Congratulations on deciding to start your own craft cutting business! But, before you start, did you know that Bloomberg estimates that 8 out of 10 entrepenuers that start a business fail in the first 18 months? Those are alarming statistics – so let’s get started with a checklist and see if you are ready to start your own cutting business:
1) You’ve had your machine for some time and you’ve created many items. Unfortunately, I see this all the time. A new Silhouette or Cricut owner gets their machine, makes a thing or two and a friend asks them to make a product for them – and they will pay for it! Suddenly, the new cutting machine owner is ready to set up shop. Then, the new cutting machine owner runs into a problem with their machine that they don’t know how to fix – or commits to create an item for a customer that they don’t have the experience to make. The problems and frustrations just start snowballing from there, and the business never gets going. So, please, get to know your machine well before going into business!
2) You have the funding to pay for supplies to get your cutting business started. Starting a business costs money. Make sure you have ample funding for items you’ll need including: a camera, supplies, advertising materials, packaging materials, website registration, logo design, and website hosting.
3) You have the time to dedicate to creating products. Have you considered when you will create items? Ask yourself these questions: Are you available during the day to make items? Will you be working a part time or full time job and creating in your free time? Do you have small children and will be creating items when they are sleeping? Do you usually spend time with a significant other in the time that you will now be creating products? How will your significant other feel about you using this time for something else? Don’t forget, in addition to creating items – you’ll also need time to advertise yourself, complete paperwork, answer customer questions, photograph and list items (if selling online), and ship the finished items.
4) Do you have space in your home for your craft cutting business? Where will you create? Is there space in your garage, basement, office, kitchen table? Where will you keep your supplies?
5) You have researched the market where you plan to sell – and there is a demand for your item. Let’s take an example: I’m starting a new business and I mainly make personalized tumbler cups and cutting boards. I’ve made several personalized tumbler cups locally and landed a large order with a local cheer team. But, I also plan to sell online through Etsy.com. After researching online, I’ve found that there are eight other local cheer teams that I plan to contact about personalized tumbler team orders. When I typed “personalized tumbler” and “vinyl cutting board” into Etsy, I found over 14,000 personalized tumblers already listed, but only about 1000 personalized cutting boards and many were a style that I don’t create. Based on my quick research, I’m likely to get more sales if I promote personalized tumbler cups locally and focus on personalized cutting board designs on Etsy.
6) You enjoy working with people. In my opinion, customer service is what keeps small businesses running. Customers expect prompt, courteous communication on everything from getting details for a custom order to handling a lost package. Expect to dedicate time each day to handling customer inquiries and problems that arise.
Are you still ready to start your cutting business? Great! Let’s figure out where you can sell your handmade items.