How do I own a video store business?

Question

How do I get copies of movies for customers to rent?
How much money do I need to save up to own one?
And how do I sign up for Government grant, do I
do it online? What website? Or do I have to go somewhere
to ask for Government grant?
What about business loan? Is it easy to get one?
And do I have to pay monthly rent or lease for a store or
what you call it? How much does it cost to lease a space?

I am in Tunica, Mississippi.

Answer 1

I looked at doing this once. I don't know where you live, but unless it's in a place not well served by video places already, you may find it hard going. Nowadays people can rent online (Netflix), get cable on demand, and buy videos cheaply ($5 to $20). Video rentals were much more popular back when it cost $50 to $80 to buy one.

That said, if you still want to go for it - a small business loan will expect you to have a good business plan for at least the first 3 years, showing how you will work your way to a profit and that you understand the business. Some towns (ask you bank) have a counseling service - for free - by retired executives who can help you put a plan together. Unfortunately I forget the name of the program at the moment.

You will probably have to rent (lease is another term for rent, just means you've signed up for a certain amount of time); what it costs depends on where you live, but it's sort of similar to an apartment, price-wise. In a small town, $500 to $800 a month. In a city or shopping area - who knows? Could be much more. You'll have to look for places and ask what they want for it.

As far as where you get videos, there are video distributors that will provide you with your selection and promotional materials. Look up "video distributors" and see what you find.

To start, you'll probably need $5k to $10k just for videos and equipment alone (cash registers, computer), not to mention security deposit, rent, etc. It would help if you had a good $20k or more to start with, if not more than that.

Oh, and don't forget payroll, payroll taxes, employee records - unless you plan on being in the store all day and evening, and after hours as well - every day - you'll be needing employees.

Good luck!

Answer 2

Check out Entrepreur magazines business startup courses. There is one available for this very thing I believe. Also, check out the Small Business Administration website on how to start a business and put together a business plan. Hope this helps.

The Syko Ward

Answer 3

i dont know where you are so check your local small business bureau to see what resources they have BUT
1) be prepared to lose $ the 1st year and break even the second. its a tough go but if you got the dream and the guts you might be the next big success story!
luck!