The Operating Basics
Now is a great time to start a jewelry making business. It is quite possible to build a successful jewelry business using very little start-up capital simply by utilizing your own creativity and making use of the many online resources you already have access to. Today, sourcing product for a business is easier than ever before. Gaining access to materials, tools and expertise begins with a click of a mouse. Here, we offer information on how to get started and a variety tips and information on running a successful home based jewelry business.
Choosing a Name for Your Business
When creating a name for your business, there are a number of things to consider. Does your name describe what it is that you are selling? i.e. – Sandy’s Jewelry Designs, Lisa’s Jewelry Company, Jewelry Essentials, etc., although not the most important thing, it may help identify your business and can play a useful role if you plan to develop a website. Having a description in your name (i.e. Jewelry or some connotation thereof) can make it much easier for potential customers to find you online simply by this keyword. Make a list of at least 10 different potential names for your business, this may sound excessive but when you come register your name, you will be surprised how often a name is already registered. Once you have identified the name you intend to use it is time to register it both online and offline.
Register Your Business and Obtain a Resale License
The most common business entity or type of business to register for a start-up or home based business, is a sole proprietor or a DBA (Doing Business As). This is the simplest business entity, you can always evolve into a partnership, LLC or Corporation once your business starts to see some growth. For additional information on incorporating view the following link: www.business.gov
Sole Proprietor/DBA – This is a business that is operated and managed by an individual, who is liable for all debts and obligations pertaining to the business. If you are using your legal name (Mary Smith) as your business name, you will need to file a Schedule C along with your regular taxes to declare that income.
If you would like to name your business something other than your own name, i.e – Luxe Jewels, you will need to get a DBA. Contact your local city hall or hall of records to find out the necessary documents and forms to fill out and register. Some or all of this information may also be obtained from your local city administration website.
Once your DBA is registered, you can open a separate bank account under that name and accept checks and other forms of payments made out to your business. Having a separate business bank account helps when tracking business expenses and deductions.
Resale License – This is necessary if you intend to purchase products and supplies at wholesale prices. To acquire this license contact your local city hall or hall of records.
Accepting Credit Cards For Your Business
If you find you find need to process credit cards but you are not ready to sign a contract for a processing terminal or commit to an online credit card processor then consider the following options.
Propay - A simple way for small or home based business to accept credit cards. No equipment terminal needed and transactions can be processed directly from your desktop, laptop or web enabled device, this is perfect if you plan on doing craft fairs and trade shows. Visit www.propay.com
Paypal – Is well established and highly regarded for its online security record. It can easily be used to collect payment for a website and useful for sending secure invoices by email that can be used to make payment. Visit www.paypal.com
Accepting Checks
If you do decide to accept checks for your business, be aware, that this form of payment can pose greater risks. Be cautious when accepting checks at trade shows and craft fairs etc. If you find yourself in a situation where you have accepted a check which the bank won’t honor, all is not lost. Most states run a check restitution program that will allow you to report the check usually through your local District Attorney’s Office this will set in motion a standard procedure that may take time but will allow you to reclaim your money, minus the processing fee. For more information check your local District Attorney’s office online.
