Local trailer parts and hitch shop

Utility, boat, horse and camping trailer owners, farmers, contractors, small haulage firms and repair workshops.

Mark-up on parts and accessories bought from wholesalers, plus repeat trade accounts with workshops and contractors. Some shops also charge for fitting hitches or wiring.

• Basic mechanical knowledge of trailers and towing
• Customer service and product advice
• Stock control and ordering
• Building trade relationships

• Stock ties up a lot of cash, so start with fast-moving items and grow from there
• Hitches, brakes and safety chains are safety-critical, so check product liability cover and supplier warranties
• Trailer rules and standards vary by province, so check your provincial transport ministry
• Commercial general liability and property insurance, and check municipal zoning and business licence rules for your unit
• Sales tax: check GST/HST/PST registration for your province, and Quebec's French-language rules if you open there
• Business is seasonal, with spring and summer usually busiest and winter slower

Estimated startup costs are typically around $40,000 to $150,000, depending on premises, fit-out and how much stock you buy. Stock ties up a lot of cash, so many owners start with fast-moving items and grow from there.

Estimated monthly revenue is typically around $15,000 to $60,000, depending on location, stock range and trade customers. The business is seasonal, with spring and summer usually busiest and winter slower, so plan your cash flow.

Check trailer rules and standards with your provincial transport ministry, product liability cover and supplier warranties for safety-critical parts, municipal zoning and business licence rules, insurance, and GST/HST/PST registration. Quebec has French-language rules.