deciding on your business entity and completing the necessary papers, you must register with your city (if applicable). Gumasta licence, Sole Proprietorship/Partnership/LLP/Private Limited Company Registration Online, TIN/PAN/TAN, VAT & CST for eCommerce are all required licences for a garment business in India.

Q. How much capital is required to open a clothing store?

Ans- A minimum capital of 5,00,000 to 10,00,000 Rupees is necessary to start a clothing brand in India. This sum will cover everything from the location to the cost of obtaining a business licence.

Q. Is clothing a profitable business?

Ans- One of India's most profitable and successful enterprises is the clothing store. You can start making money in the clothes market within your first year if you plan and manage your cash flow effectively.

Q. Is it difficult to establish a clothes company?

Ans- Every business has its own set of advantages and disadvantages, and if you don't have sufficient planning, execution, dependable staff, or adequate money, your clothes firm could fail. So, to be successful and profitable, plan ahead and sell more effectively.