Starting a Computer Business(help)

Discussion in 'Starting a Business' started by Izombie247, Mar 26, 2010.

  1. Izombie247

    Izombie247
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    Ok.. Me and a buddy of mine are in the process of starting a business. We want to run a computer repair/ custom computers/ gaming and home theater computers. But right now we can't seem to find a good source to get our parts. NewEgg is good but things are just not cheap enough to make a good profit off of. Sure it will work at first but in the long run it will kill us. So I looked around and found some one mentioning some thing about needing a license to buy whole sale straight from venders. We have everything situated it's just the business side that we need help with.

    So, first off what steps do we need to take to get our business legal and legit. Second, how do we go about getting wholesale so we can make some profit. I would appreciate any help on this topic. Thanks.
     
  2. Fergal

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    Welcome to Business Advice Forum Izombie247 and thanks for asking your business questions.

    In relation to getting your business legal and legit, a lot will depend on your location. Can you please tell us what country or state the business will operate in? A good approach is to contact a local accountant or legal advisor to help you with the business registration etc.

    Have you tried eBay for sourcing your products? You could also try international websites such as Alibaba.

    Please post back with your thoughts and let us know if you have any further questions.
     
  3. Izombie247

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    I am located in Springfield, IL.. Yeah we will be using Alibaba and Ebay but from what I've heard it's hard to make it in the custom computer business with out wholesale because company's like dell get all their parts for a fraction of what we pay. But yes at first we will be using a mixture of Newegg,Alibaba and Ebay. Thank you for showing interest and helping out.
     
  4. Fergal

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    Do you know who manufactures the specific parts you need? If you do, or if you can find out, contact the manufacturers and ask if they can supply you directly. If they won't, ask them who their agents and distributors are and take it from there.

    You could also try telephone directories, business directories and Google to find the suppliers you need. If a particular contact can't or won't supply you, ask them if they know anyone who can. Another approach would be to contact relevant industry associations or networks and ask them for contact details of potential wholesalers.
     
  5. Clinton

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    I was in exactly this business and have experience of how it works.

    You seem to think it's a matter of just knowing the right people. It doesn't work like that. Companies like Dell get preferential pricing because of volume. Because they can commit to humungous quantities of a particular SKU at a manufacturer and keep the manufacturer's production lines operating smoothly.

    What you can try and do is contact individual manufacturers (of HDDs, CPUs etc) and ask them for a list of their main distributors. You can then try talking to the disties. Even they will have pricing based on quantity so don't expect to get it cheap because you're cutting some middlemen out. In fact, some of the middlemen have the best pricing for various reasons - either they've helped a distie with a cash flow problem and taken a load of stock, or they've bought some end of line/excess production type stock, or they've got it on the grey market.
     
  6. eddane

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    You can purchase a ltm company off the shelf really cheaply. That might be a good way forward.

    Ed
     
  7. GekiDan

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    I have a friend who owns a computer repair shop and he is getting all the parts he needs on various local suppliers. Try to do the same. looking for local suppliers will save you a lot more in shipping and importation charges from ordering online and through online stores.

    If you know someone who have the same business, ask him about his supplier. He might be happy to share you these infos. Of course, his supplier will get a new customer who will buy bulk orders from him.

    Let me know if this works out with you.
     
  8. scifi

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    Instead of going for a full fledged company, you can start your venture with a firm...Because I think that it will save you a lot of money..(It is a general advice according to laws in my land, I don't know abt laws in your country..please confirm it.) Firm do not need any registration procedure..Also try to get different vendors for each part and integrate them on a single platform in your business..this will give you buying power over your vendors which will be helpful to you....:)
     
  9. ronalde.barron

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    To start with your new company, I suggest you not to go for company .. try start with firm as scifi said; then talk to company dealer who have direct contact with company of respective product you purchase, but to become wholesaler you have to get direct contact with company and sure your can do it by becoming the agent and authorized dealer.

    I have started this business 4 year ago and successful now running my business, its my personal experience i have shared with you and surely you have to prepare to face loss and break even for first 6 months to 1 year..
    Good Luck and God bless your business with great success.
     
  10. HomeBusinessMan

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    The easiest way to get into business is with a sole proprietorship. All you need is to file a fictitious name, get a local business license and open a bank account and you're in business. Of course there are restrictions if you have a building or signage. A resale permit is necessary as well since you are buying for resale, you don't want to pay any sales taxes. Cross city or county boundaries may have legal restrictions that you may want to check out.
    The best sourcing for products, besides your business to business yellow pages is to consult the volumes of the "Thomas Register" at a library. They are also online.
     
    #10 HomeBusinessMan, Apr 1, 2010
    Last edited by a moderator: Apr 1, 2010
  11. GekiDan

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    I'm just wondering, why would you need a fictitious name?:confused:
     
  12. HomeBusinessMan

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    You need a fictitious name registered with your county clerk's office to protect your company name so that no one else can use it. Banks require a fictitious name certificate before you can open the account.
     
  13. GekiDan

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    So you mean the fictitious name you are talking about is your company's name? Or something different? Or is it similar to trademark and patents?
     
  14. HomeBusinessMan

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    It is just your company name. You don't want to build up a reputation in your area for someone to come by and take it away.
     
  15. GekiDan

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    Any update on this matter, Izombie247?
     
  16. daytrader

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    you can just contact a verified suppliers in globalsources.com - the last time i've bought items from ebay, the seller referred me their page in this site. so i guess you can find manufacturers near your area. some dropshippers find contacts in this site.
     
  17. Izombie247

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    Thanx for all the info people. It is really appreciated. Well, I've been doing the research and I think I'm gonna start out small by doing computer repair and custom builds so I can build up some money. Alibaba is a good source but it seems I gotta come with the big bills to get started over their since every thing is 50 pieces and up. They have great deals but it takes money to make money. Like I said I am starting from scratch so I gotta work my way up. I was actually thinking about getting a loan so I could go buy, say a bundle of lap tops and flip them on ebay and build up a cash flow that way. I eventually want to get to the point where I can start creating my own computers with company logo's and style but I gotta start from the bottom. I'm gonna check out globalsource.com as well. Right now I think I just need to find bundle deals and collect computer parts so I have a good source to repair/upgrade with and things of that nature. Again I appreciate all the help guys and any other pointers would be appreciated as well. I think I'm on the right path just gotta get some experience with the business aspect and all the legal stuff. The wholesale thing is where I want to go but I was looking for a little smaller amounts than what Alibaba offers anyway. I can't order 100 CD/dvd/Rw drives yet...lol. I need to find some where that offers deals but lets you buy say 5 to 10 instead of 100. Thanx again guys for helping a noob!
     
  18. Fergal

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    We're always glad to help Izombie247, thanks for posting back and for your kind words. I look forward to seeing more posts and questions from you.
     
  19. HomeBusinessMan

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    The preambles of setup are mere formalities. It is the implimentation of your great plan that bears the fruit of your effort.
     
  20. azeem1984

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    Hi

    Many Buddy gave you remarks but no any body talked on services i think services warrenty is important in your type of Business.

    i want to also start this Bussiness Thanks for giveing info
     

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