Trash and recycling awaiting removal need to be stored. Shops often find that trash left outside is gone through by scavengers looking for discarded merchandise. We have installed a locked bin behind our building for general trash and rent a dumpster for recyclable paper and cardboard. Quiet Times You will probably spend as much time at your store as you do at home, at least during the first few years, so include a few amenities to make your life more comfortable. A small kitchen area with a refrigerator, microwave, and sink will be appreciated by your staff as well. Make sure there is a place to relax, with comfortable seating and good reading light. Make sure there is a place to relax, with comfortable seating and good reading light. Divide your inventory dollars carefully into the categories you establish for your store, and track these wholesale purchases by category as you pay the invoices. By comparing retail sales and wholesale inventory purchases by category, you can see whether your inventory dollars are correctly distributed based on the ratio of sales to stock. Merchandise categories that sell best should get a higher percentage of the buying budget. You may also wish to use a similar system to check whether the amount of space in the store allotted to a category reflects the percentage of sales, and profits, generated by that category. Keep in mind, however, that a category that starts out with more shelf space and more merchandise is bound to outperform one with less of each. Open-to-Buy Budgeting Once you have established your merchandise categories and collected some sales data over the first few months your store has been open, you may choose to set up a formal system of budgeting merchandise dollars by category. Open-to-Buy Budgeting Once you have established your merchandise categories and collected some sales data over the first few months your store has been open, you may choose to set up a formal system of budgeting merchandise dollars by category. The flip side of ordering in depth, of course, is that you will have to store the additional merchandise until you can sell it and your money will be tied up in the stock. This is referred to as opportunity costthe fact that the money used to purchase certain inventory is not available to use for some other purpose. There is also the risk, especially early in your retailing career, that you will purchase a large quantity of an item that bombs. Reserve quantity purchases for items you have tested already, or merchandise that is basic to your stock. Avoid buying in quantity just to get a bargain. Its not a bargain unless you can sell the entire shipment, and in a reasonable amount of time. Its not a bargain unless you can sell the entire shipment, and in a reass that there are many trade shows abroad, offering the retailer who can afford it (it may be deductible, but its not free) the opportunity to travel. Another advantage is that there are many trade shows abroad, offering the retailer who can afford it (it may be deductible, but its not free) the opportunity to travel. .
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