# Tip Small Shop Tips For Inventory and Shipping Cost Challenges



## Deborah Sexton (Jan 16, 2007)

A challenge every small shop has is how to compete with larger companies that can buy shirts in bulk and inventory them to use as needed. Not only does a small decorator not have the space to keep inventory, it also doesn’t have the capital to invest in shirts that will be sitting on a shelf. 

Small businesses must find creative, resourceful ways to keep shipping costs down allowing them to remain competitive in their pricing. Here are just a few ideas that may work for you. 
Find a local wholesaler/supplier. You might pay higher prices for the blanks, but when you can pick up orders, you avoid the shipping expense. 

The majority of products sold by successful decorators consist of a limited number of SKUs and colors. Having a narrow selection allows your customer ease of choice and makes a huge inventory unnecessary. 

Make friends with other shops in your area and build a mutually beneficial relationship where you might combine orders to reduce shipping costs as well as be able to go to when you need shirts in a hurry.

For larger orders that require bringing in big quantities of shirts, consider contracting with a larger decorator in your area. This allows you to grow your business without needing inventory space.

Another way to overcome no inventory space is to only order as needed. There are suppliers that can have product to you overnight. This helps to reduce the amount of stock you need to keep on hand since you can get it quickly.

While having inventory can be a drain on limited resources, you need to have enough to cover misprints. Sometimes it’s not even a misprint but a shirt with a hole or stain. You want to have enough backup so you are not short while decorating the order. Reject shirts can be used for test prints and can be a tax write-off at the end of the year.


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