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ReStore Basics

ReStore Basics. Ron Chenevert Manager HFH ReStore Baton Rouge. Experience. Retail Hardware Owner – 37 years Habitat for Humanity Volunteer – 19 years HFH ReStore Manager – 6 years. Why ReStore?. Provides reliable source of unrestricted income

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ReStore Basics

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  1. ReStore Basics Ron Chenevert Manager HFH ReStore Baton Rouge

  2. Experience • Retail Hardware Owner – 37 years • Habitat for Humanity Volunteer – 19 years • HFH ReStore Manager – 6 years

  3. Why ReStore? • Provides reliable source of unrestricted income • Provide a place where public can purchase low cost materials • Recycle – Reuse – Save landfills • Provide an opportunity for volunteers and donors to contribute to Habitat’s mission.

  4. Habitat ReStore Baton Rouge • Purchased Building – June, 2003 • Grand Opening – November, 2003 • Start-up costs – $30,000 (lots of volunteer effort) • Size – 39,000 sq. ft. display & 5,000 sq. ft. warehouse • Yearly Sales – Approximately $425,000 • GBR Area population – 500,000 people • Staff – 5.5 FTEs Paid, 2 FTEs Regular Volunteers, 1 FTE Other Volunteers • Merchandise – Primarily building materials • ALL DONATED

  5. What’s the Deal Here? • Donated Merchandise • Volunteer Labor • Little or No Competition • Natural Fit for a Home Builder Non-Profit • Practically Unlimited Customer Demand

  6. Requirements • The People • The Location • The Building • The Customers

  7. The Customers • Homeowners on a budget • Small apartment owners • Remodelers • Bargain hunters • Handy men (women) • Antique salvagers • Many, many regular shoppers

  8. The Location • Destination Store – not a convenience store • Area with Affordable Occupancy Costs • Major Street or Highway, preferable • Retail Area, preferable Note: - Seek advice of commercial real estate professional

  9. The Building • Size – 20,000 sq. ft. or larger, recommended • Retail-type Layout, preferable • Lighting, parking, flooring, safety features • Outside “yard,” recommended • Other Considerations • Cost of Occupancy • Buy or Lease

  10. The People • Store Manager • ***The Getter*** • Inventory Stockers, Pricers • Drivers • Cashiers • Bookkeeper

  11. Rocket Science? NO • Get Merchandise • Price Merchandise • Ring Up Merchandise Sales

  12. A Business? Definitely • Donors and Customers require you to be a professionally run business.

  13. The “Get” • Serendipity • Perseverance • Performance

  14. Donors • Lumber Yards • Door Shops • Window Shops • Plumbing Supply Companies • Lighting and Electrical Supply Companies • Hardware Stores • Flooring Distributors • Sales Reps • Apartment Builders

  15. More Donors • Individual Donors • Remodelers Still More Donors • Home Improvement Chain Stores • - Store Managers • - RTV, RTM • - Resets, Buybacks

  16. The Merchandise Mix 20% Doors 20 % Windows 15 % Plumbing 10% Lighting, Electrical 5% Flooring 5% Hardware, Paint 5% Lumber 5% Roofing 5% Household Items 5% Furniture 3% Appliances 2% Other

  17. What We Don’t Sell • Oil Based Paint • Gas Appliances • Used Electrical • Switches, Receptacles, Circuit Breakers • Lawn and Garden Chemicals – open containers AND • Any material unsafe, unsanitary, harmful

  18. Purchased Merchandise • Considerations • Possible UBIT • Direct Competition to Your Donors • “True” Closeouts

  19. Advertising is Key • Word of Mouth • Good Customer / Donor Experience • Television 30 Second Spots • Targeted Newspaper Ads • Store Signage • Vehicle Signage Advertising budget is approx 5% of gross sales.

  20. Nuts & Bolts • Standardized Days / Hours of Operation • Written Policies and Procedures • Insurance • General Liability, Business Interruption, Hazard • Safety and Security • Alarm Systems, Sprinklers, Emergency Lighting • Accident Prevention Practices • Equipment • Trucks, Trailers, Fork Lifts, Fixtures & Shelving

  21. Additional Resources • Austin HFH ReStore CD • HFHI Training Resources • Professional Retail Volunteers / Board • SCORE • Business Management – Colleges, Universities

  22. You Never Know… • A Trailer • A Truck • A Plumbing Supply Company

  23. I Believe…. • Share the Wealth • Merchandise comes in four sizes: • Pickup truck load • Box truck load • Tractor trailer load • Boat load • Support those who support you…

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