Iggy's Inventory

[Iguanadon]

Three sizable events in a row coming up and I've been stockpiling all winter so that I won't feel crunched on a week to week basis from now thru December... Here's the inventory sheet as of 10 minutes ago... 560 duplicates on hand, then add to that the 140 that I display plus the 100 kids puzzles I also put out... 800 puzzles.  Holy crap.  LOL

[justdraftn]

....wow....that's almost like having a real job.  

[Iguanadon]

4 minutes ago, justdraftn said:

....wow....that's almost like having a real job.  

If only it could pay me enough at my current sales volume.  :-)  In order to make a living doing it, I'd have to sell over double what I do now and then it would feel like a job rather than the enjoyable hobby that it is now.

[new2woodwrk]

54 minutes ago, Iguanadon said:

If only it could pay me enough at my current sales volume.  :-)  In order to make a living doing it, I'd have to sell over double what I do now and then it would feel like a job rather than the enjoyable hobby that it is now.

1 hour ago, Iguanadon said:

Three sizable events in a row coming up and I've been stockpiling all winter so that I won't feel crunched on a week to week basis from now thru December... Here's the inventory sheet as of 10 minutes ago... 560 duplicates on hand, then add to that the 140 that I display plus the 100 kids puzzles I also put out... 800 puzzles.  Holy crap.  LOL

 

 

That's insane for a hobby LOL - but thanks for sharing all the information you do, it motivates many of us and gives us something to aspire towards1

Question though:

With all your sales and events do you operate in the black?

If that is too personal, my apologies.

[kmmcrafts]

Sure glad I don't have to build or worry much about inventory... I Wish anyway.. Insurance company wanted a dollar value of my inventory so we could figure out how much I needed to be insured for.. While my inventory is quite low most of the time as much of my stuff is made as it's ordered.. I still was shocked that that much $ value was stored in a just a handful of totes.. nor did I realize just how many Christmas ornaments could be stored in one of the plastic totes..  

I cut most of it as it's ordered.. Though that is a job in itself...simply because much of my orders come as a custom or personalized spin off of something I already stock...  but I do typically try to build up some inventory of the hotter selling stuff over the summer for the Holiday sales.. Some days I say I'd like to quit doing custom / personalized stuff and just build inventory... but at least 35% of business is custom / personalized.. I like getting request for things as many times those requested things become the next hot seller for me..  

Enjoy the shows, sell out at each one if you can, ..

 

[Iguanadon]

59 minutes ago, new2woodwrk said:

That's insane for a hobby LOL - but thanks for sharing all the information you do, it motivates many of us and gives us something to aspire towards1

Question though:

With all your sales and events do you operate in the black?

If that is too personal, my apologies.

I'm happy to share information and I hope others get inspired to try expanding their hobby into something more, whether it's woodworking or anything else.

Now that I have my LLC I'm tracking my costs, etc more closely this year, but yes, I operate very much in the black.  Some things to be sure to take into account if you do decide to start doing this to make money, think about ALL of your actual costs... The easy stuff is wood, blades, etc, but also keep close tabs on your booth rental fees cuz they add up quickly.  For example booth fees I've paid for so far in 2018 for several events coming up total $1,930 and I still have a few more that haven't asked for payment yet.

My estimated costs per puzzle off the top of my head are roughly:

Wood $1.75

Blades, mineral oil, shelf liner, shrink wrap bags $0.25

Booth fees $1.50

Misc (gas, food, new tent every couple of years, new saw every 2 years, etc) $1.00

Round that up and it's approximately $5.00 per puzzle to cover "everything" except my time.

I hope this information helps and feel free to ask any questions you have.

Iggy

 

Edited April 24, 2018 by Iguanadon

[kmmcrafts]

I can't operate in the black... wouldn't be able to see what i was doing 

 

I actually had to look that up.. I've always used the term Red or Green.. ( red being no money made and green being made money ) but you have to consider I am just an ol country boy who failed at school...

[Iguanadon]

7 minutes ago, kmmcrafts said:

I can't operate in the black... wouldn't be able to see what i was doing 

 

I actually had to look that up.. I've always used the term Red or Green.. ( red being no money made and green being made money ) but you have to consider I am just an ol country boy who failed at school...

LOL and to further blow your mind... some say that the term "Black Friday" for the big shopping day after Thanksgiving is named that because it refers to the single day of the year when retail companies finally go “into the black” (i.e. make a profit).

[kmmcrafts]

11 minutes ago, Iguanadon said:

LOL and to further blow your mind... some say that the term "Black Friday" for the big shopping day after Thanksgiving is named that because it refers to the single day of the year when retail companies finally go “into the black” (i.e. make a profit).

That is interesting.. I do know that is the day they say retailers finally show a profit.. guess I never correlated the meaning of the name.. black Friday in terms of meaning black as a profit.....sounds a lot better than green Friday LOL.. Last few years.. I was not in the black until around October.. this year is going pretty well though and so far I'm in the black or was that green  

[new2woodwrk]

"Being in the Black" is an accounting term that stems from manual book keeping/banking days of old.

During the days of manual book keeping/banking debits were always made with a Red pencil - hence the term being in the red - it' is the amounts a business pays out.

Income was always made in Black - so when you subtracted the Black from the Red, if the number was positive, you were in the Black, if it was negative, you were in the Red.

If you look at or use Excel or other spreadsheet, take a look at the number format - it is red and black

[Sycamore67]

To me, this is not a hobby but more a business.  We constantly hear about how many you have to make and how you have to keep up with things.  You make it sound like a mad dash to get them cut and ready to go.  

I enjoy this as a hobby and really have no interest in trying to sell things.  I enjoy making new things and trying new things.  Making the same thing or type of things over and over would be redundant and boring at least for me.  I also would have a difficult time dealing with some of the people that you describe selling to.  

When I want to make a little cash, I just go out and do some engineering consulting and can make a very nice income in just a couple of days.

But, to each their own.

[Iguanadon]

14 minutes ago, Sycamore67 said:

To me, this is not a hobby but more a business.  We constantly hear about how many you have to make and how you have to keep up with things.  You make it sound like a mad dash to get them cut and ready to go.  

I enjoy this as a hobby and really have no interest in trying to sell things.  I enjoy making new things and trying new things.  Making the same thing or type of things over and over would be redundant and boring at least for me.  I also would have a difficult time dealing with some of the people that you describe selling to.  

When I want to make a little cash, I just go out and do some engineering consulting and can make a very nice income in just a couple of days.

But, to each their own.

Hey Larry, it's very much a hobby for me.  I have a full time job and I've started up a new business (local advertising map).  The puzzles are my relaxation. I get to cut between 1 hour and 3 hours a day depending on everything I have going on.  I never feel that I MUST get out there and cut.  Sure, when I have a major event coming up I make sure I have everything I want to have on hand, but if I don't get as many cut as I'd like, oh well.  My event the Saturday after next for instance I'd love to have another 50 of certain items, but I won't be able to do it as I'll be replenishing next week what I sell this Saturday.

As you said, to each his own.  I love every minute I cut them and setup and sell them.  It's pure enjoyment... except when it might rain.  :-)

And if I end the year with $20,000-$25,000 extra in my pocket I'm even happier.  And so is Mrs. Iggy cuz we use it on fun stuff for the house.

[Woodmaster1]

That is a very sizable inventory. It would be nice to sell out on your three upcoming events. Then you might have to consider it a job with the puzzles needed to replenish your inventory. Good luck on your endeavor.

[rjweb]

Good luck with your start of the season, that is a lot more inventory, but with those excellent puzzles you need that many, are you still using your Dewalt, if so, what did you ever do with your Hawk, RJ 

[lawson56]

Iggy,Looks like you will have to fire up all your saw's and work double handed.Good this you have been busy this winter and built up a large inventory.

[Iguanadon]

7 hours ago, rjweb said:

Good luck with your start of the season, that is a lot more inventory, but with those excellent puzzles you need that many, are you still using your Dewalt, if so, what did you ever do with your Hawk, RJ 

Hey RJ, still using DeWalt's.  The Hawk is sitting in my shop looking at me with puppy dog eyes.  So far the plan for the year is working out... stockpile during the winter so that I can cruise through the year.  Based on last years sales and the events I'm signed up for this year I'll sell 1600 puzzles.  Half of them are already made.  LOL

[daveww1]

good luck with sales