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The question is why would you not mark up the blank? If the customer wants to start a shop and setup accounts with blank distributors and take the risk of ownership etc etc then by all means go for it. Do you honestly think ANYTHING you buy has a zero markup? I'm in it to make money!!
 

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I am like several who have posted previously. I mark up my garments for several reasons including making a profit. If I screw up one of my own shirts (that I brought in for a customer) then they never need to know because I will just bring in a replacement and it's my problem. If they want me to work on their garment I always make sure they understand if something goes awry that I will not be responsible for replacing the garment.
 

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How about because you are paying wholesale and your customer should be paying retail. This especially becomes problematic if you are selling expensive name brand goods.
Say it is something like a carhartt jacket that retails for $100 but your wholesale cost is only $60. Now even when you add your embroidery cost you are selling them an embroidered jacket for less than what they can buy an blank jacket for anywhere else.
On top of that many name brand companies have what's called a minimum advertised price, so if you aren't selling for above that you could loose your ability to buy wholesale.
 

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Reading through the various comments, it comes down to are you in business if so mark everything you use up a little to justify the cost of the equipment you own, and your wages. We markup the garment although we take in customer product as well, we have a set fee per thousand stitches which changes with quantity.
 

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Every shop is different, so what may be good for someone with 6 heads and the machine paid off , will be different than someone who has machine cost. Over head, number of heads, stitch count , quantity all factor into pricing a job.. If you contact me I can give you a link to download a spread sheet that you can put in your shop cost to figure out what you should be charging to make a profit with your embroidery machine. There are similar spreadsheets for DTG, Screen Printings and more.
 

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Here is how I go about it. I don't show a markup on the garment per say. I show it on invoicing as the price I get it at plus shipping and tell my clients that. I have and continue to time everything I do from start to finish. I do not get into a rush because let's face it; no one gets into a rush 100% of the time unless they are crazy, psycho, and a gluten for punishment to burn out early in life. I base it on the need of someone being hired in any future time period, insurance cost for employee benefits and perks. All over head due to building, materials, and so on. Only you know what yours is.

Then I take all my equipment and calculate it all as what it cost to buy it, divide that into 7 years as legal write off for depreciation. and get my machine cost per hour, man hours per hour and so on.... you get my drift. Then I add all my hourly costs up and divide that into how much I can produce per hour and then mark that up by 50%. If you do this you are making what you would need to pay all the overhead...given that you have the business rolling in that is...plus have money to upgrade things, fix things, and grow the business later down the road.

Hope this helps you all in your business endeavors!
 
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