Small-scale yarn wholesaler for local shops

Independent yarn shops, craft and gift stores, knitting and weaving studios, and small makers who sell finished goods.

You earn the margin between your bulk buying price and your wholesale price. Repeat orders from a handful of steady shops matter more than one-off sales.

• Selling and following up with shop owners
• Inventory tracking and organizing
• Knowledge of fibers and yarn weights
• Reliable shipping and invoicing

• Sales tax registration and resale certificate rules in your state, and how to document tax-exempt sales
• Check the FTC's textile labeling requirements if you sell under your own label or repackage yarn
• Money tied up in stock, so start with small orders and track what sells
• Home occupation permit, HOA or lease rules if you store stock at home
• General liability insurance and cover for stock against fire or water damage
• Customs duties and lead times if you import yarn

Estimates suggest startup costs typically around $3,000 to $15,000, depending on how much stock you buy and whether you import. Money gets tied up in stock, so start with small orders and track what sells.

Monthly revenue is typically estimated around $1,500 to $7,500, depending on how many shops you supply and your niche, such as natural fibers or sock yarn. These are revenue estimates before your costs.

Check sales tax registration and resale certificate rules in your state, FTC textile labeling requirements if you use your own label or repackage yarn, and home occupation, HOA or lease rules for storing stock. Also check insurance and customs duties if importing.