Before everyone goes nutz on this topic…your friend already has a store…selling toys…then you’d be entering the picture as his plastic model department manager? He probably already has distributors that sell plastics. He has credit with them. Stocking that department should be straight forward.
Companies such as Steven’s International, MRC, MMD and Dragon USA to name a few specialize in plastics but are not limited to just them. If he doesn’t already do business with them, then you’ll have to contact them and ask to open an account. Have your credit and business references handy!
Here is a link to an industry publication about starting a hobby shop which is produced by the Hobby Manufacturers Association.
Several questions you need to ask yourself before getting started on this venture…
Why do you want to do this?
What are your expectations?
Is this something you expect to be fun?
Are you ready to work long hours (longer than a real job!) for little or no compensation for a prolong period of time while you build your business?
Who are your customers?
What demographic will my customers be?
Do I have the necessary training and resources to enter this endeavor?
Do I have a viable business idea and a business plan to take that idea forwards successfully?
What is my exit strategy if I fail?
And the hardest one…Am I ready to work long hours, alienate my friends and family because my whole life revolves around getting my business off and operating successfully…oh and did I mention dump in some cash? Mortgage the house wife and kiddies? Trade down to an older car with no payments?
If you aren’t willing to do any of these including in the personal investment in both sweat equity and capital (cash) no one will give you a business loan…which is why a plan is so important.
People start new business ventures every day…many fail each day too. But it is what makes the business world go around…big corporations are only a fraction of the worlds businesses. Entrepreneurs are what makes the business world tick. If you don’t have the necessary skills, get them. There are programs that teach and in the process help you compile and publish a business plan. Then help connect you and your plan with financial resources that will take you and your business forward…if it is viable.
I’ll tell you it was much easier working set hours for someone else…but being in business for myself is much better…and worse in some respects but I probably will never turn back. We have several clients that are starting or renewing their businesses…it is part of what we do…help them reach their marketing and sales goals.
PS. There is a lot of free advice given on these forums…free doesn’t necessarily mean good. Just because someone has had a bad experience with something or someone, doesn’t mean that everyone else has had the same experience and thats is what you can expect to happen to you. Education pays dividends!