Second-Hand CD Shop

Local music fans, collectors, students, gift buyers and people who want to sell their collections.

Shop sales at a markup over buying prices, plus online sales of rarer discs. Extras such as trade-ins, gift cards and in-store events can add steady income.

• Strong music knowledge across several genres
• Pricing and buying stock fairly
• Customer service and running a shop

• Rent and a lease commitment are the biggest risk, so test demand before committing
• Check whether your city or province requires a second-hand dealer licence or records of items you buy
• Get commercial general liability and contents insurance, and check WCB/WSIB rules before you hire staff
• In Quebec, check French-language rules for signage and customer communication
• Register for GST/HST once you pass the small supplier threshold
• Only stock genuine original discs, and keep records of where you bought your stock

Startup costs are typically estimated at around $15,000 to $60,000, depending on your premises, stock and fit-out. Rent and a lease commitment are the biggest risk, so test demand before committing to a lease.

Monthly revenue is typically estimated at around $5,000 to $20,000, depending on your location, stock and whether you also sell online. These are revenue figures, not profit, and the estimates assume at least about 35 hours a week.

Check whether your city or province requires a second-hand dealer licence or records of items you buy. Look into commercial general liability and contents insurance, WCB/WSIB rules before hiring, GST/HST registration, and French-language rules for signage if you are in Quebec.