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Financial feasibility
I don't plan to start this project until I have plenty of spare money set aside.
Enough to buy all the supplies and resources outright.
Here's some financial planning. Scroll down to read it, or just continue to the next page!
If I had any chance of affording outright ownership of the land where I set up the exhibit, I'd want to plan for that as well.
But in my current situation, that seems too far beyond realistic planning.
So I am focusing on the idea of a moveable exhibit that rents whatever space it can.
I do, however, intend to buy all parts of this exhibit from my own pocket.
Then there will be no recurring rent or loan repayment costs for the materials, at least.
It may be a long time before the business pays off the one-time costs.
But, if the supplies are owned outright, there will be no danger of losing them due to this.
In addition, I plan to save enough money to pay all recurring costs of the business for a few months, so that it has time to become profitable without too much stress about affording it.
The following explores how I'm budgeting for this.
I am rounding everything up as much as possible, to be extra cautious.
One-time starting expenses
Canopy ($200)
Trailer ($1500)
Ample supply of PVC pipe and connectors ($500)
Budget another $500 for display supplies and decorations, like Starlight and the Clock
Budget $500 for purchasing some starting inventory from local artists, in addition to the inventory I've already made or can make with supplies I have
Carpet and fabric to make shelf coverings and furniture covers (Budget $300)
Materials to make the elevators, decorations, and walkways along the edges of the shelves (Budget $200)
Potted plants and planters (Budget $100 for this)
Furnishings-- chairs and tables ($200), and materials for carpet and covers ($200)
Printing costs for coffee-table books and for signs throughout the business ($500)
To make the apartment cubes:
I can make at least 8 of them myself. I have some of the materials already. (Budget $200)
Others will be commissioned from other artists. Offer $500 per cube. (Budget $5000)
Add it all up:
Commissioned cubes--------$5000
Trailer-------------------$1500
PVC pipe:-----------------$500
Printing costs:-----------$500
Display supplies:---------$500
Starting inventory:-------$500
Fabric and carpet:--------$300
Canopy--------------------$200
Chairs and tables:--------$200
Carpet and covers:--------$200
Materials for walkways:---$200
Homemade cubes:-----------$200
Potted plants:------------$100
Total: $9900
Budget $10,000 to be safe. Then double it, for a safety net to to give me some time to become profitable, and to plan for unforeseen expenses like maintenance issues....
I plan to budget for a total of $20,000 to start this project.
Recurring costs:
Square Point of Sale account for taking payments (budget $100/month)
Cost of materials to make my own new crafts (budget $200/month)
Cost of buying new crafts from other artists to sell (budget $500/month to start; adapt as I figure out what sells well)
If using a car:
cost of fuel whenever transporting it: budget $100 a month
cost of paying someone to drive it whenever needed: at least a fair payment of $20 an hour, for maybe a few hours every week (budget $300 a month)
Venues:
Cost of space to set up for events: Depends heavily on where I go, what events I participate in, and where I set it up.
A 10 x 10 space, like what most craft fairs offer, would be plenty. I may be able to attend craft fairs often enough to make a living from those.
Or I may get a chance to share a rented retail space with others.
(Budget $2000/month)
Insurance:
(Budget $500/month for property insurance and liability insurance)
Cost of paying any full-time employees I have
(Too much, especially with health insurance. I'll try running the place by myself for a while before hiring anyone. See if it's profitable enough to afford an employee.)
Taxes
From my last time paying taxes on small-business income, I learned there can be expenses even if I made barely any profit at all. Budget 1200/year (100/month) for unexpected taxes.
(Sales tax will be taken into account at the time of sale, and I will keep close track of it.)
(Income tax will be a portion of my profits, and I will keep close track of that as well.)
My living costs:
Cost of food, clothing, bike repair, healthcare and other necessities: $1000/month
Cost of rent while sharing house with housemates: $1000/month
Total Monthly Costs
at current scale
100-----(Square Point of Sale)
200-----(Craft materials)
500-----(Buying crafts)
100-----(Fuel)
300-----(Paying a driver)
2000----(Space to set up)
500-----(Insurance)
100-----(Taxes)
1000----(Living expenses)
1000----(Apartment rent)
= 5800
Round up to $6000.
I could stay afloat if this business made $6000 a month.
About $300 in sales a day, on at least 20 days a month.
Round up to $400/day, to be safe and account for income tax.
Equates to an average of ten customers in a day who each spend about $40.
Or 40 customers a day who each spend $10.
Or 2 customers a day who each spend $100 and then 20 more who each spend $10.
This is high, but may be feasible.
Especially if I'm able to stay open more than 20 days a month.
Or frequently attend festivals where I make more than $300 a day.
Or (ideally) get into a shared retail space where I pay less than $2000 a month.
My initial estimates are high, after all.
And I'd do other work on the side-- such as drawing commissions, writing books, and making a comic on Patreon.
These kinds of activities are fun for me. They are my passions in life, and make up most of what I do in my free time when I'm not at work.
If they were my main income... I'd be glad to work many more hours than a full-time job.