Starting your own store in 9 steps

Introduction

You want to start your own store, but where do you start? In this article we list all the steps so you can successfully start a store.

Step 1: Registration with the Chamber of Commerce

When you decide to start your own store, it is wise to register yourself with the Chamber of Commerce Trade Register. This will also give you your VAT number which you are going to need when you start your own store. Also consider registering your business name as a trademark because this offers more protection.

Step 2: Writing a business plan (including market research)

After you are registered, it is important to write a business plan. In it you include personal details of the entrepreneur(s), internal things like the legal form of your business, positioning, product, as well as external things like a market research, competition analysis, trends, target group analysis, SWOT analysis and more. For writing a business plan, read the article making a business plan. If you are looking for a template to put all your information in, or are simply looking for inspiration, take a look at our page 14 business plan examples/templates.

Step 3: Location of your store

Finding suitable premises is an important part of starting a successful store. Take advantage of business brokers and municipalities to find properties that are vacant or soon to become vacant. Keep some important points in mind when deciding which premises to take over: where is my target market, where are my competitors, what do I want to portray (do you want a small store that has cozy atmosphere, do you want a premises outside the center because you are a more exclusive store). Also smart to think about whether you want to rent or buy (also combine this with the future plans you have with your store).

Step 4: Funding

Very important, because without financing you cannot possibly start your store. Be sure that you have enough financial resources at your disposal to avoid future money problems. Have you saved enough yourself, arrange a lender (for example, through a private equity investor), start the store with other entrepreneurs. Store this information in a financial plan so it is clear. It may also be wise to have someone outside the business take a look at your finances (financial plan), such as a bookkeeper or accountant.

Step 5: Stock management

No matter how small or large your store is, it is always wise to have good inventory management. That way you avoid "selling no" and you yourself always have a good overview of what you have on hand. We recommend that you get a digital program that records all purchases and sales. Make sure you get one that automatically alerts you when your product stock is running low, this way you prevent customers from walking out of your store empty handed and perhaps getting it from the competition.

Step 6: Administration

As a business, you are required to keep accounting records. This information is used to determine how much income tax and VAT must be paid. A well kept administration also gives you an idea of how your company is doing.

Step 7: Arrange a payment system

It's obviously important that a customer can pay for your product or service. We list the three options for you:

1. Cash

This is the traditional way of paying in stores, which is still widely used. Of all transactions, 40% are with cash. Especially when smaller amounts are being settled, it is wise to accept cash. Customers expect to be able to settle small amounts with cash.

2. Withdraw by debit or credit card

This is the most widely used method of payment and almost every consumer expects to be able to pay with a debit card, phone or watch, so you need a debit card machine but fortunately these are not as expensive as they used to be. ATMs can be had for as little as a few dollars from new players such as PinMobile, iZettle and Sumup. You link the ATM to your phone or tablet with a free POS app. For large volumes of 500+ transactions per day, it is smarter to buy a sturdier ATM and then you should look at parties like CCV, EMS and Worldline.

3. Payment Request

You can also send your customers a payment request from your bank's mobile banking app. At ABN AMRO this is called Tikkie and you need to have a business account at the bank. Costs vary per bank and for Tikkie business you pay €0.25 per tikkie. Not all your customers are familiar with payment requests and some may not find it convenient or safe. However, it is safe. You can use payment requests as a backup if, for example, your ATM goes down due to an internet outage.

Step 8: Purchasing insurance

It may be wise to cover the necessary risks with good business insurance. These include buildings insurance (covers damage to your premises caused by storm, burglary, fire, etc.), contents insurance (covers damage to your business belongings such as your laptop and inventory caused by fire, flooding, theft, etc.) and business liability insurance (covers damages against claims such as a customer being injured by the company's actions).

Step 9: Optional: franchise or business acquisition

Taking over a business can give you a good start. The business probably already has customers, name recognition and all 8 steps done. In addition, you can also choose to start a franchise. Here the big advantage is that you use the reputation of the brand name you are taking over a franchise from. However, here it is important that you can guarantee the quality of the name as a franchisee.