Author Topic: Re: Does anyone regret taking the risk to start a business?  (Read 452 times)

Rictelae

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Re: Does anyone regret taking the risk to start a business?
« on: January 27, 2019, 06:56:48 AM »
Interesting topic. I want to do sewing handmade linen. And I think to start from the Instagram page. Ie with minimal investment. But advertising and promotion can pull a lot of expenses and time if you do it alone. A bit scary. But I want to try. This can be a good start and an opportunity to understand whether I like this kind of work.
While just starting. But I already see that there is both demand and competition. And psychologically scary.
The main thing is not to go with the sole purpose of income, but also a favorite thing.

hainesjd

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Re: Does anyone regret taking the risk to start a business?
« Reply #1 on: January 31, 2019, 12:55:19 PM »
I work for a large media company that specializes in crafting, specifically sewing, knitting, and quilting. It's a running joke with the instructors and content creators that we do business with, that often you cannot sell crafted items for even the cost of the materials used to create them! For those artists that can (because of a large social media following, brand name recognition, or super-niche stitchwork that is too complicated for most people to master), the average profit is in the ballpark of $1-$2 an hour. If you live in a super-low COL area, this can work, but for the vast majority of crafters, it's better to keep it as a hobby.

Don't let me entirely dissuade you - there is a lot to learn from starting a small business like this, and if you truly enjoy the sewing, it can be a valuable experience. Just don't expect it to pay the bills.

davidgreams

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Re: Does anyone regret taking the risk to start a business?
« Reply #2 on: February 03, 2019, 03:09:09 AM »
Starting a business in your spare time is also good training for actually growing your business. You'll get lots of experience wearing too many hats and working too many hours which is something you may end up doing for years once you leave your 9-5 job.

If you can't stomach the stress, long hours, and lack of sleep in the early part-time phase, you may save yourself a lot of pain and suffering by quitting the business before you go full time.

Malkynn

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Re: Does anyone regret taking the risk to start a business?
« Reply #3 on: February 03, 2019, 05:33:06 AM »
What exactly is your product?
Are sewing items made of hand made linen? Only products made of hand made linen?

What are your products? Clothes or home products?
If it's clothes, are you doing only custom orders? Do you have experience making custom clothing professionally?
If it's home products, are they products that can produce repeat customers?

What market research is showing you that there's a demand?
Is it a demand for hobby level cost items or is the demand actually supporting labour cost items?

For example, I love hand-knit wool sweaters that I can get in a store nearby. They are exquisite. However, the sweaters only cost $200-250, which means that there's no way that between wool costs and markup that the people knitting them are being paid even minimum wage for their time. They're made by hobbyists. There's a business on selling them only because no one is being fairly paid for expert level labour. The business model falls apart when the artisans actually get paid for the value of their work.

As PP mentioned above, being the artisan in the artisanal products market is usually the least financially beneficial position in the market chain.

Does the existing pricing in the market for hand-sewn hand-made-linen items include labour hours at a reasonable wage?

Lastly, what happens if you are actually successfull? This could theoretically be your biggest problem in the long run if everything goes well and people are willing to buy your product with well-paid labour hours baked into the price.
How on earth will you scale this????

It's shocking how few people worry about the impacts of success, but not being able to keep up with demand can be even more detrimental to a business than not having enough customers.

How many items per month do you need to sell in order to make a comfortable living and can you physically manage that amount of production on your own. Do you know people who have similar level skill and interest that you could hire to increase production. If yes, will the price you charge support paying someone else a fair wage for equal level of craftsmanship to your own?

It's cool if you want to expand a hobby into something that generates some sales, but before you go spend on marketing or anything else like that, make sure that you've thought about all of the basic "is this a business?" questions above.

If you have, feel free to disregard my questions and please, share more details! This phase of business development is so exciting.