Opening a dive shop

[Primdrumma]

I hope this is in the right forum.

I was just wondering what are the realistic costs of opening a dive shop from scratch. I have an idea for a great location, but will not tell in case someone decides to beat me to it. I know online shops are giving the lds a run for the money, but you still have to have a structure to get proper training. This project would be a few years into the future, I would like to adjust myself that I would be in a position to do such a thing when the time is right. As you don't know the location obviously you can't guess property value, but all things being equal. Also what all is involved. I know you would have to line up manufacturers and some sort of certifying agency. Then you have costs like a compressor and all the computers needed to run the sales.

Anybody wanna take a bite at this one?
Thanks
Tim

 

[HowardE]

Hello... I do not own a dive shop, but I own 3 retail stores, and I will share with you the valuable information that I share with people who ask me all the time, "where do you get those" or "how can I get started?"

Do research, ON YOUR OWN.... Don't expect someone to give away their trade secrets, like good deals on merchandise, or equipment. We spend a lot of our money and time doing work and finding this info out on our own, and you think we're just going to tell you?

I don't want to sound harsh, or anything, but I really say that to people who ask for info... So... If nobody who owns a dive shop is willing to share their information with you, don't be too surprised.

Good luck... owning your own business is very rewarding, and I've enjoyed my 10 years so far as retailer.

 

[wedivebc]

I hope this is in the right forum.

I was just wondering what are the realistic costs of opening a dive shop from scratch. I have an idea for a great location, but will not tell in case someone decides to beat me to it. I know online shops are giving the lds a run for the money, but you still have to have a structure to get proper training. This project would be a few years into the future, I would like to adjust myself that I would be in a position to do such a thing when the time is right. As you don't know the location obviously you can't guess property value, but all things being equal. Also what all is involved. I know you would have to line up manufacturers and some sort of certifying agency. Then you have costs like a compressor and all the computers needed to run the sales.

Anybody wanna take a bite at this one?
Thanks
Tim

Been there done that, can't afford the t-shirt
Expect to spend 100k up front to get rental gear, inventory, shop equipment, tools, insurance, agency registration, and if you don't like working 16hr days 7 days a week, be prepared to payroll and employee for a year or 2 for little or no income.
of course YMMV but I promise no-one gets rich in this business

 

[Ber Rabbit]

Mendelson's Liquidation Outlet is a place in Dayton Ohio where you can get shop fixtures, etc. You name it you can pretty much find it there and the merchandise changes frequently. Some seems over-priced but you can get some good deals too. Saw some great clothing store racks in there the other day that would be perfect for a wetsuit or BCD display.
This place has to be seen to be believed, you can spend hours rooting through stuff.

This link goes to their online store.

You might wander in there to get some ideas about store fixtures and display cases, etc.
Ber :lilbunny:

 

[Primdrumma]

Howard,
Thanks for the opinion, I understand that people aren't going to hold my hand if I try to start a business. I am just looking at an overall image to see what I should expect, a million dollars, half a million, etc. I honestly wouldn't be doing it to make a lot of money. I enjoy diving and if it's something I could live off of great! As far as doing research on my own this is part of it, I know there are several dive shop owners out there that may be willing to give me some advice. I'm glad to see you enjoy owning your own businesses!

 

[HowardE]

Howard,
Thanks for the opinion, I understand that people aren't going to hold my hand if I try to start a business. I am just looking at an overall image to see what I should expect, a million dollars, half a million, etc. I honestly wouldn't be doing it to make a lot of money. I enjoy diving and if it's something I could live off of great! As far as doing research on my own this is part of it, I know there are several dive shop owners out there that may be willing to give me some advice. I'm glad to see you enjoy owning your own businesses!

From what I know from dive shop owners, is... you can forget about diving once you own a dive shop.

If you write a good business plan, money can be borrowed. I would expect you'd probably have an initial outlay of 200-300k.

 

[RonFrank]

From what I know from dive shop owners, is... you can forget about diving once you own a dive shop.

If you write a good business plan, money can be borrowed. I would expect you'd probably have an initial outlay of 200-300k.

Boy Howard,

You almost sound *Grumpy* today

I just had a lovely chat with the owner of A1. After telling me about his trip to the Baja, and Coz, he then was wondering if I was interested in hitting Fuji with them this year... He's going...

So, yes, dive shop owners DO get to dive even if I agree that owning a business can be VERY time consuming.

 

[RonFrank]

I would suggest that if you need to ask this question here with such broad statements and a complete lack of information, then I would agree with Howard, you SERIOUSLY need to do some homework.

With the info provided I can defiantely give you some GREAT ideas:

Lease - No clue - Depends upon the location
Taxes - No clue - Depends upon the location
Building Upgrades - No Clue Depends upon what is needed, and how large.
Compressor - No clue - Depends upon what you want

See a pattern here? :11doh:

 

[Talon]

I think we have ALL had this dream before. I'm always wondering who they heck LDS's stay in business. Even if you sell an average of $1000 a day in merchandise/service - that is probably only 500-600 profit. Unless you are an established shop (past the initial debt payments), that has to be a HARD profit margin to make ends meet on.

 

[SteveAD]

as a current dive shop owner I can say that I do this only because I love it. I work 6 days a week (shop is closed one midweek day) fequenly worry about getting my bills paid, and don't dive nearly as often as I used to. but I love my job. getting new divers into the sport, sending folks off on vacation, seeing their photos when they return. minimum start up costs will run 100k to 500k depending largely on compressor type and inventory levels you plan on maintaining. remember, the main advantage the lds has over online is immediate gratification. if you don't have it in the store, you can't sell it. "I can order it and have it for you next week" is rarely good enough.

good luck, but make sure you're doing it for the right reasons. it ain't easy and you won't get rich, but I love what I do