Local plywood and sheet goods shop

Builders, renovators, cabinet makers, joiners and DIY customers who want to buy locally instead of going to a big-box store.

You buy in bulk from wholesalers or mills and sell by the sheet at a markup. Cutting, delivery and trade accounts add extra income.

• Knowing panel grades and uses
• Sales and customer service
• Stock control and ordering
• Safe lifting and forklift handling

• Commercial general liability and property insurance, and cover for stock stored outside
• Zoning and any business licence for your unit, check with your municipality
• Thin margins and price swings from suppliers, so check how quickly you could pass on cost changes
• Trade customers often expect credit terms, so check how you would manage late payments
• Safe handling of heavy sheets, forklift training and WCB/WSIB coverage once you hire (rules vary by province)
• Damp, warping and winter storage, so plan covered, dry space

Estimates suggest startup costs typically run around $40,000 to $150,000, depending on the unit or yard, how much stock you carry and any equipment you buy. Get quotes from suppliers and landlords to firm up your own number.

Estimated monthly revenue is typically around $15,000 to $70,000, depending on stock range, location and how many trade customers you win. The estimate assumes at least 40 hours a week. Margins can be thin, so revenue is not profit.

Check zoning and any business licence for your unit with your municipality, plus insurance including cover for stock stored outside. Also check forklift training, WCB or WSIB coverage once you hire, and how you would handle trade credit and late payments.