Sweet Pea Repeats is a children’s resale store for cost-conscious parents of children ages 0 to 10 years. Sweet Pea Repeats will focus on the buying and selling of high-quality, new and gently used apparel, toys, baby equipment and furniture for children at affordable, family-friendly prices.

Who is your market?

Our target market will be the budget conscious customer who is always on the lookout for a good deal, growing families, new moms and grandparents. Having to buy everything new for these tiny people can get very costly. Especially when some kids only wear an outfit a few times before it’s outgrown.

Sweet pea repeats ideal customer is a 25- to 45-year old mother with young children. She is likely married and always busy, juggling work and an active family life. She puts her kids first and strives to provide them with the best clothing, shoes, baby equipment and toys, but also appreciates a great deal.

Sweet pea repeats target customer wants her family to look stylish even if they outgrow their outfits in the blink of an eye. She is socially and environmentally conscious and feels that recycling her children’s clothing is a way in which she can help the cause. With such a busy schedule, she values convenience and friendly store staffs to help her get shopping tasks done efficiently.

Who else is investing in this company?

No other investors. We will only have the owner’s equity of 52.17% and a $30,000 commercial loan.

Who is your competition?

Our current top competitors are goodwill industries and the Salvation Army. Our cur­rent location is within a community that has few resale shops. We do have a major competitive advan­tage over our competitors; we offer our customers money for their merchandise as well as a quality assortment of merchandise within an inviting environment.

The used merchandise industry is dominated by Goodwill Industries International, Inc., a private, not-for Profit Company based in Bethesda, Maryland. It operates a chain of secondhand stores and provides vocational training for young people. Founded in 1902, the company employed 60,000 people and generated more than $1 billion in revenues in 2002.

Goodwill strove to update its image in the 2000s, revamping many of its stores and adding amenities like coffee shops and used bookstores within their facilities. With new, professional remodels, Goodwill also began opening superstores with up to 25,000 sq. ft. of selling space. The average Goodwill store has about 7,500 sq. ft. of selling space. The company operated approximately 1,900 thrift stores. In 2002, revenue from the retail sale of donated goods totaled $1.13 billion and accounted for 54.7 percent of its total revenue.

Clothes don’t grow, kids do! Resale is an especially attractive category for kids clothing given how fast they outgrow the things they own. Consumers are shopping resale across the country, from big cities to small towns, and everywhere in between. The secondhand market is rapidly expanding as it becomes more approachable, convenient and trustworthy. And at every income and fashion level there is opportunity in resale, which explains its wide appeal beyond just the most savvy style seekers.

Resale is now a desirable trait, and it all started with cars. Consumers bought “used cars” until dealers and manufacturers understood the segmentation opportunity provided by “certified pre-owned.” By getting a customer into a branded, certified pre-owned car, you could build a customer for life. Electronic manufacturers have done the same thing through their “refurbishment” programs. In the past, we bought “used electronics,” now we buy “factory refurbished” phones, computers, tablets, TVs, etc. In both cars and electronics, “trade-in” is now a normal part of the product lifecycle and value proposition as brands try to maintain customer relationships and engagement.

Reduce. Reuse. Recycle. Resale. When customers clean out their closets, they make room to fill their closets with fresh new items. As the velocity of closet turnover increases, consumers get more use out of the clothing in the ecosystem and fewer items end up in landfills.

What is your competitive advantage?

Most consumers don’t associate Goodwill or the Salvation Army with boutique shopping. Thrift-shop chains are now trying to capitalize on their shabby-chic reputation by embracing a more upscale look. Goodwill does not have any other major competitors, other than the local thrift stores. Goodwill has also invested in creating intimate, high-end shopping experiences where hand-picked merchandise lures younger shoppers who no longer have time to weed through the bins. When the recession hit, consumers shied away from full-priced goods and shifted their dollars into the secondhand market. The Salvation Army is also trying to upgrade some of its local donation centers in order to boost sales from new customers. It has not been as successful as Goodwill has been.

Due to Jefferson City’s size, there are relatively few stores that will be in direct competition with Sweet Pea Repeats. The two closest competitors will be Goodwill and The Salvation Army.

Considering the information from this chart, there are no currently existing Jefferson City resale shops that are exactly like Sweet Pea Repeats.

Competitor	Strengths	Weaknesses
Goodwill Industries	One of the world’s largest not for profit organizations They operate over 2,200 store locations Carry a variety of merchandise Established in 1Due to Jefferson City’s size, there are relatively few stores that will be in direct competition with Sweet Pea Repeats. The two closest competitors will be Goodwill and The Salvation Army. Considering the information from this chart, there are no currently existing Jefferson City resale shops that are exactly like Sweet Pea Repeats.	They do not have good quality control Their customer service is weak
The Salvation Army	Their work spreads further than retail stores One of the largest social care providers in the world	Poor selection of merchandise Poor quality control

With many families struggling to get by these days, parents need affordable options that don’t sacrifice quality when it comes to their children. Establishments which sell used merchandise not only prevent more goods from going to landfills and extend the life of products still in working condition, but can also offer hard to find, one-of-a-kind merchandise.

How much are you asking for?

$25,000

Is this a loan or an investment?

This will be an investment

If an investment, what is the percentage of ownership?

21.74%

Answer rating: 100% (QA)

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