Starting a retail business ... - Page 4

angeline

I'm not here to throw in the wet blanket, but its true that unless you are in one of the following category (if not, don't even consider getting yourself in retail biz)

1) just for experience sake
2) have too much $$$$ and would like to try out something adventurous
3) have ready and available 'supplies' of stocks from family business
4) have a vision/ambition to open a chain of shops or even departmental store

I just ended my 7years of retail business and I've been clearing my 7 years of stuff bit by bit for a year now, and STILL clearing...

why I decided to end this is simple
1) cost of stocks keep going up, yet customers refused to accept it, when you increase your selling price

2) cost of rental (be it table space in bazaars or pushcarts or counter) keep going up at the mercy of the organiser and the management, yet you could only choose to leave or swallow the heavy cost.
(I was an organiser of bazaars too, and as time goes by, I was at the mercy of the management, who rented the 'floor area' to me kept increasing the price, if I increase the rental price of the individual stalls, it would be HARD for them to earn...so I stop being an organiser, I'm an organiser with the retailers' interest at heart...)

3) cost of freight forwarding and travel expenses only rise and never falls. Many retaillers forgot to include such expenses as part of the cost of the goods they buy back to sell, hence they always complain that they 'don't see money' - all because their accounts were not properly calculated!

yes, 7 years ago, I earned. But as the years go by...I barely could survive even though I changed my products so many times, I'm not block-head, ok, I don't just sell one product for 7years, cos what people like to buy in the past does not = to what they like now....you've got to be flexible to meet the changing needs.

so here I am clearing all my 7years of stocks and displays and all that stuff....but one thing for sure - that's NO REGRETS, it WAS a great experience.

strudel

Angeline, I understand your agony here. The psf rental for retail in heartland shopping centre has gone up relatively over the years, let alone the leasing spaces in Orchard and Bugis area. Today, the cheapest that we are looking at is around $30psf so imagine how you need to utilise your leased space to it's fullest...and it is not talking about bringing the buying crowds into your shop.

I have been in the business for the past 8 years too...doing fashion retail and wholesales and is also having to encounter rise in both operating and inventory costs. There will always be a huge gap between small timers like retailer and those huge established departmental stores. The order volume will allow negotiation for better price and huge orders and holding power helps big buyers to cut down on overall freight expenses.

I am sure with your experience, you learned and knows how to better manage your risk and operating costs than many of the newbies. Good luck to you. :-)

__________________
Vogue Express
Mechandise Unlimited ------------------

angeline

Thank you strudel for the good luck!
I'm enjoying my non-retail life right now. Saying goodbye to working for 10-12hours 363 days (minus the 2days of CNY), goodbye to the troubles of getting the 'wrong' staff and in the end caught stealing $ from my stall, goodbye to not having enough time for my 2 kids, goodbye to unhealthy sleeping and eating patterns, goodbye to all of that! *muack* loving my life now.
Thank you strudel, once again!

strudel

Life is short, pursue in whatever you feel is your top most priority and your dreams. I agree, there is never a possible case of having the right staff, in fact all staffs steal!!! Either your time, your customer, your inventory or your cash...so at the end of the day, it translate to your investment. That's human nature, greed.

Good to hear that you are enjoying life now. Cheers

__________________
Vogue Express
Mechandise Unlimited ------------------

Pushcarter

Life is short. Just do what you want. Afterall we only pass through life but once. I think for retirees or tai tai with extra time on their hands, retail line should be fund. But they must put in effort and $$$$ into the biz.

angelbaby

Wow... great experiences to share from angeline and strudel and all here..
I've started my accessories business since i quited my hell daytime job. And what i found is the rental here and there are killing me arrhh!!
So i joined flea markets and bazaar elsewhere and made new friends \
Thanks to all here for the sharing i really learned alot from ya'll!!

Oh angeline, do you have 2nd hand clothes rack to let go? Can pm me the prices? half size stand manequins as well? Thks!!

estilofashion

Reading through this site brings much thoughts and memories to me. I have stepped into the retail line for quite some time. I currently owns a fashion boutique and will be looking forward for expansions when the chance allow.

I'd agree with quite a few of the forumers have said. It's not easy to start a fashion retail shop in singapore. Either you must have heck alot of cash on hand, or you've gotta have alot of luck.

Being in this industry, I know of many big players in singapore. And I also know of many who died down very fast, losing everything they've invested. Honestly, don't jump into this industry for the sake of trying out something. Always ask yourselves if you are prepared to lose everything. Can you afford the loss? if you can, go ahead. if you can't,please think twice....

In fact, let me just share with you my story. When i started, my rental was 3k + . Considered a outta town area (i'm at chinatown). For the 1st 6 months, my total sales is lower than my rental... so imagine how much is lost there. Subsequently, rental was increased due to some reasons.. now hitting near to 4k. But of cuz i perserved on and had the fundings to pull me through.

In fact if you ask me if i'm solely doing retail now, i'd say No. I turned to manufacturing clothes, buyign my own materials and doing wholesales. But i must say the amount of money thrown in to convert from retail to wholesales is quite significant. Till date, things have started picking up relatively well and I've not regretted with my decisions.

Please calculate your own finance properly. A physical shop is not like an online shop. Your rental, your electrical, your overhead... your contract and your staffs...

Am not discouraging anyone from entering this industry. But think properly.. who knows? some of you might own many many boutiques across the region in the near future?

score11

Me also thinking of starting a small business...but bad economy,rising cost,and now even china currency exchange rates also bad...even really want to start also very risky... maybe fleet market will be a better choice for newcomer like me...

JOGroup

Hi score11, if you would like to try out something new such as events, jus drop a message to me. I've got a couple of locations for december and january. (such as, Punggol Plaza, Kovan Linkway and Marine Parade Promenade.)

score11

Thks.. you are the organizer,huh?Rental will be quite high for tis location,right?