If you’re wondering just how much you can make doing custom embroidery from home, we’ve got the perfect tool for you. In this episode of Apparel Academy, Henry will teach you how to use our Embroidery Profit Calculator so you can learn how to price your products and make a substantial profit in your embroidery business.
We’ve created an interactive calculator that will help you effectively price products and discover your monthly profit potential depending on some crucial variables. This video will guide you through the process of using this online tool and teach you all its advantages.
You’ll first need to download this resource from the link below by filling out your contact information on the profit calculator homepage. A link will be sent to your email which will grant you access to the calculator.
This profit calculator takes you through a five-step process, where you will be prompted to input information about your business or your business's expectations if you are just starting out.
Step 1: Overhead costs – First, you’ll input all your overhead costs, or all the costs associated with running a business, including the cost of your machinery, your monthly bills and any employee salary.
Step 2: Pricing – Next, you’ll choose the garment you’ll be embroidering on. The prices reflected in our calculator are market averages from popular wholesalers, but you can customize specific prices if you know the exact cost of your blanks. You’ll then input the average size of your designs and the average speed at which you run your machine to calculate the average time spent on each item.
Step 3: Material costs – Now it’s time to consider the costs of all the materials you use like thread, bobbin and stabilizer. You’ll then be shown a breakdown of how much your item costs to create. The next page of this resource generates an accurate sale price for your product by calculating your optimal profit margin. Here you’ll see exactly how much you’ll profit from each unit you sell.
Step 4: Operating costs – The profit calculator will then ask for your expected machine run time to determine how many garments you’ll create in a day. Taking into consideration how many days in a month you’ll work, the calculator will be ready to show you your projected monthly profits.
Step 5: Profit Reveal – Your results show not only your monthly net profit, but your annual profit as well. Additional breakdowns include how many garments you’d need to create in an hour or in a day in order to meet that monthly sum.
This resource is meant to help you set a goal and give you the breakdown of what exactly you’ll need to do to achieve it. You’ll learn how many products you need to create and sell, and exactly how to price them in order to reach your profit potential.
----------------------------------------------------------------------
Download the Embroidery Profit calculator here:
https://info.ricoma.com/profit-calculator
How to Price Your Embroidery Work (Embroidery Insider Ep. 1) https://www.youtube.com/watch?v=PuF5hAdYlNo
Facebook Embroidery & Custom Apparel Mastery Group: https://www.facebook.com/groups/embroiderymastery/
Join the Ricoma newsletter for educational blogs, videos, and live webinars: https://info.ricoma.com/newsletter
To learn more schedule a virtual demo today:
https://ricoma.com/US/virtual-demo
Get our latest Ricoma embroidery YouTube videos sent straight to your Facebook Messenger!:
https://manychat.com/l2/RiCOMA.us
To learn more about our embroidery machines, visit our website:
http://www.ricoma.com