Have you decided to open a retail store but don’t know where to start?
You’ve always dreamed of owning your own consignment business, and now you’ve decided to make those dreams a reality.
Whether you’re opening a traditional brick-and-mortar store or building an online retail business, there are certain steps you’ll need to follow to ensure the long-term success of your retail store.
With that in mind, we’ve put together what you’ll need to do and be prepared before launching and opening your retail store.
Negotiate lease terms, including early terminations. Many leases offer deferred rent or build-out allowances, but those may come with longer monthly terms. Read the fine print agreement – in many retail store spaces you may be fully responsible for your AC unit for example depending on the building construction. Know what the common area and services charges cover as well as the rent escalator. All things are negotiable.
Insurance is required even before you move to the property. The best way to start is to contact your insurance agent and ask for referrals to find the best plan, and costs that suit you and your business. Some insurance companies offer business incentives to small business owners, which is why is very important to look and investigate the best for you. Also, you might consider a security system with cameras in and out of your store since many insurances request that.
Depending upon your lease terms, you may need to set up electricity and be responsible for light, water, internet, phone, trash bill, and all the other fees depending on the location.
Another consideration is the aesthetics of your store. If you can find a space where there was a former retail store set up that might decrease your costs considerably. If you want to change the appearance of the place, you will have to consider the costs and manage your budget for paint, flooring, shelves, fitting rooms (if you will have them), signage, and lighting.
Permits & Laws
If you are making changes in the space, you will have to get a permit to be able to build or change the building, which is an extra cost, plus the construction material and contractor costs.
Each city and state have its laws, such as DBA, building permits, fire and police department permits, alarm permits, and more.
Display equipment can be expensive and is an investment for your store. You will need racks, nesting tables, mannequins, cashier. The cost will vary from business to business since having a bigger store you will need more racks and equipment to fill up your store.
Going into details that sometimes we forget but can be very important like bags. At the checkout, you need bags to bag the products your customer purchased. You can invest in branded bags with your logo, website, location, and phone number or just use generic bags in different sizes and shapes.
The cashier needs to be equipped with a computer, barcode scanners, receipt printers, cash drawer in case someone pays in cash and has change.
One of the most important items on this list is deciding what POS system and inventory management software is the best for you. There are several options like Clover, Shopify, Lightspeed, and QuickBooks. And the best option to manage your inventory with unique features is Aravenda Consignment Software integrates with any POS system, cross-post items, and payout consignors.
A high-quality, branded store sign is one of the items that people will look for and capture the attention of those who are trafficking around your store.
Not only you will need cleaning supplies, but also a plan about who will clean your store and how many times per week or month. Maintaining your store clean is vital for a business to run.
You will need to set up your store policies for your business, such as exchange and return policies. The rules will protect your business, store, employees, and customers.
Finding people that you can trust in your store with or without your presence is very important. Make sure to set up payments, vacation, benefits, and employee policies. They should be adequately trained in how you want your store to be run even when you are absent. Eventually, you won’t have to be 24/7 running your business but can spend more time with family and enjoy your life without working all the time.
No matter where you sell or are headquartered, Aravenda’s multistore consignment software will work to improve your sales and data-tracking capabilities.
We would love to chat with you about taking your resale business to the next level.
Schedule a time to talk about your needs here.