What is Fast Fashion?

Senior business executive Michael W. Kramer has developed business opportunities and critical partnerships for high-profile companies including JC Penney, the Kellwood Company, Abercrombie & Fitch, and Apple, Inc. Currently, Michael W. Kramer is chief financial officer of Forever 21, a fast fashion retail company headquartered in Los Angeles.

People who love fashion have long kept an eye on trends revealed at Fashion Week events in the spring and fall. However, not everyone who loves high fashion can afford the styles seen on the runways. 

Enter fast fashion. Popularized during the late 1990s and early 2000s, fast fashion brings cutting-edge trends to the masses with affordable, quickly changing product lines.

Traditionally, stores have introduced new offerings in the spring/summer and fall/winter seasons. Fast fashion, however, churns out new releases in dozens of micro seasons, giving consumers more opportunities to shop, discover deals, and score the latest trends.

The fast fashion approach appeals to the consumer’s tendency to enjoy shopping as entertainment. When the latest styles are constantly being introduced at affordable prices, consumers are more likely to buy clothing. They also are more likely to revisit stores numerous times throughout the season, knowing they always will find something new.

Tips for Negotiating Better Loan Terms

Experienced retail executive Michael W. Kramer is the CFO of global fashion e-commerce company Forever 21. In this position, Michael W. Kramer is in charge of finance and has helped the company facilitate $500 million in asset-backed loans with very favorable terms from top lenders. 

Here are two tips smaller-scale business leaders can use for negotiating better commercial loan terms:

- Understand the terms completely

What terms is the lender offering? Is the interest rate fixed or floating? What are the consequences of breaching the contract? Are there penalties for late payments? What can and cannot be used as collateral? What are the associated fees and costs of the loan? Often, lenders are willing to step back on one or more of these terms if you negotiate. Know the terms and then negotiate specifics for a more business-friendly loan. You may also want to check out loan alternatives such as lines of credit, short-term notes, and weighted average-term notes. One of these means of accessing capital may be just what you need. 


- Make your business’ banking part of the offer

Inform the lender that you are willing to move your banking relationship to it if you are granted a commercial loan with good terms. Arm yourself with copies of your monthly account and credit card statements when you are negotiating with the loan officer so he or she sees the value of developing a long-term relationship with you. The deposits, fees, and commissions your business will bring may be very appealing.

Forever 21 Partners with Frederick’s of Hollywood Megan Fox Collection

Michael W. Kramer is a senior executive who has achieved sustained results in boosting shareholder value for the companies he has led. The chief financial officer with Forever 21 since 2016, Michael W. Kramer has engineered a major turnaround and worked with several leading banks in facilitating a new asset-backed loan revolver worth $500 million. 

Forever 21 was in the news recently with the announcement that it would partner with Frederick’s of Hollywood in selling its Megan Fox collection at retail locations. After filing for bankruptcy, the intimate apparel brand was acquired for $22.5 million by the Authentic Brands Group in 2015.

Having presented sketches and samples of what would be on display, brand stakeholder and ambassador Megan Fox described the collaboration as presenting excellent synergies. In particular, she looked forward to introducing Frederick’s of Hollywood to Gen Z and millennial consumers who might not know the iconic brand, but were likely to find the designs and ethos compelling. Fox connects with a wide range of women who identify with her message of self empowerment and embracing one’s identity.

With items priced in the $16-$70 range retail, the pieces can be worn as regular apparel or innerwear. With the Forever 21 partnership, which will include live Megan Fox appearances, Frederick’s of Hollywood will be reintroduced to mall settings, where it once had a significant presence.