Funding is needed to increase production capacity, aggressively market to prospective customers and lease/buy new retail outlets to penetrate the market.
The company will thus reach a payroll of 100 employees.
Funds will be used for working capital (building inventory and expenses for lead time between purchase and sale), machinery, vehicles, etc.
We manufacture uniforms of all types, made-to-order and ready-made, and retail them together with sportswear. Our main customers are schoolchildren, but now we are getting inquiries from airlines, hospitals, municipalities, etc.
We also plan to start manufacturing high-quality casual and formal wear for the elite.
Currently we have two outlets located in the vicinity of large schools. We plan to open two or three more outlets to be close to other large schools so that we can cover Bahrain fully.
In the second phase, we plan to cross into Qatar and the Eastern Province of Saudi Arabia, which has a larger population than Bahrain, and our competitors are only fragmented small tailors.
Unique sales proposition:
Our quality and service is better than the best of the competition. That is why there is constant flow of business that we have to turn down due to lack of funds.
Hitherto, we have had 4 or 5 tailors sitting in the mezzanine floor of each outlet. Now we have leased a centralized production area that will cater to all outlets, including the ones in other countries. We will acquire the latest computerized machines that will improve production, reduce time, and enable us to produce certain items that before we used to buy ready-made.
We plan to have our own offices purpose-built, with the outlet for casual and formal wear in the front, so that there is interaction between the owners and the customers.
There will be about 100 employees, with proper division of responsibilities between supervisors, who will report to the two Directors.
One director has been leading the company for the last 11 years and knows the customers and business thoroughly. Before starting the company, she worked for a bank.
The second director is a senior financial management professional, who will mainly deal with finance, strategy, stores and administration.
Utilization of funds:
Most of the funds will be used to purchase and stock fabrics for production, where the time to convert raw material to cash takes about 4 months – circa $5.4 million.
Acquisition of real estate: the purchase of own offices, retail outlets and staff accommodation will require circa $2.5 million.
Machinery, transport vehicles, miscellaneous capital expenditure, etc. – circa $2 million.
The past has shown excellent growth through customer loyalty and the recognition of the company for its service. The potential is huge as many large orders from airlines, corporations and municipalities are being turned down due to lack of funds.
As soon as funding is arranged, we will launch an all-out effort to tap the business that is either going abroad, or to the small tailoring shops that do not provide a high-quality service.
Investors can contact us on Merar.