Neighborhood phone shop with repairs

Everyday customers in your area: people with cracked screens, budget-minded buyers, families needing prepaid plans, and people who want a face-to-face place to ask questions.

Margin on phones and accessories, flat fees for repairs, and commission or activation payments if you become a dealer for a prepaid brand or carrier.

• Phone repair basics (screens, batteries, charging ports)
• Friendly selling and customer service
• Stock control and basic bookkeeping

• Local business license and state sales tax registration, check with your city, county and state
• Some states and cities have secondhand goods or used-electronics dealer rules if you buy used phones, check what applies
• Check every used phone against stolen or blacklisted device lists before buying or reselling
• Carrier or brand dealer agreements often have their own requirements and terms, read them closely
• General liability insurance and cover for stock and customers' phones left for repair
• Rules for storing and disposing of old lithium batteries, check local requirements
• Rent and lease commitments are the biggest fixed cost, negotiate terms carefully

Startup costs are typically around $15,000 to $60,000, depending on your location, stock, repair tools, shop fit-out and lease terms. These are estimates, and rent is usually the biggest fixed cost, so negotiate lease terms carefully.

Monthly revenue is typically around $8,000 to $40,000, depending on your location, the mix of phone sales, accessories and repairs, and your opening hours. This is revenue, not profit, so rent and stock costs come out of it.

Check your local business license and state sales tax registration, any secondhand or used-electronics dealer rules, and carrier or brand dealer agreements. Also check used phones against stolen or blacklisted lists, insurance, and rules for disposing of lithium batteries.