Local fabric wholesale warehouse

Upholsterers, drapery and interior workrooms, theater and costume shops, clothing makers, boat and auto trim shops and small retailers.

Markup on bolts and cut yardage sold to trade accounts, with volume discounts and net-30 terms for regular buyers. Extra income can come from trims, foam and notions.

• Knowledge of fabrics and trade customer needs
• Buying and stock management
• Sales and account management

• Check city or county business license, zoning and sales tax registration, and how resale certificates work in your state
• General liability and property insurance, plus workers' compensation once you hire help
• Cash tied up in stock and customers paying on credit terms
• Fiber content labeling and flammability requirements for upholstery fabrics, so check what applies to what you sell
• Lease terms and fire safety rules for storing large amounts of fabric

Startup costs are typically around $20,000 to $100,000, depending on your unit and lease, how many bolts you stock and your equipment. Cash tied up in stock is a major factor, so treat this as an estimate and plan carefully.

Monthly revenue is typically around $10,000 to $50,000, depending on your range, your trade accounts and how far you deliver. These are estimates, not guarantees. Running a warehouse with a trade counter usually means around 35 hours a week or more.

Check your city or county business license, zoning and sales tax registration, and how resale certificates work in your state. Also check fiber content labeling and flammability requirements for upholstery fabrics, insurance, lease terms and fire safety rules for storing fabric.