Crafts

Business Description

Home businesses based around crafts generally consist of creating crafts to sell at either craft conventions, local markets, or over the internet.Crafts range from decorations for home, car, locker, etc, to apparel accessories such as hair clips, bracelets, necklaces etc. along with everything in-between.

Materials Needed

The materials needed for a home business centered around crafts will depend largely on the type of crafts being created.However, some general materials will be necessary no matter the type of craft being made.For those who hope to sell their crafts to local vendors may need to create a pamphlet outlining each of the crafts available.People who hope to sell crafts at a local farmers market or convention will need to way to transport their items.Based on the size and quantity of the craft, this could range from a car with a good sized trunk to a full-sized truck.Also, if anyone is planning on selling their crafts over the internet, they will need internet access, a computer, and likely a few methods of shipping their crafts to buyers.

Space Requirements

The space required for a home business based around crafts will also vary depending on the type of craft and the volume that needs to be created.For large crafts, an entire workshop may need to be devoted to creating and storing the items while they wait to be purchased.However, if a person wishes to sell hair clips, they may be able to work at the kitchen table between meals and devote a small closet to their supplies.Also, an owner will need to be sure they have a place to store the vehicle required to move the products from place to place.

Time Requirements

The time required to create each individual item will depend on the type of craft.However, a business owner's time will also be taken by trying to sell their products.Conventions generally span for a couple of days.Local markets may just happen once a week for a couple of hours, but an owner still must consider the time it will take them to set up and tear down their display.Selling crafts to local vendors will require travel, research, and planning time.Those who wish to sell their crafts online will need to take the time to track orders, prepare and ship items, and do marketing over the internet.However, owners will also have a lot of control over the volume of items they wish to produce and sell which will allow for flexibility regarding time requirements based on the wishes of the business owner.Time will also be required to do accounting and other tasks necessary to keep the business running.

Income Potential: 3.5

It is difficult to say exactly what the income potential is for a given home business based around crafts.Many factors contribute to a business owner's income such as the type of craft, its popularity, the business owner's ability to market and sell the product, the economy, etc.A business owner may earn a few dollars a month to hundreds or even thousands of dollars per month.

Keys to Success

There are several keys to developing a successful crafts business.First, create a network of buyers.As people start to use a business owner's craft every day, people will begin to learn about the craft and want to purchase it.As the craft becomes a trend, sales will increase.Second, businesses based around crafts do not generally make millions of dollars in their first year.The best way to handle a craft business is to allow it to grow without taking out large loans.Generally, new crafts are not tested in public and need time to establish themselves.Once there is a constantly increasing demand for the craft, it may be time to use loan money to expand.

Risks

As mentioned earlier, crafts are generally original products that have not been tested among a large market base.Sellers may have a tendency to go into debt or create large amounts of product without establishing a customer base.This can lead to a quick end to any craft business.Also, craft businesses are based on the popularity of their products.If trends move in a new direction, which they often do, then craft business owners may find their customer base has left them high and dry.