Office Space Expenses

$0

$7,000

Equipment & Supply Expenses

$66

$700

Inventory Expenses

$50

$9,750

Software Expenses

$12

$575

Advertising & Marketing Costs

$0

$3,000

Website Costs

$13

$215

Specific Industry Expenses

$0

$500

Total Startup Costs

$141

$21,740

CraftBundles

craftbundles.com

267,757

Organic Cotton Plus

organiccottonplus.com

412,149

Succy Crafts

succycrafts.com

915,834

Craft Warehouse

craftwarehouse.com

964,830

Boleks

bolekscrafts.com

2,743,051

Flexibility

You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.

Ability to start your business from home

It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!

Rewarding work

Starting a crafts business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.

Scalable

With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.

Meaningful business connections

You never know who you will meet as a crafts business. This could be the start of an incredible business opportunity!

Quick build time

The average time it takes to build your product is quick - typically around 7 months. This will allow you to bring your product to market faster.

Crowded Space

Competition is high when it comes to your crafts business, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.

Low margins

The gross margins for your crafts business are typically around 65%, which can make it more challenging to incur new expenses and maintain profitability.

Work can be inconsistent

As a crafts business, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have.

Lack of benefits

With a crafts business, you are typically self-employed and responsible for finding your own insurance, which can be quite costly and time-consuming.

Taxes

As a crafts business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.

No safety net

Typically, as a crafts business, you do not receive a consistent pay-check and instead earn money based on your transactions each month. During the slow periods, you typically take away less since the job is based on commission. It's important to budget accordingly for the slow times.