Entrepreneurial Suggestions

Orcas Island is the perfect place to live out your dreams. Why not open a store, right? This may be a little deflating, but let’s think about your dream business…

Does it really fill a needed, year-round niche for enough people in this community?

Some of those words are vitally important. Let’s start with the idea of a need. We’ve had some beyond-beautiful stores open here, with owners who have put 110% into every aspect of their business – the store space is beyond aesthetically pleasing, the products are beautifully crafted or mindfully attained, and the customer service is warm and soul-filling. But none of that matters unless people want or need what you’re selling enough to actually buy your merchandise. Not once, but again and again.

Potential entrepreneurs need to do some statistical legwork. I’m no business major, and I can tell you that in a heartbeat. Send out surveys. See how many people actually like what you’re selling besides you. Ask how many people actually repeatedly buy the kind of thing you’re selling. Ask for advice from the community on social media. Or write a letter to The Sounder or theOrcasonian asking for people to respond. Whatever you do, don’t just open a business here that you like because you like it. Write a business plan and be honest with yourself about what you see that doesn’t add up in the process. That’s why a lot of people don’t start businesses – their business plans showed them they most certainly risk debt, sorrow, and even bankruptcy.

Let’s stop there for a second. By no means am I saying that dreams can’t happen. Sometimes dreams work out. Sometimes dreams fail, but new doors open. Just beware and be smart.

We’ve watched some truly lovely stores run a sickeningly quick course, only to close a year or two later. It’s not for the lack of effort or beauty. If you live here, you can predict it the minute you see it. Not enough locals need what some of these lovely stores have offered. I can name three right off the top of my head – beautiful and fleeting. (I won’t actually say their names.) Here, your business can only thrive if a significant percentage of our tiny population considers frequenting it – and buying something each time. Such lovely stores would flourish in big cities where there are enough customers between consistent buyers, lookie-loos, and tourists.

That brings us to the idea of year-round. I think a lot of business openers hope that denial will get them through the winter. Orcas Island is QUIET in the wintertime. No amount of hope will get the winter population of this island’s inhabitants to become faithful winter shoppers in stores that sell things they don’t want to buy constantly. Please be honest with yourself when considering opening a business here: Can you realistically imagine most islanders waking up each morning and thinking, “I need to put on my thermal underwear, layer it with rain gear, open my umbrella, and go to so-and-so’s store again today!” If so, you may truly have yourself a year-round niche. If not, please reconsider opening your business. It’s tragic even as an observer to watch someone pour their heart, soul, and life savings into a business that stands empty for most of the year.

Take it from me. I am frugal. I like buying second-hand items for monetary and environmental reasons. I pass all the stores in town every single day on my daily walk. I see the products, the customers, and the lack thereof. I go in stores as a lookie-loo and rarely ever as a buyer. (Any business owner reading this is thinking, “Ah, yes! It’s true, now that I think about it. Edee’s been in here dozens of times and never bought a thing!” I am the kind of person that loves observing and foregoing. I don’t need to buy something to enjoy it, if that makes sense. I’m simple, I’m organized, and I don’t keep anything I don’t need. I purge frequently if things build up in our house, I have very few belongings, and most women would be surprised at the void in my closet. I like the feeling that certain stores give me, and that’s all I need. I don’t need the merchandise to complete that feeling. I have a hunch there are a lot of islanders like me. Many of us live on Orcas Island because there is no keeping up with the Joneses, or dressing in seasonal styles, or even dressing in nice clothes at all. I wear the same outfit all winter, thanks to my washing machine. And in the summer, I only shop in stores when relatives are visiting. They do the buying, not I.

This brings me to the idea of enough. Are there enough people who really will buy your stuff, or will they merely admire it? No amount of campaigning to get locals to “buy local” will get me to actually buy locally if I’m not already needing something. I buy gas if I’m near empty, I buy groceries if I’m not going to the mainland anytime soon, and I love attending a performance now and then at Orcas Center. I wash my hair with Pantene and my body with Dove bar soap. Anything beyond that is fluff that I usually forego.

What you need to come up with is a business that fills a long-time need here. I know what void I’ve experienced for the past decade on the island, and no one has filled it yet: inexpensive take-out food. Especially after two years of COVID times. I think we’re all bored of our own cooking. I’ve always thought someone should sell cookies for $1, donuts, muffins, and cupcakes for $2, smoothies for $4, and burritos for $5. You say it can’t be done? Hmmm. Wheat is going to go up due to what’s happening in Ukraine, so you may be right on that one. We’ll see. But at current prices, if you sell a pretty good volume, which I think you could, you’d probably sell a boatload of cookies, donuts, muffins, and cupcakes every day. Smoothies are twice that price on the mainland, so how could they be $4 here, you ask? I make the best smoothie every day with half orange juice (the cheap kind), half water, and frozen blue-band bananas from the store (the over-ripe, cheaper ones). Sell that smoothie year-round, and I’d be willing to bet it would sell well in volume. People don’t need 20 smoothie options with macrobiotic ingredients you can’t pronounce from around the world. A lot of times they (I) just want something simple, fresh, tasty, healthy, and ready-made. Burritos – tortillas, eggs or beans, some cheese and potatoes, and a bit of sauce – could make you a fairly good profit off $5, I would think. Not from selling 20 of them, but certainly if you sold hundreds. Not cold ones, either. Warm ones. Do you know how many construction workers alone circulate through Eastsound every morning? You would make their day and save them gobs of money over time! Do you know how much they probably spend on random items each day over the course of a year? Now, think of how many families come into town to drop their kids off at school and pick them up in the afternoon – two influxes of hundreds of people. I don’t think I’m misspeaking in saying that everyone here on the island would support affordable take-out food. I have no interest whatsoever in being an owner in the food and restaurant business, but I hope someone else considers this idea. You would see me and a posse of others often in your business.

The trend I see in the local food industry lately feels overly extravagant. As a local, I can’t go into town and feel good about buying anything to eat. I refuse to spend $10 on something that barely fills me up, much less $20. I realize that the trend is selling seasonal, colorful, local, mindfully-made, and environmentally-friendly foods. That’s a step in the right direction for the world. And if you need to price your goods high because you can’t avoid it, that’s one thing. But if you are pricing your goods high in order to be in the shi-shi category, that could prove risky. If you want the average Joe to need your business, selling at those prices isn’t going to be sustainable unless you have a proven reputation and track record for being able to do that. I don’t think I’m off-base in saying that most of us can’t or won’t pay that kind of money every day. Or even once a month.

I very much understand the need to price something high because there is no other option. I have a product I will soon be selling, and I was told by the manufacturer that if I sold it for any less than the price they calculated, I would lose money with each purchase. Thankfully, I am not opening a store that is dependent on the sale of this one product. My bank account does not depend on its success. I’m doing it to live out a dream and fill a niche/void that has existed ever since we were tourists here. I’ve created something that I, as a consumer, have always wanted to buy. It’s one of the few things I’ve wanted to buy for a prolonged period of time that no one has yet made, and I’m taking an educated guess that a lot of other people feel the same way. I will not have to pay rent, electricity, or water bills for a storefront that depends on the sale of this, so I don’t have the weight of the world hanging on this decision. (More on this in a week or two.)

As many new, local businesses are gearing up for spring and summer, they are unveiling food options with exorbitant prices. But will they be here next year after enduring another vacuous winter?

Finally, if you happen to be considering selling retail clothing, I have one more suggestion. Look at the various clothing companies already on the island. I can immediately think of three right off the bat that are established and seem to be doing well. But there are only 4,000-7,000 islanders, depending on the season. Yes, tourists will come in the summer. But to be in the black all winter (and I’m not referring to the gray weather) means filling a niche that many people want enough to call it a need. I don’t know about other readers, but I don’t think clothing is the right choice of business for this island. Most of us don’t dress fancily for half the year when it’s cold and dark. I wonder if everyone who works from home even gets dressed. We can order anything online in a heartbeat that matches our exact taste. And there just isn’t a big enough niche for any given style here, whether you’re outdoorsy, classy, or quirky. When I think of Orcas Island business opportunities, the last thing I think of is clothing. Especially when we already have nice clothing stores, a large second-hand store (Sequel) with all kinds of options, and The Exchange, which is as affordable as you can get.

Whatever your dreams are, I honor your pursuit of them. Just make sure you take a few minutes to be honest with yourself first by asking, “Would I buy from the store I am considering owning frequently enough throughout the year to make it successful? Would my neighbor?” If not, consider a new angle on pursuing that dream.

15 Comments:

  1. I read most every post you send. This one however makes me very sad. We are a community and that is where happiness should come from, not being self centered.

    • Self-centered? Perhaps I don’t understand. I wrote this because it has become a tragic thing to watch people open businesses – beautiful businesses – that don’t make it because not enough people in our tiny population need what those businesses offer, so there’s no way for those businesses to get by, much less thrive. It’s heartbreaking. I’ve given my opinions but the point isn’t really about me at all. Unfortunately when someone starts a business, it’s all about a bottom line – will that business be valuable enough to the community to create an income that keeps that business going. I sure would be a patron if someone started a place where I could go buy a simple, inexpensive plate of rice and beans garnished with a little cheese and a few chips. But that’s really the only way I fit into this personally. The article itself is a response to watching one lovely business after another go under in this small town, and not wanting to see it happen yet again to another friend or acquaintance who is a hardworking business starter.

      • Purchasing meals and baked goods made by others is a luxury….if you just want rice and beans make it yourself at home. You are paying for another persons expertise and valuing their time. Instead of expecting workers to be short changed..I suggest you bake those muffins yourself ..and bring them along for your hikes….

        • I love Orcas Island, its people, its businesses, its gatherings, everything (well, except the lack of sunshine at times). So many of the businesses on Orcas Island are run by people I love, people I share life experiences with, and people I love writing about on this blog. If there’s anything I love, it’s the people – the wide variety of all types of people – that are on this island. I have admiration and respect for the hardworking grit they ALL have. I don’t want to see ANY business fail. While I may not buy much very often, I am by no means against anyone for their prices. I simply wish there was at least one affordable option out there, and I’m stating the elephant in the room. If it isn’t viable, that’s okay. No harm done. If it is possible, then that’s food for thought for someone who would like to find a niche that needs filling here. I don’t actively avoid restaurants or businesses in a negavite way, or talk poorly about them, or harbor ill intent for ANYONE. In fact, I often talk up places and hope that readers will support those businesses. The articles in this blog are consistent proof of that, time and again. Brown Bear Baking, for instance. Their prices are high and while I don’t go there a lot myself, I still support their business with my patronage every now and then, my blog posts, and my word of mouth. Though I’m frugal with myself, I’m not frugal with others. I get heaps more joy from buying something for someone else than I do for myself. I used to buy quiche and sticky buns for my mom there (when she lived here), I buy gift cards for people there, and I think they do a superb job at running a bakery that takes GOBS of work. I was just in there the other day with my son, thoroughly enjoying the feeling of being a tourist in my own town because I wanted to treat him to something different for a change. Brown Bear does a fantastic job with their beautiful and flavorful food, their consistency, their ambiance, their always-cheery customer service, their dependable hours, and so on. It takes a lot to do what they do, and their prices probably can’t come down. I get that. Another example is Endswell Bakehouse. Heather’s bread is beautiful. It’s some of the best bread I’ve ever had. She’s a master. That is one of the rare areas in daily life in which I splurge every now and then for myself. Some women love make-up and clothes. I love bread. And that bread, wow. I’ve written about it, I’ve talked about it to others, and bread is only going to get more expensive as wheat prices increase due to the Russia/Ukraine conflict, but I understand what goes into making that bread and the fact that a lower price would be impossible. In essence, I am not unaware or dense to the fact that making things takes money, time, resources, and precious energy. I do think that someone is quietly reading this, someone who has been thinking along similar lines, and they’re saying to themselves, “Yeah, I bet I could make that business Edee’s talking about.” If it’s possible to do, that is a place I will go again and again when I need a quick, healthy, inexpensive bite to eat when we’re out too late on a summer night and we’re really hungry. I’d be shocked if no one else has experienced the same feeling over the years. The fact that we all see differently is what makes the world go ’round. It’s okay to think outside the box just in case it’s possible and profitable. I believe it is. If I’m wrong, I’m wrong. That’s okay too.

          • I think you should be able answer a simple question…regarding your notion that baked goods should cost a dollar….how much do you think the person who makes your affordable muffin should make per hour?

  2. I agree that businesses should more carefully consider what they have to offer before setting up shop. However, I feel your estimations of how much food should cost is unrealistic.
    When I go out to eat, I don’t expect to pay what it costs me to make or serve it. I expect to pay for being served, for not having to prepare or clean up, for the experience or ambiance of the place. You cannot expect a business to serve food at cost. They do so much more than just provide food, with the most important product being their service.

    • I get what you’re thinking, but what I’m proposing isn’t a restaurant, but take-out, which wouldn’t require ambiance or clean-up. My estimates are intentionally low (shockingly low for a reason) but I don’t think they’re impossible numbers. Let’s say, for instance, that there is a little place in Eastsound with a kitchen and a take-out window that offers 3 things that work at any time of the day (breakfast through dinner): smoothies, simple muffins, and plates of rice and beans. I think that could be done quite inexpensively and sold inexpensively and still make a profit. There have been dozens of times that the kids and I have been out exploring the beach or walking through town hungry, and we would have bought anything that was reasonably priced and simple. (If it’s kept simple, kids want it too.) We didn’t need anything fancy, anything gourmet, or anything that cost extra for the nice packaging. Orcas Island desperately needs an affordable place to get food at any time of day. I think it’s very possible. Everything has gone so far the other way because it’s a tourist town, so locals don’t have affordable options.

      • There’s definitely clean up whenever you bake/cook something. There’s also running to the store or ordering to get supplies. Then there’s the extra refrigerator/freezer to hold more ingredients. Not to mention buying paper/paper plates or whatever to serve the food. There’s also permits, kitchen inspections and the time you take not only to cook/package food/clean and then wait for people to show up to purchase. You would also have to set up an account to take credit cards plus file for a business and pay business taxes. I have a suggestion. Why not set up a stand/kitchen to sell simple food and then after a year, come back and tell us how it went, how easy it was and whether it was worth it or not. Please include expenses and time needed to run it. I look forward to hearing back about your new venture. 🙂

        • Yes, yes, and yes. Add to that staff members who need to be paid fair wages to do the various tasks of cooking, serving, cleaning, ordering, etc. Plus the cost of insurance, etc. It is a big deal to start a food business. Judging by the tone of your response, you sound offended. This isn’t meant as an offensive post. It’s just a plain fact that a whole lot of businesses are charging very high prices. If those prices are actually necessary, that’s okay. As I said, I, too, cannot charge less for something I have recently made or I will lose money on each and every sale of it. I get that completely. What I’m trying to decipher at the root is whether the prices at local establishments are being driven up by the need to charge those prices or the desire to price things high, which causes other businesses to follow suit, pricing locals out of affording a quick bite to eat.

  3. I hope you’ll be selling Thai food soon. Curious what it is, though…

    • Ha! That sounds good! But no, no food items for me. I’m tired of my cooking! You’ll know soon.

  4. I’m afraid you don’t quite understand the baking business. Profit margin is never large …volume is required and the knack of filling your pastry case with a good mix of products ( some high profit..some loss leader) and hoping for the lucrative special order. You have described yourself as a frugal..non shopping person…who has the luxury of starting to sell a product without having to worry about anything (you say you don’t have to concern yourself with paying rent etc)…we’ll how nice for you. In addition you state you tend to buy groceries etc…when you go off island…
    However, it may surprise you that there is a demographic here that doesn’t look at consumption the way you do…Shi SHi…I guess. Your idea that no o e should open a business here unless they sell something that people will want to buy everyday ( and for a dollar) certainly has merit. I do understand that you are decrying the boutique nature of the shopping experience and prices are indeed high onOrcas( I’m a member of the working class and I’m certainly priced out of many establishments)…but I don’t think they should be replaced with stores that sell only low priced staples.
    I’ve long supplemented my modest income working in some of these lovely stores..so naturally I see it differently then you do. Just because not everyone can afford to buy the wares ( or in your case doesn’t want to buy these wares) doesn’t mean entrepreneurs should close up their shops and restaurants. Every entrepreneur thinks that the world is just dying for their product…that’s the spirit that moves them…sometimes they’re right…but as you point out sometimes they misread the market.

    • Thank you for your thoughts. I still think it’s possible to have a small place with a very limited number of menu items that are more affordable than some of the things that are out there. I’m a bit misquoted – I believe we need a little balance in this town. It is fairly skewed in one direction. I am also not insulting all of the businesses out there. I’m merely saying that it would be nice to have at least one that is more affordable. Nor am I saying that stores, shops, and restaurants need to be replaced with low-priced ones. And definitely am I not saying entrepreneurs should close up if they aren’t selling things inexpensively – often they are just forced to unless they have a really solid footing. Which is tragic to watch. Nor am I saying “lucky me” about the thing I’m about to sell. I just took a much smaller financial risk than it would take to have a whole business dependent on it, and I know that I, too, like many entrepreneurs here, cannot sell it for less. I am in the very situation that many businesses are in here. Perhaps it isn’t possible to have a little hole in the wall with less expensive food. But I still wonder about the possibility since it would surely get a lot of foot traffic from those of us who need a quick bite to eat now and then when we are out and about.

  5. Leucothea Kadmus

    While I see your intentions, I think part of the issue is that your post came off as a bit tone-deaf and condescending. Brick and mortar businesses here cycle through struggles and successes, and many of us have been here for *decades*. The beginning of your post almost makes it sound like we have businesses opening and failing left and right – which is not the case. What specific new businesses have “opened and then closed only 1-2 years later” due to lack of business? Closures don’t always happen because of lack of customers, which is what you’re hinting at.

    Are you a business owner? Have you ever started a brick and mortar? I’m an owner of multiple businesses and I would never feel comfortable offering advice on who should not give it a go as a new business here mainly because I don’t know enough of a specific industry other than mine, but also because the answer for any budding entrepreneur should they ask me would be a resounding, “Yes, if you want to do that, give it a try!”

    • Thank you, Leucothea, for your thoughts. I appreciate your communication. I’d like to keep the businesses I’m thinking of anonymous, but there are three in my mind. They were here for a very short time, perhaps 6 month to 2 years each, and each business was BEAUTIFUL. No lack of effort, hard work, creativity, marketing, etc. The products, the ambiance, and the people behind the counter were as lovely as you can get. I think they just didn’t have a large enough audience here for the things they were selling. In a bigger place, they’d soar. Orcas is just really small, so having a niche that lots of people want to buy from is very critical for making it, especially through the winter. While I’m all for dreams, they have to have some root in reality when it comes to setting up shop on Orcas – they have to fill a niche that enough people here want or need. If not, it’s tragic to watch beautiful businesses close. I’m a dreamer, but I disagree that anyone should try any brick-and-mortar business here. There will always be a “target market” that has to be identified first, or the risk is losing it all.

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