A few weeks ago a recent acquaintance asked me if my ‘making ‘ was a business or a hobby. I have been pondering this ever since. A couple of years ago the answer was straightforward- business. I had a plan, I made enough profit that I had to pay tax and there was regular money making activity going on.
Then I had a break for over a year. Little income, no regular activity and no plan. Until 3 months ago when something clicked and I started making again. At first it was just making for making’s sake but it has grown again and while I don’t yet have a fully laid out business plan I do have some vague mental ideas about where I am going! Some of it is instinctual from my earlier time in business and some of it is aspirational because I continue to daydream that my life will magically change to create space for me to have time to be successful. A lot of it is held back by my pessimism/reality checks that my plans are so often undone by family life and my resultant mental health. So I ask myself, like a mantra, ‘hobby or business , hobby or business?’
Where does the line cross from one to another? For me I think it comes with making decisions about ‘making’ in a profitable, repeatable way. My crazy crocheted tea cosies where I create a whole new pattern for each piece? Hobby. I don’t recover the cost of time spent in making each piece if I apply a business model. But do I love making them? Yes!!!! Reusable tea bags? Business. Now that testing has finished I have a repeatable process for making, marketing and selling them.
All the things in between? Some land on the side of hobby, some cross the line to business. What to do with all of that? At this stage my approach is that it is all business. The unique, one of a kind, time intensive creations are attention getters that have a marketing function. The repeatable patterns that can be made in batches cover the costs of making the one off pieces. It all works together to fund materials, marketing and growth.
I also think that for me, thinking of what I am doing as a business helps to add a piece of self esteem back into a life where I previously self-identified as successful through my career achievements – a business is something that is about me, something that other people admire, something I can succeed at. (Because let’s face it, any judgement on my success as a parent and carer won’t really be known until they are grown and leading happy healthy lives!!)
The next hurdle is a mental one. I have products that are ready to wholesale so I can, in theory, start marketing them to retailers to stock. Gulp. But I haven’t. It remains on my ‘to do’ list. Why? Because the last few years have been so much like a roller coaster ride I have an ingrained fear that I won’t be able to keep any commitments that I make. Which begs the next question – why am I worried about letting others down? Do they really have high expectations of me or am I just setting my own bar too high and then self sabotaging so that I don’t reach it? Hmmmm…. self-analysis via writing this post indicates that I am, as usual, my own worst enemy!!
To shift myself fully into that business mindset it is probably time to write the plan down, instead of having vague aspirational thoughts and wandering around making stuff. Time to be a grown up, do the analysis and make a clear decision on business vs hobby. Wish me luck!
(In the background I have been playing with fabric combinations to make fabric insulated tea cosies- getting back to my happy place combining colours and patterns!! I have also been perfecting the cactus teacosy pattern!)
If you also ponder the line between hobby and business I would love to hear your thoughts !