Independent Dollar Store: Open a Neighborhood Shop

Price-conscious shoppers, families on tight budgets, and people who want a quick nearby stop for basics.

You mark up wholesale and closeout goods and make money on volume. Margins per item are small, so steady foot traffic, good stock rotation and low rent matter most.

• Buying and negotiating with suppliers
• Inventory tracking and shelf merchandising
• Friendly customer service
• Basic bookkeeping

• Sales tax registration and a resale certificate with your state, so you can buy wholesale without paying tax
• Local business license, zoning and certificate of occupancy requirements for your address, so check with your city or county
• Product safety rules for children's items, plus recalled or counterfeit goods, so buy from reputable suppliers
• If you sell packaged food, check your state or county rules on food retail permits and expiration dates
• General liability and property insurance, and workers' compensation once you hire
• Thin margins, shoplifting losses and competition from large chains, so keep rent and stock levels under control

Startup costs are typically around $30,000 to $120,000, depending on your store size and lease, how much opening inventory you buy, and fixtures and shelving. These are estimates, so build a budget for your own location.

Monthly revenue is typically around $12,000 to $50,000, depending on location, foot traffic, stock levels and pricing. Starting hours are around 40 per week. These are estimates, and margins can be thin.

Check sales tax registration and a resale certificate with your state, plus local business license, zoning and certificate of occupancy rules. Also check product safety rules for children's items, food retail permits if you sell packaged food, and insurance.