Etsy is the number one online market place for handmade products, with 5.3 million sellers (2022) worldwide with over 88.3 million buyers! It's the best-known global marketplace for unique and creative goods from unique handmade products to vintage treasures.
You can sell handmade online via your own store built with a platform like Shopify, on third-party marketplaces like Amazon and eBay, with niche sites like Etsy and Big Cartel, and on social media sites like Instagram and Facebook.
Where is the best place to sell handmade items in the UK?
Folksy is the largest handmade selling site in the UK and is known for having a great community of buyers, as well as sellers offering support and advice to each other. You can list your first three items for free, and each additional item costs £0.18 (plus a 6% commission and VAT).
What is the Law for Selling Handmade Items in the UK? To register as a sole trader, you must be self-employed and have your own business. You don't have to register the name you are going to trade under, but if you want to stop people from trading under your business name you'll have to register it as a trademark.
Selling Handmade On Etsy - Is It Even Worth It Now?
Do I need a license to sell crafts UK?
Not all areas of business require a licence. When it comes to crafting, there are very few areas in which a licence is essential. If you are working with and selling alcohol, food or have a business premise that isn't your home, you may need a licence.
As touched on above, you do not legally require public and product liability insurance to sell at a craft stall. However, it is a good idea. If, for example, a member of the public trips over your stall and becomes injured, this cover will protect you.
Etsy charges a listing fee and a transaction fee for every item you sell on the site. When looking at how much Etsy takes per sale, you'll find that you pay $0.20 for each item you list, and a 6.5% transaction fee for every sale. The listing lasts for four months or when the product is sold.
- sell a large number of brand new items, including items with tags (second-hand items which are in a “new” condition may be sold on Vinted provided that they are unique pieces); - sell items you made as hand-crafter and/or designer.
While Folksy offers less features than Etsy, it still provides enough functionality to build a basic store. Some standout features are: Unlimited product listings with Folksy Plus. Opportunity to feature listings on Folksy's social media, newsletters and blog Posts.
As previously mentioned, Etsy is the largest marketplace specifically created for selling handmade, vintage, and craft-related goods. As such, Etsy is oftentimes the go-to for buyers looking for handmade items, with over 96 million active buyers on the platform.
First, you will need to set up a Selling Account with Amazon. You can get started by visiting, How to start selling on Amazon. Once you have completed registration, you can apply to sell in Amazon Handmade, where we will request details about your products and business to ensure the integrity of the Handmade store.
How much does it cost to sell handmade items on Etsy?
It costs $0.20 to publish a listing to the marketplace. A listing lasts for four months or until the item is sold. Once an item sells, there is a 6.5% transaction fee on the sale price (including the shipping price you set).
Etsy is generally cheaper than Shopify since there are no monthly costs and most of the features for creating a store are free. But in the long term, when your business grows and you get more orders, managing an Etsy store might cost you the same amount of money that Shopify does monthly.
Shopify is the better choice for e-commerce businesses that sell manufactured goods, since Etsy's niche is handmade goods and handicrafts. Shopify is also a better fit for high-volume sellers, since its transaction fees are quite a bit cheaper than Etsy's.
Jewelry. If you check any popular handmade marketplace, you'll consistently find jewelry among the most popular handmade items. There are so many things that make custom jewelry appealing to both sellers and buyers. It's often inexpensive.
Jackets, suits, coats, pants, sweaters, and sportswear are sold the most. What is more, sellers have the most success when it comes to reselling elegant shoes like loafers since they are highly sought after.
Clothing or other items displaying international humanitarian aid names or logos. Nazi or fascist uniforms and accessories. Items that promote or display violence, discrimination, hatred and/or crime. Autographed items (or similar items) without a trusted certificate of authenticity.
There is no fee to have an Etsy shop (other than the product listing fees) but you can choose to pay a monthly subscription for Etsy Plus. This costs $10.00 per month (plus tax) and gives the following benefits: A monthly budget of credits for listings and Etsy Ads.
A listing lasts for four months or until the item is sold. Once an item sells, there is a 6.5% transaction fee on the sale price (including the delivery price you set). If you accept payments through Etsy Payments, we also collect a 4% + £0.20 payment processing fee when an item is sold.
Etsy collects a 6.5% transaction fee in your indicated listing currency for every sale you make. Once a customer purchases from your store, the transaction fee will automatically process for Etsy Payments users. Etsy's transaction fees are a percentage of the total cost of the product, shipping, and gift wrapping.
Simply take the number of hours it took you to make the product, multiply it by your hourly rate, and that's how much you should charge for the item! For example, let's say that you spend 2 hours making a pair of earrings. Using an hourly rate of $12.50, you would charge $25 for the earrings ((2 x 12.50) = 25).
Do I need to register my craft business with HMRC?
As a new business owner, you'll also need to deal with HMRC. It's important that you register as self-employed so you can pay your taxes. Then you'll need to keep up with tax deadlines for your business, filing your tax return and paying your bill on time (including corporation tax if you establish a limited company).
The second option is to sell your DIY products on an online marketplace. This platform type hosts multiple sellers and displays a wider variety of products. The main benefit of online marketplaces is an existing broad audience. It's also relatively easier to start as you don't have to deal with creating a new website.
