It is becoming more and more apparent that costume shops are becoming a booming business. It is a direction any young entrepreneur in the making needs to pay attention to. The additional bonus is that is can be really fun.
Even though it may seem that a costume shop has a limited time frame when customers might need costumes, that is simply not the case. Plus, there is a plethora of occasions when costumes are needed, starting from major holidays like Halloween to simple dance recitals or school plays that are performed at least once a month.
You could meet all kinds of demands by offering all sorts of costume styles, from a masquerade costume, a birthday party costume, a theatre costume to a
dance costume. You can make your store stand out by offering accessories and delivery services with an incentive of let’s say a promise of time limited delivery in town.
There are two methods in investing in a costume shop.
Lower budget costumes You can start by purchasing lower budget costumes and then gradually replace them with better quality ones. The advantage of this approach is volume. You will have a big supply from the start to meet all kinds of consumer demands.
High quality professional level costumes You can invest in high quality professional level costumes from the beginning. The amount of money you’ll need to invest will be higher which will implicate that your business will grow on a slower rate. However, you will gain credibility and reputation of offering only the highest quality costumes.
Now that you’ve chosen the right type of business you want to delve into, it’s time to do the leg work of starting up the business. When deciding on
starting a business by yourself, it is important to think about the following:
- Make a business plan - This written guide will help you map out how you will start and run your business successfully.
- Choose a business location - Select a customer-friendly location that would attract potential consumers.
- Finance your business – Research if you are eligible for any sort of government backed loans or venture capital.
- Register a business name - Register your business name with your state government.
- Register for state and local taxes - Register with your state to obtain a tax identification number, workers' compensation, unemployment and disability insurance.
- Obtain business licenses and permits - Get a list of federal, state and local licenses and permits required for your business.
Now that you’ve set up the framework of your business you need to learn to be patient. Remember, it takes time for any business to become profitable. Also, once you do start making a profit, make sure to reinvest in to build up an inventory of costumes and to advertise your company.
