How to Open a Men's Boutique and Start a Business

Starting a small business requires a lot of legal, financial and planning work before the first boxes are unpacked.

Starting a business is a lot easier said than done. There are many procedures, financial hurdles, tax laws and operation decisions that have to be made. But starting a boutique is not impossible, and the process can be fun for passionate entrepreneurs. Having a plan makes things much easier. Plus, owning a boutique will provide a chance to work with a lot of unique merchandise and meet great people.

Instructions

1. Create a business plan. Having some direction before opening a business will help make things easier along the way. When creating the plan, include a description of the business, a marketing plan, information about competition and general operating procedures.

   Also, determine what types of items will be the highlights or specialty products in the store. It is likely the merchandise will cater to a certain group of men, however consider stocking items that appeal to men of all demographics. Find a business or place that will supply merchandise to the store. There are wholesalers and distributors who have catalogs and online stores available. It might also be unique to offer clothes and accessories from local and regional designers.

2. Look into financing options. Unless there is money available to fund the whole project upfront, borrowing money will be necessary. There are several different loans small businesses can take advantage of. This includes private bank loans, government loans and research grants.

3. Choose a location. Think about whether the boutique should be a store that people can walk to in an urban area, or one people should drive to in the suburbs. Opening in a mall may also be a good option since there are always people walking around with intentions to buy things.

   Downtown areas and malls are usually more expensive places to operate. Make sure the people in the area match the shopper profile. If the boutique will be in a downtown area, make sure public transportation or parking ramps are nearby to ensure customers still shop during bad weather.

4. Choose a name. If the business is not the name of the person operating it, it is likely using a fictitious name, something like "Crazy Clothes." This fictitious name sometimes needs to be filed with a government agency. This process is different depending upon the state, but usually self-owned businesses and partnerships register with the town or county clerk where they do business in. This can be done online or by going to the office.

   Some states require businesses to register with the the state's Secretary of State office. This can also usually be done online. Some states, such as Kansas, Mississippi and New Mexico do not require registration at all.

5. Take care of the tax information. This includes registering for a Tax ID number (EIN) from the Internal Revenue Service. It is used for opening bank accounts, applying for licenses and filing a tax return. The easiest way to get a federal EIN number is to register online at the IRS website. Approval is instant after a questionaire.

   Businesses are required to pay federal, state and sometimes local taxes. State tax policy varies by location, but nearly everywhere businesses are required to register with a tax agency to receive a tax permit. In addition, there are also corporate income taxes, state workers' compensation insurance and unemployment insurance taxes. States have made this registration available on their websites.

6. Hire employees to help operate the store. Think of people who would understand the customers' needs well and be willing to take the time to help those who have the skills to match items to the different tastes of customers. Looking for friendly, outgoing and flexible people is important, especially during the initial business startup. Be sure to follow and know information about employee taxes, work eligibility, insurance and workers' rights.

   Have new employees help stock, decorate and prepare the boutique for opening day.

References

• SBA.gov: Starting a Business
• Howtostartabusiness.ws: How to Make a Boutique a Success

Resources

• SBA.gov: Register your Fictitious or DBA Name
• SBA.gov: SBA Loan Programs
• IRS.gov: Apply for an Employer Identification Number (EIN)
• SBA.gov: Learn about State and Local Tax Obligations