Starting any business can be daunting, let alone in an industry that’s as comprehensive as liquidation. Between reducing costs, keeping an eye on overhead, and propping up warehouse locations, it can seem like an unending stream of tasks.
If you’re ready to purchase that first pallet of merchandise and need a bit of additional direction, there are a few things you should keep in mind before you start selling.
Your relationships matter
It all starts with your wholesalers. If you don’t trust your wholesaler, you’re in for a rough time. When starting a liquidation supply store, you need to source products that cater to all of your buyers. Sometimes, these will be customer returns from name-brand retailers. Other times, it will be overstock merchandise from top sellers across the globe. Direct Liquidation is one of the eminent liquidation wholesalers because they are more than just a supply store. Via online auctions, you can purchase pallets of big-box goods for a fraction of the price.
Direct Liquidation is a great partner, especially if you’re new to the industry and it’s your first order of pallet merchandise. Their team is friendly and has worked with both veterans and industry initiates. Plus, with Direct Liquidation’s relationships with some of the biggest retailers on the planet, you’re sure to find the right merchandise for your shop.
Prepare your storefront
Once you’ve set up your supply store network, you need to determine how you’re going to sell the goods you purchase. Are you going to be online only? Do you instead want to consider a small brick-and-mortar outfit? No matter your decision, it’s always a good idea to have a robust business plan in place before you get started.
Start by asking yourself some incredibly important questions. How will you cover your startup costs? What will your monthly overhead look like? How are you going to handle payroll and other financial questions? If you’re struggling to answer any of these, you may need to go back to the planning phase for a bit.
Set up customer service
Your customer service department is going to be a major factor in your business. In fact, customer service is the backbone of almost every industry these days. Without a robust customer service department, you could find yourself drowning in excess orders, customer inquiries, and phone calls.
Initially, your customer service department might not be all that large. However, if you find that you have an eye for products that really resonate with your customers, you may quickly notice that you’re a little overwhelmed. Sometimes, it’s in your best interest to consider outsourcing some of your basic customer service needs, such as answering general questions and resolving customer tickets.
Get ready to sell
If you’ve checked off all the boxes and think your liquidation supply store is ready to take its first order, you need to do one last thing: Double check everything. It’s better to spot a problem that delays your opening than to start a problem that clips your wings right as you start to soar.
Of course, problems happen in every business, even ones you can’t foresee. As long as you have a plan for dealing with these issues as they crop up, you should have no problem opening your storefront. Don’t be afraid to take things a little more slowly to start. It’s okay to tell a customer “no” instead of making a promise you can’t keep. At least that way you’re staying honest.
As for some of the veteran tips, you’ll naturally pick them up as you begin networking with other industry professionals. So whether you’re partnering with Direct Liquidation LLP to secure merchandise or setting up a quality customer service team, there are plenty of tips to help you get started with your brand new liquidation business.