How to Open an Independent Bookstore Business

Marketing will be crucial to your success, and that means identifying the unique things your bookstore does well and promoting those into your local community..

Look at what your competitors are doing and think of a way to set your bookstore apart. Don’t try to compete with online businesses — you’re offering a different kind of service, so play to those strengths.

Clearly identify exactly who your customers are likely to be, where they hang out and how you’re going to reach them. Although you can rely on some local footfall, if you can learn who is interested in your bookselling niche, you’re more likely to be a success.

Speak with potential customers to understand what they want from your bookstore. Try, tweak and test what you’re selling to see what does well.

The location of your bookstore will be vital. You’ll need somewhere that has good passing traffic with enough space so you can display a decent selection of books. You’ll also need storage space for your inventory. Talk to other local business owners to establish the best places in your city and inquire with commercial real estate agents so you can figure your lease and rental costs into your business plan.

Marketing will be a huge part of your bookstore business. Naturally, you will need an awesome website, but you'll also need to get branding, newsletters, digital ads, social media accounts and other channels in place. You should leverage your local community offerings in your marketing to make your bookstore attractive to your niche customers.

You may not need employees to begin with, especially if you’re operating on a low budget. As your bookstore expands and becomes more popular, consider taking on some part-time help to cover busy periods. You may also hire temporary employees during busy times of year like the holidays.

You will need a separate business bank account for your bookstore business. You might also want to consider a business credit card. Additionally, you will also need to keep careful bookkeeping records and file business and personal taxes. Here at Bizee we can even help you file your taxes.

You will need a fair amount of fixtures, fittings, equipment and inventory to get going. You’ll need to furnish your store, including bookshelves and displays. You’ll also need a cash register and a counter for taking payment. You may need to carpet and paint the space, and you will also need a good stock of books.

Bookstore entrepreneurs make extensive use of software; see our great list of the top apps at the end of this guide.

Workers’ compensation insurance provides coverage for job-related illnesses, disabilities or injuries that affect employees. Regulations for this insurance vary from state to state. It typically covers areas like medical costs, loss of earnings, compensation and retraining.

This insurance protects your bookstore business from claims due to being sued. This may include injury to members of the public, property damage, personal liabilities, legal defense and more. It can help protect your business from financial penalties and bankruptcy. This type of insurance could be essential to your bookstore business, since you have customers on the premises and will want to be insured against possible injuries.

If you are working from home on the administration of your bookstore business or driving a vehicle for work, check whether your existing home and auto policies cover you for work use of your home or car. If not, you should either expand your policy so you’re covered or get dedicated business insurance.