Introduction

Gift shops are lifesavers and anyone who has

ever shopped for a last minute present under an
enormous time crunch knows that a well stocked
gift shop is a Godsend. Small business
entrepreneurs like the idea of starting a gift shop
simply because the inventory is uncomplicated,
the services are limited, and the shop can yield a
good profit margin that lends itself to expanding
in the future, adding personnel, and even opening
secondary and tertiary locations. Starting a gift
shop does not have to be hard if you follow a few
crucial steps.
Weddings, showers, birthdays, christenings and
graduations, oh my! Each occasion offers an
excuse to shop for the perfect present. These
days, anything goes when time come to pick a gift. Guys are getting aprons. Women are
unwrapping tool sets. Everyone is looking for something unique. Just ask those who own and
operate gift stores. These snug boutiques stock the kinds of gifts that run the gamut from
amusing to breathtakingly beautiful. Often, they are the first places shoppers think about when
they seek one-of-a-kind merchandise for special occasions. To make certain your gift shop starts
out on the right foot, find ways to
make your store stand out from the
rest. Do a good job of covering all
bases and you'll stay afloat for a
long time to come.

Instructions

Things You'll Need:

  Market research results
 Funding
 Store location
 Business plan
 Business licenses and articles of incorporation
 Merchandise
 Internet access
 Marketing plan
 Appointing Employees

Market research results

Visit as many gift stores in your area as you can to ascertain how they are designed and
merchandised. Observe and estimate each facility's square footage to determine the shop's
capacity for product and people. Make notes of signage, floor and tabletop displays as well as
point of sale marketing materials.

There are several things to consider when starting a gift

shop. First, you need to develop a concept. Do you want
to go with the traditional and run a gift shop selling
traditional items like candles and display figurines?
Alternatively, do you prefer a gift shop that is more
theme specific? What do you want your gift shop to
specialize in? What do you want your gift shop to be
known for? Focus on a theme that you are fond of. If you
are partial to novelty items then make novelty items the
specialty of your store. If you are into vintage toys, then
vintage toys it is, et cetera.

Finance
Draft a budget. Estimate your monthly expenses for rent or mortgage, utilities, taxes, insurance,
equipment, supplies, provisions, staff, advertising, maintenance and other necessities. Double
that figure. It is always better to over-estimate than to find yourself short the day you open your
doors.

Secure financing. Unless you already have enough cash to launch your store and keep it running
for one year, you will need a loan. Shop around to compare rates and get the best deal. Some
business start-ups may qualify for government aid if they fall into a special category like
minority ownership. Banks, investment brokers, venture capitalists and others offer a variety of
terms, conditions and repayment schedules.

Calculate your start-up costs and devise a

financial plan. Will you rely on a bank
loan to start your gift shop or will you
seek out private investors? You will need
to have a business plan and also a
financial plan before asking anyone for
funds to finance the gift shop. While it
may seem tedious to put all these facts
and figures in writing, failure to do so
will hinder your success.

Look for possible sources for your

inventory. This is the fun part. You can
join trade fairs or get in touch with the manufactures to see what they’re offering. The internet is
also a good venue since a lot of small manufacturers display their items on the web.

Store location
Find the perfect location. Regardless of whether you are buying or leasing, it's always helpful to
work with a real estate broker. A real estate broker know areas well enough to pinpoint
competitors, possess inside information on storefronts left dormant due to poor management or
those located on roads scheduled for traffic-blocking construction. Negotiate the best deal
possible. Short-term leases offer insurance. If things don't go well, they are easier to pay off, and
then get out.

Check out other gift shops in the area. Visit them in person and jot down their hours, locations,
merchandise, services rendered, and the
general impression with respect to
clientele. Jot down if there is one gift
shop that appears remarkably empty and
keep track of the merchandise and
location. Strike up a friendly conversation
with the sales clerk and find out when the
shop’s busiest time is. This is standard market research and, while you could pay a third party for
this service, it saves a lot of money doing it yourself.

Find a premier location for your gift shop and be prepared to think outside the box. For example,
the rent at an established store front at the airport may be sky high, but the rent charged for
operating a cart that can carry much of the same merchandise but is stored out of sight overnight
is considerably less and thus more affordable. In the beginning, a cart may be a great option if
you are thinking of selling smaller objects. Such carts are found in train stations, airports,
shopping centers, malls, in front of movie theaters and also pedestrian walkways. They have the
added benefit of being move-able and thus give you the opportunity for making a one day
appearance at local fairs and festivals.

Another thing to consider is location. You must choose a place that complements the type of
inventory you have. Ask yourself this, do you want a freestanding structure, mall space, kiosk, or
a booth within a larger store? Remember to select only what your funds can manage.

You must look for a storefront space that is highly visible and is easily accessible. Ensure that
the location has a high amount of foot traffic. Also, see to it that the economy in the area is
stable, if not flourishing. As a rule, people tend to be more generous when they have extra money
to spare.

When you get down to the setting-up the store part, make sure that the design of your storefront
is catchy and enticing without being crass.

Business Plan
Complete a general company description and decide on a business name. This name sets you
apart from the rest of the competition and you are wise to spend a bit of time on this process.
Research the name you are choosing on the Internet to ensure that no one else is using it.

Be careful in choosing what range of goods to sell for this is the most vital aspect of any gift
shop. To be effective, your products must be rare and special that customers will be hard pressed
to find elsewhere. This will keep you from having to deal with competition.
Business licenses and articles of incorporation
Apply for licensing and tax numbers. Most
stores require occupancy licenses, typically
available from local government. You will also
need both federal and state tax resale numbers.
Visit or call city hall to get a list of the forms
and fees you are required to pay to establish
your business to avoid surprises and fines after
you open your doors.
Oversee the store build-out. If you negotiated build-out services when you
rented or bought the property, make certain you stay within the parameters of the "not to exceed"
dollar amount cited on the legal agreement. Your contract may stipulate using a specific
contractor to build shelves, frame up office space, create counters and construct display islands.
If this has not been included in the agreement, you may bring in your own contractors to do the
work.

Apply for incorporation of your business and also any and all business licenses you need to run a
gift shop in the area you have indicated. Remember that running a business out of your home is a
lot different from running one at a commercial location, and the licenses will vary. If you are
selling food and drink items, additional licenses may be required.

Maintaining Inventory
Compile a gift show list and order inventory. Going to market at least twice a year is the most
efficient way to build your inventory. These trips also let you in on what is new and trendy and
making friends with manufacturers can often get you priority shipping when new products are
introduced. Regional and national shows
are held at major market centers like New
York, Miami, Chicago, Atlanta, Dallas
and Los Angeles. Regional shows
showcase artisans with unique wares so
try to attend these, too.

Secure basics needed to keep the shop

running. Included in the list of items
you'll need are various sizes of bags, a
computer system with store management
software, cash register, office and
housekeeping supplies. Establish a
relationship with a wholesaler or apply
for a business card at a discounter like
Costco or Sam's Club for staples.

Appointing Employees
Hire staff. Unless you have a huge list of
altruistic friends and neighbors on speed
dial, you will need staff to help run the store.
Logical places to find full- or part-time help
are the local newspaper, college employment
office, Internet sites and word-of-mouth, but
a sign hung in the window may attract just
the applicant(s) you seek.

Merchandise
Select gift products and store services by
analyzing your customer base. Consumers at the
airport are more likely to seek out country, state or city specific merchandise than those at a busy
mall. Consider if your clientele is predominantly female or male, well to do or more money
conscious, extravagant or down-to-earth, interested in functional gadgetry or decorative items,
and any other specific attributes which will determine what they're interested in buying.

Marketing Plan
Plan a special event to kick off your store opening and jump
start marketing programs to welcome shoppers and launch
loyalty programs. Frequent shopper promotions, monthly
holiday sales, clubs and even workshops on how to buy and
wrap gifts for special occasions are not as hard to stage as
you might think with the help of sales reps from the companies from whom you buy. Remember
that you are in the business of making people happy--an uplifting place to be, even in troubled
times.

Decide on the hours your gift shop will be open with the help of the market research that you did
in Step 1. Throw open the doors to what is hopefully the start of a thriving gift shop business.
Finally, the most important aspect of any business is the customers for without them there won’t
be any business at all. Find ways to attract customers and don’t hesitate to spend on advertising.
This is a necessary expense in any business. Once you have your customers, make sure you keep
them. For the main, the range of your goods will be a big factor. Listen to what your customers
prefer and do your best to meet their preference.

Interenet Access
Create a marketing plan and begin advertising your business. Promoting a gift shop requires
appealing to consumers’ love for those whom they are visiting or to whom there are returning
and since you are in the business of selling a “want” rather than a “need,” it is crucial that you
keep this in mind as you prepare to launch your first ad campaign.
Conclusion:

On the basis of our research we conclude that we should open a gift shop near station Area of
Kandivali because it is preferred by majority of people. It requires a investment of Upto Rs 50
Lacs to open a gift shop Nr Kandivali Station. The amount of investment is increased as the
people have demanded a good ambience in the store, a big product line & various other services .

As the people have demanded bookeh service in the gift shop a so now we need to provide a
small space for bookeh purpose in our shop. People have preferred both Cash & Card payment
so we have to accept all type of payments in our shop. As our location is at Kandivali , people
has not soo preferred of buying the gifts online but than also some crowd prefers it so we will
surely provide this service to our customers by opening our own site . As the people have
demanded Credit facilties we will provide the credit facilities, depending on the Loyalty &
goodwill of the customer. People have also preferred Free Home delivery service, so we will
surely provide this service to customers whose purchase is of more than Rs500 from our shop.
To provide Home delivery service & to manage the store we require minimum 5 employees.

So finally looking at the response of the people we conclude that we should surely open a gift
shop at kandivali. As majority of the people in today’s world prefer gifts for every small
occasion, so it would surely generate great profits by opening a gift shop at Kandivali. We have
decided to give a attractive Name “Wrapped Emotions” to our store .