What to do When There is No Dollar Store Merchandise and No Cash
Author: Bob HamiltonWhat a situation; dollar store merchandise levels are dangerously low and there is no money to purchase the required replenishment items to once again fill the store. If you open a dollar store this is exactly the situation you never want to face. Yet for some, that’s exactly where they find themselves. It is a tough place to be and there are no quick and easy solutions. Even if you won the lottery, it would still take weeks to create and submit merchandise orders, have the items to be pulled and shipped to your store. But what steps can you take if you don’t come into unexpected cash?
Take action before it’s too late. For some who open a dollar store things get very bad before they even recognize there is a problem. Never wait so long that you are in this situation. Take action if problems are appearing. Take those actions immediately. Start by problem solving. Understand exactly what’s going wrong and how it can be fixed. Then implement changes to resolve the issues.
Look for credit opportunities. Speak with your banker. Speak with your primary dollar store merchandise suppliers. Look into the opportunity for terms with local vendors. This is the time to focus on obtaining the working capital you need to get your business back on an even keel. Invest the time to understand exactly what you need and why your business is in the current situation before speaking with your banker. With vendors focus on the length of time you’ve been with them and the payment history you’ve established.
Cut expenses throughout your business. Without adequate inventory of the right items you cannot make sales. When you open a dollar store the first few months taught you methods to reduce spending. Reinstate those methods, and more. Temporarily eliminate the money you take from the business yourself. Reduce every possible expense until things get back where they should be.
Invest every possible dime into replenishing inventory. Now is the time to negotiate for better pricing on merchandise for your store. Focus spending on the core, in-demand items you know will sell quickly. Then become a sale shopper. Ask suppliers about closeout buying opportunities they might have for you. Look at weekly and monthly sales from your suppliers. Don’t spend a dime on merchandise that doesn’t fall into the ‘must have’ category.
Camouflage the low dollar store merchandise situation every way possible. When you open a dollar store you soon learn the little tricks that can stretch items to give your store a fuller appearance. Shorten the peg hooks, spread items, add banners and other signage in place of merchandise. Use every tactic you know to make your store appear warm, inviting and full to the brim with the items shoppers seek.
To your dollar store success!
About the Author:Want the best ideas to earn from your dollar store business? Check out "Tactics to Add Streams of Income to Your Dollar Store Business" at www.OpeningADollarStore.com.Bob Hamilton is an entrepreneur, author, writer, business consultant and trainer.
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