Running a wholesale business can make you a substantial amount of profit compared to running a retail store. This is because you are not making sales a dollar at a time, instead you are supplying inventory to retailers who typically need orders that costs thousands. If you’re considering opening a wholesale business, keep the following in mind:
- You don’t need a lot of capital to start a wholesale business.
- You can stock inventory or drop ship it directly to the customers. Drop shipping is when you send the inventory from the vendor to the customer. You avoid paying overhead fees for storing merchandise.
- Understanding consumer trends is an important aspect of running a wholesale business.
Once you have decided to open a wholesale business, there are a few things you need to get in order. Be sure to set up the following before opening your business:
- Find manufacturers. Vendors can largely be found online.
- Find retailers through ads and direct contact. Participate in social media and consider contacting E-Bay or other online stores.
- Figure out payment terms. Take a look at the competition’s payment terms and see if you can provide stock for less.
If you need help launching your wholesale business contact the Winflow Financial Group today. We can assist you in financing, investment