<p align="Justify">Setting Up Your Own Craft Consignment Shop
Sell arts and craft items to the public on a commission basis
from your converted garage workshop or basement showroom. If you
have access to a public location, a garage or small building
(even a portable building) on your lot, along the highway or
well-traveled street frontage or can rent space in a marketable
area, the consignment business is worthy of consideration.
Note that some small towns these days have stores with very
reasonable rent.
Many people who enjoy (and are good at) making craft or art items
do not like (or don't have the means) to sell them. Some simply
can't (or won't) and others are actually too embarrassed (self
conscious) to market their own creations.
Most crafts people do not even recover the cost of their
materials! These crafters will welcome a service to market their
creations. They won't have to worry about that part of it, and
will probably realize more for their efforts even after your
commission.
They would undoubtedly realize even LESS than if they sold their
own products at wholesale prices. With you taking care of the
selling, they can devote their time and talents to creating more
products.
Of course you can also make and sell your own craft products in
your spare time, or offer instructions to others. This type of
business is not limited to any certain type of crafts. In fact,
it is quite flexible and can easily be adapted to whatever
products are available and in demand in your area.
You should have a written agreement with each consigner. The
easiest way is to have your terms printed on receipts you give
them for their crafts. If there is any possibility of a
misunderstanding, make sure they understand the agreement.
The printed terms should have a place for a minimum price desired
by the owner and cover a specific period of time so you don't
become overloaded with things that won't sell at the prices you
must ask. Something like thirty days would be fine for most
articles. If it hasn't sold by then you can either re-negotiate
with the owner or give it back.
Retain a copy of each receipt in your permanent files. You also
have the option of buying items outright -- the craft person
might be willing (even anxious) to sell at a good price for cash.
In a very short time, you will be able to judge what will sell
and how much it will bring. You can also stock craft supplies --
some of which you can sell to your crafters for even more profit
and service to your clientele (both customers and clients).
You will be responsible for reasonable care and safeguarding of
merchandise consigned to you (insurance for that should not be
terribly expensive) as well as collecting for sales, withholding
any tax, computing and paying the consignors their share. With
this in mind, be extra careful about giving credit, because it
will be YOUR funds that are lent, NOT the consignor's!
For consignment sales, it is a good idea to consider renting a
store unless you already have a suitable area where prospective
customers will come to your display. Build or buy adequate
shelves and display areas so you will have plenty of room to
"showcase" the craft items tastefully and attractively.
The display area should be well-lighted,neat and offer sufficient
protection to goods consigned to your care. There should be
enough room for customers to view the items that you have
strategically arranged to make them look their best. If the place
looks cluttered and unkempt, you will have to lower your prices
to match your sales environment (presentation).
The bottom line is that you are in the business of selling craft
items. In order to do this effectively, you must present those
items to the public in "style", so they will not only sell, but
bring the best possible prices. If your place looks junky, people
will want to pay junk prices.
Other possibilities include specialty foods such as home grown
strawberries, chocolate pies, homemade pickles, etc.. this
category, however, requires care not to violate pure food laws or
possible liability. If you consider any type of foods, find about
any needed permits or even get legal advice before going ahead.
Still other alternatives are antiques, selected household items,
holiday decorations and potted plants.
The above alternative suggestions can be test-marketed easily. In
the case of potted plants, for example, simply place a few in
your display area and see how they do. If they don't sell, try
something else; if they do, expand this feature and make more
profit.
Use all the free advertising you can get. A way to get it is to
write little articles about your consignors and feed them to your
local paper --human interest stories: what they make, how they
make it, and of course, where you can find their fine products.
It would be even better if you could provide pictures. If you
do,, use a good quality BLACK AND WHITE film (it is easier to
process for printing in the paper).
The editor probably won't take more than one article about your
shop,, but he may welcome items about different people in the
community (even if your shop does get a lug here and there).
Think of the free advertising you might get by writing little
items about art exhibits in your studio.
With a good sign and a little publicity, a small (2 or 3 inch)
contract ad in the local paper may be all the commercial
advertising you need. This type of ad allows you to change all or
part of your copy each week or month, so you can feature
different items every week.
People (especially in small towns) get to where they look for
your ad to see what is on special each week.
Finally,make sure you take in all craft related activities in
your area. Attend craft shows, work with stores that craft
supplies (they will welcome the opportunity to tell their
customers where they can sell their completed projects), and talk
"crafts" whenever you can.
To help create more interest in crafts, consider conducting
classes at your place -- if necessary hire a teacher and charge
tuition to cover that expense.
BUSINESS SOURCES
HOBBY INDUSTRY ASSOCIATION OF AMERICA, 319 E 54th St.,Elmwood
Park, NJ 07407. Assn of hobby crafters and businessmen.
GLASS STUDIO, Box 23383, Portland, OR 97223. Trade magazine for
arts and crafts dealers.
MIESEL HARDWARE SPECIALTIES, Box 257, Mound, MI 55364,
800/441-9870. Hardware for hobbyists (hinges, to eyes, clock
parts, wooden wheels); catalog $1.
TOYS, HOBBIES & CRAFTS, 454 5th Ave.,New York, NY 10017. Trade
magazine for hobby and craft dealers.
LHL ENTERPRISES, Box 241, Solebury, PA 18963. Hobby and craft
supplies.
AMERICAN CRAFT COUNCIL, 44 W. 53rd St.,New York, NY 10019.
Publishes CRAFTS HORIZONS, POPULAR MAGAZINE (good place to
advertise crafts); prints information on craft shows.
CRAFTS REPORT, 1529 E. 19th St.,Brooklyn, NY 11230. Specialty
magazine for crafters (good place to advertise).
TOLE & DECORATIVE PAINTERS, National Association of, Box 808,
Newton, KS 67114. Association of people interested in painting
scenes on wooden objects, etc.
U.S. SMALL BUSINESS ADMINISTRATION, 1441 L St.,NW.,Washington, DC
20416. Offers free pamphlet on making and selling of craft items.
QUILL CORPORATION, 100 Schelter Rd.,Lincolnshire, IL 60917-4700,
312/634-4800. Office and computer supplies.
SWEDCO, Box 29, Mooresville, NC 28115. Three line rubber stamps -
$3; business cards - $13 per thousand.
ZPS, Box 581, Libertyville, IL 60048-2556.. Business cards
(raised print - $11.50 per K) and letterhead stationery. Will
print your copy ready logo or design, even whole card.
WALTER DRAKE, 4119 Drake Bldg.,Colorado Springs, CO 80940. Short
run business cards (250 - $3) and stationery. Good quality raised
print, but no choice of style or color ink.
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