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Craft businesses come in a variety of forms. Some offer the raw materials needed to make crafts, while others offer completed projects. Crafters have a lot to consider when starting a craft business. Considerations include the type of business and the legal formation of the business.
Thanks to technology, craft business storefronts can be either physical or electronic. Craft websites offer an easy way to sell crafts and craft material without having to pay the overhead for a storefront. Some craft entrepreneurs see completed crafts from vending booths placed at fairs, festivals and markets.
The website Business.com has a wealth of information on craft businesses, entrepreneurship and the basics of starting any type of business.
Once the kind of craft business has been established, the owner needs to decide on the company's legal structure. Setting the legal structure is necessary for government, accounting and tax purposes. The craft business could be a sole proprietorship, a partnership, a legal liability company or a corporation. Most people starting a craft business are sole proprietors or partners.
For many crafters, their craft business helps them turn their part-time hobby into an enjoyable full-time job. Some craft businesses end up growing to support many crafty employees.