need advise, 2nd shop (again)

[OCWI]

thx

Im very grateful of the feedback here, I thank you all for your time. After discussing with my staff we are going to invest what we have now to bump this first store up to par - then save up for the next 3 or 4 months and re explore the topic. Again thank you all for your feedback.

Im still wondering the 2nd part of my O.P....ne one?

 

[Maniaman]

Definitely get the first shop up to par before you consider opening a second shop, and I would still think twice about opening a second shop that close.

The second question is hard to answer, because it will vary wildly depending on where you live, costs of living, etc.

 

[OCWI]

i see i see, well if it helps we live in a very small town cost of living is minimal compared to the majority of the nation. I mean im not looking for exact doller amounts just kind of a ball park.

 

[OCWI]

also, new deal multimedia i really like your website

 

[SilverLeaf]

...........snip............

My second question is despite all the research (here and elsewhere) I have done I cannot find for the life of me if my business is doing well financially or not. I know most of you are uncomfortable sharing numbers, and I don't blame you - but even some ball park numbers like what is considered good for a month - after cost of goods and payroll.

Basically, it's somewhat irrelevant. Any income after expenses, including payroll, is either going to go to the owner or into owner's/shareholder's equity (depending on how your business is structured). Take out what you need to cover living expenses, personal liabilities, savings and retirement and such, if possible, and invest the rest in growing and protecting your business (emergency savings, advertising, equipment, new staff, whatever). Things get rough if you have to choose between the two (tough choice sometimes), and down right bad if you can't do either. If you can do both and live in reasonable comfort, then I say you're doing OK.

 

[OCWI]

Basically, it's somewhat irrelevant. Any income after expenses, including payroll, is either going to go to the owner or into owner's/shareholder's equity (depending on how your business is structured). Take out what you need to cover living expenses, personal liabilities, savings and retirement and such, if possible, and invest the rest in growing and protecting your business (emergency savings, advertising, equipment, new staff, whatever). Things get rough if you have to choose between the two (tough choice sometimes), and down right bad if you can't do either. If you can do both and live in reasonable comfort, then I say you're doing OK.

Thats a good perspective, i havnt looked at it like that. Thx

 

[SprinterTech-WI]

Hey OCWI -- I currently own 2 shops in Stevens Point, and Wausau, Rapids is getting added, feel free to pm me or email me if you want to discuss anything, I def. pulled the trigger on my 2nd store without the full funding in the bank, almost killed me 6months in ($1800/month lease (5years)plus 2 employees etc..)... on the pull up now, got a biz ops manager, getting caught up from a rough summer.... but it's been a bit of a battle.

I would say hold off like you said, and then go for it.... also keep in mind it takes 6 - 9 months in my experience to get a new location off the ground, so you have to be prepared to carry it based on the primary store for that time period.

Good luck man! and maybe we could grab lunch or something sometime... always up for sharing ideas and talking shop!

chris@sprintertech.us

 

[frederick]

Remaining profit at end of month I'd split in two. The business keeps it as working funds, the other portion goes into savings. Once the savings is at a 1 year comforrable surbival amount, then we will have to figure out something else to do with it.

Asking if you are financially good is hard to answer. But this is what we do with our profits.

 

[codegreen]

Im very grateful of the feedback here, I thank you all for your time. After discussing with my staff we are going to invest what we have now to bump this first store up to par - then save up for the next 3 or 4 months and re explore the topic. Again thank you all for your feedback.

Good for you. I know the idea of expanding the business "empire" is always tempting, but I really admire how you actively sought some outside perspective and changed your mind based on a realistic assessment of your current situation. Good luck, and keep us updated!

 

[OCWI]

Good for you. I know the idea of expanding the business "empire" is always tempting, but I really admire how you actively sought some outside perspective and changed your mind based on a realistic assessment of your current situation. Good luck, and keep us updated!

Thanks! Ya its definitly tempting Im young in business though and its always good to seek as much advise as possible - again im greatful for all of your feedback. Im still stuck on the idea of a 2nd shop, its just now is not the time, hopefully in a few months

I owe all of you a beer!