Tile House

Project summary

1. Brief Investment Memorandum

Opening your own building materials store can seem like a simple and low-cost business. But is it really so?

This business plan is designed to open a small building materials store in a walk-through area with good traffic. The store development strategy allows you to save on attracting customers, meeting the most important requirements of the modern market environment: flexibility and mobility.

You can take into account that for the last five years I have been working in this profile as a storekeeper and part-time manager. There is also a client base.

Of course, this business does not promise to bring a millionth profit, but it is quite possible to have a stable income of 40-60 thousand hryvnia. As the advantages of this business, it can be noted that the main investment falls on working capital. That is, if necessary, you can quickly release the invested funds.

Initial investment amount - UAH 350,000;

The break-even point is at the 5th month;

Payback period - 13 months;

Monthly profit - UAH 55,000.

2. Description of the business, product or service

Each of us, sooner or later, has to deal with the need for repairs. And this issue becomes especially relevant after the acquisition of a new apartment. However, when planning to begin renovations, few homeowners understand how difficult the process is. In order for the repairs to be completed faster, it is necessary to ensure an uninterrupted supply of materials. And since there is not always time and opportunity to go to large hypermarkets, a small building materials store located nearby will turn out to be very useful.

In order to realize this idea, it is necessary to minimize the financial as well as the time spent on opening a new store. For example, indoor renovation is done with minimal investment in the style of industrial design. This does not require high-quality finishing materials and qualified specialists. The main thing is to keep it clean and dry. Collapsible racks, which are easy to transport and install, are chosen as commercial equipment.

The assortment of the building materials store will be focused on all stages of the interior decoration of the premises. Thus, the store satisfies the needs of both those who want to purchase all the materials necessary for repairs in one place, and those who are simply not ready to travel far to buy missing parts.

Most of the assortment will be displayed on the sales floor. Buyers will also be able to browse supplier catalogs through which to place an order. Among the suppliers there is a large selection of domestic manufacturers.

An approximate list of goods:

1. Building mixes: plaster, putty, leveling mix;
2. Tile adhesive;
3. Grouting;
4. Self-leveling floors;
5. Paints;
6. Insulation materials;
7. Reinforced plastic pipes;
8. Reinforcement materials;
9. Ceramic tiles;
10. Porcelain stoneware tiles.

3. Description of the sales market

The difficulty of opening a building materials store is that there are many building hypermarkets and retail companies on the market that provide a huge range of products. Large networks cover all stages of construction and renovation - from the beginning of construction to finishing the premises. In addition, it is impossible to compete with such companies on price due to the huge difference in the scale of activity.