Originally Posted by
coupster
Having done it, I'll throw my $.02 worth in the ring. (and that's about what a LBS is really worth to an owner/operator.)
1. Its really not fun. (You'll ride more in the parking lot of your shop than anywhere else. And then, it'll be on somebody else's lower end bike.)
2. The industry model for the LBS is completely in the manufacturer/distributors benefit. Its their game, you get to play by their rules or go home (assuming they will even let you play.)
3. You'll work long hours for little $ and less respect from your customers.
4. Contrary to most LBS business models, service and repairs do have the most potential (but you'll have to bow and scrape for every nickel and dime and still have to explain daily why your prices are so high - even if they aren't)
You are so over qualified. The most technical tool you'll ever touch is a wrench. If you're lucky, it'll be a torque wrench.
Long after I closed down, another entrepreneur opened a repair only business in my town out of a commercial garage and we became friends. Last I checked he's doing much better than I ever did as a full Sales and Service operation.
All that depressingly said, your location says 'Caribbean', having spent many hours/days/weeks floating between islands, bicycles there are typically Walmart quality but there are no, none, nada 'professional' repair operations. It just might be a survivable niche if you can get a consistent parts supplier. I used to trade bicycle tune-ups (arranged in advance) on several dive resorts' 'free' fleets for dive time. I brought my own parts.
Good luck, but do it only because it'll make you happy, not financially comfortable. As a final thought, the old saying "How do you make a $1 Million in the bike business? Start with $2 Million. is sadly so true.
Thanks for the details and vivid reasoning, you guys are great on this forum.
Its great hearing your feed back especially since you have been to the islands. There are quite a number of guys who ride professionally and spend some money on their bikes in some of the islands.
I will have to do some research to see how many are DIYers. It's good to get feedback from you guys who have or have had shops.
I like your $ 1 million saying, it's sad indeed knowing its true.
I've had a few feelers from people who want to open a joint business (coffee shop + bike shop). I just don't want to spend the energy in my waning years.
I think opening your own shop would require huge energy and time investments for a not-so-likely chance at succeeding. But I've always admired the people who plow ahead chasing their dream in spite of all the nay-sayers. I also think the "perfect" location is essential --and hard to find.
Thanks for the input. Yes location is one important factor. Service, expertise, personality, pricing and honesty just to name a few more important aspects.
I know it's a huge undertaking and I have a few more options so it's great to get ideas, advice and hear about the experience you guys have.
Thanks for replying.