In most cases, you need a sales tax permit or general business license for a candle business. Ensure that you obtain the correct licenses and permits to run your business legally.
Insurance and Legal Requirements
You do need insurance to sell candles or wax melts online from home or at your shop. Research and apply for the licenses and permits required to operate legally.
Essential Supplies for a Candle Business
Before you can start selling your candles, you need to have the right supplies and equipment. This section will discuss the essential items you need to start a candle business.
- Wax
- Wicks
- Fragrance oils
- Containers
- Thermometer
- Scale
- Pouring pot
- Stirring utensils
- Labels
Start a Candle Business
A guide on how to make candles to sell and ensure your business is a success! Why Start Making Candles to Sell? The main reason is that candles have a high resale value. Although no federal law regulates candle sales, you may need FDA approval to sell through some companies.
You may need a tax resale certificate for your candle business to purchase candles without sales tax. You need a general business license to sell candles online. This license is required in most states.
This guide outlines everything you need to know to start a candle business. Candle businesses can be good eCommerce ideas. You should adhere to rules and regulations for selling candles online or at marketplaces. Having a business license before selling products is a requirement in some instances.
If you host products on sites like Etsy, you might have to price candles higher initially, with changes depending on sales volume. Most online payment processors charge small transaction fees too.
What is needed to start a candle business?
What is needed to start a candle business? A business license is needed in most states to sell candles online. Startup costs range from $1,000 to $1,700 for modest inventory. Research your target audience, branding, ingredients, and packaging to stand out. Candle making can be profitable with low startup costs and high margins from 30-75%.
First, plan your products. Making your own candles allows unique personalization, while sourcing premade inventory requires less time. Consider offering candle dropshipping too. Equipment like a double boiler, pots, and jars will cost around $1,000 to start small from home.
The candle market nears $5 billion by 2026, presenting no shortage of customers. Limited liability company status legally separates personal and business finances.
Selling candles from home can start small then grow as needed, saving money. Identify your unique value and required ingredients. Calculate potential earnings based on production levels and margins. For example, $10 sales price with $5 production costs yield a 50% profit.
Start sharing your passion while earning money. Protect assets by forming an LLC even as a sole proprietor. Small home businesses can sell online without needing extensive setups. Making and selling candles provide long-term cultural relevance, presenting lucrative opportunities.