The Wholesale Forums

[Merchant]

Hi,
I'm thinking of starting a business. Now this may or may not ever happen, but I'm keen to know a step by step process people would have do go through in order to set up a one.

More importantly I'm interested in learning the answers to silly questions like:

1) Packaging - lets take amazon for example, how do they get hold of there packaging? Direct from a manufacturer maybe?

2)Do you need to be VAT registered to sign up with one of the 'Big Boy' Distributors who deliver to the likes of Asda, Tesco, WHSmith as they ask you for you V.A.T. Reg No?

and any other not necessarily silly, but questions that aren't particularly answered or associated with the big side of business, the bit & bobs if you will.

If any of you have found any books helpful and could recommend or any websites which help you it would be greatly appreciated.

And yeah I'm a Newb so go easy

Merchant

[Andy-Flashie]

As for packaging...
I believe Amazon produce their own/have it made by a main package company, as they have their site address printed all over the box etc. But if your just starting out you can buy boxes, envelopes, postage bags, depends what your selling for what kind of postage items you will need. You can get these very cheap of ebay, and now even poundland sell pre-packed fold up cardboard boxes of many sizes in multiple packs.

What are you looking at selling may I ask?

[greedyboy]

I think you are trying to run before you can walk.

Packaging can be purchased anywhere. I don't think you will initially be anywhere in the league of Amazon.

As for dealing with the 'big boys'. You will more than likely be able to buy the same products at Tesco or Asda cheaper than the 'big boys' will sell to you. Plus many 'hot items/new high demand items' are sold as a loss leader by the likes of Asda and Tesco. A prime example was the latest Harry Potter book. It was publically made know they sold the book at a loss.

By all means start a business but remeber the 'economies of scale'.

[Merchant]

Thanks for the advice

Running before i can walk? most likely, but the thing is I'm only tinkering at the idea of starting a business.

Lets say hypothetically speaking that i had a small time business, that grew a little larger, and a little larger still, to the point that i wanted to produce packaging like amazons that had my own logo printed on it. Where would i go produce something like that.

I believe Amazon produce their own/have it made by a main package company, as they have their site address printed all over the box etc. But if your just starting out you can buy boxes, envelopes, postage bags, depends what your selling for what kind of postage items you will need. You can get these very cheap of ebay, and now even poundland sell pre-packed fold up cardboard boxes of many sizes in multiple packs.

You will more than likely be able to buy the same products at Tesco or Asda cheaper than the 'big boys' will sell to you. Plus many 'hot items/new high demand items' are sold as a loss leader by the likes of Asda and Tesco. A prime example was the latest Harry Potter book. It was publically made know they sold the book at a loss.

It's just these sort of things i wish to know

I have no intention of competing with the likes of Amazon, that would be plain daft

Maybe I'm just trying to ask how you guys came across your wide knowledge of business, through books, hands on experience etc.

Maybe my minds in a mess as business allows you to dream and get carried away, business is exciting! & there are a lot of knowledgeable people on this forum

Thanks for the Input
Merchant

[Andy-Flashie]

For packaging... Best thing you could do is get some Amazon packaging, or any other packaging like that, and printed in small print on there somewhere should be the company who made it, and normally their address. So just look up the company, get their number and give them a ring and im sure theyll arrange to meet up with you to talk about a business proposition and what they can offer.

For me its all practical hands on approach to gaining the knowledge, and learning from what others have done/are doing, this forum is the best place for that!

Do you have any ideas in mind about what kind of things you wanted to sell/manufacture?

[Merchant]

At the moment i was thinking of DVDs & CDs as i think they will always be in demand, and its just a matter of pricing, but then again you can buy them practically anywhere and as greedyboy said, some company's sell at a loss.

Regardless of what i just said, I'm still thinking of which products to target in terms of profit and demand.

Also the retail whereabouts (online store, ebay, etc.)

Basically I'm in a research phase, getting stuff in check before i make a move.

Thanks
Merchant

[greedyboy]

Originally Posted by Merchant

Lets say hypothetically speaking that i had a small time business, that grew a little larger, and a little larger still, to the point that i wanted to produce packaging like amazons that had my own logo printed on it. Where would i go produce something like that.

It's just these sort of things i wish to know

With all due respect this should be the least of your concerns. There are many more things which should be a priority depending at what stage you are are in, such as formulating your business plan/idea.

However, as you asked. I have most of my branded packaging manufactured in China for obvious reasons. There are many companies in the UK who produce packaging, especially cardboard based products.

Also my invoices have the mailing label incorporated (like amazon) which has my logo, address, PPI logo, return address and most importantly - an advert for selected products and a website address. Quick to post and a great marketing tool!

Providing you wish to purchase hundreds of thousands, most companies will be happy to produce bespoke packaging/boxes with you logo printed and any other information you require.

Remember to start small and think big. Which you are obviously doing already!

EDIT: Reading you last post, selling cd's and DVD's, packaging would be fairly cheap to produce as they are only small. The most cost effective method would be to have Jiffy Bags with your logo on. There are a few UK companies who offer a free printing service (including your PPI logo for postage) providing you purchase a respectable quantity (around £1000 I believe off the top of my head)

[DSC]

Despite what has been mentioned above it is possible to get own branded packaging with MOQ of about 50, and with things like your PPI etc.

However this is not what I did when I started as honestly you have more to worry about then a nice logo on a Jiffy.

The reason why some of the big sellers ask for a VAT number is that there monthly spend requirments will put you over the VAT level.

[Merchant]

Thanks for all your input, it has been appreciated

Merchanr