4 Ways to Use a Loan for Your Liquor Store
In this post, we’ll review four ways that you can utilize your loan to grow your liquor store.
1. Hire Additional Employees
As you likely know, being understaffed can be extremely detrimental to your business. You need employees who can assist customers who are making their selections, restock inventory, and manage the register, just to name a few examples. In addition, if an employee is sick or takes a vacation, you’ll need to ensure that someone else can work in their place. If you’ve noticed that your store has been understaffed, you should use your loan to hire additional staff members.
2. Purchase More Inventory
There’s nothing worse than having customers visit your store, only to walk out empty handed because your shelves aren’t stocked with the beer, wine, or liquor that they were looking for. Many business owners run into inventory issues, either because they can’t afford to place larger orders, or they simply don’t want to spend more money on expanding their options. Unfortunately, this can be a crucial mistake. If patrons realize that other local liquor stores have a wider selection, they won’t return to your establishment in the future. To avoid this, use your business loan to order more of existing inventory, or purchase new options. You could also offer glassware, gift bags, corkscrews, and other accessories that can accompany liquor purchases.
3. Open Another Location
If your liquor store is already profitable, you should consider how you can continue increasing your sales. One way to do this is to open an additional liquor store, so that you can serve more customers (potentially in a different geographic area).
Of course, opening another liquor store comes with considerable expenses; you’ll need to pay for another location’s rent, utility bills, interior décor, employees’ payroll, and more inventory. To afford these costs, having a business loan can be imperative. Although you’ll want to invest in your new store, it’s important that you don’t neglect your existing establishment. With your loan, you can make investments in your new location, without having to dip into the sales that you’re making from your original store.
4. Increase Marketing
If your liquor store isn’t’ as profitable as you’d like it to be, you should focus your efforts on acquiring new customers. Using your business loan, you can invest in online advertising, register for business listings in different databases, pay for print advertisements in local publications, and try other marketing strategies. Since you have a loan, you’ll be able to try different marketing ideas, and then spend more money on the strategies that are most profitable.
How Will You Invest in Your Liquor Store?
Now that we’ve reviewed a few ways that you can utilize your loan, it’s time for you to consider how you can improve your liquor store. Every business is different, so you should determine the areas in which your business needs to be upgraded. Don’t be afraid to ask your existing customers, employees, or other business owners for their feedback. This can be very useful as you prepare to invest in the future of your business!
Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved, or otherwise endorsed by any of these entities.