What are the things to keep in mind before opening a hardware store?
In the present era where unemployment is high and due to high workload and mutual competition in private institutions, everyone wants to open their own business to avoid all this.
If you are also thinking of opening your own business, then opening a Hardware Store can prove to be a good option for you.
To open a hardware store, you have to follow several steps, you need to know about all these steps in detail so that you can open your hardware store in a planned and proper way without any hindrance and operate it better. Can
Important information related to opening Hardware Store
Select location for store
The choice of location is one of the most important tasks in any retail business, keep the following things in mind while choosing the location:
- You have to choose a place where the population is high
- There is movement of people in the nearby market.
- Also, no hardware store is already present in the surrounding area.
- There should be good arrangement of parking
- The shop has enough space for customers to stand
- Small loading vehicles should be easily available to supply the goods.
- The road should be wide enough for heavy loading vehicles to reach the shop
- safe place to choose
By choosing the location keeping all these points in mind, a good image of your business will be established and more and more people will be encouraged to buy.
How big should the Hardware Store be?
All kinds of goods are kept in the Hardware Store, in which some goods occupy less space and some more, in such a situation, you should choose the size of the shop in such a way that all the hardware related salable items can be easily kept in the shop in an organized manner and The shop should also have enough space for customers to stand,
How to build a store
After selecting the location and size of the shop, you will need storage racks and furniture to keep the stock, for this you will need different types and sizes of goods to keep small, large, light, heavy and delicate goods. According to the rack, cabinet, drawer, counter and some big items which will also require some open space for keeping pipes, bars etc. Can be kept systematically and there should be enough space for customers to stand in the shop.
Selection of name of hardware store
After the process of building the store, the next main task is the selection of the name of the store, if you are selling hardware items, then you should keep the name of the store related to it, so that the customers will understand from the name of your store that This is Hardware Store.
Hardware Store Signboard
After the name is decided, you will have to make a nice attractive board on which necessary information related to your shop will have to be written like:
- Store name in capital letters
- phone number
- shop opening and closing hours
- GST number
Necessary paperwork related to opening Hardware Store
Obtain necessary permits and licenses
In whatever state you are opening your hardware store, according to the rules of the concerned district, before opening your shop, you will have to obtain a license from the local municipality or gram panchayat, and along with this, the shop will have to be registered under the Indian Business Establishment Act and if If you have difficulty in doing this process, then you can take the help of a consultant.
You can register your Hardware Store businessProprietorship|Sole Proprietorship) Or (partnership , partnership firm) can be done as
Current Account | Opening Current Account
For your business transaction you will need a bank account which should be opened in the name of your business, with the help of this you will conduct all type of business transaction because savings account is used for any business transaction. Can’t be done and with the help of this you can get loan from bank at minimum rates if required in future which will be helpful for efficient operation of your business.
Registration for GSTIN
Legally you need to start your shop Goods and Service Tax Identification Number (GSTIN) related registration will also have to be done, it is necessary for every shop and you must get the GST number by getting it done compulsorily and if you find any difficulty in doing this process, then you can also take the help of a chartered accountant. And understanding the legal importance of this process, it is very important to get this work done properly because through this you can get Tax Rebate by filing tax of your business in future.
Make sure to get store insurance
While opening a Hardware Store, you must get your shop insured, so that you can cover accidental and unwanted damage to your shop and the goods kept in it through insurance, which includes the risk of arson, theft etc.
There are many insurance companies in the market that provide business related insurance, contact at least 4-5 insurance companies out of these and compare with each other to get insurance from the company providing insurance with more claims and less premium
How to prepare a business plan related to operating Hardware Store
Before starting the Hardware Store, you have to prepare a business plan related to operating this shop, in which you should take care of the following points
- Hardware Accessories Information
- Where to buy merchandise
- management and operation related process
- staff recruitment
- Investment related to opening hardware store
- How much profit can be earned on the basis of investment
It is very important to get the above information which you can collect from any other known hardware dealer or with the help of an experienced expert or business consultant.
where to buy hardware
Different companies have to maintain different types of goods and different varieties of stock in Hardware Store and to buy these goods you can buy directly by contacting wholesale traders, small and new companies can also be directly contacted. Is. Through indiamart.com, you can contact Wholesaler and other wholesalers related to Hardware Store.
What are the things to keep in mind before ordering from a wholesaler?
- Establish contact with at least four to five wholesalers
- Analyze the price list provided by all
- Get warranty related information in case of any product issues
- Understand the credit policy and payment terms of the companies thoroughly
- Please confirm the delivery time after placing the order
- Check the quality of the goods being offered by the wholesaler
- In case of unsold goods, understand the company’s return policy in advance
- you any one wholesaler Maintain contact with other vendors not dependent on
hardware store materials list | Hardware Store Material List
Various types of goods come under Hardware Store such as:
Carpenter’s Tools, Plumber’s Tools, Sanitary Supplies, Painting Supplies, Gardening Tools, Home Construction Tools, Hand & Power Tools, Chain, Rope, Wire, Pipe, Track, Nut-Bolt, Karni , ladle, tagari, geti, shovel, chisel, hammer, plyboard, rips, nails, biranji etc. are included.
These tools are used by many types of artisans like carpenter, mason, plumber, gardener, painter etc.
If hardware items are being sold by you, then you should sell only those items which are used more and which are also in high demand, this will give you more profit and less risk, but later you will slowly May gradually add other hardware related stock as well.
Selection of people for operation and management
The operation and management of Hardware Store is very difficult because the goods sold in the shop are very heavy and the maintenance of these goods is also a difficult task, so you have to hire such employees who can maintain and maintain these goods well. Can do and also those employees should have good knowledge of hardware related stuff.
Hiring experienced employees will be very important for the growth of your business.
accounting and stock maintenance
To keep any business running smoothly, the account book of that business should be maintained properly, so that you are aware of all types of expenses, income, borrowings, liabilities etc. in the business, thus you are in business. Will be able to calculate profit and loss easily.
There are hundreds of products from small to big in Hardware Store, for which it is necessary to keep stock maintenance because it is very important for you to know which products are selling less and which ones are selling more, in this way you can remove the low selling products. Try to sell and you can maintain the stock and quality of the more selling products.
That’s why you should keep counting your stock from time to time.With this, you can also find out any disturbance in the stock.
How much investment is required to open Hardware Store?
If you open a small or medium sized shop at the beginning of the hardware business, then at least 2 lakhs and if you want to open a shop on a slightly larger scale, then your budget can be at least 4 to 5 lakhs (In this Shop rent or price is not included,
यहां हम ब्रांडेड, इम्पोर्टेड और लग्जरी प्रोडक्ट्स वाले शोरूम की बात नहीं कर रहे हैं
Apart from this, include other operational and management related expenses like shop rent, electricity bill, payment of employees, Hammali, loading freight etc.
Apart from this, you can get information about the Running Cost related to this business with the help of an employee or a consultant of the same hardware store operated earlier.
How much profit can you earn from Hardware Store?
Different Profit Margin is given on the sale of different products of each company related to hardware. This Profit Margin can be less on any product and more on any other. This margin is your Gross Income. You can calculate net profit by separating all business expenses from Gross Income.
That’s why you should make every possible effort to increase your income, such as promotion through contact with people, online sales, advertising etc. All these important efforts can prove beneficial in business like:
Various types of products are sold in Hardware Store. These products are mostly used by Carpenter Painter, Plumber and Mistryo, so if you want to increase sales then contact all these types of artisans living in the area around your shop. Install and add these people to you in exchange for some percentage commission for selling goods from your shop.
In today’s era, due to increasing trend of online shopping, most of the people are liking it, even if we leave some heavy items, various other small products can be sold online.
In such a situation, if you sell your product online, then you can make your customers across the country and earn well.
promotion through advertising
To reach the customers, you have to promote your shop and different products, so you can promote your shop through advertisement. At present, many mediums of advertisement are available such as:
- Pamphlets, Posters, Banners
- Radio, TV, Newspaper
- The most important can be digital medium and social media etc.
Other important tips and information
- your businessKeep a systematic account of all types of transactions and Income and Expenditure, and keep paying whatever liabilities you have on time, keep accounts related records so that you can know about the profit, loss, expenses etc. in the business. If you can keep it, it will be very easy for you while filling Income Tax and GST Return.
- You should make a list of all the products to be kept in the Hardware Store and manage it through the computer, so that you have complete information about the stock you keep here and it is easy for you to plan for the next order.
- You should carefully select all the hardware items to be kept in the shop, try to sell more of the products of the company whose products have more margin, along with this keep more used products (Running Items) more in sales than this. There will be no problem.
- MRP is not written on most of the hardware items, that’s why you can decide the price of these items according to the wholesale price and other expenses like transportation etc.
You can sell different types of goods through Hardware Store, there is less possibility of loss and in a developing country like India, there is immense potential in the coming future of this business. In our opinion, you can start this business without any hindrance. Are.
What is the percentage of GST on Hardware Products?
Hardware products attract 18% GST