How to Open a Shoe Store

Opening a shoe store requires a lot of research, funding and licensing, but selling running shoes or designer sandals to loyal customers make up it worthwhile.

People love buying shoes. From girlfriends shopping together for that perfect pair of designer pumps to teenagers looking for the hottest pair of running shoes, footwear is big business. Discount shoe stores serve the community at large, while trendy boutiques cater to the consumer with extra fashion sense and cash. Other niche markets sell shoes to people with medical conditions, amateur athletes, children and blue collar workers. A shoe store needs the right consumer base and store location to flourish. Consider the following tips if you want to start a retail shoe business.

Instructions

1. Decide what type of shoes you want to sell. Will you sell a cross-section of shoes for men, women and children at discount prices, or open a high-end boutique selling women's designer shoes? The shoe brands you carry influence other decisions such as store location and hours, advertising plans, the shop's décor and how experienced employees must be about trends, sizing and other issues important to customers.

2. Register your business. You'll need to file a DBA (doing business as) notice for a sole proprietorship or partnership. If you have a corporation or LLC, you'll need to search for other companies with the same name before filing. If your business has the same name as a previously registered corporation, you'll need to change the business name before sending in paperwork. Before opening a store and selling to the public, file for a business license in your state. Contact your state revenue bureau about the appropriate forms for unemployment tax and withholding tax for employees.

3. Secure funding. Determine how much capital you'll need to pay rent, stock the store, buy furnishings, and cover other business expenses. Check with the Small Business Administration about available funding sources. Find a compatible business partner to share expenses, or take out a loan if you have good credit.

4. Locate the best retail space. Take several factors into consideration before signing a lease. You'll need to consider how much space you'll need for the sales floor, office, storage room and rest rooms. Then check out the neighborhood. It must be safe for customers and employees at night, and have adequate parking. Look into leasing a store at a shopping mall to attract foot traffic from browsing consumers. A shoe store that's in close proximity to clothing and department stores will bring in customers shopping for the perfect pair of shoes to complete a particular outfit. If you're selling women's designer shoes, an address in the toney part of town will attract will attract your demographic better than a centralized location.

5. Advertise your store. If you rent retail space in a mall, place ads in co-op publications or websites sponsored by the merchants' association. Build a website, and offer special discounts for shoppers pursuing ads online. Consider selling shoes online through your website or eBay if you have a large inventory.

References

• Power Home Biz: How to Start a Shoe Store
• Small Business Administration: Small Business Planner
• A Touch of Business: Starting a Shoe Business

Resources

• Time Out New York: Best Shoe Stores for Women