In 2018 alone, Americans spent more than $82.5 billion on jewelry and accessories. It’s likely that number will only increase over the next few years.
Why? Because jewelry is the easiest way to show someone that you care about them.
If you’re thinking of starting a jewelry business of your own, now is the perfect time. However, there’s more to it than just creating beautiful works of art. You need to think like a business owner.
Wondering how to start a jewelry business the right way? Here are a few key tips to keep in mind.
1. Choose a Great Business Name
Your jewelry business needs to stand out from others in the market. The easiest way to do that is to create a name that your clients and customers will remember in the long-run.
Think about what your company stands for and what you want it to represent. Use this to guide your choice in names.
Remember, your name doesn’t have to be whimsical or goofy to attract attention. It just needs to be memorable and inspire confidence in your customers.
2. Create a Solid Business Plan
Starting a jewelry business may be a primarily creative endeavor, but it’s still a business. This means you need to create a detailed business plan before you can start producing beautiful designs.
Think of the business plan as an outline for how you’ll run your company. It should include your business’s name, your mission statement, your estimated profits and costs, and any other relevant information you can provide.
The more detailed, the better.
You can use this business plan to attract investors and even secure financing for your new company. Keep in mind that as your company grows and your goals change, you’ll want to update your business plan accordingly.
3. Invest in the Right Insurance
As a responsible business owner, you’ll need to invest in different types of insurance policies if you want to protect your new jewelry business. The types of policies you’ll need will depend largely on how you want to run your business and the types of materials you’re working with.
If you’re working with precious metals and stones, you’ll need to invest in good property insurance to protect your inventory against theft. If you’re hiring employees, you’ll need workers’ compensation coverage to protect them if they get injured on the job. If you’re selling jewelry out of a retail location, you’ll need general liability coverage to protect your business from unexpected lawsuits.
The best way to figure out what types of coverage you need is to speak with an insurance agent. They’ll look at your business, assess the risks, and come up with the best coverage for your company.
Just make sure to shop around. Different providers will charge different prices for their coverage. If you’re not careful and pick an insurance company without shopping around, you could end up overpaying.
4. Figure Out Where You Want to Work
One of the first things you need to figure out when learning how to set up a jewelry business is where you want to work. If you plan on selling your work online only, you can work from anywhere as long as you have space to store your inventory.
If you plan to sell items in person or want a permanent location, you’ll need to look for a retail location.
The best thing you can do is look at your budget. Working out of your house or on a property you own will almost always be cheaper than renting a retail space. However, you’ll need to make sure it’s okay to operate a business out of your house.
Some homeowners associations have restrictions in place that make it difficult to operate businesses out of your home, so always double-check.
5. Shop Around for the Right Suppliers
Before you can start making jewelry and figuring out how to sell jewelry online, you need to have the tools you need to create your wearable works of art. Identify a good source for wholesale chains, metals, stones, and any other tools you need to hone your craft.
Again, you’ll want to shop around and choose suppliers that you can afford without sacrificing the quality of the products you use.
Try to get quotes from at least three different suppliers for every product you need. Compare those quotes in detail and choose the supplier you’re most comfortable with.
6. Research Your Competition
One of the best things you can do when starting a jewelry business is to research your competition. See what types of products and pieces they’re putting up. Look at their collections, their pricing, and their marketing strategy before you list your first item.
These elements can give you insight into what customers are willing to pay for similar work and what you’ll need to do to attract business in the first place.
That said, try not to mimic your competition too closely. You still want your business to stand apart from the rest. Instead, look at what they’re doing and find ways to create better, more attractive products every time.
7. Network With Your Community
Building a solid brand takes time and determination. However, if you start networking early on, you’ll be able to get your name out into the community more easily.
Reach out to your local chamber of commerce and build relationships with other business owners in town. If you know of people that can benefit from their services, make the appropriate recommendations. Other business owners will do the same for you if they hear of someone looking for beautiful pieces of jewelry.
Now You Know How to Start a Jewelry Business
If you’ve wanted to start a jewelry business, don’t wait. Get started as soon as possible.
As long as you follow these key tips for how to start a jewelry business, you’ll be on the right track for success as soon as you open your doors. Just be ready to work for that success. Building a business takes time, but with hard work, you’ll be able to make money doing something you love.
For more tips and tricks to help you keep your jewelry business on-trend, check out our latest posts.