Question by Star: How much money does it cost to open a new age store? Can you make a good living this way?
In the future I would love to be able to open up my own new age/Pagan store. I was wondering, how much money do I need to open up a store and keep it running? About how much money can I make a year with a store like this, can I make a pretty good living? I would be managing the cash register and taking care of the store myself (with possibly a few friends) so I wouldn’t need to hire anyone.
Best answer:
Answer by TheUrbanPagan
Retail is one of the hardest types of business to make a true profit in. You will likely make less at 80 hours a week running your own store than 40 hours working for someone else. There are just too many variables so give solid answers. You need to know how much traffic your site will get, how much space you have, and how receptive your area is to pagan faiths in general. You should also know about any competition in your area.
As a rough idea, a small flea market booth in a very receptive area can make a small living. The initial stock for even a 100 sq ft booth (flea market booth or a mall kiosk) would cost at least 00 (more if you carry any “high dollar” items, like silver, gold, or handmade clothing). Not only that, you had better guess the right product mix or you’ll still have most of that stock after 3 years.
As far as expenses go:
Rent, Electricity, Telephone, Credit Card Processing, Cash Register, Advertising, Inventory and Restocking, Business Licensing, Tax collection, Food license if you intend to carry tea and/or herbs, Self Employment Tax, Decor – It will all vary based on where you live, how large a space you have, and (in some cases) how much you sell.
The best thing to do is talk to your local SBA office – they can help you get solid numbers for your area.
Give your answer to this question below!
Starting a new business takes a good deal of planning not just for the business but for you own finances as well. The rule of thumb is to have enough in savings to cover your personal expenses for 3 years because that’s generally how long it takes to get a business up and running and on a stable footing.
If this is something you want to do, start out with some good solid training and education. There is a national group called SCORE who’s members are successful business men and women who have already gone through the steps, trials and tribulations you’re facing. Where to get started, what to do first, how to decide if you need financing and where to get it if you do. All these questions can be answered through a SCORE ‘starting your own business’ course. They have many of these of varying lengths depending on where you are and what the local chapter offers. Typically they offer a nationwide one day course that you would probably find helpful.
If you really want to do this, your next step is to write a business plan. There are tons of resources online for how to do this, including templates and categories to include in your plan. Again this is where SCORE can help you. You can sign up for a mentor who can guide you toward resources for your area to look at competition, expenses, marketing and much more. You can also tap into their knowledge for areas you feel you have weaknesses. For instance, if you’re great at marketing, but terrible at accounting then turn to a professional for help. Don’t think you have to go at this alone because there are tons of services and support out there.
For a retail store, consider starting a shop online to limit your start up and overhead costs. If you have an extra room or basement in your house for storing product, you can start out with an online shop. Many physical stores started this way, or if they started in a physical space, they also have an online shopping service which expands their market and opens the door to a larger source of revenue.
Just do some googling and a little research. Don’t be afraid to email existing shops and ask them what they did or how they got started. Most small business owners love talking about their business and are willing to share what they’ve learned with others.
The biggest suggestion I’d have for getting started is to start a business plan. It puts your dream into form and reality. It makes it something tangible that you can work on and organize. And as you write your plan you’ll realize you know a lot more about starting a business than you thought you did. You can do this, just plan and write it out! Hope this helps. Good luck and I hope you dream of owning your own shop come true.