City Helps Fashion Firms "Design" Business Plans

April 1, 2007 - When the major design houses show off their creations at New York Fashion Week in February and September each year, all eyes turn to the runway. But the fashion industry has an important presence in New York City year round. The Department of Small Business Services’ Business Solutions Centers provide free direct assistance to fashion firms, helping them develop business plans, secure financing and access government incentives.

Jerry Tam came to the Lower Manhattan Business Solutions Center – operated by SBS’ community partner Seedco-- to discuss financing options for his fashion design company FORM, located on Broome St. in Manhattan. The Lower Manhattan Business Solutions Center counseled Jerry on letters of credit, small business loans, company benefits and more. After analyzing FORM’s business, Tam and his Business Solutions counselor decided that Purchase Order financing was in order. This type of financing is a tool used by small businesses to defer payments until they are paid by their customers. Tam applied for and received this type of loan.

"We greatly appreciate the opportunities [provided by Business Solutions] thus far and will continue to use the NYC Dept. of Small Business Services," said Tam. "In a creative market industry, many of my peers are opening businesses for themselves in fashion PR, design, and editorial/magazines.  I would highly recommend and refer others to the services and support of the NYC Dept. of Small Business Services."

Give Accessories, a firm located on Seventh Ave. in Lower Manhattan that designs travel accessories and donates a portion of its proceeds to designated charities, is another fashion company that has benefited from the services of the Lower Manhattan Business Solutions Center. Christine Valenti, owner of Give Accessories, turned to the Center for help with her business plan and loan application.

Working with her Business Solutions Center accountant, Christine gained insight into strategies for approaching investors and the tools necessary to compete in the fashion industry. She says, "(the accountant) has been so helpful… I have expertise in my industry, but have never worked with pre-money valuation or analyzing competition within an industry. She helped me figure all of that out!"

Interested in accessing the free services of the Business Solutions Centers? Click here to find one near you.