How to Run a Home-Based Jewelry Business

Starting a home-based jewelry business could become your dream turned into reality. Many creative artists turn to jewelry making as a business to earn an income through the expression of their talents. Others don't design but act as retailers for wholesale jewelers. Either way, a home-based jewelry business can be highly successful and allow you the benefits of working from home, such as spending more time with your family, without giving up your income.

• 1

  Choose a business type. You can sell in your home, at parties or online. Selling in your home means putting aside a room and setting it up for retail sales. Selling at parties means asking friends to host parties to which you bring the merchandise and they bring customers. This arrangement works particularly well for jewelry because women get to try on different pieces for their friends and hear their opinions. Selling online means creating a website or selling through an online marketplace such as eBay or Etsy.

• 2

  Find a wholesale source. Hundreds of online sources want your business, and they offer different types of arrangements. Select your source on the basis of the type of business you choose. Some wholesalers ship premade goods directly to the retailer for resale to a customer base and require a minimum purchase. This works for a retail jewelry business, and is necessary for the in-home or party setup. If you design from scratch, many wholesalers offer supplies for you to make your pieces. Other wholesalers offer dropship solutions, whereby you don't need to buy anything in advance. You feature the products on a website, and when a product sells, the wholesaler will ship it directly to the customer and charge you the wholesale price. This works for only an online setup.

• 3

  Research business laws or regulations. Even a small, home-based business selling just to friends may need a tax ID. Check the IRS website to find out if you are required to do so. Zoning laws may prohibit you from selling retail out of a residential area. This varies by state. For example, in Maryland you need to register your home-based business if you have more than five visits a week. Your home-based business may require a sales certificate. Other laws may apply to jewelry creation, such as regulations for using a kiln in a home.

• 4

  Create marketing materials, and think of creative ways to distribute them. Make up a business card with your name, phone number, physical address and website address. Bring it wherever you go and stick one in every bag or package containing an item sold. Buy a list of potential customers, which you may be able to get from other local businesses. Send each customer a small postcard or a letter and some sort of prize. A fridge magnet is a typical prize, but it works! Develop partnerships with complementary businesses in your area, such as beauty salons. Perhaps they will showcase some of your pieces with your contact information.

• 5

  Set up a work schedule. If you are working from home, you may be tempted to do laundry and dishes, so you must be disciplined about working. If you start working at 9 a.m., go into your office, shut the door, and, if possible, don't come out until you are finished or until a scheduled break time. If you have clients coming by appointment, try to schedule them at predetermined times so you can reserve chunks of time for other activities. Balancing home and work responsibilities is often difficult for work-at-home parents or spouses, which is why it is important to have a separate room as an office.

• 6

  Sell your products. If you work online, uploading merchandise and shipping orders will take up a major portion of your day. Selling through a marketplace is the easiest route, because you don't need to monitor anything except sales. If you create your own website, you will need to write content and design the site, as well as take care of any technical issues. If you sell from your home, decide if you want to make appointments or have set hours. Having at least some set hours is always a good idea in case there are customers who don't want to take the extra step of making an appointment.

• 7

  Attend trade shows and crafts fairs. If you design jewelry, these events are another way of finding new customers. If you sell jewelry, you may be able to pick up a few new suppliers.