The Closet Trading Company Franchise Blog - Page 3 of 5

Top 5 Timeless Handbags that Offer the Highest ROI

Whether you’re buying a designer handbag for the first time or you’re an experienced luxury boutique franchise owner, choosing the right bag requires time and research. A luxury handbag is a significant investment, so you’ll want to ensure you know everything about the one you’re buying—especially its potential resale value.

Like luxury boutique clothing, a classic style from the right brand will not only retain its value, but it’ll also appreciate over time. If you’re looking to shop the brands with the highest resale value in the designer fashion industry, here are the top handbags to stretch your investment.

1. Chanel WOC

Investing in a classic Chanel bag is always a smart move. Over time, the prices of classic Chanel styles have only increased, so it’s safe to assume that this trend will continue well into the future.

As one of Chanel’s most classic handbags, the WOC (wallet on chain) features a stylish, simple design, making it a perfect addition to any outfit. There are WOCs for every style—Chanel’s Boy-bag design offers an edgier look, while the brand’s seasonal WOCs come in a wide range of colors, prints, and fabrics.

2. Chanel 2.55

Chanel’s classic 2.55—designed by Coco Chanel herself—is one of the most iconic bags to ever hit the market. Over the last six years, the classic Chanel bag has increased in value by 70 percent.

Not only does the 2.55 feature a classic design, but it’s also easy to carry hands-free. The style’s rectangular silhouette served as the brand’s standard design until the 1980s when Karl Lagerfield joined the creative design team.

3. YSL Kate

As a seamless addition to any wardrobe, the YSL Kate features a wallet-like interior, an elegant chain shoulder strap, and the iconic YSL monogram. Plus, with options like smooth leather and croc, the YSL Kate adds an effortless, chic touch to any outfit—regardless of the season or current fashion trends.

As one of the best YSL bags to invest in, the Kate has been around for a while and consistently performs well in luxury consignment boutiques and other resale markets. YSL bags are elegant and sophisticated, and thanks to their unchanged logo, even older bags don’t look dated.

4. Gucci Marmont

Gucci bags are a timeless staple. Jackie Kennedy carried her iconic Gucci leather tote, while Princess Diana also had a classic Gucci bag. In 2015, the demand for Gucci bags soared when Alessandro Michele became the brand’s creative director, combining the classic handbag silhouette with modern accents.

The Gucci Marmont line features a timeless silhouette, holding a resale value of around 70 percent. With unrivaled functionality, a fresh zigzag quilted design, and elegant hardware, the Marmont is a versatile bag you can pair with any outfit.

5. Louis Vuitton Neverfull

Louis Vuitton is one of the fastest-selling luxury brands that franchise designer boutiques carry—and there’s a good reason why. Over the years, the Neverfull has remained one of Louis Vuitton’s best-selling handbags due to its unique artist collaborations and wide range of materials.

The Neverfull has been worn by fashion-forward A-listers like Cara Delevingne, Reese Witherspoon, and Sofia Vergara. With periodic price increases, the Neverfull retains at least 85 percent of its resale value. Meanwhile, rare and limited-edition versions often see double their ROI.

Invest in Your Career with TCTC

Love shopping classic styles? If you have an eye for timeless trends, investing in a luxury boutique clothing franchise can help you transform your passion for fashion into a fulfilling career.

When you open a designer boutique with The Closet Trading Company, we’ll empower you every step of the way—from providing the initial inventory to training on our exclusive luxury brand standards. Contact us today to learn more about our unique franchise opportunities.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

August 3, 2021/by Johanna Zlenko

Press

Why TCTC Designer Boutique Franchises Stand Out From the Competition

Why TCTC Stands Out from the Competition

If you’re looking to invest in a reputable women’s fashion franchise, you’ve probably found that there are seemingly countless opportunities available. Naturally, this abundance of options can make it challenging to choose which one is right for you.

At The Closet Trading Company, we believe that there is such a thing as a perfect fit– and we strive to be that match-made-in-heaven for every single one of our designer boutique franchise owners. Not only are we the leading sellers of luxury consignment clothes, shoes, and accessories, but we also go above and beyond to ensure the success of our franchise owners.

Here’s why franchising with TCTC is the best choice for your career and how we empower you, our franchise owner, with unrivaled support and guidance.

Ongoing Support

When you join the TCTC family, you will receive unmatched training and support from our experienced franchise development team. We go the extra mile to make sure you’re prepared to run your new boutique before, during, and after your grand opening.

From supplying initial inventory from our corporate backstock to providing ongoing marketing support, we’re committed to the success of every one of our franchise partners. While the designer resale industry continues to grow, we’ve gained a competitive edge over the competition by helping our franchisees develop and grow their businesses every step of the way.

Affordability

If you have always dreamed about owning your own business, investing in a TCTC franchise offers an affordable way to turn your entrepreneurial dreams into a reality. With an initial investment fee, franchise owners receive benefits that extend well beyond the use of our brand name. Your investment includes ongoing training, marketing materials, inventory support, a proprietary database, our innovative eCommerce platform, and so much more. The value of empowerment is something we are especially proud to offer our franchisees.

Environmentally Conscious

The Closet Trading Company is committed to sustainability, and our ideal women’s fashion franchise candidate has the drive and dedication to grow their business while doing good for the planet. Every TCTC resale clothing franchise owner supports our company mission by enriching their local community and making a positive global impact.

The resale market reached $28 billion in 2019, and with a forecasted annual growth rate of 39 percent, the industry is expected to generate $64 billion in revenue by 2024. Franchising with TCTC offers the opportunity to cater to a new generation of eco-conscious consumers, inspire change in your community, and align your environmental passions with your professional goals.

Brand Recognition

At TCTC, we go above and beyond to provide an unparalleled shopping experience for our clients with accessible prices, fresh-off-the-runway styles, and personalized style advice. Our clients love our franchise owners, our commitment to sustainability, and the way we give back. They also love our affordable prices on premium and designer labels.

With our unique women’s fashion franchise opportunities, you can take advantage of our buying power and brand recognition. When you take the first step with TCTC, you will become a respected member of our community of collaborative, fashion-forward entrepreneurs.

Discover Why Prospective Entrepreneurs Choose TCTC

With countless investment opportunities available, choosing the right franchise is essential. At The Closet Trading Company, we set ourselves apart from the competition with our small retail footprint, low investment, unrivaled support, and one-of-a-kind boutique experience. So, what are you waiting for? Reach out to our franchise development team today to learn more about The Closet Trading Company and our designer boutique franchise opportunities.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

July 30, 2021/by Johanna Zlenko

Style & Fashion

The Difference Between Consignment and Thrift Stores

When you start shopping for pre-loved fashion, you will notice that there are basically two different types of secondhand stores– thrift stores and consignment stores—which offer countless options for every style and budget.

Whether you’re committed to sustainability or searching for the best pre-loved finds, understanding the differences between the two can help you find the right pieces for your wardrobe. Here’s what you need to know—and where you can find the best deals on your favorite brands.

What is a Thrift Store?

Thrift stores receive most of their inventory from donations. Although you won’t get paid for donating unwanted clothes, shoes, and accessories, donating to a non-profit organization can help you qualify for tax deductions. In the United States, most thrift stores are operated by charitable organizations, such as Goodwill and Salvation Army. However, there are some for-profit thrift stores.

Because they usually rely on donations from the local community, you never know what you’ll find at your local shop. While some garments at thrift stores are damaged, worn, or out of style, there’s always a chance that you’ll score budget-friendly, timeless pieces that become staples in your closet.

What is a Consignment Store?

Similar to thrift stores, consignment stores also sell secondhand clothing. However, consignment stores have very different business models– they buy high-quality, pre-loved items from individuals.

If you love brand-name shopping, designer consignment stores provide a sustainable, affordable way to shop for your favorite premium brands. Many consignment stores focus on in-season, on-trend clothing, making it easy to find affordable pieces for your closet. While some designer boutiques have items that are used and in good condition, others still have the tags attached.

How do Consignment Stores Work?

Consignment stores have two operating models. First, some accept items for consignment, meaning they take pre-loved clothes, shoes, or accessories from individuals (consigners) to sell at their store. When the item sells, the consignor receives a percentage of the sale, which typically depends on the item’s value. Many designer consignment stores operate using this model.

Others buy clothes, shoes, and accessories outright by paying the seller on the spot. Because these consignment stores run a higher risk of not selling the item, sellers typically receive a lower percentage of the item’s intended selling price.

Explore Resale Clothing Franchise Opportunities With TCTC

At The Closet Trading Company, our innovative resale clothing franchise offers both consignment and resale options to our clients. As a result, they receive the best of both worlds – a higher return for those willing to wait for their items to sell, and cash and trade up front for those looking for instant gratification

When you become a designer consignment store owner with The Closet Trading Company, you will join the lucrative secondhand shopping movement, which is expected to grow 18 percent annually through 2024. Our unique consignment model is at the leading edge of the circular economy and is fueled by mindful consumers committed to global sustainability and eco-conscious consumption.

Think you’d make a good consignment franchise candidate with TCTC? Learn more about our unique franchise opportunities here.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

July 17, 2021/by Johanna Zlenko

Style & Fashion

Benefits of Shopping at a Local Consignment Boutique

If you want to make a difference and look good doing it, consider shopping at a luxury consignment boutique. Buying from upscale secondhand shops offers you the opportunity to reduce your fast fashion consumption, contribute to the circular economy, and support local businesses– while saving money and scoring unique one-of-a-kind pieces for your wardrobe.

If you’re ready to put your money where it counts and do better for the planet, here’s why shopping at your local clothing boutique could be the easiest (and most fashionable) way to do it.

Luxury consignment boutiques offer more accessible prices

Apart from the satisfaction of finding the perfect dress or designer bag for your wardrobe, one of the best benefits of shopping secondhand is the price.

Luxury brands (such as Louis Vuitton, Gucci, and Chanel) are not always accessible to the average person at retail prices. However, thanks to the designer resale market, you can fill your closet with brands you love without breaking the bank.

Some luxury consignment boutiques, including TCTC, specialize in current, on-trend designs, making it easy to find pieces that seamlessly fit into your wardrobe. Even for brand new items, you still might end up paying less than you would at a chain store or mall.

Buying secondhand is better for the planet

The fast fashion industry produces a significant amount of waste (approximately 92 million tons each year) and isn’t slowing down. Purchasing from ethical and sustainable clothing brands is one way you can build a more eco-conscious wardrobe. However, these brands can often be limiting on style options and too expensive for many consumers.

Shopping at your local consignment boutique offers an alternative that helps recycle luxury clothing items and curtail the fast fashion demand while allowing you to indulge and feel good about your purchases. Plus, when you buy from consignment boutiques in your area, you’re supporting local business owners with a sustainable mindset.

Shopping local helps support your community

When small businesses thrive, they’re able to give back to their community with employment opportunities, exciting events, and charitable contributions.

In contrast, it’s impossible to trace exactly where your dollar goes when you shop at big-name retail chains or department stores. Many fast-fashion companies outsource production to other countries, where labor and raw materials are less expensive. Plus, with so many small businesses losing out to corporations like Amazon, shopping local is more important than ever.

Shop Sustainable Fashion at The Closet Trading Company

At The Closet Trading Company, we specialize in on-trend clothing, shoes, and accessories from designer and premium labels. Our luxury consignment boutiques offers an unparalleled shopping experience, featuring a curated selection of luxury labels at accessible prices.

Have a passion for fashion? Looking to inspire change in your community? If you think a TCTC franchise is right for you, learn more about our unique franchise opportunities here.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

July 9, 2021/by Johanna Zlenko

Sustainable Boutique

Slow Fashion vs. Fast Fashion

Fast fashion has caused a significant disruption in the clothing industry. Within the past decade, the rise of e-commerce has contributed to the fast fashion industry, especially with new labels advertising low-cost clothing via social media.

As a sustainable, environmentally friendly alternative, slow fashion is a reaction to the above. It advocates for manufacturing that respects people and the environment and strives to reduce the overall environmental impact of fast fashion. From quality to transparency, here’s why you should stop shopping at the mall and start supporting local boutiques.

What is Fast Fashion?

Over the past years, the term ‘fast fashion’ has become prominent in conversations surrounding sustainability and eco-conscious consumption. It refers to cheaply made clothing that copies the latest catwalk styles. These pieces are typically rushed through so retailers can profit off the latest trends.

Although the fast fashion industry produces affordable, convenient options for consumers, its negatives outweigh its positives. From an industry point of view, when a product goes out of stock, it is immediately replaced by a new one. These companies create a vicious cycle, with labels leveraging celebrities to bring in more money by attracting young, trendy consumers.

How Does Fast Fashion Impact the Environment?

While the fast fashion industry manufactures cheap clothes for consumers, the consequences are significant. According to the UN Alliance for Sustainable Fashion, this industry is the second-biggest consumer of water. Moreover, it is responsible for 8–10 percent of global carbon emissions, surpassing international flights and maritime shipping.

It also depletes water sources worldwide and contributes plastic microfibers to the ocean, while 85 percent of all textiles end up in landfills each year. Factories that produce fashion are also widely criticized for their poor working conditions and lack of care for their employees.

What is Slow Fashion—and How Can You Find It?

Slow fashion refers to garments that are made from eco-friendly, high-quality materials. Instead of constantly turning out cheap, on-trend pieces, slow fashion labels create timeless pieces that are long-lasting and better for the environment.

In contrast to fast fashion, sustainable brands are typically transparent about their practices. When you choose eco-friendly pieces from a sustainable boutique, you’re paying for quality while also supporting your local community. These brands prioritize their clients, helping them extend the longevity of their clothes, shoes, and accessories.

When it comes to shopping slow fashion, be sure to check out local boutiques and consignment stores in your area. Designer boutique franchises and luxury consignment stores typically focus on high-end, on-trend pieces, making it easy for clients to shop the latest styles more sustainably and affordably.

Discover Sustainable Fashion With TCTC

At The Closet Trading Co., our sustainability-minded franchisees help clients access high-quality pieces from premium brands without harming the environment. Our unique franchise opportunities feature a small retail footprint, a simple business model, and an investment opportunity. We believe that pre-loved clothing can help solve textile waste, and our secondhand retail sales fuel a circular economy of mindful consumers committed to global sustainability. Interested in giving back to your community? Explore our opportunities today.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

July 3, 2021/by Johanna Zlenko

Business & Franchising

How To Open a Franchise Clothing Store

According to the National Association of Resale and Thrift Shops, the resale and consignment industry in the United States generated approximately $17.5 billion in revenue in 2018. Over the last few years and throughout the pandemic, circular economy retailers and upscale clothing stores have continued to experience dramatic industry growth. As a result, the secondhand luxury apparel industry is expected to reach $51 billion by 2023. Opening a designer consignment store is the perfect way to take advantage of this growing market and transform your love for fashion into a lucrative business opportunity. Whether you have a flair for design or a passion for selling, a franchise clothing store offers the ideal opportunity to take the next step in your career.

How To Start a Designer Resale Shop

When it comes to opening your designer consignment store, choosing the right franchisor is key. When you invest in a reputable company, you’ll have all the tools you need to build a successful business from the ground up.

At The Closet Trading Company, we focus on selling pre-loved designer clothing, shoes, and accessories for women. Our commitment to sustainability and accessible prices makes us an essential component of our clients’ shopping experience, allowing us to build client loyalty while catering to a new generation of eco-conscious, fashion-forward consumers.

Our franchise has little overhead costs when compared to traditional retail. We also offer online and web resale opportunities along with a simple business model– setting the gold standard in boutique franchising opportunities. So, if you’re dreaming about owning your own business and bringing your passion to life, then investing in TCTC might be the right franchise for you.

What Do You Need to Open Your Own Designer Consignment Store?

You’ll need to have the right tools in place to have a profitable consignment store. From financing your clothing franchise to hiring new staff, opening your own designer consignment store requires hard work and ambition.

Although building your business can seem intimidating, you don’t have to do it alone. We work hard to support our franchisees and share our years of franchising and sales experience, providing you with proven methods for buying, selling, and marketing.

When you join the TCTC family, we’ll go the extra mile to help you succeed with a wide variety of resources, including:

Exclusive luxury brand standards
Proprietary pricing databases
Initial inventory from our corporate backstock
State-of-the-art fraud detection technology
Comprehensive training, ongoing support, and marketing materials

Bring Your Entrepreneurial Dreams to Life With TCTC

At TCTC, our ideal franchise candidates are ambitious and motivated, with an affinity for hard work and an unmatched ability to develop deep connections with clients and employees. In addition, they are expected to have a net worth of at least $250,000 or more, with at least $100,000 in liquid assets.

There’s never been a better time to take the next step in your career and open a designer consignment store. Reach out to our franchise development team here to learn more!

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

June 24, 2021/by Johanna Zlenko

Business & Franchising

Where Do Clothing Boutiques Get Their Inventory?

Women's Tops Clothing Boutique Inventory

Opening a designer clothing boutique and buying inventory can be a fun and rewarding experience, especially if you have an eye for the latest trends and styles. At The Closet Trading Company, we specialize in pre-loved contemporary clothing, shoes, and accessories from designer and premium labels– making the best styles more accessible to our clients.

Our focus is current, on-trend styles that fit seamlessly into our clients’ wardrobes. Although finding the perfect pieces requires some research and experience, we’re here to help you build a successful business every step of the way—from supplying initial inventory to providing multiple streams of revenue.

Obtaining an opening inventory

Our fresh-off-the-runway inventory, relaxed atmosphere, personalized style advice, accessible luxury brands, and sustainable business model– bring our clients to our TCTC stores.

When you join the TCTC family, we’ll provide the starting inventory from our corporate backstock to ensure a successful, well-stocked opening day. Then, instead of having to pay for this inventory up-front, our franchisees only have to pay for the inventory that sells, after it sells. This leaves more cash on hand for marketing and other revenue-generating activities.

Plus, with online inventory and web sale opportunities, our franchise owners can optimize sales and build customer loyalty while reaching new clients. Our unique online boutique franchise opportunities and innovative eCommerce platform provide our fashion-forward entrepreneurs with the tools they need to start selling—even before you open your doors.

Sourcing Resale Clothing Boutique Inventory

Unlike other clothing boutiques, The Closet Trading Company sources most of its inventory from the public, not wholesalers. We empower our franchisees with our proprietary pricing database, exclusive luxury brand standards, and ongoing training to help them choose the best pieces for their store.

When clients drop clothes off at one of our luxury consignment boutiques, an experienced buyer will sort through the client’s items to assess their value and condition and ultimately decide if they meet our standards. If we decide to purchase the item, we offer three payment options:

Cash: We offer 30% of the selling price in cash upfront
Trade: We offer 50% of the selling price in store credit upfront
Consignment: We pay 40–80% to the client after the item sells

Our franchise owners use Entrupy, a cutting-edge device that uses machine learning and artificial intelligence, to verify the authenticity of designer-brand items.

With the freedom to run the sales floor and display, market, and curate inventory, our franchisees can further optimize sales by taking advantage of new arrivals each day.

Turn Your Passion for Fashion into a Luxury Consignment Boutique

With retail and web sale opportunities, a simple business model, and comprehensive training, The Closet Trading Company is setting the gold standard in the designer resale industry.

Whether you have a passion for fashion or you’re an experienced business owner, opening your own TCTC luxury consignment boutique provides the independence to curate your own inventory and channel your passion into a fulfilling career.

Think TCTC might be right for you? Learn more about our franchise opportunities here. We look forward to hearing from you!

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

June 16, 2021/by Johanna Zlenko

Style & Fashion

How To Determine Authenticity of Designer Clothing

The Closet Trading Company was built around making authentic designer clothing accessible through a reputable and trustworthy high-end resale clothing business model. Our customers come to us for a boutique-like experience that features exceptional service and peace of mind—knowing that their designer purchases are authentic.

We know that luxury pieces are an investment, which is why we use advanced technology and proven processes to authenticate every piece that comes through our doors. As a result, our clients can shop knowing that their investment is secure, as we guarantee that every item we sell is authentic.

How We Authenticate High-End Resale Clothing

At The Closet Trading Company, we use franchisee-exclusive proprietary clothing guides alongside Entrupy. It is the world’s first and only on-demand authentication solution for high-value goods. Every piece in our inventory undergoes inspection, and only items that can be proven authentic are accepted.

Entrupy has developed a state-of-the-art, AI-powered authentication system for businesses that buy and sell high-value goods, such as designer boutique franchises. With a current accuracy rate of 99.1%, Entrupy features a device that uses a microscopic camera to obtain real-time authentication. It also uses machine learning and computer vision to determine the authenticity of designer clothing from anywhere, allowing businesses to authenticate high-end resale clothing within seconds.

What We Buy (And Don’t Buy)

We aim to offer a curated selection of high-quality pieces that fit into our clients’ wardrobes. Our franchisees undergo comprehensive training in our exclusive brand standards to ensure that all pieces of women’s clothing, shoes, and accessories fit these standards.

When it comes to buying items, we are looking for pieces that are:

Current styles manufactured within the last 2–3 years
Designers and brands from high-end department stores and luxury boutiques
In unworn, like-new condition
Seasonal (i.e., sandals in the summer and boots in the winter)

Unfortunately, we do not accept pieces that are:

Vintage styles older than 2–3 years
Formal or professional attire
Mall, discount, or juniors’ brands
Men’s clothing
Off-season pieces
Damaged, soiled, or show signs of wear

Explore Boutique Franchise Opportunities with TCTC

When you join the TCTC family, we will give you every tool you need to make sure the designer pieces you sell are authentic.

We go the extra mile to empower our franchise family with extensive training on our proprietary pricing database and exclusive brand standards to set our franchisees up for success. In addition, our buyers are extensively trained in the research and pricing process based on the guidelines set by industry experts with over 30 years of buying experience.

Ready to take the next step in your career? Reach out to our franchise development team to learn more about our one-of-a-kind designer boutique franchise opportunities.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

June 7, 2021/by Johanna Zlenko

Press

Celebrate Earth Day in Style at TCTC’s New Plantation, FL Boutique

TCTC Franchise Storefront in Plantation, Florida

This Earth Day, The Closet Trading Company has something extra to celebrate. New TCTC franchise owners, Antonio Hernandez-Sarinana and Gabriela Hernandez, chose this day to cut the ribbon for the grand opening of their new TCTC franchise located in Plantation, Florida, as a way to highlight the environmental benefits of sustainable fashion.

The couple has also committed to donating proceeds from sales on April 23 to the Dan Marino Foundation to support those with autism and other developmental disabilities toward their path of independence.

“We are thrilled to launch our new business, which combines our love of fashion with environmental stewardship. We’re looking forward to bringing our passion to the Plantation community and welcoming shoppers to our boutique for an exciting and potentially habit-forming shopping experience,” said Hernandez.

The new sustainable boutique will also become TCTC’s first East Coast franchise at 10097 Cleary Blvd., Plantation, Florida 33324.

The beginnings of TCTC

Founded in 2003 as a vintage boutique, The Closet Trading Company attracted the attention of Santa Barbara’s local fashion scene. Soon after, the demand for premium pre-loved clothing inspired the opening of a second location, and The Closet Trading Company flourished as one of Southern California’s leading luxury consignment boutiques.

Today, TCTC continues to lead the premium second-hand movement with locations in Santa Monica, Agoura Hills, Santa Barbara, and Woodland Hills, California. With TCTC’s newest location in Plantation, Florida, East Coast customers can now enjoy access to pre-loved designer brands in an inviting boutique environment, as well.

Enjoy an Unparalleled Shopping Experience

The Closet Trading Company offers an innovative approach to designer resale, with each TCTC boutique featuring a curated selection of designer labels. TCTC has become an essential component of their customer’s shopping habits and buying cycle, allowing East and West Coast customers to enjoy luxury brands at accessible prices.

TCTC sells pre-loved contemporary designer fashion for women with a focus on current styles from premium labels.

“Since we opened our first boutique in 2003, The Closet has become Southern California’s premier resale and consignment destination,” said CEO Johanna Zlenko. “The opening of our Plantation franchise boutique is the beginning of a new chapter for our company as well as for second-hand shoppers. By bringing our franchise boutiques to new markets, we can begin to meet the growing demand for sustainable, pre-loved designer fashion.”

Upscale Resale Clothing Continues to Thrive during the Pandemic

Since the pandemic began, the fast fashion industry has taken a hit. Although retail giants have struggled to keep their doors open, the resale industry has experienced immense growth.

Circular economy retailers and upscale resale clothing franchises have already seen dramatic industry growth over the last few years. Luxury apparel grew to a $24 billion market before the pandemic and is projected to reach $51 billion by 2023—driven largely, but not exclusively, by sustainably-minded millennial and Gen Z consumers.

Join the Sustainable Luxury Movement

As concerns over the tremendous environmental impact of fast fashion grow louder, resale fashion has become an industry leader. The idea of luxurious, sustainable fashion is no longer an oxymoron—it’s becoming the new normal.

When you join the sustainable luxury movement and open your luxury clothing boutique with The Closet Trading Co., you’ll have the opportunity to enter the flourishing multibillion-dollar resale industry and give back to your community.

If you’ve ever dreamed of owning your own lifestyle business, reach out to our franchise development team to learn more about our franchising opportunities.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

APPLY NOW

April 14, 2021/by Johanna Zlenko

Press, Visa Acquisition

Investing in a Franchise to Get an E-2 VISA

Investing in a Clothing Franchise for E-2 Visa

*Disclaimer: The Closet Trading Company is not qualified to offer legal advice or make any promises or guarantees regarding immigration status. Anyone considering applying for an E-2 Investor Visa should retain experienced legal counsel.

Foreigners looking to live and work in the United States may consider the E-2 Investor VISA a legal pathway. With an E-2 visa, the entrepreneur may work legally, staying on a prolonged basis, with an unlimited number of two-year extensions.

The business owner may bring a spouse and dependents under 21. The spouse can legally work at the enterprise, and the children may attend U.S. schools without applying for separate student visas. The family may travel freely in and out of the country as business permits.

Given these incredible benefits, investing in a clothing boutique franchise like The Closet Trading Company™ may be an ideal answer for immigrants with an American dream.*

E-2 Visa Requirements

To be eligible to make an E-2 investment in accordance with the U.S. Citizenship and Immigration Services,a foreign national must:

Prove that a valid treaty of commerce and navigation exists between their country of citizenship and the United States. A list of eligible E-2 treaty countries can be found here on the U.S. Department of State website.

Make a substantial investment in the total cost of the business. While there is no exact amount given, $100,000 in capital should be a reasonable amount to launch a franchise business. The government is looking to see the investor saved this money, received this money as a gift, or somehow legitimately earned enough funds to invest. The funds must be at-risk personal assets – not including loans or credit cards that may be used to cover portions of the business. Ten years’ worth of tax returns, wage statements, retirement account investments, and bank or trust statements are acceptable proof.

Take steps toward the business investment before filling out the E-2 application.Signing leases, purchasing equipment, setting up an escrow account for the sole purpose of funding the business, starting a website, or incorporating a business all reflect steps toward investment. In other words, one must be close to starting the company – not just wishing to do so once residing in the country.

Prove that the applicant is capable of active and direct participation in the business. The applicant should have an educational and experiential background commensurate with running such an enterprise.

Show a five-year operation plan for maintaining a viable enterprise with a clear operating platform, profit projection, growth potential, and overall economic contribution. Hiring and engaging employees help establish such a plan since staff is generally viewed as a necessary component of operating a non-marginal commercial enterprise.

Investing in a Franchise

Starting a business can be daunting, even for investors who already have U.S. citizenship. So, what makes investment in a franchise a good idea for anyone, much less foreign nationals?

It’s great for beginners. The franchise business model is well-suited for first-time entrepreneurs and those without retail experience. Under a franchise arrangement, the franchiser owns the rights to the brand and sells licenses and proprietary information to franchisees. The franchise agreement allows for the opening of the store(s) run by the franchisee. Meanwhile, the franchisor oversees the brand image, provides training materials, and ensures that the franchisee’s branch is up to standard.

Franchisees receive considerable support, so they don’t have to go it alone. Franchisors provide a great deal of financial information that can and should be incorporated into the franchisee’s business plan. They also offer considerable training and marketing materials, website support, pricing databases, and anything that will increase the likelihood of success.

It’s an affordable path to entrepreneurship. The cost of entry is spelled out and relatively low compared to other types of business ventures. Some franchises can be started for as little as $50,000. Even in the face of the global pandemic, gross revenue for luxury resale franchises increased 50 percent.

Franchising is a well-established business model in the United States. Examples of well-known American franchises include McDonald’s, Burger King, 7-Eleven, Ace Hardware, and SERVPRO. Consular officers generally believe franchises are established and “real” businesses, so they are easier to receive approval than a true “startup” with no brand identification.

How To Apply for the Investor Visa Using Franchise Opportunities

Foreign entrepreneurs interested in obtaining an E-2 visa should take the following steps:

Search franchise opportunities that satisfy the E-2 investment amount and job creation requirements.
Connect with a franchiser and begin the process of setting up the business.
Contact an immigration attorney to prepare the E-2 visa application and supporting documents.
Prepare a five-year plan to start a business that demonstrates viability.
Transfer funds to the U.S. to pay the franchise fee and establish the business.
Submit the E-2 visa application through one of the U.S. embassies.

If you love designer fashions and accessories and dream of owning your own luxury retail consignment boutique, consider starting a franchise with The Closet Trading Company™. Designer resale is steadily rising, with market watchers predicting a $23 Billion industry value by 2023. Contact us to learn how easy it can be for foreigners to open a store without the bureaucratic restrictions that might otherwise hold them back from earning a living, supporting their families, and making their American dreams come true.

Interested in Franchising?

Owning your own upscale boutique is a fun and rewarding experience, TCTC franchise can get you there.

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March 11, 2021/by Johanna Zlenko