This section of the forum is for discussing the business and finance issues of the t-shirt industry. Which business structure to use (sole proprietor, LLC, S Corp, etc), how to handle billing, where to register your business and get the proper licensing, etc.
Hi. First thing to remember, is that over 70 percent of new business start ups, are no longer in business after three years.
With that in mind, you need a clear and structured business plan. You need to do market research to see how much things cost to buy and how much they sell for. Only when you've done that will you have some idea of how much capital you need to start a business.
Try to finance it all yourself. If it doesn't work out, then you don't owe anyone anything.
Save money by getting rid of anything that is costing you a monthly expense that you can live without, i.e cell phone, cable tv, internet, eating out, going to movies, etc. Then take that money and invest it in your business.
Many people want to have their own business but are not willing to give up a few luxuries to maintain their business. That's why so many go out after 3 years.
This is a similar situation that I am in at the moment and as someone mentioned before, I have chipped in a little from my wage and a bit from a credit card. Im trying to avoid the credit card thing though, thats a terrible way to loan money, interest is terrible.
Right now I only have white tshirts, but im looking at branching into colour tees so the extra capital will be handy. But, I can only do it in small chunks and be patient, and slowly make gains forward from time to time and expand my stock gradually.
I figure its going to take a year or two to get up to a reasonable business-operating-speed and until that happens I aint quittin my day job.
Have you thought about starting a single color line to start with? That way, you could build one of the DIY screen presses and get familiar with the work involved and be making some cash as well. I wouldn't try making one of the multi color/station setups unless you are a very good fabricator and can make things with tolerances in the thousandths of an inch to allow for precise placement of each screen in the machine to line up exactly where the last one did. Other wise, the only other thing I can think of (I resisted saying it as long as I could) " get a job "
Being UK based I wasn't familiar with who Affliction were. Have now managed looked at some of their product range.
If you wanted to produce similar items, you would be looking at some very serious outlay. You then have to establish yourself as a brand and get your products in the market place. That would take time and as everyone in business will tell you, time is money.
It sounds like you have an idea and a desire, but no practical experience in the industry. Are there any shops in your area that would be willing to take on an apprentice or intern? That can be a great way to learn how things are done and what your expectations should be. Also, maybe a business basics course at a local community college?
+1 to everything said so far. First write a business plan... check out SCORE's website for more info on that.
In order to write a business plan, you'll need to know allot of details about the business you want to start. The SCORE's outline will walk you through that.
Most importantly, know your customer - who do you want to sell to? "Everyone" is not an acceptable answer. "21-31 year-old college-educated, career-minded, politically-active singles" is a closer description, for example.
Then, sell everything you own, live without luxuries like cell phones, cable, $5 coffee, x-box live subscriptions, whatever... if you're not willing to put EVERYTHING you've got into the business, no one else should invest. Plus, it will take everything before it's done, anyway, so may as well put it in up front.
Also know that almost every successful business person has come to the point at least once where they actually do lose EVERYTHING. Then they understand the cost, and re-enter knowing better what to do.
buy an allotment of just hats, or just one t-shirt design at first. sell all of your small inventory at a marked up value, use that money to buy more merchandise. do it a few times and you'll have a lot of money on hand...
Hi. First thing to remember, is that over 70 percent of new business start ups, are no longer in business after three years.
With that in mind, you need a clear and structured business plan. You need to do market research to see how much things cost to buy and how much they sell for. Only when you've done that will you have some idea of how much capital you need to start a business.
Try to finance it all yourself. If it doesn't work out, then you don't owe anyone anything.
I agree with Dreamglass. A business plan is essential. You can't know where you want to go unless you have a plan. Winging it for any business is never good business. I think that's the main reason so many businesses fail - they fail to plan ahead. The T-Shirt business is no different. If you ask a successful sales person how they got to be successful, I would bet that it all begins with a plan. Who are you going to call this week, what is your goal, etc.
Another thought - don't just think about the plan - write it down. I had a business coach tell me "The palest of inks is finer than the sharpest of memories".
You might think you have a great idea but make sure before you invest your time, money and training that your target audience also thinks it's a good idea and they will be willing to pay for your product.
Having this all worked out ahead of time will save you more in the end. Even Tiger Woods, the great golfer that he is, spends countless hours practicing and refining his game.
buy an allotment of just hats, or just one t-shirt design at first. sell all of your small inventory at a marked up value, use that money to buy more merchandise. do it a few times and you'll have a lot of money on hand...
That's a horribly simplistic and unrealistic way to look at starting a business! I don't mean to "dis" you LampyB, but that's why so many "businesses" fail. A true business doesn't start off with one hat or shirt design and just sell them all and make a bunch of money. If it were that easy EVERYONE could do it. If I had a nickel for every guy who has come to my shop and had me make shirts for his new "clothing line"..... They last a couple of months, until all their family and friends have bought their shirts, then they have nowhere left to go with their "business" because they don't understand the full spectrum of running a business.
Where will you sell this product? Who will you sell it to? What kind of margin will your market support? What kinds of other costs will you incur in selling the product you have purchased?
Plan to work and work your plan. It can be tough and there will be lean times, but if you deliver a quality product to your customers at a reasonable price then you're at a good starting point. From there its about smart business practices and a good marketing plan.
How to Raise Money to start my biz 
Re: How to Raise Money to start my biz 
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