A serious question.

[Griz]

I always joked with my wife about opening a cigar and pipe shop/lounge when we retire, I own ground across the road from my house and we jokes about getting on of those delivered storage sheds and really making it nice inside with a walk in humi at the back and a smoking area in the front.
Well, I just found out two weeks ago that I am going to be loosing my job, I am getting at the age that it's gonna be dang hard to buy a job let alone that, I have both knees need replaced, my back is totally shot 2 herniated 2 bulging one disc that is gone, diabetic and a heart problem. I will be at my job till they get all the details worked out to get rid of my department, so my question is;
Do you folks that are in the business think I am nuts for thinking about doing this. I am 2 miles out of our small town of a population of @1200. The next town is 12 mile from me and a population of @7000. The closest place to get a good cigar and sit down to smoke it is probably 1 hour and 20 minutes away. One in Pittsburg and the next closest is Cumberland Md.
Be honest with your posts, maybe I am just grabbing straws cause I am so overwhelmed with the thought of unemployment.
O, my wife is 100% behind the idea! as a matter of fact! she wants to order the building now..... We put a building like this up in my woods and you can really fix them up dang nice, we use it for a cabin. It's a nice place to spend some time enjoying a smoke.

 

[Ducttapegonewild]

I am of the opinion that opening up a small business is much better than working for someone else any day of the week. The only issue I would have with tha would be what is the cigar smoking population like in your area? How much do you plan on investing and will you need loans? If loans aren't a concern, and the only thing you're doing this for is a retirement hobby, then I'd say go all in!!!

 

[Angry Bill]

I agree, ias long as you aren't going into major debt in opening up the lounge and start up costs, then it would be a wise investment, if there was a market for it. If you only have 50 cigar smokers in your area, then it might not be prudent. I would need more details to give an educated opinion,

Also, you will need merchandise to fill the humidor, which might be the harder part of the plan. It takes contacts to get the contracts and inventory in place,

 

[mdwest]

Lots to think about other than just the initial investment and developing a business plan...

Every state is different in terms of licenses and taxes related to being a tobacco retailer.. some I understand are pretty easy to deal with.. other states can make getting licensed a painfully slow and difficult process..

If this is something you want to do in a matter of weeks.. or even a couple of months... depending on your state.. that may or may not be feasible.. it could be a potentially long process...

Then you have to go through the process of setting up accounts with the various cigar companies... some are easier to work with than others.. some will sell to anyone that wants to buy from them.. others will only allow you to carry their lines if youre not in the immediate vicinity of another B&M carrying their product.. you have minimum order amounts, etc..etc.. to deal with... all of that takes time as well..

Not saying your idea isnt a good one...

just saying take a hard look at the amount of time its going to take to get it up and running (among other things you need to take a hard look at).. and see how that compares to your time line for loosing your job....

opening a B&M is different than opening other retail type businesses where for the most part you can obtain a license in 24 hours, put a lease on some space, and be in business within a week if you want to..

 

[Angry Bill]

Lots to think about other than just the initial investment and developing a business plan...

Every state is different in terms of licenses and taxes related to being a tobacco retailer.. some I understand are pretty easy to deal with.. other states can make getting licensed a painfully slow and difficult process..

If this is something you want to do in a matter of weeks.. or even a couple of months... depending on your state.. that may or may not be feasible.. it could be a potentially long process...

Then you have to go through the process of setting up accounts with the various cigar companies... some are easier to work with than others.. some will sell to anyone that wants to buy from them.. others will only allow you to carry their lines if youre not in the immediate vicinity of another B&M carrying their product.. you have minimum order amounts, etc..etc.. to deal with... all of that takes time as well..

Not saying your idea isnt a good one...

just saying take a hard look at the amount of time its going to take to get it up and running (among other things you need to take a hard look at).. and see how that compares to your time line for loosing your job....

opening a B&M is different than opening other retail type businesses where for the most part you can obtain a license in 24 hours, put a lease on some space, and be in business within a week if you want to..

Spot on advice.

 

[Drez]

I love the idea of opening my own shop, but realize that is all it will likely ever be. The costs involved with stocking quality products will be immense to begin with. The cost of actually having a professionally built walk in humidor that does the job it is supposed to do will also likely be very expensive. The product must be in demand, otherwise you'll be scraping buy with minimal output..

As with all of the points mentioned above, insurance and permits will play a big factor in initial costs..

And the final point, as far as time is concerned right now..With the government looking to hammer the tobacco and related industries, is it even feasible to become a start up with nothing to fall back on? If it is something you can afford to start, be sure it is something you can afford to fail also.

 

[rfraser]

Just like Drez said, I love the idea. Bit also like hr just said, the government is hammering down on the industry. And it may ne tough, depending on your states regs. If its like AZ, where I believe all you need is some sitting space and ventilation. Good luck in whatever u choose.

 

[Ducttapegonewild]

Another option, rather than being a cigar shop per se would be to create a club house, a place to smoke cigars out if the weather. Small membership fee, to keep the lights on, and a small humidor to keep personal smokes in. Locker style. Of course, you'd have to put pictures of the little rascals up and a sign that says no girlz allowed... Of course they would be...

 

[Craig Mac]

High start up costs, uncertainty of FDA regulation, increase in smoking bans, risks associated with small business... I'd pass on the idea personally.

 

[Cardinal]

Sorry to hear about your predicament. I can't imagine how tough that must be.

I think besides the licensing questions, you really need to get a handle on how much it costs to get started. I've read somewhere, maybe it was here on this forum, about getting up into the $200,000+ range to get a small shop up and running. The humidor is immensely expensive, as is all the lounge area stuff. Then you're in huge dollars for your inventory.

At that point it's probably years before you break even, if you do. And being in a small population area might make it tougher.

I'm clearly no expert, just repeating what I've read since I've had the same thought run through my head about owning a shop someday.

Good luck on everything.

 

[Bill]

I'd be afraid that as soon as I got going I'd get boned by local, state, or federal legislation. Tough decision for sure. A lot of people took out big loans on roll your own cigarette machines and then we're forced to stop using them. Scary situation to me.

 

[eastcoast paul]

What ever you end up doing i wish you the best of luck.

 

[Griz]

Yeah, most of you are thinking the same way I am, just a pipe dream, but , man, my misses is all heped up and ready to get started. I ain't gonna do it though, I'm just too dang old to start this kinda venture, as for a job.... Who knows, I got a very small stash that will keep me for a couple months and after that, it'll be up to the good Lord to help, He knows there ain't no jobs here to be had. There was a 25 hour a week job posted at a community college in Cumberland and they got way over 200 application, there just isn't work here. Thanks for all the sound advice guys, helps me try to talk her out of this...