Seriously considering starting a pet store... thoughts?
- Thread starter Lycanthropic
- Start date
Some things to consider:
Where you get stock
Electric and water bills
Filtration (IMHO sponge filters are best pet store filters... just do regular water changes and you fish will be fine)
Advertising and how many people would buy from you
Possible gain and possible loss
I say go for it if you know you will take good care of the fish and make income. If you know you will lose money, I wouldn't even let thoughts of starting a pet store go through your head as you never know if everything crashes or something happens and then you wont have the money to fix it.
Where you get stock
Electric and water bills
Filtration (IMHO sponge filters are best pet store filters... just do regular water changes and you fish will be fine)
Advertising and how many people would buy from you
Possible gain and possible loss
I say go for it if you know you will take good care of the fish and make income. If you know you will lose money, I wouldn't even let thoughts of starting a pet store go through your head as you never know if everything crashes or something happens and then you wont have the money to fix it.
Consider where you will be getting money from.
Banks will only loan money for business ventures to people who don't need it! Especially if the person requesting the money does not have experience. Unless you have some form of collateral to offset the money they are loaning you- they won't.
If you don't have the money up-front to start the business and don't have the collateral to entice a bank with to loan you money- you'll need to seek out a venture capitalist to loan you the money.
That means having a sound business plan in mind- you have to really be able to convince them... it also means- *you* won't really run the business. A VC is not going to give you money without making sure they have the final decision in how the store is run.
You might be able to set up a purchase deal- where you purchase X% each year from them. Until then- they could even remove you from day-to-day running... and they WILL care about money.
Any business that is not set up to maximise profits will eventually fail.
Banks will only loan money for business ventures to people who don't need it! Especially if the person requesting the money does not have experience. Unless you have some form of collateral to offset the money they are loaning you- they won't.
If you don't have the money up-front to start the business and don't have the collateral to entice a bank with to loan you money- you'll need to seek out a venture capitalist to loan you the money.
That means having a sound business plan in mind- you have to really be able to convince them... it also means- *you* won't really run the business. A VC is not going to give you money without making sure they have the final decision in how the store is run.
You might be able to set up a purchase deal- where you purchase X% each year from them. Until then- they could even remove you from day-to-day running... and they WILL care about money.
Any business that is not set up to maximise profits will eventually fail.
As you can see.. this would be a venture requiring a lot of work.
financing,demographics, store rental, taxes...etc..etc.
Many stores open knowing they will lose money the first few years.
you also need to be willing to work long hours ...possibly no days off.
Even then there is no guarantee of success.
and you will need to hone your customer service skills....
financing,demographics, store rental, taxes...etc..etc.
Many stores open knowing they will lose money the first few years.
you also need to be willing to work long hours ...possibly no days off.
Even then there is no guarantee of success.
and you will need to hone your customer service skills....
As regards filter systems - many options - try a thread in general freshwater.
The other question - any tips etc.
As tempting as it would be for you no doubt to get into the details of what stock you would keep etc. etc., in reality that is step 100,000 of 100,000. Start with step 1. If you have never run your own business look at getting some knowledge and skills, or advice from somebody who has those skills/that knowledge.
You also need a business plan. Either to secure finance or, if you're funding this yourself, to know if you have a business or just a hobby.
There's no point in opening up a business unless it intends to turn a profit - otherwise just keep your hobby as a hobby.
You need to do all the boring business stuff before you can even think of having fish in tanks for sale.
The other question - any tips etc.
As tempting as it would be for you no doubt to get into the details of what stock you would keep etc. etc., in reality that is step 100,000 of 100,000. Start with step 1. If you have never run your own business look at getting some knowledge and skills, or advice from somebody who has those skills/that knowledge.
You also need a business plan. Either to secure finance or, if you're funding this yourself, to know if you have a business or just a hobby.
There's no point in opening up a business unless it intends to turn a profit - otherwise just keep your hobby as a hobby.
You need to do all the boring business stuff before you can even think of having fish in tanks for sale.
alberta has oil. they will always have money. if people anywhere in canada are in a rough spot and can't find work, they go there and get hired on doing some nasty work and start off at WAY more than minimum wage. that being said, the people are there and they have $$. the only thing is that a lot of people there are fairly transient so they move on but i think a pet store would still be able to get by on selling the basics. i agree you might want to start collecting tanks and set up a breeding program of your own over the next while, then see how those fish sell in local classifieds, ect. sounds feasible though. my only concern is that the rent for anything out there is pretty crazy so if you could do a home based buisness on your property that would work better.
You know, sometimes* you have to take a risk in order to get somewhere. I have my own business, been going about 4 years now (not fish related) I would say, make it as appealing to as many people as possible, so don't get too specific in a small town. If you adopt out shelter animals, you can utilize the shelter volunteers to provide medical care, food, and cage cleaning. That saves a lot of money right there.
Most of the time people make a mistake by getting too large of a space and paying too much rent, don't get any ideas of grandeur, just get what you need and go from there.
Most of the time people make a mistake by getting too large of a space and paying too much rent, don't get any ideas of grandeur, just get what you need and go from there.
another suggestion, contact other LFS in other cities to get their experiences. some members may be owners also.
SORRY FOR THE OBSENE LENGTH OF THIS POST!
Be sure to figure in enough money in your Prospectus for your business loan to pay for advertisements and all bills and salaries for at least a year in addition to the startup costs. This way if you manage at least come close to breaking even in profits the first year, then the extra loan money can go into expanding the store and services offered or pay some back to the bank while retaining a nest egg, or etc etc.. If your first year flounders a little, you can at least keep the doors open until things pick up. Obviously the bigger the risk you take the greater the failure could be, but certain risks are necessary to have the capital to start up proper.
Another way this can be good is that the money is not yours to begin with. Look at my friend and his father for instance.... He WAS fairly well off, he blew all of his PERSONAL savings opening a rock and roll themed restaurant. It was sooo cool. 42" hd projector screen, 4x 32" lcd's on the walls, a 17" lcd at every one of the booths... They played music videos all day, even requests or stuff people brought in (within reason). Live bands, Video game nights on the hd big screen like guitar hero and stuff. Great stuff, he and his employees had a blast.... Less than a year later it's closed down, he's jobless at 50 something with 3 kids at home one of which has special needs, no retirement money left, and his old engineering degree isn't worth what it used to be. They went from Olive Garden and Old Navy to Ramen noodles and Goodwill just that fast. A year has gone by and they've still not even recovered enough to be considered middle class.
Not trying to scare you, just saying that if he'd invested the bank's money instead, he could've used his personal money for his children, for education/training to get a new job, mortgage, gas money, etc. Sure his credit would be ruined and he'd still owe the bank, but at least he'd be better off right now.
I took out a couple large once, opened a small contracting company. Within 2 years I wasn't profiting enough so, i closed my company. I went and got a 9-5 and had my loan paid off, slooooowly, within a year. My credit didn't suffer, I didn't suffer, my fish didn't suffer. Oh well I said, fun while it lasted. If I had used a few grand of my own money, I wouldn't have had the "buffer" in my personal finances to get through the first month or two of shutting it down.
Sorry again for the length, but it's the best advice I can give on starting a new business.
Be sure to figure in enough money in your Prospectus for your business loan to pay for advertisements and all bills and salaries for at least a year in addition to the startup costs. This way if you manage at least come close to breaking even in profits the first year, then the extra loan money can go into expanding the store and services offered or pay some back to the bank while retaining a nest egg, or etc etc.. If your first year flounders a little, you can at least keep the doors open until things pick up. Obviously the bigger the risk you take the greater the failure could be, but certain risks are necessary to have the capital to start up proper.
Another way this can be good is that the money is not yours to begin with. Look at my friend and his father for instance.... He WAS fairly well off, he blew all of his PERSONAL savings opening a rock and roll themed restaurant. It was sooo cool. 42" hd projector screen, 4x 32" lcd's on the walls, a 17" lcd at every one of the booths... They played music videos all day, even requests or stuff people brought in (within reason). Live bands, Video game nights on the hd big screen like guitar hero and stuff. Great stuff, he and his employees had a blast.... Less than a year later it's closed down, he's jobless at 50 something with 3 kids at home one of which has special needs, no retirement money left, and his old engineering degree isn't worth what it used to be. They went from Olive Garden and Old Navy to Ramen noodles and Goodwill just that fast. A year has gone by and they've still not even recovered enough to be considered middle class.
Not trying to scare you, just saying that if he'd invested the bank's money instead, he could've used his personal money for his children, for education/training to get a new job, mortgage, gas money, etc. Sure his credit would be ruined and he'd still owe the bank, but at least he'd be better off right now.
I took out a couple large once, opened a small contracting company. Within 2 years I wasn't profiting enough so, i closed my company. I went and got a 9-5 and had my loan paid off, slooooowly, within a year. My credit didn't suffer, I didn't suffer, my fish didn't suffer. Oh well I said, fun while it lasted. If I had used a few grand of my own money, I wouldn't have had the "buffer" in my personal finances to get through the first month or two of shutting it down.
Sorry again for the length, but it's the best advice I can give on starting a new business.
