A good jewelry business plan is essential to the success of anyone think about setting up a jewelry booth, jewelry shop or just selling via the internet. Decent jewelry business software should not be overlooked either.
I am an enthusiastic jewelry maker but marketing and business practices are not my forte. I love the design and artistic side of creating quality jewelry and love to chat with friends and associates about various methods and techniques. That's what I personally enjoy, but I realized that it wasn't enough if I actually wanted to sell my products and turn a profit.
That's where my sister-in-law came in. She showed me how to evaluate jewelry business plans and software. As a fellow jewelry business friend, I was interested in what she had to say. Her business was turning over four times what mine was doing. We'd both started at around the same time, give or take a month or two, our jewelry was fairly similar and I had no less enthusiasm than she did. She showed me the jewelry business plan she was working from, but also demonstrated to me key points to look out for if I wanted to purchase a plan.
There is plenty of information to be had on the actual art of creating great jewelry, but jewelry business tips in a commercial sense are hard to come by. So my ears pricked up. This is what she told me to look for:
It sounds obvious, but make sure the jewelry business plan has an extensive general introduction on how to set up a jewelry business and what the market is looking for in terms of booth, shop and internet selling. You simply must know which market you should be trying to sell your own designs and creations into. As I've already alluded to, it's fantastic to be creative and have wonderful ideas and skills, but if you want to make jewelry making more than just a hobby, you can't ignore what people actually want to buy and what price they are prepared to pay for different merchandise.
Ensure the guide covers both selling online and also via stores, whether they be temporary (jewelry shows and fairs) or permanent.
The plan should fully understand and explain the relationships between costs, turnover and profit. If, like me, you are not a financial wizard, this should be clearly explained and relate directly to a jewelry business.
Look for personal examples. There is nothing to help you learn better than real life examples of going from making a loss to making a profit. A good plan should include mistakes made and lessons learned by the author. There is no substitute for personal experience, rather than theoretical pontificating.
Make sure the plan gives good advice on how to present your stall, booth or website. Presentation is crucial in the jewelry business.
Your plan should also cover all tax implications and how to keep records acceptable to the IRS. Also covered should be cash flow forecasting and how to negotiate with suppliers, show organizers and web-site designers. Useful tips on how to promote a web-site would also be advisable.
You should also learn about business licenses and insurance. They may not sound that interesting, but are, nonetheless, vital to sustaining a healthy business.
In effect, find a jewelry business plan that takes all the hassle out of the business side of things and leaves you free to do what you are most interested in: making great hand-crafted jewelry.
More jewelry business plan advice: http://technohelpblog.blogspot.com/2008/03/jewelry-booths.html