Helping handmade, creative and craft business owners learn to handle their bookkeeping, one step at a time!
Helping handmade, creative and craft business owners learn to handle their bookkeeping, one step at a time!
COGS doesn’t have to feel like a mystery novel. Here’s how to calculate cost of goods sold for one handmade item using a crochet amigurumi witch—materials, selling fees, and the bookkeeping flow. PLUS there’s a video showing how this is done using the 10-Minute Bookkeeper system including the Handmade Product Pricing & COGS Calculator. Part 7 of the Inventory + COGS for Handmade Businesses series.
Tracking Cost of Goods Sold (COGS) and inventory can feel confusing because bookkeeping, pricing, and taxes all use them differently. This post breaks down the 3 real reasons handmade sellers need to track COGS + inventory — with a full start-to-finish example so your numbers (and profit) finally make sense.
Yarn support and bookkeeping – is it really necessary? Yarn support is when a yarn company gives a designer free yarn to use in a knitting or crochet pattern design. Some people will argue that the yarn isn’t a gift to the designer, but rather a collaboration for both parties – with benefits. While I …
Calculating business use of home costs so that we can add that amount into the final cost of our finished items is important – but also very tricky. Many handmade business owners (including myself) sort of work all over the house. The IRS has some pretty specific rules for taking a business use of home …
