Local hospitality trade supply shop

Hotels, motels, pubs, restaurants, cafes and caterers, plus some walk-in buyers from the public.

You sell stock at a margin over wholesale cost. Trade accounts, regular deliveries and bulk orders give the steadiest sales.

• Sales and account management
• Stock control and buying
• Customer service
• Managing cash flow

• Commercial lease commitments and zoning, so check with your local council before signing
• Stock tied up in cash, so start with a focused range and reorder as you learn what sells
• Public liability and product liability insurance, plus workers compensation insurance once you hire (check your state scheme)
• Check Australian Consumer Law obligations on product safety and returns
• Registering for GST once you reach the turnover threshold
• Credit terms for business customers carry a risk of late or unpaid invoices

Estimates typically put startup costs at around $30,000 to $120,000, depending on your premises, fit-out and how much stock you buy. Starting with a focused range can stop too much cash being tied up in stock.

Monthly revenue is typically estimated at around $12,000 to $55,000, depending on your range, location and how many hotel, pub and restaurant accounts you win. Plan on at least about 35 hours a week.

Check commercial lease commitments and zoning with your local council, public and product liability insurance, workers compensation once you hire, Australian Consumer Law duties on product safety and returns, the GST threshold, and the risk of late-paying business customers.