NEW BUSINESS!!! STORE FRONT OR GARAGE????

[The Elvis Legacy 16]

Every day that passes is a day closer to my FIRST retirement.  I have GOT to get my ducks in a row.  I have slowly been purchasing my equipment, software and supplies and have been getting aquainted with them.  I have also been learning of places to buy supplies and such.

 

It is about time to get serious about "OPENING UP SHOP" full time.  My original plans were to go out right away and get a store front versus working out of my home.  I will be opening up my shop about 50 miles from where I am presently located for a number of reasons. 

 

I will have a substantial cash backing due to my retirement to buy items such as a large format printer...etc.

 

My thinking is that having a store front and being "visible" will substantially help in gaining customers.  On the other hand, close friends of mine have tried to get me to open up shop in my garage and save the extra expenses of a store...I just dont know if I have what it takes to GO OUT AND GET MY NAME AND NUMBER OUT THERE like I will need to. By working out of my house, I would definitely do it legally as far as getting the proper business licenses and charge sales taxes and such.

 

Can anyone share their thoughts and perhaps the way they started out?

 

Also, for anyone that works out of the home, do you find that customers might not look at you as a professional business because you dont have a store front?

[Dakotagrafx 7,297]

if you are definately going full time open the store front - factor in the expense of rent, electric, heat, insurance, security system, etc that will need to be covered each month before you can put anything in your pocket.  I am semi retired so I work from home - if I go on vacation not a big deal.  also I am there if the printer has any issues.  word of mouth is great but doesn't bring the walk ins in like a store front would do.

On the printer/cutter get a new roland and not have to worry about maint or the first couple of years.  also with the Roland you don't have to worry about having a separarte expense  of a  RIP as all the new ones come with versaworks.

 

congrats on your new adventure!

[Pcrat 65]

I would really think about the "Going on vacation" part, 

 

having a store is great for a lot of things, but like dakota said, alot more expenses, and less in your pocket. and less time for yourself. Unless ya dont plan on going on vacations, or anything which is fine too.  I always wanted to get a store front, from my old business building computers, but from word of mouth and the years of experience and clients i have now with all that, I dont need one, and yes thats more money in my pocket.

 

doing it out of your home has its pros and cons, and so does a store front, weigh them both with yourself, and see what your happy with.

 

Good Luck and enjoy ret!! 

[slice&dice 2,451]

'I will be opening up my shop about 50 miles from where I am presently located..."

 

By that, I hope you don't mean a commute daily of 100 miles?

 

I drive 7 miles (each way) to my little studio, and that's just a hop,skip & jump each morning and evening.

In fact, sometimes I'll even run home for a full hour lunch.

 

I'm not setting the world on fire with this small $500-a-month-rental shop, but I get all kinds of jobs which add up and let me take home decent money in my pocket above and beyond my fixed expenses.

 

 

Store Front anecdote:  My good friend went into a franchise operation and rented the location they recommended in a shopping center. He put up an expensive lighted channel-letter sign and laid out the store interior as they indicated. The equipment he bought was just as the franchise suggested (including a $2200 panel saw).

 

At the end of his first year, the guy was bankrupt, having sunk all his savings into keeping the place running, and not seeing any profits. The walk-in traffic was limited (people came to that shopping center to buy food at the big supermarket, not to order signs) and although he put out a lot of quotes for jobs that were being referred by the franchise main website (using the pricing structure indicated by the franchise) he only was closing sales on those leads at a rate of around 20%.

 

Moral of the story --   Big is not necessarily better.

[The Elvis Legacy 16]

Slice&Dice...heck naw I have no plans to commute.  I will be moving there...I only added that tidbid to kind of explain why I wasnt doing much right now to build up the business before I actually retire.   I am doing SOME stuff on the side now...but just sporadically.

[mabscotthandyman 1,410]

The logistics would play a big part also the saturation of shops doing the same type of business in the market area ,also the rent and overhead cost plus commute cost to and from the shop . You may be better buying or building a shop building at your home and do aggressive advertising to bring in your targeted market . I had an office warehouse for years and kept the phone fowraded because I was either on the job during daylight hours and giving bids during the evening hours and never used the office . After going from a construction /home builderp to a handyman repair service I built buildings on my property and leased out the warehouse . Most of the sign people I know work out of buildings at their home . Only the largest sign companys here have large shops and offices . My office is a room upstairs that was a den originally . And I have a 24x 24 building for a sign shop at the upper edge of the property .