Vaping is something that has grown in popularity and has become a massive industry as more and more vape shops are opening seemingly by the day. It is certainly a fad that doesn’t look like it will be going anywhere anytime soon. The vaping industry is expected to be worth as much as $61.4 billion in 2025. Perhaps that is why so many entrepreneurs have decided to get into the vape industry and to sell vape juice.
The Emergence of the Vaping Community
It seems that as the smoking habit died down due to health concerns and the emergence of a new generation, vaping picked up. Although vaping is not considered to be much better for your health that hasn’t stopped the countless following from picking up the not-so-healthy habit, it is after all less harmful than smoking cigarettes at least slightly. Another reason for the boost in vape juice usage all over the country is that as marijuana has been legalized many states. There are vaporizers made for marijuana use, and they just go hand-in-hand.
Vape shops are one of the fastest growing trends in the United States these days, and according to Quartz, there are 2.7 vape shops for every bowling alley in the US. There are many good reasons to open up a vape shop, but there are still a few key points that you should consider first.
Be Prepared for Startup Costs
For one, as with any business, you need to think about your costs. Starting a business always comes with at least a few costs involved and opening a vape shop comes with its own set of challenges. FDA regulations, taxes, and logistics bring their own set of challenges to the new entrepreneur wanting to open a vape shop.
When you sell vape juice, you need to be able to keep up with the demand of your customers, and you rely heavily on your supplier to keep everything running smoothly. If they have a problem, it will quickly become your problem.
You also need to think about the taxes in your area and what they are going to cost you. It may be too expensive to open up a physical shop in your area, but it widely varies depending on where you are located in the United States. Minnesota and DC currently have the highest rates and running a vape shop there can be challenging when there are online options that customers will likely buy from if they want lower prices.
If it seems doable to open up a vape shop in your area, you will also need to think about the federal, state, and local laws. You will also need to keep current on those as they tend to change.
Cover Your Assets
You will need to start as a business entity because this will protect you against any potential lawsuits. The cost to register your business will vary depending on the state you are in. You will need to follow the basic steps for starting up any business such as opening a business account, and you will need to figure out what it will also cots you so that you can be ready for it. Don’t forget that you will also need inventory such as vape batteries, vape juice, hardware, e-liquids, and so on.
You will also need insurance so be sure to work that into your budget. You should choose an insurance company that is specifically for vape shops so that you get the policies that you want.
It can be challenging to find the funding to start a vape shop since it is considered to be a high-risk entity so you may want to consider other options besides banks such as online lenders who tend to be a little more lenient. You may also want to consider crowdsourcing, family loans, and personal loans. You will also need a business credit card to fund your shop when you first get going. Don’t forget to keep up on the current market so that you can have an edge over the competition and know your community and your business towards people in it.
Be Prepared to Start Your Business
As long as you know everything that you need to know before you get started your chances of success will go up. You should also be prepared for changes to the law and regulations and keep in front of it so that you know what is coming.