Starting a Business???

Reply Subscribe

Page 2 of 2

Thread Tools

11-14-2010, 08:03 PM

#11

stevendebbie25

Junior Member

Thread Starter

Join Date: Oct 2010

Location: Washburn, North Dakota

Posts: 257

Quote:

Originally Posted by Bobbielinks

When you are serious about going into business, find out what your state requires to set up a business. Do you need a state business tax i.d number? A county merchant sales tax number? Will you need to pay business personal property tax on you machines, templetes, rulers, patterns? These answers may decide for you if you can buy batting, and thread wholesale or if you will need to purchase at retail.

Here in Missouri, I am required to have a state tax i.d and a county license. But I can buy wholesale batting with my state tax number, so I go to a wholesale merchant to purchase batting, (Hobbs Bonded Fibers, in Waco, Tx) This way I can recoup my expense for the batting plus a profit because I sell at a price very close to the local stores as I don't want to be in competion with them over batting.

I also carry business insurance to protact me, my machines, inventory and customer quilts, etc.

When it comes to pricing, I try to price close to the going rate in my area. I don't want to be too low nor do I want to be too high, but I need to price to make a profit for my time, insurance , license, taxes, etc.

I do not take classes so I do not have to try to recoup my expense for these. I find that these classes get very expenses. I'm not saying they would not be worth it because the teachers are very skilled and willing to share their knowledge, but I quilt for people that probably will never enter a quilt in a large show, so I just don't spend the big bucks on classes.

I'm sure I'll think of something else. But I encourage to do your "homework", then jump in with both feet and enjoy the quilting process!!

I've already taken classes from state teachers at one retreat, and from Sharon Shamber (yes expensive) 2 days at another retreat. I took a ton of notes, bought a couple dozen of her DVDs, and lots of photos.
I wanted to "learn before I buy". I'd rather be out $500 between a class & DVDs than thousands of dollars on a bad choice. Not that it makes me ready, but maybe a step more comfortable.
If you ever get a chance to take a class of Sharon Shamber, it's very much worth it. I was the only one in class who wasn't already in business long arm quilting, and the other ladies where amazed at all the tips they learned. I was very glad I decided to take the class, even without the machine first.

11-15-2010, 05:30 AM

#12

janRN

Super Member

Join Date: Mar 2009

Location: western Pa

Posts: 4,569

Sounds like you have a good plan and the experience in a home-based business. Your research sounds thorough and hope you get good answers to all your other questions. You also sound dedicated to your beliefs and have lots of training. I'm excited for you; let us know when you're "up & running"!

11-15-2010, 09:33 AM

#13

stevendebbie25

Junior Member

Thread Starter

Join Date: Oct 2010

Location: Washburn, North Dakota

Posts: 257

Quote:

Originally Posted by janRN

Are you also in business? Thank you for being supportive, but I'm also still putting this together. I just invested in professional help on a business plan. Although I've done this before with my husbands business, and another venture we started but had to let go before we invested (better before than lose after), still both had wonderful business plans and SBA & banks let us know we did well with them. But, this is totally new, and wanted to do this right also.
Is there anything you could share with me? I'm putting together the 'marketing' part, industry standard, trends, futures, pricing. I'd appreciate anything (or link) anyone has to offer on this related to long arm quilting and customized embroidery business. The internet is endless with information..IF you know what to ask it and where to go to find it. That is the most frustrating part, amazing what you find when you use a search, not always what you'd expect.

11-15-2010, 09:57 AM

#14

jdeery

Senior Member

Join Date: Sep 2010

Location: Pennsylvania

Posts: 438

This is exactly the questions I have, I hope we both get good advise.

11-15-2010, 07:19 PM

#15

janRN

Super Member

Join Date: Mar 2009

Location: western Pa

Posts: 4,569

2 years ago DH lost his job (age 59) so he started a consulting business from home. He did many of the things you've already done--you sound really well-prepared. I asked him one of the most important things he learned and (other than not losing your job LOL) he feels it's to have a good tax attorney. You're prob aware of the deductions, losses, gains, etc.; we weren't. The other thing we have learned is to plan for the down times. Have "x" amount of money (we use 3 months) put back so when business is slow you don't max out credit cards and can still pay bills. Of course for us the down time is Nov thru Feb when businesses aren't scheduling new projects. I'm guessing the same is true for LA quilting-everyone wants their projects for Christmas and once they're done no one has any for you for a month or two. We also have trouble with slow payers--seems the larger the company the slower they pay. Again, it sounds like you've really done the research and educated yourself. The biggest thing is just going for it!