How do you open up a retail business?

Question

I would like to know steps to start a business (not procedures, but the research involved to make sure the business is successful).

Something to consider answering...

Mostly on business planning:
1. How do I find a good distributor/wholesaler?
2. How do I manage the inventory (or how much I should buy initially)?
3. How do I minimize tax?
4. How do I choose a good location?
5. What kind of return should I expect before I put my money in?
6. How do I know if my idea will be practical?
etc.

I am looking for some thorough answers. Thank you VERY MUCH! I do not have a very good knowlege and would like to hear some experienced entreprenuers.

Answer 1

1: Internet, merchant shows-look in you local paper or the Internet
always try to go to the source, cut the middle man
2: i would manage the inventory on a spread sheet in Microsoft works, on your inventory u kinda want to start with a few of each items to see what is selling and what is not, it will be hard to see what your going to need until you are there for a month
3: It is a cash based business, you will get really good at hiding money
4: traffic count, people in the area, competition
5: depending on you economy any where from 300% to 500% on a retail business, that is on items, business worth is normal 3 times sales
6: If you treat people how you want to be treated, keep you prices in the range where you would pay for item your self at another store, and appearance

Answer 2

KEEP YOUR OVERHEAD LOW.

I've owned a small retail furniture store in California for 5 years. Here are some answers to your questions:

1- Find out about the major (and minor) trade shows for what you want to sell. There's probably a big convention in Las Vegas a couple times a year that will meet your needs. Also, attend events near your location. Take advantage of the seminars offered at most trade shows; they are often very educational and trigger new ideas. When checking out vendors at shows, give strong preference to anybody that warehoues the product within driving range of your store. It can be highly advantageous to pick-up your own merchandise rather than have it shipped. You save money and keep good relations with your vendors.

2. Learn how to use a spreadsheet or use an accounting program and learn how to use the inventory function. I like Peachtree, but it's not for everyone.

Initially, you should keep the inventory to a minimum. Do what you can to research what people want to buy and how much they are willing to pay. Consider how fast you will be able to resupply. Vendors will tempt you with "get a discout when you buy x# units." Don't feel the need to take advantage of the discout first time out. Get a feel for what items actually sell before you start to make volume purchases.

3- Always be honest with yourself and the government. For agressive tax strategies make sure you have a CPA AND an attorney.

4- This depends a great deal on what you will sell. For example, if you sell tourist crap, you have to be in the tourist area. For something more specialty, you can be more out of the way. Rent will probably be your biggest expense (besides payroll- but that's a whole other set of questions) so get it as cheap as possible in the location you need to succeed. Do your research and get the best lease you can. Storage may be a consideration.

5- Whose money are you using? I generally find that the return is reliant on personal effort. The more you put in, the more you get out. You reap what you sow. Etc.

6- Go to the trade shows and learn what is currently working. Mesh that with your ideas. Check out the local competition. Check out the internet competition. Work out the numbers (cost of goods, expenses, etc.) conservatively. If it looks like you could make a reasonable profit, then it's probably practical.

7- Read "Sam Walton: Made in America" (autobiography)

Good luck and always remember: KEEP YOUR OVERHEAD LOW.

Answer 3

The best routes to take are to research the process of starting a business as well as the industry you're interested in.

I recommend checking out the SBA, Entrepreneur, The Start Up Journal & Nolo. All 4 are great informational resources for the new/small business owner. I posted links for you in the source box.

Associations may be a good avenue to explore as well. These organizations will address many of the thoughts, questions and concerns you'll inevitably have as well as many you haven't anticipated yet. See the source box for some relevant links.

Research, research, research – this cannot be stressed enough. Read as much as you can about the industry. Here are some book titles that are relevant:

* Start and Run a Profitable Retail Business by Jim Dion, Ted Topping
* Retail Business Kit for Dummies by Rick Segel
* Specialty Shop Retailing: How to Run Your Own Store Revised by Carol L. Schroeder
* So You Want To Own The Store: Secrets to Running a Successful Retail Operation by Mort Brown

There are plenty of free informational resources out there. Check the source box for links to articles.

Hope that helps! I wish you much success & happiness in all your ventures!

Answer 4

Hey, I hope that this will help you out!

I work from home. I do not sell, stock, pick-up or deliver anything.
There is no paperwork, no record keeping, and no overhead.
All I do is set up wholesale accounts for a catalog company.
It is a business you can start for less than $15
This is a SOLID 20 year old, INC 500 company, with NO large investments, and NO risk.
And if you are not satisfied, you get ALL your money back within 90 days.
This company is set apart from ALL other companies.
In two short years my mom, who is a stay at home mom, and home schools her kids,
is making VERY reliable, residual income.

More than $9000.00 a month.

For more info e-mail me
[e-mail]

Answer 5

Dear:

First you have to identify the retail sector you want to be in as business owner or an operator.

Second, what kind of product line you want to offer or sell.

Now we are talking about who is going to buy your offering products, goods or merchandise.

After that who is going to supply your products, goods or merchandise.

Up to know we are just talking assessment of your options that are easy to define or to assess.

The next step, you need to have a deeper understanding of the environment where you want to establish your retail business operations.

So you need now to have an approach that is more analytical that lead you to define your internal resources, external opportunities and threats and also where, how, when, what and with whom questions that all deserve a full and sincere if not efficient responses.

At this level, I will advise you to do more your homework and to develop a model of business operations that is the result of S W O T Analysis = S strength W weakness O opportunity T threat.

Once you have accomplished this, you need to read or can review my work at this web site and deeply review the related web links listed that I am going to copy for your perusal thought here below:

http://www.glocentra.com/case_studies.htm

Many aspects of the following presentation can also help to develop a Business Model for your Retail Operation, please click on the following web link presenting Business Planning:

http://www.glocentra.com/busoperplan.pdf

When starting any kind of business, the first thing or move you have to do is finding answers to questions. Between you and me, asking questions is more important than finding answers. Simply because when you ask a question you are half way out of ignorance and half way aware of the existence of possible answer. So now, you need to ask a central question, you want to make money, that is legitimate question and pursuit but do you have enough capital to generate more profit for you and your business, so let review the following presentation that I hope will provide you more with questions first than responses, please click on the following web link:

http://www.glocentra.com/finaspectstrategicplan.pdf

For the question on distributor/wholesaler, check this web link:

http://www.glocentra.com/GlobalDistribution_Logistics.pdf

I think you have reach a level of awareness that need to review your learning and the effectiveness of the business intelligence you received through this virtual journey, so let start from the point A, please take the time to review all the content of the following web link and you will learn more and reinforce your acquired knowledge, so please click on the following web link:

http://www.glocentra.com/case_studies.htm

Similarly, you can always visit the following web sites that will provide you with direction, guidance, support and assistance in the state and city where you live actually if you are in the United States as Citizen or legal resident:

http://www.sba.gov/starting/regulations.html

http://www.sba.gov/library/pubs/mt-2.txt

http://www.britafe.vic.edu.au/content/bep/

http://www.loc.gov/rr/business/guide/guide3/guide3.html

http://www.score.org/small_biz_power_links.html

After all this, if you have more questions, please feel free to contact me @:

[e-mail]

Wishing you all the best of success with efficient knowledge and profitable practice.

Said.