Water bottle businesses deal in the promotion gift, sports gear, travel gear, home kitchen tableware markets. Weather silicone water bottle, plastic water bottle, tritan water bottle, glass water bottle, or stainless steel water bottle, the water bottle business is good for start up company or big company. Taking the steps to start your own water bottle business can be a satisfying experience that allows you to make money while also helping your customers achieve a healthy lifestyle.
Learn how to start your own Water Bottle Business and whether it is the right fit for you.
Start a water bottle business by following these 10 steps:
You have found the perfect business idea, and now you are ready to take the next step. There is more to starting a business than just registering it with the state. We have put together this simple guide to starting your water bottle business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.
STEP 1: Plan your business
A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important things to consider are:
What are the costs involved in start a water bottle business
Costs for starting a water bottle business include product design cost, sample cost, the first trial order cost, storage warehouse, trucks, and employees work for your company.
Startup costs can range from $1,000 to $10,000 for a “0” business. However, some business plan require more cost for big volume orders, up to $1.5 million, or more, depending on the size of your operation.
Finally, you’ll need a dedicated water bottle supplier like Ecoway Houseware Limited, and employees to run your business. This is a very labor-intensive job.
What are the ongoing expenses for a water bottle business?
Ongoing expenses are extensive. Maintain enough stock of water bottle in your warehouse can cost tens of thousands of dollars every year for a small business, and as much (or more) every month for a medium to large-scale water bottle business.
Labor costs are also high, as most employees expect a full-time salary, plus benefits. Liability insurance, health insurance, unemployment insurance, 401(k) matching and administrative services, and worker’s compensation insurance can run tens of thousands of dollars per month.
Who is the target market?
Customers are usually commercial enterprises like local companies whom want to do promotion, . some small stores, or you have on-line shop like amazon shop to sell for people want to buy water bottle for sports, coffee, camping, school hydration drinking etc.
How much profit can a water bottle business make?
Profits can range between 100% and 500%, or more. That usually based on the water bottle product design, quality, quantity, brand, and distribution.
STEP 2: Form a legal entity
The most common business structure types are the sole proprietorship, partnership, limited liability company (LLC), and corporation.
Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your water bottle business is sued.
You can start an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.
STEP 3: Register for taxes
You will need to register for a variety of state and federal taxes before you can open for business.
In order to register for taxes you will need to apply for an EIN. It’s really easy and free!
STEP 4: Open a business bank account
Using dedicated business banking and credit accounts is essential for personal asset protection.
When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil.
Additionally, learning how to build business credit can help you get credit cards and other financing in your business’s name (instead of yours), better interest rates, higher lines of credit, and more.
Open a business bank account
- This separates your personal assets from your company’s assets, which is necessary for personal asset protection.
- It also makes accounting and tax filing easier.
STEP 5: Set up business accounting
Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.
STEP 6: Obtain necessary permits and licenses
Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.
For information about local licenses and permits:
- Check with your town, city or county clerk’s office
- Get assistance from one of the local associations listed in US Small Business Associations directory of local business resources.
STEP 7: Get business insurance
Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.
There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so it’s a great place to start for your business.
Another notable insurance policy that many businesses need is Workers’ Compensation Insurance. If your business will have employees, it’s a good chance that your state will require you to carry Workers’ Compensation Coverage.
STEP 8: Define your water bottle brand
Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.
How to promote & market a water bottle business
Marketing and distribution is key in this business. Your target market should be grocers, vending machine companies and operators, stadiums, event locations
How to keep customers coming back
Make sure you water bottle products deliver and quality on your promises and be competitive on your pricing and quality. This is a highly commoditized industry.
STEP 9: Create your business website
After defining your brand and creating your logo the next step is to create a website for your business.
While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.
Here are the main reasons why you shouldn’t delay building your website:
- All legitimate businesses have websites – full stop. The size or industry of your business does not matter when it comes to getting your business online.
- Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
- Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.
STEP 10: Set up your business phone system
Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.
There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use.
