Startup Idea: How To Set Up A Washing Machine Spares Company

Let’s face it; we all use washing machines in our homes. If we didn’t, our clothes would be quite dirty and smelly after a while! They are the workhorses of any home, yet they are usually the most neglected of appliances.

We expect our washing machines to last forever. But, like anything electro-mechanical, parts will start to wear out. And when that happens, we have to get our washing machines fixed or just cheat and buy a new one.

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These days, there is a great emphasis on repairing rather than replacing. It’s more cost-effective, and it means we get to divert waste away from landfill sites. As you can imagine, the washing machine spare parts market is enormous! It’s also a lucrative industry, as there aren’t scores of firms that offer spares.

If you’re thinking of setting up a new firm, washing machine spare parts is a profitable business to set up. In today’s article, I will show you how to get started:

Register your new business

Before you can do anything, you first need to establish your business. That means registering it with the relevant government departments. It’s an important step, as it means you will get a tax ID and can register the correct legal entity.

On that subject, it makes sense to set up an incorporated company. Many suppliers of wholesale parts and equipment will only deal with companies. And you’re more likely to attract big contracts if you’re not just a sole trader.

Lease some warehouse space

Next, you’ll need to lease some premises suitable for storing stock. It’s worth viewing a few different places in your local area so that you can select the best one for your needs. You could, of course, drop ship parts instead of stocking them in-house.

Photo Credit (Source: Wikimedia Commons)

But, the issue with that approach is you have to rely on third parties to send your orders out. And, of course, you won’t know whether they got picked and packed as per your instructions.

Stock common parts

You will need to identify the most common parts that people buy for their washing machines. These are often items like cylindrical roller bearings, belts and circuit boards. You should keep a small amount of stock on other parts such as drums and exterior panels. But keep plenty of stock on popular parts.

It’s also worth remembering that you’ll have trade customers, not just consumers. That means they are more likely to buy parts from you in large volumes.

Have a big marketing budget

Although competition in the market isn’t vast, you still need to get your brand name out there. That’s why it’s crucial you spend some money marketing it!

For a start, you should set up a website with online ordering facilities. You’ll also need a social media presence, and work on a search engine optimisation plan. Offline, advertise in trade publications and consider national newspapers and radio ads too.

By following the above steps, you’ll soon be running a thriving firm!