Furniture showroom company

Study request

share capital

Rate of return

Recovery period Second year

Project Description

It is a modern furniture exhibition organized according to the latest display methods, including the latest models of furniture and accessories. The exhibition displays (bedrooms – living rooms – tables – and accessories). The exhibition aims to satisfy customers by providing a unique product in terms of design, materials, quality and prices. The exhibition displays the latest furniture designs and models (Turkish, Italian, German, French models and also American-style models) at competitive prices with the quality of the product and materials and the use of accessories for zippers and drawers, doors and hinges of the highest and best types and brands available in the market and through the use of the best technology and the best levels of quality. So that it can compete with local competitors for products and meet the demand and increasing consumption of furniture, as the exhibition products are not without any modern home.

Project Services

Bedrooms
Living rooms (sofas – corner seating)
Dining rooms
Accessories (vases – chandeliers – side lights for tables – wall paintings – others)

Why Mashroo3k ?

Mashroo3k has over 11 years of experience in preparing feasibility studies, conducting market research, and providing comprehensive consulting services.
Mashroo3k has offices in 7 international branches, located in Saudi Arabia, the UAE, Egypt, Qatar, Oman, Yemen, and Iraq, in addition to its agents in China, Singapore, and other countries.
Having delivered over 7,000 feasibility studies, Mashroo3k has helped thousands of clients achieve their investment goals.
Mashroo3k’s services are accredited and trusted by all financial institutions and funding entities across the Middle East.
The company’s geographic reach spans 35 countries across all continents.
Mashroo3k holds membership in over 100 prestigious international organizations specializing in market research and business management.
Its team consists of 350 consultants with deep expertise in promising economic sectors, ensuring tailored solutions and strategies that meet clients’ needs.
Mashroo3k is partnered with more than 10,200 suppliers across 22 countries, providing logistical support for projects, including production lines, raw materials, machinery, and equipment.
With an extensive database, Mashroo3k enhances the accuracy of its forecasts and analyses, strengthening its risk management capabilities.

Operating the showroom with the best capabilities and providing the best types of furniture
Creating new investment opportunities with good returns.
Achieving a good return for the project owner.
Employing workers and improving their economic and social level.
Achieving good returns, cash flows and added economic value.
Optimal use of project resources and assets.
Achieving a high level of quality.
Maintaining a competitive price level enables the project to obtain its target share.

Executive Summary

About the project
Financial indicators
Justifications for establishing the project
Government investment incentives in the project field
Target Markets
Project indicators and final results

Study of project services/products

Study of project services/products
Description of the project and all its products/services

Market Size Study

Familiarity with distribution channels
Consumer behavior, desires and nature
Competitors’ products or services, and what their strengths and weaknesses are.
Nature of the market and its characteristics
The volume of demand for the product or service provided
Available share of target market
The best way to market

Risk study

Identify risks
Impact of risks on the project
Risk prevention methods

Technical study

Detailed description of project products Expected production capacity Determination of investment costs
Determine the volume of electrical energy and water
Determine the project’s labor needs
Determine project requirements
Construction and building cost calculation
Total Capital Calculation
Determine annual operating costs
Determine the amount of working capital

Financial study

Total investment costs required for the project
Organizing the cash flow and income statements as well as the financial position statement for the first ten years of operation.
Determine the expected annual revenues of the project in light of the specified operational capacities.
The optimal financing structure for the project in light of the investors’ capabilities and in light of the financing granting conditions
Project financial indicators and sensitivity analysis

Organizational and administrative study

Project manpower
Organizational structure
Job Duties

The Service Sector in the Gulf Cooperation Council (GCC) Countries

According to macroeconomic sector theory, the economy is divided into three main sectors:

The Primary Sector: This sector is based on the collection of raw materials and includes mining companies, timber companies, oil exploration companies, as well as agricultural industries and fishing.
The Secondary Sector: This sector relies on goods and their sale, such as the automobile industry, furniture manufacturing, and clothing trade, among others.
The Tertiary Sector (Services): This sector is responsible for providing and producing services, relying primarily on intangible elements, such as entertainment, healthcare, transportation, hospitality, restaurants, and more. This theory posits that as countries develop, their economies become more reliant on the service sector, in contrast to primitive economies that primarily depend on the primary sector. For example, in the United States, the service sector constitutes 85% of its total economy.

Saudi Arabia:

The service sector is a major sector in Saudi Arabia, encompassing:

Wholesale and retail trade, restaurants, and hotels.
Transport, storage, information, and communications.
Financial services, insurance, real estate, and business services.
Community, social, and personal services.
Government services.

Key indicators of the sector in Saudi Arabia:

The service sector contributes 48.2% to the country’s GDP.
Wholesale, retail trade, restaurants, and hotels contribute 10.8% to GDP.
Transport, storage, information, and communications contribute 6.6% to GDP.
Financial services, insurance, real estate, and business services contribute 6.4% to GDP.
Community, social, and personal services contribute 2.5% to GDP.
Government services contribute 21.9% to GDP.
In the past year, 100,944 new business licenses were issued in Saudi Arabia, bringing the total to 348,173 licenses.
The wholesale and retail trade sector, including motor vehicle and motorcycle repair, accounted for 48,242 licenses, followed by accommodation and food services with 16,531 licenses, and construction with 11,521 licenses.

Qatar:

The wholesale and retail trade sector in Qatar is valued at 50,083 million Qatari riyals.
The number of establishments operating in wholesale and retail trade: 11,139.
The number of employees in this sector: 213,954.
Total compensation for employees in this sector: 11,288,877 thousand Qatari riyals.
Establishments in the hospitality and restaurant sector: 2,396.
Number of employees in hospitality and restaurants: 78,194.
Compensation for hospitality and restaurant workers: 2,947,431 thousand Qatari riyals.
Mobile phone subscribers (regular plans): 976,015.
Prepaid mobile phone subscribers: 2,941,556.
Roads paved in the past year: 2,224 km.
New driver’s licenses issued: 242,923.
Compensation for workers in the transport and communications sector: 24,338,223 thousand Qatari riyals.
Number of insurance documents issued: 715,897.
Number of business services establishments: 4,973.
Number of employees in business services: 215,285.
Compensation for workers in business services: 15,347,819 thousand Qatari riyals.
Private sector employees in social and personal services: 80,569.
Compensation for workers in social and personal services: 6,127,645 thousand Qatari riyals.

Kuwait:

Wholesale and retail trade contribute 1,644.3 million Kuwaiti dinars to GDP.
The restaurant and hotel sector contributes 418.6 million Kuwaiti dinars to GDP.
Transport, storage, and communications contribute 2,554.5 million Kuwaiti dinars.
Total paved roads: 91,340,068 square meters.

United Arab Emirates (UAE):

Wholesale and retail trade, including motor vehicle and motorcycle repair, contribute 12.3% to GDP (172,288 million dirhams).
Transport and storage contribute 5.9% to GDP (82,461 million dirhams).
Accommodation and food services contribute 2.3% to GDP (32,357 million dirhams).
Information and communications contribute 2.9% to GDP (41,347 million dirhams).
Financial and insurance activities contribute 9.6% to GDP (134,773 million dirhams).
Number of insurance policies issued: 7,584,607.
Wholesale and retail trade employs 13% of the total workforce.
Transport and storage employ 6.2% of the total workforce.
Accommodation and food services employ 5% of the total workforce.

Oman:

Oman’s GDP: 29.3 billion Omani rials.
Wholesale and retail trade contribute 7% to GDP (2,064.7 million Omani rials).
Restaurants and hotels contribute 1.1% to GDP (308.6 million Omani rials).
Transport, storage, and communications contribute 5.9% to GDP (1,721.2 million Omani rials).

Global Service Sector:

The service sector is the largest contributor to global GDP, accounting for more than three-fifths of total economic output. Unlike manufacturing sectors that produce tangible goods like automobiles and furniture, the service sector is based on intangible services such as banking, healthcare, transportation, hospitality, and entertainment.

The market value of the global service sector was $10,814.49 billion in 2020.
By 2021, this value increased to $11,780.11 billion, achieving a compound annual growth rate (CAGR) of 8.9%.
After recovering from the COVID-19 pandemic, global market experts predict the sector will reach $15,683.84 billion by 2025.
The service sector is expected to grow at a CAGR of 7% in the coming years.

This data underscores the importance of the service sector both globally and within the GCC, making it a crucial area for economic growth and investment.

Mashroo3k Consulting recommends investing in the services industry, as its contribution to global GDP rose from 62.8% in 2010 to 65.7% in 2020. According to World Bank data, this industry’s contribution to global GDP will rise to 69.6% by 2030.