How to Create an Interior Design Business Plan

How to Create an Interior Design Business Plan

Did you know that the average interior designer stays at their job for up to two years? Interior designers tend to stay with companies for little time before deciding they want to do freelance work or start their own business.

If the latter is true for you, you’ll need to bring your idea to life with a business plan.

Keep reading to learn how to create an interior design business plan.

Business Description

The first portion of an interior design business plan is the description. This is an executive summary that covers what the business plan will include. For example, these elements should be in the business description:

  • Mission statement
  • Product and services brief description
  • Summary of financial growth plans

You can write this last even though it is the first page of the business plan. This will help you highlight things you’ve identified throughout the plan.

You’ll also need to describe your company with the following information:

  • Registered business name
  • Business location
  • Key business staff

Define your business structure as well.

Business Goals

Use an objective statement to define your business goals. This will spell out exactly what you want to accomplish in the present and future.

If you need a business loan to obtain startup finances, you can use this section to explain your needs for funds. Answer how the money will help your business grow and how you expect to reach growth targets.

Products and Services

You’ll use this section of the business plan to go into detail about the products and services you offer. Most interior design companies offer services, but some choose to sell their own products as well.

Include the following in this portion:

  • How your products and services work
  • The pricing model for products and services
  • Typical customers you serve
  • Supply chain and order fulfillment strategy
  • Sales strategy

Discuss any trademarks and patents you have or expect to get here as well.

Market Analysis

Your financial plan should be backed up by a market analysis. If you expect a lender to give you money, you need to show how your interior design firm is set apart from the competition.

Explain who your competitors are and what they do well. You can use a SWOT analysis to prove what you can do better than them.

Marketing and Sales Plan

You’ll create a marketing plan to address how you’ll attempt to persuade customers to use your interior design services.

It’s best to build a website, write blog posts, and be present on various social media platforms to market your new business. Learn more about the importance of blog posts for your interior design business.

Financial Analysis

The last part of your business plan should be your financial analysis which includes financial projections. You can add important metrics such as:

  • Net profit margin
  • Current ratio
  • Accounts receivable turnover ratio

Financial projections are critical if you are seeking financing. They should outline how your business plans to generate enough profit to repay a loan.

Create an Interior Design Business Plan Now

Every business needs a business plan and if you want to start an interior design company, you have to write one. Business plans are especially important for receiving financing and setting goals.

With this guide, you can create an interior design business plan that leads you to success! Don’t forget to keep coming back for more posts like this on our blog.