Today, people are more conscious than ever before about the environment.
Concerned individuals around the world are starting to use…
• reusable straws,
• reusable coffee cups, and…
• other similar items…
…to an unprecedented degree.
It doesn’t take a genius to realize there’s a massive business opportunity here.
So, how do you establish a foothold in the reusable/recyclable industry?
What’s the best type of business to start?
What types of products could you profitably manufacture?
If you’re focused on making money in this industry, then you need to consider a tote bag business.
You’re probably already familiar with these items.
Instead of leveraging plastic or paper bags at the grocery store, people are starting to bring their own reusable tote bags instead.
It’s a small act, but it makes a major impact on the environment if millions of people start doing it across the world.
And that’s exactly what’s happening!
Tote bags aren’t just a great way to save the planet – they’re becoming trendy.
These bags are often made from biodegradable fibers and recyclable materials, making their impact on the environment even smaller.
Tote bags are also frequently used outside of grocery shopping.
Many people use them as their main carry bag throughout the day, especially in the female population.
If you’re using jute as a raw manufacturing material, you can use this plant-based fiber to manufacture a massive range of other bag types.
There’s often a demand for industrial-grade sacks for vegetables and other items that need to be packed in mass quantities.
Jute bags are also perfect for planting trees and plants.
Because this material is biodegradable, you can plant the bags straight into the ground.
Obviously, there’s a massive demand for these tote bags and related products…
But how hard is it to manufacture them?
Well, it’s a lot easier than you might think.
Like any manufacturing business, this idea requires a significant upfront investment.
You’ll need to:
• establish a business space,
• hire staff, and…
• purchase specialized machinery.
This machinery is only necessary with synthetic materials, and you won’t need it if you’re working with jute.
Obviously, the costs increase with large-scale businesses.
Plan out every little detail carefully, and your business will be much more likely to succeed.
All businesses involve some level of risk.
As a local lead generation business owner, I can personally attest to experiencing risk.
However, my risk was a lot less due to the nature of owning and ranking digital billboards that can be leveraged for predictable, monthly profits.
It’s the simple art of following the example of what major brands have already proven to work…
• Produce referrals from other methods.
• Send those prospective clients to someone who will provide the requested help.
• Collect a check on the referral who paid for services rendered.
• Rinse and repeat.
However, you won’t have to own any upfront merchandise, nor a need to fill an in-home closet with excess merchandise.
Instead, everything is connected to the internet, so all you need is your laptop and a little hustle.
Yes, this started out as my side hustle when I was committing 50 weeks out of every year to a corporate 9 to 5…
In my tiny, downtown apartment in the winters of Detroit, Michigan, where I’d commute through freezing temperatures in the winter time, on foot, in a cheap business suit…
Stumbling across this local lead generation coaching program was my saving grace!
They presented everything I needed to learn to work from home and earn enough in my first year to kiss the corporation that only paid me $35k per year. Goodbye.
I haven’t looked back since and now rake in a handsome multiple 6 figures while still working extremely part-time.
If you actively seek more time in your day, and passive income for working less, check out the tail end of this article for more details.
Despite the risk factors associated with the trending popularity of tote bags, you can establish a business plan with amazing potential.
Let’s figure out what you need to start this business, and how you can rake in tons of cash.
Unlike retail businesses, manufacturing businesses don’t require a high-traffic area for their location.
Since you’ll only be producing bags and not selling them directly to customers right out of your manufacturing plant…
Whether making bags to sell or selling handbags from home directly, you can still happen to wonder, “is the handbag business profitable?”
If you have even a shred of proof on how to start a tote bag business successful, you’re probably off to a great start.
With all that said, location is still an important consideration when starting this business.
You’ll need to transport your bags to buyers after you produce them, so your manufacturing plant can’t be too far away from civilization.
Rent or lease a relatively small business space and place the necessary equipment inside.
Don’t worry too much about expanding or loading up with tons of machinery – especially if you’re working with natural fibers such as jute.
Instead, focus on learning how this business works and understanding the most profitable methods.
Since tote bags are such trendy products, it makes sense to spend some time thinking about the branding strategy of your new business.
There are quite a few tote bag businesses out there right now, so you’ll need to find seek out a way to stand out from the crowd.
First, you’ll need to think about your target market.
This is the first step of any good branding strategy.
Who will buy your product?
What kinds of people might be interested in tote bags?
We’ve already pointed out that the women are prime customers for a tote bag business. Females seem to love tote bags and use them far more often than men.
Think about this when you develop a branding strategy. How can you make your tote bags more appealing to women?
Perhaps certain features are more appealing to women. Maybe women appreciate certain colors more than others.
But your target market isn’t that simple. Environmentally conscious people, in general, are more likely to buy tote bags, regardless of whether they’re male or female.
Target vegans, environmentalists, feminists, activists, and other sub-groups that are more likely to care about the planet.
A more important aspect of any branding strategy is coming up with an interesting name for your business.
Think about your target audience and consider names which might grab the attention of these groups.
Think about colors, handles, straps, pockets, and other interesting features that might appeal to your target market.
Maybe you’ll include one smaller pocket inside the bag for people to store things like phones and purses.
Remember, many people are using tote bags as their main daily bag these days. The extra functionality of an added pocket could make a real difference.
You might also consider going for a minimalist branding strategy. Your target audience might not want a massive logo printed on the side of their bag.
This is especially true with environmental activists and similar people. These groups are anti-corporation, and they appreciate the “no-name” aesthetic of unbranded products.
You might also want to associate your brand with environmentalism and protecting the planet. Maybe you’ll include some kind of charity work or activism in your overall branding strategy.
Perhaps you’ll donate a percentage of your profits towards an environmental activist group. While you’ll earn less with each sale, this simple act could attract tons of new customers across the globe.
Remember, you might be competing with other tote bag businesses which are already well-established.
You need to figure out why customers should start buying your tote bags instead of the alternatives.
All of these are important considerations.
It’s definitely worth brainstorming and establishing a clear branding strategy with your business, as this will result in much higher profits in the long run.
I’m sure that if you have a passion for these tote bags – through and through – there may be an opportunity for you to live your dream.
However, I didn’t want to leave one corporation just to enslave myself to another – even if it was my own.
I’d rather control my business than have it control me, my time, and everything else in my life.
I believe I had found that with the online lead generation movement in entrepreneurship.
Of course, it wasn’t that way in the first year of operation – but no business is perfect in the first one to five years.
However, the process is rather simple and something I could do – quickly – after work:
• Produce, from scratch, digital billboards that I could move up search results.
• Super glue my virtual real estate to the top of search results in specific marketplaces.
• Let the free web traffic flow through my lead gen sites and over to a business owner I’m exclusive with.
• Let them handle the calls while I take a sliver for the delivery of these buyers.
If businesses need more paying customers to make ends meet, then that’s my preferred choice in business.
After all, the small businesses have a marketing and sales/advertising budget set aside for an entire year…
They could split it up into months and retain my services to have an influx of callers.
This is exactly what I had learned in my early days as a student of this lead gen coaching program.
Beyond that, some additional automation strategies have allowed me to move even further from being “in” my business…
So I could control it – and take back control of my time instead of sacrificing it to a corporation for a lousy $35,000 per year.
Now, I own the business and see multiple 6 figures annually; I’d say it was a successful trade-off so far.
Licenses, Permits, and Insurance
Like almost any business, you’ll need the proper licenses and permits to get started.
These permits and licenses might differ based on your geographical location. In one nation, permits might vary across various states, cities, and municipalities.
In order to understand exactly what you need to run your business legally, you should consider contacting your local government office or town hall.
They’ll have all the information you need to stay on the right side of the law.
As part of your licensing process, your business might be subject to inspections and evaluations from the necessary officials.
They’ll be looking for things like safety concerns and other infractions, so make sure everything is up to code.
Without the necessary permits, your business could be shut down before you earn a single profit.
Trust us; it makes more sense to jump through these administrative hoops, pay the fees, and make your business legal.
Insurance is also basically mandatory. Without insurance, you leave yourself open to all kinds of potential disasters and financial losses.
Insurance might not be required, but most smart business owners obtain it.
All of these factors are necessary considerations when starting your new business.
How to Create Jute Bags
Now let’s explore the actual steps behind the production of tote bags.
In this article, we’re going to focus on jute as a raw material. While other synthetic materials are definitely an option, jute is biodegradable and more environmentally friendly.
Because of this, it’s a great choice for your target market.
It’s also a very easy material to work with, and it might be easier to source compared to synthetic materials.
Jute also has another massive benefit: You won’t need any heavy machinery.
Not only does this cut your initial costs down, but it also means that you won’t need a large space.
You also won’t need to worry about huge utility bills, as machinery consumes tons of power.
For most new entrepreneurs, working with natural fibers such as jute is an excellent way to enter this industry for the first time, and it could actually be one of the cheapest manufacturing businesses to start.
So no machinery is needed to create jute bags… But what’s the actual process behind creating these products?
First, you need to purchase rolls of jute.
These are easy to find either locally or online. It’s worth pointing out that jute is also known as hessian fabric in some countries. In Canada and the US, this fabric is known as “burlap.”
But whatever name it’s sold under, this fabric is made mostly from the jute plant. Sometimes manufacturers also use sisal fibers, and the fabric is often combined with vegetable fibers.
“Gunny” is a very similar fabric, and it might work just as well for manufacturing tote bags.
You might be tempted to manufacture your own jute fabric instead of purchasing it in rolls. While this would technically lead to higher profit margins, it also requires seriously extensive manufacturing capabilities.
Rest assured, you can still rake in tons of cash by simply buying rolls of jute and manufacturing it into bags. This is also a much more viable option for new entrepreneurs.
After you’ve purchased your jute rolls, the next step is to laminate the fabric. Although you can definitely skip this step altogether, lamination adds overall quality to the end product.
This is also a superior option if you live in a rainy area, as lamination helps protect the bag from getting waterlogged.
Remember, many of your customers will use these items as their main daily bag.
After you’ve laminated your jute fabric, you’ll need to cut it into squares and pieces to make your bags.
This step is relatively simple, as tote bags are not complicated to make. All you need is a few different sized squares and rectangles, and you’re good to go.
At this point, you need to print branding, logos, and designs onto your squares of jute fabric. This might require screen printing equipment, but there are plenty of small-scale options that do not involve extensive machinery.
You can even print with multiple colors using methods by hand.
Last but not least, you’ll need to stitch your jute bags together.
For this step, you’ll definitely need a sewing machine. While sewing machines are technical pieces of machinery, it’s hardly an expensive investment. This step should be relatively easy.
What Type of Equipment Will You Need?
You won’t need any extensive machinery to start this manufacturing business, but you will need some basic equipment.
This includes a lamination machine, a sewing machine, and a small-scale screen-printing machine.
You’ll also probably benefit from a professional grade fabric cutting machine.
Remember, you’re saving a lot of money here because you’re not buying heavy, expensive machinery.
Because of this, it makes sense to splurge a little on these basic necessities.
Purchase high-quality equipment, and your job will be much easier.
Your raw materials are also very easy to source, and they should be relatively cheap.
You’re basically looking at two raw materials: jute cloth and sewing thread.
How Much Money Can You Earn?
Profit margins are very high with this business.
Because your initial investment is so low, you’ll make a great return within just a few months.
This high level of profit will continue well into the future.
Tote bags are also very cheap to produce, and you can sell them for a 100% profit margin.
In other words, you’re selling for twice as much as it costs to make them.
If you add additional features and put in a little more effort into designing, printing, and decorating your tote bag, you can sell these products for even higher prices.
Even if you set up a relatively small manufacturing plant and hire employees to run this business for you, you’ll still earn a healthy profit margin.
Look, you can earn some serious cash when you start this business, even with the low initial investment and miniscule operating costs.
There’s never been a better opportunity to start your own tote bag manufacturing business.
These products are seriously trendy right now, and the demand is higher than ever.
Remember, it’s all about branding your business effectively and marketing to the right audience.
If you spend a little bit of time figuring out who you should be targeting, your tote bags will earn much more in the long run.
This business is one of the best ways to break into the manufacturing world, especially if you don’t carry lots of cash to invest up front.
Honestly, you could probably start this business in a spare room in your house. You could also run this business yourself, with no other employees.
Start small and expand as your business starts to get more customers and becomes more and more trendy.
Eventually, you might quickly start to earn way more cash than you ever dreamed of.
The profit margins are high, the initial investment is low, and the business is very easy to run.
What’s not to love?
Start your tote bag manufacturing business today and start making real cash in the manufacturing world with a seriously trendy product.
Manufacture Less and See a 6 Figure ROI Annually with Local Lead Generation in 2019
If you have a serious passion for the fashion industry and all the other benefits that come from participating in the wonderful world of totes…
There may be a place for you; however, you’ll have to earn it.
Fashionistas are on the rise in 2019, and the competition for buyer’s attention is fierce.
From eCommerce stores to brick and mortar shops, it’s rare that manufacturers might have buyers come straight to the factory to pick up a tote.
It’s best to try and make it extremely convenient for a buyer to make a purchase from you.
However, the costs associated with the overarching process can be insurmountable…
All for a menial profit margin that could be cut even further by…
• Sales tax.
• Cost of goods sold.
• Licensure and permits.
I hate to say it, but the list really could go on.
There’s hardly any of that with the digital billboards industry since it’s all online anyway.
Local Lead Generation allows you to move freely about your business while the passive income assets do the heavy lifting for you in this wonderful age of technology.
From scratch, you can have your first virtual real estate ranking and profitable in a matter of weeks.
However, most who get started under guidance and mentoring usually have a new skill set to learn and hone before they jump into the marketplace…
So, it could take more time (or less) for each individual person and what they already know.
Notwithstanding, there is no cost of goods sold tax because there are no physical assets exchanged for profit…
Instead, your commodity is the prospective customers that are generated from search results – which are the high-intent buyers that most business owners claim they want.
Now, you can provide the customers and small business owners a way to be connected more efficiently.
Case in point: one of my first lead gen sites, which was in Lansing, Michigan, catered specifically to the limousine and party bus rentals industry…
Positioned strategically, and not by chance, in under 7 hours, it was only a matter of weeks before this turned into a passive income of $750 per month.
This is how I was seeing $10k per month in my first year – I just put together more of these digital assets.
Of course, they were designed to certain specifications, which gave them a unique look such as this…
Producing real results – meaning more consumer inquiries through various mediums – I was able to secure a long-term agreement…
Which means I’ve been seeing $750 per month from this one property online for years.
And that’s just one property; if I had 10 of those, that’s $7,500 per month.
What could one honestly do with an extra $10k in a single month?
How might you spend your time if that amount were deposited whether you worked or not?
Learn more about how this can be yours with our Local Lead Generation Coaching Program today!
(Limited spots available; apply within…)