Table of Contents
Introduction
Thrift stores are considered to be recession-proof, making this type of business one of the fastest growing in the country.
The thrift store business is exciting because it is never routine. There are always surprises to be found among the merchandise and there is always the chance that a real treasure will be discovered. An industry that was once viewed as a wasteland for the less fortunate has become a shining star in the ongoing challenge to save our planet. Reuse, recycle, and go green are now common cries, and thrift stores that have adhered to this philosophy all along are leaders in the effort to protect the Earth for future generations.
All thrift stores service the community where they are located in one way or another. They provide goods to people on limited budgets who need to find clothing and household items at reduced prices. Resale shops are also a means of support for many charitable organizations. People from all walks of life and all economic and ethnic backgrounds shop in thrift stores and donate their personal goods to be resold and reused.
There is no limit to the types of merchandise that thrift stores carry, and each store can be unique as it reflects the individual interests of its owner. Many thrift store owners have tapped into lucrative niche markets for books, collectibles, antiques, and jewelry. If you are a person who is filled with enthusiasm and anticipation every time you enter a resale shop, this may be the perfect business enterprise for you.
Thrift stores have lower start-up costs than most business ventures and have a higher success rate. A thrift store will allow you to use your talents, creativity, and ingenuity to design it, stock it, and service your community. If you have a charity or cause that needs help, a nonprofit thrift store can provide funding for it.
This book provides all the information needed to get started in the resale industry. It is presented in a simple, logical order that gives you an insight into the opportunities that exist, the challenges you will face, and the steps you must take to establish and run a successful store.
How to Use This Book
This is a guide to the many and varied aspects of the resale industry from small mom-and-pop stores to large stores with multiple locations. It will help you make important decisions about your future as a thrift store owner and explain all the complicated issues like nonprofit and tax-exempt status, the process of incorporation, and those dreaded accounting issues in straightforward, easy-to-understand language.
The book has been organized into four logical parts:
Part 1, Planning and Research,discusses the fun and challenges of the resale business. It provides information on becoming a nonprofit entity and how to choose a charity or cause to support with your thrift store. It goes on to address the questions relating to a store organized and operated for profit. Finally, it explains the different ways of structuring a thrift store business and the process necessary to create each one.
Part 2, Getting Down to Business,provides explanations and advice on all the decisions that must be made before your store opens for business. It includes detailed information on setting up your store and keeping all the financial records necessary to run it properly. Suggestions for advertising and promoting your new store are also included.
Now that your store is up and running, Part 3, Improving Your Business Operation, offers a wealth of information on unique ways you can improve your business operation and at the same time stand out as a business leader in your community.
Whether you want to run one store or several, Part 4, Expanding Your Business, tells you how to make the most of what you have and tap into other profitable areas of the resale business.
Throughout this book you will find notations of interesting and informative tips, suggestions, and warnings to clarify or add to the text. Take the time to read the following items as they pop up on most pages:
Added Value
Tips to help you make good choices for your business and yourself.
Helping Hands
Advice on how to help your community and your store grow and prosper.
Not for Resale
Warnings that will make you aware of potential problems that can be avoided in your day-to-day business operation.
definition
Explanations of words and phrases that relate to the thrift store business.
Acknowledgments
Thanks to our agent, Verna Dreisbach, for bringing this project to us and to our editor, Paul Dinas, who helped us through the writing process.
Trademarks
All terms mentioned in this book that are known to be or are suspected of being trademarks or service marks have been appropriately capitalized. Alpha Books and Penguin Group (USA) Inc. cannot attest to the accuracy of this information. Use of a term in this book should not be regarded as affecting the validity of any trademark or service mark.
Part 1
Planning and Research
While the thrift store business is considered recession-proof, opening and running a new resale shop requires the same amount of forethought and consideration as any other type of business.
Whether the thrift store is intended to support a charitable cause or be the main source of income for the owner, it has to be structured and developed in a way that will allow it to grow and prosper.
The first five chapters of this book will guide you through the research and planning stages of opening a thrift store. Most of the information is general and applies to all resale shops. A few chapters address specific issues and concerns that face readers intending to open a nonprofit store, but these chapters also contain tips and suggestions that a store operated for profit can use.
Chapter 1
Fun and Challenges of Thrift Stores
In This Chapter
Making a difference in your community
Searching for treasure
Protecting the environment
Investments of time and money
Using your talents
Meeting new people every day
Perhaps the most important question you should ask yourself before beginning any business venture is: Will I enjoy it?
All businesses require hard work and dedication; a thrift store is no exception, but the thrift business offers advantages that others do not. It also presents more fun and excitement than other types of businesses, because it is not the kind of undertaking where you will know exactly what you can expect day in and day out. It is the type of business that can deliver enjoyment and satisfaction with nominal