Shop Fittings

Whats involved in setting up a shop business?

I want to open a shop - something like a £1 discount store. Just one shop to start with. I've checked out a couple of local commercial properties, annual rental rates are approx. £18,000. It's my first business so I'm literally starting from scratch - 1 thing I will no doubt probably need is 6 months rent up front. Things I have thought about: 6 months rent up front fixture, fittings new shop front labour stock Do I pay council business rates up front or on a monthly basis? I've seen a figure for £9,500. Is that per annum? Surely not monthly! The listing was quite unclear. Thanks in advance everyone - would prefer personal comments and experience rather than web links!

Public Comments

1. The very first thing you need to do is write up a Business Plan You also need to check out the local competition and see of your idea is workable and profitable Where will you get your stock, what is your profit margin,and what is your funding source You will also need insurance, telephone line, electricity, business rates,marketing,advertising and promotional costs,business registration and that's before you go down thew route of employing staff. If you are in the UK, check out Business Gateway and Business Link websites for more Information
2. First of all rents. Shops are usually Leasehold which means you sign a lease for a minimum of 3 years, after this the rent can increase, If you stop trading you are still responsible for the rent.. You could have a full repairing and Insuring lease which means you have to pay for internal and external repairs to the property. The rent is usually paid on quarter days which is every 3 months You will need a Solicitor to have the lease assigned to you. Mine cost 2K when all the paperwork was finished.. You will be responsible for the Insurance of the building which the Landlord will arrange and you will pay him. Mine was £700 a year. You have to have Public Liability Insurance which can cost another £300 a year. You should be entitled to small business rates which you can pay monthly. You will have to pay, Gas, Electric and will have a water meter. All commercial properties have meters, The Gas and Electric bills will be 5% above domestic for something called climate levy charge. You can only put in a new shop front if the Landlord agrees. Our sign cost us £500. You may be able to get second hand fittings. You will need to register as self employed 28 days before trading and set up DDs for NIS. you will need to find out about employment laws and taxation before employing staff, also Health & Safety and Fire Regs. As you can see it is very costly and you will have to sell an awful lot of stock to make any money.