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ReStore Basics Ron Chenevert Manager HFH ReStore Baton Rouge.

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Presentation on theme: "ReStore Basics Ron Chenevert Manager HFH ReStore Baton Rouge."— Presentation transcript:

1 ReStore Basics Ron Chenevert Manager HFH ReStore Baton Rouge

2 Experience Retail Hardware Owner – 37 years Habitat for Humanity Volunteer – 19 years HFH ReStore Manager – 6 years

3 Why ReStore? Provides reliable source of unrestricted income Provide a place where public can purchase low cost materials Recycle – Reuse – Save landfills Provide an opportunity for volunteers and donors to contribute to Habitat’s mission.

4 Habitat ReStore Baton Rouge Purchased Building – June, 2003 Grand Opening – November, 2003 Start-up costs – $30,000 (lots of volunteer effort) Size – 39,000 sq. ft. display & 5,000 sq. ft. warehouse Yearly Sales – Approximately $425,000 GBR Area population – 500,000 people Staff – 5.5 FTEs Paid, 2 FTEs Regular Volunteers, 1 FTE Other Volunteers Merchandise – Primarily building materials – ALL DONATED

5 What’s the Deal Here? Donated Merchandise Volunteer Labor Little or No Competition Natural Fit for a Home Builder Non-Profit Practically Unlimited Customer Demand

6 Requirements The People The Location The Building The Customers

7 Homeowners on a budget Small apartment owners Remodelers Bargain hunters Handy men (women) Antique salvagers Many, many regular shoppers

8 The Location Destination Store – not a convenience store Area with Affordable Occupancy Costs Major Street or Highway, preferable Retail Area, preferable Note: - Seek advice of commercial real estate professional

9 The Building Size – 20,000 sq. ft. or larger, recommended Retail-type Layout, preferable – Lighting, parking, flooring, safety features – Outside “yard,” recommended Other Considerations – Cost of Occupancy – Buy or Lease

10 The People Store Manager ***The Getter*** Inventory Stockers, Pricers Drivers Cashiers Bookkeeper

11 Rocket Science? NO Get Merchandise Price Merchandise Ring Up Merchandise Sales

12 A Business? Definitely Donors and Customers require you to be a professionally run business.

13 The “Get” Serendipity Perseverance Performance

14 Donors Lumber Yards Door Shops Window Shops Plumbing Supply Companies Lighting and Electrical Supply Companies Hardware Stores Flooring Distributors Sales Reps Apartment Builders

15 More Donors Individual Donors Remodelers Still More Donors Home Improvement Chain Stores - Store Managers - RTV, RTM - Resets, Buybacks

16 The Merchandise Mix 20% Doors 20 % Windows 15 % Plumbing 10% Lighting, Electrical 5% Flooring 5% Hardware, Paint 5% Lumber 5% Roofing 5% Household Items 5% Furniture 3% Appliances 2% Other

17 What We Don’t Sell Oil Based Paint Gas Appliances Used Electrical – Switches, Receptacles, Circuit Breakers Lawn and Garden Chemicals – open containers AND Any material unsafe, unsanitary, harmful

18 Purchased Merchandise Considerations – Possible UBIT – Direct Competition to Your Donors “True” Closeouts

19 Advertising is Key Word of Mouth Good Customer / Donor Experience Television 30 Second Spots Targeted Newspaper Ads Store Signage Vehicle Signage Advertising budget is approx 5% of gross sales.

20 Nuts & Bolts Standardized Days / Hours of Operation Written Policies and Procedures Insurance – General Liability, Business Interruption, Hazard Safety and Security – Alarm Systems, Sprinklers, Emergency Lighting Accident Prevention Practices Equipment – Trucks, Trailers, Fork Lifts, Fixtures & Shelving

21 Additional Resources Austin HFH ReStore CD HFHI Training Resources Professional Retail Volunteers / Board SCORE Business Management – Colleges, Universities

22 You Never Know… A Trailer A Truck A Plumbing Supply Company

23 I Believe…. Share the Wealth Merchandise comes in four sizes: – Pickup truck load – Box truck load – Tractor trailer load – Boat load Support those who support you…

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