Starting a Business|Advice for New Retail and Distribution Based Businesses
Starting a business can be very expensive. There are countless costs to consider from insurance, to staff and before you know it you will be operating on a huge deficit. It is sensible to save as much money as possible when starting-up and unnecessary expenditure is not advised. If there is an area where you can save without compromising your service it is worth considering. Many entrepreneurs starting a business make the mistake of not holding back on spending, buying the newest and best equipment before they have any customers or clients. The most sensible approach is to spend as little as possible and then, as your client base grows, upgrade your equipment accordingly.
Large and medium sized retail operations are amongst the most expensive businesses to start as they require a frontage, in the form of a shop, website or both as well as storage space for stock. Starting a business that requires its own distribution and warehouse space is likely to be expensive to establish so saving on equipment is especially important. One of the best areas to save money is on pallet racking and shelving. Depending on the size of your warehouse brand new racking and shelving can be very expensive. Even smaller warehouses can be expensive to deck out and the costs of new equipment can mount up fast. On top of the actual racks and shelves there is also equipment such as forklifts, safety equipment, signs and floor markings to consider.
Instead of purchasing new racking, shelving and other warehouse equipment it is wise to get second hand equipment. This is widely available, usually from the same companies that sell new equipment. Even the most advanced racking and shelving equipment is available second hand, especially in the current economic climate which has seen thousands of companies go bust every month. When buying used equipment, especially racking, you need to be confident that it is fit for use.
Starting a Business|What to look for when buying used warehouse equipment
Quality – There is no point in buying used equipment if you can’t use it yourself. Be sure to inspect anything you plan on buying. Good pallet racking doesn’t have to be expensive, but on the other hand not spending enough could cause serious problems. Only buy from companies that have high standards. If a company is not bothered about its reputation they will happily sell you equipment that isn’t up to standard.
Quantity – Make sure the company you are buying from has enough second-hand racking stock to meet your requirements. You don’t want to be buying different stock from various companies. Stick with larger, trusted suppliers to get the right amount of what you need.
Source – Only buy from a source that you trust. If the company seems shady don’t take the chance. Stick to companies that have a long history and a reputation. Dodgy companies may sell you equipment that is ineffective and more importantly dangerous.
Support – If you can find a company that will provide support even though your equipment is second hand you know you can trust them. It is important to regularly inspect warehouse equipment, racking and shelving in particular, because damaged or faulty equipment can be very dangerous.
If you are planning on buying used warehouse equipment make sure you shop around. There will be some excellent deals out there, especially at the moment. Remember that the cheapest equipment will not be the best. And in the same way you can get exactly what you need without paying over the odds.