How to start up business

Flyonthewall

Savvy_Sue wrote: »

I think you have to start by working out some other way of raising the funds for the initial costs of leasing a shop. The simplest is borrowing from family, but it's not necessary a good idea. Other ways are putting it on a 0% credit card, which brings its own problems. People are suggesting online sales because it's a way of turning a profit with minimal overheads. Another alternative is to work yourself silly with a second job and save every penny you can.

You're right that no bank is going to throw money at you ...

Thanks. I don't think I'd be able to get a credit card with 0%.

If I could make even a few pence profit I'd consider online first, but I'd be losing mony doing it.

I'd need to get a first job to get a second job lol.

DKLS

Flyonthewall wrote: »

Not everything has to work as an online business on ebay and Amazon to do well.

True but you still need a model that works and you have described slim margins which leads me to believe that your model isnt viable.

paddyrg

Are there any weekend markets you can take a stall at? If you can start shifting these items from a stall it means you'll hit the ground running when you have the cashflow to afford the rent.

In terms of commercial lease, I know that's another thread, but perhaps the landlord of the property would consider a 1 month 'pop-up' style shop whilst they try to shift the master lease? It could mean that limited upfront cash will get you a chance to prove your model.

But you do need some cash in hand I think - that first job may be a smart start! How about something overnight, so you can buy and sell during daylight hours for your own business?

Flyonthewall

DKLS wrote: »

True but you still need a model that works and you have described slim margins which leads me to believe that your model isnt viable.

Well I know roughly what items I want, the area I live in, what competition I have and so on. But I'd rather not discuss it all here.

My question was simply how to get a shop when I have no money. Any grants, loans or companies that can help?

Obviously, if they wanted a business plan and to prove it would work I could sort something and research further, but if I've no hope whatsoever of getting a shop because there's no help out there then I know that my idea just won't work as I'm currently thinking.

Flyonthewall

paddyrg wrote: »

Are there any weekend markets you can take a stall at? If you can start shifting these items from a stall it means you'll hit the ground running when you have the cashflow to afford the rent.

In terms of commercial lease, I know that's another thread, but perhaps the landlord of the property would consider a 1 month 'pop-up' style shop whilst they try to shift the master lease? It could mean that limited upfront cash will get you a chance to prove your model.

But you do need some cash in hand I think - that first job may be a smart start! How about something overnight, so you can buy and sell during daylight hours for your own business?

I think there might be a couple. I've heard prices in the past, but I can't remember them. I think they're pretty high though. If I did it regular people would get to know, but I can't afford a big loss until word gets out.

Possibly. Worth considering.

I am trying to get a job, but there's not a lot out there so while doing so I'm attempting to think of some self-employed ideas lol.

Percy1983

Flyonthewall wrote: »

I wouldn't make any profit though online through Amazon/ebay. There is a market for it and the products sell higher than what I could buy them for but fees and postage take all that profit.

If I had a shop I'd have my own website and no problems and I could sell the odd thing on ebay/Amazon to get more people to the website/shop. But I'd need the shop first because one or two items isn't an online business.

Speculate to accumulate!

If you can shift reasonable volumes making small profits you have proven a viable idea, once you have this evidence go to the bank with accounts and show how opening a shop would reduce your overheads and give more profits, if this is correct they will give you the money.

Savvy_Sue

Flyonthewall wrote: »

My question was simply how to get a shop when I have no money. Any grants, loans or companies that can help?

If you're young enough, The Prince's Trust may be useful. But I doubt you'd get ALL you need that way. You would get help with a business plan etc as well, and I still think you haven't fully grasped how profit and loss work.

Flyonthewall wrote: »

Obviously, if they wanted a business plan and to prove it would work I could sort something and research further, but if I've no hope whatsoever of getting a shop because there's no help out there then I know that my idea just won't work as I'm currently thinking.

I don't think anyone here thinks your idea will work as you're currently thinking ... I'm sorry we're being so negative about it, but opening a shop is seriously expensive. Anything involving fixed premises has much bigger fixed costs than models which don't.

Is there a street market you could start at? Unlike car boot sales, they welcome traders!

Flyonthewall

Percy1983 wrote: »

Speculate to accumulate!

If you can shift reasonable volumes making small profits you have proven a viable idea, once you have this evidence go to the bank with accounts and show how opening a shop would reduce your overheads and give more profits, if this is correct they will give you the money.

True. Not easy to start though when you know the very start is likely to include a loss until you can get the word out.

Flyonthewall

Savvy_Sue wrote: »

If you're young enough, The Prince's Trust may be useful. But I doubt you'd get ALL you need that way. You would get help with a business plan etc as well, and I still think you haven't fully grasped how profit and loss work.

I don't think anyone here thinks your idea will work as you're currently thinking ... I'm sorry we're being so negative about it, but opening a shop is seriously expensive. Anything involving fixed premises has much bigger fixed costs than models which don't.

Is there a street market you could start at? Unlike car boot sales, they welcome traders!

I understand how profit and loss works. Buy low, sell high, sell enough to cover costs....

Nobody knows exactly what I'm thinking. I haven't mentioned a single item I plan to sell or anything.

I'm aware it's expensive, that's why I was hoping there's some help out there to get started. Seems there really isn't much though

There is a market but I don't think it's cheap, although worth considering.

motorguy

Flyonthewall wrote: »

I'm aware it's expensive, that's why I was hoping there's some help out there to get started. Seems there really isn't much though

The reason is because so many people 'think' they have a business idea, and against all sound advice (other than well meaning family members and friends who say you should go for it) push onwards into opening a retail unit only for it to crash and burn 18 months later with debts of tens of thousands which then have to be paid back. (been there, done that, got the t shirt)

Flyonthewall wrote: »

There is a market but I don't think it's cheap, although worth considering.

If you cant make a profit on this item by selling it on ebay or amazon or online because the margins are too small to cover postage costs, and you're concerned about a market stall because of costs, then trust me on this, and i'm about to save you £20,000 of debt and two years of your life - you're not going to make it work with the massive overheads of a retail unit - THIS IS A BAD IDEA - WALK AWAY NOW.