Craft Inc. - Turn Your Creative Hobby Into a Business
Sep 9th, 2008 by Kathy

Updated 9/12/08: Katrin, Commenter #65, is the winner. Thank you to everyone for playing along!
Addendum to yesterday’s post:
- I didn’t take pictures of the boxes, magazines, and textile piles lining the hallway from Leil’s room to mine.
- The closet door opens in otherwise I’d close it
- I failed to post about the 8 bags of fabric and books I took over to Linda Johnston’s home 3 weeks ago to donate to the Clothing & Textile Advisors sale scheduled for this Friday, September 12 (I’m verifying the details and then I’ll let you know the exact time and location).
- I’d prefer not to discuss the inactive plastic tubs lurking in the garage.
Then there are the duplicate books and the contest books I’ve been meaning to pass along.
First up is Craft Inc. I won this on Whip Up after commenting on a post reviewing the book. I read it cover to cover. Meg Mateo Ilasco touches on EVERY relevant topic related to running a craft business. No stone is unturned. The level of detail is impressive. Business books often have a way of trying to be so broad that they end up being devoid of any nitty gritty details, this books is chock full.
Meg’s interviews with real life artists/business owners steal the show. You’ll recognize familiar names like Lotta Jansdotter, Denyse Schmidt, and Jonathan Adler. Each share enlightening advice as well as glimpses into their early start-up days.
To enter the drawing leave a comment sharing some of your own craft business wisdom or if you’re in start-up mode leave a question that you’d like me to discuss in future posts. I’ll pick a random winner this Friday.
I also came across this CraftSanity Interview with Meg. And as another side note, the lowest priced used copy of this book on Amazon is currently $129.94. What’s up with that? I think it’s cool. Good luck.
* updated to add: the fabric behind the book is Tip-Top Buses
83 Responses to “Craft Inc. - Turn Your Creative Hobby Into a Business”






I’d love to read that book..maybe a venture to the library is in order.
My question is how do you get businesses to sell to you wholesale if you don’t already have an online shop or brick and mortar shop? I have all the logistical stuff down - EIN, LLC, etc. etc. etc. but so many places want an actual store first. Don’t they realize that you can’t start up without product?
Okay - here’s my question. What are effective means of marketing a new craft business? With all of the small business out there, how do you differentiate yourself and your product?
Does the book teach how to make time appear out of no where? That is what I really need, then maybe I could consider a craft business. I really want to do an etsy shop in the worst way, but all my craft time gets eaten up too quickly to make products… maybe when the kids are older… I can dream
Believe it or not I’ve read that book! But I still have a question ~ what is the material behind the book? I love it!! :c]
I’ve been wanting that book! I’m looking to make and sell something on the side.
My rambling question: Pricing handmade items to make a profit versus hobbyists who price low or don’t price what there time is worth (or don’t think their time is worth much). I often see things that are are well made but are way under-priced for handmade items.
I would *SOO* love to drop my soul-sucking day job and start a crafting business, so I think this book would be GREAT to have! I’m wondering how to draw the initial traffic and attention to what you do — and what are the pros and cons to focusing on an internet-based business versus a more local business where you sell at craft fairs or through local shops, that sort of thing? Is it best to do both things or do you get stretched too thin? Better to focus before spreading out?
Wow. $129.94. Really? That’s kind of crazy! I love your background fabric, by the way!
I would love to read this.
My question is how do you actually go into a craft business, enjoy it, and still make a small income from it? That is a very general question–more specifically, how do you wisely narrow down your product line, or focus your business, so that it can be profitable?
Hi! I´m starting my own craft business with an on line shopping ( the site is still under construction - http://www.studioframboesa.com.br/) and I still have many questions about it. I´ve seen this book on Amazon, and if it was possible I´d have bought it, but.. no way
My question is about copyright and terms of use: how do you deal with unauthorized copies and what can be made to prevent this? Thanks for the opportunity! 
Oh, I have been dreaming about this book to help me along, I have so many questions about starting up a craft business. A few include: How to chose a name for my shop, what’s the best way to market myself, and how much do I charge for my goods to make it worth my while?
I would love to win, but if I don’t I’ll just have to keep chugging away waitressing until I can afford to buy it myself
I’ve started the process of selling items I make very slowly but I would really like to expand my horizons and try selling my wares elsewhere. My question would be is it best to start online or more locally? How do you price items appropriately? I know I’ve been told that you have to properly account for the time involved in making the item to be sold but what value do you put to that time? Thanks again! I love reading your blog!
Here’s my question - how do you figure out the best amount to spend on advertising?
I’d love to have a crafty business, and have a baby one right now, but when it comes time to make something with my limited time I generally use it to make a gift or something for myself, which means my fabric doesn’t pay for itself. What made you decide to take the plunge?
I dabbled in rhythm beads for horses for a while. Have lots of stock, but I think I got burned out and wasn’t focused in the right direction. I am looking to get back into it again; it’s a perfect way to spend winter days inside, playing with brightly colored beads. Maybe this book would be grand inspiration!
That is a great book. I looked at it recently at the Borders near our house. My question would be: What was it that put you over the hump and led you to open your online store? I love your store and am curious!
Interesting about the Amazon price. It’s available through Borders for $17! I thought Amazon sold everything!
My biggest concern about starting a crafty business is how to get the word out so sales actually happen. With so many crafty blogs and Etsy, it seems like newcomers could get lost in the shuffle. Any advice?
That book looks great! It is probably just what I need to feel a little more confident to actually go for it. My questions are many but I think I will leave it at: How do you direct people to your store if you start an online store like etsy?
So, I have a little advice that worked for me. I started selling only art quilts at a local art/craft fair, and although I got a lot of great feedback, I didn’t have that many sales. My style (which is distinctive, something that I think is important and in my case came with YEARS of making) doesn’t naturally suit everyone’s decor, and although we artists would love it if people would buy a piece and then worry if it “goes” with the rest of their house later…or not at all. So after the 1st show I came up with ideas of other things that I could make that were still in my style, but easier for people to buy as it wasn’t going to be something hung on a wall, for now and always. One of those successful items was of course the Notetaker designed by the very talented designer of Pink Chalk Studio! BTW, for those who may read this comment…I made sure to contact Kathy and discuss if & how I could make a few notetakers for sale BEFORE I actually did it.
Yikes, I sure can babble on…to the point - having some more down to earth (in price & function) items may help you pay for your time while you’re showing off your fancy schmancy high end art!
I have started my own logo design business. I had a good start with a new clients coming once a week, but business has dwindled. i would love some cheap ways to get the word out and to get new clients… any thoughts? I am sure the book has tons. thanks!
Ok, the book sounds like just what I need to read. My question is where to start. Do you start with your local craft fairs and build up an interest or at least a sense of what people will buy or do you start out with an etsy shop and try to sell your wares there? Or, should it be a combination of both? Is there any one answer? I’d like to hear how others started out and what the ins and outs of both methods are. Thanks!
How do you balance kids and working at home??? My little ones are always under foot!
So in my next life I may have a craft busines…..any tips for finding a niche that isn’t done by every other talented crafter???
oh my! i am sure that book could be useful
i have about ten million questions! like……how do you price fairly? if i just cover basic materials and then pay myself minimum wage for the absolute minimum i worked (not including planning, buying, etc) the price is already higher than i would even want to pay. and i know what i did! also, how do you manage copyright? i mean, i wouldn’t ever take someone’s idea and use it as my own (although i do have a question about how there seems to be milllllions of copies of things i know darn well came from a pattern but the crafter doesn’t seem to get into trouble. like the little old ladies at craft fairs and the ten thousand same-but-different country-kitsch stuff). i mean, there are so many things that i can easily make my own pattern for, but there is no real way to prove i didn’t use someone else’s pattern or idea or whatever. does that make sense? and also, where is the best place to start? i’ve heard etsy can be kind of difficult but for stuff i make, that’s the only place i can access (i think) where my stuff may actually be marketable.
i have a bunch more, but this is long enough!
thanks!!!
I’m in - I’ve seen that book a bunch of times but never read it. That’s bizarre about the Amazon pricing though - isn’t it a fairly recent book?
I’m interested in selling quilt patterns–I designed a fun flying-geese-based one for my nephew and I think others would enjoy it. Someday I’d love to design more and try to find a market. So, starting from square one, how does one print, package, price, and promote patterns? Even on a very small local or possibly website basis?
Okay, this is just ANOTHER example of how you win EVERYTHING! :o) I’ve heard of the book, but had no idea it was sold out. $129??? That’s crazy.
I guess my biggest piece of advice is to NOT let other people waste your time. When I found myself sitting at Staples for an hour while the copy center was re-doing my order, I realized it was time to go to Kinkos where they could do it right the first time certainly worth the extra cost.
Oh I would love to read this! I have read a couple…and I agree. they tend to be general.
Here is some advice: (and I have a lot of it…well, 11 months worth!) 1) most startup tasks you learn the hard way…like, what shipping materials are best and most cost efficient, what kind of materials do I need for publicity, etc.
2) Your home needs to be in order before you take on the extra task of starting a business
3) Get good feed back before you invest in starting a big set up (website, advertising, etc) you don’t want to invest a lot if you aren’t going to get any buyers. ETSY is a great place for feedback, as well as blogging, local craft fairs, etc.
OK: here is my 2 cents. but I am always looking for more!!!
thanks!
I was going to write yesterday and say, “That’s it? That’s all you got?” regarding your fabric and craft supplies. I thought, “Wow! I am such a wasteful glutton!” So, glad to know your fabric troubles are lining the hall, the garage, and the tag sale. That makes me feel much better… Now, about that bus fabric up there…
Regarding the price on the book - I could just pick up a couple at my local B&N and put them on Amazon for a good profit!
My question is, how does one balance the need to create the product they want to sell with the need to make connections, advertise, blog,etc? Also, the idea of needing money to make money really stinks. Is it possible to start with a really small start-up cost to get off the ground?
I like the pairing of the book with the fabric!
My question is: how does a crafter with a limited knowledge of design and branding set about creating a distinctive name/logo/look?
Great info. Thanks for the tips. People have “threatened” to buy my stuff, but that’s an insane idea. Nice to think about.
It is a dream of mine to make a living making beautiful things - my question is this: How do you manage your time? How did you manage your time when your kids were younger? I have two young children and limited space - by the time I’ve gotten the kids off to bed and cleaned up, all my creative energy is spent (so instead I live vicariously through blogs like yours).
I bought this book a few months ago at B&N and was able to read parts of it, I like it. But then my daughter moved out and promptly took it! I have forgotten about my book until I read your post. I want it back!!
I am fantasizing about quitting the “career” I have already started, which I love but has a high burn-out rate, and devote all my time to crafting in the multitude of ways I love.
And, I have been looking for this book. I had found it at Joann’s, but I didn’t get it. And, when I went back for it, it was gone! I was so bummed!
Hi Kathy,
I’m almost ready to start an Etsy shop, and I want to know, and yes I’ve been reading advice everywhere, on how to price your goods. I know you can look around at what other people are doing, but what if you make something so unique. Well you’ll see (it from me). (But only) if I get up the courage…It’s hard to put yourself out there. That’s my other question. Where do I find the courage to just do it?
Thanks, Judy
I’d love it if you could talk about the subject of purchasing supplies, and in specific, purchasing them in project-related batches versus buying materials and then figuring out what projects to use them in. I imagine there’s pros and cons to both, but I’d be interested to know what has worked for you.
How much inventory to you keep on hand for finished pieces, or do you do just in time production?
Here’s my tip: be market-savvy. You have to know your market, and get your product out there accordingly, get your name known in the proper circles. This I gleaned from my SAD attempt to sell handcrafted items at a local craft fair some 20 years ago–I set up a booth, a display, and put a lot of time into my crafting, only to sell NOT ONE ITEM! It was devastating, and enlightening in retrospect…
Hello- that looks amazing. I bought a different book a while back, ¨crafting as a business¨ but it bored me to tears, which didnt seem right.
I am in the start up faze, just about to go on a sewing binge and upload to my etsy for the first time.
Having a little bit of a hard time… When i browse through etsy I think, Ï can make that, i can make that i can make that. And then I find someone making the thing that I AM making.. and i feel a bit lost. What makes my product better than the one thats already made?
My question is one of great frustration
Is it wise to put your items into a boutique that wants exclusive rights to the product or not? I prefer to keep the option of what to do with my products.
Well I am afraid of the marketing. I hate to be “that” person - trying to make people buy something they certainly don’t need or even want. How do you get around that? I think we need a course on the very basics of marketing - 101 - marketing for dummies! How do you start from bare bones to get yourself out there?
Hmmm, I do still feel like a newbie at my etsy shop and I always have something to learn. The only advice I can think of is always carry a business card with you. you never know who you may need to give one to!
I think I’ve just not found the right market to make regular sales, but when people do see my stuff they always comment on the packaging. Taking a few minutes to attractively package your items, including a way to reach you (blog addy, shop addy, email) could mean return business. My super-secret packaging shortcut: I use treat bags (larger party favor bags, small “lolly” bags) and close it with a square piece of patterned scrapbook paper folded & stapled over the opening. Then I print labels with the name of the item for the front of the paper and directions (if applicable) and contact info. for the back.
That book has been on my wish list for ages! I’m in thinking-about-starting-up mode, and I’ve been blogging for a year but I don’t get a great many hits (about 16 page views per day). I tend to update my blog once or twice a week but wonder whether that’s often enough?
Hello,
Great blog by the way.
I’m just getting started in trying to get a craft business going. My sister has been a self-employed potter for many years and found that Etsy and networking at craft shows have been very beneficial.
I hope to get my start on Etsy and by keeping a blog…
This is so perfect! My husband and I were just intently discussing my desire to start my own business. We’ll be moving soon and he’ll be working and going to school full-time. I want to be able to bring in some revenue so that we can 1) cover the costs of schooling and life and 2) maybe he won’t have to work as much so we can see him more and 3) because I love sewing, creating, and crafting for others!
I feel so clueless, I don’t even know where to start! I know I could sell things down here where I live now, because my friends know my work. However, I don’t know anyone where we will be moving. How do I market myself (that seems to be the same question everyone else has)? My main question is, how do stay sure that your idea isn’t too close to someone else’s? For instance, if I make a bag to sell, what if someone contacts me thinking I’ve stolen their idea (even if it was unknowingly)? I hope that’s not a dumb question. I just derive so much inspiration from others I would never want to be accused of profiting from their imagination.
I do hope I win this book! It will definitely help me not be so overwhelmed and know where to start!
I’d love to read the book. I’ve been thinking of ways to turn my passion into a business, but it’s scary!
i just about ordered this today…until i saw the price…yikes! my question is about consignment…is this an option…some stores want a 50/50 split…that seems pretty crazy to me.
$129.94….wow…must be some good stuff!!!! I have many questions and now to narrow it down to one, or two..Advertising, what are some excellent ways to get your name and specialty out there? I have a domain name and am working on a website, but I find it a little intimidating. How do you get started inexpensively?
I love what I do and make for people, and people tell me all the time I should sell my products. But I fear that turning it into a business will kill the passion and essentially “take the fun out of it” for me. And how could you outsource and still feel like the product was your own? (You have no idea how timely this post is, by the way)
My daughter (12 yrs. old) and I would love, love, love that book! She’s wanting to start selling her coin purses, bags, etc. that she makes with a little help from me. Here’s our question… We’re selling at a little school craft fair in a month. How many items do you make ahead and take?
$130! Wow!
I’d love the read that book since all the ones I’ve got seem to cover the boring aspects - business plans, accounting, legal stuff, etc.
Here’s my question: Where do you store your inventory? I foresee things totally taking over my house and I don’t think the garage is sufficiently dust-free. I’m thinking of getting one of those little sheds for the backyard.
That book would be great to have! I’d love to turn my hobby into a business but have no idea how to start. How does one start this?
Thanks!
~Angie~
OK, two things totally unrelated to the book:
1. Your addendum warmed my heart, Kathy. The “horror” of your closet was not unlike the stacks that I had in the middle of our floor up until last week. The state of my shelves is still dismal (but little by little….)
2. Your fabric choices for your shop? So excellent. I love this Tip Top Buses print! Do I have a use for it? Not that I can think of. Must I have some? Perhaps (she says, ignoring the state of aforementioned shelves.)
I would like to know how you got started with getting fabric from the wholesalers. You can find the book at Powells.com for $16.95, but it’s on back order right now.
O Serendipity, I’ve been trying to find an affordable copy for a while now, would love to read it.
My question came up already a few times: pricing of handmade items. You may know the theory and the formula and the market, but still… how do you decide?
gosh I’ve been wrestling with that idea for several years and decided that it can wait till my kids are older. How do you make the leap–or do you do just that, make a leap and see what happens? a la The Alchemist?
I’m on the waiting list at my local library for this book. I couldn’t believe it when there were 50 people ahead of me, now reading what it’s going for on Amazon I most certainly can believe it! Here’s hoping they bought lots of copies to check out. Oh, and I applaud your ability to give away things you know you won’t use. I’m still working on that
I’d love to read this as well. I’ve often thought of starting a business based on the crafts I do, but don’t know that it’d be worth it for the labor involved. So then I think I could write craft books since in my past life (BC–before children) I was a technical writer. It would help to read a book about the business of crafting.
Here’s one question: How do you start up when you have no start up cash???!!
Time, time is my issue. Do you ever find enough of it to start up or do you just need to do it and loose sleep. I feel as though etsy is calling my name, but between all of my commitments where is the time!?
I’ve been thinking about a craft business and am at “square one” and need the basics in a book like this to get my mind going so I can think “creatively”. Big question is how much cash is needed to start?
Thanks, and it looks like you’ve learned a lot along the way and are very talented!
That is so funny…
My friend told me about that book (Craft, Inc.) just yesterday and even sent me an Amazon link. When I went to put it in my cart…here I ALREADY HAD ONE THERE. So I took it all as a sign and bought it. I should have it in a couple days. I’m also taking it as a sign that I should indeed get off my butt and make my business happen!
For some reason this book is going for big bucks…in the $100’s…but there are some reasonable sellers out there…I got mine for about $16.
I find the price finding process for hand made items very difficult, I would love to here how fellow crafters find prices for their products.
Maybe there are some helpful tips in the book for me?
I would love to have that book! My question is, is it best to start up online, or should the crafter try dabbling in local fairs first, to get an idea of what customers want? I know it would be such a small demographic if you started locally, but is it better to jump right in and put it out on the internet right away? (ok-two questions
Starting your own business is all about networking! networking! networking!
And a lot of hard work!
I would love to read that book! I have sold one quilt, that’s it. On consignment in a decor store in my city. My question… is it better to pursue online or locally (I’m in the Fraser Valley, BC so I have a huge metropolis to work with?)
Oooh! Sounds like this books a gem. I’m presently in business plan hell on the way to launching an illustration business and would absolutely love to hear what Lotta and Denyse have to say. Their business’ are so cohesive. At the moment I’m struggling to work out my target market, Kathy did you know who yours were off the bat?
Oh I need to read this one. Many years ago I setup at a craft fair and had an original idea/pattern copied by every craft/antique vendor in the county, and yet I did not SALE ONE at the show! It has made me very gun shy about setting up again, and yet I am wanting to so badly. I think that I am accepting the fact that it could happen again, and I just need to focus on my design, construction and packaging, and really the artists behind the product is often the reason that I buy, and therefore marketing myself and product are vital. I’d love to read the interviews and the strategies that have already been tried. Thanks for the opportunity at the book, and I really enjoy your blog.
My question is TIME. How do you budget your time to make it cost effective or even to find time to craft at all. I work full time and have two small children (3 and 5 months) and I just can’t find the time to be productive. Help!
Kathy, My question is How do I organize paperwork in a logic and useable way so that I can track things? Thank you for offering this wonderful book and all the wonderful advice. Take care and God bless, Cory
i LOVE your blog! and all your fabrics! my question is how can i keep the business end more organized so that i don’t lose orders, and can easily track inventory, etc. i’ve tried so many methods and nothing seems to work for me. this book sounds great!
This book sounds great! I have so many questions, but the most pressing is: Can you share some internet marketing methods? My knowledge of business is limited, but I do realize the need for effective and inexpensive marketing methods to let the world know about one’s craft business.
Start up mode: I’d like to market online but I don’t know where to start except from my blog…which involves increasing readership which would increase my name/product out there, which would in turn generate sales. That’s the idea anyway! What do you think? What do you think of Etsy?
I’ve not been knitting for a long time - less than a year, in fact - but I am enjoying it and, prompted by fellow knitters, I have been thinking about whether it would be a good idea to someday turn it into a business of some kind. That is far in the future, of course, but I have noticed that after a decade I tend to be fed up with what I’ve been doing for a living and like to start something totally different. So why not a crafty business? I just have no idea what all one needs to be aware of when starting it! So my question is really: what’s the most vital thing to consider?
how do you balance family/business? How do you price things? taxes? tax write-offs? I think I need this book.
Thanks for sharing.
The best advice I can think of is to know your target audience and then find them. I tried to sell papercrafts at craft shows for years–then realized that most people coming to that particular craft show only wanted a bargain–and that they saw my wares as things they COULD make themselves–even though I knew (and they knew) they really wouldn’t. When you find the people you want to sell you, you need to find an avenue of sales to reach them. It’s probably not the local, get ‘em cheap, craft fair.
These are exactly the questions that I’ve been asking myself for quite some time now… Are they answerable? Do I just have to jump in the water and learn to swim after - I don’t think so!
Maybe that book would help: I sure like the cover
Thank you.
Am I too late for the drawing - the book sounds great.
My business advice - write some goals, prioritize them, then break them into small manageable tasks and get to work - do something small each day to move you towards your goals. Reprioritize often to reevaluate your current position.
How does one go about doing Market Research to make sure that the craft market is not already flooded with a similar product?
How you do balance tension between what you enjoy doing and what sells?
Wow! I can’t believe the book is sold out. I’ve been meaning to buy it. On Meg’s blog, she mentions that more will be available in October. I can’t believe the publisher let that one slip by them.
I’d like to know, what is the best way to find your market, or at least tell the world about my amazing product?