Calculate start up costs if you want to start a pet store business. It is vital because you need to identify the possible expenses and its detailed breakdown. Below are instructions and tips on how to calculate start up costs for a pet store.
- Study the pet store retail business. Calculate the possible expenses and income. Determine and analyze your target market and the possible competition. Build a pet shop in a competition free location. If there are other pet shops near your pet store, then create strategic plans like offers, discounts, or freebies to attract and create loyal customers. Never open a pet store business if you have not conducted a feasibility study. Ask family members, friends, or other experienced business people to help you analyze chances of business success.
- Identify the licenses or needed permits in your location to start a pet store. Inquire at small business organizations and the Chamber of Commerce in your area to determine and anticipate possible expenses.
- Find commercial buildings or spaces that you can rent. The rental fee differs from square footage and location. Anticipate that you might pay a 3 months deposit before you can use the space. Commercial spaces are much expensive but they are the most practical because there are more people who can see your pet store. Consider residential areas if it is strategic, like if it is near schools and offices. Also, allow expenses for a possible renovation of your preferred store location.
- Contact different commercial insurance agents so you can have a rough quote on commercial Renter's insurance and liability. Be aware that some insurance companies do not covered loss of livestock, and they only replace saleable items and cages.
- Canvass for the best price and the best buy for your cages, foods, and other operating necessities. You can get discounts if you will buy your cages and other operating needs from one supplier. Do not forget to buy enough products to maintain the animals that you are selling. You must also have available stocks to ensure that the customers get what they need.
- Find and compare animal suppliers. Use comparative analysis to find out the best offer that you can get. Make an inventory of the products that you need for your opening day. Calculate all the expenses including the purchase cost, delivery, housing, feeding, and 3 months sustenance of your animals. Buy animal foods and other things that they need from a different supplier if your original supplier gone out of stock. Do not purchase pet supplies from unpleasant suppliers like puppy farms. Their animal treatment is oftentimes barbaric so it is best to buy your supplies from responsible or respectable animal breeders or suppliers. Do not support animal cruelty, people will respect you through this action and this might translate to future customers.
- Estimate payroll expenses and utility bills. Include your payroll taxes for the next three months.
- Advertising. Determine the marketing cost that you need to effectively publicize the opening of your pet store. These advertising and marketing costs can include signs, banners, ads, commercials, and websites among others. Constant marketing is helpful to create a recall for your pet shop.
Pets are endearing to people and you can make your pet store a success if you are passionate in your business endeavor.