Teach Soap

Hi! I would like to hear from the more experienced soapers on here regarding making soap for an income. I would like to know what range of income others have made from the very smallest operation to perhaps larger batch soapers. I know some of you stick mainly to farmers markets, craft shows etc.. and I would like you feedback too. I want to start selling but I'm on the fence about how deep into it I want to go. From farmers markets compared to larger investments (renting space, retail or otherwise). Part of me just wants to keep it fun and not be a "real" corporate type of company but just selling at events and perhaps even off of etsy to maintain the fun, but of course I would like to make a little bit of money. I would so appreciate your responses and sorry if this topic has already come up in the past.

I rather doubt that people are going to chime in and tell you how much money they make.
But I will tell you this: No one starts at the top - with a high end retail store or a busy profitable wholesale business. Unless you have huge financial resources behind you, then making a living, truly making a living without any other income or support, is a very slow build.

I have heard lots of soapers brag about how successful they are, but they have a hubby behind them that pays the mortgage, and bills, or they themselves have a "day job", or a pension, so they can "play business" with their soaping. They never mention that part.

Yes, you can make some money selling soap, but don't quit your day job, or let your husband quit his, just yet.

You said you aren't sure" how deep you want go", but you can have a lot of fun, and make a profit, even at the first rung on the ladder. Start with a local farmer's market or book a few craft fairs. Control your costs, make a good product, build a simple but eye catching display, and you'll probably make money. Get really successful at that level before you move on.

Retail? Renting space? It is very hard to pay a commercial lease in a decent spot, plus overhead and employee costs, and still have time to turn out a quality handmade product. Soap, even great soap, is a relatively small ticket item - you gotta sell a lot of $5-$8 bars of soap to pay that rent

Thanks Anakiya, I do appreciate your honest reply. It's weird, I live in Portland OR, don't know for sure, but it seems like the capitol of soap making companies. I'm having fun, that's the bottom line. I'm a teacher, I've many years before I retire. In the mean time I'll make soap. There are so many companies here, maybe they are 'small" but small meaning they hire at least five or more to keep things running. Portland is an odd city. I have no unrealistic notions about profit but what you say is wise regarding controlling costs etc...I will be doing a market this May and I was invited into a high end retail store. I am confident of my product in accord to my values, organic ingredients being one. portland is very amenable to this sort of product.
Thank you!
Terry
ps my husband makes LESS than me, but works for Oregon Tilth, certifiers of organic farmers and products.

I can't answer your question from personal experience, but I've contemplated making money via creativity many times over the years. One thing I did find out about soapmaking is that because people are putting your product on their skin, its best to have liability insurance. That's one issue that is different than making jewelry or selling photographs, and an cost that other creative types may not have to work into the number crunching.

It may have changed but one of the most popular insurance companies for soapmakers, LRI I think (LIR?), will only cover soapmakers up to $5,000 worth of sales - if you sell more than that you have to look elsewhere for insurance. And I think that's gross sales - not even profit.

I think that's a pretty low amount; I'd love to know how many soapmakers that they are insuring outgrow that ceiling.

FWIW: I used to read the Etsy forums for a long time before they changed the format a little - it was an informative window into the life of selling crafts. Its not what its all cracked up to be - many, many people open shops and despair at how long it takes them to make a profit. Nearly every soapmaker I've chatted up laughs when I ask "do you make a living at this" - most say something like: "I'd settle for breaking even - I do this because I like it".

I've been asked to make soap for shops. But my number crunching has me not making much at all each and every time. Not worth the nickel and dime income for the effort. There is something to be said for keeping things light and fun - keeping my crafts away from the whole profit motive keeps them fun and a mentally positive activity. I get plenty of satisfaction giving soap as gifts to a small circle of friends.

I've been selling at my local farmers market as my main source of soap related income. This year will be my 5th season. The market is for 3 hours on Saturday mornings. My first season I made an average of $30/market, but that was okay because I was getting my soap out there. Last season I averaged $100/market, and I also do quite a few special order batches for my regular customers. I don't do any wholesale or consignment because I don't have the room to store a lot of product. After covering all my expenses (liability insurance, website, taxes, etc.) I had a profit of just under $1500 for the year. Am I going to get rich from making soap? Not likely, but I enjoy it and it's paying for itself.

The insurance company AprilPrey mentioned is RLI. They have good coverage but they do have an earnings cap of $5000/year.

_________________
Linda
I know the voices in my head aren't real, but they sure have some great ideas!