How to Start a Retail Fabric Store

Retail fabric stores are used by interior designers, seamstresses, and novice arts and craft lovers. Many people prefer to purchase fabric and make their own curtains, clothing, costumes, quilts, and personalized gifts. Retail fabric stores purchase wholesale fabric and resell the inventory to their customers. 

Fabric stores have little competition from large retailer chains because many have completely removed fabric from their inventory which, creates the perfect environment for a new retail fabric store. There are several guidelines to follow when you are beginning any business.

• Location is one of the most important decisions when opening a new retail store. The location needs to have ample parking and is easily accessed from the street. If the store is located in a retail strip mall make sure that customers can enter the parking lot easily without having to make a U-turn, or a left turn that is not at a stop light. This is a mistake that many businesses make when choosing their location.


• Develop a business plan to secure funding for the fabric store. The business plan needs to include the expected rental costs, employees needed and their cost, inventory cost, and what you bring to the business. Any financial institution or investors will require a business plan to consider financing the business.


• Obtain all required licenses needed for the business.  Each town and states have restrictions with business licenses so contact the local administration for what is required. If you are remodeling the store make sure you have secured building permits to avoid delays and fines.


• Shop around for wholesale fabric and supply the best quality you can for the best price.  Many people who buy fabric are concerned with the quality first and price second.


• Shop for and purchase equipment needed to display the fabric. It is crucial that the fabric is easily accessible for the customers.


• Hire employees to help run the store. Try to find professional customer service agents who know fabric and can assist the customers.


• Be an on-site owner, employees respect owners that are in the trenches with them. Businesses with on-site owners are more successful businesses.


• Begin an advertising campaign to announce the store opening.