13 Profitable Handmade Business Ideas: Low Cost and Low Investment Businesses

When people ask, “What is a good craft business to start?” or “What handmade things sell best?” they often get a list of generic answers that don’t delve into the meat of the matter. This article wants to give you a big list of craft business ideas that can make money and are easy to start. If you are pondering, “Which craft makes the most money?” or looking for profitable handmade business ideas from home, this article covers you.

We also include options suitable for students, perfect for those wondering what craft business I can do at home. Let’s focus on handmade business ideas that require low investment but offer high profits. We will look at the process and profit margin figures to understand how viable these businesses can be. You’ll get your answers if you ever wondered, “Is handicraft business profitable?”.

13 Profitable Handmade Business Ideas

Handmade Jewelry: Best Profitable Business

Crafting unique jewelry is an art form, and people are willing to pay a premium for personalized, handmade pieces. You can use various materials, from beads to metals to gemstones. The process involves sourcing your materials, designing the pieces, and constructing them. Social media platforms are an excellent way to showcase your work and attract customers. The profit margins can be exceptional, often exceeding 50% to 70%, depending on your material costs and pricing strategy.

Profitable Handmade Business Ideas: Handmade Jewelry

Handmade Candles: Low Investment With High Profits

Candles have been essential to home decor and relaxation routines for years. Creating candles involves purchasing wax, wicks, scents, and dyes optionally. The process is simple: Melt the wax, add your colors and scents, and pour them into molds with the wick in place. Once cooled, your candles are ready to sell. The investment is relatively low, and profit margins range from 40% to 60%.

Handmade Natural Cosmetics: A Special Niche With High Profits

This could be a viable option if you’ve ever wondered what a craft business can do at home. Natural oils, plant-based pigments, waxes, and butter are often required. Making this craft needs precise measurement, mixing, and testing to guarantee it works well and is safe.

Handmade cosmetics range from lip balms, eyeliners, and blushes to full skincare lines featuring creams, lotions, and serums. Given the demand for all-natural, preservative-free beauty products, you can price your goods at a premium. With this approach, it’s possible to achieve profit margins between 60% and 80%. Moreover, this business model offers the flexibility to operate from home, making it a suitable choice for those looking for profitable handmade business ideas from home.

Handmade Soap: A Low-Cost Business

The demand for organic, handmade soaps is on the rise. Making soap at home is straightforward, requiring oils, lye, and optional additives like fragrances and natural colors. The saponification process turns these ingredients into soap. The cost of materials is low, and the profit margins can be incredibly high, often around 60% to 80%, especially for organic or specialized products.

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Handmade Soap

Handmade Clothing: A Special Niche With High Profits

Tailoring and designing clothing might require skill, but it’s a profitable handmade business idea that’s incredibly rewarding. Handmade clothing offers unique value, whether it’s unique T-shirts, customized dresses, or knitwear. With a sewing machine, fabrics, and some creativity, you can produce items that fetch a high market price. Profit margins for handmade clothing can range between 50% to 80%.

Handmade Home Decor: Highly Profitable Business

Interior decorating has become a craze, and handmade home decor items like wall hangings, vases, and furniture are highly sought after. The process involves sourcing materials and using woodworking, glassblowing, or pottery techniques. Sales platforms can range from online marketplaces to local craft fairs. Profit margins are typically high, sometimes exceeding 60% to 80%.

Handmade Bath and Body Products: A Low-Cost Business Idea

Crafting bath salts, lotions, and scrubs could be an ideal venture if you’re interested in skincare. The raw materials like essential oils, natural butter, and salts are relatively affordable. The manufacturing process includes mixing, measuring, and packaging. Selling this handmade product idea can earn you a lot of money, with profit margins between 50% to 70%.

Handmade Stationery: Low Investment With High Profits

People love unique stationery items like customized notebooks, planners, and greeting cards. Sourcing paper, ink, and other materials and employing printing or handmade techniques can create attractive products. Online platforms or local stationery stores can be perfect places to sell these items. Profit margins can vary but often hover around 40% to 60%. 

Handmade Leather Goods: Craftsmanship With Great Returns

Leather products like bags, belts, and wallets have an evergreen demand. They require raw leather, dyes, and basic leatherworking tools. Crafting involves cutting, dying, and stitching the leather into desired shapes. Profits can be lucrative, often between 50% and 70%.

Handmade Pottery: Artistic Profits

Pottery items like mugs, plates, and bowls are functional and artistic. You’ll need clay, a pottery wheel, and a kiln for this. The profit margin in pottery can be quite appealing, ranging from 40% to 70%.

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Handmade Pottery)

Handmade Children’s Toys: Low Investment With High Profits

In an era where plastic toys have been criticized for their environmental impact and potential health risks, handmade children’s toys have emerged as a preferable alternative. Crafted from wood, fabric, and organic dyes, these toys aren’t just environmentally friendly; they also provide children with a unique, tactile experience. This makes them very appealing to parents who are ready to pay extra for good quality and safety.

For those starting small and wanting to keep investments minimal, this is one of those profitable craft business ideas that can be operated right from the comfort of your home. Typically, the cost of raw materials is low, especially if purchased in bulk. With an effective marketing strategy, you can expect profit margins of 50% to 70%, making this a viable business venture.

Handmade Pet Accessories: Best Profitable Business

This sector has seen exponential growth as pet owners increasingly seek unique and quality items for their furry friends. The creation process is straightforward and involves sourcing materials like fabrics, metals for tags, and perhaps even small gemstones for more luxurious items.

You can craft everything from collars, leashes, and beds to clothing and feeding bowls. This is a domain where you can let your creativity shine, and it’s not just a venture for adults; it’s also one of those profitable handmade business ideas for students. Instagram and similar social media sites are great for marketing. They allow you to share your work with a wide audience for free. You can typically expect profit margins to hover around 60% to 75%, depending on the materials you choose and how you price your items.

Handmade Crafts for Children: Joy and Profits

Creating toys, educational materials, or children’s clothes can be fun and profitable. Materials can range from fabric to wood, depending on what you’re making. The profit margins can be as high as 60% to 80%.

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Handmade Crafts)


The potential for profit in the handmade business sector is significant, especially in niche areas like pet accessories, natural cosmetics, and children’s toys. These low-investment, high-return options offer a golden opportunity for anyone looking to turn their craftsmanship into a thriving business.


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