In recent years, the adult colouring book market has flourished. According to the Washington Post, an estimated 12 million colouring books were sold in 2015. In 2014, an estimated 1 million units were sold.
By producing and promoting colouring books, an adult colouring book firm helps adults find a creative outlet. These colouring books are often quite detailed.
Follow these ten steps to start an adult colouring book business:
Plan your Adult Coloring Book Business
Create a legal entity for your Adult Coloring Book Company.
Taxes must be registered for your Adult Coloring Book Company.
Create a Business Bank Account and a Credit Card
Create Accounting for Your Adult Coloring Book Business
Get the Permits and Licenses You Need for Your Adult Coloring Book Business
Obtain Adult Coloring Book Business Insurance
Create a brand for your Adult Coloring Book Company.
Create a website for your Adult Coloring Book Company.
Configure your Business Phone System
STEP 1: Make a business plan.
A well-thought-out strategy is vital for entrepreneur success. It will assist you in mapping out the intricacies of your organisation and uncovering some unknowns. Consider the following crucial topics:
What are the initial and continuing expenses?
Who is your intended audience?
How much money may you charge your customers?
Fortunately, we have done a lot of the legwork for you.
What are the expenses of starting an adult colouring book business?
An adult colouring book firm has incredibly minimal beginning expenses. There may be no extra cost for someone who already possesses a computer and software.
Business owners with money to spend may wish to get a copy of Adobe Illustrator, a strong vector graphics tool, and hire a third-party publisher to create pages. The manufacturer’s recommended retail price for Adobe Illustrator CS6 is $599. (Other products, such as Corel Draw x6, offer features and costs comparable to Adobe Illustrator.)
A publisher may charge $150 for an initial proof, followed by a few hundred to a few thousand dollars for the first print run. The price will be determined by the size and quality of the books, as well as the number purchased. There are a handful of less costly systems available to business owners who wish to establish a colouring book firm without making a large financial commitment. Both Inkscape and Scribus provide free vector drawing software. Self-publishing is not free, but it is less expensive than working with a third-party publisher. Furthermore, company owners may print on demand, making copies as needed.
What are the continuing costs of an adult colouring book business?
A colouring book company’s continuous expenditures include publication fees and delivery charges. Both of them are typically compensated by money produced via sales.
Who is the intended audience?
The ideal consumer for a colouring book firm is someone who is creative and either has spare time or wants to pass the time (for example, at a doctor’s office or airport). A colouring book gives a creative outlet, but colouring takes time.
How does a firm that sells adult colouring books earn money?
Adult colouring book businesses generate money by selling colouring books. Books may be sold to consumers directly (retail) or to retailers and distributors (wholesale).
How much money may you charge your customers?
Adult colouring books are often less than $20.
How much money can an adult colouring book business make?
With the recent rise in the adult colouring book market, there is plenty of room for expansion. Morrison has generated nearly $500,000 from book sales since 2012, including $329,000 in 2015.
How can you increase the profitability of your company?
To improve income, an adult colouring book firm may be able to launch a line of children’s colouring books. A children’s colouring book line would have a roughly similar business strategy as an adult one.
STEP 2: Establish a legal entity
Sole proprietorship, partnership, limited liability company (LLC), and corporation are the most frequent business structure forms.
If your adult colouring book firm is sued, becoming a legitimate business organisation, such as an LLC or corporation, prevents you from being held personally accountable.
STEP 3: File your taxes
Before you can begin for business, you must register for a number of state and federal taxes.
To register for taxes, you will need to get an EIN. It’s really simple and completely free!
Taxes on Small Businesses
Depending on the business form you choose, you may have multiple choices for how your company is taxed. Some LLCs, for example, may benefit from being taxed as a S company (S corp).
These guides will teach you more about small company taxes:
Taxes on LLCs
LLC vs. sole proprietorship
Corporation vs. LLC
S Corp vs. LLC
How to Form a S Corporation
S Corporation vs. C Corporation
STEP 4: Establish a company bank account and credit card
Personal asset protection requires the use of distinct business banking and credit accounts.
When you combine your personal and business accounts, your personal assets (your house, vehicle, and other possessions) are at danger if your company is sued. This is known as penetrating your company veil in business law.
Furthermore, understanding how to develop corporate credit may help you get credit cards and other financing in your company’s name (rather than your own), lower interest rates, larger lines of credit, and other benefits.
Establish a business bank account.
Opening a business bank account is not only required when asking for business financing, but it also:
Separates your personal assets from the assets of your firm, which is required for personal asset protection.
It simplifies bookkeeping and tax reporting.
Create a net 30 account.
Net 30 accounts are used to develop and grow company credit while also increasing cash flow. Businesses use a net 30 account to purchase items and refund the whole debt within a 30-day period.
Many net 30 credit suppliers submit information to the main business credit agencies (Dun & Bradstreet, Experian Business, and Equifax Business Credit). This is how firms establish business credit in order to get approved for credit cards and other lines of credit.
Apply for a business credit card.
Obtaining a business credit card benefits you in the following ways:
Put all of your company’s costs in one location to separate personal and business spending.
Build your company’s credit history, which will be important for raising funds in the future.
STEP 5: Establish business accounting
Recording your numerous costs and sources of revenue is crucial to assessing your company’s financial status. Keeping precise and thorough accounting also makes yearly tax filing much easier.
STEP 6: Obtain all required permissions and licences
Failure to get appropriate permissions and licences may result in significant penalties or possibly the closure of your firm.
Requirements for State and Local Business Licensing
To establish an adult colouring book company, some state permissions and licences may be required. Visit the SBA’s reference to state licences and permits to learn more about licencing requirements in your state.
Furthermore, local licencing or regulatory restrictions may apply. For additional information on local licences and permissions, please visit:
Check with the clerk’s office in your town, city, or county.
Contact one of the local organisations mentioned in the US Small Business Associations database of local business resources for help.
STEP 7: Obtain commercial insurance.
Insurance, like licences and permits, is required for your company to operate safely and legally. In the case of a covered loss, business insurance protects your company’s financial well-being.
There are several sorts of insurance plans designed for various types of companies with varying risks. If you are unaware about the hazards that your company may encounter, start with General Liability Insurance. This is the most popular coverage required by small companies, so it’s a good place to start for yours.
Workers’ Compensation Insurance is another important insurance product that many companies need. If your company will have workers, your state may require you to purchase Workers’ Compensation insurance.
STEP 8: Establish your brand
Your company’s brand is what it stands for, as well as how the public perceives it. A strong brand will help your company stand out from the crowd.
How to Market and Promote an Adult Coloring Book Company
An adult colouring book firm can reach a large number of people online. Marketing on social media and blogs may assist a business in reaching out to potential clients.
Many colouring book firms may also successfully advertise themselves locally by selling via small bookstores and other shops.
How to Keep Customers Returning
Finding a specialised specialisation might assist an adult colouring book firm in standing out from the crowd. For example, a corporation may concentrate on a certain pastime (e.g., sipping tea), location (e.g., New York City), or style of image (e.g. action shots).
STEP 9: Create your company’s website.
After you’ve defined your brand and designed your logo, the next step is to build a website for your company.
While developing a website is an important step, some may be concerned that it is out of their grasp due to a lack of website-building skills. While this was a fair concern in 2015, online technology has made significant advances in recent years, making the lives of small company owners considerably easier.
The following are the primary reasons why you should not put off developing your website:
Every genuine company has a website, period. When it comes to bringing your company online, it doesn’t matter what size or sector it is.
Social media accounts, such as Facebook pages or LinkedIn company profiles, are not a substitute for your own business website.
STEP 10: Install your company phone system.
Getting a phone for your company is one of the finest methods to keep your personal and professional lives distinct and private. That isn’t the only advantage; it also helps you automate your company, provides it legitimacy, and makes it simpler for prospective clients to identify and contact you.