The first step in opening a consignment shop is performing thorough research on the intended target audience and on a community's specific retail needs. Filling a need that's lacking in a community can greatly increase the chances of success.
Researching resale costs to get an accurate idea of what can be charged for similar items in your store. It is important to market the store to the community. For instance, if the majority of the residents of a city are retired people, a store focusing on children's clothing might not attract enough business to enable it to stay afloat. See what there is a need for and fulfill it.
The next step is to write a corresponding business plan. Many fledgling entrepreneurs can increase their chances of future success by taking a small business management course. Most local colleges provide online courses in a variety of subjects including business management, making it convenient for busy adults to obtain the training and information that helps them achieve their goals.
Renting the right retail space is also an important step in opening a successful consignment shop. Find an affordable retail space that is located within reasonable distance of where the majority of people in the target audience live.