Open a Sporting Goods Business

If you have a passion for sports and are looking for a business idea, starting a sporting goods business can be a way to combine your love of the game with a way to make a living. Americans never tire of sports, whether participating or watching and are always eager to buy equipment, clothing and memorabilia. With a solid plan, you can open a successful sporting goods business.

First, decide what type of business you want. You can start an independent sporting goods store from scratch, you can buy a franchise from a established name company or you can set up an Internet sporting goods shop.

Determine if you will specialize in one or two particular sports or if you want to be a little bit of everything. Do you want to bring in the local kids by selling basketball, football and baseball equipment and uniforms? This could be lucrative, especially if you can convince the schools to order uniforms and equipment through your business. Perhaps you are interested in a sport particular to your region. If you open a shop near a ski resort, you will certainly have to sell ski equipment. Or, if you're near a large university with a winning football program, you'll need to include plenty of souvenirs in the shop for fanatical alumni.

Write a solid business plan that goes into detail about the business. Include a financial overview, marketing ideas and a one-year, three-year and five-year forecast. If you are borrowing money to start the business, the bank will require a written business plan.

Search for a good location. Many sporting goods stores are in malls, but you may find rent to be high. You'll also have to follow the mall's hours of business rather than your own. Unless your business is exclusively for local schools, don't get an out-of-the-way location because there won't be any foot traffic. If you're setting up an Internet store, the kitchen table is your store. But remember you'll need space to store products.

Explore your financial options. Maybe you have a large amount of money set aside for the business, but few people can open a store without some financial assistance. Start with your bank. You can apply for a loan or seek investors. Your banker and attorney can steer you toward investors.

Last, find a wholesaler. Get names from other sports store owners, and check with the Better Business Bureau for referrals.

You're ready for the grand opening. Take the first two or three weeks to work out problems, and then have a grand opening. Advertise, give out balloons, offer face painting and look for big names in sports to sign autographs.