By Melissa Coffey Diaper Decisions

There is something unique about being a work at home mom. It’s a career you sign up for knowing it will, for the most part, come second to your first priority…That of being Mom. However, when deciding to start a home business “on the side” how many people take into account the responsibility they are taking on? Do you expect your customers to constantly be put off while you deal with life? Is this okay? After all, you are a work at HOME mom. Shouldn’t people be more understanding? Yes and No.

I was recently involved in a transaction (non-diaper related) that went sour. I chose items from a list, sent off payment, then never heard from the seller. After about 3 weeks, I started emailing the person to no avail. Finally, figuring it was a loss, I posted on the complaint board and asked my bank to do an inquiry. Lo and behold, the person emailed me back. Her reasons for not emailing me and my not having my items were endless. She was on vacation, her emails kept bouncing and she lost my address. After I expressed my displeasure at the lack of communication, she then pulled out a story about a terminally ill son who needed to be at the hospital, but since I was “so impatient” she would mail my package on the way to the hospital. My mind flashed back to all my time in Cloth Diaper Land, realizing how many stories I have heard similar to this one.

Things happen. I understand that. But holding someone’s money hostage is bound to leave a person feeling very bad about the transaction, and very negatively about your business.

So when your child gets the flu and passes it all around the family, your cat gets run over, your brakes go out in the car and your shower explodes, what’s a WAHM to do? Should your customers just be put on hold for an indefinite period of time while you work things out?

In a relatively new business structure, that of the WAHM community, some things need to be put into place about the proper etiquette when dealing with life and business at the same time.

Some things to consider:

1. Learn to say “I’m sorry….” Acknowledging that you are causing someone worry or inconvenience goes a LONG way. Don’t ever turn the situation around that your customer is wrong for not being patient or being mean to you “when things are so bad.” Realize that as a business, you have a responsibility to deliver a product if you have been paid for it.


2. Offer choices! If you’ve recently received a ton of orders and then have some unexpected family crisis, give your customer the option of receiving a refund or accepting a later than usual ship date.


3. Don’t spend what isn’t yours. The biggest mistake you can make is treating money you have received for an item as though it’s yours, before you have delivered the product to your customer. Until the transaction is complete, you need to leave the payment where it is, to give yourself the ability to refund if necessary.


4. Keep communication open… every step of the way. WAHMs and their customers are generally great people! They are understanding! Be honest, be open, but make sure not to try to gain sympathy or use a myriad of excuses. That in itself raises red flags. Simply say “Things are really crazy right now, and I have completely run out of hours in the day.”


5. Close Up Shop! If you are completely railroaded with business and family responsibilities, learn when to stop taking orders! It’s very simple to close your store for a determined period of time to get caught up! It will greatly reduce your stress as you deal with what you’ve already got going on. Be sure to post a friendly message on your homepage explaining that you are only closed for a short period of time while you catch up and when you will be opening again!

Being a WAHM is a juggling act. But with some simple principles in place for your business, you can effectively run a business and deal with family issues seamlessly. Treat your business like a business, treat your customer as a valued friend and even when things get crazy, you will still come out on top!

By Sarah

www.Wallypop.net

Even if you’re not a full-fledged fabric-aholic like I am, if you’re a sewing WAHM, chances are you’ve got quite the fabric stash. And probably not a lot of storage space. What you need is easy, organized storage and a fast, easy way to keep track of what you have.

Storage
Is the space you use to store your fabric adequate? If so, then skip to the next section! If not, read on.

If the space you currently use is too small, consider using other areas of your home for excess fabric storage. Don’t limit yourself to locations that make logical sense right off the bat. With a well-developed fabric management system (which we’ll get to later), you do not need to be able to access your fabric on a daily basis. This frees you up to use non-logical spaces like the top shelf in your bedroom closet, a clean and protected attic space, or a shelving unit in the basement.

General home de-cluttering is outside the scope of this article, but chances are that most people have at least several square feet of space in their homes that could be reclaimed simply by getting rid of unused items. Taking unused or unneeded items to Goodwill not only frees up more space for your fabric, but it feels good, too. (And the tax deduction can’t hurt, either!)

A few words of caution that probably go without saying – make sure that the space you choose is relatively clean, rodent-free, dry, and out of reach of family pets or any other hazards. It would be a shame to have your stash ruined by a preventable accident!


Organization
Once you’ve found a space that is large enough, you need to make sure you’re getting the most out of it. One system that works well for some WAHMs is to store fabric in plastic crates or cardboard boxes (the types meant to hold files). Keep similar materials together, slap on a label, and toss it on the shelf. Not only does this make the storage area look neater, it also keeps the fabric cleaner.

Other WAHMs have found that buying shelving units has worked well. Each shelf gets a label, and then fabric is neatly folded and stacked on the shelves.

Fabrics purchased in particularly large quantities or that are especially “puffy” (like Fleece) can be easily stored in larger boxes or simply stacked neatly on a shelf.

Put some thought into how you group your fabrics together. Well-organized fabric means you can find what you want more easily and you are more likely to put something away where it goes.
The same thing goes for notions such as thread, elastic, zippers, etc. Consider purchasing a few dozen shoebox-sized plastic containers with lids. Group similar items together, label, and shelve. Well-organized notions mean that you spend less time searching and more time sewing! Management This is the real fun part. Fabric management. Sure, you think you remember buying some Hawaiian print cottons a few months ago, but what did that design look like? When did I get it? And how much do I have? A simple spreadsheet and a few minutes’ time will answer all those questions at the touch of a button. As you receive new fabric, take a minute to scan in a swatch or take a digital picture. Gather those digital images and your receipts and head to the computer. Open up a new spreadsheet. Each line in the spreadsheet will be for a different fabric. Insert the image of the fabric (and shrink it small enough to fit). Give the fabric a name. Then list any other qualities you may need to know about the fabric. For example:

Swatch	Fabric Type	Purchased	Approx. Yardage	Width	Uses	Location
image here	Cows Flannel	1/24/04 - JoAnn’s	6	45	Fitted diaper outer	Wire shelves
image here	Natural BKT	9/1/05 - NeatFabric Coop	3	60	Diaper inner	Office
image here	Purple Stretch Merino Wool	5/23/05	10	60	Covers	Wire shelves

Of course, each time you use a fabric, you need to update the spreadsheet accordingly to keep it current. But this spreadsheet allows you to check your fabric inventory from your desk without having to get up and physically look at your fabrics. To make this spreadsheet even more useful, you could record the price per yard that you paid for the fabric to help track your costs. You may, of course, use a table in a word processing program if you prefer, but using a spreadsheet program allows you to sort your table in different ways with just the touch of a button. Scraps. Sometimes we fabric hoarders have a hard time letting go of our scraps. Consider developing a rule: If it’s too small for any use I can think of, I’ll throw it away. Do you have a use in mind for a 3 inch square piece of Windpro? If so, get out a plastic container, label it with your idea, and toss the scrap – and any other appropriate scraps – in. If not, just throw it out. One thing about scraps in our business is that you know you will always have more!

By Cheryl Yakem
Stitch 'n Stuff


**Warning**
This article is representative of my personal experience and findings and is intended only to bring awareness of an internet scam. Please be sure to verify all credit card information with your merchant and use caution and discretion before accepting or declining any business.

We’ve all no doubt received e-mails from unknown parties promising shares of large sums of money or other similar plots that are quite easy to identify as scams. However, there’s a smarter breed of scammer making their way through legitimate businesses these days. How do they do it? They pose as real customers.

Every business from diapers to sundries to electronics and more can be a target. So long as you have a product that can be physically delivered, you have what they want. From what I have found from my inquiries, the targets seem to be small to medium sized businesses.

The basis of the scam is that they request a quote to place an order with your company. Usually it’s a good size order; probably a little more than what you’d normally expect, and certainly enough to get excited about. They say it’s for a charity, orphanage, hospital, or some other well deserving good cause, which makes you feel happy to know that your products will be put to good use for those in need. The quote is requested by a Doctor, CEO, or other high ranking person. Perhaps this makes you drop your guard, just a little, so you entertain their request for a quote and anxiously await their response. A day or two later, you get the e-mail you’ve been waiting for; your quote has been accepted. But there’s a catch; they want the products ASAP. Your mind races trying to figure out how you could possibly deliver these products in a short period of time, and since they gave you their credit card information, you know they’re serious about following through with their. They also ask that these products be shipped air freight as there’s a dire need for them, so off to work you go. You process their credit card payment when the product ships and it’s a done deal, right? Wrong.

What you didn’t know was that the credit card didn’t belong to them and they weren’t who they said they were. It turns out the credit card was stolen, or obtained by dubious means and the credit card company, once they realize this, tells you, the vendor, that they want that money back. But, by now your products have shipped, and you’re out of pocket for your inventory and the expensive air freight or priority shipping charges.

How can you protect yourself? There are a number of things that have been identified as “red flags” to watch out for. These include:

• Shipments destined for Nigeria. There are no doubt many legitimate businesses in Nigeria, but as of late many, many scams have originated there. Even the credit card companies are advising against shipping anything there, and using extreme caution if you choose to do so.
• A customer who wishes to have the payment for their order split over 2 credit cards
• A customer who wants everything, including shipping paid up front, in one transaction on the two credit cards
• A first time customer
• Larger than normal orders
• Providing credit card information over “secure” e-mail
• Ordering multiples of the same item
• A customer who asks for rush, overnight or air freight shipping
• Shipping to an international location (not just Nigeria)
• The customer may provide the CVV2 code (the 3 digit security code on the back of the credit card); this does not mean it’s a legitimate card and transaction.
• A customer who refuses to pay in installments (i.e. Put down a deposit, or be billed for shipping separately once the charges are confirmed, etc.)
• A customer who refuses to pay with Pay Pal



To protect yourself, always make sure you get all of the credit card information including the customer’s name, phone number, the credit card number with expiry date, CVV2 code and the customer’s address (as it appears on their account statement), so you can verify all of this with the credit card company prior to processing the transaction. If the information they gave you does not match the information on file with the bank, you are very possibly dealing with a scam. Visa also advises that you can request a “code 10” authorization from one of their representatives.

Taking a couple of small steps to verify the payment information you have been given will take a little bit of your time and may cost a long distance call, but it may be some of the best time you’ve ever spent.

By Jennifer Bonn
Celtic Cloths

It’s a wonderful feeling when your work at home sewing business starts to get busy. Finally the long hours, hard work, and smart marketing has paid off! But with success comes new concerns. Seemingly overnight, you are overwhelmed. Orders come in faster than you can fill them and you realize you need help.

There are a few different ways to approach this issue. The first is to simply limit the amount of orders you will accept. This business model works very well for many people, including some of the most popular brands on the market. It may seem contrary, but limiting the availability of your items can sometimes increase the demand for them. Raising your prices may also decrease the amount of orders you receive. This has the added benefit of increasing your profit at the same time that it decreases your workload.

Another option to consider is hiring help. Hiring help can be as simple as having a neighborhood teen watch your children so you can work uninterrupted. Although many moms feel this is counter to the reason they stay home, which is to spend more time with their children. You might consider hiring that same person to assist with portions of your business that don’t require technical skills. Things such as cutting fabric, addressing packages, and trimming threads are all easy projects for a teen.

If you decide to hire someone to help you with sewing, there are many more considerations. You will be required to comply with Department of Labor employment laws and IRS tax laws. It is your responsibility to withhold taxes and pay employer taxes for your employees. You can also hire contractors to perform this role, but it is important to understand the difference between an employee and a contractor. A good guide can be found here http://www.ftmn.com/Employee.html While it may seem simplest to have an informal contractor relationship with a friend or neighbor, it is extremely important that you protect yourself. Relationships can go bad, and if you are reported to the labor board or the IRS for violating employment or tax laws it can be costly to resolve. This website- http://www.dol.gov/elaws/firststep/ has in interactive tool to help you decide which laws apply to you. If you have any questions about whether the person you’ve selected is a contractor or an employee, find a good tax advisor familiar with employment laws. Your local small business association is also a good source of free or low cost advice on this topic.

Hiring a contractor can be confusing and difficult if you are unfamiliar with the sewing industry. Small contractors who work out of their home can be very useful to a small business that just needs occasional help when overloaded. Check your phone book, or place an ad in the local paper. When interviewing prospects, bring with you a copy of your pattern and a sample of your items. Don’t worry that they will “steal” your design or ideas. These people are sewing contractors for other people because they choose this work. They don’t have any interest in stealing your idea. This would mean they would have to find a way to sell the item, market it, ship it, and do many other things that they don’t want to do. If they did, they would already be doing it instead of doing contract sewing.

A good contractor should be able to give you a price quote for their labor just by looking at your item. If they seem unsure about this, or their price is significantly higher or lower than others you’ve talked to it’s likely they are not very experienced. This could cause problems later when they realize they quoted you too low or underestimated the amount of time they will need to complete a project. The result can be shoddy work, missed deadlines, or unexpected cost increases. Also be wary of contractors who don’t return your calls or seem too busy to answer your questions. You will likely need to talk to this person on an almost daily basis at first and if you can’t get them on the phone then you won’t get your items back on time.

But perhaps your business has grown beyond what a home seamstress can help you with. Congratulations! You’ve made some smart decisions to get to this point. This is a good time to reevaluate your business plan if you haven’t done so already. Hiring a manufacturer will be a major investment, and if you aren’t prepared properly it can be a financial disaster. Be sure you are familiar with the costs of your goods, and don’t forget to figure in 5% for waste. Ask a professional to review your business plan if you are unsure.

Finding a manufacturer is much like finding a contractor. Check your phone book, or ask your suppliers for good recommendations. Be sure to visit any facility, and take a good look around. Talk to the workers if possible. You don’t need to interview workers on their sewing skills, but it is important to know that they are happy and well treated. Unhappy workers produce inferior quality products, and can quit unexpectedly; leaving you with a delivery date you can no longer meet. The facility should be clean and well organized. The cutting tables should be very long, at least 20 feet to reduce waste. The equipment can be old, but should appear in good working order. Observe any safety hazards, and don’t be afraid to ask your contact person about them. It may not seem important, but these things are indications of what kind of company you are hiring. Well managed facilities generally produce better quality work with fewer seconds and waste.

A good contact person is a must. This person should return your calls or emails in a timely manner, and answer your questions openly and honestly. Often they can assist you in finding sources for fabric and notions you may need. They may be unfamiliar with your particular product, but that does not mean they are not a good choice. Be sure to go over your item with this person carefully and verify they have the equipment needed or are willing to procure it. Ultimately, you should trust this person and feel comfortable with them. You will work closely with them, and talk to them often. They should be able knowledgeable in their field, and be able to help you understand the process and their needs and expectations of you.

Finally, be sure that you talk to several different companies or contractors. You will learn a lot in the interviewing process, and quickly realize what is important to both you and your business. A good contractor or manufacturer is worth their weight in gold to your growing business. A bad one can be the end of your business.
Sources

http://www.business.gov/
http://www.irs.gov/businesses/small/index.html
http://www.sba.gov/

Fasanella, C (1998). The Entrepreneur’s Guide to Sewn Product Manufacturing. Apparel Technical Svcs

By Sarah Reid
Wallypop

What is business continuity planning? Simply put, it’s knowing how your business will be run in the event of an unexpected interruption. For example, what would happen to your business if you needed to be placed on bed rest? If you had to leave town unexpectedly? What if your house (or other business location) is destroyed by a tornado or earthquake? Or your area suffers a multi-day power outage?

Nobody likes to think about these things happening to them, but the fact is that a business interruption of some sort is likely to occur at some point. And, particularly for the WAHM, being prepared is the best way to overcome these types of events.

Developing a business continuity plan needn’t be a lengthy, complicated process. This article will walk you through the basics, and there’s a short example at the end to get you started.

1) Assume a multi-day tragedy for your business that would involve you being unable to access your office or work areas for several days. Make a list of each of the tasks you would need to be able to complete. This list might include things such as sending a note to your mailing list (or posting at your regular message boards) that you will be out of contact for a few days, finding a way to access orders and manage your inventory, or keeping track of orders you’ve placed with your suppliers. Your list likely wouldn’t include everyday tasks such as responding to customer inquiries or actually filling orders, as these are tasks that could wait for a day or two.

2) Now assume a situation that would keep you away from your office for over a week, and list tasks you’d need to complete in that case. For example, this list would probably include filling customer orders and responding to inquiries.

3) Starting with your first list, then moving to your second, start to write out (or even just think through, if you want a more casual plan) how you would accomplish the tasks. If you’re writing them out, write them out assuming that you would need to have someone else perform the task for you, perhaps even without your assistance. Include details such as website URLs, usernames and passwords, and file locations. Print off each of these documents and place them in a file folder labeled “Business Continuity.”

4) Write up a business calendar. This is a good idea, anyway. List out every periodical task you must complete for your business. For example, you must file income taxes each year (or each quarter). You must pay sales taxes regularly. Perhaps you have to file a business information statement with your state. List the due dates of these filings and payments (and any other recurring task) and keep the document with the rest of your Business Continuity files.

5) Print hard copies of key documents for your Business Continuity file. In my file, I keep a list of usernames and passwords for all of my online accounts (in case I am unable to access a computer and need to have someone else send an email, access an online account, or complete other password-protected tasks for me). I also keep contact information for key business contacts, such as each of my wholesale customers. Last, my file contains a big note that says “For help, call or IM the following people” and gives the names of 2-3 fellow WAHMs who I know would be happy to help out in a pinch.

6) Place your Business Continuity file in a safe, accessible location. My file is in my family’s safe, and I keep a backup copy at my mom’s house. Be sure to review your files every 3-6 months to ensure that everything stays up to date. And, let your family members and perhaps a sympathetic fellow WAHM know the locations of these documents and that they should access them if you are indisposed.

7) If you don’t have time right now to go through this formal process, at least discuss the topic with your spouse or partner over dinner some night. Go over the things you’d need him or her to do in the event of an emergency. For example, my husband knows that if I ever get stuck away from home for a day or two, he needs to access my email and let anyone who’s placed an order know that it will be delayed by a day or two. He also knows where to find the password for my email program.

8) Last, practice good business practices to help avoid problems in emergency situations. File your quarterly tax returns as early as you can, rather than waiting until the day they’re due. That way, if illness strikes the day before a payment’s due, you don’t have to worry about how you’re going to complete your filing. Try not to get behind on orders, so if you’re out of touch for a few days, there’s a smaller pile to come back to. And always practice good customer communication, so if you suddenly go out of touch for a few days, people will know that you’re experiencing an unusual situation and will understand about any delays.


Sample documents:
If I couldn’t access my office for 2 days, I’d need to:
- Let customers and others know I’m inaccessible
- Keep track of incoming orders
- Complete any filings or payments that are due

If I couldn’t access my office for over a week, I’d need to:
- Complete each of the above tasks
- Fill and ship incoming orders
- Manage my inventory
- If at all possible, find a way to sew custom orders and keep instock store stocked. If not possible, update webpage to note that custom orders are suspended until further notice.

Then a procedure document for updating the webpage with a note that I’m inaccessible and custom orders are suspended would read:

1) Log on to website control panel (give URL, username, and password)
2) Click on Files icon
3) Locate Index file and open it
4) Add a note here that I am inaccessible, etc.
5) Save and update the file by clicking “Save.”
6) Locate Custom file and open it
7) Add a note here that custom orders are being suspended until further notice.
8) Save and update the file by clicking “Save.”

The document is not needlessly complex, but it does give all of the information that a relative would need to complete the task without my involvement. Now, if I’m involved in a car accident and am in the ICU, I doubt that my husband’s first thought would be “gosh, I better update the website to reflect that Sarah’s not available right now.” However, at some point, he would be able to locate the documents and complete any necessary tasks without me there to help.