Thinking of starting of opening a pre loved childrens clothes and equipment shop

[Eyama12]

Hi every one, so basically what it is, I see so many sellers on ebay,facebook and carboot that sells kids clothes, bedding, equipment that haven't even been washed or ironed, and I always think if they spent some time cleaning and ironing things they would get more money for items.

So im thinking of opening a used clothing/equipment shop for baby and children. I would first buy lots of stock from ebay, facebook etc to start my shop then once open advertise to sell people's items for 50% of the profit.
Also I would only stock branded clothes and equipment that are in a nearly new state. And the shop would be organised not like charity shops or jumble sales.

I have seen a shop for £400 a month, and I'm thinking shall I go for it?
Monthly out goings
£400 a month rent
£30 insurance
£100 gas/electric
£40 phone/Internet
= £570
There would only be me working there and I would hope to take minimum wage to begin with and then I would need to buy new stock each month.

I would need to take roughly £365 a week to cover my wage and bills which I'm sure I could do.

Just wondering people's thought, advice or if any one else is in this type of buisness?

Thanks

 

[Peanut Butter Man]

I have known lots of people selling used baby and kids wear on markets, all washed, ironed and bagged and they just didnt seem to take off. But people do buy them from Ebay

That was a long while back and maybe things have changed.

 

[businessfunding]

From a swift glance, I would say you haven't noted rates, marketing or tax

However to get a clear picture I recommend that you download a cashflow template and work with that - then test your assumption and do it again. And again

 

[pen2670]

The problem with second hand baby goods and clothing is that there are far more people selling than buying. So with a few noteable exceptions things tend to sell very cheaply or often not at all.

Not saying it wont work. We sell new and often get asked by both buyers and sellers about second hand goods, but ask yourself 2 questions:-
1. If you are getting your goods from ebay then reselling with a 50% margin why would people buy from you instead of buying from ebay themselves and saving a lot of money?
2. Why would people sell to you and receive 50% of what they potentially could receive selling direct?

Bearing in mind that with overheads of at least £1600 per month, with 50% gross profit you would have to take at least £3,200 a month to pay all bills and replenish stock. Not including marketing which I'd highly recommend spending on to get yourself known.
£400 a month rent
£30 insurance
£100 gas/electric
£40 phone/Internet
35hrs pw (min) x £6.19 x 4.33 = £938.09
£75? rates with small business discount
Marketing???
Card machine???
Carrier bags, reciepts, price labels and other sundries £25
Petrol to collect ebay purchases

Might work very well, but I'd suggest going ahead either if you can afford to give it a go and not take a wage until established or maybe test the market with a stall and get yourself known before upscaling to a shop.

 

[Billmccallum]

Second hand childrens clothes don't sell really well in shops, but prams and other equipment could do well.

you will have problems sourcing good quality branded stock, you might find a few good deals on ebay and such sites, but continuous supply will be an issue.

 

[pen2670]

Second hand childrens clothes don't sell really well in shops, but prams and other equipment could do well.

you will have problems sourcing good quality branded stock, you might find a few good deals on ebay and such sites, but continuous supply will be an issue.

As far as prams go I'd say research, research, research. Most devalue very quickly the obvious exception that I can think of being iCandy, especially the Peach has a high demand and pretty good resale value even with scratched chassis (unavoidable due to chrome finish). Some good bargains to be had though with some stockists clearing ex-display. Do be wary of stolen prams though and a good relationship with a stockist who can fix common problems could be invaluable. You may also be able to team up on new car seats as many customers would want a full travel system although margins are small on these.

For other brands be aware of grey imports and out and out fakes although these will more likely be listed as new. With all brands knowledge of the different models and what's been discontinued will be invaluable.

Sales prices will also be restricted by some of the slashed prices out there. One large chain are selling one of the brands we sell for much less than we can buy it for, plus points, so second hand values will also reduce.

Also think very carefully about what kind of warranty you would offer.

I have heard of a charity shop that specialises in Nursery Furniture and does very well, doesnt do wheels though and will of course have much lower overheads. Again, new mattresses would compliment.

 

[Vectis]

NCT sales seem to do well. People queue at the door to get in. So, it could work but I think sourcing good quality goods will be the problem. And the overheads. NCT sales are what, once a month or something, in a hall, so very little overheads. Wouldn't you be competing against the likes of those?

 

[Holidayqueen]

Hi Eyama 12,

Did you go ahead and open a pre loved shop and if so how did you get on?

Thanks

 

[sskimins]

Hi every one, so basically what it is, I see so many sellers on ebay,facebook and carboot that sells kids clothes, bedding, equipment that haven't even been washed or ironed, and I always think if they spent some time cleaning and ironing things they would get more money for items.

So im thinking of opening a used clothing/equipment shop for baby and children. I would first buy lots of stock from ebay, facebook etc to start my shop then once open advertise to sell people's items for 50% of the profit.
Also I would only stock branded clothes and equipment that are in a nearly new state. And the shop would be organised not like charity shops or jumble sales.

I have seen a shop for £400 a month, and I'm thinking shall I go for it?
Monthly out goings
£400 a month rent
£30 insurance
£100 gas/electric
£40 phone/Internet
= £570
There would only be me working there and I would hope to take minimum wage to begin with and then I would need to buy new stock each month.

I would need to take roughly £365 a week to cover my wage and bills which I'm sure I could do.

Just wondering people's thought, advice or if any one else is in this type of buisness?

Thanks

You don't have to buy a lots of children's clothes from eBay or Amazon, as these still have eBay final and Shipping costs are included in an item. You can directly buy from wholesaler or distributor, as they purchase directly from maunfacturers. You can really reduce your cost.
https://echolivin.com
http://stores.ebay.co.uk/Echo-Living

 

[WillLoxley]

Out of interested, I noticed that people are decrying the idea on the basis that there aren't enough buyers. I can imagine this being true for mass produced clothes which are already fairly cheap in stores, but surely there'd be a market for higher priced items - branded kids' clothes?

 

[Louisa24]

Hi

I think you're right and could do a similar thing that used dress shop people do - they bring the clothes to you and you give them a percentage of what the garment sold for. Buying heaps off eBay - it's your money. Try using the OPM principle - minimise the risk to you. How about just having it run on a Saturday in an area of a local shop. Pop up kinda shop just to see what peoples response are. People are always happy to give their opinion! Take most of it with a pinch of salt. If something in your gut is telling you to give it a go then jump right in. As long as you can enjoy it. Don't give up the day job until it's ticking over. You will be relying on local people for your trade so get out there. Sit in cafés and have conversations with random people telling them what you want to do for the area. Don't work from the basis of what it will do for you - but turn it around. Think of how much money you will be saving people so their children can look nice - give people what they want and you get what you want! Good luck

 

[Naail & Co]

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[14Steve14]

Personally I think that clothes could sell, but at very low profits. What may sell even more is the other things babies need. Toys, high chairs, bouncers, mats and a whole lot more of stuff that eventually parents want to get rid of, and have hardly any use as babies have grown. This sort of stuff takes up lots of room in peoples attics and in many cases they get thrown away or given to charity shops. Just walk around a car boot sale any day and see the quantity of baby products that are often left unsold on peoples tables. Make them a silly offer to take it all away.