How to Open a Tobacco Shop

Tobacco shops have the potential to be very profitable. All kinds of people frequent these stores and if you offer a variety of merchandise, you'll have something to interest everyone. Opening a tobacco shop doesn't have to be hard, although you may need to take out a loan to get your initial inventory.

Instructions

1. Find a location for your tobacco shop. Malls will sometimes have tobacco shops in them, but due to newer smoking laws, this varies from location to location. Whatever location you choose, it should be easily accessible to your target market. For example, if you live in a college town and your customers consist of a younger crowd, being located near the university would be wise. You ideally want to be in a high-traffic area no matter whom your target market consists of.

2. Apply for any licenses or permits you need from your county or state. Decide on a name and register it with your state; consider incorporating or establishing an LLC to limit your personal liability.

3. Buy fixtures for the store. You'll need glass display cases, shelves and drawers. Set up a merchant account and get your utilities turned on.

4. Stock your merchandise. Some items you'll want to consider selling include loose tobacco, rolling papers, cigarettes and cloves, cigars and cigarillos, assorted pipes and water pipes, hookahs and lighters. Also, think about selling T-shirts, adult DVDs, whipped cream chargers, body jewelry, candles and incense and tobacco accessories like ashtrays and padded holders for glass pipes.

5. Put up a sign outside your new store. You may want to have a grand opening sale, and the sooner you can advertise this, the better.

6. Set up the rest of your store, including a cash register, break room for employees and any decor you want to include. Post your business hours on your door or front window.