Novelty and gift wholesaler with a small unit

Gift shops, dollar and discount stores, tourist shops, market traders, event sellers and online resellers across your region.

Trade sales at a markup over landed cost, with volume discounts for larger buyers. Bigger buying volumes can improve your supplier prices, and trade customers often reorder.

• Buying and negotiating at volume
• Inventory and cash flow management
• Sales and account management
• Basic bookkeeping

• Commercial lease terms, deposits and zoning, so check with your municipality that wholesale use is allowed and whether a local business licence is needed
• Cash tied up in stock, especially seasonal lines that may not sell
• Product safety and labelling rules for imported goods (Health Canada, bilingual labelling, and Quebec French-language rules if selling there)
• Check commercial general liability and property or stock insurance
• WCB/WSIB coverage rules by province if you hire staff
• GST/HST registration and, in some provinces, provincial sales tax rules for wholesale sales

Estimates suggest startup costs are typically around $45,000 to $150,000, depending on the unit you rent, deposits and how much stock you buy. Stock is a large part of the outlay, so plan your opening range carefully.

Estimated monthly revenue is typically around $8,000 to $40,000, depending on your stock range, customers and season. That is revenue, not profit, so allow for stock, rent and other costs. Cash tied up in seasonal lines that may not sell is worth watching.

Check commercial lease terms, deposits and zoning, and confirm with your municipality that wholesale use is allowed and whether a business licence is needed. Also check Health Canada product safety, bilingual labelling, Quebec French-language rules, insurance, GST/HST and WCB/WSIB if you hire.