Report for Business plan for Skin Glow Co.

Co.

Submitted to-
Dr. Anjani Kumar Singh

Submitted by-
Shagun Roy-64
Shivang Gupta-63
Risha Singh-03
Ankit Kumar Rai- 46
Raunaq Arora-57
Ankit Kumar Varun-43
Y Avinash-TM(01)
 CHAPTER 1 -
EXECUTIVE SUMMARY

Overview of the plan

Beauty and beauty products have always found a favourable audience and continue to be
popular and sought-after products, thus making beauty and cosmetic products a serious
business opportunity that is witnessing a steady and consistent growth. This growth and
demand for cosmetic products is seen more so now especially in the times of social media
platforms, video blogs and Instagram, when every new cosmetic product is tried, tested,
promoted and advertised via several influencers and celebrities.

Starting a fashion business is a good opportunity to consider for aspiring entrepreneurs.

Cosmetics business is evergreen & popular sector that has several new products being
introduced routinely and is something that most individuals require routinely.

Cosmetics are merchandise and solutions which are used in skin care, nails, hair care and
pores and skin coloration that deal with them, enhance pores and skin, hair, nails, skin color
and improve even extra the general look.

Umbrellas inside the cosmetics business have three vital areas. They consist of colour
cosmetics, also referred to as make-up, fragrances, and skin care. Although these regions are
carefully associated, they fall inside the non-public beauty routines of various consumers.

It is clear that the cosmetics enterprise is usually one of the maximum worthwhile things to
start a business. And meaning that the demand for beauty and private care merchandise
remains consistent in unique segments of the populace.

By starting a cosmetics business in India, we are able to meet this demand by way of
promoting a wide range of merchandise in all associated classes or with the aid of focusing
entirely on selling cosmetics.
 CHAPTER 2
ABOUT THE COMPANY INDUSTRY ANALYSIS

Business Idea/plan essential for cosmetics

Own Manufacturing

Under this business model, entrepreneurs manufacture their own cosmetic products, whether
it is makeup products such as lipsticks or highlighters or nail paints or even skincare products
such as oils (for hair or body oils) or shampoos etc. Manufacturing is a great business It's an
idea, but it calls for knowledge of beauty manufacturing generation and a massive investment
in shopping the vital system to accomplish that. Additionally, production requires unique
licenses and lets in from the FDA. However, cosmetic production is a totally rewarding
commercial enterprise idea.

Retail Store of Specific Brand

Retail is the recommended business model that a number of entrepreneurs opt for, where they
sell or promote cosmetics in the store. An impartial flagship shop sells most effective certain
cosmetic manufacturers. For example, sell all products under the Lakme or Chamber emblem
names. Because beauty manufacturers are widely promoted and maximum manufacturers are
famous, this sort of retail business model of merchandise from a particular logo creates a
loyal and stuck patron base and creates an enterprise identity. It is also beneficial for
growing. However, what's missing in this commercial enterprise is the sort of alternatives that
customers can also need to look.

Multi-brand Store

Cosmetics business the most popular are stores that sell special well-known brands and
different sorts and sorts of cosmetics beneath one roof. Multi-emblem outlets meet the wishes
of a large audience and clients of every kind. In a multi-logo keep, customers can benefit
from the huge form of options and options available. However, the most effective drawback
is that the commercial enterprise proprietor has to stock up on a huge variety of cosmetics.
Online Store

Another manner to run a cosmetics business is to open a web save. Online product income
are actually a completely successful means of doing enterprise and feature the advantage of
achieving a huge target market each nationally and internationally. The on-line shop
additionally permits you to circulation movies and tutorials on new product launches and the
way to use a few merchandises, in addition to create tutorials. However, the web shop does
no longer have a non-public sense and customers may additionally hesitate to shop for the
product without physically checking or testing it.

Also, businesses such as anti-aging clinics, aromatherapy, beauty salons, beauty spa, hair
salon and Even make-up artists, along-side cosmetic shops, are a part of the cosmetics
commercial enterprise and may be seen as a way of doing enterprise.

Each cosmetics commercial enterprise model has its personal strengths and weaknesses,
however notwithstanding the version selected to run the enterprise, the cosmetic industry and
the cosmetics business are worthwhile and growing rapidly. It's a employer.

Regardless of the form of cosmetics business, a key factor to do not forget is the precise
basics of running an internet or offline business, making sure hit start-up and worthwhile
operation and growth of the enterprise. It way that you want to bear in mind critical info. The
most simple and crucial of them is growing a marketing strategy for a cosmetics shop.

Entrepreneur in Beauty & Cosmetic industry

One of the industries is booming is the beauty and cosmetic industry, wherein people always
had a notion of opening a small parlour in their streets. Women have made an attempt and
prove that beauty industry is much more advanced and plays a role in career growth too.
They have accepted challenges, the roles and responsibilities coming in their way and at the
same time building their own identity and reputation in this industry.

Beauty and Cosmetic industry play an important role and generating lot of job opportunities
to the people who have keen interest to make others feel beautiful. The demand of modern
women is increasing in a way that they are becoming conscious about their skin, hair and
their overall appearance. Therefore, many entrepreneurs are coming up with new ideas and
innovation to make their clients happy by satisfying their needs and requirements. The level
of income is also on higher scale since men and women are ready to pay for the services.

Challenges
Each and every industry has its own set of challenges and so do beauty industry has its own.
It is not so easy to own a salon if you really aspiring to make it a brand. It is one of the
seasonal businesses during winters when most of the Indian marriage takes place. One cannot
be reliable during specific months of the year but have to think overboard to get profits
during off season. The owners have to find out a way to promote their business differently
from their competitors in the market.

Another set of challenge is what other best services can be provided to your clients. The
owner has to be involved each and every activity and ensure things are happening according
to the plans. Since, the competition is high and one has to be market updated every time to set
a benchmark for their business to grow.

Demand
It is one of the businesses which have its own role in everyone’s life and so its demand is also
high. Indian women are so obsessed with the latest beauty and cosmetic treatments that they
prefer not to avoid it at any cost.

Due to which every salon is offering their best services and treating ladies according to their
needs. Many Indians, get attracted towards the latest enhancements done by celebrities and
they also aspire to have the same treatment for themselves which is on-going trend in the
market. Owners definitely keep themselves upgrade and the result is expansion of business
due to a lot of demands from the clients
Management Team:
 Chief Executive Officer (CEO)/ Founder -- This person will be the driving force
behind the company; he or she will make things happen, put together the resources
to support the company and take the product to the market place.
 Chief Operating Officer (COO), Vice President of Operations or General Manager
-- Whether called an organizer, an inside manager or an operations person, this
person is the one who will make sure company operations flow smoothly and
economically. He or she is responsible for making certain that necessary work is
done properly and on time. An understanding of details of the business and an
enjoyment of handling details are necessary.
 Marketing Manager -- Few businesses can be successful without marketing their
products to the customer. The individual in this slot must have both marketing and
industry experience.
 Finance manager-Finance managers analyze every day financial activities and
provide advice and guidance to upper management on future financial plans. They
are the root of all major business decisions and their role is crucial to the success of
any organization. Finance managers may be employed in many different
environments, including both public and private sector organizations. They also
operate in a variety of industries, such as banking, finance, healthcare, and
insurance. Typical duties include reviewing financial reports, monitoring accounts,
and preparing financial forecasts. Finance managers also investigate ways to
improve profitability and analyze markets for business opportunities, such as
expansion, mergers, and acquisitions. The position of finance manager usually
requires an advanced degree in accounting, business, economics, or finance, as well
as several years of experience in a finance role.
 Production Manager -- Good production managers with specific industry
knowledge and experience are sometimes difficult to find. In the beginning, you
may subcontract some production.
 logistic manager / supervisor-- This individual is the second-in-command in the
shop and will oversee production in the absence of the owner, general manager or
president. This position usually will have an overall understanding of all aspects of
the business and also will handle working with new employees, including setting up
training and schedules.
 IT Executive-- Managing information technology and computer systems.
Controlling and evaluating IT and electronic data operations. Managing IT staff.
 CHAPTER 3
BUSINESS MODEL

Business Mission and Vision

Your mission announcement is the primary to be included on your cosmetics business

strategy. Think of it this manner. Statements can be a navigational tool that provides a story
about your organisation's future plans. Additionally, the announcement shows the cause of
your work, making it smooth to identify your corporation desires and preserve you dedicated
to attaining your mission and vision.

Generally, the mission and vision statement is the bedrock of your business. It should play
three vital roles, which include:

 Communicate the purpose of your venture

 Give direction to your development strategy
  Identify measurable company objectives you can use to gauge the success of your
business strategy

Identifying our Business Niche and Audience

There is the entire world of cosmetics. Therefore, with a view to understand your audience,

you should outline your very own course into the enterprise. For example, in case you choose

to specialize in true private care products, your goal customers may be younger or

commercial enterprise-Skin Glow Co.. That stated, it might be clean to analyze your tastes

and possibilities. Most importantly, you could examine their developments and find out how

they purchase. This is essential information that you can use to take your business to the

subsequent degree.

When your cosmetics business plan targets a specific target audience, matters unexpectedly

start to pass properly. This will give you a very good concept of a advertising strategy that

might paintings. After all, in case you pick out skin care for older humans as your enterprise

niche, you could no longer need to apply a marketing approach that works frequently for

young people.

Develop a Manufacturing Strategy

So, are you going to produce your personal cosmetics? If so, you need to have a
manufacturing approach. There are normally options. You can pick to fabricate the product
directly from the laboratory. Second, you may lease the producer to do the difficult work to
your behalf. In either case, it's miles crucial to have a plan to make sure a easy glide of
products in your commercial enterprise.

Each of the 2 strategies has its strengths and weaknesses. For example, in case you
manufacture cosmetics in the laboratory, you may effortlessly control pleasant manipulate.
On the disadvantage, this can be a financially difficult alternative. On the other hand, it could
be less expensive to paintings with the manufacturer. In this situation, it's miles crucial to
devise crucial components along with logistics, contractual obligations and price range.
Regardless of your preference, ensure it works nicely for your enterprise model and is in
keeping with your mission and vision.

Cosmetics Business Plan; Keep an Eye on Financing 

If your purpose is to create a cosmetics business empire, you may no longer want to have
1,000,000 greenbacks in capital. However, securing investment to maintain your commercial
enterprise jogging is just as critical as having a solid cosmetics business plan. Assuming you
have already got capital, the subsequent step is to analyse the monetary impact of several
important actions, together with manufacturing and retail techniques. The idea is to maintain
track of your cash to ensure easy operation.

There are numerous ways to finance your commercial enterprise. For one component, you
could pick out a safer alternative and depend on loans from pals and circle of relatives.
Second, you could rely upon monetary institutions like banks for coveted sources. The 1/3 is
to contain traders and break up the income. The crucial element is to have a economic plan
that maintains the doors of your business open without significantly affecting your bottom
line.

Develop a Clear and Detailed Financial Prognosis

Detailed economic forecasts should make it less difficult to begin your business. Thinking
about it this way, your business may not be "wealthy", but there are drafts that make it an
appealing business for investors. Also, even if you don't have income, you could have a clean
plan of what to do and how to make a profit. In general, economic forecasts will provide you
with a great concept of your logo's ability.

As the name implies, monetary forecasts are forecasts or instead opinions. Ideally, it's miles a
systematic forecast of predicted economic developments via monetary statements. You want
a record of past enterprise price range, coins flows, and cash flows so that you can predict
what you will attain in the future in case you observe a specific cosmetics business strategy.

A detailed financial prognosis must include the following elements:

 Pro-forma income statements

 Pro-forma balance sheets
  Business cash budget
CHAPTER 4 - PRODUCT/ SERVICES DETAILS

Product/Services process description with R&D strategy

Above figure outlines the approach of a model aimed at solving the problem of R&D and
Marketing integration, based on the identification of organizational strategies, environmental
uncertainties, organizational innovation context, and Sociocultural differences between
managers, technicians and experts. Once these points have been identified, an analysis is
conducted to reveal the degree of perceived required integration, as well as the degree of
achieved integration. The difference between the two values, i.e., the difference between the
degree of required integration and the degree of achieved integration, results in the
integration gap. This gap is precisely where the company must direct its efforts to allow the
equalization between the required and the actual integration.

The company under study is a cosmetic raw materials manufacturer. Founded over 10 years
ago, it has launched more than 200 products in the pharmaceutical and cosmetic areas. In
addition to developing partnerships with researchers from two major universities, the
company operates with an open innovation model that allows strategic alliances both within
Brazil and abroad.
Its products and services are commercialized in over 50 countries. Up until the end of 2011
the Marketing and R&D areas were separated and did not show great interaction. From 2012,
the decision to unify the areas under a single directorate was made. In 2014, the areas were
again separated and showed no integration until the beginning of 2015. From that date, great
effort was made to foster interaction between the areas through procedural and behavioral
initiatives.

From the procedural point of view, a series of practices were established to make market
evaluation compulsory prior to the initiation of research projects. Such analysis corresponds
to the market intelligence performed by the Marketing department. After gathering
information such as predictions on investment returns, target costs and competitors, among
countless others, the project is ranked and then directed to the R&D team, if approved. From
the behavioral point of view, the management of both areas has been making efforts to create
an environment of greater harmony, trust and transparency, so that the flow of information is
more efficient and differences in perception and concepts are minimized.

PRICING MODEL FOR VARIOUS CATEGORIES OF CUSTOMERS

Challenges in cosmetic product pricing

Cosmetics are in the lifestyle and brand business, therefore pricing not only determines the
profit you make when considering costs and customer preferences, but the price can suggest
quality or exclusiveness of a cosmetic brand. People respond emotionally to brands which is
why customers are willing to pay a higher price for certain branding or characteristics
regardless of the markup price. Price optimization for cosmetics brands is an area where
PriceBeam has long experience and expertise. Consumer goods companies benefit from price
optimization more than any other industry, but at the same time, it is often an incredibly
challenging task. Cosmetic brands are being increasingly transparent about costs , due to an
increase in demand for transparency from customers in terms of product costs and
ingredients, and this leads to a greater need to find the optimal price for your cosmetic brand
products.
One of the most vexing challenges faced by cosmetic brand firms is setting one price that
unifies all internal objectives: one price that simultaneously boosts top-line growth, is aligned
with the brand positioning, and increases penetration and growth.
The selling format also affects the price setting as well as the purchase decision of customers,
in online stores price is always lower than in the physical store. We must find a balance point
between the relationship between e-commerce market and physical store pricing. Our pricing
solution addresses this challenge by using data and statistics to find a price that does just that.
And it works every time.

PriceBeam has worked with companies from a broad range of industries, and we apply the
best practices from all industries when we help cosmetic firms optimize their pricing. In that
way, we continuously improve and innovate our current pricing method, making sure it stays
ahead of the game and is adjusted to prevailing industry trends.

PRICE POSITIONING & STRATEGY

If you need to price a product (or service) in a new market, it makes all the difference in the
world if you understand customers' willingness-to-pay. 

Demand / WtP curves like the ones above, show the optimal price point where the curve
peaks. In this example, the best price to optimize quantity is 10, whereas the optimal price for
optimizing revenue is 15. 

In the old days when research was expensive, this could be difficult to get through a
corporate approval if launching in many markets at once. These days, with cost-effective
research options from e.g., PriceBeam, the cost of getting these crucial insights should no
longer be an issue.
SEGMENT THE CUSTOMERS

Understanding different customer segments' willingness-to-pay is one of the most powerful

tools for increased revenue and profit. After all, different customers have different levels of
willingness-to-pay.

Market research can be done on the overall market but it is preferable to do brand health
research by customer segment. This provides insights into what customer segments are value
buyers and what customer segments are price buyers. Or what other customer segments
emphasize when choosing among product features and benefits.
NEW PRODUCT PRICING

Understand consumers' willingness-to-pay for new products, and use such insights to
optimize prices when launching innovative products.

In cosmetics, innovation is crucial for many brands. It is quite common that 20-30% of all
products sold are recently launched. Companies spend many millions in launch marketing
and advertising across multiple channels. However, they often struggle to set the right price.
With PriceBeam's price research, you can test different concepts and communication
strategies before launching, and understand consumers' willingness-to-pay for those options.
This provides solid facts and improves the likelihood of success of the launch, when launch
prices are aligned with value perception of the consumers.

MARKET LAUNCH PRICING

Setting the right prices when launching into new markets is often a challenge in cosmetics
companies. PriceBeam helps understanding market differences and setting optimal price
points for each.Pricing Managers, Marketing Managers, and Sales teams often find it more
difficult to get pricing right when launching a product in a new market, as opposed to pricing
the same product in an existing market. In theory existing-market pricing should go through
the same steps as new-market pricing and look at value drivers and willingness-to-pay, but in
many situations existing markets mean there is a reference point to base the price on. Such a
reference point is lacking if pricing for a new market.

CHAPTER 5

MARKETING PLAN

Target customers

01. Start Selling to Medium Size Retail Stores

Do not be tempted to include the large big-box retailers when thinking of selling your
cosmetics products. Your small company may not be ready for the big retailers. Some of the
larger retailers like to buy from the companies that are selling products only to the big stores.
So, choose small to mid-size retailers as your first clients. The interested retailers will ask
you for product samples. This may prove to be costly for small cosmetic companies but if the
medium-size stores agree to sell your line of products, it will give a boost to your business
right away.

02. Contact Distributors

Your business volume will rise quickly if you are able to get some wholesale distributor
interested in your beauty products. Many retailers prefer buying their inventories from
wholesalers rather than purchasing directly from companies or individual manufacturers. If
you can successfully sell your products to the distributors, your volume of sold products will
be much greater as compared to selling at one store.

03. Generate Online Sales

Another effective way to promote your cosmetics brand is to put it on the web. Almost all the
potential consumers of your products are searching and shopping online.

First, have an e-commerce website that has all the relevant information such as a description
of your cosmetic products and their quality images, prices, social channel buttons, fine
navigational features and most importantly, your company’s address and other contact
details. Your e-commerce website design to sell cosmetics products online must be attractive,
useful and unique in concept. Hire a professional designer who understands your target
customers to create a website to that draws viewers’ attention.

04. Explore Social Networking

Social channels such as Facebook, Twitter and YouTube are like new marketplaces where
you can sell your beauty products aggressively. These virtual markets are ideal for reaching
to increasing number of potential consumers.

All you have to do is to post interesting content and visuals regularly to create a dominating
presence of your business on all the channels.
Make it sure that your small company has a dedicated page for your cosmetic products on all
the popular social channels. However, your social media page must be attractive in terms of
its combined use of text and images.

Your small cosmetic business can afford to have a professionally created social media page
with crowdsourcing sites. Designhill is one such leading crowdsourcing marketplace where
hundreds of designers will offer you many amazing design ideas at a low price for your small
business.

05. Have A Unique Logo

All the global brands have one thing in common – unique logos. Google, Samsung, Coca-
Cola, Pepsi, Nike, Starbucks and many more brands of global reputation are identified by
their memorable logos. This clearly establishes the importance of logos for business
promotion.

MARKET SEGMENT – GEOGRAPHY MENTIONED

On the basis of geography

o North America
o Europe
o Asia-Pacific
 o Rest of the World (ROW)

The cosmetics market has grown drastically in current years. The marketplace is pushed by
the financial development of rising markets, especially China and Brazil. Cosmetics have
grow to be an critical part of ordinary lifestyles. These cosmetics are categorized and
synthetic keeping in mind the policies exact via government corporations to make sure the
safety of the goods.

Avon Products, Inc. (USA), The Estée Lauder Companies, Inc. Major market players which
includes (USA) and L'Oreal Group (France) favor to boom improvement strategies which
includes the launch of new products and mergers and acquisitions. Strengthen your global
presence and your product portfolio. The principal gamers provide cosmetics based on
changing fashion trends, innovation updates and customer options. Leading cosmetic
producers’ cognizance on product advancement, versatility, safety, and other appropriate
homes.

The cosmetics market is divided in step with type, distribution channel and geography.
Depending on the sort, it includes skin care products, hair care products, fragrances and
deodorants, shade cosmetics, non-public hygiene products, oral hygiene products, tub and
bathe merchandise, soaps, merchandise for sun care and more. Market segmentation based on
distribution channels consists of supermarkets, department stores, specialty shops,
cosmetologists, pharmacies / drug shops, and on-line retailing. Geographical marketplace
segmentation includes North America, Asia Pacific, Europe, and Rest of the World (ROW).
The cosmetics marketplace is projected to grow at a compound annual rate of 6.3%, with
Europe as the largest marketplace. It is anticipated to develop at a quicker charge as
purchasers in emerging economies increase their disposable profits. The Asia Pacific place is
anticipated to turn out to be the fastest growing market due to the growing demand for colour
cosmetics, pores and skin and hair care products.

MARKET SIZE

 The global beauty industry market is valued at $511 billion in 2021.

 The beauty and personal care market will hit a jaw-dropping market size of $716.6
billion by 2025.
 The US cosmetic market is worth a staggering $62.46 billion.
 The Asia-Pacific and North America regions account for more than 60% of the global
cosmetics market.
 Americans spend $197.01 on beauty products on average.
 Women in the US spend roughly $313 per month on beauty products.
 As much as 82% of US men aged 18 and 44 use facial skincare products.
 In 2019, Sephora reached a mind-blowing 125,000 employees.
 Pre-COVID-19, nearly 85% of all beauty product shopping took place in brick-and-
mortars
 The organic and natural beauty market is projected to reach a “respectable” $54
billion by 2027.

COMPETITIVE ANALYSIS

For a better understanding of how your competitor analysis framework should look like,
we've performed a competitive market research on the cosmetic niche. We've analyzed
several metrics on this market segment to conduct a competitive analysis as in-depth as
possible, with most of the data being pulled out from brand mention monitoring.

Brand monitoring, when done with the right tools, is more versatile than you'd think. Running
an in-depth brand mentions competitive analysis could help you make sure that you are not
overlooking any efficient strategies that might be working wonders for your competitors.
Step 1. Find Your Top Competitors

Even though you might be aware of some of your market leaders, there might be a few you're
missing. For our case study example, we searched for top leading beauty brands. As social
media is a highly important segment within this industry, one of the analyses we've
performed was to find the top-performing brands on social media, by the number of
followers.

Step 2. Analyse Your Competitors Popularity

It’s too complicated and actually impossible to manually track all your competitors’ records
and activity, as much manual web scraping you'd be doing.So, even if you know your
competition, the question remains: how do you find who is the most popular brand in your
niche?

Step 3. Identify the Public Perception of Competitors

You must have heard at least once people saying that all publicity is good publicity, as long
as they spell your name right. Or that the only thing worse than being talked about is not
being talked about. But is it really so? How much does the public perception influence a
brand's popularity? Let's find out!
The Sentiment Analysis feature allowed us to have a better understanding on the public
perception of the analysed brands. If we first identified the competitors and looked for the
most popular ones, now we can have a look at how they are perceived in the online world.

Step 4. Analyse Your Competitors' Social Media Strategy

Tracking mentions for your competitor can lead you into discovering social media
campaigns, new content ideas, top-performing social channel alongside types of content
shared on each platform, plus trending hashtags used and top influencers for each
competitor.For instance, in our case, in the beauty niche, the results might surprise you. If
you thought Instagram would be the most used Social Media platform for beauty products,
you might be wrong.

Step 5. Perform an SEO Competitor Analysis

Knowing how to analyse your SEO competition is an important step in determining your
overall keyword and SEO strategy. There are many factors involved in the process, and
without the correct framework, it can get complicated. Here you can find the steps for
the SEO competitor analysis explained, as clear and simple as possible. Within the screenshot
below you can see the main steps that you need to take to make sure you perform an SEO
competitive analysis at the highest level.

SALES AND PROMOTION STRATERGY

Packaging and Creating Sets

By placing your product in pretty packages, you can attract more customers to it. Highlight
the aspects of your line that make it different from other products; for example, list the
different colours that your makeup line consists of on the packaging or the sun protection
aspects of the product. Consider packaging some products together in a set to increase sales.

Make Contact with the Industry

The more times a beauty editor, established beauty company or professional in the industry
gets her hand on your product, the more likely you are to score a big deal. Send beauty
editors gift baskets of your products. Host a media breakfast in which you discuss your
product with industry professionals. Discuss your products with boutique owners, and inquire
about placing a small supply at their stores to begin.

Use social media and the Internet

While many companies can benefit from the use of social media to connect to potential
customers, social media is ideal for the makeup industry because of the visual aspect of the
products. Make a series of how-to videos and post them to the web. Write a blog about
makeup and feature people wearing your products. Post pictures to your other social media
accounts. Send a weekly or monthly newsletter to inform customers about new products or
discounts.

Deals and Offers

People are ecstatic when they think they are getting a good deal. You can offer deals to
customers to motivate them to buy, including buy one, get one free deals; buy one, get one
half off deals; and a free gift with purchase option.

Workshops and Education

Host workshops in which you educate potential customers about skin care and makeup
application. Explain how to dress up a day look to an evening look with a few quick changes.
Discuss how a person's wardrobe and makeup correspond.

Demonstrate how makeup products work and proper application techniques by having a
model on hand. As an alternative, ask a member of the audience to volunteer for the task.

Giveaways and Free Samples

Send potential customers free samples of your product. Also, host a monthly giveaway for a
basket of free cosmetic products that you advertise on your website or social media accounts.
Give customers a certain number of entries based on the number of purchases they make.
With millions of cosmetic products on the market, it's vital to the success of your business to
make your makeup products stand apart from the competition. By gaining as much exposure
as possible for your makeup products, you can get your products in the hands of the
consumers without having to pay millions of dollars to models to make TV commercials.
 CHAPTER 6

OPERATIONAL PLAN

We know that the very thought of writing an operational plan can seem daunting. However,
your operational plan is a necessary and very important strategic document as it focuses your
energy, time and resources on a clear end game; not only that of launching a successful
beauty business but also of ensuring it has the potential to thrive longer term. Your
operational plan isn’t just to show potential investors and otherwise hide away in a filing
cabinet. It is a tool to refer to every time you are faced with important decisions. Your plan
guides your decision-making and makes the everyday of running your beauty business
simpler and smoother.

It will take time to write your operational plan as it summarises the hard work you need to do
beforehand in discovering your vision, working out your ‘why’ and what your brand stands
for, what you’ll be selling, where you’ll be selling, who your competitors are and what your
market gap is, and how you’ll fund your business.

This year, Cosmetic Business addressed the great demand for ecological, sustainable and
innovative products from the cosmetics supplying industry in an even more focused manner
with new theme routes such as the "Green Route" and "Innovation Route." It impressed
exhibitors and trade visitors alike with these current focal points. The conference programme,
which was very well attended on both days of the fair, was also devoted to these topics.

Essentials Of Cosmetic Business Plan

A cosmetics business plan is a have to for beginning a enterprise, and the plan need to
incorporate a few vital records that can be determined thru the business plan checklist. The
cosmetics marketing strategy is also used to achieve the necessary bank loans for the
commercial enterprise, so you should be well prepared to make certain that you cover all of
the factors.

Details of the Business

The cosmetics marketing strategy consists of details of the commercial enterprise concept,
which includes the way to behaviour the commercial enterprise, the shape of the commercial
enterprise, whether or not to sell only one specific brand, whether or not to sell cosmetics
from all brands, or one entity as a assets or association. Or, gain lengthy-term enterprise
dreams and visions, consisting of an enterprise or confined partnership, shop region and
predicted income at start up, anticipated future increase charge, and other important business
dreams.

Management And Equipment Required

The cosmetics marketing strategy must also encompass statistics on delegation of

responsibilities, a way to run the enterprise, and the wide variety of personnel required for the
shop. In addition to enterprise content, the business plan must include data on equipment
together with show counters, cabinets, mirrors, and garage facilities required for cosmetic
shops.

Capital Requirement and Funding Procurement

To installation cosmetics keep, it's miles essential to make a capital funding to buy or hire
area in the store at the same time as keeping the inventory of numerous cosmetics consistent.
It also expenses money to installation the shop and make the counters and stores appearance
attractive. In addition to those, there are certain upkeep charges, staff salaries, power
payments, and different miscellaneous fees that must be factored into the marketing strategy.

In addition to the important fees and capital, the proposed plan to elevate price range for the
ones prices have to also be documented. Your business plan may also include information on
the way to observe for a bank loan or boost funds from a non-bank monetary institution.

Market Research and Analysis

The cosmetics enterprise is a popular agency and there are pretty some suppliers that do the
identical. Therefore, it's far essential to carry out marketplace research and analysis and
encompass them in the marketing strategy. Research the opposition and observe what
elements are riding the competition, what are the marketing techniques, how are they
attracting customers, what are the prices of the products, what are the needs and needs, etc.

CHAPTER 7

TECHNOLOGY

The cosmetics industry is quite wide considering it ranges from lipstick, eye-shadow to the
foundation. Different people have skin with different characters and that why it is very
important to take keen consideration of different factors before you choose a product. I bet
many of you will agree that experiencing with different cosmetic products and trying new
techniques can be very fun since you get a chance to create a new look, however, you need to
know more about a cosmetic before you apply since it can take its toll on your skin. In this
blog, we shall discuss the contribution of Technology in Cosmetics Industry.

Virtual Makeover
Virtual Makeup Application development is a technology used to help the experimenters
and the first-time-buyer to try different cosmetics where an App and AR mirrors are used to
help the user simulate hairstyles and makeup. This way the make user is able to try and
experiment with any look or any product. VR and AR also used to experiment nail polish
shades. How these Virtual Makeup Application development work is that you take a picture
of yourself and then send it to a virtual beauty adviser then within a few seconds he will send
you a flattering shade that would perfectly work for your skin.

Personalizing Cosmetics
Technology has made it possible for cosmetic users to customize and produce cosmetics
using the makeup producing printer in their home. With 3D printers that print makeup, the
user can shade and print any color, this way the consumer is guaranteed instant gratification.
Before a company or a user comes up with personalized cosmetics, he needs to consider the
skin type, individuals’ lifestyle, facial features and of course the skin type.

How technology is helping create data for cosmetic companies Technology has helped
both the small and large companies to collate wide and relevant information about their
customers which is very essential in the cosmetic industry. It is important to note that
gathering information about consumer behaviour can be very time-consuming, expensive and
difficult since cosmetics and beauty products, in general, are very personal. Technology has
helped solve this problem where data companies gather information for the companies’
producing cosmetics. Most data companies gather this information online where they give
customers a chance to win cosmetic products in exchange for personal information where
they fill in a questionnaire. The detailed customer information gathered from the
questionnaire helps companies in identifying new markets and expanding their existing
market reach.

Beddings that Influence Your Skin

Technology has made it possible for sheets to be infused with ingredients that help make your
skin smoother. Skin Glow Co. bedding is a sheet that has ingredients such as copper ions
which are woven in comforters and pillows covers that help reduce fine lines, and wrinkles.
Skin Glow Co. bedding mostly works at night since it releases the copper ions once it comes
into contact with moisture from your skin. Research done by an independent lab showed that
there is a significant reduction in wrinkles for people who sleep using the Skin Glow Co.
range of products. The explanation behind this is that copper ions help increase the
production of collagen.

Capturing Makeup Sessions on Video

Nowadays it is possible for makeup artists to record makeup sessions using a Google Glass.
With this Google Glass, it is possible for a makeup artist to email their customers the makeup
session. This way the customers can mimic and learn the makeup techniques, also the
customers get to learn the different cosmetic products used by the makeup artists. Most of the
makeup artist who uses Google Glass prefers using practical tools that their customers can
easily access and apply makeup on their own.

Automated Retail Outlets

Just like the automated machines that dispense fishing baits, chocolates, and sodas, there are
also machines that retail cosmetic products. These automated retail machines are touchscreen
in nature and they give you information about every cosmetic product that they retail, in fact,
they show you videos about the different products.

CHAPTER 8

BUSINESS RISK
1. Lack of Budgeting

Creating a new cosmetic line is an investment. Recall the old saying “It takes money to make
money.” This statement is as true today as it ever was. In creating a cosmetic line and making
it successful, you will need to be sure your budget accounts for product creation, safety
testing and marketing materials, etc. Underestimating the initial costs of a new cosmetic
company is a common pitfall and a devastating one.

2. No Marketing Niche

Many companies just starting out with a new product line believe that everyone will want it
and try to market it to everyone. Due to the mass variety of cosmetic and beauty products on
the market today, and having to compete with the large well established cosmetic companies,
it is near impossible for a small company to compete even for large segments of the market,
much less the entire market.

As a new cosmetic company, it is vital that you find a niche within the market that you want
to appeal to, such as consumers with a particular type of hair or skin type. Narrowing your
market to a target group of people who will most likely want your product will help you
minimize your advertisement budget and maximize your sales within your niche.

3. No Safety Testing

When attempting to place cosmetic products on the market for the first time, one of the most
important things a new cosmetic company can do is safety testing. Of course, the biggest
reason companies choose not to is the initial cost of the testing. Sending products to a lab is
rarely inexpensive and many companies have not budgeted for the testing.

Money has already been spent on ingredients, formulation, manufacturing, packaging, and
logistics. With all of that, the first corner companies try to cut is the testing. This has the
potential to become much more detrimental to the company than going over budget to to
ensure the safety of the cosmetics.
While the FDA does not require pre-approval prior to marketing cosmetics, they do inspect
and regulate cosmetics post-market and proof of testing will be required. Some examples of
how the FDA regulates and reprimands companies that fail to ensure the safety of their
products can be found here in Cosmetic Contamination Cases. It's always better for a new
company to have the security of knowing their products are safe through proper testing in a
reputable lab than to assume the products are safe and suffering potentially crippling
repercussions later.

4. Idealized Beauty and Poor Mental Health

Social media, beauty stores, and magazines showcase unrealistic images of beauty in their
advertising and marketing efforts. Professional photoshoots and editing portray beauty as
flawless, airbrushed skin with no blemishes or scars. Thick lips, thick lashes and thick
eyebrows. Voluminous shiny hair. I could go on and on. 

5. Lack of Regulation

Lack of regulation is the culprit of many of the problems with the beauty industry, especially
in the United States. According to the FDA, “The law does not require cosmetic products and
ingredients, other than color additives, to have FDA approval before they go on the market.” 

CHAPTER 9
 HR PLAN

SKILLS REQUIRED TO ENHANCE MARKET REACH SIZE

1. Recruitment and development of the most talented individuals is the next step to
conquering the next billions of customers. •L’Oreal has always stood behind their
employees. it has a mission to find universalisation

2. Human Resource policy has two main points:

(1) detecting talented individuals,
(2) making sure their talents can be expressed in a collective framework. L’Oreal feel
this is a crucial point, because economic success and great social performance must
go hand in hand.

3. They incorporate the companies’ values into their daily work environment. These
values are based on respect, solidarity, and the recognition of individual merit.

4. One of L’Oreals’ biggest accomplishments was the launch of their “Employer Value
Proposition” campaign. This campaign was put in place as part of their local talent
recruitment process. The company was not only focused on their image for the first
time in history.

5. It emphasized the diversity of business model Attracted highly talented individuals

that L’Oreal needs to prosper. The underlying message of their campaign was
“Joining L’Oreal means embarking on a personal and professional adventure”.

6. Their campaign was designed to be adaptable to local circumstances. The countries

involved in the campaign were given the choice to choose their own terms and images
in relation to their local candidates. This resulted in a recruitment policy worldwide
that was better targeted, more pragmatic and also more direct. Social media also
played a big role in this becoming successful.
7. For example: China Employees personal social media account and photographs
showed their real-life experiences Had a huge impact on college students at many
universities. Allowed the company to collect more than 13,000 applications.

8. The Human Resources Approach What is It? - It puts an emphasis on the cognitive
contributions employees make with their thoughts and ideas. - Comprised of 3 parts:
Employee, Manager, and Organization. This approach aspires to maximize
organizational productivity and individual need satisfaction. Emphasizes contributions
employee ideas can make to organizational functioning. Classical approaches +
human relations approaches = HUMAN RESOURCES APPROACHES!

9. Employee: Owns career management and ultimate employability. Manager: Supports

employee growth and links development to organizational needs. Organization:
Provides the tools and resources to facilitate learning and maximize performance.
• Manager and Organization has a shared responsibility
• Blake&Mouton’s Leadership Grid
• Within the L’Oreal company, the leadership they experienced was more then likely
Team Manager based, or Middle of the Road Management.
•Team Manager based leadership is high people-high tasks oriented.

10. Recruitment and development of employees can make or break a company. L’Oreal
has always stood behind and supported their employees. They launched a great
campaign to help solidify their recruitment process. Their Human Resource policy has
two main points:
(1) detecting talented individuals,
(2) making sure their talents can be expressed in a collective framework Respect,
solidarity, and the recognition of individual merit are the companies’ values.

11. The Human Resources Approach was definitely present within the L’Oreal company.
It puts an emphasis on the cognitive contributions employees make with their
thoughts and ideas. By reading the article and learning about everything the company
was setting out to do for themselves, and for the employees working for them, it was
clear that they held the same theory as the Human Resources Approach.
HIERARCHY OF THE TEAM

FOUNDER/ CEO- He is the member of the executive team who played a role in the
founding of a company. This person typically works with other founders to create and
launch a business. Founder may be a highly skilled individual who takes an active part in
the business after it's founded or someone who helps lead the business and generates
ideas for the company's future. He is the main funding person.

DIRECTOR- Directors are considered the trustees of company's property and money,
and they also act as the agents in transactions which are entered into by them on behalf of
the company. They are responsible for controlling, managing and directing the affairs of a
company. They play multiple roles in the company managing.

GENERAL MANAGER- A general manager is expected to improve efficiency and

increase profits while managing the overall operations of a company or division. General
manager duties include managing staff, overseeing the budget, employing marketing
strategies, and many other facets of the business.

HR MANAGER- The basic functions of hr manager is to support the business to deliver

people-related processes, vision and strategy across the company, aligned with the law.
HR managers also support other colleagues within the business to resolve challenging
issues related to the employment and dismissal of staff.

FINANCE MANAGER- A Finance Manager distributes the financial resources of a

company, is responsible for the budget planning, and supports the executive management
team by offering insights and financial advice that will allow them to make the best
business decisions for the company.

MARKETING MANAGER- Marketing managers play a crucial role in helping a

business to promote and sell its products to its customers. They can lead and influence the
way a brand looks and feels in the market and marketing manager duties can cover the
entire spectrum of how a company communicates. Discover expert tips on how to succeed
as a marketing manager and what it takes to progress your career in this fast-paced
industry.

PRODUCT MANAGER- A product manager is the person who identifies the customer
need and the larger business objectives that a product or feature will fulfil, articulates
what success looks like for a product, and rallies a team to turn that vision into a reality.
MANUFACTURING MANAGER- As a manufacturing manager we will be expected to
lead our team of managers, team leaders and operatives to achieve all outputs expected of
our department. We'll also be responsible for the development of our staff including an
input into who is hired - plus staff performance management to ensure optimum results.

OPERATIONS MANAGER- An operations manager is a key part of a management

team and oversees high-level HR duties, such as attracting talent and setting training
standards and hiring procedures. They also analyse and improve organizational processes,
and work to improve quality, productivity, and efficiency.

PR MANAGER- PR managers create and maintain a favourable public image for their
employer or client by communicating programs, accomplishments and/or points of view.
Public relations managers are tasked with fielding media questions and pitching stories to
the media, preparing media kits and organizing press conferences.

SALES MANAGER- Sales managers are responsible for leading sales teams to reach
sales targets. Sales managers are primarily tasked with hiring and training team members,
setting quotas, evaluating and adjusting performance, and developing processes that drive
sales. Sales managers are oftentimes expected to travel.

R&D OFFICER- A research and development (R&D) manager performs a number of

highly important roles within an organization. They are responsible for research,
planning, and implementing new programs and protocols into their company or
organization and overseeing the development of new products.

LOGISTICS SUPERVISIOR- Logistics Manager responsibilities include organizing

and monitoring storage and distribution of goods. The goal is to manage the entire order
cycle so as to enhance business development and ensure sustainability and customer
satisfaction.

INFORMATION TECHNOLOGY EXECUTIVE- IT managers are responsible for

coordinating, planning, and leading computer-related activities in an organization. They
help determine the IT needs of an organization and are responsible for implementing
computer systems to fulfil the organization's information systems requirements.
FRONT OFFICE MANAGER- A Front Office Manager is a person who is responsible
for making supervisory decisions regarding the front desk /reception of a hotel or
hospitality establishment. Front Office Managers ensure that guests have a pleasant
experience while checking into a hotel. They are responsible for providing instructions to
the front desk staff, making sure that a proper account is being maintained of the
reservations and taking care of any problems faced by a guest. Since the first interaction
of a guest in a hotel is at the front office, the job of Front Office Manager becomes vital
in establishing a cordial relationship and making a good first impression on the guest.

STORE MANAGER- A retail manager (or store manager) is the person ultimately
responsible for the day-to-day operations (or management) of a retail store. All
employees working in the store report to the retail/store manager. A store manager reports
to a district/area or general manager.

EMPLOYEES- An employee is someone who gets paid to work for a person or

company.

Workers don’t need to work full time to be considered employees—they simply need to
be paid to work by an employer (the person or business that pays them). The term
employee is sometimes used to distinguish contract workers from full employees (who
often earn additional benefits), but in this example, both types of workers are considered
employees in the general sense.
 CHAPTER 10

FINANCIAL PLAN

A brief sample of the start-up plan of the Skin Glow Co. as written in their business plan for
beauty products is given here free of cost, for anyone who needs guidance in making
his/her makeup business plan.

A facility will be hired in New Jersey which previously was an area for a small
pharmaceutical company.

Due to the fact that it was an area to test medicines, we’ll not have much to do for converting
it to our required laboratory structure. Required machinery and equipment will be bought and
the employees will be hired to start the work and manufacture some products to display in the
inaugural ceremony of the company.

The financial experts have forecasted following costs for expenses, assets, and investment,
for the start-up
Our experts have identified the following type of target audience which can become our
future consumers:

1 Individual Buyers: Our first target group will comprise of the individual buyers especially
women, who will surely test the quality of our products. And after trying once, we are sure
that they will use our products for the rest of their lives. To introduce our products to this
group, we’ll use different advertisement techniques discussed later.

2 Beauty Salons: Our second target group comprises of the salons which are open, place to
place in New Jersey. As beauty salons require cosmetics in bulk almost every week. So, we
have decided to offer discounts to them for them to be our potential consumer.

3 Professional Makeup Artists: The third group comprises of the artists who perform
makeup services in film industries and other places.
Sales Strategy

No matter what quality you provide, the people can never know about you if your marketing
plan cosmetic product is not appealing and attractive for them.

The Skin Glow Co. has got this important part of marketing plan cosmetics done by a
marketing expert, given here as well for your help.

 We will ensure a strong social media presence and an effective website to display
our process.
 We will advertise our cosmetic business in relevant business magazines,
newspapers, TV stations, and social media.
 We will offer a 10% discount on our products for the first month of our launch.
 We will gift one item from a list of displayed items as selected by our customers
on the inauguration day.
 We will be offering a 20% discount to salons when they buy our products in
massive amount.
 Financial Report

Since this project was thought up by all members of the team collectively, the decision to
finance the project is majorly being done by the initial members itself, an initial investment of
Rs. Rs 55,00,000 is required out of which Rs 40,00,000 is being divided equally amongst all
the 7 members of the group and the remaining Rs15,00,000 will be raised by the bank loan.
Since this project was thought up by all of its founding members it’s only fair that there is an
considerable initial investment from our side to show our faith and trust in the venture
alongside the fact that since this is a completely new project to bring to our country most of
the risk would have to be on us, the initial investment will be utilized towards Once the seed
capital stage is over with and the marketing is completed and operations can begin.

Equity
Name Amount allotment
Ankit Rai ₹ 8,00,000.00 20%
Shivang Gupta ₹ 8,00,000.00 20%
Shagun Roy ₹ 8,00,000.00 20%
Avinash Yadagani ₹ 8,00,000.00 20%
Raunaq Arora ₹ 8,00,000.00 20%
Total Amt. Contributed by
Partners ₹ 40,00,000.00  
Bank Loan ₹ 15,00,000.00  
     
Total ₹ 55,00,000.00 100%
Profit & Loss
PARTICULARS H1 H2 H1 H2 H1 H2
INCOME
Revenue from Operations ₹ 1,39,65,000.00 ₹ 1,63,66,875.00 ₹ 1,53,75,000.00 ₹ 2,16,41,355.00 ₹ 1,30,59,375.00 ₹ 1,86,85,500.00
Other Income ₹ - ₹ - ₹ - ₹ - ₹ - ₹ -
Total Revenue ₹ 1,39,65,000.00 ₹ 1,63,66,875.00 ₹ 1,53,75,000.00 ₹ 2,16,41,355.00 ₹ 1,30,59,375.00 ₹ 1,86,85,500.00

EXPENSES
Office Rent ₹ 1,20,000.00 ₹ 1,20,000.00 ₹ 1,20,000.00 ₹ 1,20,000.00 ₹ 1,20,000.00 ₹ 1,20,000.00
Application Development ₹ - ₹ 7,50,000.00 ₹ - ₹ 7,00,000.00 ₹ - ₹ 6,50,000.00
Website Development ₹ - ₹ 2,00,000.00 ₹ - ₹ 2,00,000.00 ₹ - ₹ 2,00,000.00
Salary ₹ 35,000.00 ₹ 45,000.00 ₹ 50,000.00 ₹ 45,000.00 ₹ 53,000.00 ₹ 58,000.00
Marketing ₹ 40,000.00 ₹ 50,000.00 ₹ 20,000.00 ₹ 15,000.00 ₹ 9,000.00 ₹ -
Insurance ₹ - ₹ 2,00,000.00 ₹ 3,50,000.00 ₹ 2,50,000.00 ₹ 2,75,000.00 ₹ 4,00,000.00
Depreciation ₹ 15,000.00 ₹ 17,000.00 ₹ 20,000.00 ₹ 23,000.00 ₹ 40,000.00 ₹ 43,000.00
TradeMark Rights ₹ 3,00,000.00 ₹ 3,00,000.00 ₹ 3,00,000.00 ₹ 3,00,000.00 ₹ 3,00,000.00 ₹ 3,00,000.00
Electricity ₹ 64,000.00 ₹ 75,000.00 ₹ 55,000.00 ₹ 80,000.00 ₹ 73,000.00 ₹ 49,000.00
Office Equipment ₹ 2,50,000.00 ₹ - ₹ - ₹ - ₹ 2,70,400.00 ₹ -
Furniture & Fixtures ₹ 3,00,000.00 ₹ - ₹ - ₹ - ₹ 3,24,480.00 ₹ -
Total Expenses ₹ 11,24,000.00 ₹ 17,57,000.00 ₹ 9,15,000.00 ₹ 17,33,000.00 ₹ 14,64,880.00 ₹ 18,20,000.00

Profit before extraordinary items

₹ 1,28,41,000.00
and tax ₹ 1,46,09,875.00 ₹ 1,44,60,000.00 ₹ 1,99,08,355.00 ₹ 1,15,94,495.00 ₹ 1,68,65,500.00
Extraordinary Items ₹ - ₹ - ₹ - ₹ - ₹ - ₹ -

Profit before Tax ₹ 1,28,41,000.00 ₹ 1,46,09,875.00 ₹ 1,44,60,000.00 ₹ 1,99,08,355.00 ₹ 1,15,94,495.00 ₹ 1,68,65,500.00

Tax ₹ 38,52,300.00 ₹ 43,82,962.50 ₹ 36,39,582.00 ₹ 50,10,932.95 ₹ 29,18,334.39 ₹ 42,45,046.35

Profit after Tax ₹ 89,88,700.00 ₹ 1,02,26,912.50 ₹ 1,08,20,418.00 ₹ 1,48,97,422.05 ₹ 86,76,160.61 ₹ 1,26,20,453.65

CHAPTER 11

FUNDS RAISING
Setting up a home-based cosmetics business will likely require basic start-up costs.
Business licensing and permits, supplies, materials, products and packaging and shipping
needs all cost money. For best results, create a detailed business plan to help you assess the
type and amount of funding you're likely to need so you have realistic figures in front of
you when you start exploring financial options.

Small Business Loan

Visit local small business banks in your area to compare rates and terms for small business
loans. Meet with a loan officer and ask about requirements for the application process. If
you’re a sole proprietor, the bank will evaluate your business finances based on your personal
finances and credit history, so be prepared to have your credit report checked and to provide
proof of income. The business bank will likely request that you have a business plan in place
that demonstrates your financial needs and outlines projected revenue generation. If you’re
buying into a cosmetics franchise, the company may be able to provide you with some of
these figures.

Personal Line of Credit

If you have a good, long-term existing relationship with your personal bank, you may be able
to fund your cosmetics business through a personal line of credit. While you probably won't
be asked to submit a business plan or financial statistics if you're applying for a personal loan,
having the information for your personal working knowledge is still a good idea. Be aware
that a personal line of credit is likely to have different payment terms and interest rates than a
business loan, so compare your financing options to ensure you're getting the best deal.

Home Equity

If you have a substantial amount of equity in your home, you may be able to extract it and
use it for your home-based cosmetics business start-up costs. Be aware that if your business
venture fails, it has the potential to put your home at risk. Further, if you opt to sell your
home at any point before the home equity line is paid in full, you'll have to take that
outstanding loan balance into consideration. If you’re buying cosmetics in bulk from a
distributor to resell, ask about return policies in the event you need to liquidate so your
home isn’t in jeopardy.

Microenterprise Loan

Microenterprise initiatives are typically non-profits, state-funded organizations that specialize

in making small business start-up loans. Contact your local small business development
center or branch office of the U.S. Small Business Administration and ask about micro-
lending initiatives in your area. Not only do these organizations make loans to qualified
individuals, they often help with business plan writing and small-business budgeting. This
can help you ensure your home-based cosmetic business gets launched on the right track.
Family Funding

Consider asking friends or family members for a start-up loan. Outline the terms of your
agreement in writing, including interest rate and payment terms. While this option has the
potential to strain personal relationships, especially if you run into financial difficulties, it is a
viable option if you can't qualify for traditional funding.