How to Open a Stationery Store
by Katie Rosehill, Demand Media
A stationery can be a profitable business.
Step 1
Papers and pens, gift wrap and ribbons, cards and notes are all part of what you find in a stationery store. Add invitations, books, gifts and magazines and your store is stocked. Opening a stationery store takes planning, preparation and research. You don't have to be located in a huge shopping mall, but your store does have to have visibility to your potential customers. The founder of the William Ernst Brown brand grew his tiny 400-square-foot stationery store into a nationally recognized brand, according to Arlene R. Barro, the author of "Win Without Competing."
Research the competition. While you might be the only stationery store in the shopping mall or strip shopping center, you may not be the only store carrying stationery, cards, pens, pencils and such. Review the types of cards the other stores carry and offer your customers something a little different along with the expected "Happy Birthday" and "Congratulations" cards. Consider carrying wedding invitation catalogs. Find a calligrapher to work on a freelance basis to address cards. If the other stores don't offer business stationery and supplies, that could be an option for you.
Step 2
Obtain licenses and registrations. Call the business development office for your state and city to find out what's necessary. At the minimum, a business license and sales tax license will be required. The sales tax license is sometimes required by vendors so they can give you a wholesale discount on notes, cards and the rest of the inventory you purchase and not charge you sales tax on items you intend to resell.
Related Reading: The Importance of Business Stationery
Step 3
Acquire start-up funding. At a minimum, the first and last month's rent and security deposit will be required by the landlord. When you sign a lease, you're obligating your business to make the lease payments every month for the term of the lease. If your stationery store closes, you're still liable for the lease. There also may be additional fees for parking and utilities. The initial inventory for the store is necessary to open as well. A financial management system is necessary to track inventory purchases, sales, taxes owed and cut checks for payments. Also, you need a point of sale terminal and credit card processing equipment.
Step 4
Set up vendors. Stationery stores offer gift items, inspirational books, candles and potpourri as well as paper and pens. Attend gift trade shows to see the upcoming trends and to meet with vendors. The exhibitors may be distributors, wholesales or the manufacturer. In any case, select the vendor based on overall prices and merchandise, but keep terms and shipping costs in mind. Consider minimum purchase requirements as part of the overall selection process. Vendors may have a dollar minimum purchase or a number minimum purchase. If the only way you can buy that cute teddy bear note paper is to buy 100 boxes, you may not have the storage space.
Step 5
Plan a grand opening celebration. Offer free face painting for the children. Take their photo and email it to the parents. Use the email list to announce specials, tips and hints to encourage people to come back to your store. Hand out free pens with the store's name. Have a drawing for a complete stationery package -- letterhead, envelopes, blank note cards, thank you cards and such. Set up a demonstration on paper making. Announce the grand opening through advertising and by sending out press releases.
Tips
- Choose a location that gets traffic. Location is important to the success of any retail establishment.
- Listen to your customers. If they consistently ask for something you don't have, consider stocking it.
Warning
- Pay all taxes and withholdings promptly.
About the Author
Katie Rosehill's first book was published in 2000. Since then she has written additional books as well as screenplays, website content and e-books. Rosehill holds a Master of Business Administration from Arizona State University. Her articles specialize in business and personal finance. Her passion includes cooking, eating and writing about food.
Photo Credits
- PhotoObjects.net/PhotoObjects.net/Getty Images
Comments