Starting a jewelry business is an exciting venture that combines creativity with entrepreneurship. Whether you want to sell at craft fairs, open an online store, or supply boutiques, this guide will walk you through every step of the process.
Canada offers a thriving market for jewelry retailers, with consumers spending over $4 billion annually on jewelry. With the right approach, you can carve out your niche in this growing industry.
1. Choosing Your Business Structure
The first decision you'll make is how to structure your business. In Canada, you have several options:
- Sole Proprietorship: The simplest structure. You and the business are legally the same. Easy to set up but offers no personal liability protection.
- Partnership: Similar to sole proprietorship but with multiple owners sharing profits and liabilities.
- Corporation: A separate legal entity that offers liability protection. More complex to set up and maintain but provides tax advantages for growing businesses.
💡 Pro Tip
Most jewelry businesses start as sole proprietorships and incorporate later as they grow. This approach minimizes initial costs while keeping options open.
2. Registering Your Business
Once you've chosen your structure, you'll need to register your business:
- Choose a Business Name: Make it memorable, relevant to jewelry, and check that it's available.
- Register Provincially: In Quebec, register with the Registraire des entreprises. In Ontario, use the Ontario Business Registry.
- Get a Business Number: Register with the CRA to get your business number for tax purposes.
- Open a Business Bank Account: Keep personal and business finances separate from day one.
3. Creating Your Business Plan
A solid business plan is your roadmap to success. It should include:
- Executive Summary: Your business concept in a nutshell
- Market Analysis: Who are your customers? Who are your competitors?
- Products: What jewelry will you sell? What makes it unique?
- Marketing Strategy: How will you reach customers?
- Financial Projections: Startup costs, pricing, revenue forecasts
4. Sourcing Your Products
You have several options for obtaining jewelry to sell:
- Wholesale Suppliers: Buy finished jewelry at wholesale prices and resell. This is the fastest way to get started.
- Handmade: Create your own designs for higher margins and uniqueness.
- Hybrid: Combine wholesale products with your own designs.
When choosing wholesale suppliers, look for:
- Quality products with good customer reviews
- Reasonable minimum order quantities
- Fast shipping (local suppliers are ideal)
- Good communication and support
🇨🇦 Local Advantage
Working with Canadian suppliers like MTL Jewelry means faster shipping, no import duties, and bilingual support.
5. Pricing Strategy
Pricing is crucial. Too low and you won't make money; too high and you won't make sales. A common approach:
Retail Price = Wholesale Cost × 2.0 to 2.5
This "keystone" markup covers your costs and provides profit. Factors to consider:
- Your overhead costs (booth fees, website, packaging)
- Competitor pricing
- Perceived value of your products
- Your target customer's budget
6. Choosing Sales Channels
Where will you sell? Consider multiple channels:
- Craft Fairs & Markets: Great for starting out, testing products, and building local following
- Online Store: Shopify, Squarespace, or WooCommerce for your own website
- Marketplaces: Etsy, Amazon Handmade, Faire
- Wholesale: Supply to boutiques and gift shops
- Consignment: Place products in retail stores on commission
7. Legal Requirements
Stay compliant with these requirements:
- GST/HST Registration: Required once you exceed $30,000 in annual revenue
- Business Insurance: Protects you from liability claims
- Product Safety: Ensure jewelry is lead and nickel compliant
- Labeling: Accurate material descriptions (especially for precious metals)
8. Marketing Your Business
Get the word out about your jewelry:
- Social Media: Instagram and Pinterest are essential for jewelry
- Email Marketing: Build a list and nurture relationships
- Local Networking: Join business associations and attend events
- SEO: Optimize your website to be found on Google
9. Making Your First Sale
You're ready! Here's how to land that first customer:
- Apply to a local craft fair or market
- Set up your booth with an eye-catching display
- Engage warmly with every visitor
- Collect customer emails for follow-up
- Celebrate your success! 🎉
Conclusion & Next Steps
Starting a jewelry business takes planning, but it's absolutely achievable. Start small, learn from each experience, and grow at your own pace.
Your next steps:
- Download our Business Plan Template
- Browse our Wholesale Catalog
- Check upcoming Craft Fairs & Events
- Use our Profit Calculator
Good luck on your jewelry business journey! 💎
