The sale of cosmetic productsEspecially when you think about setting up your home business it can be very profitable, but first of all you must solve certain questions that will lead to the success of your venture. Do you want to know these questions? then keep reading …
Options for the sale of cosmetic products
Of course, to get started in the sale of cosmetic products You need to acquire the products and in this sense you have several sales options, such as:
Make your own cosmetics:
Although producing your own cosmetics can be a time-consuming and expensive undertaking, you should bear in mind that consumers are becoming more and more interested in natural products, therefore it may be a good option that you can choose.
In fact, today awareness of well-being and health has increased in the world, with which there is a great demand for natural fragrances, lotions, soaps and natural skin care products and even for them that you can take advantage of a good gift packaging.
But if you do not have a lot of time and you do not have the capacity to produce your own products, you can opt for direct sales, however, although you will dedicate yourself to selling products produced by globally recognized brands, the profit will not be the same, since you will only receive a commission. for each product sold.
The choice of the product:
You will have to choose which skin care products you will sell or which you will make at home, because with both options you will need to learn as much as possible by experimenting with different recipes and personalizing them, for which you will learn about preservatives and ingredients.
You can focus on the sale or production of any type of soap, scrubs, bath salts, fragrances, hair products, aromatherapy blends, and other skin care products.
You can also think about creating a line of any of these products, considering first of all the type of product that you will start to produce before learning everything about it.
When starting a retail cosmetics business, you will need to contact a wholesale supplier by contacting the national association of wholesale distributors and consulting with representatives about cosmetic wholesalers.
Contact various cosmetic wholesalers and make sure those wholesalers sell the products you are interested in selling.
Learn about the types of skin care products:
You may be thinking where you can learn about the various skin care products, as there are countless books that you can read and review the included recipes.
However, since not all local bookstores do not have this information in their books, you can also get very good information on different websites.
Consider taking classes with an instructor, as it is an ideal way for you to gain practical experience and you will also be able to get answers to your most common questions and you will even contact other people with your same interests. For this you can contact the education department of your city.
Requirements: Even if your business is operated at home, you will need to comply with several legal requirements.
The structure of the businessWhile most home-based businesses start as sole proprietorship as the easiest way to get started, you can choose to establish the business as an LLC, a corporation, or a partnership. Get advice from a business professional, accountant, or lawyer on the advantages and disadvantages of each structure.
Permits and licenses for the sale of cosmetic products
Activity license: Depending on the city or county of your business, you may require an activity or business license, the annual fee can be very low as long as you do not receive customers at your door. To do this, you must contact the municipal secretary to ensure the authorization required to start the business.
Provider license: For your cosmetics business you must obtain a supplier license, which will result in the payment of sales taxes.
You can apply for the supplier’s license and the DBA (the fictitious name of your business) through the government office or the county administration.
Property insurance: Contact your homeowners insurance agent to find out if homeowners insurance covers your business, but since it usually does not cover it, you will need to purchase an exclusive insurance policy for your home business, as once you start By operating with your office, you run the risk of receiving a claim in the event of an accident within the area.
As you begin to purchase supplies, you can insure them against loss or any potential disaster that occurs.
Liability insurance: In addition to protecting your assets, it is recommended that you take into account the protection of liability in the event of a customer’s claim on damages caused by the use of one of your products.
Ask the insurance agent about the availability of liability insurance.
Business registration: The business registry includes profits, expenses, sales and inventory, but in addition to the fact that it is necessary that you keep a good record so that you know these data, it is also necessary so that you can report your taxes in the best way possible.
You need the accounting books of small businesses, for which an accountant can advise you on the appropriate method to keep the accounting of your business and will advise you to keep track of the inventory and the cost of the products you sold.
How to work marketing for your business selling cosmetic products
Marketing: One of the first decisions that you must make is the choice of the commercial name and the logo of your company at home.
Choose a name that is easy to remember, that is not too long, and that represents your products and business. If you choose a fictitious name instead of your own name you will need to obtain a DBA.
From a legal point of view it is important that you do not choose a name that is already in use by another company. In this sense, a business professional or a lawyer can advise you with information to make sure you choose a good name that is not being used.
In the same way and since you will need to create a website, you will check that the domain name is available and you will buy the domain name so that no other entrepreneur can use it.
Tools needed: To create your products you will need to equip yourself with simple utensils, for example for bath salts or for clay facial creams you will need spoons, measuring cups, mixing containers and spoons.
Products like hams, balsams, and lotions require other types of equipment and supplies. However, most of the equipment and tools you can get them in second-hand stores, since you will find tools at very low cost that have never been used and therefore will be perfect for your production of skin care products.
The computer: You will need a desktop or laptop computer to keep your business and marketing records.
The ingredients: Look for a supplier that offers you good prices and excellent quality of the ingredients you need.
Compare prices between various providers without neglecting quality, which may also have to do with price, and even make sure to grab the deals and discounts.
On the web you will find several ingredient suppliers and many of them offer you technical help and basic assistance
Promotion plan for the sale of cosmetic products
To start with your promotion plan and sale of cosmetic productsKeep in mind that your first customers will surely be your family and friends as well as colleagues, as it will be an important source of feedback about your products.
It’s even a good idea to ask for their opinions before you start selling your products, then encourage your friends and family to spread the word about your business opening by promoting your products.
Create a brochure or catalog detailing the products you sell and give copies to everyone you know.
When you create your website include the option that you can accept purchase orders.
Host exclusive skincare parties to show off your products and offer discounted incentives as a promotion.
You can also place your products for sale in gift or health stores and spas. You will leave them a sample of your products on consignment.
Packaging is also another method of promotion, as large corporations know that the external appearance and packaging of products play an important role in the success of the product.
On the one hand, good packaging protects the product throughout its useful life, since it is necessary that you clearly identify the content on the container, since you may have to comply with the labeling requirements.
So take the time you need to create an attractive packaging without copying the packaging of other similar products, because you can only be inspired by others to create your own product with a unique packaging.
You have already had a broad idea about everything you need to start your cosmetics business successfully, because although like any business it will not lead to instant wealth, it is worth considering all the legal aspects so that you can have a business legit at home.