Making Crafts Your Business – Step by step guide.
You want to sell your homemade creations at a craft fair but don’t know where to start. Here is your starting point.
Depending on the size of the craft fair and where you live, a resellers permit can be required. It will definitely be required when your business grows and you attend the larger craft fairs. You can find information here on obtaining resellers license on the Small Business Administration site. I would suggest getting it before you sell anything.
There are many benefits to registering your business. First, you will be eligible to declare deductions and second you will now be able to buy supplies from wholesale suppliers. If this is to be your business, treat it like a business. If you are in the business (and not a hobby) of producing crafts and handmade goods for sale, you are entitled to many tax exemptions including car expenses, studio expenses, craft fair entry fees, etc. You must log all your information and keep every receipt. you can find more information on starting a small business at the Small Business Administration and also SCORE.
Here are the 20 questions on the Small Business Administration site to ask yourself before starting a small business – and selling crafts and homemade goods is a small business. Not all the questions pertain to a home-based craft business but they are good food for thought.
You have made the decision to move your craft forward and I hope you are proud of yourself. Let’s make some money.
20 Questions Before Starting
- Why am I starting a business?
- What kind of business do I want?
- Who is my ideal customer?
- What products or services will my business provide?
- Am I prepared to spend the time and money needed to get my business started?
- What differentiates my business idea and the products or services I will provide from others in the market?
- Where will my business be located?
- How many employees will I need?
- What types of suppliers do I need?
- How much money do I need to get started?
- Will I need to get a loan?
- How soon will it take before my products or services are available?
- How long do I have until I start making a profit?
- Who is my competition?
- How will I price my product compared to my competition?
- How will I set up the legal structure of my business?
- What taxes do I need to pay?
- What kind of insurance do I need?
- How will I manage my business?
- How will I advertise my business?
Stay tuned for more information.
See you next time.