Business Plan Project: LUME Active

The Ask

To create a comprehensive and professionally branded business plan for a new fashion retail company, in response to a hypothetical city-wide initiative in Richmond offering $100,000 in seed funding to the most compelling retail concept. Working in a team of three over the course of a semester, we were challenged to apply both quantitative and qualitative skills developed through our Fashion Merchandising coursework.

This included not only sound financials and feasibility, but also creativity in brainstorming ideas and a clear vision for launching in 2026. Each section of the plan was refined through feedback, and our final submission reflected a balance of data-driven decision-making and innovative retail strategy.

The Class

FASH-445: Fashion Entrepreneurship

SKILLS

  • Trend & Market Research

  • Strategic Marketing

  • Brand Development

  • Team Collaboration

  • Industry Analysis

  • Independent Thinking

  • Professional Writing

Meet The Team

OUR BUSINESS PLAN

Lume Active is a niche athletic retail boutique that aims to celebrate individual stories and active lifestyles by offering high-quality, sustainable athletic wear that empowers our customers to move with confidence, purpose, and style. In the simulation, the brand was founded by Tori Woodward, Olivia Canderelli, and Yasmin Gaugau. Tori is an experienced stylist with a strength in buying and trends forecasting, Olivia is merchandising professional with strengths in marketing and business strategy, and Yasmin is experienced in administrative and legal realms with strengths in logistics and customer service. Lume Active’s customer is between the ages of 25 and 45, and values a holistic, sustainable lifestyle driven by individuality and authenticity.

Total projected Gross Profit is 52.3%, or $338,783 with a projected Net Profit of 33.6%, or $217,640. The brand embodies a soothing sense of balance, emotionally sensual and emphasizing freedom. Lume Active strives to embrace sustainability and circularity, with multiple awareness programs at the helm of the company’s progress.

RESEARCH

Building on the development of our business, conducting research on the market, consumer behavior, and industry trends was essential. This process centered on in-depth market research, such as identifying our target demographic, analyzing competitors, and evaluating potential locations. We also examined financial projections, pricing strategies, and customer preferences to understand what would make our athletic store competitive.

Alongside this, we studied what it means to be an entrepreneur and the multitude of steps one must take when planning to start a business, from refining the business model to developing a marketing strategy and preparing for operational challenges.

MARKETING

As head of the marketing team for our athletic business, we first had to identify our target consumer and determine how to attract them to LUME Active. As an athletic brand, we recognized that the majority of our customers would be seeking comfortable clothing while living a holistic and active lifestyle. From this, we developed our customer profile, 'Caroline,' who embodied the typical LUME Active customer. Caroline represented a professional living in Richmond with an average household income of over $150K annually, who values both style and wellness. We also narrowed down specific neighborhoods in Richmond where our target consumer would most likely reside.

Building on this profile, we explored marketing strategies to directly connect with our audience. One example was our 'Flash Your Bib and Score a Discount' campaign, tied to the popular Monument 10K, which would attract local runners and fitness enthusiasts. Additional strategies included social media campaigns highlighting community wellness, in-store events promoting holistic living, and partnerships with local fitness studios to build brand visibility and credibility.

LUME Active’s Business Plan project presents a comprehensive overview of our process—including the idea, research, and marketing strategy, through a formal business plan paper along with a clear and visually captivating slide deck.

THE OUTCOME

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