Solar hot water trade supplier with a small unit

Local plumbers, heating engineers and renewable energy installers, plus householders, landlords and small builders.

Margin on goods bought at trade price and sold on, with extra from complete system packages, delivery charges and trade accounts for regular customers.

• Good technical product knowledge
• Stock control and purchasing
• Building trade relationships
• Managing cash flow and supplier credit

• Stock ties up cash, so start with a narrow range and reorder based on real demand
• Check that products carry the right UK safety and conformity marking, and whether WRAS approval is expected for water fittings
• Public liability, product liability and stock or contents insurance, and employer's liability if you hire
• Check business rates, planning use class and any lease terms for the unit with your council and landlord
• Installers may expect trade credit, so check how you will manage late payers
• Solar thermal demand can be niche, so consider also stocking related heating and plumbing products if your suppliers allow it

Startup costs are typically estimated at around £15,000 to £60,000, depending on your unit, how much stock you hold and your fit-out. Stock ties up cash, so starting with a narrow range may help.

Monthly revenue is typically estimated at around £5,000 to £25,000, depending on your range, local installer demand and pricing. This is revenue, not profit, so stock, rent and running costs come out of it.

Check that products carry the right UK safety and conformity marking, and whether WRAS approval is expected for water fittings. Also check insurance, business rates, planning use class and lease terms for your unit, and how you will manage trade credit.