Charity Shop

MBP275
October 2005

Contents

The business idea
Customers and market trends
Key start up considerations
Sources of further information

The business idea

A charity shop sells second-hand and new products to raise funds for a particular charitable organisation. Goods are donated to the shop and may need repairing or cleaning prior to being offered for sale. Second-hand goods stocked may include clothing, books, furniture and household equipment. Many charity shops also offer a branded line of gift cards, chocolates, pens and other small items that can be purchased new.

Charity shops are often situated on local high streets to give maximum exposure to the charity and the products on offer. They are staffed almost entirely by volunteers and profits from sales in the shop are invested in the charity.

Customers and market trends

  • Students and other individuals on a tight budget may choose to purchase items such as books, clothes and household bric-a-brac from a local charity shop.
  • Fashion-conscious individuals often enjoy scouring the racks of charity shops for second-hand retro and vintage clothing.
  • Individuals who wish to support the particular charity may choose to purchase certain items from a dedicated shop. This may include second-hand household items as well as new, branded goods, cards and gifts.
  • Charity shops can be a good place to find rare albums, books and clothing for serious collectors.

Key start up considerations

The immediate priority will be to find suitable premises, with space to display and store goods. You may also wish to provide a space for sorting and pricing new stock. It is essential to locate this type of store in a prime location to attract passing trade.

It may be worthwhile gaining some retail training. The Retail Academy (www.retailacademy.org) runs an online Certificate in Retail Principles covering visual merchandising, security, product planning and legislation. Alternatively, City and Guilds (www.city-and-guilds.co.uk) runs target awards and certificates in retail principles.

Sources of further information

Association of Charity Shops
Code of conduct, FAQs, news articles.
www.charityshops.org.uk

Institute for Volunteering Research
Research on the voluntary and charity sector.
www.ivr.org.uk

Charity Commission
Guidance, legal and taxation information for charities.
www.charity-commission.gov.uk

This information is meant as a starting point only. Whilst all reasonable efforts have been made, the publisher makes no warranties that the information is accurate and up-to-date and will not be responsible for any errors or omissions in the information nor any consequences of any errors or omissions. Professional advice should be sought where appropriate.

© 2005 Cobweb Information Ltd

Reproduction or copying of information in this Bulletin is strictly forbidden without prior written permission.