Yarn and thread wholesaler with a small unit

Yarn shops, craft retailers, weaving and textile studios, knitwear brands, schools and colleges, and community groups.

Margin between your bulk buying price and your trade price. Bigger stock levels let you offer wider choice, faster delivery and volume discounts. Some owners add trade show stands or a sales agent to reach more shops.

• Buying and stock control
• Sales and account management
• Packing and dispatch
• Managing cash flow

• Cash tied up in stock, and slow-selling colours or ranges
• Unit lease terms, business rates, and whether the premises are suitable for your use
• Fire safety, stock insurance, public liability and employer's liability insurance once you hire
• Import duty, VAT and customs paperwork if you buy from overseas
• Textile labelling and product rules, check with Trading Standards
• Credit control on trade customers and agreeing sensible payment terms

Startup costs are typically around £12,000 to £60,000, depending on the size of your unit, the range of yarns and threads you stock and your insurance. Treat this as an estimate and cost your own plan.

Monthly revenue is typically around £5,000 to £25,000, depending on your range, how many shops, studios and makers you supply and your order sizes. That is revenue before stock, rent and other costs.

Check unit lease terms, business rates and whether the premises suit your use. Also check fire safety, stock and liability insurance, textile labelling rules with Trading Standards, import duty and customs paperwork, and credit terms for trade customers.