How did all you independants get your business started?

[stephanie]

I am seriously considering opening my own dispensary. I just really have no clue as to how to go about doing it. I know it is going to take lots of capitol, but other than money what else? Any input would be greatly appreciated. I would really much rather work for myself if I could. This has been a dream of mine for awhile now I just would love to be able to attain it before I regret it.
Thanks!!!
Steph

[eyedude]

You have to try or you will always wonder "what if". You must start with the three most important things, location,location and location. It really makes a difference. Next try to form an association with doctors who are affiliated with insurances. It's the future and the future is now. Everyone belongs to some health plan and those that don't accept them won't be around. Have a large selection. Advertise wisely. It's the rare curcumstance that an indepentant can stay in business without the above, hard work and luck. Go for it. Take your best shot. That's the experience of my 22 years of being an independant optician.

[new_eyeguy_01]

I had a family member open up a small dispensary about 20 years ago. they did well, but got burned out after about 4 years. all the right moves were made.they first got 3 investors to help them out with finance, found a location in a little strip mall, and went after it. 2 years rolled by and they had made enough money to pay off the investors. they then purchased an edger, new fixtures, and increased inventory to acommodate their customers. they were able to hire 2 extra people to help, and started spending less time at their store. This is where you have to be careful. it wasn't long until the business was failing. sales went down, they got scared and closed it down. The managed care issue spoke of in the previous message is more important these days than 20 years ago also, but you shouldn't have to rely totally on people who have insurance.all the paper work from 3rd party will require a full time person to take care of that alone. If this has been your dream for quite some time, how about shooting for reality? look at competition, location,etc, before getting serious with the bank. post me and let me know how you're doing! Good luck !

[Texas Ranger]

Stephanie, Now that you're an ABOC, you know that you have some basic professional skills, and you've had most of your dispensing opportunities due to the market position of your employer, with that particular niche. I think being independent means just that, finding your own niche! It has to be YOU! And that can be really really great, but it can be tough working for YOU! Be realistic about being your own boss. There are some things that can help; go to the bookstore and get a book called SMALL BUSINESS KIT FOR DUMMIES. Pretty good stuff. Now look up the SBA's SCORE office and talk to them, they can be a great source of info and assistance in aquiring business capital. And, realistically, it can be done for less than you think. If you have finish lab skills, get a dry-cut patternless edger, if not check out the trace and transmit systems. but, in house edging gives superior customer service and keeps lab bucks in YOUR pocketbook. don't ignore supplier purchase discounts and buying groups. carry a good variety of frames. don't worry about insurance stuff that sucks your blood(profits) out of your business. Check with your Chamber of Commerce, research the competition. don't waste too much on advertising!! get a good computer program like Eyecom2, it helps with marketing, post sell, and future correspondence! Be-DoHave; Be committed, Do the work, Have your goal.

[Jeff Trail]

You might be surprised about the cost of opening a retail store.. the last one I opened I did it for less then $35,000 (including lane) ... the best bet is make sure you have a good base of contacts.. Check on all options on frames as well as alternate suppliers.. I have a guy in Ft. Lauderdale who goes and buys direct from the factories and I usually pay .25 on the dollar for first quality frames (not discontinued) .. also check the web for frame displays or make your own.. my first store I used cherry and did all my OWN frame boards.. you would be surprised how easy t is to make your own stuff .. second you might be surprised but I found all my furnishings at auctions and flea market (it was mainly antique furniture) alot of refinishing but I did it all myself.. on my first go around in retail I stocked up as I went along so when I was ready to make my move I had the majority of stuff on hand and payed for.. took a little longer but I opened my first store for around $15,000 since I had most everything I needed but frames and the business side of it (rents etc. etc.)
Nice thing about it? I have sold both stores to an OD about 6 monthes ago for over $200 thousand ..not a bad return for 9 years work... My biggest recomendation is be patient and be smart... stock pile stuff that way you are not starting out in the hole so far you can lose it all with just a few monthes of lousy sales :)Try to decide how you want the store to look and then build it up, watch for good deals on stuff, and PAY as you go, you'll be surprised about how it seems you can build up you "stuff" and it's not costing you a arm & leg ... plus you need to make sure you cultivate those contacts (OD's and MD's) they are the ones that really will make the difference between you making a "living" or really MAKING a "living" ...
Good luck.. and feel free to ask questions, maybe between all of us we can help you out some :)

JEff

[PAkev]

Steph,

You may want to consider an angle which makes you different than everyone else rather than just selling eyeglasses. This could be service or product oriented and built around that philosophy.

On a personal note, I began my practice 6 1/2 years ago by making house calls and visiting local nursing homes to service eyewear. This eventually led to folks telling their friends and before long my phone was ringing a few times a day to do an RX fitting here and there. To make a long story short, I now service 21 nursing homes with a comprehensive vision program and am networked with docs that do the "on location" exams for me. In addition to that, I service many shut-ins with our "on-location" optical service.

I will be opening my first retail location Sept. 5 at an Opthalmologist who recognized the value of my motivation and abilities.

I don't mean to be tooting my horn along the way here but what I am getting to is the fact that by doing "SOMETHING DIFFERENT" is what developed my success in the business. This retail business here in PA is very competetive since we are not a licensed state. However, I could honestly say that for the first several years, I didn't have any competition because I offered something which no one else offered.

Best of Luck!
Kevin T

[stephanie]

Thanks everyone for all your help. At least I know I am heading in the right direction. I always look at web pages for optical stuff on sale as well as right here. I also look in the back of my optical magazines. Jeff, I was pretty sure that I could start a dispensary for about $20,000,but when you shared how much you started yours for it made it seem much more within my reach. I believe I can get my hands on at least that much without having to beg,borrow,or steal. I already have alot of ideas, a name, and pretty much in my mind exactly what I want the place to look like. My husband knows how to do CAD and is going to design the place to my specs. He is also a very handy with woodwork and my dad can do absolutely anything! Well this is still just a dream for now, but listening to all of you guys has really put things in perspective for me and made me realize it is not something unrealistic. Also thanks Al for adding that ABOC in. I am once again full of myself with a great big head!!!!LOL!!!
Thanks again everyone!!!
Steph

[Rich]

Hi: I just thought I might pass along a gem of advice that an MD told me when I was scouting locations for my practice 20 years ago. He said, if you're GOOD, and can survive the first 2 years, you will have a successful practice. In 2 years you will start to see repeat patients, and by then your reputation will begin to become known. I'll add to his advice: Identify your "typical" or "desired" clientele and design your entire office, services, & product lines to cater to that segment. Remember you can't be "everything to everyone."

Good Luck, and enjoy the ride.

Rich.

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[stephanie]

Thanks Rich! Point well taken. If I have survived in the chain business I certainly can survive this!!! Still just in dream mode but working out the details!
Thanks Again to everyone!!
Steph