Starting a tennis shop offers an excellent chance for stable income since most enthusiasts have a disposable income.
That said, a tennis shop requires capital just like any other business. It can be expensive to start as tennis equipment can be costly, forcing you to solicit financing. A business loan calculator makes it easier to determine the cost of the loan.
Here are the other factors to consider before starting a tennis shop.
Tips to Consider Before Start
(a) Business Plan
Creating an effective business plan for a start-up is no easy feat. It should contain your budget, business strategy, financial planning, marketing analysis, and products and services.
(b) Licenses and Permit
Permits and licenses differ depending on the location of the company. You would need to register for taxes and acquire a sports DBA permit and a sports store seller’s permit at the very least.
(c) Location
The location of the shop is crucial to the success of your business. For maximum returns, open the store on a site dripping with customers wading through a pool of disposable income.
(d) Financing
As mentioned earlier, you would need some funding to start a tennis shop as it’s one of the most expensive sports. Financing through loans can be a good idea, especially if you have a bulletproof business plan. A business loan calculator should help figure out the monthly repayments.
Financial Options to Start Your Tennis Shop
Bootstrapping: the easiest and most cost-effective way to fund a business is using your savings. Self-financing grants you more control over the company than other options. You don’t have to issue equity in exchange for financing.
Investors: these are angel investors or venture capitalists, wealthy individuals or companies who are experts in their fields. They contribute to the organization where they sink their money and in return, they usually demand a place in the business’ management table.
Bank Loans: they tend to be the go-to financial option for businesses with healthy credit histories. Consider shopping around for a bank that meets specific needs for your business. Calculate the interest rates using a business loan calculator.
Family and Friends: obtaining money from family and friends is advantageous since they can lend you cash at low or no interest and offer a more extended and flexible repayment period.
Crowdfunding: It involves raising funds online from a crowdfunding platform. Pitch your business idea to the group and if they like it, they will contribute in the form of exchange or loan for a stake in the business. It is more suitable for a company with tremendous growth potential.
Tools That Can Help You in the Beginning
1. PayPal
The online payment software supports secure sending and receiving money, bank account linking, partial payments, and debit and credit card payments.
2. Amazon
The Amazon marketplace acts as a dropshipping company. Advertise your wares on the platform, and gain access to the millions of customers who visit the site. You don’t even have to have the goods physically in your store.
3. Shopify
Shopify offers an e-commerce store where you can park an online store. They will handle all website maintenance and software updates. Shopify even has a Shopify POS, so your physical stores can run seamlessly with the online store, ensuring real-time stock availability information.
4. Quickbooks
Use Quickbooks to manage invoices, track cash flow, and pay bills. The software allows you to produce financial statements and reports, making it easier to calculate taxes.
5. Zoho Projects
The low-cost Zoho Projects tool is perfect for start-ups because of its comprehensive project management capabilities. It helps keep close tabs on time and project tracking, conduct light billing and invoicing, and generate resource management reports.
Bottom-line
Starting a tennis shop can create a stable income for an entrepreneur. The main factors to consider when starting one are the location, financing, and legal requirements.
However, opening a tennis store can be a costly affair, requiring you to acquire a loan. Follow the link in the introduction segment for a business loan calculator to figure out how much the repayments will be.
