2019

02 06

Concept Note

About our Company

Sol & Wax design Ltd is both a company and label registered in Rwanda and with
headquarters in Europe.

We are a fashion design company involved in producing garments which are used in
Rwanda and exported outside the country especially Europe.

By stepping into the world of fashion, we wish to upgrade the image of Rwanda and
Africa in this industry. The ‘ready-to –wear’ is our motto. We dress our customers in a
contemporary, classy and elegant fashionable outfits made in Rwanda.
We want to be part of a quintessentially African history with original designs and
make them reach popular standards like the jeans from America. Promoting these
products will also promote Rwanda in a fashion way. We also want to become a top
notch reference worldwide.
In Rwanda, Sol & Wax is located at Kacyiru, Gasabo District of Kigali City, just a bit
down from the American Embassy.

Our Vision
To become the best fashion and design company that links Rwandan and European
markets.

Our Mission

To enhance and promote the Rwandan and African know-how in textile products
worldwide by showcasing beautiful, modern and cultural garments.

Our Goals
Our ambitious goal is to give recognition to Rwandan and African fashion garments
that can be recognized internationally and help to attract foreign producers to our
markets and into our line of products.
Our Objectives
The objectives of our company and its operations are:

• To provide quality products at reasonable prices and with exemplary services;

• To maintain a constant 3% annual growth in sales;
• To retain and recapitalise profits from the first year of operations;
• To maintain a high level of customer care service in all our shops.

Our Management

The company's management is highly experienced and qualified. We strive to hire

qualified people who take pride in their work. The company's management
philosophy is based on responsibility and mutual respect. Sol &Wax maintains an
environment and structure that encourages productivity and respect for customers
and fellow employees.

Products and Services

• Women apparels;
• Men clothing apparels;
• Children clothes;
• Home designs;
• Accessories that include shoes, belts, bags, etc.

Competitor Analysis
Our direct competitors in Rwanda are:

1. Rwanda Clothing;
2. House of Tayo;
3. Kigali Design Ltd;
4. C&H Garment Factory.

However strong our competitors seem to be, we do not fear the competition because
everyone is busy doing what they do best. Our competitive advantage is on the unique
styles, prices and the best as well as quick customer treatment.

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Our Customers
A) Key accounts

Fashion Shops / Boutiques

These include shops working with tailoring houses and who are constantly ordering
for new clothes. Example: African wax fabrics. This includes online shops, made in
Rwanda shops, hotel shops, etc.

B) Premium Customers

Big Companies

These are companies with a lot of employees, such companies are good for us
because they change/need staff uniforms quite often, most importantly these
companies are the type to wear sets of costumes, which serves our competitive
advantage.

Hotels, Choirs (and other groups of people)

These include a group of people randomly making orders of a big number of clothes
for a specific time. Hotels usually order uniform, napkins and other related things in
the beginning or when they open. Choirs do want uniforms mostly at the end of the
year or even when they have a big event.

C) Regular Customers

Individual Customers, home design and accessories

These include one person buying or ordering for our products. These are also our
day-to-day customers. Usually these are looking for our innovative ideas to help them
choose designs.

Business Impact

Our business has a direct positive impact on the lives of our partners, staff members,
clients and the country. We want to position ourselves very well so that we can
become great players in boosting Rwanda’s exports and in promoting the ‘Made In
Rwanda’ initiative.
Once we have grown according to our 5-year plan (whose finance summaries are
shown in the tables below), we shall increase our Corporate Social Responsibility
(CSR) impact and we’re pretty much sure to change lives and communities positively.

3
Our Prices

Customers / Products Units /Year Average price

(or size) per unit
Key accounts 2,880 17,500
Premium customers (Bulk purchases) 1,440 15,900
Regular customers 720 17,363
Home design (interiors) 96 15,000
Accessories (shoes, bags, belts, etc.) 360 20,000
Note: We sell a full set of a suit at 95,000 Rwf., but this won’t be an average price
considering the number/value of sales in that category per year. We think it is realistic
to our customers, especially our day-to-day clients as they are used to the prices.

Our Finances
Capital structure Share structure
Technical expertise = 15%
Item Amount % Type %
Equity 23,000,000 56% Internal Funds Needed 66%
External funds 18,000,000 44% External Funding 34%
Total 41,000,000 100% Total 100%

5 Years Sales Forecast

Sales Growth p.a: 3%
Sales/Year Year 1 Year 2 Year 3 Year 4 Year 5
Key accounts 50,400,000 51,912,000 53,469,360 55,073,441 56,725,644
Premium customers
(Bulk purchases) 22,896,000 23,582,880 24,290,366 25,019,077 25,769,650
Regular customers 12,501,360 12,876,401 13,262,693 13,660,574 14,070,391
Home design
(interiors) 1,440,000 1,483,200 1,527,696 1,573,527 1,620,733
Accessories (shoes,
bags, belts, etc.) 7,200,000 7,416,000 7,638,480 7,867,634 8,103,663

Total Annual Sales 94,437,360 97,270,481 100,188,595 103,194,253 106,290,081

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Profitability

Net Profit per Annum

50,000,000 45,792,326

37,543,662
40,000,000
32,027,154
28,302,811
30,000,000

17,487,880
20,000,000

10,000,000

-
Year 1 Year 2 Year 3 Year 4 Year 5
NET PROFIT 17,487,880 28,302,811 32,027,154 37,543,662 45,792,326
Pay Back 1.3 Years

Conclusion

Sol and Wax Design Ltd. is an African initiative that is ready to compete at the local
and international level in order to satisfy its customers with fashion designs and
apparels. The company is already growing on both markets in Rwanda and Europe.

The founders’ aspirations are big especially that they currently need good partnerships
in order to sustain the operations and grow rapidly while making a long lasting impact
for the peoples and the economy.

The starting was good; the growth needs to be ensured. Our capital of almost Frw. 23
million needs to be increased to Frw. 41 million in order to achieve our objectives.

The company is striving to participate in the ‘Made in Rwanda’ initiative by exporting

the clothes with a Rwandan look or “touché”.

Since it is always good to pay attention to market preferences, we welcome all the
ideas from whomever we come across, whether for complements that inspire us or
criticisms that help us to improve.

Thanks for your time in reading our concept note.

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Sample pictures from our shop

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