Start a Retail Business

Overview

Retail business services mainly deal with purchasing from manufacturers and selling items to customers around the country. The retail business in India is huge, contributing over 23% of our country’s GDP. Furthermore, the retail business in India is worth over US$ 500 billion, making it one of the best in the world when it comes to value. Also, retail business services in India are and one of the top-five retail markets in the world by economic value. India is one of the world’s fastest-growing retail markets thanks to its large population. Therefore, there are several retail business ideas that you can try out in India.

The Most Profitable Retail Businesses To Start In India

The most profitable retail business to start in India involves different segments such as food & beverages, automobile, agriculture, home & furnishing, education, apparel & clothing, and beauty & healthcare.

What are the benefits of starting a business in the retail industry?

• Easy passage to market, making things simple to analyse
• Reduced costs
• Potential for rapid growth
• Widen your market/export ideas and reach.
• Customer intelligence

How To Open A Retail Store - Checklist

Under this list, we are going to cover a few important points that will help form the ‘how to open a retail store checklist’. These points range from legal to licensing, to digital requirements, and the use of social media platforms.

How to Start a Retail Business in India

• As retail business services have higher annual turnovers than service-based businesses, it would be best to incorporate yourself as a Private Limited Company.
• Before you start the business, do a thorough market research to understand what retail business ideas have the best chance of working in your locality.
• Once you zero in on an appropriate retail business idea, register your retail business service as a legal business entity with Vakilsearch. Incorporating yourself as a Pvt. Ltd Company will help make growth and scale-up much easier. Other than improved scalability and transferability, Private Limited companies also have an easier time availing credit facilities.
• Once you incorporate your retail business service, ensure you do the required tax registration. As retail business ideas revolve around the buying and selling of goods, you will need a GST registration.
• Other than this, you will also need to get a Shop and Establishment Act License from their respective State Governments.
• After all this is done, you can give wings to your retail business ideas by building your own website, and taking your business online.

Most Important Parts Of The Retail Business Plan

• Location Analysis: Look for areas that suit your retail business idea. For instance, if you want to run a cafe or store that sells edibles, try to look for a locality close to schools, colleges or halls as they tend to be crowded more often than not. If you want a bookstore or audiostore, you can opt for a location that is on the quieter side of town.
• Vendors: Contact a plethora of vendors before you settle on one so that you have enough options to choose from. Go for someone who offers you quality products at affordable prices. Also, try to go for local vendors, as you have a better chance to form a relationship with them, as you come from the same town or area.
• Store policies: Setting the right store policies is crucial for a successful retail business. Policies determine how your staff handles issues, how day-to-day operations run, and also how warehousing and staffing is managed.
• Marketing Strategy: You need to formulate the right marketing strategy early on to capitalise on your audience. Figuring out the right channels for advertisement and publicity are very integral to spreading awareness regarding your brand, and your products. Furthermore, this also involves setting up social media accounts for your business and managing your company’s website.
• Recruitment: No one can run an entire retail business service on their own. Finding the right team to back you is therefore, very important. You need to look for talent locally, get them to interview and then choose the best options possible. After recruiting them, you need to train and develop them so that they become efficient enough to handle different kinds of customers.
• Legal and Financials: Every retail business idea becomes a full-fledged business only after it completes all the required legal compliance. A good business plan should handle both the legal and financial side of running a business. After figuring out multiple ways to monetise the business, you must also plan for the future, and invest the profits into the business to expand it.

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