Thinking of opening a shop?

I've had my first retail space for over 3 years now, and my second for over a year. I thought I'd take the time to share some of the things you'll need to think about (and cost for) if you're looking to rent your first shop!

what does it cost to open a shop

Setting Up Costs:

Deposit (often 3 months rent)

Rent in Advance (Often 3 months rent again)

Plumbers, Builders, Electricians

Paint, Furniture, Fixtures and Fittings

Legal Fees (you are not allowed to not use a solicitor when signing most leases)

Your time to get it ready, and not be earning during this time

Running Costs:

Insurance

Rates (councils charge businesses rates for existing)

Rent

PRS and PPL licenses to play music (from any source)

Rubbish Collection (the council make you pay for refuse)

Rates (the council charge rates to businesses for existing)

Stock/Product (you'll need to buy before being able to sell it)

Water/Electricity/Gas

Supplies - biscuits, tea etc

Cleaning Supplies and/or Cleaner/Window Washer

Phone/Broadband

Bank Fees (business banking fees)

Card Machine rental and fees

VAT (if your business takes over £82,000 in 12 calendar months - NOT PROFIT, turnover) you must pay this extra tax. You may be running at a loss, but still be liable to pay VAT,

Staff Costs:

Direct wage cost

Holiday Pay

PAYE Taxes

Possible Sickness/Maternity Payments

Possible Training or Equipment Needs

 

Phew! Basically these costs will need to be covered by whatever product or service you intend to sell. You'll also need to pay yourself - you need to live too!