Find out more about HAPPY Embroidery Machines     

Back to "All About Business"
 All About Starting Your Business
 On this page, we've offered some helpful hints on getting started in the embroidery business.

Last updated May 7, 2008
Put Together a Business Plan (even a simple one)
 This is a good first step.  This doesn’t have to be the big, excruciating formal document that you may have learned about in business classes.  But it’s a good idea to “map” out your ideas in some sort of outline or list, Whether with pen or keyboard.  Try to include these ideas in your planning:
  Identify Your Market.  Custom embroidery has universal appeal for all types of organizations & individuals.  However, many embroidery business find success by focusing their potential market (and product) better.  Make use of your personal interests, connections or familiarity with a specific group such as horses, sports, childrens' wear.  Your knowledge/interest will not only help you network and find new customers; interest in their product will help you produce a better-quality product, giving your business a "sharper" more competitive edge.  This will may also help you in closing sales.  Be able to identify the following:
   - Size of your potential market:  This might be difficult to measure, but try to determine if there are enough potential
    customers/orders to offset your operating costs.  It doesn't take much, and you don't need to make a fortune right away.
   - Identify Competition: "shop" around your local area, checking Google, the Yellow pages, the chamber of commerce and other
   resources for embroidery shops operating in the area where you intend to sell.  Get some general idea of their business size and
   pricing, which should in turn give you some idea of which businesses may or may not be competing with you. 
   - Potential Market Growth: Don't fret if you find that your intended niche may already be crowded by embroiderers!  Here are 3 positives that you allow your business to expand beyond your target market:
 
  - Serve customers almost anywhere in the country, especially with availability of express and ground courier services like FEDEX and UPS, which in many areas even allow you to ship directly out of your home to places where you're unable to run the delivery yourself.
  - The demand for embroidered goods is continuously growing, as well as new uses for this service. 
  - Persistence Pays Off.  Many customers you might like to take on may already use an existing embroiderer, but opportunities do arise.  Don't be afraid to check in from time to time and remind them of your services.  With quality embroidery equipment like a HAPPY machine, you can be confident in your potential to offer a first-class product.
   
   - Marketing Plan:  Once you've identified your unique market and the way you'd like to
 
  - Serve customers almost anywhere in the country, especially with availability of express and ground courier services like FEDEX and UPS, which in many areas even allow you to ship directly out of your home to places where you're unable to run the delivery yourself.
  - The demand for embroidered goods is continuously growing, as well as new uses for this service. 
  - Persistence Pays Off.  Many customers you might like to take on may already use an existing embroiderer, but opportunities do arise.  Don't be afraid to check in from time to time and remind them of your services.  With quality embroidery equipment like a HAPPY machine, you can be confident in your potential to offer a first-class product.
   
  Identify Your Product.   Taking the idea of identifying and narrowing  your market and customer base further, try and do the same with your product.  If it suits your business model, research on the types of embroidered designs/goods that are most popular with your target niche.
   - Identify the types of goods most popular in your market:  The equestrian (horse) industry may enjoy a lot of embroidered specialty goods and materials such as embroidered blankets, tack gear, or jackets.  Or sporting outfits may buy a lot of ballcaps.  A HAPPY machine can handle types of jobs like these, but be sure to learn from TEXMAC which special techniques or accessories work best to serve your target market.
   - Identify the types of designs are popular with your market :   Sports teams often want applique numbers and names, which is a special technique easily handled by HAPPY machines.  The souvenir shop for a local zoo may want stunning images of animals embroidered on sweatshirts and jackets, which you can hire a digitizer to create for you.  Or, alternately, you can buy from existing catalogs of professionally-created stock designs.
   
  Profitability Model.  Understand both sides of the COST vs. INCOME that are unique to an embroidery business:
     Operating Costs - Figure out your operating costs daily, monthly, and yearly, to keep a clearer vision of your sales
    targets and to keep you out of financial trouble.
     Income - Understand how these major factors will affect your business' income:
        - Market Pricing: don't be afraid to "shop" established embroiderers to see what sort of price levels are needed for outfits to
           stay profitable and in business.  You may be tempted to under-charge as you're starting out to win new business, but don't
           go so low that you price yourself right out of business.
        - Overall Order Volume: once you've figured out how much business you need to keep coming in to offset costs, also figure
           out how much incoming order volume you can handle.  As your experience and comfort grows, you'll be able to increase
           this.
        - Volume per order:  Larger quantities per order increase your profit while decreasing the per-piece price to your customer. 
           Don't turn away small orders to diversify the number of customers you have on your rollodex (plus, small orders can
           sometimes turn into  big orders later.)
  Operations.  Even if you plan to be a one-man / one-woman operation, it's a good idea to work out at least a few details of your actual operation, such as:
       Sales: 
          - Presentation:  You don't have to be a speech-writer or even a great speaker.  But getting the
          - Pitch:  This is the "meat" of your presentation.  Offer your potential customers
          - Visual Aids:  Samples make a powerful impact when making a presentation to a potential embroidery customer.  Having sewn examples of embroidered goods lets the customer see the "look" and "feel" of quality embroidery.  Also,
          - Incentive Plan
       The Order Process: 
          - Figure out a realistic turn-around time that you can promise, to build yourself some margin.  This may vary depending on the
          type of product you're offering.
          - Get all necessary information from your customer to produce the order: garment type(s), size of embroidered design, color,
           quantity.
          - Get educated on the strengths of embroidery as a product and its best applications.  Some custom embellishment is less than ideally suited for embroidery, while in other applications, embroidery really shines.  This can help steer your customer (and yourself) out of trouble while helping ensure that your customer will be pleased with your product.  TEXMAC training and consulting staff can offer you this sort of advice as you're learning.
          -
       Sewing / Digitizing:  Think about your production process and how to make it (1) efficient, (2) teachable and ensure that each step in production helps ensure a quality product.
 
  - Train, train, train!  TEXMAC offers full training on the embroidery machines and design creation software to help get you started, as well as on-going classes on more techniques as you continue to learn.  Buying a quality embroidery machine like a HAPPY is a necessary part of producing a quality product, but so is having quality, operational knowledge.  Experienced TEXMAC training staff will share with you actual production techniques to help you build confidence in your business.
  - Sewing:  plan your sewing operation/area with careful thought to allow for smooth flow between racks , as well as new uses for this service. 
  - Digitizing:  Decide IF, WHEN and/or HOW MUCH of custom design creation you'd like to take on, in-house.  The ability to provide full custom design creation in-house will give your business a powerful advantage.  Decide how much of this you want to take on based on the capability and time of you or your staff.  Full design creation takes some learning and experience, while even relatively-inexperienced embroiderers can often learn to take on simpler custom work like applying names and monograms, or combining them with stock designs.  Again, you can rely on experienced TEXMAC staff to teach you about (and how-to) digitizing.
  - Persistence Pays Off.  Many customers you might like to take on may already use an existing embroiderer, but opportunities do arise.  Don't be afraid to check in from time to time and remind them of your services.  With quality embroidery equipment like a HAPPY machine, you can be confident in your potential to offer a first-class product.
   
       Shipping/Receiving:  You may be able to make some deliveries yourself, but meet with your express courier to see what sort of commercial shipping rates are available as you begin to ship in any sort of volume.  Don't forget to include shipping rates in your cost of doing business with your customer, as this ultimately will affect your company's bottom line.
      
Location, Location, Location.
 Your location may determine the nature of your business as much as other large factors such as operating budget or target market/customers.  It's important to consider the following:
  Home vs. A Separate Location:  The good news here is that embroidery businesses can operate successfully in either type of environment.  You have the freedom to choose which works best for you.  Consider the advantages and trade-offs of either:
   - Home: Advantages include lower startup cost & complexity, personal convenience, easier to get started, lower
   operating budget.  Trade-offs: less visibility for walk-in sale, not all shipping services (i.e. some express carrier)
   available to/from a residence; bringing employees/customers into the home may be a pro or a con.
   - Separate Location:  Higher visibility (depending on location) to generate walk-in traffic.  Separate location better
   for more-focused work; may be easier to bring employees and/or customers than in a home.  Trade-offs: higher
   cost. Less access to home may be a pro or a con.
   
  Some Minimum Requirements.  Unlike other types of business equipment, embroidery machines do not require much in the way of special preparation, but make sure your location (or home) at least meets these requirements: 
   - Safe environment for machines: Embroidery machines require protection from weather and extremes of
   temperature or humidity.
   - Operating Space:  Think about more than the minimum space needed for your machine and clearance for the sewing arms.  Can you access the maintenance points?  If you intend to run production, do you have enough space to maintain an efficient workflow?
 - Electrical Power:  HAPPY single-head machines run on standard US 110 volt/ 60hz house current, while multi-heads require a 210 volt (dryer/stove) type connection.  Be sure to check the power requirement(s) of the HAPPY machine you're intending to purchase.  Also, take care to purchase a good surge protector / voltage regulator that will ensure smooth power and prevent dangerous electrical surges from hurting the electronics on your investment. 
Equipment Purchase.
 Let TEXMAC help you make a sound decision on your equipment purchase. 
Invest in Quality Equipment: You'll be surprised to hear that the cost of equipment is by far the smallest part of your operating costs.  (embroiderable goods. labor and other overhead can make up the majority of the operating costs for most businesses).  The difference in the size of the monthly payment for a lesser-quality machine and a higher-quality machine is very small compared to the confidence you'll have and the production performance you'll get from a quality product like HAPPY embroidery machines.
Equipment Financing: TEXMAC staff can give you advice on the various benefits of leasing, buying out-right with cash or obtaining a personal or business loan for your equipment. You'll be able to consult with experienced financial personnel who can provide sound advice to help you make sound decisions.
Services and Suppliers.
 Your location may determine the nature of your business as much as other large factors such as operating budget or target market/customers.  It's important to consider the following:
  Clothing and Other Embroiderables:  You'll be pleasantly surprised how many good, established suppliers are available that offer wholesale-priced garments to legitimate startup businesses.  Most often carry quality brands. 
   - Garments: Look for national suppliers like Bodek & Rhodes, Gildan, or Broder Brothers.  Find one with a warehouse near your location to minimize shipping time, but also try and find at least an alternate that also carries the same clothing line.  Often during peak times such as back-to-school and Christmas holidays, one may run out while the other has stock.
   - Other Embroiderables:  Embroidery applies itself to a very wide variety of goods.  Be sure to visit industry trade shows (see the SCHEDULE link at the top of this website to see our next trade show!) to find suppliers for unusual or specialty goods, as well as taking advantage of seminars to learn sewing and design techniques.
   
  Other Important Services.  Unlike other types of business equipment, embroidery machines do not require much in the way of special preparation, but make sure your location (or home) has the following: 
   - Merchant Services: Accounts with VISA/Mastercard, etc.  These types of services can expand the ways you can
   reach your customers, as well as take payment.  You can best determine from your operating budget or business model if these types of services work for you.
   - Internet Access:  Embroidery business benefits heavily from Internet access.  You can hire digitizers to create designs for you simply by e-mail, as well as send sample images to customers in different parts of the country.
 - Industry Contacts:  There's nothing more valuable to the up-and-coming embroiderer than access to what
   everyone else is doing.  Availing yourself to industry publications, trade shows, and seminars can broaden your
   knowledge, and help you network with other embroiderers, suppliers, and others who might help you in your
   business.
Growth/Long-Term Planning.
 While a lot of this is covered in your business plan, it's a good idea to keep an eye on the future once your operation is up and running.
  Operations in the Long-Term:  You can affect the future of your embroidery business by making the right decisions up front.
   - Invest in Quality Equipment: You'll be surprised to hear that the cost of equipment is by far the smallest part of your operating costs.  (embroiderable goods. labor and other overhead can make up the majority of the operating costs for most businesses).  The difference in the size of the monthly payment for a lesser-quality machine and a higher-quality machine is very small compared to the confidence you'll have and the production performance you'll get from a quality product like HAPPY embroidery machines.
- Go with a quality Supplier such as TEXMAC  TEXMAC is much more than an
  equipment re-seller.  TEXMAC's commitment to customer service includes consultation, training and support by experience staff that can give you real-world, practical knowledge that will help you operate your business successfully.  TEXMAC continues to help its customers long after they've bought their equipment. 
   
  Develop a Timeline.  Write down a few long-term goals to help build incentives to help you drive your business.  How soon do you want to pay off your equipment?  At what point do you intend to double your investment, purchase another machine and double your capacity (and increase profit)?  A few long-term goals can help you set shorter-term goals to help you keep your business operating at a pace that's compatible with your life goals.
   
Click here to find out more about HAPPY Embroidery Machines
The HAPPY Advantage
 Click on the links on the right to learn more about the advantages of having HAPPY on your side!

 TEXMAC provides complete solutions including consultation, training, support, parts, supplies & accessories
Learn More About HAPPY's Multi-Head Line
Click on the link to learn about the advantages of HAPPY multi-head machines, their legendary durability and production power.
Learn More About HAPPY HCD-1501
Click on the link to learn about the advantages of HAPPY's HCD-1501  single-head embroidery machine.  Run as a stand-alone machine or together in a network of HAPPY machines!

All About Starting Your Embroidery Business • Why HAPPY Embroidery Machines? • What Can You Do With Your Embroidery Machine? • What Do You Need To Start Your Embroidery Business?

HAPPY HOME

 ABOUT HAPPY EMBROIDERY CONTACT HAPPY   SITEMAP