Childrens’ clothing: A profitable business

Do you have an acute business sense but keep wondering where to invest?
Look no further that a children’s clothing business.
Clothing, especially for children, is actually a serious business. So much so that it might require you to give up your corporate job with a steady income source. Why? It is also a full-time job!

This article elaborates on the inner workings of this business. The fact that children will outgrow their clothes in a short while only means that their parents keep returning to buy others.
Business experts say this is a very lucrative venture to start and the beauty with it is that it is not capital intensive.

Mr Newton Buteraba, the chief executive officer of House of Wealth in an interview with Prosper magazine, notes: “This is one of the most profitable businesses especially if you use the model of starting with the people within your circle as your first point of contact.”

Methodology
Ideally, after ascertaining your friends who want the clothes for their children, go ahead and select the segments depending on the age.
Mr Buteraba says customers will identify you if you have a niche. If you segment the clothes depending on the age say, from newborn to three years or from one year to 10 years, you will attract customers.
“This will help you to respond to the tastes of the customers, depending on your business model. You can decide to specialise in only cotton clothes which are mostly recommended for children,” he added.
Or else you can opt for unisex (neutral) items so that you don’t miss out on all the customers.

After choosing the segments, look out for the source. This could be imports from China or United Kingdom. You can also decide to go for used clothes imported and sourced locally.
Buteraba shares that if you have not yet established your footprint in this business, setting up a brick and mortar shop may not bring many customers.
“If you want to profit fast in this kind of business, you have to do a door-to-door marketing approach,” he adds.

Money
The beauty with this business is it is not capital intensive. You can start with Shs100,000, stock the collections, sell and then plough back the proceeds to grow the business.
You will be amazed how the Shs100,000 can multiply into a Shs1 million at the end of the month.
Sharing his story to Prosper Magazine Alex Musoke operating a Children’s clothing business at Nabukera Plaza in downtown Kampala, says “Whenever I would travel to the Dubai and China to import electrical appliances, I would shop clothes for my children. Since these clothes were nice, some friends would send me to bring for their children.”

It is from this experience that Musoke hatched a plan to start importing children’s clothes.
Five years later, Musoke is now into children’s clothes. He has no regrets.
“In my first consignment that I imported and mainly sold to a circle of my friends, I only invested Shs1million. Within three days, I had sold all the clothes and made a profit of Shs360,000,” he says.
Today, Musoke buys in bulk and also retails to his network of customers on his social media pages.

He shares that a business he started with an investment capital of Shs1 million has multiplied into three other shops spread in the suburbs of Ntinda, Bweyogerere and Kyengera all worth Shs150 million.
According to Mr Musoke, there is no single day he has not sold a piece or pieces to those who buy in bulk.
“Because children grow at every moment, clothes stop fitting them. This calls for parents to stock. This means business to me,” he added.

Advice
To succeed in this business, Musoke says that besides looking out for trendy designs, it is wise know the taste of your customers.
“Ask your circle of friends about the age of their children, what the parents would want to buy and at how much. Work within their budget,” he adds.
If you want to be stationed in a particular place, choose your location wisely. Make sure your store or shop is accessible to many parents.