How to Start a Gift Shop Business in Bangladesh
Start a Gift Shop Business in Bangladesh
As there is a high demand for a gift shop business in Bangladesh, there is a good chance to earn a significant amount of revenue. It means that you can get higher returns on investment from this business. Besides, the gift shop business has witnessed a striking growth in the past decade because of the extension of the customer base on a global level.
However, the gift shop industry comes with personal and corporate gifting. Also, the vendors are very much focusing on providing innovative solutions since service offerings, product innovations, and technology upgrades play a vital role in attracting many customers. Moreover, one of the good things about starting a gift shop business is that its inventory is not complicated.
Why Start a Gift Shop Business in Bangladesh?
Whether out of habit or due to an uncontrollable circumstance, gift shops are considered lifesavers for those who shop at the last minute. Especially if they are looking to buy gifts that are unique or eclectic in nature and not necessarily brand names then appreciate a well-stocked gift shop. However, it’s always customized to the interest of the owner, which is a notable thing about a gift shop business in Bangladesh.
That’s why this business is for you if you like collecting unique items. Moreover, another great reason why to start a gift shop business is that it’s a profitable as need a small investment. As it’s a good source of income, you can set up a smooth path for your next generation.
Related Article: Profitable Business Ideas in Bangladesh with Low Capital
Steps to Start a Gift Shop Business in Bangladesh
Conducting a complete market research is the first thing you would need to do when looking to start a gift shop business in Bangladesh. This is the way you’ll know who your competitors are, how many gift shops exist in the area where you are looking to start the business etc.
Then, you’ll need to decide on the style you want for your gift shop when you’re done with the analysis regarding your business. It’s important that you analyze your customer base while selecting your gift products. After that, you need to select a suitable business location, which is really one of the top turning points of success. Well, let’s know more about the steps to start a gift shop business in Bangladesh.
Step #1 – Niche
Usually, a gift shop business in Bangladesh retails different types of gifts and souvenirs. Because more people are choosing to look for gifts, the industry is rising fast. Although gifts are unique, they can’t be easily found in merchandise & discount retail stores. As there are several niche ideas available for this industry, these shops stock an array of items.
So, with the aim to find out existing voids in the industry, it’s important that you carry out a thorough research. That’s the way to control traffic for your lucrative target marketplace. It might be frustrating for you finding the perfect niche, that’s why we’re here to help you. Some of the niches are below:
- Card and gift shop
- Flower Bouquet
- Artisan gift shop selling arts and crafts
- Ethnic gift shop
- Gift Boutique
- Holiday store
- Souvenir gift shop
- Art and Craft Gift
Step #2 – Budgets
You’ll need to spend a significant amount of money when you’ll start an awesome gift shop business in Bangladesh. But, you’ll need a little bit more budget than the budget needed only for offline business if you’re making your mind to sell your products on both online as well as offline platforms.
When you’ll be available in both of the platforms, you’re likely to be earning more revenue. Here is an assumed imaged of your potential gift shop business:
- Shop Rent: BDT 10K- 20K (Approx.)
- Insurance: BDT 10,000 (Approx.)
- Shop Furniture: BDT 50,000 (Approx.)
- Computer/Printing Equipment/Software: BDT 50,000 (Approx.)
- Licenses and Permits: BDT 20,000.
- Marketing: BDT 50,000 (Approx.)
- Start-up Inventory: BDT 1, 00,000 (Approx.)
- Cash Required: BDT 10,000 (Approx.)
Step #3 – Location
You should carefully choose the location where you want to start your gift shop business in Bangladesh. This is because it’ll have a great impact on your business success. Even it’s especially when you are going with brick and mortar business. Where there are chances to have many tourists most gift shops are located in those areas. Or, you can select metropolitan cities where you can get maximum clients.
But, you can prefer any part of town which is well populated and contains lots of traffic if you can’t choose the places where tourists like to visit. Also, make sure that your inventory, as well as retail price, is customized to fit well with the general income of the people in that region whatever location you conclude on.
Step #4 – Financing the Gift Shop
When starting a gift shop business in Bangladesh, financing is another essential thing to do. It can be a very tricky task to make the sources for finance to start a gift shop business. Because of this, it’s generally recommended to have a comprehensive business plan because this is the best approach though.
The plan can convince your targeted investors of how serious and dedicated you are to your business. So, before you think of starting any business, think first about the finance sources. Some of the financing sources you may explore:
- Soft loans from friends and family members
- Bank loans
- External investor
- Microfinance organization loans; like Grameen Bank, BRACK, and ASA etc.
Step #5 – Marketing & Advertising
As it is the major way with the help of which business produces revenue that will sustain as well as grow, marketing is a very imperative aspect of a business. Moreover, the business awareness created amongst the potential marketplace as well as competitors apart from the revenue generation.
Step #6 – Required legal Documents
If you want to avoid troubles with the legal authorities then legal documents are necessary. The documents you need are as below:
- Certificate of Incorporation
- Trade License and Permit
- Tax Identification Number (TIN)
- Business Identification Number (BIN)
- Operating Agreement for LLCs
- Sales Tax Permit
- Insurance Policy
- Contract Documents
- Business Plan