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would like to start an online skate store and then move to a real life retail location

 
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pchadwick83

posts: 1

Oct 15, 2006 12:35 AM ET    Quote  Report Abuse
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I just got a new job and right next door, there`s a skatepark that is packed with people everyday when I`m on my way home from work. I`ve found it hard to find skate clothes close by and so I now buy them online. I figure with the packed skatepark and the local need for a good quality skate shop, that`s a good market to get into!
 
I`m not too successful or have much to invest in this and that`s why I thought it would be a good place to start online. Then once I got established and saved enough money, I could get a local retail location and by then have a safer road ahead.
 
Another thing I`m not too sure about is how to get the products to sell. Is it possible to find a place that sells affordable skate products and then add a little markup (like dropshipping) or how possible is it to find wholesale distributors and become "authorized" to sell their products myself.
 
Thanks for the help,
-Paul
pchadwick832006-10-15 0:36:9
CraigL

posts: 9051

Oct 15, 2006 1:00 AM ET    Quote  Report Abuse
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Y`know that old saying, "buy low, sell high?" Well that`s the same thing when it comes to buy wholesale, sell retail. I think countless people are in this situation, where they see a need for something, don`t have a lot to invest to get it done themselves, and wonder how to start.

Even eBay businesses usually end up finding a niche---a small area of specialization where they can find the product for less than they sell it. But how? That`s the million-dollar question.

One question I`d have would be if there`s this skate park, how come nobody else is putting up an equipment supply store? It`s a pretty obvious market, so maybe there`s a good reason it`s not easy to find such a store as you have in mind close by?

Have you done a Google search for "wholesale skating clothes" or other related queries?
Bizultant

posts: 9

Oct 15, 2006 8:16 AM ET    Quote  Report Abuse
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pcchadwick,

Online business is very time consuming and money adds up when you need a shopping cart ,UPS,credit cards etc,etc, seems easier less expensive road, but sometimes that`s not true.Besides the fact that the online idea doesn`t

really make the skate park location important.If you want to use the park as a revenue stream use it. Find your niche and sell to them Direct-Start up costs, just some inventory and a lot of sweat. A La  Michael DELL

CraigL

posts: 9051

Oct 15, 2006 9:50 PM ET    Quote  Report Abuse
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You might even be able to set up a kiosk right inside the skating park, for a split of some kind in the proceeds. Then you`d really only need a table and some boxes to keep the inventory, and some way to display your wares.
MiteyMite

posts: 489

Oct 16, 2006 4:26 PM ET    Quote  Report Abuse
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Just a thought.......  How about selling at skater events?  You could realize a comparable return to a brick and mortar shop but not have the heavy overhead and other responsibilities a retail establishment demands.  Perhaps you could "sponsor" these events at your park to get them started and also do a little work to bring events to your park.  Then branch out to other area parks and events.  You`ll probably need to secure a vending permit from your town or city (wherever the event is located).  This can usually be a 1 day event permit and doesn`t usually cost all that much. 

As far as finding product to sell~ start making calls to those who manufacture the items you want to carry and find out who their wholesale distributors are.  Call the wholesalers of those products and ask what are their requirements for a retail account.  Tell them you are starting a skate shop business and need further information.  Ask if they dropship.  Ask what their terms are.  Ask what their minimum quantities are.  Ask if they could send you a catalogue or information about the products they distribute.   

You probably won`t get anyone to do business with you until you have a retail operators tax ID and are licensed to do business.  Once you apply and have those secured you will be able to set up accounts with suppliers.

infinique1

posts: 178

Jul 22, 2010 12:12 PM ET    Quote  Report Abuse
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I think that's a good suggestion. Having an online store help defray the start up cost significantly.



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