[markcrum]

Mulling possibility of opening a homebrew supply shop -- we're barely legal here in Mississippi -- wonder if anyone out there has insight into startup costs and inventory?

[tschmidlin]

I have no idea of the costs if you want to go full store front right away, but the guys I know who have started recently have started out of their garage or office and then opened storefronts when demand was enough.  Just a thought for a cheap way to get started.

[ynotbrusum]

Tom has good practical advice, but check with an attorney - with the legal limitations there, you should be advised on the law from zoning limitations (operating out of your home or garage) to what products have restrictions (prohibited sales to minors, for example) to any licensing requirements your state may have.

As Tom mentioned, from a business perspective, start on the smaller side and let demand dictate growth and offerings - many of the products have a short shelf life and you don't want to be known as the guy with the older, nearly expired yeast.  One shop near me sells the yeast on a sliding scale based on freshness...just one example for a smaller operator.

Good luck!

[bonjour]

This thread belongs in the Going Pro section
Please continue the discussion there.

1.   The “Going Pro” Board is dedicated to discussion related to starting a new commercial brewery and/or becoming a professional brewer.
2.   The “Going Pro”  Board is not intended for discussion of existing brewery operations, such topics are more appropriate for the Brewers Association Forum http://www.brewersassociation.org.
3.   Any discussion of pricing of supplies, product, etc. on the “Going Pro” Board are strictly banned to avoid infraction of anti-competitive laws. Posts violating this ban will be removed immediately.
4.   Solicitation of funds is NOT allowed.  Asking how to get funds is acceptable.
5.   All rules applying to the general AHA Forum also apply to the "Going Pro" Board.

[hopfenundmalz]

Contact the AHA, they have some background they can give you.

[Jimmy K]

This thread belongs in the Going Pro section
Please continue the discussion there.

1.   The “Going Pro” Board is dedicated to discussion related to starting a new commercial brewery and/or becoming a professional brewer.
2.   The “Going Pro”  Board is not intended for discussion of existing brewery operations, such topics are more appropriate for the Brewers Association Forum http://www.brewersassociation.org.
3.   Any discussion of pricing of supplies, product, etc. on the “Going Pro” Board are strictly banned to avoid infraction of anti-competitive laws. Posts violating this ban will be removed immediately.
4.   Solicitation of funds is NOT allowed.  Asking how to get funds is acceptable.
5.   All rules applying to the general AHA Forum also apply to the "Going Pro" Board.

It doesn't really seem to fit with #1.

[bonjour]

The point is Pro.
We have legalities that apply that do not apply to homebrewers.  Since starting a business was discussed so I assumed Going Pro.

[tomsawyer]

A guy in the next town over just started one in his wife's curio shop last fall.  He basically set up an account with LD Carlson and started ordering stuff monthly.  Once I met him I tried to steer him to stuff I thought would sell.  He's steadily expanding his line and says his sales are decent even though he's finding out that the markup isn't as good as he's gotten on some of his other business endeavors.  He has also set up a deal for a pallet order that lets our club members order stuff on sale when he's placing an order.  He does this because he pays a flat rate for a pallet so he can order more often and what he does make helps defray shipping costs.  I think he sells a lot of equipment kits, carboys and bottles.  He isn't moving many wine kits, some beer kits, and he is now stocking malt and I don't know how fast that is moving but I buy 10lb every time I make it up there even if I don't really need it.  I really hope he makes a go of it because its a valuable resource for a homebrewer to have in a community.

[gsandel]

For some reason this ended up in the wrong thread!

I am a land development guy that specializes in zoning and land entitlements, the biggest thing about operating out of your home (or garage) is to understand what is allowed in the zone district (zoning) for  your property.  Also understand the details in your local municipality about the rules and criteria of permissible home occupations.

Lastly is understanding building codes.  Your garage may technically not be suited for a M (mercantile) occupancy associated with a storefront with customers, but may be suitable for warehouse (ie internet, phone, or delivery sales).  Understanding and defining your use within the confines of the applicable code is the key.

[rjharper]

I started an online store out my house last fall. I'm going the slow but steady route, gradually releasing kits. I based my initial inventory around ingredients I use, one because I know them, and two if they don't sell, I know I can use them. Most of my sales are local to friends and coworkers, and I have a system of "grain growlers" (ie plastic buckets) that get swapped out full for empty etc...  It's over an hours drive to the nearest brick n mortar LHBS. In time, who knows where it goes, bit for now it's fun, and makes me a few extra $$ on the side.

[micsager]

We used to have to drive over an hour to the LHBS.  About a year ago a guy opened a small store in town, and it has been growing ever since.  (along with our club)

He focused on ingridients first, and has slowly increased his equipment inventory.  He also is about to quit his "job" and focus on the brew store full time.  There was much demand here, and he's taking advantage of that.  I would assume you will have the same issue in MS. 

[Phenders]

I started an online store out my house last fall. I'm going the slow but steady route, gradually releasing kits. I based my initial inventory around ingredients I use, one because I know them, and two if they don't sell, I know I can use them. Most of my sales are local to friends and coworkers, and I have a system of "grain growlers" (ie plastic buckets) that get swapped out full for empty etc...  It's over an hours drive to the nearest brick n mortar LHBS. In time, who knows where it goes, bit for now it's fun, and makes me a few extra $$ on the side.

I realize this is a very old thread but I’m curious about how you started your online store. I would like to do the same and was just looking for advice.