Cost cutting is a constant challenge for anyone who decides to open a dollar store. There are many major expenses associated with the operation of a store. Every one of those expenses needs to be examined for reduction. Since store space rent is one of the biggest expenses, it too needs to be constantly scrutinized for reduction.

When you open a dollar store there is the temptation to lease as much space as possible. At times this equates to renting too much space. By renting too much space you are setting yourself up to spend unneeded money. Instead, size your store and extra space to fit the store that your business plan describes.

If you have leased or rented more space than you need when you open a dollar store, examine your options for eliminating that excess space. If possible simply vacate the excess space. If not, negotiate a sub-lease of the excess space. Consider reducing the space or removing stand alone extra spaces such as storage areas.

If all other options fail consider exchanging spaces within the same location. Your store space is exchanged for a smaller store space. There are several downsides to this option. They include costs associated with the physical move of your store and the loss of sales that might occur in a physical move.

Be sure that all costs are carefully weighed before reducing your store space. Such a move must make long term economic and business sense. The bottom line is that any excess space is simply costing you money. That money could be going toward debt reduction or to the bottom line if there is no debt.

To Your Dollar Store Success!