How to Start a Home Business in Woodworking

Do you have a lot of great wood pieces you've created and thought about selling? Turning a hobby such as woodworking into a business is a great way to earn some extra money or even make a living. Here's how to start a home business in woodworking.

Instructions

1. Define your business. Do you make the pieces first and then sell them? Or will you make custom pieces per a customers order? Or will it be both? Also determine where you'll sell them. Will you take them trade or craft shows? Consign them to home decor or furniture stores? Sell them online? You can do any or all of these and more, but it will help you know in advance as you prepare your business and marketing plans.

2. Get needed licenses and permits. Before you can open for business, you need to make your business official. Contact your local (city or county) business development office for information on what you'll need to start a business. If you live in a state that charges sales tax, find out about getting a sales tax certificate which allows you to collect the tax. You'll then need to file a sales tax form and send it and the tax to the state when you make sales. Other business items to take care of include:

   1) Setting up your business structure (i.e. sole proprietorship or LLC)
   2) Zoning waiver for doing business from home.
   3) Setting up your prices and payment options.
   4) Creating your bookkeeping system.
   5) Finding start-up money.

3. Write a marketing plan. Start with who are the best people for your woodworking products. Are they naturalists? Do they earn a certain amount of money? Do they own custom homes? Who are the people that buy your work? Once you know that, you need to determine where they hang out. What magazines and papers do they read? What sites do they visit online? What stores do they shop at? These are the places you'll want to place your marketing materials. Finally, you need to create and deliver your marketing message. It could be in the form of advertising, articles, or business cards to name a few ideas.

4. Launch your woodworking business. Send out press releases and let everyone you know that you're open for business. Bring smaller pieces or take pictures of your work with you when you go out so you can show people the type and quality of your woodwork. Implement your marketing plan. And keep woodworking so you always have an inventory to sell.

References

• Small Business Administration Small Business Planner
• Woodworking Associations