[SweatEquiT]

I have the chance to purchase the contents of a store in a poor and run down small city about 25,000 that is primarily Black (35%) and Hispanic (50%). Whites (like me) and "other" account for only 15% of the population. A decade ago, we were more like 30% of the population.
Perhaps 50% of the total population has come from, often still has a connection to places like Bronx, NY, Mt. Vernon, NY, Yonkers, NY and Newark, NJ, as we are only about 70-80 minutes away. This is definitely ghetto.

There's about 100 shirts with decorations ready to sell. There's about 300 shirt blanks. There's probably 600 transfers in drawers and books. There's about 100 blank sweats. There is a 15x15 heat press, a 3802 like you see on eBay. There is a 15" Craft Robo Pro (this may be the best thing there) and an older WinXP PC.
There's racks, displays, even a cash register and small safe. Everything can be mine for $1,000.
I can rent the store, 600 sq ft for $500 a month, if I pay $1,000 rent and $500security up front. The former owner was 2 months behind in the rent and skipped out. No idea how business was going.
Should I grab the gear and go someplace else? Should I sign a 1 year lease and go for it? My nephews will run it. One is white, the other is half white, half Puerto Rican. They are both 26. They are both working minimum wage jobs. I could lay out the $2500 to get them started. Between the two of them they have about $500. My sister and her husband, plus brother-in-law and his wife (she's Puerto Rican and may work there too) can come up with about $1,000 each.
Can we get this off the ground for about $5,000?
Will being mostly white hurt us? I think they need more nice things and less urban crap (money, weed, loose women) stuff. Thanks for the advice.

 

[760rdl]

Honestly bro i would I jump on it and take it for 100 bucks i would say go for it ...as for staying there i would try and renegotiate with the land lord on a month to month basis for the fisrt few months see how it goes and about being white dont stress it bro everybody loves a white boy in the ghetto lol....as long as you serve them with great custome srvice and provide good quality there shouldnt be a problem.

 

[HippieGuy]

"Ghetto" does not always equate to 'poor'. I believe there is an ongoing market for 'urban street wear'. If that is what you are after, the demographics are there.

Can't beat the price. I would def buy all the equipment, even negotiate lower price if you can. Rent is do-able, but I would not commit to long-term lease. I would talk to landlord about a month-month for 9-12months with an understanding if biz is profitable, you will sign a lease. Leave yourself an out.

What other products would you offer besides 'Ts'? 600sq ft may not be enough to expand..and why so many family members working the place.
It will cut into profits, PLUS, Rule#1 in Biz 101: Never, Ever, Never mix business and family (IMO)

 

[merchguy]

Is there any competition around the immediate area? Go stake out the other shops in town and hang around them for awhile to see if you really want to take it on. That's what I would do.

 

[ShirlandDesign]

Ditto Rolando,
It's a break even at worst deal.