How to Start a Party Store Business
Party store businesses are always popular, although they can frequently feel alike if there's not care taken to make one stand out from the crowd. How you make one stand out depends on the theme of your party store business and whether it's a retail outlet or a rental operation. Start the business using these steps to help you get a better idea of what your niche will be.
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Things You'll Need
- Business license
- Business lawyer
- Registration for business name
- Bank loan
- Store supplies
- Rental contract
- Advertising
- Networking plan
Instructions
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Business Plan
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1
Decide what you want to do with your party store and whether you'll be a retailer selling party supplies or renting them.
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2
Check with your local city hall or courthouse about acquiring a license for the business which would be minimal for a party store (see Resource 2). Acquire a business lawyer before getting the license to help you sort through the legal red tape.
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3
Register the name of your business with your state or at a federal level if you're using a fictitious title. Learn more about the legal complexities of registering a business name at Resource 1.
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4
Figure how much capital you're going to need and go to your local bank to obtain a business loan. Know that if you start a retail party store, your capital will run about $1,000 or more. A rental party store may have less capital if you buy store supplies from a wholesaler.
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5
Find a wholesaler or a supply store that's going out of business. Buy their inventory if it fits with the theme of your party store, even if it's just office equipment. Offer a fair price, but keep in mind that you're likely to get it at a reduced cost than buying new.
Rental Details
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6
Write a contract with your business lawyer that your future customers will have to sign, stipulating that they're responsible for the items they rent and will be responsible for paying for them if they are lost or damaged.
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7
Specify in your contract whether you'll be delivering the party supplies or if a customer will be responsible for picking them up in-store and later returning them.
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8
Learn about how rental party stores work and how you'll have to deal with people more if you deliver the items out in the field. Take this into consideration if you don't want the extra work of driving and dealing with the public.
Advertising
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9
Brainstorm for a unique niche and angle for your business that will make it stand out from the crowd. Specialize in party supplies for offices, children's parties, or all categories. Consider making your business both a rental and a retail outlet if you have enough staff to handle it.
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10
Advertise every place you can, including the internet, and network with places that can help you out in your business. Hook up with catering companies, for example, who could use your party supply store for their own events.
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11
Develop discount packages in your party store. Mark down the prices of cheaper supplies when selling or renting out a party package for a major event. Items made out of paper or plastic could be sold at a reduced rate to help establish your business as a place to save money and encourage repeat business.
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Tips & Warnings
When running a party store, cheerful customer service is paramount. Learn how to be an appealing salesperson while spearheading your business. Thoroughly teach your staff the art of good customer service and your business reputation will grow in leaps and bounds.
