Small warehouse electronics distributor

Independent electronics and appliance stores, regional retail chains, office suppliers, schools, and small businesses buying in volume.

You sell at trade prices above your bulk cost, earning from volume, repeat accounts and sometimes supplier rebates, while managing stock and credit terms.

• Supplier and buyer negotiation
• Inventory and cash flow management
• Building trade relationships

• Many major brands have approval requirements and minimum orders, so check what each supplier expects
• Cash flow risk from large stock purchases, unsold stock and customers paying late on credit terms
• Certification, ISED approval and provincial e-waste and battery fees for the products you sell
• Commercial general liability and stock insurance, plus WCB/WSIB coverage once you hire (rules vary by province)
• Lease terms, zoning for warehouse use, and security for valuable stock
• Customs duties, GST/HST handling and a CRA Business Number for importing

Startup costs are estimated at typically around $30,000 to $150,000, depending on the unit you rent and how much stock you buy. Large stock purchases bring cash flow risk from unsold stock and customers paying late on credit terms.

Check each major brand's approval requirements and minimum orders. Also check product certification, ISED approval, provincial e-waste and battery fees, insurance, lease terms, zoning for warehouse use, and customs duties, GST/HST and a CRA Business Number for importing.

Monthly revenue is estimated at typically around $20,000 to $100,000, depending on the brands you carry and the volume your retail and trade buyers order. The estimate assumes a full-time commitment of at least about 35 hours a week.