Table of Contents
What is the cost of opening a departmental store?
The best location combines visibility, affordability and lease terms you can live with. In particular, a departmental store is more successful in newly developed areas. The rent for a place can be as small as Rs 10,000 to Rs 10 lac depending upon the city, location and size of the departmental store.
Is a department store profitable?
Average Retail Profit Margins Specialty retailers and general merchandisers — department stores — were the most profitable sector of the retail economy in 2009, according to “Fortune”magazine, with a 3.2 percent average profit margin. Food and drug stores operated on a 1.5 percent margin.
How do you open Mart?
2. Legal Formalities
- Obtain Food license, entity registration, shop, and establishment registration, to name a few.
- As these are legal requirements, you will need to visit the license authority office to get the grocery store licenses for supermarket set up anywhere in India.
How much does it cost to rent a departmental store in India?
The rent for a place can be as small as Rs 10,000 to Rs 10 lac depending upon the city, location and size of the departmental store. The rent of a store shouldn’t be more than 4\% of sales on the safer side.
How to start a departmental store?
Having said that, here’s what should be considered while starting a successful departmental store: Location: As it always plays a crucial role in any business. Of course, getting the required licenses and permits is the first step.
How do I start a convenience store business in India?
Choose products to sell demand based and seasonal. Ideally, you should have an overall inventory cover of around 2 weeks, but that could be pretty tight in an Indian distribution environment, but more than 4 weeks is lots of cash stuck for a convenience store.
Should you invest in a franchise or start your own departmental store?
If you plan to plant your own store from scratch: Self-started departmental stores are less expensive than buying a franchise. Investment is based on your budget and place you choose to sell. Design your store according to local tastes which leads to better relate-ability with your potential customers.