How To Start A Craft Business

Mar 21, 2022 | 0 comments

The world is filled with artistic individuals who paint, stitch, and draw their way. Crafting is an excellent method to unwind, relax and let your creative aspect show through.

What do you think if we said that crafting is much more than a pastime?

According to Statista, the worldwide crafts market will be worth $50.9 billion in 2024. With the internet making it simpler to start an online store for crafting, nobody stops anyone from elevating their creative abilities to the highest level.

A craft business online lets you leverage your passion for crafting and transform it into something that generates money. Then, you decide if you want to dedicate your time to it or make it an extra-curricular business that earns an extra income.


So, where do you start? Here’s a step-by-step guide to help you establish your own business in the field of craft.

What Do I Need when starting Starting a Craft Business?

Find a gap in the MarketThe first step to start your own business in the craft industry is deciding the products you’ll be selling. The choice of what you “craft” will partially depend on the things you enjoy making. But, it’s equally essential to look into the market to see what you can sell your business.

Review your industry and consider what type of products you can offer under your brand name to attract customers to purchase from you. For example, you may be a pro at making yourself soap. However, there are a lot of makers like you on the market. Perhaps you can offer an organic soap and make it from specific ingredients? How can you make yourself stand out?

Get your hands on secondary market research by groups such as, Nielsen, and NPD to know what’s hot. There are a variety of options to consider:

  • Custom-designed art: People enjoy creating custom-designed pieces designed to meet their specific needs. You can sell photos of your customer’s pets or create art inspired by the particular things that your customers enjoy, such as a specific video game or book.
  • Gift baskets: Many people are struggling for a perfect gift for someone they cherish. What better way to ease the burden on your guests than by offering them gift baskets specially created for a particular celebration?
  • Beauty and skincare: It’s a vast business by itself. It is possible to combine your love for beauty and your love of making by selling soaps, perfumes, bath bombs, soaps, and other products that make for a popular treat.
  • Jewelry: Create the earrings of your choice using double pearls. You can also try making a DIY necklace design. Jewelry is always a good choice for easy craft ideas that are popular if you notice that people love your designs. You are interested in starting an enterprise in jewelry to convert your passion into money.

For more inspiration, try Google Trends to find out what’s discussed in your field. You can also ask your acquaintances what they would like to purchase.

Many people are seeking the perfect hatbox in these times, and this could be something you provide at your store for crafting.

1. Get to Know Your Audience Better

If you’re trying to figure out how to begin a crafts business, There’s a good thing: the market for crafts is quite a diverse area. The selling in this sector will allow you to target different consumers and demographics depending on the items you sell.

If you’re selling household essentials such as key hooks and blanket covers, it’s possible to concentrate on older buyers who can afford things for their homes. If you’re selling hand-made friendship bracelets, bath bombs, and other bath accessories, it is possible to attract a younger crowd.

To determine your ideal customer take note of the people who are the most likely to be over your goods. If you’re starting a tiny business that crafts infant blankets, the main clientele could be expecting parents. But, you can appeal to other relatives who would like to purchase baby shower presents.

When researching your target audience, take note of their:

  • Primary reasons to buy your product
  • Pressing pain points
  • Loves and disdain
  • Gender, age, and the place of residence
  • Verhalten (where they surf online)

You can also find additional information about your customers by visiting Nielsen’s U.S. Census Bureau website and looking through the Facebook Viewer Insights tools to improve targeted social media.

2. Create a Business Plan

If you’re trying to figure out how to begin selling your hand-made items on the internet, you’ll likely become absorbed in planning what products you’ll be selling and determining who your customers are. Make sure to keep the brakes on for a moment, but it’s essential to do some research first.

Making a well-crafted business plan is a must. Imagine it as your business’s compass that keeps you in the right direction regardless of what happens in your field.

Business plans help you remember your mission and vision. These plans are essential when seeking business funding from a lender or bank. Here are a few things you should be able to include in your business plan:

  • An executive summary
  • The description of the things your company does
  • Market and competitive analysis
  • SWOT analysis
  • Marketing and sales plans
  • The management team of the company
  • Financial projections

Suppose you’re still uncertain about business plans after you’re trying to begin your own business in the field of craft. In that case, there are helpful video tutorials on the internet that can assist you in preparing business plans. You can also use templates for business plans to begin. You can alter the information to reflect the character and goals of your company.

Get crafting! It’s time to enjoy some time!

In this stage, you’ll be able to formulate the plan of the way you’ll make your crafts. There are many ways to begin this process. You could, for instance, go through some tutorials or webinars online that will help you improve the abilities you already possess. If you are a jewelry maker, you could learn to create chains or make the earrings you want to make yourself. Try:

  • Online classes: There are many websites, such as CreativeBug, where you can learn about crochet, knitting, sewing, quilting, etc. You can also find instructional tutorials on YouTube and Facebook to assist you.
  • Try making your list of crafts that you like the most and begin from there. There is a possibility of making soap yourself or other soap, and in that case, it’s worthwhile to research the types of ingredients you can purchase on the internet. If you’re planning to start your own pottery business, consider investing in the tools required to create unique ceramics.
  • Make sure you have the proper space in the home of your choice: If you’re studying how to begin a craft business at home, you’ll want to make sure that you’re prepared. Be sure you have the tools you’ll need and lots of space for storage. Create the space you’ll need to tackle things such as making furniture upcycles or knitting blankets for clients.

3. Find a Manufacturer or Supplier

It’s hard to grow an enterprise in a situation where you’re the sole person creating your products. If your business expands, you’re likely to find you’ll require assistance to maintain a balance between work and life. Locating a supplier who can create your ideas for you can assist you in managing your company.

You’ll likely also have to find a source to supply you with the raw materials needed to produce your products. This may include paying for wool that is specifically made or threads to make your embroidery company. Take into consideration:

  • It is the quality and craftsmanship of craft crafts made by hand. You don’t want your work to appear low-cost. They can be highly appealing. By investing in suitable materials, you will positively affect the people who view your work.
  • Samples If you’re thinking about using a supplier over the long term, request samples of products first to see if they’re compatible with your business strategy. If you discover products you like, you can think about making the contract conditions to ensure you are fully stocked throughout the year.
  • Locality: It’s a good option to locate a company closest to you feasible to manufacture and supply your products. Sourcing your goods from an overseas supplier may appear like a great option to save money, but it can also mean that you are waiting a long time to obtain the products you require. Utilizing a local vendor such as those on Handshake, should you be located in the US, could result in quicker delivery times and higher quality.

If you are a beginner learning to establish the business of crafting, it might be worth selecting a lower-cost business model such as dropshipping. This lets you start a shop for crafts and sell products on your website. When a customer purchases something through your store online, an outside supplier handles the fulfillment process, from packing the item to getting it delivered to the customer’s doorstep. There is no inventory to keep, which means you can save the cost of warehousing… also time. Dropshipping is a great business model for entrepreneurs in the craft industry who wish to concentrate on marketing their company rather than focusing on inventory management (PS Oberlo is an excellent source for items like beads and other crafts that can be sold directly from the store).

4. Develop Your Brand

Branding is among the most crucial factors you can take care of for a business that is a craft. Since consumers buy from companies that they like, trust and trust, it is essential to provide them with a brand that leaves an unforgettable impression. A good branding strategy includes elements from a memorable business name to a beautiful logo, a distinctive color palette, or even a unique speaking style.

Creating a brand is more straightforward than you’d imagine due to the many great online tools available. For example, Shopify offers a:

They make creating an unforgettable business as easy as it is possible. For instance, you need to include relevant keywords such as “ceramics” or “knitting” in the slogan maker, and it will come up with many great slogans that you can think of.

If you’re struggling to create all by yourself, You can also collaborate with designers from organizations such as Fiverr, Upwork, and DesignCrowd.

Read Also: How To Build a Brand

5. Fulfill Your Legal and Logistics Requirements

When creating a craft-based business, one of the things you should consider must ensure that everything within your business is operating correctly from a logistical and legal standpoint. Simply because you’re operating an unassuming business selling hand-made scarfs doesn’t mean that you’re not required to file a business registration.

If you’re not sure how to legally establish a craft-related business, there are numerous online resources or consult an expert tax advisor. The most important things to take into consideration are:

  • Permits, registration of company and licenses
  • SKUs for your product line
  • Costs of shipping and weight
  • Shipping restrictions on your items
  • Overhead for production and other costs
  • Taxes on sales and business
  • Copyright and trademark and patent request

If you’re concerned that you may not have the documentation you need or aren’t sure what the meaning of certain documents is, it’s possible to consult with an expert for security.

6. Build Your Online Craft Store

If you like making your favorite art, creating an online store can be enjoyable.

Creating a professional website is easy if you’re using an eCommerce system such as Shopify. This is your chance to mix different elements, such as the colors you choose for your brand and logos pages for products, to create an entire online storefront. You can build an eCommerce website in less than 30 minutes.

Suppose you’re interested in taking benefit of the time and cost-saving advantages of dropshipping. In that case, you’ll also be able to access Oberlo, which is the custom-designed drop shipping solution designed for Shopify.

You may consult an expert or web designer to get some additional assistance.

The most important aspects of being considered are:

  • Inspiring and engaging product descriptions for your crafts
  • Fantastic photos of your products
  • Pages for landing which encourage users to establish a connection with your business
  • Privacy policies Terms and conditions return policy Shipping policies, and terms of service
  • Zones and rates for shipping
  • Checkout pages as well as payments gateways.

The great thing about Shopify is that it allows you to alter different elements, from your templates and themes to your tools and resources, which will enable you to make your store distinctive.

Start Marketing Your Crafts

One of the most challenging aspects of learning to start a business that sells crafts is to figure out how to get customers to visit your shop. Marketing is an integral part of the craft of selling products. The amount you pay for marketing will be heavily influenced by your budget and the strategies you choose to use.

For instance:

  • Marketing via email is an excellent method to build connections with your customers and motivate them to continue buying from your company in the long run. Be sure to categorize your customers based on the crafts they enjoy to ensure that your messages are relevant.
  • Social marketing via media is a fantastic way to communicate with your customers daily. Show them how you design your products by posting YouTube tutorials, taking pictures for Instagram, and creating boards for Pinterest.
  • Influencer marketing is an excellent way to give your brand an edge in reputation. You can collaborate with highly-respected professionals in your industry to boost your chances of getting the most suitable clients. Influencers are present across all platforms, including TikTok and Clubhouse, Facebook, and many more.

Online Craft Store Examples

Are you looking for ideas for starting your own craft business? These are six examples of brands that have successfully given you ideas.

Cedar and Sail

This story from Cedar and Sail shows that anyone can learn to begin a business in the craft field and pursue their interests when they have spare time. The business was born out of an idea to design exclusive designs and accessories for the homemade with 3D printers and other contemporary methods. The brand offers a vast collection of attractive but small items today, including candles, planters, and coasters.

Cedar and Sail were born as a small idea by someone who wanted to pursue something they were passionate about in their free time. The company today is a smashing success.

The Honeybunch Shop

Honeybunch Shop. Lisa Jolly created the Honeybunch shop is, a business founded on love and passion. The owner, Lisa, believes in creating stunning bath products made of organic ingredients. Lisa began her career in retail and started other businesses before starting Honeybunch Shop.

According to Jolly, she was a novice at how to make soap when she first thought of the concept for her website. However, within a short time, she was able to become an authority.