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How many styles/colors should I start off with? There are some questions you should ask yourself before this one in particular. It really depends on the amount of capital you begin with (how many can styles/colors can u Afford too produce?) and what kind of line you are developing (street wear, urban, tops, bottoms)? Who will be manufacturing my line and what are their minimums? What stores may be willing to carry my line? How many shirts can I possibly sell? (Nothings worse than having shirts sit and your losing money!)

Fashion06

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Do I need a tax id? Yes/no. This is not necessary up front because your business might be over before it starts due to the nature of the business. Therefore you will be operating under the radar to begin with and Uncle Sam want take notice till your company is making sales (You didn’t hear that here!). I would recommend it though because it?s useful (Some wholesalers require it) and it cost next to nothing!

Fashion06

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Who pays for shipping?
Most of the time retailers pay for shipping which will be included in the invoice shipped with the purchased garments unless of course your company has some special incentive; for instance increasing the chance of retailers to buy from you by offering free shipping or going half on it

Fashion06

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What kind of payments should I accept starting off? COD (Cash On Delivery) , but there are other terms such as net 10 or net 30 .Most start-up companies do not offer these terms due to less cash-flow to extend retailer?s credit.

Fashion06

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How many accounts should I startup with?
Ask yourself how many u can handle? I think you should start off by talking too retailers and see who is interested. Once you have store owners willing to carry your line. Decide which stores you really want to work with and start off with 2 or 3 and see how your products move. If you can handle that amount then maybe pickup 2 or 3 more and then grow from there. When beginning this is probably not a problem for most of us you will probably find more of a problem getting retailers to carry your line and paying for it up front. (None consignment agreements)

Fashion06

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How do you determine set prices for my garments?
The wholesale of your shirts usually determines what price they will be available for at retail. Your wholesale value is determined by your manufacturing cost per garment and then you decide what u would like your profit margin to be. Your markup per shirt could be anywhere from 2x?s to 2.5x?s what u paid for each garment. Which most retailers double whatever your selling price is and sometimes even more than double it. It truly depends on the mark up of the garment and the store price points. In a certain case you might pay $5 for each garment markup for your company is 2.5x the cost which is a wholesale of $12.50.Which could result in a retailer selling it anywhere from $24-$32.

Fashion06

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Should I go for Online vs. Store accounts first? That really depends on what kind of presence you are trying to build in the Street wear Arena. Online stores can give you a lot of exposure consumer wise on a larger scale but I think actual store fronts build the foundation for a line and gives u a chance to build a relationship with a store buyer and get direct feedback from the demographic that the store sells too. It also gives the consumer a firsthand look at your brand rather than just a picture and a description.

Fashion06

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What?s the first thing I should do before starting a brand?
Do Your Homework!! Research, Research and once you feel u have done enough Research, Research some more?but don?t procrastinate. When you have a feel of what it?s about jump in there and get started. Be your first ?fan? if you don?t believe in your own product how do you expect anyone else too purchase it. Also u may think of interning for a larger more established company in order to build buyer relationships and networking with their contacts. Once you have created your line you already have a list of buyers and contacts to present your brand to!

Fashion06

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Do I need to register my trademark (logo) before starting my business?
I would say no because most cases an apparel line will die out within the first year being realistically and you will have wasted your time and money. Until your brand is something to talk about don?t worry of bootleggers or fakes because they never heard of you. Once you consider sticking the business out for the long run this is a definite MUST

Fashion06

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Do I need a business license for my clothing company?

Your business is only as serious as it looks. If you sell your shirts out the back of your car it will most likely look like a brand u sell out the back of your car! So I would say apply for one it?s not hard or very expensive. It would bring a certain level of professionalism too your business and make stores take your brand seriously. Yes get a business license if you want to be taken seriously.

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