decisions, decisions but which one is right

winniepooh

plzhelpmesave! wrote: »

Winnnie, what are your reasons for expanding? You will always incur other expenses when you take on premises and there can be a lot of looooong, lonely days when you are running a small shop - and i speak from experience. Most of your time will have to be spent marketing your business to get in those customers - and there ae ususally costs of marketing that most of us don't include in anywhere.

Your dad having to drive you and having a lot of stock are not reasons for you to take on a lease and go into a shop - they are why it is currently diffiucult for you to keep the stall going but please look into everthing very carefully and get some advice from start up advisers.

I speak as somone who has jumped into business and premises and struggled to make it work so my comments are based on my personal experience - wish you every luck hun x

morning hunni thanks for replying

I need to expand because of my stock. I've over 800 with of fabric stock that wouldn't fit with all my stock under one gazebo. I, m really struggling in the current weather

COOLTRIKERCHICK

don't forget... the landlord will charge you for the building insurance, or you will have to insure it...water rates, electric/gas and the meter standing charge...legal fees to have someone go over and check the lease.




Don't forget a lot of people shop in markets as they get things cheaper ( or they 'think' things are cheaper) plus they like the experience of the market, rather than a shop..


Don't forget.. you will not have the security and income of your job.


Bigger isn't always better...( and don't I know it... )


I am SERIOUSLY thinking about going back to bare basics, where I started from, as I was making more money and had less work related stress, due staff, juggling business bills etc





don't forget there will prob be VAT of 20% on the rent so the actual rent cost will be £120.00+ £24 =£144.00

crocus

I'm struck by the practical talk of needing a shop mainly because of your stock levels. But where does your heart take you? What do you feel passionate about? Do you enjoy your two days at the market more or your four-day a week job more? If you enjoy ordering your stock, selling it at the market and interacting with customers, then a shop could be a good move. Also why don't you ask your customers if they would be interested in a permanent shop?

winniepooh

crocus wrote: »

I'm struck by the practical talk of needing a shop mainly because of your stock levels. But where does your heart take you? What do you feel passionate about? Do you enjoy your two days at the market more or your four-day a week job more? If you enjoy ordering your stock, selling it at the market and interacting with customers, then a shop could be a good move. Also why don't you ask your customers if they would be interested in a permanent shop?

thanks for your reply. The job I'm doing at present is ok I've been doing it for ten years. However last year I decided that I needed to do something that I would enjoy doing for the rest of my working life and I needed to find something that I love.
I love to sew and craft so I decided on a haberdashery. Theres not another in town. The market has been a huge success and all my customers are extremely excited that im thinking about a shop. Not only will a shop be open six days a week with greater stock levels but on a personal level I'll be able to take my little one to schools.

zygurat789

winniepooh wrote: »

thanks for your reply. The job I'm doing at present is ok I've been doing it for ten years. However last year I decided that I needed to do something that I would enjoy doing for the rest of my working life and I needed to find something that I love.
I love to sew and craft so I decided on a haberdashery. Theres not another in town. The market has been a huge success and all my customers are extremely excited that im thinking about a shop. Not only will a shop be open six days a week with greater stock levels but on a personal level I'll be able to take my little one to schools.

All of this is great and bodes well for the future, however, I assume that the reason you do your present job is to provide the money on which you live. You will, therefore, need your new venture to generate money for you and as you are well aware you will be incurring new and not immaterial (sorry no pun intended) expenditure.
Please reread my post #2, the purpose is to guide you as to what level of turnover you will need to survive as a business and as a person.

winniepooh

The problem I have is that in 13 weeks I, ve took around 7200 but that has been spent buying new stock because I only started with £300 to buy stock but I'm at a stage where apart from a few new bits per month I just need to purchase stock as needed.

greyteam1959

You say you 'took 7200' in 13 weeks..........
Did you actually make any profit on what you 'took'.
What about your expenses at the moment ???
Do you actually pay your Dad for his time ??
And for the use of his van ??
Do you pay yourself a wage ??
Did you pay Tax on what you 'took'
Do you pay National Insurance etc etc etc
What about staff....you cannot run a shop on your own ??
If you take a shop on with the massive increase in overheads & no proper idea of the increased costs you are going to be in trouble VERY VERY quickly.
Turnover is vanity, profit is sanity..........!!!!!!

zygurat789

winniepooh wrote: »

The problem I have is that in 13 weeks I, ve took around 7200 but that has been spent buying new stock because I only started with £300 to buy stock but I'm at a stage where apart from a few new bits per month I just need to purchase stock as needed.

But what is either your markup or your margin?

winniepooh

I at least double what I pay at wholesale including vat

greyteam1959

winniepooh wrote: »

I at least double what I pay at wholesale including vat

Thats got nothing whatsoever to do with profitability !!!!