In communities large and small, dollar stores are becoming the new shopping center for clothing, housewares, and even groceries. Today’s stores offer remarkable value, and consumers who would otherwise have cut back on spending keep coming back to dollar stores again. If you are looking for a good investment, opening a store may be the right option for you. Instead of going it alone, research dollar store franchise information for the easiest way to own and operate a store.
What is a franchise?
Simply put, a franchise is an opportunity to leverage an established brand and marketing plan to quickly launch your business. When you sign a franchise agreement, you agree to follow certain brand requirements, such as the use of specific signage, stocking certain items, and adhering to marketing promotions created by the parent company. In exchange for a franchise agreement and a fee, you have access to the marketing power and support of multi-million dollar companies.
Some of the dollar stores currently available for franchise include:
dollar tree
family dollar
dollar castle
Your dollar store with more
How to open a dollar store
To be successful in any business, you must be prepared. That means having a well-constructed business plan and adequate financing. If you’ve never written a business plan, you may want to seek expert advice. The Small Business Administration (SBA) offers free consulting services to entrepreneurs as does the Senior Corps of Retired Executives (SCORE). To find these and related services in your area, contact your local Chamber of Commerce.
Once you have your business plan, you will need to obtain financing. While you’ll have to check each brand’s dollar store franchise information for the exact amount, most stores require at least $50,000 in cash to get started. If that seems like an overwhelming amount of money, remember that a well-written business plan can be your ticket to a low-interest loan that can cover most costs.
In addition to approaching banks for funds, also check with the SBA. The government operates several low-interest loan programs that are geared towards start-up businesses, particularly those operated by minorities and women. A word of caution, though: Be wary of any organization that wants you to pay for information on free government grants for businesses. These subsidies do not exist. The only government programs for small businesses are loans and tax credits.
Once you’ve found the information, it’s important to let the company know you’re interested in opening a store in your area. Some companies limit how close stores can be located or have other franchise restrictions. If your area is available for a franchise, you will likely be assigned an account manager who will guide you through the process of setting up your store, purchasing inventory, and successfully launching, providing you with valuable dollar store franchise information.
One last word of caution before signing the franchise agreement is to have any attorney review the agreement. Every company writes their franchise agreements differently, and you want to fully understand all the provisions of the contract before signing on the dotted line.
