3 Things You Should Know Before Starting an Online Clothing Store

Starting a clothing store is an exciting endeavor, but one that shouldn't be taken lightly. Businesses related to the fashion industry are always gaining ground, whether it be online or offline. What are the top tips for starting a clothing store? Here's what you need to know to set yourself up for success.

What is the Cost to Start an Online Clothing Store?

In order to start a successful business, you must first understand what your costs are going to be. This seems like a no-brainer, right? It's not as easy as it sounds, however, because there are many expenses that you may encounter. Here are some things that you should include in your calculations:

1. One-time start-up costs

2. Monthly operating costs

3. Monthly marketing costs

4. Profit margin

To understand your costs, you must first understand what your expenses are. Your expenses are the money you will have to pay out of pocket. These are the costs that no one else can pay for you.

What Are Your Expenses for Selling Custom T-Shirts Online?

Your expenses can be categorized into 4 groups:

1) Start-up Costs – these are costs that you will incur to get your business up and running. These costs include things like products, samples, equipment, packaging, legal fees, etc.

2) Operational Costs – these are the ongoing costs of doing business. You will have monthly operational costs like rent or mortgage, utilities, payroll (if applicable), health insurance (if applicable), product and supplies. You will also have annual operational costs like vacation time, Christmas party and other benefits for employees (if applicable).

3) Marketing Costs – these include any money spent on marketing materials (postcards, mailers, brochures), marketing software like Shopify or Bigcommerce, social media advertising and any other type of marketing campaigns to promote your products/services.

4) Taxes – most businesses need to pay taxes. This includes self-employment tax for sole proprietorships and partnerships as well as payroll taxes if you hire employees. If you do not understand taxes, consult with a professional accountant to help you with this.

What is the Cost to Keep Your Online Clothing Store Successful?

Starting an online clothing store can sound like a great idea, until you realize how much money it will take to get your business off the ground. Before you begin, there are several things you should know about the costs associated with starting an online clothing store. Here are three of the most important factors:

1. Your Website Costs Money

2. Inventory Costs Money

3. Hiring Employees Costs Money


Your online store will be the backbone of your business, so it’s essential to do your research up front. Even if you're a seasoned entrepreneur, there are plenty of considerations and factors to weigh before starting an online store. Above all else, don't underestimate the power of marketing, especially when it comes to reaching new customers. Your website is only one part of the equation, so think outside the box when generating interest in your new clothing brand.

To learn more about our custom t-shirt shop in Oshawa for small business, request a consultation on how to start a clothing brand with Allister.

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