Need business advice - new to embroidery

[Di]

I started my embroidery business in Nov '07 with a home machine then purchased the Amaya XT in Dec '07. I'm a little slow going but I'm doing some caps for my dad's business and I've had a few people call me for caps and polos. I'm trying to decide how to do things, i.e. website, doing shows, etc. I'm a stay at home mom ( 3 1/2 yr old and 18 month old) hoping to turn this into a full time business by the time my kids are in school. My husband works for my dad but is looking for a career change (no real growth potential in small family business). We were wondering if my husband takes classes in graphics and digitizing and I run the machine, could this turn into a great family business? I guess what I'm asking is for success stories and advice. I know my husband would have to work full time until we got this business going, but can an embroidery business comfortably support a family? If anyone is willing to share, you can send me a private message or email me at [email protected]. What kind of potential income is there, is it worth my husband learning to digitize, etc.? I know I need to market my business, but I would like some advice before I spend money doing so.

I know I'm asking a lot for this type of info, but it would REALLY be appreciated.

[Steve]

I really don't think anyone can your questions truthfully but you. I have been doing embroidery part-time and work a full-time job. I have enough work during the holiday season to do embroidery full-time but the rest of the year, the business will not support me. If I start working 40 hours a week in my full-time job and 40 hours a week for my business, then I need to pick one or the other. But right now, I'm not busy enough 10 months a year to do just the business. Everyone's situation is different but you said business is slow right now. No work = no income.
Digitizing takes years to master and become an expert at it. I can not think of anyone who supports thier family running just one machine. There just isn't enough profit running just one machine. You certainly can't charge $30 for an embroidered t-shirt, no one would buy it. Trade shows are a good idea to get your name out there but you have the costs of a booth, display, moving the equipment, etc. My parents did trade shows for many years and it is a pain the butt setting up and taking down, not to mention they had $1000 in inventory and still people asked for colors and stuff they didn't have.
You not want to hear this but I would suggest he keeps working until you can get your business rolling and you both can support the family with it. At least if the business fails, someone is working and you have an income.
Everyone is different but I know I'm not ready to tackle it full-time, I may never do it full-time, who knows.

[TinaK]

I could only dream of a paycheck someday...I put all my money I make back into the business at this point however it is supporting itself right now which is great for me. I do have another job and that is being a travel agent so I don't need the income so much and my husband ranches.

I have been doing this for 2 years now started out slow with home machines and then leaped into the Amaya last year. I keep busy through out the year with the machine however I want to be busier so I dont have to worry if I am going to have enough sales to make my machine payment for the following month.
I do local craft shows which are very small and even though they generate some sales it isn't a huge money maker for me at this time. I do get alot of special orders at them which is great.
I have a website as well that does great in sales and am also on Ebay.
I would love to be able to take the business to the next level whatever that might be but am going slow right now as I don't want to get into debt with it and I am doing fine right now....just need to think of new things to add to the business is keeping me busy.
I must say that this past Xmas was my busiest I have been since in business which has been great alot of craft shows and advertising was done to get that however.
It takes time to get a business off and running so I would agree with Steve in that don't have your husband quit his job just yet especially the way the economy is right now.

Good Luck!

[oldkush]

I think if you did a poll of machine owners on this list and if those who answered were completely honest about their embroidery business, the overwhelming majority DO NOT have a viable embroidery business.

By viable I mean the embroidery business pays all business expenses, pays the embroiderer a decent hourly wage and allows the owner to put away cash for future capital costs [new machines, perhaps a new building, additional equipment, etc.].

It will be difficult to make a living on embroidery alone with a one head operation. Now having said that, some do have a successful business with a single head but they are the exception rather than the rule. Often, the ones who do have a successful embroidery business are those who offer other services like signing, screen printing, graphic work, etc. or they have a niche market.

Embroidery has a huge learning curve and it takes considerable time to learn. This definitely is not a "pop in a design and the customers are beating down your door" kind of business.

As far as digitizing, expect to hone this art for at least a couple of years before you can consistently turn out quality designs.

If you have a good reliable income that you can depend on while attempting to get your business off the ground and if you are not already carrying a high debt load .... it may be worth trying to start an embroidery business. However, if you do not think your present situation can carry your embroidery business for a couple of years .... realistically, you may be better off not starting the business at all [just my opinion].

Another thing to consider will be the state of the US economy. I don't know where you live but the US economy is in big trouble and many areas are feeling the effects already. For those areas that do not yet see a slow down .... your time is coming.

Just as a side note, the US economy is carrying close to a $10 trillion [yes that is trillion] debt load. Now most of us can not comprehend a million or billion, let alone a trillion.

To help understand how big a million, billion and trillion really are and how they relate to each other, I made the following calculations:

- a million seconds is less than 12 days ago
- a billion seconds ago takes you back almost 32 years
- a trillion seconds ago it was about 29702 BC and this was about the time Neanderthal man seized to exist

- a million minutes ago you were 23 months younger
- a billion minutes ago takes us to 105 years after Jesus died
- a trillion minutes ago mammoths walked the earth and were hunted by early caveman

- a million hours ago takes us to 1894
- a billion hours ago early man lived in caves, had fire and shaped stone weapons
- a trillion hours ago the earth was inhabited by dinosaurs

So when you see the US debt [money owed] approaching 10 trillion dollars, know that is a VERY VERY BIG number.

I don't wish to sound discouraging nor do I want to rain on your parade .... just trying to suggest that you have your eyes wide open before making any decisions.

Good luck

Bob

[Rod or Sharon]

Wouldn't it be nice if we could all be somewhere in the same ball park on pricing! We have three other embroidery/screenprint companies within 3 blocks of us! Two work out of their homes so don't have as much overhead and will work cheaper--not a good idea (to work cheaper)! In the neighboring community, there is a large shop who will purchase the garments and give to the customer at their wholesale price then only charge $5.00 for any left chest or cap. We lost a very large order to them last Fall. I can understand if this is contract work or a special pricing to a limited customer,but not selling to the general public for this price---it hurts everyone--including them if they would stop and think about it.

I will share our pricing structure--and I realize some are higher and some may be a little lower depending on where you live. We start at $7.50 for up to 6,000 stitches and it is $1.00 more per 1,000 stitches after that. We have a sliding scale for larger orders. Pricing is always an interesting topic! Just my two cents worth this morning!

Sharon

[Di]

I really appreciate everyone's advice and I'm so glad you're willing to be so honest and candid. I had a feeling I was going to get this kind of response, but it doesn't hurt to ask. I know we'd have to have a multi head operation to make money, but we definitely can't afford any more now. So I'll keep working at it myself and hopefully we'll hit the lotto (lol) or my husband can find a good job soon. At least he still has a job and and least I'm still able to make the machine payments with the business money [img]smile.gif[/img] , very greatful for both.

Thanks again!

[Debbie Rinehart]

Di,
Something that has worked for me is joining the local Chamber of Commerce. I also bought a cheap software program called "the Print Shop" from Broderbund ($20 or so) and I have used it to make a variety of flyers. Each month I make sure I get to the membership meeting of the chamber and before I go, I target 2-3 businesses that month. Last month it was the local Hilliard-Lyons investment guys, some real estate and insurance men. The week before the meeting I spend a couple evenings downloading high end shirt images from SanMars image library. I put the most expensive brands like Ping, Nike and Port Authority on the flyer and found the image that showed the different colors offered in that style since these guys are big money people and have it to spend. I went over and spoke to these guys before the meeting (get there early) and handed them the flyer. I told them that these shirts can vary in price but most are under $40. and some are even under $30 and that incudes the embroidery charge. That got their attention. I got their business card and the next day or so I sent them an email saying how good it was to see them and to let them know that I had a catalog with more of those type shirt styles that I'd like to drop off this week. Normally they say okay and once you are in the door you can tell them about the one time charge to do their logo. I give them a couple more days and call back and ask them what they thought of the catalog (usually Sanmar, Blue Generation or Bodek and Roades as they have specific things I have luck selling). I normally get a sale from at least one of the three groups I targeted. This past week I embroidered 4 PING shirts for the investment guy and one for the other guy in his office. I made sure he sees a stitch out of the logo first so he can pick between larger letters or smaller letters;if I pick what I think they will want, they inevitably say, but make the letters a little smaller next time ;&gt I sell a lot when I'm prepared for the crowd and when I follow up 3 ways. First the email, then the catalog and finally the follow up call. I have a special flyer for women, men, professional, casual, value prices, outerwear, accessories, bags, blankets and afghans. If anyone would like to see a PDF of one or more, let me know and I'll send them since I can't attach here.
Debbie in Indiana

[TinaK]

Hi Debbie!

I would love to see a flyer you have made up even though my communities around where I live does not have chamber of commerce I still can use them to hang up around the local businesses and to hand out as well.
I use Printmaster to do all my sale flyers and the flyers turn out great as well at least for my travel business. I have just started doing flyers for the embroidery business so it would be great to see what others put on their flyers.

Please send it to [email protected]

Thanks!

[Etched In Thread]

Hello Debbie, would you please send me your pdf files, I need all the help I can get! Thank you so much for offering. Send to [email protected]
Thanks again, everyone have a great day!
Edna

[Maggie21]

Hello Debbie,

I would like also to receive your PDF files. I really like your idea and this will help my business also.

Thank you,

Maggie
e-mail: [email protected]

[Di]

Debbie,

Thank you so much, that is great advice!!! I can see by the responses on this site and others that emailed me personally, you really have to be creative and market yourself.

I would love to see the .pdf files of your flyers to get ideas also. Please send them to [email protected].

Thank you all so much for being so generous with your advice and information. You are all a great group of people.

[jstgrma]

Debbie,

Please add me to your ever-growing list! Sounds like a very good plan. I can certainly benefit from more marketing.

Please send the PDF files to [email protected]

Thank you for all your information!

[susan]

Hi Debbie,
I would love to see your pdf files. Sounds like a great plan! I really need to do more marketing too.
I also use PrintShop for flyers, Thank You cards, labels and business cards--and on the personal side for scrapbooking.

Thanks!
Susan

[Mr. Sew & Sew]

Debbie - thanks for the offer. Please send a copy of the pdf to: [email protected]

many thanks
Tom

[Debbie Garifi]

Hi Debbie in Indiana,
May I also see these flyers, I am so bad at doing this marketing thing.....Today I actually need to sit down and write something to all the High School swim coaches in our area(5) in order to be able to set-up a booth at the Aquatic Center during swim meets. They Aquatic Center said that it wasn't up to them due to the high schools renting the facility during those meets.
They said the schools would have to approve/request my services and then they said it is good to go. Do you have any advice as to how I should present myself/business in an e-mail/letter to these coaches? I have done all kinds of fun apparel & accessories in all the school color combinations relating to not only swim, but other sports as well. The parents I have spoken to about my idea are very enthusiastic and even want me to carry goggles, and practice suits & jammers since we have no "swim" store in the area.
By the way, I will be in Cicero, IN the week of May 11th. I remember you not being to far from there, would love to meet up with you if your schedule permits.
My e-mail is [email protected]
Thanks for any advice.
Debbie Garifi
Design Wizard Embroidery