Running a flower shop can be a profitable venture but how much you earn depends on a number of variables. They include the size of the store, the location, the local economy, hours of operation and the skill and experience of the owner. According to industry experts, flower shop owners just starting out take in about $40,000 per year on average but that figure could be higher or lower.

Industry Overview

According to the Society for American Florists, there are approximately 20,200 flower retailers in the U.S. and the average sales per location is $325,000. The business is highly seasonal and peak periods include Valentine's Day and Mother's Day. Red roses account for 39 percent of all flowers sold and more than two-thirds of fresh flowers sold by retailers are imported. In addition to fresh flowers and arrangements for events ranging from weddings to funerals, shops generate revenue through sales of ancillary items such as cards, vases, home decor, and other products related to parties and events. Shops also make money by charging customers for delivery to homes and businesses.

Size and Location

Though the average flower shop generates about $325,000 per year in revenue, that number can vary greatly. A small shop on the outskirts of a small town would tend to generate less foot traffic and carry less inventory while a larger shop in a busy downtown district would generate far more money. Since a shop owner's income would be directly related to the total revenue a store generates, the size and location of a store is the number one factor in determining how much money a shop owner makes.

Payroll

According to a study from Forbes Magazine, a flower shop's payroll is about 40 percent of the total revenue the shop generates. So a shop that generates $200,000 in total revenue would have a payroll - including that of the owner - of about $80,000.Based on that average, the total income an owner would make in any given year would depend on the number of hours they work, their number of employees and how much the employees are paid. Total earnings also depend on how much money the owner spends on things like rent and other operating costs.

Intangibles

Though the average income for a medium-sized flower shop owner in a decent economy would be about $40,000 starting out, that amount would depend on intangibles. The most important one would be the skill and experience of the person running the shop. A shop owner who uses her space well, knows how to merchandise products and negotiate the best prices on the products they buy would tend to do better than an owner who doesn't know how to run a business. Other factors like the economy and local competition would also play a part in how much revenue the shop generates. In the end, the skill and drive of the owner would be the key.