The state strictly controls the sale of cigarettes. Trade in tobacco products is carried out in accordance with Federal Law No. 15 “On protecting the health of citizens from tobacco”, Federal Law No. 268 “Technical regulations for tobacco products” and other legislative acts. Retail trade in cigarettes is carried out only in shops and pavilions and is completely prohibited in socially significant institutions and in transport.

The legislation also stipulates the need to establish an MRP for cigarettes. Not everyone still knows what it is. This is the maximum or minimum price for one unit of product (a pack of cigarettes). Why this information is important for manufacturers, sellers and consumers is discussed in the article.

Legal meaning

What does MRP mean on cigarettes? We are talking about the highest cost that an entrepreneur (legal entity or individual entrepreneur) can set when retailing cigarettes. The fact is that, according to Art. 9 of the Technical Regulations, the manufacturer is required to indicate information on the maximum retail price on each package.

Important to know! The state does not regulate this price, but simply makes sure that it is indicated on the pack, and that sellers comply with it - do not inflate or underestimate prices. This, in particular, is stated in the letter of the Department of Tax and Customs Policy of the Ministry of Finance of Russia dated July 13, 2017 No. 03-13-14/44647.

Violation of this rule may result in administrative liability under Art. 15.12 Code of Administrative Offenses of the Russian Federation for both the manufacturer and the seller. The punishment under this article is quite severe, especially for legal entities (a fine of up to 100 thousand rubles with confiscation of products that were the subject of the offense).

How are MRCs installed?

In accordance with Art. 187.1 of the Tax Code of the Russian Federation, MRPs for tobacco products are established by the product manufacturer independently:

• for one pack of cigarettes;
• separately for each brand (each name).

This is done by the manufacturer-taxpayer for the purpose of calculating excise taxes. Consequently, there are exceptions to the general rule; MRPs are not established for non-taxable and tax-exempt tobacco products.
According to Art. 13 Federal Law No. 15 minimum retail prices are 75% of the maximum retail price.

Is it possible to sell cigarettes below the MRP?

It is prohibited to sell tobacco products below the minimum retail price. Violators of the legally established pricing procedure will face severe punishment under Art. 14.6 Code of Administrative Offenses of the Russian Federation. Individual entrepreneurs and officials face a fine of up to 5 and 50 thousand rubles, respectively, legal entities - up to 100 thousand for underestimating the price.

Administrative liability is also provided for overpricing. Legal entities will have to pay to the treasury twice the amount of profit received as a result of overpricing for the entire period of the violation (but not more than for a year). Officials may also be subject to disqualification for up to 3 years.

Current prices for 2018

MRP for cigarettes in 2018: a list of tobacco products with prices can be found here: http://ipipip.ru/maksimalnye-ceny-na-sigarety-2018/. The table shows the maximum retail prices for cigarettes in 2018.

Conflict of law

As already mentioned, there are two meanings for the abbreviation “MRP for cigarettes”; decoding is done in two ways: maximum and minimum price. In accordance with the law (Article 13 of Federal Law No. 15), the seller has the opportunity, within 25% of the maximum cost of one pack of cigarettes sold at retail determined by the manufacturer, to set his own price for these products. At the same time, Article 16 of Federal Law No. 15 states that in order to reduce tobacco consumption and thus protect the health of citizens, it is prohibited not only to advertise tobacco products, but also to otherwise stimulate their sales. The legislator also included discounts as methods of stimulation.

In practice, a situation arose that revealed a conflict between these two norms. Almost always, retailers set the price of a pack of cigarettes according to the maximum established cost determined by the manufacturer. This is an established practice. However, a legally defined margin of 25% formally allows entrepreneurs to organize completely legal promotions, applying discounts within this 25%. However, the problem is that judicial practice considers any deviation of the actual price from the maximum price to be an incentive to sell tobacco products. Already, several similar cases of appealing decisions of Rospotrebnadzor to prosecute for “stimulating sales of tobacco products” have reached the Supreme Court of the Russian Federation and the decisions of the supervisory authority have been recognized as legal. Therefore, manufacturers and retail chains propose to indicate in the law more specifically whether such a deviation of the actual price from the maximum is a violation of the law. In this case, the maximum retail price will be the actual cost of a unit of goods.

Sale of cigarettes, tobacco, responsibility, prices, fines, licenses, excise tax, anti-tobacco law and other tobacco issues, as well as what is needed to sell cigarettes in 2019, and other issues. Last updated: 02/5/2019.

For reference (listed in separate articles):

1. Documents from the supplier for the supply of cigarettes and tobacco products

Industry trends of cigarettes in Russia

Data from the World Customs Organization puts the annual global tobacco market at 5.7 trillion cigarettes. In the Russian Federation, about 250-350 billion cigarettes are produced annually, of which about 2-3% are counterfeit products (including those without excise duty or with counterfeit ones).

The main reason for the spread of illegal cigarettes is the rapid growth of excise tax rates, which leads to increased prices and demand for the sale of illegal cigarettes.

According to statistics, more than 1.1 billion people on the planet start smoking before the age of 18.

Cigarettes in Russia cost almost twice as much as in neighboring countries. The maintenance of annual excise tax growth rates at more than 40% over the past six years, coupled with changes in the macroeconomic situation and a decrease in the purchasing power of the population, has created all the necessary preconditions for the beginning of a massive consumer transition to smuggled and counterfeit products.

Average cost of a pack of cigarettes

The average price of a pack of cigarettes in a Moscow store is 90-110 rubles. per pack, at a cost of 8-10 rubles (the return on turnover for the chain of trading participants is over 1000%). According to 9 months of 2016, 60 percent of illegal cigarettes were brought to Russia from the countries of the Eurasian Economic Union (Belarus, Kazakhstan, Kyrgyzstan and Armenia). There are 80 tobacco factories operating on the Russian market, about 40% of the market is accounted for by Philip Morris International, BAT Russia, Liggett Dukat and Petro.

Licensing of tobacco activities

In accordance with Federal Law No. 99-FZ dated May 4, 2011 “On licensing of certain types of activities,” wholesale and retail trade are not subject to licensing.

Decree of the Government of the Russian Federation dated April 12, 2000 No. 337 “On licensing activities for the production and wholesale trade of tobacco products” has currently lost its force due to the publication of Decree of the Government of the Russian Federation dated July 22, 2002 No. 548.

Time of sale of cigarettes and tobacco products.

The law on the sale of cigarettes does not provide for restrictions on the time of sale; trading can be done around the clock.

Don't forget about the seller's instructions: Instructing the seller on the sale of tobacco, cigarettes and alcohol.

Rules for placing cigarettes in a store

Information about tobacco products offered for retail trade is brought to the attention of buyers by the seller in accordance with the legislation of the Russian Federation on the protection of consumer rights by placing on the sales floor a list of tobacco products sold, the text of which is made in letters of the same size in black on a white background and which is compiled in in alphabetical order, indicating the price of tobacco products sold without using any graphics or drawings.

Demonstration of tobacco products to the buyer in a retail establishment can be carried out at his request after familiarization with the list of tobacco products sold, taking into account the requirements of Article 20 of the Federal Law “On Health Protection”.

Minimum and maximum price for cigarettes

Measures of government influence on the price level of tobacco products are carried out by establishing minimum and maximum retail prices for such products. By virtue of paragraphs. 11 clause 1 art. 9 of the Federal Law of December 22, 2008 No. 268-FZ “Technical Regulations for Tobacco Products” (hereinafter referred to as the Technical Regulations), information on the maximum retail price in rubles must be applied to the consumer packaging of tobacco products, according to which on one of the outer sides Each consumer package (pack) of cigarettes and cigarettes must be marked with:

The maximum retail price at which cigarettes and cigarettes can be sold to consumers; information about the month and year of manufacture of cigarettes and cigarettes.

In Part 5 of Art. 13 of the Federal Law of February 23, 2013 No. 15-FZ “On protecting the health of citizens from the effects of environmental tobacco smoke and the consequences of tobacco consumption” (hereinafter referred to as the Law of February 23, 2013 No. 15-FZ), it is established that the sale of tobacco products at a price that is lower than the minimum retail prices and higher than the maximum retail prices (price on the pack) established in accordance with the legislation of the Russian Federation on taxes and fees, is prohibited. Moreover, in accordance with Part 3 of this article, minimum retail prices are set at 75 (seventy-five)% (percent) of the maximum retail prices determined in the manner established by the Tax Code of the Russian Federation.

By virtue of Part 2 of Art. 187.1 of the Tax Code of the Russian Federation, the maximum retail price is the price above which a unit of consumer packaging (pack) of tobacco products cannot be sold to consumers by retail, public catering, service industry enterprises, as well as individual entrepreneurs; the maximum retail price is set by the taxpayer independently for a unit of consumer packaging (pack) of tobacco products separately for each brand (each name) of tobacco products.

It is also defined there that a brand (name) for the purposes of this chapter is understood as an assortment position of tobacco products that differs from other brands (names) by one or more of the following characteristics - an individual designation (name) assigned by the manufacturer or licensee, recipe, size, presence or absence of a filter , packaging.

Thus, the minimum retail price = 75% of the maximum retail price.

The sale of tobacco products below the maximum retail price indicated on the package of the product (by no more than 25%) does not form part of Art. 14.3.1 Code of Administrative Offenses of the Russian Federation - sponsorship of tobacco or promotion of tobacco sales.

Documents for opening a point of sale of cigarettes

Opening an enterprise selling cigarettes and what documents are needed for this:

1. It is necessary to register an LLC or individual entrepreneur. For reference: How to register O OO How to register an individual entrepreneur What to choose LLC or individual entrepreneur;
2. Selection of retail space in a walk-through location, near pharmacies, markets, metro and department stores. In general, the rule of three MMMs is place, place and place again;
3. Select OKVED - retail trade. For reference: What is OKVED. If the company is registered, then it is necessary to add OKVED codes.
4. A license to sell cigarettes is not required. According to Federal Law No. 80-FZ of July 2, 2005, activities for the production of tobacco products are excluded from the list of activities for which licenses are required.

Application of cash registers in the cigarette trade

Required!. According to Article 181 of the Tax Code of the Russian Federation, excisable goods, in addition to alcoholic beverages, include:

• tobacco products;
• passenger cars and motorcycles with power over 150 horsepower;
• motor gasoline, diesel fuel, motor oils.

Organizations whose product range includes such items are also subject to paragraph 8 of Art. 2 Federal Law No. 290 and must install online cash registers, including when you sell cigarettes in a remote mountain village where there is no mobile connection.

Taxpayers UTII and PSN

Until July 1, 2018, these categories of entrepreneurs may not use cash registers, but only if they issue confirmation of payment upon the buyer’s first request. In two years, from July 2018, the use of cash registers will become mandatory for them. 290-FZ, Art. 7, paragraph 7.

Vending machines (for reference)

Vending or vending machines do not require a salesperson: they are installed in public places and automatically dispense goods after depositing money. The usual assortment of vending machines: coffee, chewing gum, chocolate bars and other fast food. So far, such machines are not equipped with cash registers, but everything is ahead: from July 1, 2018, their owners are required to equip them with new online cash registers (290-FZ, art. 7, clause 11.).

In chapter 26.3. The Tax Code of the Russian Federation, dedicated to the single tax on imputed income, contains Article 346.27, which provides a definition of the concepts used in this chapter. It is thanks to the concept of “retail trade” given in Article 346.27., for example, that a UTII payer engaged in retail trade in automobile spare parts, when trying to add motor oils, which are excisable goods, to the assortment, is forced to use CCP, since trade in excisable goods does not fall under the definition of “ retail trade", transferred to UTII.

Where is it prohibited to sell cigarettes?

(This issue is regulated by Federal Law No. 15 “On protecting the health of citizens from the effects of environmental tobacco smoke and the consequences of tobacco consumption)

Outside buildings and pavilions

Retail trade of tobacco products is carried out ONLY in stores and pavilions.

• A store is understood as a building or part thereof, specially equipped, intended for the sale of goods and provision of services to customers and provided with trading, utility, administrative and amenity premises, as well as premises for receiving, storing goods and preparing them for sale.
• A pavilion is a building that has a sales area and is designed for one workplace or several workplaces. What's happened Pavilion.

Note: If there are no shops and pavilions in the locality (example: village), trade in tobacco products in other retail facilities or delivery trade in tobacco products is allowed. Trading through any trading window is prohibited.

Prohibited in the following facilities and territories

Law No. 15-FZ establishes a list of objects and territories where tobacco trade is prohibited in any form, namely:

1. in territories and premises intended for the provision of educational services, services by cultural institutions, youth affairs agencies, services in the field of physical education and sports, medical, rehabilitation and sanatorium-resort services, on all types of public transport (public transport) city and suburban traffic (including on ships when transporting passengers on intracity and suburban routes), in premises occupied by state authorities and local governments;
2. at a distance of less than 100 (one hundred) meters in a straight line without taking into account artificial and natural barriers from the nearest point bordering the territory intended for the provision of educational services;
   1. The distance is calculated from the nearest edge (border) of the land plot of the specified objects in a straight line to the boundaries of your object, measurements should be made along the shortest path (without taking into account artificial and natural barriers, etc.), and it is recommended to use a cadastral plan and measure with a ruler, Save and print the generated map.
      p|s There is no methodology for this measurement in the laws; this calculation is given from our judicial practice.
3. in the territories and premises (except for duty-free shops) of railway stations, bus stations, airports, seaports, river ports, at metro stations intended for the provision of passenger transportation services, in premises intended for the provision of housing services, hotel services, services for temporary accommodation and (or) provision of temporary accommodation, personal services.
4. Wholesale and retail trade in nasvay and sucking tobacco (snus) is prohibited.

Where else is it prohibited?

• Trading at fairs, exhibitions, through delivery and peddling trade, remote selling, using machines and other methods is prohibited.
• Trading through any trading window is prohibited.
• Open trade in cigarettes is prohibited - packs are visible.

Where allowed

In all places, subject to the above.

When using individual entrepreneurs on UTII

Tax legislation does not allow the use of UTII when selling excisable goods listed in subparagraphs 6-10 of paragraph 1 of Article 181 of the Tax Code of the Russian Federation. Tobacco products are not included in this closed list (items), so it is possible to sell them in this case (the Ministry of Finance indicated this in its letter dated 04/07/2017 No. 03-01-15/20998, the department also reminded that the conditions for doing business in UTII is established by local authorities).

Federal legislation (Article 346.26 of the Tax Code of the Russian Federation) provides that this preferential taxation system can be used when selling goods through:

• objects of a stationary retail chain with trading floors up to 150 sq.m. (shops and pavilions);
• objects of a stationary trading network that do not have trading floors (for example, kiosks, tents, retail markets, fairs);
• objects of a non-stationary trading network (using a car, a drive-thru shop, a car store, a trailer, a mobile vending machine, trading from hands, from trays, from baskets and hand carts).

OKVED used in the sale of cigarettes and tobacco and tobacco products

OKVED Wholesale trade of tobacco products

46.3 Wholesale trade of food products, drinks and tobacco products

For raw materials

46.21.2 Wholesale trade in unprocessed tobacco

OKVED Retail trade in tobacco products

Non-specialized (general) stores

47.11 Retail trade primarily in food products, including drinks, and tobacco products in non-specialized stores

Specialty store (cigarettes only)

47.2 Retail trade of food products, drinks and tobacco products in specialized stores

In the markets

47.81 Retail trade in non-stationary retail facilities and markets in food products, drinks and tobacco products

Retail trade in tobacco products is carried out in a specially equipped building or part thereof. This building can serve as a store or pavilion (utility room + sales area with one equipped workplace). A place must be designated for the reception, storage, and preparation for sale of goods, while the law does not prohibit carrying out these activities in one place (combine).

Trading is possible in other retail facilities, incl. delivery, but under the obligatory condition - the absence of shops and pavilions in a particular locality.

It is prohibited to sell cigarettes at exhibitions, fairs, incl. through delivery, distribution, distance trading and vending machines. Trading through the window is prohibited.

The sale of cigarettes with display and demonstration is prohibited; information is conveyed to the consumer using a text list, without graphic images, and only after familiarization is the demonstration and sale of tobacco products carried out (on a white sheet of paper in black and white, with the name and price indicated in large font). In general, if you get into trouble in Moscow, then our lawyer for administrative disputes will help you.

Piece sale of cigarettes

From July 1, 2016, the production and sale of cigarettes is carried out only in packs of 20 pieces.

Electronic cigarettes from 01/01/2017

Since January 1, 2017, electronic cigarettes, vapor generators and liquids with nicotine have been equalized with tobacco products and are subject to excise tax. For example, they cannot be advertised, smoked in public places, sold near schools, and so on. Read more.

Since mid-2019, at the direction of D.A. Medvedva. they will be subject to tobacco laws. For electronic cigarettes, the requirements, rules and prohibitions will soon be the same as for conventional cigarettes.

Response to our reader’s remark, incl. judicial practice:

1. formally, a nicotine electronic cigarette does not belong to tobacco products, since Federal Law No. 268 defines what constitutes a tobacco product, but judicial practice shows that when courts use the analogy of law and law, in the event of an administrative fine for a nicotine electronic cigarette, the court’s decision will be not in your favor.
   1. The question of which electron is used also remains unclear. nicotine in cigarettes, what it is made from, etc.
2. It is necessary to clearly separate nicotine electronic cigarettes and liquids from those without nicotine on sale, for example, do not display them in a visible place.
3. Smoking electronic cigarettes and vapes is prohibited on long-distance trains from February 15, 2017.

Selling cigarettes to minors

Article 20. Federal Law No. 15 “On the Protection of Citizens’ Health” introduces a ban on the sale of cigarettes and other tobacco products to minors,” in this case meaning the age of 18 years.

Until the age of 18, the sale of cigarettes and other tobacco products is prohibited.

It is important to understand here that the law in principle prohibits minors from using tobacco. At the same time, parents should be held accountable for this offense.

The seller in the store is also prohibited from selling tobacco products to minors, and the citizenship of the minor does not matter (Belarusian, Ukrainian, Moldovan). In case of doubt about the age of the buyer, the seller is obliged to request from the buyer a document proving his identity and allowing his age to be established.

List of documents giving the right to purchase

These documents can be:

1. Passport of a citizen of the Russian Federation or foreign passport.
2. Temporary identity card of a citizen of the Russian Federation.
3. Seaman's passport ( seaman's identity card), diplomatic or service passport.
4. Military ID or military ID.
5. Passport of a foreign citizen.
6. Residence permit in the Russian Federation.
7. Temporary residence permit in the Russian Federation.
8. Refugee certificate.
9. Certificate of temporary asylum on the territory of the Russian Federation.
10. Driver's license. This list was put into effect by Order of the Ministry of Health of the Russian Federation No. 215N dated May 12, 2014.

In case of the slightest doubt and it is not possible to establish age using documents, the seller is obliged to refuse to sell tobacco products to the buyer.

According to clause 3. Art. 14.53 Code of Administrative Offenses of the Russian Federation

Failure to comply with restrictions and violation of prohibitions in the field of trade in tobacco products and tobacco products will entail the imposition of an administrative fine, namely:

Fine for selling cigarettes to children (minors)

• for citizens in the amount of from 3 (three) thousand to 5 (five) thousand rubles;
• for officials - from 30 (thirty) thousand to 50 (fifty) thousand rubles;
• for legal entities – from 100 (one hundred) thousand to 150 (one hundred and fifty) thousand rubles.

Fine for trading in the wrong place

Including within 100 meters and other non-compliance with restrictions on the trade of tobacco products

• for citizens in the amount of 2 (two) thousand to 3 (three) thousand rubles;
• for officials - from 5 (five) thousand to 10 (ten) thousand rubles;
• for legal entities - from 30 (thirty) thousand to 50 (fifty) thousand rubles.

Wholesale or retail sale of nasvay, sucking tobacco (snus)

• for citizens in the amount of 2 (two) thousand to 4 (four) thousand rubles;
• for officials - from 7 (seven) thousand to 12 (twelve) thousand rubles;
• for legal entities - from 40 (forty) thousand to 60 (sixty) thousand rubles.

When the first violation is detected, the fine will be at the minimum established level, for example for citizens 3 thousand rubles, and not five.

Where to report an inspection if a violation of the law is detected

You should notify the local police department, the local police officer will conduct an inspection, or Rospotrebnadzor, which will also entail an inspection. It will not be possible to file a complaint secretly, as this will not entail an inspection and will not reveal violations. At the same time, the inspection bodies (employees) are executors and do not have access to the case materials, incl. to the complaint and the signatory.

The Ministry of Health wants to ban the sale of cigarettes

Based on data on reducing smoking levels in Russia, the Ministry of Health wants to completely reduce tobacco consumption by 2033 by introducing a ban at the legislative level. Currently, the current law on protecting the health of citizens from the effects of tobacco prohibits smoking in indoor public places, including government agencies, hospitals, theaters, museums, sanatoriums and sports facilities, as well as cafes and restaurants. The restriction does not apply to electronic cigarettes and tobacco-free hookahs.

The Ministry of Health also proposes to introduce impersonal packaging for all cigarettes in Russia. In the world, such restrictions are currently only in force in Australia; if the ministry’s proposals are supported, in Russia the so-called unified pack may appear in a year or two.

If you have questions, ask them in our group in contact

How to open a tobacco shop from scratch? This is a question many aspiring entrepreneurs ask. This is dictated by the fact that capital investments are small with a payback period of six months. The article contains step-by-step instructions, nuances when opening such a store, as well as recommendations.

Cigarette smoking is very widespread in the post-Soviet space, much more than in European countries and America. Despite the harm from smoking and the recommendations of the Ministry of Health, nothing stops people who use tobacco products. Taking advantage of the weakness of such people can be turned into a business with good profits. To achieve this goal, you need to understand the nuances of opening a store.

The business is suitable for people who do not have a lot of capital, the necessary knowledge and skills, as well as those who do not want to get involved with large stores and other activities that require large investments. Thus, a tobacco store is suitable for those who want to try themselves as an entrepreneur.

In the 90s, kiosks selling tobacco products were a very popular way to enter the business. Much has changed over time, and today people prefer to purchase goods in supermarkets and shops. However, cigarettes are still purchased from tobacco stalls and kiosks due to convenience.

Advantages of the cigarette trading business:

• no need for large investments;
• no large area is required, which allows you to save on rent;
• there is no need to hire a large number of employees, which helps to control their work;
• the purchase of special equipment is also not required;
• cigarettes are non-perishable goods, which means they can be stored without special conditions;
• there is no need to prepare special documents or legalize the business;
• quick return on business, provided that the necessary documents are completed correctly.

Disadvantages of business selling tobacco products

When opening a store, there may be the following disadvantages:

• the need to have a large sum to purchase the first batch of cigarettes and other products. In fact, this is the largest part of the investment;
• not the most impressive earnings, depending on the price of the pack;
• High competition, since there are a huge number of similar stores in all cities.

What does it take to open a tobacco shop?

Interesting fact: in 1970, the United States of America passed a law banning the advertising of tobacco products on television. The last commercial in the US was released at the end of December of that year.

There are no difficulties in opening and owning a business. Any person can do this. Don't forget about the following nuances:

1. It must be taken into account that the store must be installed in accordance with the law. It is prohibited to locate stores near educational, sports and medical institutions. Failure to comply with the law is severely punished;
2. It is prohibited to sell tobacco products to persons under 18 years of age. There are fines for violation;
3. on the territory of the Russian Federation, all cigarettes sold must have information on the pack about the maximum possible prices and the manufacturer of the product. Increasing the price above the maximum is not allowed and is punishable in accordance with the law;
4. individual sale of cigarettes is also prohibited;
5. Tobacco stores cannot sell products that do not meet the profile.

Is it necessary to advertise the store?

Advertising of such stores, as a rule, is not required, since most often customers purchase cigarettes not in certain stores, but, for example, on the way to work. It is enough to design the store in such a way that people understand that you sell tobacco products. This could be a sign on the premises or a pillar that can be placed nearby. Such measures will help attract casual buyers. You can think about a serious advertising campaign when one store grows into an entire chain. When saving on advertising, it is necessary to create competitive advantages to increase the number of regular customers. To do this, you can take the following measures:

1. expand the product range. This means that the store should have expensive and cheap cigarettes, tobacco, pipes and mouthpieces for hookahs, related products such as lighters, matches, ashtrays, chewing gum, chocolate and much more. In the future, you can think about installing a refrigerator with drinks and a coffee machine;
2. It is necessary to ensure that sellers are polite and attentive to all customers. For example, you need to know regular customers and devote time to communication, since all people love attention;
3. The location of the store plays a big role. Crowded places are the best option;
4. do not greatly inflate prices for products, since in this case people will prefer to buy cigarettes where it is cheaper;
5. doing business must be fair. There is no need to cheat drunk visitors, or sell tobacco products to minors.

Interesting: The most sold thing on the planet is cigarettes, of which a trillion are sold every year. Corporate income exceeds four hundred billion dollars annually.

Business plan

Selecting a store format and registering it

It doesn’t take much time to open a store, just a couple of months is enough. If the future owner decides to sell alcoholic beverages or food there, it will take much more time. Accordingly, if you don’t have a lot of start-up capital, you should think about opening a kiosk or stall, and then expand. The main advantage of registering a tobacco store is that there is no need to complete a lot of paperwork. The most successful option is the individual entrepreneur form of ownership, since it has a simplified taxation scheme. Registering a kiosk will cost the owner no more than ten thousand rubles and will take about a month.

Renting or purchasing a stall is not a problem, since there are quite a lot of offers on the market. The advantage of this type of business is that there is no need to purchase expensive equipment. It is enough to buy a safe for the proceeds, a cash register, a table and a chair for the seller. In accordance with current legislation, it is required that entry into the kiosk must be made. In order to avoid problems with the law, you need to make an opaque cabinet for cigarettes inside. In order for the seller to feel comfortable during the cold season, it is worth installing heating devices in the store. The costs of purchasing equipment can be presented as follows:

The greatest difficulty will be choosing a location for the store. It is best if it is located in areas where a large number of people live or work. But, as a rule, such points have long been occupied by competitors.

How to choose a product supplier

As in other types of business, it is necessary to find suppliers who sell products at the lowest prices in order to be able to set the maximum markup. The situation on the tobacco market is positive, since there are a large number of suppliers, which allows you to choose the best of them. It is necessary to deal with this issue responsibly, which means not rushing into a choice and not agreeing to the first offer. You need to check all quality certificates and other documentation to be sure of the originality of the product. Also, you should not choose exotic types of cigarettes for sale. Many smokers are accustomed to certain brands, most often well-known ones. This means that the supply of such cigarettes must be uninterrupted.

Store salespeople and work schedule

Store hours will vary depending on location. If there are establishments nearby that operate around the clock, you can set the same schedule. If the kiosk is located in a business or residential area, you can get by with a schedule from 7 a.m. to 10 p.m. You need to remember that the usual routine from 8 am to 5 pm will not work. The work schedule chosen will also affect the number of employees. The 24-hour mode will require three sellers, and the daytime mode will require two. Their work schedule will be two days in two or a day in two. The monthly salary for each will be at least 7-10 thousand rubles. In big cities you will have to pay more, accordingly, with average salaries. There is no need to hire a cleaner, as sellers can handle cleaning a small space on their own. There is also no need to hire an accountant; this function can be performed by the owner himself.

How much does it cost to open a tobacco shop from scratch?

You don't need a large down payment to open a store. It is enough to save or borrow about 150 thousand rubles to start a business. Opening costs look like this:

• business registration - 10 thousand rubles;
• rental of premises - 10 thousand rubles per month;
• purchase of equipment - 68 thousand rubles;
• monthly salary - 15 thousand rubles;
• purchase of the first batch - 50 thousand rubles per month;
• other expenses - 5 thousand rubles.

In total, 158,000 rubles are required to open a tobacco business. In this case, it makes sense to draw up a long-term lease agreement for the premises - for several years in advance. This will allow you to save money, since the price will be lower, and you also have the opportunity to get rental holidays for a month or a little more.

Is it profitable to open a tobacco shop?

It must be borne in mind that it is impossible to quickly become a millionaire by selling cigarettes. The maximum possible markup on a product is 30 percent per pack of cigarettes. But most often, store owners are content with only 15-20 percent. Accordingly, the more sold per day, the higher the revenue will be. Let’s assume that fifty packs of cigarettes are sold per work shift, costing seventy rubles. Daily revenue will be 3.5 thousand rubles. The store will bring in about one hundred thousand rubles a month. Taking into account all payments, such as taxes, rent, wages to sellers, purchase of goods, net profit will range from 26 to 41 thousand rubles. Thus, the payback for the store is approximately six months.

Conclusion

As you can see, there are no particular difficulties when opening a tobacco store. You just have to pay attention to the fact that the actions during the sale are legal, and to increase the sales volume.

The market segment is filled with tobacco products, despite warnings to citizens about the dangers to health. High prices for goods do not reduce purchasing power. Beginners are wondering how to start a business selling cigarettes? Attracts the receipt of considerable income and rapid growth of activity. These factors allow you to achieve a high level and increase the profitability of your own business. Let's figure out where to start selling tobacco products. Content

• 1 Tobacco business options
• 2 Legal aspects
• 3 Arrangement of the premises
• 4 Costs of setting up a business and profitability

Tobacco business options Before registering, you should study the forms of cigarette trade. Here, the main thing is to understand what profit the entrepreneur plans to receive.

Trade in cigarettes for individual entrepreneurs

And yet, opening a tobacco kiosk can have 3 unpleasant consequences for its owner:

1. You need to have a large enough amount to purchase the first batch of cigarettes and other products. In fact, these are the main expenses of a startup.
2. Monthly earnings will not be as impressive as in other types of business, because the price of one pack of cigarettes is relatively low.
3. Competition in this sector is serious, because in every city you can find hundreds of tobacco kiosks, which are located in the most favorable places for trade.

We also read: Step-by-step instructions on how to draw up a business plan Features of owning a tobacco kiosk Interesting to know: In 1970, a law was signed in the USA according to which it was impossible to advertise cigarettes on TV. The last time cigarette advertising appeared on TV in the United States was December 31, 1970.

Organizing a business selling cigarettes

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Will the cigarette business work?

• Kiosk rental – 20,000 thousand rubles. (monthly payment).
• Purchase of the initial batch of cigarettes – 100,000 thousand rubles.
• Salary to sellers – 16,000 thousand rubles.
• Other expenses – 6,000 thousand rubles.

It’s worth counting on profit right away; it depends on many factors: competition, high cost, lack of a large flow of customers in the pavilion area. An experienced owner must rationally assess the situation.
The payback on the idea of ​​selling a cigar will come within a few months if:

• The markup on a pack of products will be 35% (usually small stalls set the price 15% higher).
• Sale of goods in large quantities (from 100 pcs.).
• Uninterrupted work schedule.

If we take into account the average daily revenue of 10,000 thousand rubles. minus expenses, the total profit per month is about 200,000 thousand rubles.

Cigarette selling business - how to open, do you need a license, reviews

Attention: trading is permitted only at the place of registration of the owner of the activity. There are criteria for the sale of tobacco products:

• It is prohibited to sell cigarettes one unit at a time (packs only).
• The room must be at least 20 sq.m.
• The kiosk is located more than 100 meters from children's, school, and cultural institutions.
• Notification to the Internal Revenue Service regarding the sale of cigarettes.
• The cost of cigarettes is indicated on each package.
• It is prohibited to sell cigarette products via the Internet and at fairs.
• Product information is transmitted from the trader to the buyer.
• It is prohibited to sell products in public transport, train stations, subways and other public places.
• The product is sold exclusively to persons over 18 years of age.

By studying the rules of doing business, an entrepreneur will prevent fines against his company.

How to open a tobacco kiosk: detailed calculations

There is no need to create a separate cleaning station; sellers will be able to clean a small tobacco kiosk on their own. And you can do the accounting yourself. How much does it cost to open a tobacco shop? You don’t need too much start-up capital, but, naturally, at the initial stage you will have certain expenses, so you will have to collect or borrow at least 150,000 rubles to launch a startup: Expense item Amount (in rubles) Total: 150,000 rubles.

Registration of a kiosk 10,000 Rent of a stall* 8,000 (per month) Equipment 60,000 Salaries of employees 15,000 (per month) Purchase of the first batch of goods 50,000 Other 6,000 *It is better to draw up a long-term agreement to rent a stall, for example, for several years at once. Then the rental price will be lower, and you will be able to get rental holidays for 1–1.5 months.