Are you passionate about handicrafts? Are you interested in starting a craft business from home? Do you need a sample craft making business plan template? If YES, then I advice you read on.
Making crafts is your hobby. Your family and friends have seen your crafted products many times and said, “This is great! You could sell this stuff” or something similar, right? Then this post might interest you.
Craft selling is a booming business, with many avenues for selling, such as retail stores, online craft stores, tourist camps, trade fairs, and so on. Like many other talented individuals, you too can turn your craft-making skills into a successful home business.
Starting a craft selling business and making a living off of that could be challenging, but with dedication, a business sense, and the right information, you can be really successful in the business. The following are the steps involved in starting a profitable craft business.
Starting a Craft Selling Business from Home – Sample Business Plan Template
1. Evaluate your abilities
Your first step towards starting a craft selling business is to be realistic about your abilities as well as the quality and marketability of your products. Granted, you might have been crafting for fun for several years or even making little extra money from it. But the truth is, making crafts for full time income is different from making them for fun, as the former requires near-perfection.
You must be sure that you enjoy doing the work enough to venture into it as a full-time business. If you don’t enjoy it, you won’t be able to weather the challenges that you will most likely face when starting out.
You should also see the crafts made by those already in the craft selling business and compare them to yours to make sure your crafts match theirs in terms of quality. If you feel your crafts are inferior, then that’s a sign that people may not be satisfied with them. So, improve your skills before starting your business.
2. Decide how you will sell your crafts
There are many ways to sell your crafts. If you can churn out a large number of craftworks at a time, you could sell them in wholesale quantities to retail stores. If your output quantity is not very much, you can work as a retailer selling to individual customers.
In addition, you can sell craft supplies to other craft sellers. And if you live in a place often frequented by tourists, you should consider selling your craft at tourist camps and trade fairs. You will also need to decide how customers will buy your products. Would they place orders on a website and have it delivered to them via mail? Would you open a store of your own? You can choose any option that suits you.
Even if you have decided to work from home, you will still need a designated, organized space for craft production as well as an area for keeping records, processing orders, and handling administrative tasks. You don’t need a large area, but the area you choose must be dedicated for your business alone.
However, if you have chosen to sell your crafts on retail, then you must consider leasing a booth at a craft fair or flea market, or lease a small shop. You can also consider teaming up with other craft sellers to stock your store, or have them sell on consignment in your shop. It is recommended that you pay for a lengthy lease, so you will have some security as regards your chosen location.
4. Fulfill all legal obligations
In virtually all parts of the world, certain legal requirements must be met before starting a business. These include obtaining licenses and permits, fulfilling tax obligations, registering the name of the business, and so on. These requirements vary between states and countries, so you will need to visit the appropriate local agency to find out about the requirements that apply in your state or country.
5. Get necessary equipment
You will need a reliable phone line as well as the tools for making your craft. You must check the ones you already have to ensure that they are in good condition. Remember, the condition of your tools can make or mar the quality of your crafts.
6. Market your business
Buy or print business cards, letterheads, and other promotional materials. If you are selling as a wholesaler, print a simple catalogue that lists your crafts and their prices.
Set up a website to establish an online presence for your business; even if you don’t plan to receive orders via the internet. Aside your website, you can use social networking sites and online forums to spread word of your craft selling business.
Word-of-mouth marketing is one of the most effective ways to attract customers. Tell your family and friends about your business, and tell them to inform others, too.