Production of women underwear TM "Mememe" for sale

Preface

Today, the fashion industry is undergoing a rapid transformation, adapting to potential consumers of new generations. For leading brands, this requires changing the approach to young consumers, not only in terms of marketing tools, but also creating new habits and cultures of purchasing and consumption.

About company

The company was founded in 2018 and has set itself an ambitious goal - to create a new trend in lingerie and change the culture of consumption and purchase of lingerie for every day.

The business owners managed to unite the best technologists in lingerie and fabric printing specialists to develop unique lingerie that best meets the requirements and expectations of consumers.

About the product

Women's underwear TM "Mememe" has a number of competitive advantages:

• Elastic in all directions and does not restrict movement
• Does not leave marks on the body
• Not visible under clothes
• Feels like seamless underwear and fits perfectly on the body
• Body-friendly fabric for 24-hour wear
• Permeates air and removes moisture and thermoregulation
• Does not absorb unpleasant odors
• Does not lose shape and looks like new even after 100 washes

From a technology point of view:

• We have improved the parameters of standard fabrics for our linen
• Several landing models have been developed
• We created a special cut and stitching
• Removed the rubber bands
• Labels removed

The result is an innovative product that meets consumer expectations and provides an opportunity for self-expression and self-identification. And most importantly, bright and rich prints have been added to the underwear, which attract the attention of the consumer and allow you to choose your mood for every day.

Production model

The fast fashion model implies dynamic changes in collections; the company has developed a new business and production model.

Manufacturing technology allows us to print and produce over 1000 unique sizes/patterns/prints per day!

The company sews the developed underwear models and they are in the warehouse in white form.

When the order is received, printing is done on them, and there is no difference whether it is an order of 1 piece through an online store or 5,000 different sizes/models/prints from a distributor.

The presence of an interesting product with prints allows the brand to attract a young target audience, refresh the assortment, and attract new customers.

For this purpose, a process for creating ideas and prints using neural networks was developed. In 2023, all collection ideas and prints were developed using neural networks, which allows you to launch any collection within 10 days from the task to ready-made content for marketing.

Sales

Since the start of sales in 2019, the company has taken part in exhibitions in Paris, New York, Las Vegas and Los Angeles.

Products under the Mememe brand are sold through distribution sales channels, online sales and retail itself.

The sales structure fluctuates depending on the season and is distributed as follows:

• Online - 35%
• Retail - 7%
• Distribution - 23%
• Export - 35%

The company also produces White Label for other brands. Without changing the parameters of the product, adapting only the size range for a specific country, together with the customer we develop a collection of prints that are most interesting for the brand’s target audience.

Business structure

Today the business consists of the following processes:

• Own sewing production and printing production (130 sq.m. for rent, Dnepr). It is possible to quickly transfer a business to anywhere in Ukraine/Europe.
• Online Store
• B2C Online
• B2B platform
• Instagram + FB (targetologists and SMM)
• Retail outlet (opportunity to develop a franchise)
• Partners and distributors (Ukraine)
• Distributors (Europe)
• Odoo accounting system
• Stable suppliers of materials, goods and services.

A fabric production technology has been developed with 2 Turkish suppliers.

Service for cutting and sewing linen.

Suppliers of packaging, labels.

Staff

• Sales Manager (Ukraine)
• Marketing Manager
• Export manager
• Financial Director
• Own retail outlet (2 sellers)
• Production Director
• Production workers (7 people)
• Production capacity
• Own tailoring – 10,000 pieces per month (temporarily suspended)
• Sewing from contractors – up to 50,000 pieces per month
• Printing - 8 hours shift - 10,000 pieces per month 2 shifts every 2 days for 12 hours - 24,000 pieces per month

Price policy

Average selling price of 1 product:

• Online - 190 UAH
• Retail - 250 UAH
• Distribution -110 UAH
• Export - 120 UAH

Financial and economic indicators

Gross income, UAH

Business profitability: 15-20%

Additional financial information is provided after signing the NDA and confirming the seriousness of intentions

Potential for development

• In Ukraine, brand knowledge and loyalty are at a very high level.
• Repeat purchase rate at 85%.
• A bright, memorable brand with wow quality when customers receive and use the product.

Growth directions:

• Construction of our own and franchisee retail network in Ukraine (a retail development project based on a franchise model with financial models and a development plan has been fully prepared)
• Building distribution in Ukraine
• Development of online sales
• Continuing to build a retail network in Europe
• Development of exports to European countries and the USA
• White Label (production of this product with only changes in design, brand and packaging for any client)

Proposal to investor

Business sale price: $200,000 (4x net profit multiple / excluding future cash earnings growth potential)

The participation of the owner as a minority shareholder / up to 20% in the share of the business is discussed individually with the transfer of the business management function to the investor.

Reason for sale: change of focus by the owner to the development of other projects / stay abroad.