Business Studies Coursework
Before I start this section of work, I need to make a note. Halfords, one of my competitors, have just expanded their bike section of the shop, selling a huge range of bikes, and providing a full time servicing service. This will affect my decision of starting this business tremendously. To be able to start up my business, I need capital. Cash, in other words. It is virtually impossible to run a business without capital, as well as a constant cash flow.
This means for my particular business, that I will need enough money to start my business (enough stock to start with, decoration, enough equipment to help me service bicycles etc. ) Then, I also need to have a constant cash flow, where money comes into then business, and then goes out. Hopefully, I will be able to have more money coming in than I have going out; resulting in a profit. I have written to 4 shop fitting companies, and none of them have replied to me. (You can see the letters attached) Therefore I decided to look on the internet for prices for the start up costs for my shop.
This is actually better for me as I now do not need to pay the shop fitting company to provide their service to me. As I have already decided, I will sell bikes made by: GT, Giant, Marin, Specialized, and BMX Bikes (mainly Specialized BMX bikes) I will try and buy mostly “cheap bikes,” just in case business does badly, so then I will be able to repay my debts easily. I will buy more expensive bikes as well though, as they are normally the bikes that look good, and will hopefully draw customers