Thinking of starting a small business...need advice

[septbride2002]

Hello! I would just like to hear some opinions.

I'm 24 years old, have a degree in Business Management, worked in corporate America for a couple years, have held jobs since I was 15. (Unimpressive credintials huh?)

I have this idea of a children's bookstore. Something small, intimate, that would have books from 3 years old on up to about 8th grade or so.

Negatives:
No start up money, house is fully financed, will need to lease a place, never owned a business before and have no idea what I'm doing. Would need to make money on business.

Postives:
Focuses, Perfectionist, love of books, love kids
Live in the fastest growing city in the fastest growing county in Missouri
Lots of young families in area
No bookstores in my area. Nearest one is a Borders about 10 to 15 miles away.

DH thinks that any type of small business will fail. I am looking for something more then what I have. I am looking for fulfillment. I love kids (can't teach though) and I'm young - I feel now is a better time to take the risk rather then 10 years from now when we have kids. Plus hopefully the business will be doing good in 5 years which is when we are planning on having kids anyway.

~Amanda

 

[phorsenuf]

It sounds like a neat idea. Since capital is limited perhaps it could be like an Annies type store where you sell used books. You could buy books very cheap at yard sales, thrift stores and lots on Ebay. If you are not familiar with Annies, they also give you credit for each book they bring in that can be used towards another book. (not an even exchange)

As far as space goes, do you happen to have a garage that perhaps you could start out using as your store? Of course, check your local zoning laws.
My sister ran a mail order childrens bookstore out of her house and did very well.

Hope I helped some......

P.S> Annies may be a local thing here if so and you are interested in how it works I'll be happy to find out more for you.
Good Luck!

 

[doxdogy]

This website will give you all the info that you need:

http://www.sba.gov

 

[mommytotwo]

If you have a small business, you may want to emphazise that your business is different then the larger companies like boarders. Have special calender days where parents and kids can come and do things, story telling days, puppet shows...things that will make your company stand out. If you are able to do a mail order busiess at the same time through your store and advertise it over the internet, you will be able to get more business. If you feel that this is the right move for you and want to try it out, then go ahead. Like you said, it's better to do it now then later when you have kids.

 

[pnelson]

I don't know, but I think that places like Barnes and Noble, Borders, and Costco have taken away much of your market. I don't think a "small" bookstore could compete with the prices, Barnes and Noble also has children's readings and special things for kids so that is not going to make you competitive. In fact, my son could spend hours in the Children's section of Barnes and Noble. I don't mean to be negative, but I don't see how a children's exclusive bookstore could compete with the big stores I have mentioned. I know we had a children's store called "Zainy Brainy" out here that went out of business. Even Toys R Us has had a hard time competing with WalMart, Target and Costco.

I'm sorry to say, but to me it sounds like a bad idea. JMHO.

 

[meandtheguys]

We lost our small bookstore, and I dearly miss being able to call down and order what I needed and then be called when it arrived! The folks in the store knew our whole family. It is nice to be treated in a special and personal way! Good luck!!!

 

[Disney Doll]

Watch the movie "You've Got Mail" with Tom Hanks and Meg Ryan.

 

[Hillbeans]

I'm 33, and have thought of doing every small business imaginable. I've always loved the idea of working for myself, making my own money, etc....and have tried, even started a few businesses on the side with not much luck. The time, energy and investment needed to start plus the FT job I was working wore me out. I was working 7 days a week, nights, weekends, holidays. I was a wedding coordinator, did party invitations, dabbled in real estate, etc, etc. All I can tell you is that I have friends who own a GNC and they don't make a whole lot of money, and they work every day of the week, nights too. I know we all don't go into things for the money, per se, but maybe i'm just jaided and just don't see with the wal-marts and costco's how you could make money with this investment. I looked into opening a kids gym, like the ones they have birthday parties at, and they wanted upwards of $100,000 just in start up costs. It'd have taken me years to recoup that money, and I saw myself working every night, weekend, etc. to even come close to making any kind of money.

Whatever you choose, I do wish you good luck. I'm an optimist, but i've tried so many self-businesses and see how much money it costs to start it up.

 

[pnelson]

Also, keep in mind that "Borders" is only 10 miles away...That's nothing really. All the small bookstores in our area our going out of business...Even Waldens. People might like that "personal service" but when it comes to financially strapped families with small children...Money talks. And $5 saved at a bookstore means that the kids get an ice cream treat or something else. Unfortunately, we do not live in an age of the "small" businessman.

Also, things like "extras" like puppet shows, etc. do not translate to extra cash. We go to stores a lot that have that sort of things. I'm always whispering to my son "I know you want that book, honey, but wait until Mommy goes to Costco...I can get it cheaper there."

 

[septbride2002]

I'm not saying that Borders isn't far away but it is attached to a mall - where you have to deal with mall parking, and mall traffic. I agree that a general book store would not be ideal however I feel this would be a specialized book store dealing with only Children's books.

I've seen "You've Got Mail" I know there are risk - but there are also coffee stores on ever corner and none of them seem to be going out of business, and I'm not just talking Starbucks.

~Amanda

 

[pnelson]

I guess I just don't get the "specialized" part. You can get Childrens' books anywhere...Even Barnes and Noble will order what they don't have in stock. I love Barnes and Noble because my son can be entertained, I can have coffee and have a book of my own, and the prices are cheaper than a small "specialized" bookstore. I'm sorry if this gets you mad, but you did want an honest opinion. I think you'd go belly up in today's market. Then you would be in your 20's and broke...How fun would that be??

Also, you may have a point with the mall parking, but only as an exception. Like, okay, I need a book for a party in an hour, so this time I will drive to the "specialized" store and spend extra, but on a regular basis...no. Have you calculated what your volume in sales would be based on people who are not willing to drive an extra 10 miles?

 

[Hillbeans]

Good point, however people don't balk at a $3.00 cup of coffee, for some odd reason.

It doesn't sound like you're trying to become a millionaire, and you have the right attitude about it. I buy tons of books for my son, but I get a bulk of them through his daycare from Scholastic book club.

 

[septbride2002]

I guess I just don't get the "specialized" part. You can get Childrens' books anywhere...Even Barnes and Noble will order what they don't have in stock. I love Barnes and Noble because my son can be entertained, I can have coffee and have a book of my own, and the prices are cheaper than a small "specialized" bookstore. I'm sorry if this gets you mad, but you did want an honest opinion. I think you'd go belly up in today's market. Then you would be in your 20's and broke...How fun would that be??

No I'm not mad! I love barnes and noble as well, although there are things I don't like about it as well. I invision a store with lots of activities for children - a place where SAHM would like to take their kids during the day and hopefully buy a book or two. I see the store as specialized since it would be kids books only - a place for kids to come and have fun - where imaginations can grow, where kids can be rowdy and squeel in delight over a book and the parent not worry about it disturbing Mr. Banker in the coffee section. I know that in today's market discount is king - I order from Amazon all the time to save money. However I think in my growing city people really like the smaller stores. We have a whole area of small stores including grocery stores. Independent scrapbook stores do better then Michael's, lots of independly owned coffee shops, and such.

~Amanda

 

[pnelson]

Yes, I do see your store as a place where SAHM could gather and kids could "squeal, giggle and have fun". But that doesn't translate into sales...It means those same Mom's are using your store as a rainy day activity and then going home and ordering the same books on Barnes and Noble and saving money because they are on a budget. That's the reality of a SAHM.

 

[Jenn Lynn]

When I read your idea I immediately thought "Market to the SAHM." Especially the ones with kids who are not in school full time. I would LOVE to have a place to take DD to like this. Especially in the winter when it is too cold to go outside. I really don't find Borders to be all that cheap.

edit to say: I would buy books from that store.

 

[Hillbeans]

I completely agree with Pnelson. I think in theory, your business idea is wonderful and refreshing, and I enjoy nothing more than reading to my DS3. He'd love a store like that, and i'm sure I would also.

However would your time, cost of the heat and electric bill, rent, etc., be covered by 5 SAHM's using your store as a rainy day babysitter for 2 hours reading all of your books, and then buying one $10 book each? No.

 

[septbride2002]

edit to say: I would buy books from that store.

I love you.

I am taking to heart everything everyone is saying so don't think I am ignoring the negatives and just focusing on the positives. I'm a realistic person.

Does anyone else find it kinda sad that discount stores are king? Makes me want to buy from independent stores more often.

~Amanda

 

[pnelson]

Honestly, to answer your question, NO!!! I have a business/CPA background. I like the idea of saving money and being able to spend that money on other things. Especially children who change their minds about things every 10 minutes...I don't want to spend more than I have to and Costco has great stuff. That's reality.

 

[missypie]

Are you familiar with Dorling Kindersley books? They are really lovely children's books. Although they are available from the major retailers, they are also sold though home parties (like Tupperware and Pampered Chef.) If I were you I'd look into becoming a Dorling Kindersley sales person (the product is just terrific- something to really be proud to offer), get to know the market, the area, what sells, what doesn't, etc. (while keeping your day job). Then, later on, if you still want to open a retail store, you'll have a lot of experience under your belt.

 

[jel0511]

Originally posted by septbride2002
No I'm not mad! I love barnes and noble as well, although there are things I don't like about it as well. I invision a store with lots of activities for children - a place where SAHM would like to take their kids during the day and hopefully buy a book or two. I see the store as specialized since it would be kids books only - a place for kids to come and have fun - where imaginations can grow, where kids can be rowdy and squeel in delight over a book and the parent not worry about it disturbing Mr. Banker in the coffee section. I know that in today's market discount is king - I order from Amazon all the time to save money. However I think in my growing city people really like the smaller stores. We have a whole area of small stores including grocery stores. Independent scrapbook stores do better then Michael's, lots of independly owned coffee shops, and such.

~Amanda

As a SAHM it is a place I might come to once or twice a year, but not often enough for you to make it a business. Also, your problem is that you're specializing in children and most children who can read are busy all day Monday to Friday in school. Which means you only have pre-schoolers or infants during the weeks of school, which wouldn't amount to much in terms of revenue. I commend you for trying to come up with a business idea you'd be comfortable with, but unforunately I think it wouldn't work, since so many of your "customer base" would be unavailable for most of your business hours.