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    12 Replies Latest reply on Jan 30, 2012 9:20 AM by Moderator_JoleK

    New Business in need of help

    Graham1607 Newbie

      Im not going to lie, My partner  and I have made some bad decisions.... With that being said a little help would be greatly apreciated. Here are the details of our current situation.

       

      My friend and I took over the local comic store in our area, it has always been our passion and we love it! however the deal we signed with the previous owner has left us nearly down and out after only 6 months

       

       

      Some big issues:

      - we are late on our taxes

      - We started off with a terrible lease deal and we are meeting the old owner to try to re-negotiate the terms of the lease.

      - Our power bill is extremely late

      - We owe 1800.00 to one of our main distibuters and they wont give us product until the balance is paid

      - we have over 15,000 dollars in inventory that hasn't moved in 5 plus years

       

       

      Its our fault for getting into this deal but I'm not ready to give up yet. I would love advice on what to do and will gladly give particulars on the buisness. What should our priorities be? Thankfully we are not late on rent

       

       

       

      we average about 6,000 per month in buisness

      currently lease is: 1,500

      Rent is: 1,200

       

      I have already begun the process of gettin an accountant as well we will be meeting this week.

        • Re: New Busness in need of help
          CorpCons08 Ranger

          Honestly, in a situation like this one... I would recommend hiring a consultant to help get things restructured and help you start making profits. I would be willing to work with you and helping you and your partner get out of the jam you are in. You can contact me with my contact information in my profile.

           

          Regards,

           

          Dan

          • Re: New Busness in need of help
            Craig Parker Tracker

            Are you paying for software?  Monthly update fees or anything like that?  I can give you hand ditching those probably, but I'm guessing you're not in that boat.

            • Re: New Busness in need of help
              Navigator

              That $15,000 in inventory that hasn't moved in years is also bogging you down. Regardless of its intrinsic value, you might need to unload as much of that inventory at rock bottom prices to generate as much additional income as possible and rid yourself of that burden. Right now, as it stands, it is costing you money by taking up space and providing absolutely no revenues. If it hasn't moved at retail prices in 5 years, it's time to take what you can get and cut your losses. The added benefit will be getting consumers to come for the sale of the century. Perhaps if they get a great deal, they will return once you have restructured and become a regular customer. Depreciation is a hard Mistress to have to deal with but in the long run, a fresh start should include fresh, current, sought after merchandise.


               

              I agree that a consultant may be a wise investment. Just make sure that you don't throw good money after bad. Hire someone who knows the field.


               

              Best of luck to you!

               

              ~Moni

              • Re: New Business in need of help
                Vilnius Industries Tracker

                Join forces with another buisness in the area and hold and sponsor an event in the publics view, a 50/50 raffle, and donate 10% to charity  and have the charity reprecenitive their, do all the promotion yourself.

                 

                Now all the people at the joint-venture company, the charity followers and some of the public will like you, and hopefully be repeat customers.

                • Re: New Business in need of help
                  myDealCompass Scout

                  Somehow I managed to lose a longer post, but wanted to throw in some thoughts.

                   

                  -Have you looked in to online auctions to help expand your audience?  With a large inventory of presumably older items, you might be able to sell sets online. With the internet you immediately have a global reach.

                   

                  -Are you in a University town? If so you could host a promotional contest with the "back to school" events and/or team with a local RPG/LARP group?  You could use some items from inventory that have not moved in a long time as the promotional items so the out of pocket expense is minimal.

                  • Re: New Business in need of help
                    CorpCons08 Ranger

                    We haven't heard anything from you since your original post. Are you reading through the responses?

                     

                    Regards,

                     

                    Dan

                    • Re: New Business in need of help
                      biz_consultant Newbie

                      Hi There,

                                          Looks like from the details that you are still making some money in the business but you need to address the problems that you are facing. You need somebody who can do more than just advising you in this forum. An expert needs to look at your business in detail and crate a plan for you to turn around. I can help you analyzing your situation with some more information.

                       

                      One of the fist things you need to do is move your inventory. That will give you some cash to pay off your back taxes and put money back into your business. You also need to upate your catalog and bring in lines that are selling in the current market. The the third thing is looking at lease and other costs and see how you can save on that.

                      • Re: New Business in need of help
                        Ranger

                        We would love to hear an update on your situation, Graham! Come visit the community soon !

                         

                         

                        Joleen