Coffee with Glen, CEO of Brazzlebox
In one of my ventures I was part owner of a few seasonal Halloween stores for a few years. One company I had no operational control and the other one I did. The one where I had no operational control I was under the mercy of that person’s expertise and ability and it was an absolute disaster. The person knew the industry because they had owned stores before but since they looked for seasonal locations in many states (states they were not familiar with) they failed miserably on finding the right spot. In one case the spot was only 1/2 mile of being in the ‘right’ spot. It was so critical that proper research was done to ensure the location was sufficient to grab the suburb or college market. A disappointing result overall as expenses exceeded revenue…Boooooo!!!!
The one where we had control actually did have a good revenue outcome. It was a location used the previous year by Spirit of Halloween so we knew we had a good spot. We had product and a great themed store. The tricky part here was that the rent of the location was way too high. Always see if landlords will allow you to pay based on percentage of sales versus large fixed monthly payments. This will help as if you have poor sales one month you can still operate and the landlord wants the building to have tenants so you can sometimes negotiate. Avoid the personal guarantee at all costs – the market is starting to benefit the business owner, shop around for one space that doesn’t expose you to ridiculous terms.
I bring these up to show you that now all ideas work out and not all businesses and partnerships work out. Don’t let that stop you!
There is no shame in failing – there is only shame in not giving it your best shot.