In this compelling follow-up episode of Custom Apparel Startups, we're delighted to welcome back Howard Potter, of A&P Master Images, for another deep dive into the world of custom apparel. This time, Howard sheds light on the troubles encountered when starting a t-shirt business and shares invaluable advice for both new and established entrepreneurs in the industry.

Kicking off the episode, we tackle one of the most daunting questions for newcomers: "Which machine to buy?" We stress the importance of broad research and caution against getting tunnel-visioned on a single technology. The landscape of apparel printing is vast and choosing the right equipment is crucial for your business's specific needs and goals.

Growth is a central theme of our conversation. Howard underscores the necessity of forward-thinking, particularly in terms of spatial planning. Anticipating future expansion is vital; many businesses struggle because they run out of room or fail to utilize their current space efficiently. He offers practical tips on scanning your property and equipment regularly to identify items that can be repurposed or removed, thus making way for essential upgrades or additions.

Howard also introduces the concept of "temporary fixes" for immediate problems, but he warns against relying on these for too long. The discussion moves towards a critical analysis of production, time, and space utilization. He advises that operating at 95% capacity is a clear sign that expansion is overdue. Ideally, businesses should start thinking about improving their space or equipment when they hit the 70-75% threshold to avoid stagnation and ensure continuous growth.

Beyond the technical aspects of running a t-shirt business, Howard emphasizes the foundation of any successful venture: providing excellent service, treating people right, creating outstanding products, and committing to education and transparency. These principles, he argues, are non-negotiable for long-term success in the custom apparel industry.

This episode is a treasure trove of insights for anyone looking to navigate the challenges of starting or expanding a t-shirt business. Howard Potter's expertise and candid advice make it a must-listen for entrepreneurs eager to make their mark in the world of custom apparel.

Here is the list of tips for growing your business:

• Get the right equipment for YOUR business
• Consider the space you have to work and make sure you have room to grow
• If you are not using things or running out of room, be sure to scan your space and see how you can improve efficiency
• Consider your % output / % time / % space
  • If you are at 95% production / space ... you need to expand
  • Really you should be improving space / equipment at 70-75% rather than waiting
• Simple rules for growth
  • Provide great service
  • Treat people right
  • Create a great product
  • Educate your customer
  • Be transparent

In the latest episode of Custom Apparel Startups, we are excited to feature Howard Potter, from A&P Master Images, who brings his wealth of knowledge to the table on the topic of Direct to Film (DTF) Printing. Our discussion, " What You Should Know Before Buying a DTF Printer," covers the A to Z of preparing to make an informed purchase of a DTF printer for your business.

Howard emphasizes the paramount importance of conducting thorough research to identify a trustworthy company. It's crucial to partner with a company that not only sells you a printer but also supports you throughout your printing journey. Equally important is considering the space your operation has available, as DTF printers come in various sizes and have specific space requirements for optimal operation.

He advises potential buyers to request samples from providers. This step ensures that the print quality meets your business's standards and expectations before making a significant investment. Additionally, Howard stresses the importance of investing in quality supplies, including inks and films, to guarantee the best output and durability of your printed products.

A central part of our conversation revolves around the challenges businesses might face, particularly concerning time management and staffing. DTF printing, while lucrative, demands careful planning and allocation of resources. Howard shares insights from his experience, noting that even the largest units are not overly complicated in terms of power requirements, which can be a common concern.

Highlighting the potential of DTF printing, Howard reveals an impressive fact: it is possible to generate more than $500,000 in revenue with a single DTF printer in a year. This statistic not only underscores the efficiency and profitability of DTF printing but also serves as a powerful motivation for businesses considering entering the space.

This episode is packed with invaluable advice for anyone looking to venture into DTF printing or expand their existing operations. Howard Potter's expert insights provide a roadmap for navigating the complexities of purchasing a DTF printer, making this episode an essential listen for those in the custom apparel industry.

Here are the top considerations before purchasing a DTF Printer:

1. Find a company you can trust
2. Consider the space you have to work with
3. Get samples
4. Look for a company that provides quality supplies with their machines

Mike Angel shares his expertise in apparel decorating, focusing on the cutting-edge technique called direct to film printing, or DTF printing for short. This method has completely revolutionized the world of apparel decorating, offering numerous advantages over traditional methods. It is not only faster and easier, but also more cost-effective and versatile.

With a DTF printer, you have the flexibility to take on both small and large-scale projects. You can effortlessly create and print the same design on a wide range of fabrics, allowing for endless possibilities in customization. Unlike other technologies, DTF transfers require lower temperatures and shorter press times, making it ideal for more delicate fabrics as well as durable fabrics.

DTF prints boast exceptional color and detail, surpassing many other apparel decorating methods for apparel decorating with photo-realistic images, and the prints are highly durable, withstanding stretching and washing with ease.

In this episode of the CAS Podcast, we're thrilled to welcome Mike Angel from ColDesi, the brilliant mind behind ClickWear and the ColDesi OnDemand services. Mike takes us on a deep dive into the world of selling online, particularly through Shopify, and how ClickWear is transforming the custom apparel business by streamlining product creation and order management. We'll also explore the comprehensive solutions offered by ColDesi OnDemand, designed to support businesses in offering customized products without the hassle.

Shopify is a leading e-commerce platform that enables businesses of all sizes to set up their online stores and sell products. It's known for its ease of use, scalability, and comprehensive features that cover everything from inventory management to payment processing, making it an ideal solution for entrepreneurs looking to start or grow their online sales.

ClickWear is a Shopify app developed by ColDesi that revolutionizes the custom apparel industry. It allows store owners to easily create and sell custom-decorated products online by simplifying the design and order fulfillment process. ClickWear streamlines operations, enabling efficient management of product customization and orders directly from the Shopify interface.

https://coldesi.com/clickwear-a-shopify-app-for-the-custom-apparel-business/

ColDesi OnDemand offers a robust solution for businesses looking to offer custom apparel and products without the need for inventory. This service provides the technology and support for on-demand production, from printing to shipping, allowing businesses to focus on design and sales while ColDesi handles the fulfillment. It's a scalable solution that fits a range of business sizes and needs, from startups to established brands looking to expand their product offerings.

https://coldesi.com/ondemand/

Introduction

Small business owners in the customization industry are facing unprecedented challenges due to rising prices. This resource guide provides practical strategies to help your business thrive in a changing economic landscape.

Market Research and Competitive Analysis

• Research competitors and trends - Price shop around and see how you REALLY are in the market. Also ask about 'hidden' fees. Set up fees, art fees, delivery, etc.
  • Do you have a fee to set up my logo?
  • Do you deliver or do I pick up? Fees?
  • I am trying to budget this all out, what other costs should I expect to make sure I allocate the right money?
• Understand customer perception - ask other business owners you know if they have had price increases. How did they deal with them? How large were they?
• Define your pricing strategy
  • Do you want to be the price leader?

Keeping it Simple

• Avoid complex financial details.
  • Don’t break down the cost of your ink, paper, deliveries etc. This leaves room for holes in your pricing strategy. Just keep it simple - 'my costs are up, my retail is up'
• Offer added value.
• Confident price change communication.

Transparency Matters

• Be open about price increases.
• Consequences of non-transparency.
  • If you try to dance around the truth customers may see this as dishonesty
  • Insights from Harvard Business Review.
    • "Call the action a price increase, not a price adjustment, a price change, or another euphemism. While this may seem like a small thing, euphemistic messaging can cause serious harm, fraying the relationship with loyal customers." Many consumers are keenly aware of overall economic conditions, so when you tell your customers you’re raising prices, it just confirms their expectations, and most accept it.
• Use clear language.
• Postpone price increase for certain customers - let them know it’s coming, and why you are postponing for them.

Customer Satisfaction is #1

• Prioritize customer satisfaction first.
• Satisfied customers accept higher prices.
• Price-sensitive customers are likely to stay if satisfied. If they still won’t stay with higher prices, you have to decide if they are worth it.
  • e.g. a low maintenance customer may be worth keeping at a lower margin. However a customer that is constant trouble, no referrals, frequent returns, frequent complaints… might not be worth it.

Additional Pricing Strategies

• Target new customers - Go after more unique niches or higher end customers
• Offer contract discounts - Can you get customers to commit to months or a year of service. e.g. make updated uniforms for their business every season, or update signs on storefront for each holiday.
• Create bundles - price of shirts is up, but if you do shirts AND hats you get a discount.
• Selective price increases - only price increase certain items. Maybe your low-price leading items stay the same, but your upsells increase.

Handling Customer Objections

• Address objections with confidence
• Brainstorm with your team or other business owners
• Practice the conversations
• Understand most customers will understand why this is happening

Conclusion
You empower your business when you control your prices. If you are racing to the bottom or let fear control your pricing, you will eventually start suffering consequences. Increasing pricing doesn't mean you are greedy, you are doing your best to stay in business and reach your financial goals.

When it comes to growing your customization business we often talk about 'finding a niche.' What is a product / customer that you can focus on. This could be new moms, or local small businesses or tourists. However, you will find a point where growing that business becomes harder. This is why you will find a candle company that starts selling soaps, or why Bath and Body works sells 99 different ways to make your house smell good.

Diversifying your product lines is a great way to level up your business and make more money

1. You can sell to current customers
2. You can find a new customer base
3. You can become more stable (as one product line slows down, another might grow)

Types of business diversification

• Product diversification: you primarily sell clothing but you want to expand into other items that will create value for your customer like home goods and accessories
• Market diversification: you have a local business and start selling online or you open a new location across town
• Industry diversification: take you knowledge to a different industry or target a new niche
• Service diversification: you may only offer finished products, but may want to start doing training on how to make those products
• Merge or Acquire: a business that has a different product, service, market or industry

Why you would want to diversify:

• Want more revenue.
• Core business is in decline or getting saturated.
• Less economic risk
• Increase competitiveness – offer a wider range of products to attract new customers and reach new markets that competitors can't or don't

Examples:

• Amazon used to be an online bookseller, then moved on to sell video games and other multi-media and before long, they sold computer electronics, software, homeware, toys, and more
• Apple was on the verge of bankruptcy in the 90's and launched the iPod and iTunes software and a few years later the iPhone

Steps to Diversify:

• Do your research – have your customers suggested diversifying? Are they asking for more products or services? What can you do better than your competitors in your current or new markets? What type of diversification would suit your business?

• Assess your risks – while diversifying can help generate sales and increase your market share, you have to find a crucial balance between finding the time and resources to focus on the new venture without neglecting your core business. Diversifying with similar products in a familiar market may carry less risk than developing a brand new product for an unknown market, but both would create a safety net which will allow you to recover if one of your products or services fails.

• Audit your resources – what do you have and what do you need to invest in

• Plan – in many ways it is like starting a new business. You will need to understand your new market, your customers, competitors, and the new dynamics just as you would for any new business

• *What does your equipment do?**

• You have an embroidery machine.
  a) Do you sell hats?
  b) Patches?
  c) Uniforms?

• You have a DigitalHeat FX printer?
  a) Ever used hard surface paper?
  b) Printed on cardstock?

• *What adjacent equipment you can add?**

• If you have a a sublimation printer, adding a hat press is an easy upgrade

• If you do digitalheat fx, might be good to ad a sub printer or a cutter

• If you do embroidery, going to a cutter and press.

How do you choose the right t-shirt?

You are looking to start or grow your custom apparel business. There are a ton of challenges with choosing the right equipment, making sales, pricing your apparel and so much more. However, a topic not often discussed enough is the apparel you use.

Choosing the right blanks is a core part of your success. This is similar to a great chef. If you learn about great chefs, it's not just about the best pans and recipes, but also about the best ingredients. More so, it's about the best ingredients for their particular recipe.

The same thing applies to the custom apparel industry. You must pick the right apparel for your business. The idea of 'what is the best t-shirt' is a fallacy, just like the question of 'what's the best chocolate for a dessert'. It depends!

In this podcast we will discuss the idea of 'the best shirt' with an industry expert Mike Putnam. Mike has been in the apparel industry for over 30 years working in the apparel, sportswear and equipment industries.

Some of the questions we’ll answer in this episode include:

What is the best technology for your custom apparel business?

What type of T-shirts should you sell?

What problems should you expect?

How do you get past these problems?

Why is the idea of a ‘best’ shirt is a bit of a fallacy?

• Your process
• Your Technology
• Your customers’ needs (timeframe, color, quantity)
• The retail price you sell

What technology should you be printing with?

• Screen printing
• Direct to Film
• White Toner
• DTG
• Sublimation

Why do some shirts fail and others succeed in printing (even when they are the "same" material)?

How do you decide the best shirt for your business?

Starting A Side Business And Growing To Full Time

Everyone is looking for a way to make more money, achieve financial independence, and enjoy the work they do. One of the ways people accomplish this is by starting a side hustle, and potentially growing it to a full-time gig.

But how do you do this successfully?   If you are brand new, how do you get started? If you already have a side hustle, how do you take it full time?

In this episode we are joined by Amir Bavi, a ColDesi employee and customization business owner. Amir has taken the journey from side business to full time and back around. It’s all about YOUR personal journey and we are here to help.

Here are the steps to starting and growing your side business.

You have an idea, so what’s next?

• Put it in writing
• Consider WHO your customer is
• Consider WHAT you will sell them
• Determine HOW profitable your products are
• Pick WHERE you will do the work
• Schedule WHEN you will do the side hustle work
• Write down WHY You are doing this (and never forget it!)

Other topics covered in this episode:

• What are the steps to getting started?
• What should you watch out for?
• Once you get started, how can you make sure you don’t grow too fast or slow?
• How do you know when you are ready to go full time?
• How do you stay motivated?
• Did you ever have a time when you wanted to give up?
• #1 Tips for success

Many small business owners get into their business with an idea, rather than a full plan. You want to make t-shirts or print signs. You know it's profitable and you've already got some referral business. It's not that hard to make some money and get overwhelmed with business. What IS hard is growing your business to achieve your dreams and goals. 

One of the first steps to understanding how to create a great marketing plan (that will lead to success) is understanding the 4 Ps of marketing. In so many words, it's understanding your businesses goals, so you can make truly educated marketing decisions. 

So, what are the next steps for your marketing?

• Should you start a TikTok?
• Should you do local paid advertising?
• Would doing google ads be a good idea?
• Is renting a booth at a farmers market going to be profitable?
• Is hiring a marketing firm/person the right move?

Anyone who tells you they have the answer to these questions is wrong. None of these can be answered correctly without knowing your 4 Ps. So let’s get to them!

All Marketing revolves around the 4 Ps:

Product:

The number of products categories, product lines and variations your company sells.

For example:

• Product Categories: Workwear, Signage
• Product Lines:
  • Workwear
  • Men’s Workwear
  • Women’s Workwear
  • Signage
  • Printed Graphic Decorative
  • Indoor Signs
• Product Variations:
  • Workwear
  • Women’s Short Sleeve t-shirt
  • Women’s Long Sleeve t-shirt
  • Women’s Polo
  • Hats (One)
  • Signage
  • Room Names / Braille
  • Restrooms
  • Directories
  • Maps
  • Instructions (wash hands)
• How a product is presented or packaged and served
• How will your customer place their order?
  • ecom, call in, email, in-person.
• How will your customer get their product?
  • Personal delivery, by mail, customer pick up.
• Do you install or instruct?

Price:

• What is the fair market rate of each item sold?
• How do customers pay? Can they pay online? Deposits? Pay in full?

Promotion:

• What channels are you currently utilizing?
  • New business: Nothing because your business hasn't started.
  • Existing business: Google My business? Social Media? Word of Mouth? YouTube? Paid Advertising?
• What channels are you capable of utilizing?
  • Can build a website? Can you hire someone to build one?
  • Can you afford a paid advertising budget?
  • Are there live events you can attend?
  • Do you have a personality for social media/YouTube?

Place:

• Are your products sold online? In store? 3rd party?
• Do customers need to be local?
• Are your products only sold with your physical presence? (e.g., signs)
• Is there anywhere you won’t / can't sell?

BONUS

Once you have 4Ps then you need to look at your demographics

• What is the face of your customer or their profile / avatar?
  • e.g., local small business owners - Dentists, Drs, Pharmacy, Interior Designers, Real Estate, Golf Course

Now that you have the 4Ps and your Demographics. You can start answering questions: 

• Should you start a TikTok?
• Should you do local paid advertising?
• Would doing google ads be a good idea?
• Is renting a booth at a farmers market going to be profitable?

What is a social media strategy?

A social media strategy is an outline or plan of your social media goals, how you will achieve them, and how you’ll track metrics. 

Social is talked about all the time in business, but do you need it? If yes, then how will you use it? This episode is all about finding out what is right for your business. 

Why having a presence on social media is important for small businesses:

• Maintains and builds relationships with customers you already have
• Grows brand awareness and familiarity
• Builds trust with new and current customers
• Builds engaged communities
• Turns customers into advocates (gain mentions, comments, likes, tags, etc.)
• Gives your business a chance to respond to any negative feedback
• Another channel to promote products or services

How to set up a strategy

1. Determine a goal – make sure it’s measurable/realistic for your business (ex: increasing email sign ups, increase web traffic, generate sales/leads, etc). Understanding and researching your competition can help you.
2. Understand your audience – Know the basics about your target audience like age, location, income, interests, etc. Which can all be found using that platform’s analytics tool. This can help you build better strategies and goals based off that data. Also know things like what kind of content do your customers engage with? What accounts do your customers follow? What do they like/share?
3. Get to know your competition – Complete a competitive analysis to help you understand what your competitors are doing, what their strengths/weaknesses are. Or keep an eye on their pages, search relevant keywords and how your competitors rank, etc.

Start Implementing Your Strategy

• Determine which platforms you want to use and are relevant to you (Instagram for reels, TikToks for short videos, Facebook for customer service, etc)
• Set up your profiles (use consistent branding like logos and brand colors, fill out bio completely, use high-quality images, include keywords people may associate your business with, etc)
• Create a social media calendar to help organize content ideas, scheduled posts, and maintain consistency
• Have your first couple of posts planned out and ready to go live

Who are you selling to? What is your niche?

• Should social media be a place for you to sell, or just display your products?
• What would you be able to show off?
• What do you WANT to do on social media?

Learn about your potential audience / customers

• Does your audience make purchasing decisions from social media?
• Can you reasonably work with your customers or influencers to promote your product?
• Which platforms make sense for your business?

Research your competition or other similar businesses

• What are they doing?
• Do you want to do what they’re doing or something different?

Determine your strategy

• Do you want to sell online?
• Do you want to have customers find you on social?
• Are your pages for building trust?
• Are your pages just an online portfolio?

Define your brand

• What do you want to look like?
• What is the personality of your brand?
• Who is your audience?

Set up accounts / profiles

• Images
• Descriptions
• Initial Posts

Create a social media calendar

• When will you post?
• What will you post?
• Will you go live?

Collaborate with others

• Engage with people in comments
• Connect with customers on their social accounts
• Cross-promote when possible
• Follow and connect with potential influencers

Experiment with new ways to engage

• Contests
• Ask opinions (This or that? Which is your fav?)
• Boost posts (pay to get more views)
• Do you have customers that can promote your pages?
  • e.g. if you work with a school maybe do a # contest for free swag
  • e.g. if you work with another small business, cross-promote each other or share a contest. “Win X from me and Y from them.”

Track performance

• BE PATIENT
• Look for interesting wins
• Try to re-create what has worked before

Extra Social Media Tips/ Ideas

After your social media accounts are created, keep a few things in mind:

• Experiment with style of content: Post polls, stories, contests, cross collaborations (mention nails), boost posts, customer success stories.
• Don’t post too much or too little. One can seem annoying and overbearing while the other can seem lazy or like the brand doesn’t care.
• Get your team on social media, which helps with keeping track of any messages, mentions, or comments.
• Search popular hashtags/ keywords to use in written and video posts.

Using Social Media for business isn't just as simple as posting cool pictures and getting a million followers. People who have 'gone viral' as a rule didnt get there by accident. They spent a ton of time interacting with the platform, creating content, posting like crazy and working hard.

Make a smart business decision on how YOUR business will use social media and go for it!

Financing is an important part of starting and growing a business. However, there are a lot of misconceptions and confusion. Many people only have experience financing a house, car, or a new couch. Yet there is a whole world of financing business equipment and software.

This episode discusses financing for business and answers the most frequently asked questions.

Why do businesses finance equipment?

• Utilize banks money to start
• Keep current liquid money on hand
• Tax benefits
• Time value of money

Can a new business finance?

• Yes!
• You can use personal credit

What if you don't have perfect credit - should you finance? What if the rate is high?

• Start now, or don't start
• Risk and reward
• Do what you gotta do

Why not just use a credit card?

• Installment vs revolving credit
• Save your credit card for quick purchase / pay off like supplies or blanks
• Don't use personal revolving credit lines for business

Isn't interest bad?

• If you can make more money than the interest, you win
• Tax benefits
• Bank loans cost money, that's the way it works. They are in business too.
• Better to do something than nothing to win

What's the finance process like?

• Apply
• Review credit and terms with agent
• Accept, sign, deliver

What's financing vs leasing?

What if someone has a lot of other questions?

Isn't debt for suckers?

• Most businesses have debt
• You buy a house with a loan for the long-term benefits (equity)
• Is a car loan for a new and reliable car better than paying cash for a car that will break down?

Financing: assets vs liability

• A machine for business is different from a car
• This isn't just adding to your bills but giving you opportunity.
• Tax benefits
• You own something of real value vs taking on debt for a vacation or new tv

Overall, financing isn't complicated, but it feels scary. So is starting a business or buying a house. Those who take the risk are the ones who can be rewarded.

Learn more at https://coldesi.com/financing-options/