What will you sell at your thrift store?
Thrift stores, which specialize in selling used goods, vary greatly in quality and service, from trendy, secondhand boutiques to low-end stores. Both types appeal to a vastly different audience. If you are considering opening a thrift store, you'll need to decide what type of store you will operate. Before you begin your business venture, write up a thorough plan.
Instructions
1. Take care of the legal aspects of opening a thrift store. Determine if you will operate as a for-profit or non-profit organization. As a for-profit organization you can't offer tax-deductible receipts for donations as a non-profit would be able to; however, you can take donations from charities that have an abundance of donated goods that they cannot sell. In that case, contact your Attorney General, as you may be required to register your business.
2. Contact the IRS to get your federal tax ID, if you will operate as a for-profit organization. Then visit your state's tax commission office to obtain a sales tax permit. Select a legal structure for your business, such as incorporating or forming a limited liability company (LLC). Create a name that will appeal to the clients you intend to reel in. Purchase liability insurance and worker's compensation insurance.
3. Select a structure for your thrift store. Some consumers shop at thrift stores out of necessity. Other consumers, particularly the younger crowd, may frequent thrift stores in search of one-of-a-kind, fashionable trends. If targeting the latter, consider including a consignment section.
4. Find a location for your thrift store that is easily accessible by your target customers. A high traffic area with good visibility is preferable, and well worth paying a little more in rent. A trendy secondhand store would fit well in a mid-scale shopping center. If you hope to reel in the lower class, consider a location near a lower or middle-class residential neighborhood.
5. Purchase supplies for your store such as fixtures, shelving, racks, hangers, labels, price tags, dressing room mirrors, and display cases (see Resources). Many of these items can be purchased from stores that are going out of business. Check Craigslist.org and your local paper for any going-out-of-business sales.
6. Visit garage sales, flea markets, and other thrift stores to find inventory for your store. Ask friends and family to donate old clothing and accessories. Check Craigslist.org and Freecycle.com for free clothing. Find cheap, bulk clothing on eBay.com. Consider purchasing new, cheap, bulk accessories and knock off items. Contact local charities about buying their excess goods.
7. Catch up on your sewing skills. You may need to mend and repair items. Find an efficient method for removing stains.
8. Hire an assistant to help you man the store or obtain more store inventory. Train her to have an eye for damaged products that can be easily repaired. You don't want to purchase items that can't be resold, and you may not want highly damaged goods being sold in your store.
9. Create fliers to leave at grocery stores and colleges. Put an ad in your local paper.
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