Entrepreneurs have to have creativity in their very lifeblood, as unless they’re able to think as they are running, to make reasonable decisions under pressure and to move with the times, it will be difficult to survive, quite apart from being prosperous and successful. If you are looking at buying a business already in existence, you must be creative. This is certainly true when looking at a potential liquor store for sale. There might be a lot behind the scenes that you need to know about and you should be able to assess its potential thoroughly. Treat the facts and figures given to you by the seller as the basis for your decision by all means, but if you’re able to look at it from a creative angle, you might have many more reasons to help you make your decision.
Some people refer to their nearby liquor store as an essential place, for vital goods. In many cases it’s almost as important as the local pharmacy or gas station/convenience store and statistics show how the retail liquor industry contributes to the economy as a whole. According to the US Economic Census macallan, liquor retailers accounted for about $27 billion in annual sales, representing 7% of the entire sales revenue net from American businesses combined! There are close to 30,000 beer, wine and liquor stores in the United States.
If beer, wine and liquor are so important to us, then surely we should go ahead and buy liquor store business assets as soon as we can? As we said, the facts and figures associated with the particular business you have in mind will be assessed during the due diligence exploration phase, but the larger picture should be in your mind. Location is very important when it comes to buying a liquor store, as this is seen by many as a convenience issue. Customers want to know that their liquor purchase will not involve a convoluted trip around town and these are the consumers that you really want to please — regular, repeat buyers.
Consider the competition. You might be unlucky to find one of those big-box retailers nearby who have a liquor store department. It’s certainly true that larger retailers are considering this kind of move, but liquor purchase appears to be more of a standalone activity, rather than one which is combined with a shopping trip to the grocery store. Therefore, ease of access is everything, as customers pop in and out of their local liquor store.
Above all else, be creative when assessing the potential, and keep in mind that you may need to be particularly creative when it comes to inventory management. Balance the inventory that you buy carefully to maximize its profitability. Some wine distributors will give you significant discounts according to the case quantity that you buy, but you must always ensure that you sell it in a timely way. Conversely, as a rule of thumb, you don’t want to be storing and refrigerating beer for any length of time, so you should practice good logistics when ordering according to demand. For seasonal drinks and specialist wines, ensure that your marketing efforts are finely tuned to peak when you buy your inventory, as this will ensure that you’re employing “just in time” delivery tactics to maximum effect.