Setting Prices for Your Lip Balm Business: Planning for Success and Growth

Hey, I’m talking about things to consider when deciding on how much to sell your lip balm for. Remember in the first video where I had you ask yourself why you wanted to start a business? Well, it’s really important at this point because now you need to plan for what you have in mind. If you want to do this as a hobby and just want to cover your costs, you can charge what it costs you in materials, plus a little more to cover things like insurance, licenses, Etsy or craft fair fees. But if you want a business that pays you and others a wage, the money your business makes after you’ve covered the cost of making your product is what you’ll use to pay for all those other expenses from your shipping and customer service, staff, rent and utilities, advertising costs and anything else your business might need, and hopefully some profit, too. It can seem crazy to think of all of this when it’s just you doing all those things from home, but planning is what will make it possible for that to change as you grow.