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Opening a Cigar store

Bu11dog

Bu11dog

Active Member
Joined
Jul 23, 2008
Messages
822
I need a serious career change. Over the past 2 years I have fought a union that is totally out of control, won the war but lost a couple battles. Namely I don't like my job anymore, I could leave today and not ever miss anyone or anything about it.

I've been searching around looking at all the things I like to do and have one part of my life on track in the right career direction. As for how to make a living that can support my wife and kids I'm looking into a property that is perfect for a cigar shop and possibly a cigar bar as the law allows that come September. Other than having to build a walk in humidor (which I have plenty of sources and help for), then of course the major expense of furnishing it. What could/should I expect and or look into. Yes I realize that taxes are going to keep going up but the local B&M's I have talked to seem to think that this isn't as big a setback as making sure people like Mark Welch (local smoking nazi) are stopped.
Yes, I've seen threads of this before but want to open the can of worms again, as the thread goes I'm sure it will open up new questions from me.
Thanks for your thoughts, positive or negative.
 
grateful1 said:
Topless hostessessesess!!!!
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I'd really have to think about this one. I'm not really into gimmicks when it comes to my cigars. I like a straight foward person that actually knows a thing or two about smoking. Not just a hot bimbo who's only there to service the owner under the counter...
 
lurch said:
grateful1 said:
Topless hostessessesess!!!!
Click to expand...


I'd really have to think about this one. I'm not really into gimmicks when it comes to my cigars. I like a straight foward person that actually knows a thing or two about smoking. Not just a hot bimbo who's only there to service the owner under the counter...
Click to expand...


What about servicing the customers?
 
uptown_isy said:
lurch said:
grateful1 said:
Topless hostessessesess!!!!
Click to expand...


I'd really have to think about this one. I'm not really into gimmicks when it comes to my cigars. I like a straight foward person that actually knows a thing or two about smoking. Not just a hot bimbo who's only there to service the owner under the counter...
Click to expand...


What about servicing the customers?
Click to expand...
As long as she can take breaks and tell me some things about cigars, I have no qualms...
 
I think besides having a place to properly store your inventory and furnishing the shop, you have MANY other issues to look into.
First off you will need to find vendors to supply your cigars, how much of their product you need to stock. How to turn a profit. Plus all the insurances you will need to carry.
Also as for furnishing the place Craigslist has many used leather furniture items that people give away on a daily basis. I would start by looking there. I have also seen large display humidors from bars and other cigar shops that are going out of business.
I look foward to see where this thread goes as I find the topic very interesting.
 
Deadhead makes a good point. You would probably have to start by purchasing your cigars through wholesalers, since a lot of manufacturers will put you on a wait list to open up an acct with them. This will obviously cut back on your profits, unless you charge more than MSRP for your cigars.
 
I don't know about it first hand, but it seems like being ready to sign up for accounts (ie make orders) by IPCPR in August would make things alot easier.
 
The guy who owns the B&M I frequent around the corner at lunch worked for another local shop before opening his own. In addition to experience, which maybe you already have, he was able to make connections with suppliers that helped him get his inventory established.

I also agree about knowledge. Good advice is worth paying for. I wold rather pay retail and get a good smoke from the owner I know face to face than rely on ratings or reviews and order a 5 or 10 pack at a discount which do not fit my palette.

Plus, with so few places to smoke, and with the souther heat being like the northern winters, its nice to have a comfortable chair with a tv and a/c for a smoke.

Good luck wiht you plans. But from what I understand, it can be a tough business.

Cparker
 
I think one of the main things I would look at is, is there a need or vacancy for a cigar shop in your area? How many B&M's are around your area? What cigars do they sell and how would you compete? Do they have some sort of gimmick or hook that you could contrast? What kind of clients do they have and what kind do you wish to attract? What can you do to separate your shop from the other ones around? What kind of people live in the area? Are they wealthy, middle income, poor? Is there ample foot traffic in the area where you're looking? Are there any other businesses around that would be conducive to foot traffic (i.e. restaurants, bars, bookstores, news stands, etc.)? Offering alcohol is a great thing and one that not every shop does, so that would be huge for your business, but do you know how to go about getting a liquor license? Getting distribution for alcohol?

I wish you the best on your endeavor, however in the current economic climate starting a business is rough enough as it is. When you start one that rides on selling what most people view as a luxury, you need to make sure you do your homework and research. Hope I haven't discouraged you but I would hope your business succeeds for years and years instead of you getting in over your head.
 
The Black Cloud said:
I think one of the main things I would look at is, is there a need or vacancy for a cigar shop in your area? How many B&M's are around your area? What cigars do they sell and how would you compete? Do they have some sort of gimmick or hook that you could contrast? What kind of clients do they have and what kind do you wish to attract? What can you do to separate your shop from the other ones around? What kind of people live in the area? Are they wealthy, middle income, poor? Is there ample foot traffic in the area where you're looking? Are there any other businesses around that would be conducive to foot traffic (i.e. restaurants, bars, bookstores, news stands, etc.)? Offering alcohol is a great thing and one that not every shop does, so that would be huge for your business, but do you know how to go about getting a liquor license? Getting distribution for alcohol?

I wish you the best on your endeavor, however in the current economic climate starting a business is rough enough as it is. When you start one that rides on selling what most people view as a luxury, you need to make sure you do your homework and research. Hope I haven't discouraged you but I would hope your business succeeds for years and years instead of you getting in over your head.
Click to expand...

I don't think that foot traffic is all that important to a cigar shop with a lounge. As rare as they are, people will seek them out.
 
grateful1 said:
Topless hostessessesess!!!!
Click to expand...

Are you talking about me or female counterparts :whistling: Wife would definately have something to say about that!

Trying to figure out how to multi quote, when I do I'll have more responses to a few of you, nice start, thanks!
 
deadhead said:
I think besides having a place to properly store your inventory and furnishing the shop, you have MANY other issues to look into.
First off you will need to find vendors to supply your cigars, how much of their product you need to stock. How to turn a profit. Plus all the insurances you will need to carry.
Also as for furnishing the place Craigslist has many used leather furniture items that people give away on a daily basis. I would start by looking there. I have also seen large display humidors from bars and other cigar shops that are going out of business.
I look foward to see where this thread goes as I find the topic very interesting.
Click to expand...


Yes, I will need to see how hard it's going to be to get the sales reps that come to the local B&M's come to a new one, in addition to finding good sources to order from. Insurance is another key issue, for the shop and my family as I hold the health insurance at my current job. The wife is an avid thrift shopper and craigslister so the furnishings would be easy. My father-in-law has a pool table in storage that would go great in the shop.
 
tmoney2007 said:
I don't know about it first hand, but it seems like being ready to sign up for accounts (ie make orders) by IPCPR in August would make things alot easier.
Click to expand...

Thats a good point right there. I would also make sure anyone who works for you is schooled up on cigars and their customer service. If you lose a customer to bad service, you will never get him back again and you will get dinged by the negative word of mouth that comes with it. Also, along those lines if you end up going with a wholesaler instead of direct on your product you might have to eat some of the margin since you are trying to establish yourself. Again, if a customer comes in and feels you are overpriced compared with your competitors, he wont come back. Something else that just came to mind is your in house smoking policy. Ive seen the whole gamut from no rules to very strict rules. I would say you have to have something in place or you will end up with a bunch of people coming in to your shop and smoking their own stuff and not buying anything from you. Anyway, good luck. We need more B&Ms these days!!!!
 
tmoney2007 said:
I don't know about it first hand, but it seems like being ready to sign up for accounts (ie make orders) by IPCPR in August would make things alot easier.
Click to expand...
I will have to look into this if we get that far, thanks.

The Black Cloud said:
I think one of the main things I would look at is, is there a need or vacancy for a cigar shop in your area? How many B&M's are around your area? What cigars do they sell and how would you compete? Do they have some sort of gimmick or hook that you could contrast? What kind of clients do they have and what kind do you wish to attract? What can you do to separate your shop from the other ones around? What kind of people live in the area? Are they wealthy, middle income, poor? Is there ample foot traffic in the area where you're looking? Are there any other businesses around that would be conducive to foot traffic (i.e. restaurants, bars, bookstores, news stands, etc.)? Offering alcohol is a great thing and one that not every shop does, so that would be huge for your business, but do you know how to go about getting a liquor license? Getting distribution for alcohol?

I wish you the best on your endeavor, however in the current economic climate starting a business is rough enough as it is. When you start one that rides on selling what most people view as a luxury, you need to make sure you do your homework and research. Hope I haven't discouraged you but I would hope your business succeeds for years and years instead of you getting in over your head.
Click to expand...

The place I'm interested in is in an outdoor shopping mall that is more upscale and has several restaurants with bars in addition to retail shopping. It is near a handful of golf courses as well. I have some ideas that seem pretty common to me but I don't see them in the local B&M's. Most people in this area are upper-middle class in nature but it draws a pretty eclectic crowd, especially on weekends. Lots of foot traffic due to the retail shopping, restaurants are upper price range as well, no BK's in sight. Alcohol would come later if this actually gets carried out but I would have it set up for that in the beginning as a bar would be a great place to sit and smoke and watch tv or put your laptop on. I have bartended for many years and still have great relationship with owner of the last place I worked so getting through the ins and outs of that would be easier.

Lots to think about thanks for the thoughts and questions.
 
Humidified Lockers. A place nearby charges $100 a year. Now your customers have cigars here already to smoke, and most of them will buy something from you and say, "just put it in my locker."

Late edit: I noticed a your(re) error that I never make.
 
The best advice I can give you is be aggressive when negotiating your lease agreement!
This will determine how soon you can become profitable. Try to get a location right next to one of the restaurants and make sure to include in your lease that it will be a "retail & smoking lounge."
I have heard tons of stories about stores having to move or close because the landlord kciked them out because of the smoking onpremise.

I have been in the cigar business for almost 14 years, dont hesitate to pm with specific questions should you have any. I am more than willing to offer up some advice.

All the best.
 
I always like a shop with a fresh cup of coffee maybe get a krups or flavia. I like the krups better,I have had both.
 
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