You should pay yourself what you think your labor is worth. That s how it works, it s simple.
Work out how much you need to live on over a year. Add up all your business overheads - there will be more than just domain names and hosting. Add them to the figure you need to live on. If you now take the cost of producing the T-shirts and double that, how many T-shirts would you need to sell at that figure to cover all your costs? If it s an impossible quantity, you either need to put up the price of the garments (will the market stand it) or lower your production costs so that you don t need to produce as many.For example:Living costs - ��15k per annumBusiness overheads - ��5k per annumTotal ��20kT-shirt production costs ��5, sell at ��10, means you need to sell 2,000 T-shirts a year or about 50 a week to allow for slow weeks and holidays.
How much does it cost you to buy and print and sell a T-shirt? Double it, that is your RRP. You take 25% and pay 25% back into the business.Cost of T-Shirt/Printing/Selling = 5.00Retail at 10.002.50 pay to you2.50 back into the business. I wouldn t even take a pay until after the first year. If you are from the UK you can get working tax credits to help you live. Good Luck!!
well it depends really in how much you have sold and whether you have to pay for other costs such as rent etc and whether you ve still got enough to invest on materials for your next quantity.
pay yourself?you pay by people paying you. you make the profit. the profit is your payment. its your earnings.
