Go Back  Quiltingboard Forums > Main
While Browsing Craigs List I Found This.... >

While Browsing Craigs List I Found This....

While Browsing Craigs List I Found This....

Old 05-01-2009, 07:14 PM
  #11  
Senior Member
 
motomom's Avatar
 
Join Date: Mar 2009
Location: Aledo, TX
Posts: 672
Default

Hmmmmm......

As the owner of a small business, I have my doubts if they do $190,000 in revenue but $65,000 a year in net profit.

Most small businesses are very lucky and/or well-managed if they net 15% of the gross revenue, especially these days. And especially with that many employees.

Of course, if I owned it, I would probably make less than that, because I would never want to sell any of the fabric!

Maybe I'm just in the wrong business...... :roll:
motomom is offline  
Old 05-01-2009, 10:55 PM
  #12  
Senior Member
 
k_jupiter's Avatar
 
Join Date: Dec 2006
Location: Bay area CA
Posts: 885
Default

This is a tough one....

While a lot of you might look at 65 grand a year (if it's true) as a nice piece of change, remember this... this is not Shelbine Missouri. This is San Carlos California. A beautiful place where 65 grand a year gets you... nada in the way of living expenses. Then look at the amount of hours you need to work to get that 65 grand. Say 10 til 6 or 7 lets say 6 days a week (close the store on Mondays if you want). That's 54 or so hours a week open, and many more hours planning, inventory, accounting, advertising, setting up classes.. times 52 weeks a year. 2800- 3600 hours a year. $15.50 to 23.00 an hour before taxes. Subtract Social Security, medical insurance, and a ton of other costs of doing business in California and you are now close to minimum wage.

So... think about these things before shelling out a 1/4 million for a going business where you will need to run a line of credit to keep this thing running.

tim in san jose (an engineer by trade, a quilter by passion)
k_jupiter is offline  
Old 05-02-2009, 05:19 AM
  #13  
Senior Member
 
quiltmaker101's Avatar
 
Join Date: Mar 2007
Location: Pensacola, FL
Posts: 777
Default

Originally Posted by k_jupiter
This is a tough one....

While a lot of you might look at 65 grand a year (if it's true) as a nice piece of change, remember this... this is not Shelbine Missouri. This is San Carlos California. A beautiful place where 65 grand a year gets you... nada in the way of living expenses. Then look at the amount of hours you need to work to get that 65 grand. Say 10 til 6 or 7 lets say 6 days a week (close the store on Mondays if you want). That's 54 or so hours a week open, and many more hours planning, inventory, accounting, advertising, setting up classes.. times 52 weeks a year. 2800- 3600 hours a year. $15.50 to 23.00 an hour before taxes. Subtract Social Security, medical insurance, and a ton of other costs of doing business in California and you are now close to minimum wage.

So... think about these things before shelling out a 1/4 million for a going business where you will need to run a line of credit to keep this thing running.

tim in san jose (an engineer by trade, a quilter by passion)

So this business operates pretty much like California's government? LOL

Don't worry, Tim. I think we are all only daydreaming about owning a whole shop full of fabric. Details, schmetails.
quiltmaker101 is offline  
Old 05-02-2009, 06:14 AM
  #14  
Member
 
Quilt Mama's Avatar
 
Join Date: Apr 2009
Posts: 48
Default

Tim--I can say been there, done that though not in California. Small business's biggest satisfaction is in being your own boss. You are under estimating the hours and overestimating the pay per hour for many businesses, no matter how lean a shop they run.

To those that think being able to do nothing but eat, sleep and dream quilting let me tell you that is just as boring as having to go to work all the time. Variety is the spice of life and the grass is greener on the other side of the fence. With retirement I had to rekindle some of my old passions and find some new ones all for the sake of a healthy marriage, body and brain.
Quilt Mama is offline  
Old 05-02-2009, 08:16 AM
  #15  
Senior Member
 
motomom's Avatar
 
Join Date: Mar 2009
Location: Aledo, TX
Posts: 672
Default

One other thing to consider, it looks like they did some long arm quilting there. I wonder how much of that income was made by the person who was doing it?

We repair musical instruments here at our store, and both hubby and I are repair technicians. This extra income allowed us to finance our store, literally providing the cash needed to expand the business. But we sure didn't take much dough home in the meantime, and it was a LOT of work.

Service income is basically trading time for money, always. To get a real clear picture of how profitable this store is, you would have to get a financial breakdown of how much was service income and how much was sales.

I know, I know, but just think of being able to have, at your disposal on any given day, a STORE FULL of fabric to choose from. It would be dreamy for me!

And I have to admit that I have thought of opening my own quilt shop on many occasions. :D
motomom is offline  
Old 05-02-2009, 09:22 AM
  #16  
Power Poster
 
Ninnie's Avatar
 
Join Date: Mar 2009
Location: Athens Ga
Posts: 11,420
Default

The worst thing about owning a business is being tied down!

We owned a country store in the heart of the Uwharrie National Forest for 26 years. We were open from 6:00 am until 9:00pm unless it was hunting season and then it was 5:00 am to 10:pm, 364 days a year, (closed Christmas Day). We had a little part time help sometimes and our children helped. All learned how to run register at an early age. I did all the running with the children, (7) when they were in school. We missed out on a lot of things because of the hours. When you own a business, you have to be there if you want to be successful at it. The store was good to us, all 7 went on to college, but very hard work. I kept all my quilting supplies in the store and quilted there. Had my floor frame set up there. The lighting was great and I do miss that when I get ready to quilt now. :lol: :lol:
We sold out 2 years ago and never looked back. We miss the people, but nothing else. You do not get rich owning a small business.

Every day when we drive by it, I say thank you Lord I don't have to go there today.

If I owned a quilt shop, I would go bankrupt soon! :lol: :lol:

Ninnie
Ninnie is offline  
Old 05-02-2009, 08:04 PM
  #17  
Power Poster
 
Mousie's Avatar
 
Join Date: Jan 2008
Location: Florida
Posts: 17,627
Default

ok, got a message that this whatever, had expired, and title would disappear in a minute....SOOOO...being the curious cat i am, what in the world did you all see at craigslist????? :roll:
Mousie is offline  
Old 05-02-2009, 08:41 PM
  #18  
Senior Member
 
motomom's Avatar
 
Join Date: Mar 2009
Location: Aledo, TX
Posts: 672
Default

Originally Posted by quiltncrazy
ok, got a message that this whatever, had expired, and title would disappear in a minute....SOOOO...being the curious cat i am, what in the world did you all see at craigslist????? :roll:
Quilt store for sale in California.
motomom is offline  
Old 05-02-2009, 10:43 PM
  #19  
Junior Member
 
okie3's Avatar
 
Join Date: Feb 2009
Location: Guymon, OK
Posts: 113
Default

We didn't have a quilt store but had a Cable repair and spooling business for 25 years and it managed to feed 3 families and keep them in insurance.
I was so glad to see hubby sell it last year!!!!!!!!!! I was the book keeper for 20 of those years and belive me taxes and lic. uncle sam etc. can drive you insane!!!!!!!!!! Hubby is under contract to run the place for the new owners for the next 3 years --making more money than he ever paid himself, and gets 3 weeks vacation a year (before maybe 2 weeks but always on call). This is so much nicer.
Quilt store I'd never make it I'd want to play instead of sell. :D :D :D
okie3 is offline  
Related Topics
Thread
Thread Starter
Forum
Replies
Last Post
weasier22
Links and Resources
8
05-05-2014 08:14 AM
himnherr
Main
28
06-02-2010 09:16 PM
nursie76
Pictures
40
05-15-2010 05:56 PM
rutcat
Main
27
01-17-2010 08:42 AM

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


FREE Quilting Newsletter


SEO by vBSEO ©2011, Crawlability, Inc.