When I left school, I was eager to begin the next phase of my woodworking journey – establishing my very own shop. I had a dream and a vision that I couldn’t wait to fulfill. Full of passion, desire, and momentum, I embarked on what would be my toughest and most valuable woodworking lesson to date.
When I left school, I was eager to begin the next phase of my woodworking journey – establishing my very own shop. I had a dream and a vision that I couldn’t wait to fulfill. Full of passion, desire, and momentum, I embarked on what would be my toughest and most valuable woodworking lesson to date.
A very detailed “business plan.”
I wanted to start a venture of my own, but I was clueless about how to do it. So, I started reading books, business magazines, and online articles. I researched what others did to start their own businesses. I kept encountering the same basic advice over and over, so I came to the conclusion that all of this common advice was clearly the path to follow. What did I know?
One thing I had read over and over again was that you spend money to make money, so maybe a business loan was in order. With some hesitancy, I borrowed around $20,000. I used it to acquire space, equipment, and a cargo van for deliveries and supplies. I had a shop and now I just needed customers.
And now the “marketing” strategy.
So, I did the whole logo & business card thing, got some stationary, mailed post cards, attended local art shows, and basically executed a very haphazard marketing plan. Despite everything seeming like it was “in place” I found myself struggling to start making any money.
Out of my ignorance, I took anything and everything that came through my door. It didn’t matter what kind of project, I took it. I thought I had to. I thought that’s the way it worked. Beggars can’t be choosers right?
The result? I had a fair amount of projects coming through the door, and I hated almost every one of them. They were of no interest to me because they didn’t allow me to work at my highest level of skill and potential.
I limped along like this for almost 5 years, taking mindless jobs and working other part time gigs to make a little money. This translated into stress, lack of desire, and even bouts with severe depression. Sound like fun? Suddenly my “dream” had become a total living nightmare.
So, what was missing? What was that one thing that seemed to elude me and my success?
Bottom line: I wasn’t thinking like an entrepreneur.
I was very resistant to this because I thought of myself as a Craftsman first. I figured if I built nice things, the customers would come. I kept saying, “I’m a woodworker, not a business man.” Can you see the folly in that statement? It turns out the secret was something I was totally aware of, but completely repelling from day one.
It’s hard to realize in the beginning that it’s essential to your woodworking venture’s success to think line an entrepreneur FIRST and a woodworker SECOND. That’s right. Woodworking comes second in importance. Don’t think that I’m demeaning the importance of high quality woodworking skills. Those are the foundation of your product. What I’m talking about is a total shift of mindset once you begin selling your work.
If you’re planning on making a living from your passion, then you need to absorb entrepreneurial training into that passion. If you’re not passionate about becoming an entrepreneur than you’re just not passionate about your own success. There’s no way around it. Entrepreneurial thinking paves the way for working honestly and harmoniously with your values, principles, talents, and passions. You use these as tools for success instead of limitations to your success.
Take a look at what I described above. Look at all the steps I took to get a woodworking business together. Where was I getting my information and education to get things going? I was getting my business training from long established outdated conventional wisdom. Wisdom that had me running my business into the ground from day one.
Was it a mistake to start a business in this location? Was it wrong to get a loan? Was I mistaken when I got business advice from magazines and websites? The short answer is, no not really. All of these things have their place in certain kinds of businesses. What was wrong, however, was that I approached things as if I was starting a large operation and not a one man shop. Thus, I came to rely on the conventional wisdom and practices of “big” business.
Conventional wisdom can help start a business but it doesn’t make you an entrepreneur. An entrepreneur is anything BUT conventional. In fact they thrive on the unconventional. It’s essential to their success and satisfaction. An entrepreneur looks to position themselves outside of the conventional model of business. They search for underserved niches and educational gaps to enter in to.
The second you accept money for your goods or services, you become self-employed, and the journey to entrepreneurship begins. You better have the thinking and mindset in place to begin that journey.
What about you? If your woodworking is part of your livelihood what’s been your experience with starting your business and entrepreneurship?
Let’s keep the conversation going below.
Adam King designs, builds, and writes about high end furniture at Adam King Studio. Check out his free Guide to Getting The Most From Woodworking.
Comments
Thanks for sharing your experience.
I also had in mind(in a future), to start my little business and as you say I was thinking as a entrepreneur. And you know what made me changed my mind?
First I lost my fulltime job. Is this a sign to make the jump, the push I needed to take my balls, spit and rush forward? Well, I thought a lot(every night and day). What made me finally back up is the following.
Being jobless, I was taking time to think and of course, woodworking. I was enjoying this little break and investing my full mind into my woodworking projects. And I realized, that if I would do-it as a living, I would have to make things the way customers want-it, despite my creativity and freedom to explore. I would have to work faster to make more furnitureto lower my costs and make more clients, wich means eventualy buy all the big woodworking machines to go faster and you know how the business goes...
I am not a longtime experienced woodworker, but I have the entrepreneur thinking, that's why it hit my mind so fast. But I realized that doing business with my passion would be a mistake for me. So I found a great compromise in my future plans. I'm going back to school, in industrial mechanics, while I'll continue to do woodworking as a hobby and continue to improve myself. And if business fever gets back, I might start doing repairs and fittings for woodshops. Knowing wood and mechanics would keep me in good position for that, and I could be in touch with my work and my passion.
Hi there,
Thank you for the great post. That is almost exactly where I am finding myself. We are just starting up a business (not furniture woodworking), and have some main ideas, but for me it is hard to think "outside the box". Something that I will have to work on.
J
@John316
It is hard at first when you are plugged in to the conventional thinking. Just ask yourself, "Do I want to be a 'conventional' business?"
When you phrase it that way, it helps to avoid becoming such a thing.
@patwrek
Well, congrats on going back to school. And I have to commend you on taking a realistic survey of your situation. In reference to the future, when you do decide to start a woodworking venture, I would start now to decide what kind of woodworking you would enjoy most. What kind of a woodworker do you want to be? Then you can begin to find clients who desire the kind of work you desire to do.
This will eliminate the whole scenario you described above. The key to long term success in the arts and crafts is to niche down. Then take a look and niche down even more. The more specialized you become the easier it is to serve a very loyal customer base. Keep us informed of your progress!
Thanks for your thoughts. It is completely understandable that one must be a business person first and a craftsman second. But, I wonder if you could expand on what you mean by "be entrepreneurial". I often see this advise given and understand what the term means. However it remains somewhat abstract. Would you be willing to offer an example of an entrepreneurial action you took in your business?
And what did you do to move beyond taking those projects that did not interest you? I know the obvious answer is stopped taking them, but I'm more interested in what you did to replace that work with something you wanted to do.
Well where do I begin.... I have been through all this in my head over and over and over.
Yet I have loved woodworking since the day I could pick up a hammer. As the years went by my love for woodworking just increased more & more, it was an addiction I just wanted to work with my hands.
I took several and several workshops with well known craftsemen ( Garret Hack, Will Neptune, Mario Rodriguez, Bob Van Dyke, Peter Gedrys, etc.) and I asked all of them if they would recommend getting into the field of woodworking. Some of the response were it is a tough business, one said, Keep it as a hobby and find something that pays better, one said, " Be prepared to work and never retire", another said, " Go with what your heart says."
Well I continued learning and kept reading and practicing. Finally years done the road I decided to attend The Furniture Institute of Mass. w/ Philip C. Lowe, and man oh man did I learned sooo much. Phil Lowe is an amazing craftsmen/business man, he taught me so much.
Now you can't learned everything in 2 years, and I can say I have been lucky. I stayed with Phil for 2-3 years after I graduated to get even more on the job training and it was worth every penny. While working for Phil I learned that as cabinet/chair maker with out a name you must take what comes through the door. As new man on the streets you can't always pick and choose in the beginning. Learn from the real world experience, and that is what I did.
Yet I received great advice from my friend Peter Gedrys and these kinds words are worth their money in gold. "The more you say NO the more money you make. I would say I agree with Peter. Another word of advice that Peter gave me is as follows: When a customer comes back and says well your estimate is higher then so and so, can you match it or come under his/her estimate??? Respond with I am glad they know what they are worth but, I am worth more and I will give you more for your dollar. " When the clients hears that, I can tell you the whole situation changes for the better.
I guess what I am trying to say is that new business take 5-10 years before you see what you want coming through those doors. Try everything and anything in the beginning. Try Cabinetry, restoration, inlay, veneering, carving, etc. Find something you are good at. Always be thinking 3-4 steps ahead. NETWORK as much as possible. Do what ever it takes. This is what I have been doing now for several years and my name is getting out there. I am getting a lot not all the jobs I want. It is hard and it will be hard. Yet I love this craft I love what I can do with my hands. I love the struggles of having to figure things out. It is fun. Breathe. Take a break once in a while. Practice Chop Chop as Phil would say. When I left school I wasn't the best with my hands but over the years your skills develop, your eye develops, and it all starts coming together. Used as much machinery to get the job done.
The best advice I can give to anyone who is serious in getting a small business, is that you MUST HAVE A PATIENT PARTNER if you want to be able to succeed. If you don't then there is a new added stress that is not needed in life.
Good Luck and God Bless
Fred Roman
Maker & Restorer
" Maker of Tomorrow's Antiques."
Nice post Adam. Thanks for striking up this conversation. Gina, FWW
You can get free business advice from S.C.O.R.E.
@sam_cal
That's a great request. You're right. Most articles leave you hanging on the idea of the entrepreneurial mindset. I will have something in the near future addressing that very thing.
@FIMWDWRKR
Fred, I cannot thank you enough for your part of this conversation. You're experience is so valuable here. Isn't Phil tremendous? I had the fortune of spending an evening with him at one of his year end open houses. He talked to me for quite some time and I really saw what he had in the way of wisdom in all of these areas. Your time with him has to be one of the greatest resources to your success.
You're right on about the 5-10 year mark. Personal development really takes place in this time period and you really get clear about what and how you want to work as a furniture maker. And the last conclusion is the best. Finding a partner who is patient is essential. I'm still working on that part! haha!
Thanks again.
@GEide
Thank you so much. It's really a privilege to be able to share my experiences here. I can only hope to add to the value of all of loyal readers. We learn so much from each other.
@sam_cal
That's a great request. You're right. Most articles leave you hanging on the idea of the entrepreneurial mindset. I will have something in the near future addressing that very thing.
@FIMWDWRKR
Fred, I cannot thank you enough for your part of this conversation. You're experience is so valuable here. Isn't Phil tremendous? I had the fortune of spending an evening with him at one of his year end open houses. He talked to me for quite some time and I really saw what he had in the way of wisdom in all of these areas. Your time with him has to be one of the greatest resources to your success.
You're right on about the 5-10 year mark. Personal development really takes place in this time period and you really get clear about what and how you want to work as a furniture maker. And the last conclusion is the best. Finding a partner who is patient is essential. I'm still working on that part! haha!
Thanks again.
@GEide
Thank you so much. It's really a privilege to be able to share my experiences here. I can only hope to add to the value of all of loyal readers. We learn so much from each other.
@ak
Thank you for your posts. Do you have any books or articles to read up on about that?
@FIMWDWKR
Thank you also for your post - very well written.
J
This is a random comment, yet here I am so much to say and so much to share and not enough time or space to type it all.
One of the hardest things is to decide where you want your business to go. Do I want to make reproductions? Do I just want to concentrate on Restoration? What Period should I concentrate on? Do I want to be a jack of all traits? Do I want to make contemporary furniture?
Well for reproductions you need to be able to measure originals. Well where can I find those customers who will let me measure them. What museum will give you permission to measure their collections?
Now restoration is fun and stressful, yet there is so much money to invest in restoration regarding finishes, stains, dyes, antique/vintage lumber, antique screws, etc. etc. Another issue with restoration is many people don't really to spend the money. Or the pieces are not worth the time to even consider to repair them but, there is sentimental factor. On the other hand I can only glue up so many kitchen chairs. GRRRRRR!
Now in the past craftsmen only needed to work in the period at hand. Well not me, today Federal, tomorrow Queen Anne, next day Chippendale. Man O' Man it is hard to bounce around. So much to study so little time.
I love doing it all, yet in the end I need to be really good at something. I need to focus on some aspect that makes me stick out from the crowd. This is the route I took. I focus on inlay, banding, veneering, stringing etc. Yet I enjoy it all aspects of all periods so what can I do. Um.... I guess keep doing what I am doing and try to figure out every aspect as possible.
So do I want to make contempo furniture. Well no I don't want to make contempo yet everyone in the period were contemporary at first. So um....
Where do you go and what do you do. Well I decided to try it all, and focus on period work, study everything I can get my hands on.
Now I didn't spend 20,000 but I spent about 100,000. 34,000 in education, and 64,000 in hand tools, power tools, veneers, lumber, clamps, etc. etc. Yet I spent my money wisely. I bought only what I need and bought items that I know I can make my money back. One the smartest decisions I made was working at a Woodcraft. It was the best choice I ever made because I got everything at cost. I never purchased anything at retail, which is AWESOME...
This business is stressful but I love waking up in the morning and waiting for the challenges that the next project is going to bring. Good Luck.
Fred
Thanks Adam,
This is a conversation long overdue. I believe we share a lot in common. We attended the same school and by the sound of it much of the same struggles post-grad( I was there a decade earlier than you).I got out and had a small shop at my house and I took in anything I could. Some new builds but mostly re-finishing and repair. I hated it. I felt like there was no hope for me in my chosen field. There was no support structure in place for craftsman starting out. No one to bounce ideas off of. No real mentors. Probably a lot of it falls on my shoulders. Maybe I was too young and naive at the time.
I ended up getting a full time job and put my own thing on the back burner. I needed the kind of education school wasn't going to give me.
It's been 15 years and a move half way across the country since that failed attempt. I've had 3 different jobs in that time and the experience I have gained working in those places is irreplaceable. All along the way I have taken in jobs on my own and have loved every one of them mostly because the pressure was off. I could work the way I wanted to. It seems that lately I have gotten more requests than ever for my work. It has come to me. Will I ever venture out on my own again? Probably not full time. For me having that distance and knowing I don't have to pay the bills that way is what has kept me in a love with working wood.
I really admire the work you do. Great website. Keep it up, just don't ever let it feel like just a job.
-Paul
Am I missing something here? Where's the secret? All I can see of the O.P. is:
What about you? If your woodworking is part of your livelihood what's been your experience with starting your business and entrepreneurship?
Let's keep the conversation going below.
@UnclePablo
Really great to "meet" you. We do indeed share a lot in common. You're right about the lack of support structure when starting out. Our field is still a very tight niche, so the face to face support is few and far between. That's why online communities are so valuable right now. Thanks for the comments.
@FIMWDWKR
Man, you just keep pouring on the greatness. I love the transparency your giving the readers here. It's important to never hide behind a guise of having all the answers. I'm grateful you're doing that.
It's important to really niche down with our work, but it takes time, exploration, and self discovery to define that niche or sub-niche.
Thanks so much for sharing.
This is a great post! I have to jump in with a few thoughts.
There's a big difference between woodworking as a hobby and woodworking as your career. If you're not willing or able to take on the full responsibilities of a business owner, then keep woodworking for the weekend.
Want some practical entrepreneurial advice? Here are a few things entrepreneurs (woodworkers or otherwise)must have:
1. Time Management: Make the most of every hour, cut out distractions (email, TV shows, internet) and focus.
2. Money Management: Spend only what you have to. Make do with the tools you have for as long as you can. Keep a tight clamp on your budget.
3. Salesmanship: No wallflowers allowed! You have to be able to sell yourself, your products, your ideas.
4. Financial Stability: If you have a day job, keep it. At least until your woodworking can support you.
5. Family: You must have the support of your spouse or family. What good is a successful business if you have strained your most valuable relationships?
6. Mentor: Seek out others who are doing what you want to do. Interview them and ask them tough questions. Even better if you can find someone who will keep you accountable for staying on course with your plan.
7. Network: Facebook, MySpace, forums, church friends, parents at your kid's school, everyone. Let people know what you are doing. Start a blog and write about your current project. Connect with those who could be customers.
8. Outsource: If you hate bookkeeping, find someone who can handle it (competently) for you. You want to spend your time doing the things you are passionate about. As your business grows, time will become your greatest commodity.
9. Breathe: Make time to be with family, exercise, get refreshed. This is not a race, it's just a business.
I am a hobby woodworker. I have worked as a full-time woodworker for a furniture maker. Now, I'm a career and entrepreneur coach, and following my passion.
Evan Newman
patwreck,
I can relate to your thinking and worry, I got laid off from job with a pretty fat salary. Luckily my wife works and can pay most of the bills. I made a table for my daughter to do her home work at and that turned into doing built-ins for some friends. That got me a job doing some 'paintable' cabinets for a contractor. I loved that job because there was a specific challenge (bifold doors that slide into the cabinet for a LCD TV) but I disliked the end result (contractor painted them, poorly).
I have done a handful of other jobs of different kinds, but now I have 3 jobs big lined up that are interfering with looking for a 'real job' again. What to do? I have a luxury many don't with my wife working and being supportive. I have to decide soon which way to commit to but here are some things I would suggest:
- build things you like but go the extra mile to build that word of mouth 'viral marketing'
- before you quote the project ask what they planned to spend on the project. In my case I knocked $2k off a large set of built-ins in exchange for them hosting a party of their friends and some folks I invited (prospects) which got me a 3 more jobs lined up and several "I'm thinking about it please call me in a few weeks".
- Choose your tool investment wisely - it sure would be nice to have a Festool saw/guide combo, but my 18V Dewalt with a jig I made helps me break down plywood just as quickly...just a little more dust than I would prefer.
- Of the folks I have talked to and the family I did the built-ins for, there are some specific things they are looking for but there is a lot of room for "giving guidance". Certainly there are folks who want what they want and nothing else will do, for them the price goes up and I'd be ok not getting the job (a luxury, I know).
- Also talk to others in the field. Right now I am happy to do custom cabinetry but I am wise enough not to try to compete with standard, many shops seem to hate doing cabinetry work so I have had some jobs referred to me that way. I actually had a shop that offered to let me use some of their equipment because they referred a customer to me they had done a ton of work for but did not want to do these few cabinets. Now I have access to a wide belt sander when I need it.
- One other item that helps me is to help customers visualize the end result. For this I use Google Sketch-up. I measure out the space, play with designs in 2D, show them some ideas to narrow it down and then do a 3d rendering to give them a sense of what the result will look like. It is an investment to learn SketchUp but it paid off big for me. Nothing like taking your laptop in and plugging it into their LCD TV (most all have a monitor port) to show them Their customized design.
I know many folks don't like building cabinets, please don't ;-). There is a market I have found there to deal with 'dead' walls that turn them into a feature of the house...now if I can fit the projects my wife wants done...
all the best,
djk
I started my woodworking career over 30 years ago. I built my shop in 1985 and filled it with all the best equipment. I live near Amish country and some excellent sources of material. I did commissioned work for many people over the years but I also held two very good paying jobs over 37 years. I was not concerned with making a lot of money and worked for less than I should have on many. My position was abolished at my last place of employment over four years ago so I figured I would turn my "hobby" into a fulltime business. I am finding it extremely difficult now to keep busy (lack of projects) and make a few bucks. I was called a "dinosaur" by one guy after I answered his question, "Where do you work?" and responded by saying I have a cabinet shop. I can relate to and have experienced almost everything you stated in your article.
I am not looking to make a lot of money. I really do enjoy creating things out of wood and will continue to do so. The projects that I get now are not exactly what I want to do but they pay some of the bills. I think, no I know, that I work too cheap but it is still difficult to get work. Is the entrepreneurial spirt something you are born with or something aquired? Is it just a state of mind or something that must be practiced every day in everything you do? I also believe that the financial times are having a huge impact on what we do. I could go on and on.
I too own and operate my own business - something I resisted starting for many many years because of a critical knowledge of myself. I know that I am not an accountant nor do I have any interest in becoming one. Unfortunately over the years, I have learned more about accounting than I ever had any desire to know. Once I finally got backed into a corner and decided to take the plunge, I found an accountant that I thought was good and would help me. I found out the hard way that he was more than willing to provide information and answer questions (at $300+/hour) whenever I had any. Unfortunately I wasn't smart enough to know what questions to ask and as a result almost ended up in a scrape with the IRS.
Luckily, I found a "book keeper" who was worth ten times what I was paying the CPA. She was able to unravel the books that were primarily set up to avoid taxes - not support the business I am in or company growth. After a couple of years she recommended I get a tax attorney and corporate counsel along with a CPA to overview the books and to help me plan for things like growth, taxes, benefits for employees, as well as a "retirement" plan for both the employees and more importantly myself. As a result of her advice both from teh beginning and even today, I am spending less that I did with teh original CPA and getting significantly better support adn advice.
The morale of this story is it is critical to be honest with yourself and know what you don't know and don't either want to know or have time to learn, then find the best people you can to help you fill in those gaps. In the last 7 years, I have met with and interviewed many attorneys and CPAs, etc. and I can tell you from experience that these things are critical to your long term survival as a businessperson, but most importantly, the professionals you choose need to be people you can trust, and who understand not only what you want, but what you need. They all speak their own language and you need to find people YOU can communicate with in a manner you understand. I still can't read a P&L statement, but I know where my company is financially and have full faith and confidence in the people I have watching my back and if you step into the world of owning your own business - this kind of support is more critical than your own skills. They will tell you the things you need to know when you need to know them, while freeing you up to do what you do best.
Taking a little liberty with a quote from Theodore Roosevelt - he said adn I think it is the most important thing ANY busienss owner/supervisor can do... "The best executive [business owner] is the one that has sense enough to pick good men to do what he wants [needs done and cannot/doesn't want/know how to do himself]and self restraint enough to keep from meddling with them while they do it.
i.e. Know yourself and don't be afraid to admit you don't know everything and get people you can trust to fill those gaps and listen to what they tell you!
Roy
aka Wrkwatchr
And it is a good thing that typing skill is not a requirement for my business that I cannot have someone else do! :-)
I haven't read all the many posts, so forgive me if I restate what may have already been said.
Starting a business is like building a house - both require planning.
First you need to write a preliminary description of what your business is. What products or services will you offer? What is your mission? Writing this is important because it helps to clarify the concept for you. It will probably change as you progress in your research and planning.
The most important, and hardest, part of planning to start a business is to determine where your market is, what portion of that market you might be able to get and how to go about getting it.
Determining where your market is involves doing some demographic research to define what your customers profile is. Are they consumers? Are they other businesses?
If they are primarily consumers, then what are the characteristics that makes them potential customers. Are they apartment dwellers or homeowners? What age and income brackets are they in? Where do they live? How close are they to your location? There are other factors, but you get the idea.
If they are other businesses then what industries are they in? What size companies might buy from you? Where are they? Etc.
What portion of the market are you likely to get? This involves learning about your competition. Who are they? What do they offer? What are their strengths and weaknesses and how do those compare to you? What market share do they have?
Much of the data needed for this research is available at libraries, and the librarians know how to assit in finding what you need. On the other hand, there might not be any data to answer some of the questions, so you have to dig to find other sources from which you can infer the answer.
This research does not end here. Now you need to make an educated guess at the percentage of the market you might be able to acquire over time. Not "I'll get 20%", but rather "I think I might be able to penetrate some the first month and increase the penetration over time." And, don't rely on just one scenario for this. Do at least three - best case, expected case and worst case. This is all educated guess work, but it needs to also have a strong foundation. That's what all the prior research should have provided. You will learn and re-learn and learn some more during the process of doing the research.
Then you need to determine what revenue you might get from a sale to each of these mythical customers. From there you can calculate pro-forma revenue month by month for the first year, quarterly the second year and in total for the third year. Your banker may want more or less detail than this, but this is a typical time line for pro-forma financial analysis.
I said it is the hardest part and it is. It requires lots of hard work and critical thinking.
When you have determined the answers to the above, then a marketing plan is in order. From your research you should already have a fairly good idea of what kinds of media your competition uses. Is that what you should do, or should you do something else? Plan the first year's marketing in a fairly detailed manner. Not what the marketing pieces will look like, but when, how and how much?
You are not ready to go into business at this point. You still need to estimate your costs - variable, indirect and fixed. Variable costs are directly related to revenue - the cost of your product or service. Indirect costs are related to revenue growth and will likely grow in steps as you meet certain levels of revenue. Fixed costs are the easiest - rent, utilities, etc.
There's much more than this to a good business plan.
I volunteer for SCORE, which provides free online and face-to-face counseling for small businesses - either startups or existing. Go to http://www.score.org. There you will find many resources to help with your business. And they are free!
Hope this helps.
Ken Ewald
SCORE
Made the same mistake myself as far as what view you used. I was not able to view through entrepreneur eyes and never will be able to. I do admire those that are able to use good business judgment but remain true to the quality they aspire to. The only plus I got out of the experience was a decent detached shop and some nice additional tools. Doesn't quite overcome the feeling of failure but education does have it's price. Good luck to all those who try.
Adam, I have been in business for twenty years and I can tell you it is a hard struggle. You as an entrepreneur have to have the mindset to change directions at any time as the climate changes in your business.
If you can keep the focus on your dream have the tenacity to hang on to the dream, ride the highs and lows that will always be there you will succeed.
I would like to start by saying that I am young and do not have 30 years of woodworking business under my belt. In fact, I am just coming up on my first year of woodworking as a part-time profession. Though it has not been much time, I feel as though I have had a good deal of success. Within this past year, I have completed half a dozen or so custom vanities and bathroom furniture pieces, numerous small pieces of furniture, 2 rather large built-in case pieces, and a set of very unique loft stairs. All fine woodworking jobs? Perhaps not, but they are a good start in my opinion.
I do agree with much that has been said so far, but I would like to add one crucial thing that has enabled my "dream" to come to somewhat fruition; common sense. This often overlooked quality has played a major role in every choice I have made. Instead of relying on hopes and wishes, I took matters into my own hands. I got a sales job with a local tile/stone/plumbing shop. Not because I loved the idea of selling people a granite counter, but because of the opportunities it could afford me in establishing a woodworking business. 1.) This would teach me how to sell and take care of the day to day tasks any business deals with. 2.) Everyone who walked through the door probably is in need of woodworking. 3.) Because it was not a woodworking business, I could acquire side jobs without any conflict of interest. 4.) I would be getting paid to learn all this and could afford tools for my shop without a loan. I also have made many contacts with people in the construction industry which never hurts.
This is just one good example where common sense told me that the best way achieve my dream was to put it in my back pocket and face reality. I understand that not everything I do will be to the sound of a hand plane and a scraper. And that's ok with me. If I approach my goal with an open mind and bit of common sense, I will always be learning. With learning comes versatility and with versatility comes possibility. Though my Veritas shoulder plane ranks high on the "favorite tool list," my mind is by far the most useful.
This is a great article! Many of us hit that point when our "fanciful notion" of operating a business meets economic reality. It is a completely different animal when your passion and craft is paying the bills and supporting the family.
The only point I would like to add is that those of you considereing the switch from hobby to career, please keep in mind that your craft and passion will need to become a business in order for you to survive and thrive. Every moment of time dedicated to your shop must somehow be oriented to furthering your business, and needs to be accounted for. Small tools, large tool repairs, time spent sketching layouts and picking up supplies, repairs to your shop area - these all have to have a place when you estimate your projects. Overhead and Profit are far too often looked at as dirty words by craftspeople. Those dirty words will cause the demise of your business if you do not mind them with a near religious fervor. Each of us has to find the happy medium where craft meets business enterprise. But starting a business and working only for wages is simply not sustainable.
Best of luck!
Wow this in interesting information everyone is sharing. It is the same issues I faced after graduating from college and started my own graphic design business. Woodworking is my secondary interest. I feel passionate about but it and have found it to be very rewarding. The projects can be as creative as I wanted them to be and have skill to accomplish. People are able to relate to woodworking more because they see a functional piece that they can enjoy the esthetics of as a secondary characteristic.
I love the carrier that I have spent nearly forty years at. Graphic design and art direction has been my passion and my livelihood. Woodworking has been something I have done for a creative outlet that would also have a practical side to by building things we needed or wanted for our home. It has been for the fun and pleasure not to make money or to save money on. Could I make money at it? I think so. Would I want to turn something I love doing into another carrier? I think this is maybe a point at the foundation of this discussion. I have done graphic design because I love the type of creative challenge it presents and the business side has been something I have had to learn to enjoy also. This is not unlike what has been discussed in this blog. What I had to decide was, could I enjoy the job even if there were things that came with it that I may not enjoy. Making a living at something and be “successful” at it can take some or all of the fun out of doing it. I was prepared to do that for my carrier. Now am retiring in a few months. Guess what one of the things is that will give me a reason to get up every morning. Will I make money doing it? Maybe. Will I be a lesser craftsman than I would if I were making a living at woodworking? Maybe but I don’t think so.
The E-Myth Revisited: Why Most Small Businesses Don't Work and What to Do About It, by Michael Gerber.
I would highly recommend this book to anyone considering making a living out of a hobby or interest or just looking to for a way to venture out on your own. Search for it on Amazon.com and read the reviews. The first chapter was weak, but after that it got much better. I learned about this book while I was taking an SBA (Small Business Administration)class, which is another great resource.
For me, woodworking is my escape from my information technology day job and as long as I don't lose my... (I won't say it) in the process, I'll be happily enjoying woodworking long after retirement...some day ;)
I'd heard about a machinist one time who wound up buying the business he worked at and quickly realized that he was no business man. So he hired a manager to run it for him so that he could keep doing what he loved best, being a machinist. I had started my own shop one time, took on a "partner" who traded my labor for a 2-ton flatbed, 2 golfcarts and a pile of junk that we could "rebuild". Unfortunately, I was 2-3 months behind on rent, and utilities at the time and this job would have almost gotten me caught up. Two months later I found out a lady I had built a sewing center for was bragging about it to all her friends at the riding club (the "HORSEY SET"). Aah well, mind your business closer than anybody else, and learn enough to spot problems if you hire someone else. If you have the money to buy that fancy new table saw, leave it in the bank if the one you're using now is still adequate to your needs. And if someone wants that old kitchen chair re-glued, charge what you would to make a new one. Either they'll leave you alone or pay enough that it won't be quite so aggravating! There's a book that's called "How to price your work" (I think) that I'd bought some time ago that I wish I'd had when I started my shop so long ago...I might still have it! God bless///Larry
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
I live in the San Francisco area, where people tend to know the money is in the picks and the shovels, not in the Gold itself. They did it once in 1849 ( ask Sutter) and again in 1996( ask Cisco). More recently I was shopping for a shoulder plane and except for the $200 Lie Nielsen Bronze plane could not really find my exact specification. I found a couple of guys making planes out of their basement shop and they sell them at $3,000 a piece! Guess what: their portfolio is so full they could not touch my order for 6 months assuming I even wanted to blow that kind of money on a handplane.
Meanwhile, most of the woodworkers I know cannot make ends meet. Picks and Shovels....
In order to make a business work, you must love what you do. I have made a living as a full-time woodworker in the past. I wound up as a full-time salesman, a part-time book keeper, and a full-time laborer in my shop. I was working 70 plus hours a week doing commission work.
Find a quiet , relaxing place where you can think and dream without being interrupted. Close your eyes and live out a day running your new business.
If that daydream is woodworking all day long, you need to think long and hard before starting a business. You must pay others to do the things you don't want to do, or you will hate your business. I got out of mine because I hated it.
You must generate sales or you don't have a business. What is your sales plan. If you don't like sales, how will you sell? You must collect money, balance the checkbook, and do the taxes. Don't forget sales taxes too. Do you like doing this in addition to a full-time job?
Want to do commission work? You will have a new boss on every job. A boss who is opinionated, picky, monopolizes your time, and wants a bargain price on time. This is the quickest way to become a shop monkey in a building with your name on it. If you imagine hours of blissful woodworking, don't get into commission work.
Never start a business when you need to make money from it right away. You will wind up taking any work you can get, and you will wind up running a business you never dreamed of. That's what happened to me. I wound up in the high-end counter top business when I started a woodworking business. Woodworking became cabinets. Cabinets became solid surface counter tops. Then granite and marble counter tops.
I enjoyed it somewhat. What made me get out of it was managing employees. Every time I tried to transition to just sales and front office, someone in the shop would screw something up. Nothing will take the wind out of your sales quicker than dealing with idiot employees.
You must ignore outside noise and stick to your plan in order to wind up with a business you will enjoy running. You must be able to survive without making money from it or you will wind up like most, a failure statistic. You must turn down work that doesn't fit your plan.
Don't forget about the tax man. He comes from the Feds, state, county, and cities. Don't forget about the sales tax man and property tax man too. I once got a bill from the city for property tax on everything my business owned down to the last screwdriver. Everything was taxed at the original retail value, no depreciation allowed. It was that tax bill that put me over the edge and made me sell my shop.
You must get creative in order to be a full-time woodworker without wearing several other hats.
30+ years ago I started a small business for the purpose of developing software. I had a customer that wanted my services, but did not want to mess with having an actual employee. I was very young (17) and had no real purpose other that to make some money doing things I loved to do. That very same year I started a second business doing carpentry and a LOT of finish work including building cabinets, building trim (I didn't know router tables or shapers existed, so I built my own), and artistic drywall finishes like bull-nose edge finishes... I'm not sure I ever saw one before the first one I built... but drywall - UGH! Over the next two years I had so much work from both that I had to make a choice. I was going to college, and I could not keep up with the work in both (think about how cheap a college kid is). I ended up going with the software development work as the income was about the same and involved much less physical work (and did NOT involve drywall!), and frankly I was getting a software engineering degree, and that seemed like a more natural choice.
Within a year after that I dissolved the software business because I ended up spending more and more time selling, promoting, meeting with clients, etc. That was not why I started a business, but it was a necessary part of being a one-man show. I knew I could not manage employees... which would have been necessary if I continued. Over the years I have never seriously considered going back to a self-employed business... simply because the business management side is so all-consuming. That said, over the years I have done a lot of one-off jobs in both software and more recently, finish carpentry and furniture making. I enjoy both immensely, and the work has always been fun... I only take outside jobs that I know I will like... someone earlier said that saying "No" is the best thing you can say. I think I have to agree with that.
I have a steady job as an employee writing software to this day (I made the correct choice when I was still a young punk), and I will only do outside jobs that I think will be fun, in either category. I don't absolutely require the money, although it is welcome with my 4 kids, but I do need the change of scenery that these jobs offer. As I get older, I am spending more and more time in the shop with the furniture. I like building cabinets a lot, but a full installation takes so long and time frame is generally SO important to folks who are waiting on them, that I prefer single-piece work. Give me time to do it right.
The whole point of this response (3+ months after this thread started, but the first night I saw it) is to make the point that you need to do something you love. If you are willing to do something without getting paid for it, you are going to be REALLY happy to get paid for it. I did NOT AT ALL enjoy the business aspects of growing a company. I did enjoy writing software and woodworking. I made the decision to develop software for my living so I am much better at that... and for 30 years I have been getting a regular paycheck from it. As some of the earlier posts have mentioned, working in the field of your choice at a paying job gives you opportunities outside of that job. Frankly, if you are not willing to work 12+ hours a day doing something, you probably should not try to make a business of it... the business is going to consume that much time... and a lot of that time is going to be spent running the business. As I prepare to retire in my early 50s, I am looking forward to having two businesses. One will be writing software, and one will be building furniture. I will only do the jobs that I think will be fun, the rest I will turn down. I can do this because of the paying job I'm retiring from.
If all of that did not dissuade you, well then, maybe you SHOULD start your own business :)
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