Office Space Expenses

$0

$7,000

Employee & Freelancer Expenses

$151

$352

Website Costs

$223

$7,215

Business Formation Fees

$600

$4,700

Equipment & Supply Expenses

$63

$200

Retail Business Expenses

$1,250

$11,650

Inventory Expenses

$350

$14,750

Advertising & Marketing Costs

$0

$2,300

Software Expenses

$150

$2,420

Total Startup Costs

$2,787

$50,587

Shop 2020 Pandora Jewelry

us.pandora.net

7,310

Swarovski

swarovski.com

8,098

Pandora Jewelry

pandora.net

8,099

SHOP SHASHI

shopshashi.com

11,287

Blue Nile

bluenile.com

12,583

Mejuri

mejuri.com

13,403

Cartier

cartier.com

20,303

Blue Stone

bluestone.com

28,675

Stuller, Inc.

stuller.com

39,319

David Yurman

davidyurman.com

49,855

Women's Clothing and Unique Jewelry

sundancecatalog.com

50,090

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.

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 earring business. This could be the start of an incredible business opportunity!

High customer retention rates

Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer.

Easy to encourage "impulse buy"

In the earring business, you have a much higher chance of encouraging your customers to buy on impulse - you can easily alter the price, placement, packaging, and promotional value to influence the decision of your buyer.

Control of workload

With starting an earring business, you have the unique ability to choose how little or how much you want to work. You also have the freedom to decide which projects you want to work on, and can turn down the ones that do not interest you.

Motivation of employees

If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.

Longer Sales Process

A earring business can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.

Low margins

The gross margins for your earring business are typically around 45%, which can make it more challenging to incur new expenses and maintain profitability.

High employee turnover

In the earring business, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.

Taxes

As a earring 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.

High overhead expenses

With starting an earring business, there are overhead expenses that come with selling a physical product. You will want to make sure you strategically budget for these overhead costs. We discuss this more in the startup costs section below.