The sports merchandising industry is a necessity for anyone who plays sports at local or top level. Therefore a sports merchandising business must be able to deliver high quality and customisable goods. Below are some points to consider before starting your business.
Location
The physical location of your business is a critical element. It is recommended that you have both an online presence and a physical shop if possible.
Finding a physical location which you can use as a showroom in a local plaza in your region is valuable. Thus, having your own shopfront will allow you to show customers your garments physically as well boost sales through word of mouth. As local teams and leagues in the region will come to your business for their sports merchandise needs. Also if you have a shop using this as a place for customers who want to pick up orders is advisable.
On top of a physical location an ecommerce store is vital. This will allow customers to browse your inventory and customise your base products to their specifications online. Consequently, this opens your business up immensely so investing in a good online platform is advisable. Without one could result in your business being limited to your local region and deny you access into larger markets.
Starting your business
Keep in mind, before you can legally provide merchandising products you will first need to register for an Australian Business Number (ABN). An ABN allows you to be identified by and interact with other businesses. It is also a necessary requirement by the government for tax and administration purposes before you start trading.
Picking the right type of business structure for you and your business is crucial. This will determine the licenses you require, the tax you will pay and how much control you have over the business. There are many types of business structures within Australia whether you’re by yourself as a sole trader or engaged in a partnership with a business partner. Talking to a business lawyer is a great way to ensure you pick the best structure that suits your business.
Additionally, finding a name and most importantly a logo will help define your business within the industry. Protecting this is vital so registering your business name and trademarking your logo is something every business owner needs to do.
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Equipment and materials
Before you can successfully start your sports merchandising business it is important to understand the garments and equipment you source. For example, given that sports hats have a different material to jerseys different printing or embroidery methods are used. Therefore, it is important to undertake some research into how you would print on different materials that sport teams could need. This leads into what machinery and equipment you need for different materials.
The more research you do initially before starting your business will ultimately decide how efficient you are.
Suppliers
Finding the right supplier will dictate the quality of your goods. There are a lot of good Australian based suppliers which supply plain high-quality garments, but they can be costly. Suppliers for textiles work best with high volume orders in order to achieve cost breaks. Meaning the more garments, you order the cheaper they cost per unit. Thus, building a relationship with a supplier and thinking long term needs for your business is important. Ordering garments as you need them in this business pushes costs up for yourself and the consumer. So stock-up when you can.
Also don’t overlook the overseas market there are a lot of high-quality goods that are available. However, finding the right supplier and navigating shipping costs can be challenging. If you have no contacts initially overseas for garment manufacturers consider sourcing your garments locally.
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