A vape shop is a special kind of shop where people buy electronic cigarettes or e-cigarettes and other related products such as vape juice or e-liquid. Electronic cigarettes are a less destructive kind of cigarette that is used by smokers instead of smoking tobacco directly. It is known to aid smokers to slow down on smoking and eventually may lead to quitting. Vape juice is liquid which is put in an atomizer creating delightful flavors. It has has different flavors and different nicotine strengths.
When it comes to starting a vape shop, an entrepreneur should take into consideration a few things. A vape shop can be challenging to set up since the government has put the taxes, FDA regulations and other important regulations which govern the operations of vape shops. These regulations also look into the selling of electronic cigarettes and vape juice. Following these strict regulations will aid in the success of the vape shop as a business.
1: Consider the local or state vape taxes
The amount of vape tax that is charged depends on the place or the state that the business is located. Under normal circumstances, vape products attract very high excise taxes. States and counties that do charge excise tax do so by calculating the vape product’s market value and then calculate the excise tax as a percentage of the market value. This is applied to electronic cigarettes. When it comes to the vape juice, the excise duty is calculated in terms of a milliliter of the juice or per unit of the liquid.
2: Consider all the regulations such as business registration, FDA regulations, permits and licensing
Once you have decided that you want to start a vape shop, the next thing is to research and know the regulations that have been put by the state regarding the operations of a vape shop. There are strict regulations that have been put in place. Since 2016, FDA regards electronic cigarettes as tobacco and one will need to act in accordance with the set regulations on selling vape products.
One of the FDA regulations is labeling all tobacco products that are covered. This includes all advertisements and vape product packages. You will also need to apply for business permits and licenses to be allowed to operate the vape shop legally. The fees charged for the permits and licenses will depend on the business location. Like any other business, you will also need to ensure the business against any unforeseen disasters.
3: Consider the important start-up costs
Starting any new business requires money. First, you will need to establish where the business will be located. Once you have secured a place, you will need to find a reliable supplier and a point of sale. The vape shop will also need accounting software. This is where all the product movement will be put.
The software will be useful in placing purchase orders and monitoring stock movement. It will also be able to predict whether the business is making a profit or a loss. The vape shop will need to be fully stocked before the operation. Some of the essential things are; e-liquids, vape juice, replacement coils, vape batteries, and battery chargers.
4: Make use of the community
Owning a vape shop requires looking for ways in which one can bring the community together. As a business owner, you will need to host events such as book signings and movie nights for the community. This will also mean that besides vape juice and e-cigarette, the business will also need to be stocked with beverages and snacks.
Another thing to consider is the shop layout. The shop needs to be spacious to allow clients to interact with each other. It also needs to be clean, comfortable and inviting. This means one needs to invest in quality furniture and décor.
In order to grow the business, you will need to have a good marketing plan. Make use of social media such as Instagram and Facebook to spread the word about the vape shop.