How to open a fishing shop

Business ideas by directions

The number of fishing enthusiasts is growing every year. This is a great option for outdoor recreation, stress relief, communication with friends. Naturally, the desire of many entrepreneurs to make money on this hobby by organizing paid fishing , recreation centers , selling various products that are related to this hobby.

So many entrepreneurs are showing interest in the topic of opening a fishing shop. Watching the traffic of such stores by customers, many people draw completely wrong conclusions about the profitability of this kind of business. Making money selling fishing equipment seems easy and profitable. However, in reality, opening a fishing shop is not such a simple matter. You need to approach it, having calculated all the risks in advance and acting according to a reliable business plan.

The main mistake that novice entrepreneurs make is the incorrect assessment of demand and income planning.

Despite the wide customer base, the amount of goods sold to one buyer, as a rule, is not so large. The average check of a fishing store is often only one or two hundred dollars. People buy large and expensive things, such as boats, outboard motors and other large equipment, not so often, usually limiting themselves to buying small consumables — hooks, baubles, fishing line, and so on.
A huge role in the formation and development of a fishing store is played by the range and quality of the products sold.
Often, entrepreneurs, wanting to get the maximum profit, buy cheap Chinese goods, while gaining on the margin, but losing in the trust of buyers. Fishing enthusiasts, on the other hand, appreciate quality very much, and more often buy trusted brands.
It should also be taken into account that there is quite strong competition in this trade sector, which is complicated by the offers of numerous online stores.
In order to withstand competition from other sellers, the owner of a fishing store has, on the one hand, to limit the margin on goods, reducing his own income, and, on the other hand, to increase the range of goods so as not to lose customers. All this leads to a significant decrease in the profitability of the fishing store and an increase in the payback period of the business.

Experience shows that the profitability of fishing shops is not very high. More successful are those stores that are located on their own premises and offer a wide range of goods.
Renting premises often reduces the profitability of the store to zero, or even makes the enterprise unprofitable.
The expansion of the assortment, in turn, creates large inventories, freezing the working capital of the store. So circumstances force entrepreneurs to plan all expenses and incomes of the enterprise with special care.

Investment in opening a fishing shop is not that big. In addition to the costs of registering a company and obtaining various permits, the main investments are in the repair and equipment of the premises. Typically, these costs do not exceed $500,000. However, the empty shelves of the goods hall need to be filled with goods, and much larger investments are already required here, about 2-3 thousand dollars. In addition, the promotion and growth of the client base of a fishing store takes a fairly long period. Therefore, it is necessary to plan in advance a cash reserve that will allow you to bear expenses that are not covered by income in the first time. This period can take several months or even a year.
The location of the fishing shop also plays a big role.
Although such a specialized trading establishment is not necessarily located in the central part of the city. But still, the location should be quite convenient in terms of access and parking.

Current expenses should include, in addition to the usual costs, a fairly large share of advertising costs, especially at first. It is effective to carry out various promotions, as well as create loyalty programs, for example, providing discounts to regular customers, since many fishermen prefer to buy goods in their usual places.

The profitability of a fishing store, at best, is 15-20%. Therefore, store owners are required to have a meticulous attitude towards the creation and development of their business.

By ordering a business plan on our website , you can accurately and visually calculate the risks and potential income from creating such a business in your particular case.