Clothing business

>1/3 of the price of the products on the market

No shit idiot. The other 2/3 is profit.

>>1286836
Sorry I didn't clarify. What I mean is that with a 37% profit margin we can still sell products at 1/3 of competitors price, problem might be quality thou.

>>1286836
Also higher profits come from better brand recognition and quality associated with it.
Why am I even wondering about this, well the brand thingie is important and people are willing to pay for it, for example some fitness model, starts selling some fitness related workout products and some t-shirts. initially he buy's shitrs from costco or whatever at bulk brands them with his stuff and sells them with 300% profit. Why I'm bringing this? Clothing is all about branding. Anyone remember kind of notorious Ryu clothing pump and dump waay back? http://www.ingrainedmedia.com/respect-your-universe-ryu-closes-the-door-on-mma/

>>1286843

That's not how it works. That $100 NASCAR jacket at Dicks Sporting Goods only cost the company $20-30. You have no edge on them from a gross margin side.

Can you make your expenses smaller, perhaps. It'll take a while.

You can still get a cut of the market share, but first you need to focus on building a customer base, name recognition for your store (start with Amazon/ebay, get a legit-sounding business name, logo etc and branch out). Local, you also need to hit the advertising a lot, and location is huge (how much traffic goes by, how many of them your target demographic etc.).

Branding of the clothing doesn't matter much at all, but ideally it's officially licensed and doesn't have some Chinese bullshit on the clothing tags. Carhartt or Dickies is fine, even. You need to figure out what drivers are hot, what will sell. Dale and Dale Jr are obvious ones. Jimmie Johnson, Danica Patrick, Jeff Gordon, anyone who's doing good right now.

If it's not licensed, you're not going to get anywhere near the numbers you want.

But it does need to feel like decent quality. If it's a thin windbreaker, of course that won't fly. Needs some weight to it, needs decent lining (you may want to compare weight to the jackets that NASCAR.com sells.. come within 10-20% of that).

>>1286967
Thanks, first decent advice. Well, we are talking about different country than US, so competition is weaker. There is a lack of local brands, so that might be a plus. Also guy seems to have contacts in country's rally scene, so he could get some local rally drivers to wear it in country thus give us recognition. Guy also owns motorbike rental chain so some customers could come via that route. Some foreign tourists might get tempted to buy some fashion, if quality is decent and price right. I have contacts in a few EU countries so I could theoretically put some clothing stuff on sale in other countries via internet and through local clubs.

>>1287062

Sounds reasonable. You just need to calculate all your operating expenses based on which route you'd go, worst-case scenario how much you lose, and eventually you just need to decide to do it or not, once you've done enough research and have everything lined up.

You will be disappointed if you expect 60% profit margin. If you invest $10,000, you might make $1,000-3,000 after all expenses. But then you have to factor in labor. Ideally when it's settled, you make market-rate for wages on the time spent, plus 10-20% net profit.

Or you might break even or lose money while you build up business. Probably better that way, $100,000/year in sales after losing $20,000 to build up to that revenue is better than being stuck at $5,000/year forever. Of course, it's not that easy and there's no guarantee you'll make money. If there was, the margins would be razor thin.