Start up retail business advice.

dartboardio

Hi guys.

I have been doing some research and thinking about starting a small retail company (electronics) for a while now. There is demand for it in my area and I have suppliers etc that I can get my stock from, all that is fine.

Im wondering where do I begin? Where do I go from once I've registered the company online? What do I need to do before I register the company online?

Would it be best to contact my local enterprise office and go from there?

I would be looking for start up business support and advice along with eventually a grant of some sort so I can rent a storage unit and buy my initial stock.

Thank you.

dartboardio

Sorry I forgot to mention the business is online, selling from our website with a storage unit nearby where we can ship the items directly.

With the view of eventually reaching out to large retailers and supplying a few of them down the line.

Also, im not really sure if I would be setting up as a sole trader, or limited company, the 55% tax rate as a sole trader is turning me off the idea...

It is me and my partners idea, should we setup as a limited company? what are the tax rates like?

PickYourName

Talk to your local LEO: they do what you're looking for (support for people starting a business).

They run or can recommend training programs, and also have mentorship programs.

Make sure you've done some basic reasearch and/or training before you start spending.

Darc19

I'm going to burst your bubble.

Your posts show that you have very little experience in business and therefore you are doomed to failure.

I wouldn't spend another minute on the idea based on your two posts.

Geuze

dartboardio wrote: »

Also, im not really sure if I would be setting up as a sole trader, or limited company, the 55% tax rate as a sole trader is turning me off the idea...

Income tax rates on personal income are 20% and 40% in Ireland, plus USC.

Geuze

dartboardio wrote: »

It is me and my partners idea, should we setup as a limited company? what are the tax rates like?

You mean the Corporation tax on company profits?

It's 12.5%, it is well known as Ireland is known for its low main CT rate.

PickYourName

Darc19 wrote: »

I'm going to burst your bubble.

Your posts show that you have very little experience in business and therefore you are doomed to failure.

I wouldn't spend another minute on the idea based on your two posts.

No need to be so abusive.

I disagree with you. Many successful businesses are started by inexperienced people.

In my experience, people who succeed in business know their strengths, know their weaknesses and act to address those weaknesses: the OP demonstrates all three. I have no idea whether they will be successful or not, but if they follow through on all of those characteristics, they stand a pretty good chance of making it.

In my experience, businesses that fail are frequently run by people who think they know everything.

You seem to know so much you can say whether someone will be successful or not on the strength of two short messages. Well done, you

sasta le

How do you have contacts with suppliers?
Why arent your potenial customers going the suppliers themselves?

dartboardio

sasta le wrote: »

How do you have contacts with suppliers?
Why arent your potenial customers going the suppliers themselves?

With all due respect thats like saying why dont the customers of penneys go to the suppliers themselves and get the clothes for cheaper... It just doesnt work that way.

dartboardio

Darc19 wrote: »

I'm going to burst your bubble.

Your posts show that you have very little experience in business and therefore you are doomed to failure.

I wouldn't spend another minute on the idea based on your two posts.

To be honest with you, based on your reply i wouldn't count your opinion.

If you think you can judge someones work capability or similar based on a few posts on an online forum :V then you must have some issues.

Hahahaha it's really cute though, you trying to be patronising.

dartboardio

sasta le wrote: »

How do you have contacts with suppliers?
Why arent your potenial customers going the suppliers themselves?

Apologies, i didnt answer the actual question. I have contacts with suppliers due to doing my own research and making contact with them over the last couple of months, enquiring about prices and shipping etc.

I have one main supplier in mind that i have already gotten some samples off, and i am happy with the quality and price

My question is more so geared towards starting up, i have registered my business name, and also registered for income tax, i already have my website made, i am wondering what the next step is.

Where do people recommend to look for funding for extra stock/storage unit etc or maybe a pop up shop?

Thanks

dartboardio

Geuze wrote: »

Income tax rates on personal income are 20% and 40% in Ireland, plus USC.

Thanks. Wasn't sure. As it stands I am leaning towards the sole trader idea for now and down the line maybe a limited company.

How exactly does it work with tax, do I pay the tax once a year based on my self assessment in October?

ax530

Good luck
Not something I have done but I presume bank for a business startup loan is a starting point.
An accountant who will do your accounts & tax returns will also be useful.

Best of luck with the venture!

Just in regard to some of the LEO supports I'm not too sure if you'd qualify as it is a retail business.

If you were creating the products and selling them it would be a different story but if just buying from a supplier and selling on I don't think leo support that.

I'm not too sure if you'd qualify for the trading online voucher as you are just starting out. If you were established for a while I think you could avail of it

dartboardio

Chacha97 wrote: »

Best of luck with the venture!

Just in regard to some of the LEO supports I'm not too sure if you'd qualify as it is a retail business.

If you were creating the products and selling them it would be a different story but if just buying from a supplier and selling on I don't think leo support that.

I'm not too sure if you'd qualify for the trading online voucher as you are just starting out. If you were established for a while I think you could avail of it

Thanks a million! Yeah as you said, unfortunately i have checked with the new frontier programme and i am not eligible due to being a retail business, and also the trading online voucher i have to be in business a minimum of 6 months so thats out the window.

What about microfinance.ie maybe?

dartboardio

ax530 wrote: »

Good luck
Not something I have done but I presume bank for a business startup loan is a starting point.
An accountant who will do your accounts & tax returns will also be useful.

Thank you!

dartboardio

dartboardio wrote: »

Thanks a million! Yeah as you said, unfortunately i have checked with the new frontier programme and i am not eligible due to being a retail business, and also the trading online voucher i have to be in business a minimum of 6 months so thats out the window.

What about microfinance.ie maybe?

Oh may I ask what new frontier programme you contacted? Interested in the programme myself and need to get in contact with them!

I think microfinance might be an idea but again I'm not totally sure if you need to be actually generating some sales! May I ask what area of electronics are you in?

Darc19

PickYourName wrote: »

No need to be so abusive.

I disagree with you. Many successful businesses are started by inexperienced people.

In my experience, people who succeed in business know their strengths, know their weaknesses and act to address those weaknesses: the OP demonstrates all three. I have no idea whether they will be successful or not, but if they follow through on all of those characteristics, they stand a pretty good chance of making it.

In my experience, businesses that fail are frequently run by people who think they know everything.

You seem to know so much you can say whether someone will be successful or not on the strength of two short messages. Well done, you

I'm certainly am not being abusive. But there are glaring deficiencies in the op's thinking, so they are on a path to failure.

They need to work in the retail trade, understand it, know the pitfalls and have finance.

Then they may have a chance.

But from the posts, there's zero chance of success.

Darc19

dartboardio wrote: »

To be honest with you, based on your reply i wouldn't count your opinion.

If you think you can judge someones work capability or similar based on a few posts on an online forum :V then you must have some issues.

Hahahaha it's really cute though, you trying to be patronising.

I clearly stated that based on what you said, it was doomed for failure.

And I'm fairly certain now with your response.

dartboardio

Darc19 wrote: »

I'm certainly am not being abusive. But there are glaring deficiencies in the op's thinking, so they are on a path to failure.

They need to work in the retail trade, understand it, know the pitfalls and have finance.

Then they may have a chance.

But from the posts, there's zero chance of success.

You seem to keep saying the same thing 'set for failure' etc without any clear evidence...

Once again, you seem like you are jumping to conclusions, saying i should work in retail.

I have worked in retail, and customer service, and the restaurant industry.

My store needs people that have marketing experience and customer service experience. The rest, they can learn.

Cheers for the reply though.

And your 'have finance' doesnt make much sense. Isnt that what financial supports are there for? Of course i would be going in with a percentage of what i am asking for.

Besides, i can set up and get stock with what i have in my pocket at the moment, however it would be more beneficial if i got some sort of grant.


Your posts come across unnecessarily rude tbh. I could also make plenty of judgements based on your post history but i wont.

jimmii

A lot of the things people are asking are the same sort of questions anyone who decides where finance goes too most likely. What are you going to say when the person holding the purse strings asks why should we give you the money over someone else?

When we started our retail business we were absolutely clueless and have somehow managed to make to work so you never know you might just make it work if you really want it!

Do you have a specific niche you are going to target where you feel there is a gap? Its worth having a look at how competitive the keywords are as that's going to be where your biggest outlay is most likely to be outside of stock. You might do OK with demand in your area but you obviously want to make sure there is demand across the UK and Ireland and ideally Europe as well so you can try build a long term business.

Frankie19

Try microfinance ireland for finance otherwise you will need a bank for a stocking loan which id imagine will be difficult to get at the moment.
Also look into a partnership if you are going in with someone else for the first few years and then you can move to limited if successful. It will limit your financial exposure should things not work out. You need to get a good accountant who will be able to advise you.
Out of interest what type of electronics are you looking to sell as the margins are extremely tight on phones and TVs e.t.c especially when a disti take their 2/3 % cut.

Frankie19

also in regards to microfinance you will need to submit and present to them a full 4 year business plan and I think they fund 50% and then a bank will co fund the other 50% if I remember correctly. It Was about 6 years ago someone I know used them so it may have changed.

Darc19

@op

Fair enough, proceed.

But I've yet to see a bank or a grant from anywhere to provide the finance for your warehouse and starting stock of a retail venture.

I could fluff about it, but would much rather a direct approach.

But ignore it.

PickYourName

Chacha97 wrote: »

Just in regard to some of the LEO supports I'm not too sure if you'd qualify as it is a retail business.

Just to be clear on that point: LEOs are for all types of businesses. They are definitely worth engaging with, especially to point you in the direction of answering the kinds of questions the OP is asking.

The only supports not available to retail businesses are financial ones, which is tough, but don't discount all the other help and advice they can provide. Indeed, even on financing they can go through possible options for you, even if they don't provide any themselves.

Microfinance Ireland are certainly worth considering. We used them a few years ago when bank finance fell through at the last minute for a new venture (also retail as it happens). Unlike the commercial banks, they acted very quickly (a few days, rather than dragging us out for months).

PickYourName

Darc19 wrote: »

I'm certainly am not being abusive. But there are glaring deficiencies in the op's thinking, so they are on a path to failure.

Patronising someone and telling them they're going to fail is abusive.

thebiggestjim

One bit of advice I have from experience is spend as much time as you can securing your first paying customers (and obviously spend a lot of time securing subsequent customers). People tend to put this part on the long finger because it is the hardest.

It sounds like you have some relationships already built up with potential customers. Try and get some orders on the books before you go leasing any units. Clear out a room in your house, ask a friend for some temporary space, some business in the area might have a room the can lend you to store stock temporarily. Keep costs as low as possible until you have some customers, then go looking for money.

Banks, state support orgs, etc are much more receptive when you have paying customers.

Your story will then be: "Look, I have proven there is an unmet market demand for XYC electronics. I have everything we need to supply the market, the only thing missing is some funding."

Good luck, don't listen to the naysayers.

antoinolachtnai

Business is hard. Retail is really really hard.

I know plenty people who are qualified to set up and run this kind of business, but would not do so. The reason is simply that they know they could not make money. The reason is simple. Unless you are extremely skilled the entire gross profit for each item sold would be eaten up by the marketing, sales and fulfillment costs. Even if you are extremely skilled you won't make much money. All you are doing is financing (a) your manufacturer and (b) Amazon with the sweat of your brow.

There are ways to make a turn on it sure. But as I say, it's very difficult. If you have some special niche that is uncatered for or where you have special knowledge, then there is an opportunity in it perhaps.

It is great to encourage the OP. But the reality is that with his or her level of knowledge, by going ahead right now, he or she will most likely lose their entire initial investment. Maybe the OP or their friends and relatives are rich enough to do this and that's fair enough. But going into a capital intensive business can really make a mess of your life if you don't have these types of resources.

This isn't an off the top of the head type of comment, there are several clear indicators in what the OP has written that there is a knowledge deficit, about both the sector and about business generally.

'Feel the fear and do it anyway' should not be the only watchword of a business person. Business is about risk, certainly, but it is about calculated risk, especially when other people's money is involved.

But that's ok. The OP is quite right to be curious and to ask questions and try to increase his or her knowledge level before actually investing.

It is really a good idea to go through the LEO or other bodies and do courses, to get at least an academic grasp of marketing, sales, human resources, bookkeeping and accounts and how businesses are financed. This knowledge will stand to him or her whether they proceed with this business idea or not.

dartboardio

antoinolachtnai wrote: »

Business is hard. Retail is really really hard.

I know plenty people who are qualified to set up and run this kind of business, but would not do so. The reason is simply that they know they could not make money. The reason is simple. Unless you are extremely skilled the entire gross profit for each item sold would be eaten up by the marketing, sales and fulfillment costs. Even if you are extremely skilled you won't make much money. All you are doing is financing (a) your manufacturer and (b) Amazon with the sweat of your brow.

There are ways to make a turn on it sure. But as I say, it's very difficult. If you have some special niche that is uncatered for or where you have special knowledge, then there is an opportunity in it perhaps.

It is great to encourage the OP. But the reality is that with his or her level of knowledge, by going ahead right now, he or she will most likely lose their entire initial investment. Maybe the OP or their friends and relatives are rich enough to do this and that's fair enough. But going into a capital intensive business can really make a mess of your life if you don't have these types of resources.

This isn't an off the top of the head type of comment, there are several clear indicators in what the OP has written that there is a knowledge deficit, about both the sector and about business generally.

'Feel the fear and do it anyway' should not be the only watchword of a business person. Business is about risk, certainly, but it is about calculated risk, especially when other people's money is involved.

But that's ok. The OP is quite right to be curious and to ask questions and try to increase his or her knowledge level before actually investing.

It is really a good idea to go through the LEO or other bodies and do courses, to get at least an academic grasp of marketing, sales, human resources, bookkeeping and accounts and how businesses are financed. This knowledge will stand to him or her whether they proceed with this business idea or not.

Now, thank you. Something like that is exactly what i am looking for. Someone to lay it all out. I am clearly here to ask questions, not to pretend or say I know it all.

What I am setting up at the moment does not need much of an initial investment as at the beginning it will be essentially dropshipping, the customers will receive the products direct from the supplier after they have placed the order from my website.

There is definitely a gap in the market, along with some demand for the product. I am not looking for business in a saturated market whatsoever.

Then eventually get funding for a storage unit to ensure quicker shipping time and maybe a pop up shop.

Thanks for the advice regarding LEO. I will be talking to them further throughout the week to see if there is any funding that would suit me, if not, its not the end of the world but its definitely something I'd be interested in.

PickYourName

antoinolachtnai wrote: »

Business is hard. Retail is really really hard.

I know plenty people who are qualified to set up and run this kind of business, but would not do so. The reason is simply that they know they could not make money. The reason is simple. Unless you are extremely skilled the entire gross profit for each item sold would be eaten up by the marketing, sales and fulfillment costs. Even if you are extremely skilled you won't make much money. All you are doing is financing (a) your manufacturer and (b) Amazon with the sweat of your brow.

There are ways to make a turn on it sure. But as I say, it's very difficult. If you have some special niche that is uncatered for or where you have special knowledge, then there is an opportunity in it perhaps.

It is great to encourage the OP. But the reality is that with his or her level of knowledge, by going ahead right now, he or she will most likely lose their entire initial investment. Maybe the OP or their friends and relatives are rich enough to do this and that's fair enough. But going into a capital intensive business can really make a mess of your life if you don't have these types of resources.

This isn't an off the top of the head type of comment, there are several clear indicators in what the OP has written that there is a knowledge deficit, about both the sector and about business generally.

'Feel the fear and do it anyway' should not be the only watchword of a business person. Business is about risk, certainly, but it is about calculated risk, especially when other people's money is involved.

But that's ok. The OP is quite right to be curious and to ask questions and try to increase his or her knowledge level before actually investing.

It is really a good idea to go through the LEO or other bodies and do courses, to get at least an academic grasp of marketing, sales, human resources, bookkeeping and accounts and how businesses are financed. This knowledge will stand to him or her whether they proceed with this business idea or not.

Very much agree with all of this.

"Don't do it, it's a terrible idea, you've no experience, it's doomed!".

"You're great, go for it! Forget the naysayers!".

Both of the above are bad advice - I'm not sure which is worse (probably the second one).

To my mind, the key thing is the OP has acknowledged the gaps in their knowledge and gone looking for answers, which to me is a good sign.

My advice to OP:

- build up your knowledge. LEOs don't just offer academic knowledge by the way; their mentorship programs can be really useful (highly dependent on the individual mentor, of course)
- write a business plan. Even if you didn't need one to raise finance, it's a useful thing to do to force you to look into all areas of the business
- evaluate the business plan realistically, which will tell you if there really is a business there (i.e. evaluate the risk mentioned in the comment above)
- go/no-go based on the evaluation
- if it's a go, then get some early customers, prove the model, raise some finance etc.

20/20

dartboardio wrote: »

What I am setting up at the moment does not need much of an initial investment as at the beginning it will be essentially dropshipping, the customers will receive the products direct from the supplier after they have placed the order from my website.

Can you tell us what sort of electronics are been sold, and who your competitors might be.
I really hope your business idea is not selling cheap gadgets from China. Companies like ( Chinavasion ) do the drop-shipping for retailers. The profit margin may look good but the gadgets are junk, and the customers go mad when goods arrive with a bill for import duties.

dartboardio

20/20 wrote: »

Can you tell us what sort of electronics are been sold, and who your competitors might be.
I really hope your business idea is not selling cheap gadgets from China. Companies like ( Chinavasion ) do the drop-shipping for retailers. The profit margin may look good but the gadgets are junk, and the customers go mad when goods arrive with a bill for import duties.

Hi, no they are not cheap items from china, they are coming directly from warehouses in Europe and have no import fees etc. Also i have received some of the products myself from one supplier already as samples, and the quality has been better than expected

They are higher priced items, that we buy for around €150/€200 and sell for €300/€350 for example. Think the likes of hoverboards, electric kids toys, scooters, electric bikes etc.

dartboardio

PickYourName wrote: »

Very much agree with all of this.

"Don't do it, it's a terrible idea, you've no experience, it's doomed!".

"You're great, go for it! Forget the naysayers!".

Both of the above are bad advice - I'm not sure which is worse (probably the second one).

To my mind, the key thing is the OP has acknowledged the gaps in their knowledge and gone looking for answers, which to me is a good sign.

My advice to OP:

- build up your knowledge. LEOs don't just offer academic knowledge by the way; their mentorship programs can be really useful (highly dependent on the individual mentor, of course)
- write a business plan. Even if you didn't need one to raise finance, it's a useful thing to do to force you to look into all areas of the business
- evaluate the business plan realistically, which will tell you if there really is a business there (i.e. evaluate the risk mentioned in the comment above)
- go/no-go based on the evaluation
- if it's a go, then get some early customers, prove the model, raise some finance etc.

Appreciate this, this is what i am trying to do at the moment, build my knowledge in all areas, from business plan, to becoming self employed, the pros and the cons etc

LEO have been great so far and offered some free start your own business workshops etc.

sasta le

dartboardio wrote: »

Hi, no they are not cheap items from china, they are coming directly from warehouses in Europe and have no import fees etc. Also i have received some of the products myself from one supplier already as samples, and the quality has been better than expected

They are higher priced items, that we buy for around €150/€200 and sell for €300/€350 for example. Think the likes of hoverboards, electric kids toys, scooters, electric bikes etc.

They will be from China hate to break it to you
Your buying from stock already in Europe but dearer than the China direct price
Done deal adverts Facebook marketplace and selling full of this stuff
My mate buying in China years and he can't rid of the hooverboardd so just sold a pallet to a guy at a smaller profit rather than be stuck with them

beauf

I've been following a guy online who was doing hobby stuff, making stuff. Zero experience. A mix of making parts and some bought parts, then selling both the kits and parts and complete units online. This eventually filled his garage then his house. So he moved into a small workshop then a bigger one and now a decent sized industrial unit has about 5-10 staff. This is over about 5 years. Most of products are in the 0-300 price range.

I'd never have thought there was enough of market to make a business out of it, or that it would be cost effective to make products in house on such a small scale.

I'm sure 20 people failed where this guy hasn't. But you'll never know unless you try. Just don't over commit.

sasta le

beauf wrote: »

I've been following a guy online who was doing hobby stuff, making stuff. Zero experience. A mix of making parts and some bought parts, then selling both the kits and parts and complete units online. This eventually filled his garage then his house. So he moved into a small workshop then a bigger one and now a decent sized industrial unit has about 5-10 staff. This is over about 5 years. Most of products are in the 0-300 price range.

I'd never have thought there was enough of market to make a business out of it, or that it would be cost effective to make products in house on such a small scale.

I'm sure 20 people failed where this guy hasn't. But you'll never know unless you try. Just don't over commit.

Have you a link?Sounds interesting

Graham

The great thing about drop shipping products from a new venture point of view is it's easy, cheap to finance, anyone can have a go. No stock, no logistics, limited financing needed.

The downside to drop shipping products from a competition point of view is it's easy, cheap to finance, anyone can have a go. No stock, no logistics, limited financing needed.

Unless you've found an otherwise undiscovered niche or you're better at marketing on a budget than all of your competitors, it's going to be a really tough game to make anything other than pocket money even if you're lucky.

The handiest way to make money from drop shipping is to sell courses teaching people how they can make money from drop shipping.

sasta le

The market is flooded with sellers of hooverboards scooters
As said above a niche product or get in before a trend

My mate i mentioned above that buys in China got in the Fidget Spinners before most and did well

Graham

sasta le wrote: »

The market is flooded with sellers of hoverboards scootersl

The prospect of hoverboards and similar would make me pause. It's a market that's been done to death and about as far away from an undiscovered niche as you could get.

OP, I 'd really recommend you go through your intended products and work out who your competitors are, what they're charging, and how you plan to compete.

What can you offer that your competitors can't?

garrettod

Hi,

To echo what a couple of other people here have said, put a bit of time into a detailed business plan and be tough on yourself, when questioning things.

Use the likes of SWOT and PESTEL analysis, even if you don't find that you've much to say, in some of the categories.

Lean on your Local Enterprise Office for support, you can't go to them too often, so don't be shy about contacting them regularly.

See if they can introduce you to a mentor, who might be a useful support for you.

Once you've some sort of online presence set up for six months, you should be able to press them for vouchers to help improve your website etc.

I would also meet them and ask them to talk you through some of the other supports mentioned on this page :

https://www.localenterprise.ie/Discover-Business-Supports/Financial-Supports/

Microfinance Ireland are unlikely to lend to a start up, although they might, if you are in a position to also put some cash into setting up the business.

What sort of money do you think you need to get this business started? Have you done some detailed costings? Do you need to spend it all now, or can some of the expenditure be deferred, for a few months? Do you have money to put towards the overall spend?

Look into Business Incubator Projects - some offer low cost premises, to early stage businesses.

I think that Google might be offering some free services at the moment - can't recall the specifics, possibly related to online SEO placement etc.

An Post were also offering something, free mailings possibly - could be helpful, if you want to help publicise your new business.

sasta le

Take the hooverboards market
i see types of 5 sellers in Ireland
1 Market traders
2 Facebook/Instragram sellers
3 Shops like Smyths or Argos etc
4 Amazon
5 Oigsback Groupon

Frankie19

One thing to think about is every bike store in the country are now selling electric scooters and ebikes in addition to your usual road bikes as they can offer the bike to work scheme as a way of finance. A customer can also demo in store and have an instore mechanic to fall back on for issues and servicing.

Just my two pence on escooters.

Believe there is a start up in ucd which is doing something like having the dublin just eat bikes.

They'll be setting up stations and you just unlock one of the scooters using the app I think and then head on your way. They are in england trialing I think.

People might prefer something like that rather than lumping around a scooter with them the whole day if using to commute.

An other thing I'm conscious of is insurance if you end up having to insure yourself on scooters(thinking claim culture here) I think that will drive people away. The startup i think handles insurance etc but not fully sure

beauf

dartboardio wrote: »

....
They are higher priced items, that we buy for around €150/€200 and sell for €300/€350 for example. Think the likes of hoverboards, electric kids toys, scooters, electric bikes etc.

Love the way everyone latched on to what you said it wasn't.

Graham

beauf wrote: »

Love the way everyone latched on to what you said it wasn't.

I'm not sure I follow beauf, have I missed something?

dartboardio wrote: »

at the beginning it will be essentially dropshipping, the customers will receive the products direct from the supplier after they have placed the order from my website.

dartboardio wrote: »

Think the likes of hoverboards, electric kids toys, scooters, electric bikes etc.

beauf

To my ear, "the likes of", means similar but not the same as...

Its dropshipping, but not eScooters or eBikes.

Maybe I've misunderstood the OP.

dartboardio

sasta le wrote: »

They will be from China hate to break it to you
Your buying from stock already in Europe but dearer than the China direct price
Done deal adverts Facebook marketplace and selling full of this stuff
My mate buying in China years and he can't rid of the hooverboardd so just sold a pallet to a guy at a smaller profit rather than be stuck with them

Sorry, I am aware of that. Almost every product is from china. I mean the items are being shipped from Europe so I have no import taxes nor do my customers, and quicker shipping times.

Its not hoverboards, its scooters. There are a couple of small online companies selling them at the moment but no main ones really.

dartboardio

Yes, its electric scooters and electric bikes. I've done quite a bit of research and yes there are companies selling them, plenty of them, but we can afford to sell them at a better price and also we have lots of experience in online marketing.

Since we will be dropshipping at the beginning our only real expenses will be advertising via Google Ads keywords campaigning and also Facebook, along with promo material done the old fashioned way, think leaflets, stickers handed out in alot of the main counties/cities with regular discount deals (and free shipping)


We have the website already (I made that so saved on costs too) and the company name registered.

The scooters are shipped from europe so there are no import taxes passed onto customers..

There is also a 1 year warranty on each scooter, and the supplier gets the courier to collect the scooter from the customer if there is an issue, or if a scooter arrives broken, and a new one is sent out straight away so essentially we dont have to deal with repairs etc.

dartboardio

garrettod wrote: »

Hi,

To echo what a couple of other people here have said, put a bit of time into a detailed business plan and be tough on yourself, when questioning things.

Use the likes of SWOT and PESTEL analysis, even if you don't find that you've much to say, in some of the categories.

Lean on your Local Enterprise Office for support, you can't go to them too often, so don't be shy about contacting them regularly.

See if they can introduce you to a mentor, who might be a useful support for you.

Once you've some sort of online presence set up for six months, you should be able to press them for vouchers to help improve your website etc.

I would also meet them and ask them to talk you through some of the other supports mentioned on this page :

https://www.localenterprise.ie/Discover-Business-Supports/Financial-Supports/

Microfinance Ireland are unlikely to lend to a start up, although they might, if you are in a position to also put some cash into setting up the business.

What sort of money do you think you need to get this business started? Have you done some detailed costings? Do you need to spend it all now, or can some of the expenditure be deferred, for a few months? Do you have money to put towards the overall spend?

Look into Business Incubator Projects - some offer low cost premises, to early stage businesses.

I think that Google might be offering some free services at the moment - can't recall the specifics, possibly related to online SEO placement etc.

An Post were also offering something, free mailings possibly - could be helpful, if you want to help publicise your new business.

Thanks, microfinance would hopefully be an option, we dont need much really to get started with a bit of initial stock (I want to stock some scooters to have quicker shipping times and go from there)

Realistically if we are stocking scooters, we also need money for a storage unit, and also money for extra marketing (Google ads and facebook)

So I would be looking for something like 10k, nothing huge. I Would have 2 or 3k to put in aswell, so maybe that would look good.

sasta le

What kinda scooters?Kids or the electric ones?

Graham

What differentiates your scooters from the 113 scooters available from Smyths, the 88 scooters available from Argos, the 75 scooters available at Halfords?

A really quick look tells me Adwords looks like an incredibly competitive market for anything scooter related. Advertisers today include; skatepro, 53degreesnorth, electripu, ezscooters, hoverboardx, urbanmovement, swiftscooters, manfirth, skatehut, skatepro, skates, ladpad, greenscooter, expooutletscooters, klscooters?

What do you expect your CPC to be for Adwords, what's your minimum conversion rate to break even?

Not trying to be awkward here dartboardio, if you can answer all of the above (not to me, to yourself) then you might have spotted a viable niche in the incredibly crowded scooter market