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bb7551":3oo9dogw said:
Living sure - but how are you gonna get there? :wink:
What do you think of a warehouse?
- Thread starter bb7551
- Start date
Living sure - but how are you gonna get there? :wink:
Well since they started out of their garage 30 years ago selling dogfood, I'd say it is possiable (oh, by the way, their independantly wealthy :wink: ) for that type of business, but not livestock. Without livestock, your just another Petsmart without the benifit of bulk buying (you could do bulk buying, but you'd need alot of cash that can be tied up). Bottom line, you need loads of cash to start this type of business, and definitly don't expect to do it for under a couple hundread thousand. You could easily blow 100k on set-up alone, and thats not including ANY stock.
GreshamH":85i6g7s7 said:
Thats the idea I've been trying to hammer home - but our young friend here seems to gloss over. All the hard work and sweat in the world is meaningless without $$$. It takes quite a lot of effort and time to get to that "warehouse" level.
Put it this way. Matt opened our store in 1997. The original location was 1500 sq feet. I came on about 8 months later part-time, which eventually became full time and I'm now a partner. By our fourth year we had overgrown the space, and in our fifth year as our lease was up we decided to move and expand. Our new location includes a second floor loft which is 1600 square feet. In other words, our storage/warehouse is now bigger than our entire store was 6 months ago. We saved money by doing most of the construction work ourselves (hard work and sweat) but it still cost quite a bit of money to open the new store, an existing established business. However even as we were closing the original store and moving out - we still had people coming in who had lived in the area most of their lives but had never heard of us, or even walked past the store with the 30 foot lighted sign and 220 gallon reef display in the window but never noticed us.
It takes A LONG time for that client base to build and your overhead is the same regardless of whether or not you have customers providing cash flow.
Hey young'n, I worked for thebest retailers I could find when I was your age. THEN, and only then after I figured out my gameplan and decided to hatch my own business, I went for it. Doing your own thing, you'd best make sure you have all your ducks in a row. My partner and I invested in USD/$750,000 initially. Bought a lot, built our own warehouse, tanks, lighting systems, filtration systems, a totally reef oriented environment if you will. Nothing more nothing less, as that is what we had planned to do and followed our plan. However, almost 20 years into it and many hundreds of thousands of dollars in livestock later and customers.... we realized our main goal we had set in the beginning...To provide knowledge first and livestock second....was not happening like it should. He died and I sold everything at a profit and got out of the business. Working almost 100 hours per week on occasion (the 2 of us only), flying to every body of water imagineable to hand collect our livestock and hire local collectors to collect without damage, transhipping from everywhere,
hauling freight, maintenance.....Man alive, buddy, think about it...If you're not careful, it'l eat your lunch. I decided after my friend's death and the selling of our business (VERY successful).. (Financially, I don't have to work, but by choice, I do @ only 45 years old.) that things should be left alone in their natural habitats. I had realized that for those many years, working for retailers when younger, and then venturing out on our own had actually jaded us into thinking we COULD make the difference. It all boiled down to money.. No matter how hard and how long you sit back and look at it. wether you buy it in a LFS, TS'er, W'saler, or collect it your-self, it'll cost ya. You are almost 16 years old. Learn from the big boys mistakes my friend. Don't make the same ones they do or that we did. I have learned... The livestock comes first. Knowledge should far outweigh anything else you step into. Learning & integrity. Whenever I look at my bank account and think back to any given day of collecting overseas, of moving 1200 lbs of rock or livestock that we had just hand picked, and hopped back onto a plane and flew back to the good ol' US of A and landed without a hitch, collected our share from the sale of it, and went home feeling like, man alive, there's a lot of money in this doing it our way... lets do it again, so we did and made a killing doing it too. But it all came down to the cold hard reality of the matter-MONEY.. Seemed as if it took precedence over anything else at one point..Anyway, young man, think real hard about what you want to do. There are in my opinion, quite a few folks on these boards that know the business as I do, and have a plethora of KNOWLEDGE. Some of us just have a different experience. Not all good, not all bad. BUT......Learn from these experiences and make the call. Just remember though, knowledge is a very powerful tool and stay ethical and honest or you'll end up like the retailers.
Just my opinion for whats it's worth. Thanks for a great site and all the KNOWLEDGE out there.
Aquadoc-
hauling freight, maintenance.....Man alive, buddy, think about it...If you're not careful, it'l eat your lunch. I decided after my friend's death and the selling of our business (VERY successful).. (Financially, I don't have to work, but by choice, I do @ only 45 years old.) that things should be left alone in their natural habitats. I had realized that for those many years, working for retailers when younger, and then venturing out on our own had actually jaded us into thinking we COULD make the difference. It all boiled down to money.. No matter how hard and how long you sit back and look at it. wether you buy it in a LFS, TS'er, W'saler, or collect it your-self, it'll cost ya. You are almost 16 years old. Learn from the big boys mistakes my friend. Don't make the same ones they do or that we did. I have learned... The livestock comes first. Knowledge should far outweigh anything else you step into. Learning & integrity. Whenever I look at my bank account and think back to any given day of collecting overseas, of moving 1200 lbs of rock or livestock that we had just hand picked, and hopped back onto a plane and flew back to the good ol' US of A and landed without a hitch, collected our share from the sale of it, and went home feeling like, man alive, there's a lot of money in this doing it our way... lets do it again, so we did and made a killing doing it too. But it all came down to the cold hard reality of the matter-MONEY.. Seemed as if it took precedence over anything else at one point..Anyway, young man, think real hard about what you want to do. There are in my opinion, quite a few folks on these boards that know the business as I do, and have a plethora of KNOWLEDGE. Some of us just have a different experience. Not all good, not all bad. BUT......Learn from these experiences and make the call. Just remember though, knowledge is a very powerful tool and stay ethical and honest or you'll end up like the retailers.
Just my opinion for whats it's worth. Thanks for a great site and all the KNOWLEDGE out there.
Aquadoc-
I might add for the sake of "setting up your own building and systems"...
The USD/$750,000 was just building, systems, all necessary equipment needed to run a reef only warehouse 24/7, long term. That is not including utilities, training people to watch and maintain the systems while you are out either collecting or shooping for livestock, shipping costs to various areas. Etc. etc.. Lots of variables to consider. each year after our third year we would gross a grand total of 3.3 million USD in our venture, of which we would put back into it 3/4th of it, or 75%. You get out of what you put into..As far as the initial start-up costs, it was a grand total of 2.2 million over a 2 year period. The third year we noticed a profit. So, if you are dedicated, save your money, find some backers, get a grant, realize your dream, talk with some reputable retailers, wholesalers that aren't in your area or you'll be talking to the proverbial brick wall...Or you can go to work for them, learn, keep your mouth shut and when you have your methods ready.. Go for it.
AD-
The USD/$750,000 was just building, systems, all necessary equipment needed to run a reef only warehouse 24/7, long term. That is not including utilities, training people to watch and maintain the systems while you are out either collecting or shooping for livestock, shipping costs to various areas. Etc. etc.. Lots of variables to consider. each year after our third year we would gross a grand total of 3.3 million USD in our venture, of which we would put back into it 3/4th of it, or 75%. You get out of what you put into..As far as the initial start-up costs, it was a grand total of 2.2 million over a 2 year period. The third year we noticed a profit. So, if you are dedicated, save your money, find some backers, get a grant, realize your dream, talk with some reputable retailers, wholesalers that aren't in your area or you'll be talking to the proverbial brick wall...Or you can go to work for them, learn, keep your mouth shut and when you have your methods ready.. Go for it.
AD-
I have ben told many times to get a grant when I am 18, do you know how I go about this? Or anybody know about this? How much are usually granted for a Pet shop?I heard up to 100,000 but, I am not sure if I beleve that? is there any good sites that I could check out, for free, many of the sites I go to say that you need to pay to search for grants and get some information on them... Thank you for all you wrote aquadok in the last two years (yes two years) researching pet shops and how they are run, I think the best information came from you. thank you. John
Grant shopping for a retail store? Try asking these people if they want to give money to a for profit retail store:
http://www.packard.org/
ot these folks:
http://www.wwf.org/
(folks, check out their new banner, they are now including SW fish in it)
Gresham
ps. I'd start working ASAP for any LFS or wholesaler in you area. You need to learn the basics and from others mistakes. Most of the information your asking can be learned from hands on, and is best learned on some one elses dime. If you don't have one to close, look further away, I commute 2 hours a day to get to my job at a wholesale livestock business.
http://www.packard.org/
ot these folks:
http://www.wwf.org/
(folks, check out their new banner, they are now including SW fish in it)
Gresham
ps. I'd start working ASAP for any LFS or wholesaler in you area. You need to learn the basics and from others mistakes. Most of the information your asking can be learned from hands on, and is best learned on some one elses dime. If you don't have one to close, look further away, I commute 2 hours a day to get to my job at a wholesale livestock business.
gresham, Those are nonprofit sites??? Also, I am trying to get a job at the LFS but still haven't had any luck, I will be able to work there in the next week (july 21st) but someone needs to quit or get fired before I can work there, and the other one has just family working in there. and I really can't get my grandmother to drive an hour or two to work at a wholesalers or any other pet shop around because I can't get my driving licence till I am 17 (I hate NJ's rules!!!!) I am hoping on starting a small business (400- 600 square feet) with just fish like discus and SWF will also carry a line of fish tanks, food, and mabey some snakes and snake food. John
bb7551, the grants I was talking about refer to small business grants. The United States government sometimes will give you the dollars to start a small business, depending on what it is. Your best bet when considering a grant is, if you are not familiar with doing one yourself, is to find someone who does write them. You will be charged accordingly to however much the grant is for or either they charge a percentage of the grant monies if it is approved, at least that was the case in a friend of mine's venture! A $100,000 grant was fee'd @ 10%, or $10,000 USD. However, at your age ( not saying it's bad) you will find it difficult to find backers who will want to invest in a venture BECAUSE of your age and inexperience. You DO have the "gumption" it sounds like to me, to further your "dream", but figure in also, these options: What do you want in this business, is it going to be wholesale, retail, tranship, consultation,sales and service, who will work at this business, training employee(s), overhead, and the list goes on and on...?
There a lot of variables to consider upon even thinking of going into your own world of business.. Just beware, because the business world IS NOT going to be nice to you.
Just some helpful hints, not to discourage you, but to make you think.
Been there, done that, successful, got out while the gettin' was good!! If you have anymore questions, feel free to e-mail me.
Aquadoc-
There a lot of variables to consider upon even thinking of going into your own world of business.. Just beware, because the business world IS NOT going to be nice to you.
Just some helpful hints, not to discourage you, but to make you think.
Been there, done that, successful, got out while the gettin' was good!! If you have anymore questions, feel free to e-mail me.
Aquadoc-
I know business is cut throat and am ready for it. I do know that the local pet shop will not be happy about but oh well, This is not the game and I will be playing around with alot of money bigiting, maintinance and training employees will not be easy or cheap. paying people at first I don't think Will be a problem because I am hoping to have a business small enough to run it by myself and my partner, whitch will reduce overhead. I plain to breed my own discus (whitch will be a big part of my business) at the house to reduce the overhead. I know three people that work in the car business and it is not at all nice, in fact it is 100% cut throat. I hope I do not have to run special gimiks to bring in the people, I hope I do get a good name and that is why I will be successfull, not the fact that I have buy one git one free fish on wensday to clean out the tanks for thursday shipment. I don't want to be known as the pet shop that is crule enough to put a nurse shark in a 180 gallon... with no plain of action when it gets bigger. I really do hope that I am known for the quality of my fish, the quality of the tanks, and the frendly atmosphere. You know what I mean, I have goals... and I think they are good ones. John
Hey John,
Don't get discouraged. I can relate! As a teenager, I was always trying to think up the next great business idea. I was all consumed by it, and even managed to set up a few relatively successful operations (my ebay business I started at 17 is still going!). But all the roads eventually led to one place; School. I'm 20 now and am working on finishing up my business administration degree in the next year or two. If you want to learn how to run a business, the best way is to get an education.
There is really a lot more to running a business than it seems. You need to learn how to do basic business accounting, use a balance sheet, income statement, statement of cash flows, calculate a return on equity, business law, risk management, and the list goes miles long. Without school, it's like trying to find an outlet in the dark. You have to turn the light on first, no matter how badly you want to plug it in. So go to school. There is no way around it. Trust me, I looked.
-KRIS
Don't get discouraged. I can relate! As a teenager, I was always trying to think up the next great business idea. I was all consumed by it, and even managed to set up a few relatively successful operations (my ebay business I started at 17 is still going!). But all the roads eventually led to one place; School. I'm 20 now and am working on finishing up my business administration degree in the next year or two. If you want to learn how to run a business, the best way is to get an education.
There is really a lot more to running a business than it seems. You need to learn how to do basic business accounting, use a balance sheet, income statement, statement of cash flows, calculate a return on equity, business law, risk management, and the list goes miles long. Without school, it's like trying to find an outlet in the dark. You have to turn the light on first, no matter how badly you want to plug it in. So go to school. There is no way around it. Trust me, I looked.
-KRIS
Not all that bad an idea bb, but probably not worth the incredible amount of time and expense it would take. I would say you would have no life at all if you went that way. As for the affordable and fun part of owning any animal....There getting more expensive the Kidds for christ sake. Thank god my two lab's have no intention on going to collage <lol>.
Frankie
Frankie
Metamorphis said:
Hope you don't me using your quote....It seems the way people get smacked around this place sometimes for trying to have a conversation & asking ones opinuion and it was all he did. Kris's statement is good advice. However BB.....I would also throw in the following course's..
Law-School
Political science
and the real important one...your degree in talk & post, but do nothing degree.....LMAO :roll:
F
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