Oriental rug shop

Homeowners furnishing a room, interior designers and decorators, and people looking for a special or gift piece.

Rugs are sold at a mark-up on what you paid. Extra income can come from trade sales to designers, rug repair or cleaning referrals, and underlay.

• Knowledge of rug origins, materials and quality
• Buying and stock control
• Sales and customer service
• Building relationships with designers

• Shop rent, business rates and a lease: check the terms carefully before signing
• Large amounts of money tied up in unsold stock
• Importing rules, customs duty and VAT if buying from abroad
• Accurate descriptions of rugs, such as 'hand-knotted' or 'antique', so check you can support them
• Buildings and stock insurance, plus public liability
• Check whether your planning use class suits retail for the premises you choose

Estimates suggest startup costs are typically around £15,000 to £60,000, depending on the premises, your lease and how much stock you buy. Large amounts of money can be tied up in unsold rugs, so plan stock carefully.

Estimates suggest monthly revenue is typically around £3,000 to £15,000, depending on your location, stock and pricing. The estimates assume from around 35 hours a week, so this is a full-time commitment.

Check the lease terms, rent and business rates carefully before signing, and whether the planning use class suits retail. Also check importing rules, customs duty and VAT, that rug descriptions can be supported, and buildings, stock and public liability insurance.