| |
| |
|
Small Business Information |
|
|
|
Buy a Flower Shop: Serious Considerations
You've always liked flowers and you think the idea of turning emotions into floral expressions sounds like tremendous fun. You are between careers and have been investigating business opportunities in your community. Yesterday, while perusing the real estate magazine in your county, you notice that the family owned, downtown flower shop is for sale. The ad says it's a turnkey operation. This is your lucky day. Or is it? Let's look before we leap, OK? Here are some factors to consider: You should be able to see the financial records and consult professional help if needed. If there are negative feelings about the business in the community, you need to consider a name change and making a big show of the change in management. Factor in the cost of a face-lift on the façade of the physical facility. If you are buying the building, equipment, coolers and inventory, you need to carefully assess the age, condition and viability of these items. For example, there may be $10,000 worth of inventory in the store, and the seller may be able to document the value by showing invoices. However, if the inventory is shop worn, out of date or not in keeping with your business plan, the value of that inventory to you may be quite a bit lower than that $10,000. Are you also buying the Accounts Receivables as an asset? If so, you should do some serious research into the exact state of these accounts. Many traditional florists have struggled with house accounts. They have extended credit as a matter of tradition, rather than good business sense and have found themselves in extreme cash flow trouble. You'll need to be very clear about any debt or bills you will be taking over. Be sure that you hire professional help to outline any such debt in your sales agreement. Because of seasonality of the flower business and the existence of house accounts, many retail florists have difficulty with cash flow; you should avoid any situation where you will be paying bills run up by the previous owner. Also, you should take time to consult with the Wholesalers that you will be buying from. Discuss your payment terms and lay the groundwork for a healthy business relationship with a reputable Wholesaler or two. If the name of the business is valuable in your market, you probably won't want to change the name of the business. In any case, consider a clause in the bill of sale limiting the use of the name by the previous owner in the future. This can be very sticky in the case of an owner's own name, for example "Smith Florist". Sometimes a previous owner chooses to stay on and work for the new owner. This can pose tremendous difficulties for all involved, so tread lightly on this territory. It's an extreme analogy, but think about the difficulties in open adoptions between birth and adoptive parents. Everyone has their own style and it can be difficult to accept change or let go of something you have worked very hard to build. That being said, many valued staff members at successful florists have weathered the change in ownership of their place of employment. Do make every effort to retain good people. Just be sure to be clear about your expectations so that the separation can be as painless as possible should that become necessary. Take the holidays into account when you plan your purchase of a flower shop. Valentine's day is the single largest day, but Christmas is more of a marathon. Mother's Day, weddings, proms, graduations and anniversaries team up to make the spring months a nice busy time. Depending upon your market, the summer can be a difficult time to make ends meet. Ideally, you'd take over a shop with enough time to get your feet wet before a holiday, but not with so much down time that your funds dry up before you can get going. Here's the acid test. Take the time to sort out the options. Let's work on the assumption that you WILL own a flower shop in the next year. Take a big sheet of paper and draw a line down the center. At the top of the left column, write "Buy and Existing Flower Shop". In the Right column, write "Open a New Flower Shop". Now draw a line through the middle of the paper, so you have a top and bottom. The top is for pros and the bottom is for cons. Fill in the grid with as many items as you can figure. Ask your trusted business friends and floral professionals for help. You'll be considering such items as the finances and the marketing plan of your business. When you have completed this exercise, you should have two things. One is a good tool to help you make a decision. The second is the beginnings of a business plan. Whatever your decision, a business plan is essential. It is your roadmap for success and will be necessary for a business loan. It is worth the extra time at the onset of this journey to compare the options and make the best decision you can. Karen Marinelli is a Floral Industry Professional with nineteen years of experience in the academic, retail and wholesale sectors of the industry. She believes the common goal should be to sell more flowers to more people, more often. For information on How to Open a Flower Shop, visit http://openaflowershop.com/. To order flowers online, visit http://send-flowers-online.ws/.
MORE RESOURCES:
Small-Business - Google News |
|
|
|
RELATED ARTICLES
Start a Resume Writing Service for Profit The resume writing service serves an important role in the economy. Many qualified candidates have a difficult time marketing themselves to employers and turn to a professional writing service for assistance. How To Accept Credit Cards If you plan to do business online, then your website will need to accept credit cards. For many, the idea of applying for a merchant account sounds like a daunting task, but the truth is that building an online store is incredibly easy these days. Is a Small Business Web Site a Wise Investment? One of the greatest pitfalls in e-commerce is Field of Dreams thinking, the notion that all one has to do is "build it (a web site) and they will come.""I can't think of anything further from the truth," Ron Scott, a Riverside, California web designer, says. An Example of Business Automation - eCards with pizazz The last time I spoke and went into a bit of detail on business automation. Today I would like to give you some details of how I actually used it personally so you get to see first-hand what I wanted, how I went about doing it and finally executing it. 3.5 Million People And A Possible UK Home Business Opportunity Has this ever happened to you.. Comparing Boston Area for a mobile car wash business The Boston suburbs seem to be rich with possible locations to wash cars and a mobile car wash would be well served in that market. The customers have good jobs, high paying salaries and indeed demand such personal car washing services. Competition in the Mobile Car Wash Industry We have all seen the mobile washing units cruising our city, usually they are trucks, vans or trailer set ups with a water tank and a pressure washer unit aboard. They market their services with flyers and business cards, however most of their business comes from weekly repeats and referrals. Small Business Failure? Nuts! Pardon my enthusiasm, but a large part of your small business' success is somewhere else. Namely, out among the company's important external audiences. How to Sponsor an Event for Fun and PROFIT How do you sponsor an event and get personal introductions at the same time?So how can sponsoring help you to be visible to the business community and gain the right contacts? It is actually quite simple, you need to find events that are visible to the audience you are interested in.Find out: Whom you wish to do business with Which sports they like What community events they like Where the upper management families live and their community involvementThe events that they watch are the ones that you should sponsor. How to Prevent Home Business Burnout As a home business proprietor, you may already realize why avoiding "home business burnout" is so important. Even if you have only been working your home business venture for a relatively brief time, you may have already been aware of the need to maintain your energy levels and reduce your stress levels while you were involved in your other employment. Franchise Territories for Mobile Businesses; Why Limitations In franchising an individual desirous of their own business will sign on with a franchising company and use their brand name, know how and expertise to make a living. The franchisor will generally assign an exclusive territory with limitations. Five Simple Software Tips for Small Business Owners The start of a new year is a time for a clean start. Resolutions are made, you clear your files of last year's paperwork, and you swear you are going to start the year off keeping your financial house in order. There Is Security in Change... But Use Caution It has been said that the only constant is change. That statement, while true for everyone, it is especially true for those engaged in business activities. Aircraft Washing Business Tip - Interior Private Jet Cleaning Aircraft Interiors of personal and corporate jets have hundreds of thousands of dollars invested. We have had an opportunity to speak at length in Tucson, AZ recently about the special custom interiors the weight they cost in performance and the needs in cleaning. How to Start a Pet Transportation Business Pet Transportation Services are needed as the number of pets in the U.S. Reclaim Equipment Detailing Industry and NPDES, EPA, Storm Water Rules It behooves every professional mobile auto detailer to stay up with the reclaim equipment necessary to comply with the NPDES, EPA and storm water rules. Every company has a responsibility to not pollute the water supplies. Accounting and Billing Procedures for Small Business No matter how small your small business is, it is essential to have some sort of accounting and billing police and methodology. This will prevent you from making mistakes and upsetting vendors or even bouncing checks. Effective Customer Interviews Make Life Much Easier! One of the critical success factors for service-related businesses is our ability to understand a client's needs and requirements. Misunderstandings can lead to loss of repeat business, economic loss, and damage to reputation. How to Effectively Design Your Business Image In many industries, image is one of the last things business owner looks at. If business is not booming, they assume there is something wrong with the sales method, as opposed to the image. 7 Advantages to Incorporating There's no question that hard work and a little luck is what it takes to BE successful. But a little knowledge, especially when it comes to setting up your business, will help you STAY successful.
|
| home | site map |
| © 2006 |
