March 8, 2023


Candle Company

The production of candles is a wise investment. Statistics show that candles are used in about 80% of US households.

Candles have been used by people for over 5,000 years. Is it time for you to start a candle manufacturing business?

Why You Should Launch a Candle Company

One of the businesses you can launch at home, in a spare room or basement, is a candle-making operation. You may have manufactured one or two candles on your own and wondered if you might sell them for a profit.

Here are several justifications for being a candle maker:

The Candle Manufacturing Sector

Joining the National Candle Association is a requirement for small company candle enterprises if you’re serious about getting into candlemaking.

You’ll get access to a wealth of knowledge through the NCA, including advice from knowledgeable candle producers. We know that 80% of US families use candles since the NCA conducts the research on them.

35% of the total annual candle sales take place during the holiday season. Candles are most frequently presented as gifts and utilized for holiday décor at that time.

There are three main locations where candles can be purchased: specialized or gift shops, department or home goods stores, and mass merchandisers like Amazon and Etsy.

The industry’s main trend is a move away from independent ownership.

How Much Does it Cost to Start a Candle Making Business?

The average cost to start a candle business ranges from $9,500 to $78,000, with an average around $44,000. As a small business startup, candle making doesn’t take a huge hit on your personal finances.

The largest chunk of that is in rented or purchased space, such as a place to make the candles and a place to sell them. Rent for such spaces may range from $1,000 to $7,000 monthly, depending on real estate rates in your area.

Other costs include:

New business owners usually start small in the candle industry, and would fall on the low end estimate of costs.

How to Start a Candle Making Business

So, you want to sell candles. This step by step guide includes key elements of your business plan template.

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We may have favorite types and sizes of candles, but if you’re starting your own candle business, you must consider what your customers want.

Knowing where you can sell candles – your market – is the first step in the candle making process.

1. Decide on the Type of Candles You Want to Make and Sell

The biggest trend in candle purchases is the increasing popularity of outdoor candles, for yard and patio use. That’s a trend worth watching.

Do a lot of thinking about your target market and how you’ll create your niche as part of your marketing strategy and business plan.

Consumers report that their number one reason for choosing a particular candle is its scent. Scented candles dominate the market. In fact, it’s estimated that there are 10,000 different candle scents available.

After scent, consumers choose candles by shape and size.

Here are more types to light your interest:

2. Choose Your Business Name

Competition is fierce from the mass produced candle market.

Your homemade candle business needs to stand out from that market. Your business name should define what you’re producing when you’re making candles.

3. Design Your Candles

Tapers? Votives? Pillars? Tealights?

Container? Floating? Liturgical? Outdoor?

Birthday? Holiday?

Obviously, all those choices already exist in standard form. Your candle making business should be – right, outside the mold.

Here’s your chance to use your imagination and design skills. Also, research various computer software programs that help you design.

4. Decide Where You’ll Sell Your Candles

potential customers.

5. Write a Business Plan

Successful businesses have a strong business plan. Your plan should include your objectives and strategies to address your handmade business ideas.

Before you write your business plan, you should have your initial candle line fleshed out. Your product line is a key part of your business structure because it defines the equipment you’ll need when starting a candle business.

You’ll also need to outline your planned business finances. That should include the capital you’ll need to get started with your initial product line and the capital you’ll need as the business grows.

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6. Find a Manufacturing Space

If you’re lucky, the manufacturing space might be your basement. You’ll have to check local zoning laws to make sure you’re clear to run a home-based business. Since starting a candle making business has little or no impact on neighbors.

The candles include flammable materials – the wicks – so you’ll need to check zoning laws to make sure that is allowed.

7. Set Up Your Work Space Correctly

Instead of hiring employees for making the candles, consider hiring a professional marketer. As the marketer helps you build your business, then add the employees. Again, you may add “outside” employees such as delivery people and merchandizers as part-timers.

You’ll need an Employer Identification Number if you’re a sole proprietor.

12. Market Your Business

Social media sites provide a starting point for your own marketing activities, if you decide to conduct them. You’ll include a link to your website, where you’ve given a brief overview of the company and shared your “brand story” about how and why you got started.

If you attend regional craft fairs, be careful to get leads and turn them into new customers.

Focus on having lots of inventory and selling chances over the Christmas season since 35% of candle sales take place then.

13. Drive Candle Sales and Take Pleasure in Your Successful Business

In our step-by-step guide for your candle-making business, the following is one of the greatest advice for business owners:

Obtain the names and contact details of the school’s club advisors and sports team boosters in your neighborhood. Participate in their fundraising efforts by giving away your candles. For instance, perhaps you’ll provide school mugs with candles built in.

You’ll package each candle separately and add a business card. Mention that you participate in fundraising efforts on your website.

How can I successfully run my candle-making business?

understanding your target market You’ll find your niche in the mass market for candles.

When you expand into new markets, be prepared with a pitch.

To come up with a fantastic brand name that will help you establish your identity, brainstorm with your friends and relatives.

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Start with a limited range of products.

Choose your sales location wisely.

Is the candle manufacturing industry successful?

The additional supplies aren’t pricey once the fundamental ones, like melting pots and molds, are bought. In other words, candles have a healthy profit margin.

By restricting your product range, such as by picking a specific number of fragrances and mold kinds, you may keep costs consistent early on. Try to keep the cost of delivery and shipment low.

What kind of profits can you expect from a candle business?

According to studies, an entrepreneur should make at least $22,000 when starting a small product line. New candle businesses should expect to invest somewhere from $22,000 to $34,000.

These statistics apply to lone proprietors. It goes without saying that hiring staff and opening a brick and mortar store or manufacturing facility will increase your costs.

Is creating candles a profitable home business?

This home business is fantastic. Low startup costs and a small setup footprint are also advantages.

Do I require insurance in order to sell candles?

Utilize the National Candle Association’s fire safety warning label.

Your personal assets will be safeguarded if you decide to establish an LLC (which you can do even if you’re a sole proprietor).

Product liability insurance is required. You will be protected by product liability insurance from lawsuits involving goods that you create, distribute, or sell. Additionally, it can pay for any fees associated with defending you in court.

In what places may I sell my own candles?

Through well-known online markets like Etsy, Amazon, eBay, and Facebook Marketplace, you may sell handcrafted candles.

You can set your shop in a variety of establishments, including artisan shops, home décor boutiques, and even supermarkets.

Your own e-commerce website can be used to make sales.

You may hire a booth and sell there.


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