How To Start Flower Export Business With Low Investment

Are you searching for the flower export business plan sample template? Find here a comprehensive flower export business plan for your ready reference.

Flowers are highly perishable items. Therefore, the flower demands high-quality post-harvest management including packaging and storage. Different types of cut flowers exporting is a profitable business. However, there are several aspects you must consider before starting the business.

If you are living in a high-quality flower growing area then only you can consider starting this business. In addition, you must identify the potential overseas markets for those specific flowers.

Generally, you can start the flower exporting business in two ways. In the first option, you buy the flowers from the growers and sell them to your clients at your own price. In another option, you sell the flowers directly from the growers. And you enjoy a certain amount of transaction fees.

Read: How to Start a Home-Based Flower Business

The first option demands substantial capital investment and a large infrastructure. Definitely, you can earn more profit here. On the other hand, the second option demands small capital investment and also offers small profits. If you are an absolute beginner in this business, it is better to start with the second option.

Flower Export Business Step-by-step Guide

1. Market Research & Business Plan

In starting the flower export business, this is the most important aspect. First of all, identify the flowers that you can procure locally. Additionally, identify the potential foreign markets for those specific flowers. Figure out the rates. Generally, the export industry is highly organized. Therefore, you can obtain data and information thoroughly.

The important floricultural crops in the international cut flower trade are the rose, carnation, chrysanthemum, gerbera, gladiolus, gypsophila, Liatris, nerine, orchids, achillea, anthurium, tulip, and lilies.

Apart from flowers, there are several floriculture products that have huge export potential. The list includes bulbs, tubers, tuberous roots, cactus, mushrooms spawn, unrooted cutting, plant for tissue culture, etc. Some of the major importing countries are the United States, Germany, United Kingdom, Netherlands, and the United Arab Emirates.

After having all the data and relevant information, craft a detailed business plan. Mention business objective, executive summary, mission, and vision. Clearly, determine the financial plan and marketing plan. A detailed business plan helps in arranging finance also.

2. Licensing For Flower Export Business

In starting this business, you will need to obtain different types of permissions and licenses. And the licensing procedure hugely depends on the location where you are starting the business. Additionally, you will need to identify the upcoming tax liabilities also.

3. Flower Export Procedure

After choosing your export product as a Cut flower, roots, bulb, plants other live trees, send the samples to your clients. Additionally, send the terms of payment and terms of delivery. After getting a positive reply you must send other terms and conditions. When you receive an export order for Cut flower, roots, bulb, other live trees followed by purchase order from your overseas buyer, send a proforma invoice.

Generally, the mode of payment plays an important role in this business. You can get payment in two ways. Either as an advance payment or as LC (letter of credit). If you have a good credit score, then you can arrange the finance from the bank for the export order. Additionally, you must arrange the insurance to avoid the risk involved in transit.

After quality check (QC), you will need to arrange proper packing with Palletization or Crating. Additionally, you will need to determine the type of container according to the specific product. Then you will need to prepare the documents like export invoice, export packing list, certificate of origin (GSP – Generalized System of Preference), and other documents. After completion of export customs clearance either by the exporter or his Customs broker, the carrier will issue the Bill of Lading or AWB.

4. Flower Export Business Operation

According to your business model, you will need to build the infrastructure. However, the business is all about getting convertible leads and procuring the flower as per client specifications. Therefore, you must have a commercial office space for operating the business.

Additionally, you must have a computer, internet and telephone connection with an international calling facility. You can also consider having some business tools like accounting software etc. In addition, you must hire some experienced manpower for smooth operations.

In starting this business, don’t establish the packaging and storage infrastructure. It is always advisable to start flower export by hiring this facility. As your business grows, you can scale up at any moment of time.

Related: How to Start Dried Flowers Business 

5. Flower Export Business Promotion

You must promote your business. And there are several ways for that. First of all, take the membership of the export associations of your area. Attend the export-import fairs. give advertisements on the export and floriculture related magazines. In addition, online marketplaces are great options for advertising your business.

Make your company available on the online export classifieds. Additionally, create your own website. Clearly mention the products you deal with, contact number, and address. Include a blog on your website.

Basically, networking is the most important of promoting flower export business. You must establish a solid business network to get quality leads.

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