how to start a jewelry business

How To Start A Jewelry Business: What Is a Net 30 Account?

As you think about how to grow your jewelry business to greater heights, you will want
to consider looking at wholesale. Wholesale selling can make a ton of money very quickly
if you are able to mass produce your line. For some jewelers, that is too difficult, but
the opportunity for others will avail itself. Wholesale selling is altogether a different
animal than selling retail. One of the biggest reasons is the Net 30 account.

Net 30 is when you deliver your goods to the store and they get a 30 day credit window to
pay you for the goods. This gives them time to set up the merchandise, market the merchandise
in their advertising and make a few sales before they owe any money. Before you say "forget that"
know that Net 30 is an industry standard in the wholesale giftware business and almost every
wholesale manufacturer offers those terms to their buyers. If you don't, the buyers will look
elsewhere for their business.

Don't fret just yet. It's easy to offer terms if you plan ahead. A store's first order should
not be Net 30, they are usually used to paying on delivery often by C.O.D. But most other
future orders will require terms, so get used to knowing your buyers and building relationships
with will ease your mind if you do. The next thing is to print a credit application
to have the store buyer fill out and you keep on file. Make sure you have a legally binding
agreement that is checked out by an attorney. Also, plan ahead by making sure you have the
materials and packaging in stock and on hand so you won't go broke while you wait to be paid.
You'll still need to fill orders in the meantime.

Some of these things take a bit of getting used to. I was apprehensive to offer terms in my
business but realized I had to start playing like the big guys if I wanted to take myself and
my business seriously. Once I got used to how things are in the industry and learned how to
cover myself, I made a fortune without losing my shirt.

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