Instructions for developing a 'foundation of strength' as a Entrepreneur for your New Product Business Ideas or Developing a Complete company Creating Candle Products and/or Creating Natural Cosmetic Products
- Decide on what will be your New product or line.
What type of Candles do you want to sell? How about Household Room Sprays?
Will you sell skin care? Serums, Crémes and Lotions? Body Care? Hair Care?
It is important to outline what you want to do- if you can't put it all into writing easily, you need to polish the vision a bit- where you want to sell your products- and why?
Why do you think you'll be successful in a category that's over developed and crowded?
With all the types of products you want to create, who do you like in the marketplace and want to be or look like?
Who will be your direct competitors? Outline the actual products, sizes, prices, features and benefits & why you think will be competitive or better-
- Apply for and obtain a Business license. Contact the Small Business Administration in your area for details on how to apply for and obtain a small business license in your area. You will also need to apply for and obtain a tax identification number. If you haven't already done so there are a lot of state and federal requirements to start and fund as a business if you want to do it correctly.
- Find a Private Label manufacturer to talk to and work with is the best way to get started, as they have years of experience and successes. You can learn more faster and make less mistakes. If you are starting a Home Crafted Candle, Soap or Lotion business and you will begin by creating products at home, then check with your small business administration and health department for the requirements that must be met when producing beauty products for sale commercially.
More likely you will then understand about the benefits and opt for a private label company. Private label companies create the products for you and HELP you understand how to put a package together with your name and logo on the packaging. Before some of these companies will sell to you, you will need a business license and a tax ID number. Most consumer products, by nature, do better when there is a story (marketing) that helps sell them = it always about the story and the benefits-
- If you are purchasing through a private label company, you will be able to select the types of products that you want. As you build up your volume you can adjust the formulas to your specifications and as the quantities go up it lowers your cost. For a manufacturer it's all about volume when it comes to pricing.
- Figure out (learn all about) your distribution channel. This is how you will sell your cosmetics. Maybe you will have your own salespeople, or Broker/Reps or rent a storefront in the mall. There are many different ways to sell your products, including the Internet (a slow building process)...just remember from the time you start with a product in mind it's going to cost you money..and keep costing you money- Today, in our competitive marketplace it's not easy to be an overnight success-
- Marketing, promoting, advertising your company is necessary to get your story and name out to the consumer. Look for opportunities that are targeted to your key demographic. Whomever you are creating a Candle or Cosmetics line for = younger to older, search for the most efficient, cost effective way to do it- it's usually by trial and error...so it comes back to Time, Effort and Cost.....
Tips and suggestions
- Check out several different private label companies, compare their style of service, start-up costs, product development and purchasing programs- most important try the products.
- You might wish to order some products from one company and different ones from another. It's always better if purchasing small quantities to try and work with just one- it's the total volume that allows the company to spend their time and resources in a generous way to support you....relationships are everything as you develop your business....
- Consider having your Company's Image (logo and corporate visional position) professionally designed. You will want to stay with the same logo to create brand recognition so make sure chose well and you love it.
- Review FDA Alerts Homespun Cosmetics-makers, published by GCI.
- Know the right things to Do, the Requirements, Q & A, and the Consequences of the FDA as you plan your New Cosmetic Business
Jeffrey Light - President
For those starting out for the first time, and not wanting to go slow to learn everything themselves or make usual/typical mistakes, Jeffrey does offer Coaching/Mentoring Services to help get you started, in the right direction and with the right people. I've learned everything the hard way, you don't have to!
Check out Jeffrey's business history on his LinkedIn page. Contact us for more information.