Home-Based niche yarn and thread supplier

Independent yarn and craft shops, market traders, weavers, knitwear makers, craft groups and keen hobbyists who buy in volume.

You buy at a trade price and sell at a margin, with discounts for bigger orders. Repeat orders from shops and makers are the steady income. Postage is usually charged on top.

• Spotting what knitters and makers want
• Stock tracking and organisation
• Negotiating with suppliers
• Selling and building trade relationships

• Whether your landlord, mortgage lender or council allows stock storage and courier collections at home
• Fibre content labelling and product safety rules for items you sell on, check with Trading Standards
• Import duty, VAT and shipping costs if you buy from overseas suppliers
• Stock insurance, public liability cover and the risk of damp, moths or fire where you store yarn
• Late payment from trade customers, consider payment up front for new accounts
• Sole trader or limited company set-up, and VAT registration once turnover grows

Startup costs for a home-based yarn and thread supplier are typically around £1,500 to £7,500, depending on how much stock you buy in bulk, your website and your storage and insurance. Treat this as an estimate.

Monthly revenue is typically around £600 to £3,000, depending on your niche, how many shops and makers you supply and your order sizes. That is revenue, not profit, so factor in stock and shipping costs.

Check whether your landlord, lender or council allows stock storage and courier collections at home, and fibre content labelling and product safety rules with Trading Standards. Also check import duty and VAT on overseas buying, and your insurance.