Want to start small online business, advice needed please.

[Pinkfluffysocks78]

I really want to start an online business from home. I’m looking at selling baby clothes, gifts/cards and toys (wooden).

I want to start off small and see how things develop. I’d be working from home (so can fit around school and nursery). I have storage for stock.
I’ve been looking at suppliers and getting ideas of what I’d like to sell, but would like some advice from someone who is doing something similar.

Have you found it straight forward setting up at home? Fitting it around school etc? Receiving regular income?
Thanks

I’ve run several online stores over the years. All very simple to set up and run, but generally either not making any money once you factor in expenses, or end up completely taking over the house and every evening of your life!! One of the businesses grew into £250k turnover with 4 employees but then a big change in the market meant it collapsed very quickly and we were lucky to get out of it selling the stock on to someone else. So my advice would be to grow naturally, start as soon as you can even if that’s only with one or two products, to prove the concept and start building a customer base.

If you’re selling stuff for little ones you’ll need to make sure it’s all CE safety checked.

Most important thing is keeping good records (something I’m shit at!) from the start, so get some easy accounting software/app etc and make sure to log every penny you spend and receive. That way you can be 100% transparent for tax purposes.

Your pricing needs to reflect not only the cost price for the item, but also your overheads, your time to pick, package and post, plus profit. The idea being that you should be able to pay someone else to do your bit in future and still make money from it, so profit is NOT the bit you pay yourself, but the part on top of all the other costs that you should be able to invest back into the business in future.

Maybe start out selling on local FB grips and get a page up on there too, and see what demand is like. Might also be a good time of year to go to a few Xmas fairs.

Thank you for replying and advice @RaisedByPangolins.
So from reading your post it does sound very doable even with small children. I think that’s a very good idea starting with two products and see how things go.
I am not on Facebook but will look into this especially if it will help in the early stages.

Yes! An accounting app, I have an idea which one will may use but will look out there.
Thank you so much, I was planning on getting this off the ground early next year but maybe getting this moving in next few weeks would offer insight.

Thank you @Rugsofhonour

Marketing skills are ok, years ago I did a course and have ideas how to market myself. That’s why I’m planning on starting small and seeing how things go.

Facebook - I was on this many years ago, but just couldn’t be doing with it anymore at the time. So I should have said in earlier post,I’m not on any longer. That won’t be difficult to start again.
Had an Insta account up until last year so that won’t be difficult to start up again.

Thank you!

For accounting software have a look at Xero / Quickbooks

I really recommend using Shopify as a platform from the start. It is very easy setting up digital marketing too through there.

Yeah the social media side is a bigger part of it than I’d like tbh. You do need to spend time interacting with others on there to get your name out. You need to be on all the local selling groups, to be friends with everyone you know in real life - they won’t all necessarily buy from you, but will comment and share for you if you build enough rapport and comment on all their posts too! It’s a almost a full time job in itself but for one of my businesses at least, it’s the main way I get orders.

One of my businesses is cake making so I’m on a local foodie group, and also scour the local groups for people asking “can anyone recommend…” and put my hand up for it. There will always be people selling cheaper, so unless you want a race to the bottom, undercutting each other until it’s you paying the customer to take your goods, you need something unique and desirable that they can’t easily get elsewhere.

What are the features and benefits of your items? What makes them a cut above what people can buy easily and cheaply online? Why would they come to you instead? Is there a particular angle you can focus on - sustainable/locally made/employs disadvantaged people to make them etc?

It's doable but it isn't easy. Don't market to your friends and family, they will soon get annoyed by it. Are you selling the same products as thousands of other people and you'll be competing over every penny? It's very hard to find suppliers that no one else uses and other businesses will have much deeper pockets than you for stock and advertising.
It depends on how much you have to invest and how quickly you need to be earning and how much. It took me three years to come close to a full time minimum wage job working 60-70 hours a week and I sell products no one else does.
Don't forget to learn about the Consumer Contract Regulations so you are trading legally. You will need to inform your landlord or mortgage company and home insurer if you are working from home, particularly as you will be storing stock.
It is highly advisable you have product liability insurance.

Thank you everyone for your advice. I’ve taken it all onboard. It’s definitely got me thinking the last few days.

Once I get to grips with digital marketing (and yes I do need to update on this) and identify a couple of products to sell (to begin with) that no one sells. Some of my ideas and likes are already out there and popular. So doing a bit of rethinking. In terms of financial set up, I’m starting off small.

I’m going to be realistic, it’s probably best I aim to get going early next year. This will give me time to do what I need to do, learn and research further.
The house is mortgage free so that’s one less thing to worry about.
I have a small spare room which would be my storage space.

If I can get this off the ground and earning a part time wage to start off that would work for me and fit around the children I’d be more than pleased. It’s just nice to do something I want to do and (hopefully) see it develop.

If you are using one room only for business use you will need to contact your local council as you may have to pay business rates on that portion.

Thank you @delilahbucket, there is a lot to consider and do, so maybe working towards a date for next year is best.

Over the weekend I was looking on Esty and saw a couple products (wooden toys) that I was thinking of selling. I am aware competition is out there.

It also got me thinking maybe I should consider creating a shop on a platform like Esty and see how things go. I do make things; soaps, candles, bibs, crochet hats for babies/toddlers but so does everyone else. So I’d be looking to sell products bought from suppliers, it’s just finding something different.

Thank you all!

Etsy is for items you have made only, not mass produced, but there's always eBay or Amazon.

I’m still trying to get my online business together. I’ve considered selling different products than I initially decided on. Reason being those products are everywhere.
I am still keeping the idea on children’s toys/gifts/clothes.

Anyone else struggling a bit at the moment?

Sorry to hear you are struggling pinkfluffysocks78

I'm not sure I have much to add but I am also thinking of selling on-line and have decided to diversify my products a bit. At first, I focused on one particular item (vintage) since then, I've decided I'd like to diversify a bit (I began to think outside the box a bit about what would sit nicely along the first product but I haven't stuck to that). It is proving a bit tricky as I know less about other items. I've decided to once again focus on my initial product and start a second smaller shop for the other items. What are the products you know the best? I'm going along the lines of selling what I like.

Maybe a bit of brainstorming is in order? I know it is really tricky when the products are commonplace because pricing becomes a real issue. I am always seeking out an item which is a bit different (and it isn't easy), I am experiencing a steep learning curve.

@Salvagethisandthat, thank you for your reply. Yes, I do seem to be struggling but you’re absolutely right, brainstorming is what I need. I’m going to spend a bit of time focusing on the product I want and hope to sell and then develop things further. I also believe sometimes you just have to go for it and don’t spend too much time procrastinating. It will be a learning experience and it is definitely something I want to do.

It’s just taking that first step…

Good luck with your idea! Hope it all goes well for you.

@Pinkfluffysocks78 I know this is an old thread, but I just wondered if you ever did get off the ground? I'm hoping to start something similar myself (selling different products to what you were looking to sell!)

@BeKindToYourMind Thank you for your reply. No, unfortunately I haven’t got this off the ground yet. Due to a lot of family stuff going on this year.

But I have been researching and making plans. Hopefully fingers crossed next year I will have started something.

Are you about to set up online? Or are you in the planning stages? I’d say go for it! These are difficult times, but it should stop us following the path we want to take.

Basically I want to do this so I am around to take my kids to school and pick them up.
Plus I’ve elderly parents with health issues, so this makes sense for me.

I wish you luck! Hope it all goes well.
If you want to chat further, happy too on here or PM.

The hardest part is getting traffic to your site if you don't have money for ads

Thank you @charlidomeo I am considering everything at the moment.

It’s such a big step… for me anyway.

My husband and I both have started an online business just over a year ago. Most of our enquiries come from FB and we pay someone to run our social media. We pay a monthly fee of £750 and £70 a day for FB/insta adverts to give you an idea.

I have had other online businesses that hadn't really taken off that I tried to fully run myself - the ad spend is crucial to be successful

Crucial is a good website. Remember to check how it looks in every browser

To cover your costs you'll be look at a selling margin of 3 times cost price to make a profit.

Try not to be seasonal so you're not left with too much stock.

Shopify is a good start and easy to learn the add ons you'll need.

good luck

@MrsPerfect12 thank you for the advice, it’s extremely helpful. Just trying to work things out and hopefully next year I can get something off the ground.