I just returned home from the gift shows in San Francisco and New York, and my show bags are bursting at the seams with fun products to showcase. The shows were fantastic and I'm looking forward to sharing products from both of them starting tomorrow.

Today, I want to respond to an email I received from an entrepreneur who is opening her first cart, and asked for a few suggestions on how to get started.

I believe there are five essential components to opening your first cart or kiosk  (check out my book for more details on each point).

1. Find the right product(s). I always recommend deciding on what products you're going to sell first, as this will impact several other decisions (such as location). I also tend to get asked, "How should I select the right products to sell," and while there are many wonderful products that can be sold from a cart, I suggest you sell one that you can relate to and that you like.

Don't be afraid to do a little market testing of the product you're considering. If, for example, you're planning on selling make-up geared to teens, ask people in that age group what they think of the product line and packaging. Some other questions you might want to consider asking the wholesalers, or companies that you'll be buying from, include:  how quickly can you ship the products from the time I place my first order and how long will re-orders take to receive, do you extend payment terms, how long have you been in business and do you have any references.

Lastly, as a cart retailer, it's particularly important to ensure you choose a product that has more than a one-time mark-up.

2. Find the right location. The key to finding the right location starts with identifying your target buyer. Most malls can provide demographic data (just ask!) so you can get an understanding of the type of buyer the mall attracts. If you're planning on selling a high-end product (such as $100 plush robes), you should think about a location with the following criteria:  high-end department stores, an average shopper income of more than $50,000 and sales per square foot of more than $400.

I highly recommend you plan several trips to the mall to observe the location during different hours and days (weekend versus weekday traffic). And don't forget to ask current cart retailers about mall traffic, where they think the best location is in the mall and what products they think tend to sell best.

3. Write a mini business plan. Not only will writing a mini business plan help you get an understanding of the money you'll need to get your venture going, it will also be helpful if you need to turn to the bank for a loan. Plus, you'll be setting goals for revenue and guidelines for expenses. And it helps you set a timeline and think through all aspects of planning for running your new business.

4. Create a retail look. I can't emphasize enough how important visual merchandising is to the success of your cart or kiosk. I've seen retailers increase sales by as much as 50% when they re-designed their cart with strong visuals. Many malls will ask you for a merchandising plan before you set-up, and it's an important element during your initial planning phase and for the long-term success of your business. One of the biggest mistakes I've seen cart retailers make is to fail to utilize the vertical space in the cart, and too little (or too much) inventory displayed.

I suggest working with a visual merchandiser to help you maximize your display and create the strongest visual impact.

5. Hire the best employees. Hiring the best employees is the final step to ensure the success of your retail business. Here's a common sense principle that I encourage you to repeat as your mantra, "Dynamite employees generate amazing sales and mediocre employees generate average sales." And I suggest you conduct at least two interviews before making a hiring decision. I've found that paying a base salary plus commission is the key to motivating your employees to peak performance.