Updated Oct 07,2024
Graphic Design

How to Start A T-Shirt Business: A Complete Step-by-Step Guide

how to start a t shirt business

Finally, you've made up your mind to start a t-shirt business! Considering the clothing industry and on-demand t-shirt printing services, it's the right time to start your own t-shirt business. Most probably, you're diving into how to start a t-shirt business that makes money, right? Today, we’ll share a comprehensive guide on how to start your own t-shirt business!

Today's t-shirt market is saturated! But there are plenty of opportunities to grow your t-shirt business by selling custom designs. The t-shirt market has gradually risen and gained almost 26% revenue over the past decades. Selling t-shirts with catchy words and impressive graphics is an outstanding way to exercise the best colors of your creativity!   

Yeah, a t-shirt business can provide a small benefit for each unit, but in total, you can earn a lot. Before starting a t-shirt business, if you learn where to start, and how to run your business, you can start the business with your budget. So, keep courage in your mind! Yes, we confess that it might be challenging without prior experience. But, once you understand the market and the trends of the t-shirt industry, you don't need to look back!    

Don't worry if you're a beginner in the t-shirt industry! We'll help you to start your t-shirt business in some steps. So, are you ready to sow the seeds of your dream business? Keep reading.

How to Start A T-Shirt Business (Best 16 Steps Guide)

start a t shirt business

Starting a t-shirt business gives you room to exhibit your creativity! Selling your t-shirt encompasses selling your creativity, art, and words printed on t-shirts to exercise the true color of your creativity and make money. Starting with a small income by running a t-shirt business can be an excellent source of handsome extra income! From market research to performance monitoring, you'll need to go up with some effective steps to make your venture successful. We'll help you with the best 16 steps to start your own t-shirt business as a beginner. Let’s dive into the below steps to start your own t-shirt business today!

Step #1: Do Proper Market Research

First, understand the field where you're going to play!  

You're diving into what you need to start a t-shirt business as a beginner, right? Well, first, focus on the running t-shirt market. What t-shirt businesses are selling, who the buyers are. Then, learn what the buyers are looking for before buying a t-shirt. These are experimental steps. Now you can start with the search engines of huge online customized t-shirt retailers like Walmart or Amazon. Now, Google these terms, like “best-selling t-shirts, “trending t-shirts, popular t-shirts, funny quote t-shirts, vintage t-shirts, and more. 

You already have some brainstorming ideas for t-shirts in your mind, right? Yes, now you can evaluate other t-shirt brands and their most popular products to learn about your competitor's race. In this way, you can understand what your target audience is looking for and what they don’t find in the market. Suppose funny t-shirts are in demand, but your competitors don't sell them. Simply, your target audience can’t find them. You can sell the items. It’ll be a good business opportunity for you!  

After conducting adequate market research and following the running market trends, you can make a difference and stand out from the competitors in the t-shirt industry!

Step #2: How to Choose a T-shirt Niche

The t-shirt business covers an extended area in the clothing industry, so it'll be good to specify your t-shirt business niche. Before choosing your niche, you can emphasize your passion or love for a particular t-shirt. If you find your desired niche, you'll always be energized to work on it!  

After proper market research — choose a niche you want to do business with! Yes, choosing a niche is fundamental before you start your business. Clothing is a huge industry. The market is overcrowded with lots of competition. So, specify your niche! Everyone in the world can’t be your customer. If you want to sell to all, you can sell to no one at the end of the day. Then, choosing your business niche is the first thing to specify your target audience. 

Once you perfect your niche, you can grab a unique space in the market and stand out from the crowd. After market research, you already know the t-shirt market is broad. So, you'll need to be crafty to differentiate your choice. Some practical tips will help you figure out a perfect t-shirt niche for you:

  • Identify gaps in the market 
  • Give priority to your interest 
  • Search for popular t-shirt ideas in other online stores 
  • Use audience research tools and understand customer's demand 
  • Hunt ideas on social media platforms like Pinterest, Reddit, and Instagram

Remember, identifying a niche is a cornerstone of building a successful t-shirt business, even any business! When you identify a niche, you can attract a target customer funnel that comprehends your interest and the brand's value. While choosing a niche for your t-shirt business, consider how it can meet your target audience's demands!

Step #3: Create a Business Plan

If you think your t-shirt business is a journey, the business plan is like a roadmap that’ll guide you throughout the trip to reach your desired destination. Research says that 71% of fast-developing companies have their own business plans. So, making a business plan for your t-shirt business is essential. A mighty business plan is significant to become successful in the t-shirt business as it has a wide range of audiences depending on style, design, or quality!  

While creating your t-shirt business plan, close your eyes for a while. Think about what you cherish to achieve with your t-shirt business! Yeah, we focus on setting clear business goals and objectives. When you are clear about what you want to achieve, it’ll help you create a more robust t-shirt business plan, right? You can divide your t-shirt business plan into two parts: short-term goals and long-term goals. 

The business plan you write down must be specific, applicable, achievable, and deadline-oriented. In the meantime — you should focus on understanding your target audience to learn their inside and outside! Also, you'll need to reconsider their interests, behaviors, and what triggers them to make a purchase decision. 

There are most important things you'll need to keep in mind while drafting your business plan:

  1. Set Clear Business Goals and Objectives
  2. Understand Your Target Audience
  3. Finding Gaps in Your Specific Niche Market 
  4. Develop a Unique Selling Proposition (USP) 
  5. Financial Preparation
  6. Production and Sales Channels

Step #4: Pick a Name for Your Business

Choosing a good name for your t-shirt business can be challenging when you're near to starting your business. Your t-shirt business should have a catchy name. Mind it, only a catchy name doesn't work without relevancy! The name you'll pick for your business must be relevant to your business. Your business name is the first step to building your t-shirt brand. Also, it’s essential as it helps the entire process, from designing a logo to creating inspirational business quotes! So, choosing a good name for your t-shirt business means a lot. 

Now come to the point. Most probably — you've millions of creative ideas in your mind for your t-shirt business name. Maybe - you've already chosen your favorite business name! Wherever your mind stays, before picking a good name for your t-shirt business, you can keep in mind the following things:

  • Keep the name simple 
  • Don't copy your competitor's name  
  • Make your business name web-friendly
  • Pick a name that'll be relevant to your business
  • Choose a name that people can easily pronounce

Step #5: Register Your T-shirt Business

It's time to legalize your t-shirt business. Think about how you want to build your business structure. Will your business be a sole proprietorship or limited liability company (LLC)? Or want to start your business with a partnership? It’ll be better to consult a legal advisor who is good at the laws of registering a business. If you register your business as an LLC, you'll get tax benefits. You must abide by the legal requirements and make sure everything is in order with your state's rules.

Look, if your t-shirt business registration consumes enough time, you can hire a professional limited liability company service to set it up for you! In this way, you can save time and focus on other important aspects of your t-shirt business. In this stage, you'll need to obtain your business license, tax identification number, and EIN (employer identification number through the IRS website. Remember, the EIN will only help when you've plans to hire employees!  

Better, you can comply with some core legalities to protect your business from complications. It’ll help you to create concrete credibility with your customers! While registering your business, keep the below requirements in mind:

  • Health Insurance
  • Business Insurance
  • Product labeling requirements
  • Copyright protection certificate
  • State and federal tax registration
  • Workers’ compensation insurance
  • Trademark licenses for brand name

Step #6: Find the Right Production Method

Quality comes first. It doesn't matter what business you're running! If you focus on offering quality products to your customers, your customers will not forget the way of your store!  

The quality product makes your t-shirt business rise. Indeed, you'll need to pick the right production house where you send your custom design and they craft your design on the t-shirts you demand! In the meantime, if you’ve screen printing in-house equipment, you’ll have more control over the quality designs. On the other hand, it can be hassle-free for you if you hire an agency to do the production for you! 

However, if you build up a good relationship with a local production service or a company, it'll be easy to pick to get quality production each time. Yup, when you order particular designs for some, you can control the quality of your demand and supply! If the final outputs satisfy you, then you can order many.

Step #7: Choose a Print-on-Demand Service

Hmm, as a t-shirt business owner, you always want to offer engaging and high-quality t-shirts to your customers, right? If yes, find a trustworthy print-on-demand (POD) service provider. POD is a cost-effective and easy-to-go method of t-shirt production. If you depend on a reliable and quality POD supplier, you can save time and think about other stuff to gear up your business! 

Worried about finding a top-quality POD supplier for custom t-shirt designs for your customers? Simple. Look for a POD supplier who’ll be loyal, productive, and meet deadlines. Also, they’ll meet the standards that you want from them. Yup, it takes time to do good research to find a quality POD supplier among many! Well, allot some time to do the research. We believe your research will help you find a top-tier POD supplier!  

Don’t compromise on the final product quality! In the end, the POD supplier you choose should offer men's t-shirts, kid's t-shirts, and women's t-shirts in different styles, fabrics, and sizes! Before going with a POD supplier, understand how they work like - shipping rates, service capabilities, locations, and sustainability. You like to grow faster than your competitors, right? So, understanding each part of your t-shirt business will put you ahead as a smart t-shirt business owner!

Step #8: Choose Your T-shirt Design

How you design a t-shirt grabs your customer's eye at first! Yeah, in your t-shirt business, an impressively designed t-shirt works like a game changer. Focus on your customers' mindset - what designs they like most and what they do not like. However, are you stuck on creative t-shirt design ideas? Well, get help from Google Trends to learn the most popular t-shirt design ideas. 

The ideas can help to develop a fantastic t-shirt design for your business! When you gain basic ideas for t-shirt designs, you can start drafting to design yours. You can create designs yourself if you know how to use Adobe software. If it seems a bit tough job for you, don't worry! You can get help from a reputed t-shirt design service. Then, your work will be more manageable! Also, some graphic design agencies can help you with creative design ideas that'll adorn your t-shirt design draft better. Here are some easy tips for best-selling t-shirt designs:

  • Use easy-to-read fonts and high-quality visuals.  
  • Limit extra colors. Your t-shirt design must be simple but elegant.
  • Choose t-shirt design ideas that connect to your target audience and brand identity.
  • Research online resources and tools to develop your mind designs or collaborate with any graphic design company.

Step #9: Mockup your t-shirts

Finally, you have made up your mind for the final design. Now, you need to craft mockup images for your designs. Mockups help your customers understand how it'll look after the design is printed on a t-shirt. Now the question is how do you create mockup images, right? You can use design-related software like Adobe Photoshop or image editor to create mockups. 

Also, you'll find t-shirt Photoshop mockup templates online with multiple layers. The templates will help you with multiple layers that you can use to change colors. Using different layers, you can beautify your design with an excellent combination of folds, contours, and creases. In the meantime, you can get help from web-based mockup-producing software without Photoshop. You can try the following mockup software:

  • Placeit Mockup Generator
  • Printful Mockup Generator
  • Printify T-Shirt Mockup Generator

If you think the above ideas seem a bit of a time-consuming process, you can get help from professional hands. Share your final design with the professionals and then they’ll create mockup images for your designs.

Step #10: Validate Your T-shirt Designs

A proverb goes, "Cut your coat according to your cloth." Realize the popularity of your designs before you invest in them! You'll find multiple ways to validate your design's popularity. Let’s talk about some meaningful procedure to validate your design ideas:

Social Networks:

At present, social networks are the most fertile place for business owners to trigger their target customers. You can use social media to evaluate the significance of your designs. Post a preview of the designs you want to print on the t-shirts. Then, your potential customers can visit your designs and share their opinions. Manage their comments carefully on your designs, no matter if you find any negative comments on your post. 

As an elegant business owner, you're always open to appreciating new ideas from your customers. Evaluate your designs by posting them on your social networks. Hopefully, you’ll get more outlook on your designs and can grab fresh ideas that can help you to develop engaging designs, too!

Reddit:

You already know Reddit can help you with honest feedback on your designs. No doubt, Reddit is the best place for any design to learn how it looks. If you go with Reddit with your designs, of course, you'll receive true feedback on your designs from all walks of people. Also, you can get some potential as well as real clients for your designs from Reddit!

Use Crowdfunding:

Undoubtedly, Crowdfunding sites are amazing for new business ideas! The sites of crowdfunding can check and validate your design ideas. Mind it, launching a crowdfunding campaign can be time-consuming, too! Crowdfunding can be the best option for those who have business ideas on novel t-shirts!

Step #11: Choose Selling Platforms

Ready to sell your dreams? We meant you're ready to sell now! So — you'll need to choose a sales channel. If you've already decided to become a third-party seller, it'll be great for you to start an account and set up your store. 

We often notice Zazzle, Etsy, and Redbubble are well-known for selling a huge amount of clothing items. Also, they’ve a huge amount of customers worldwide. You can also sell t-shirts on Amazon if you want. Keep in mind that social networks can be a quality selling point for any business. So, you can use most of your social networks to bring crazy sales for your items!

Step #12: Create an online t-shirt Store

Ensure an online place for your t-shirt business! Yeah, you'll need an online store for your business. It doesn’t matter if you sell your t-shirts in diverse markets. So, creating an online t-shirt store can unfold tons of business opportunities for you as a beginner. Of course, you don't want to miss them. So, create an online t-shirt store to acquire considerable growth in your t-shirt business. In just a few steps, you can set up your online store. 

First of all, create an account. Set up all your preferences. Integrate necessary e-commerce plugins with your selected sales channels. You can give a catchy name to your store! The name you pick must be relevant to the t-shirts you have planned to sell. You can get help from professional hands or Adobe Illustrator to design a clothing logo that'll help increase visibility across all your sales channels! You must include high-resolution images with a blend of keyword-driven product descriptions to boost visibility on different search engines or marketplaces!  

You can use e-commerce platforms like Amazon, Shopify, Etsy, or WooCommerce to create your online store. In the meantime, you can create your own store using WordPress to sell your t-shirts online. While preparing an online store, you should focus on the following things:

  • Website management
  • Quality product images
  • Search engine optimization  
  • to-the-point product description
  • Multiple payment options
  • Smooth checkout process
  • Website design and development  

Keep in mind that your t-shirt store should be easy to navigate and reflect your brand. Your brand identity must be clear, as it must show you to your customers as a credible and reliable brand for impressive t-shirts!

Step #13: Set a Price

Hmm, you're thinking about all the startup essentials from every perspective to stand out from the competitors! Making your t-shirt business profitable, pricing your product correctly matters. Perfectly pricing your products brings a balance of expenses, attracting customers, and positioning in the market successfully over other brands. As you're a beginner, we've some steps for you to follow for a better pricing of your product:

How About Your Production Costs

Figure out your fixed costs and variable costs per product. The fixed costs include rent, salaries, machinery, and variable prices like designs, materials, or inks. Follow the below formula to calculate the total product cost:

Total Product Costs = Fixed costs + Variable costs

Figure out costs per unit. To find out costs per unit, you'll need to divide the total product costs by the number of units produced.

Follow a t-shirt Pricing Strategy

Indeed, a good pricing strategy plays a significant role in boosting your profit, positioning your business, and improving the revenue growth of your t-shirt business. Here are the most effective and popular t-shirt pricing strategies for you: 

Mockup Pricing: Think about a healthy profit margin. Add the percentage to your production cost. Suppose you want to get a 35% benefit on a $10 production expense. Then what'll be the price for the T-shirt? Set the price to $13.50 for the t-shirt.  

Keystone Pricing: Make double the production cost while applying a 100% markup. Simple. If your production cost is $10, set the product price to a $20 price.  

Competitive Pricing: Do research how your competitors are pricing. Go with a higher rate or lower rate keeping a balance with the running market and your product quality!

Step #14: Calculate Your Startup Costs

Then, right now, your mind is full of plenty of things to do to start your t-shirt business, right? Yeah, starting a new business means starting a new venture. However, everything you do in your business requires investment. It'll be good for you when you have a basic idea of startup costs to start a t-shirt business. We're sharing the sectors you'll need to invest in:

  • Legal fees
  • Market research
  • Design software
  • Production costs
  • Prin-on-demand services
  • eCommerce website development
  • Product equipment (For in-house)
  • Marketing and Promotion
  • Employee salary (if held in-house)
  • Product research and development 

Keep an account for the cost of goods sold (COGS). You can limit overhead costs by doing some work manually. So, you should keep an eye on your startup costs and reduce the extra costs that will not bring a return on your investment within the next six months. If you’ve a clear idea of your initial investment, you can price your t-shirts more professionally and effectively!  

Better - you can target a 50% to 70% margin in the primary state of your t-shirt business! The above investment areas are the investment zones for your creative business area. You need investment to start a new business and you can afford it from your savings or investors.

Step #15: Market Your T-shirt Business

Think about where your target audience spends time online. Based on that data, develop a strategy to trigger their minds to your business. You'll find many online platforms to market your t-shirt business and reach your target customers. You can consider the below platforms to market your t-shirt business: 

  • Pinterest
  • Facebook
  • Instagram
  • Google Ads
  • Email marketing
  • Local partnerships
  • Influencer partnerships

As the product is much more beautiful physically, so you can take high-quality photographs of your products and post them with attractive captions to trigger your target customer's emotions. Also, you can run time-limited discount offers to elicit a sense of urgency from your customers.

Dream big. Plan for long. Collect the email addresses of your hot or cold clients and send them impressive discount offers or exceptional content that triggers them emotionally to come to you. While promoting your t-shirt business, you’ll have to have a positive mindset to appreciate negative feedback (if comes) from your customer funnel. You’re always open to welcoming your customers’ choices and will create the next items according to your customer's preferences! Here are some more tips to improve your online store:

E-commerce SEO:

You can optimize your images and website to get a more pleasing result on search engine rankings. Also, you can improve content quality to get more traffic to your store. While you're selling t-shirts to your target audience, use customer’s top search keywords like "unique design t-shirts" or "best quality t-shirts" while writing your product descriptions With the keywords, you can attract more target customers!

Paid Advertising:

Sure, you can think of it as it works as the complement of your sweat-dropping efforts. With the help of PPC or Pay-Per-click, reach your target customers within a short time and with colorful messages. You can use Google Ads or Facebook Ads to create particular and measurable actions that’ll bring immediate traffic to your store. Mind it, you’ll need a bit of marketing budget to run effective PPC campaigns!

Social Media Campaign:

Social platforms can work like a game changer for your t-shirt business. You can hunt potential clients on social media by showing your unique and stylish design that nobody shared before. You can share why you’re different from others and trigger your customers with captivating visuals of your designs. No doubt, your social media campaign can be highly fruitful when you provide uncommon and trendy design t-shirts to your customers. Social media campaigns can boost your sales by driving huge traffic to your store!

Step #16: Monitor and Optimize Your Store

Monitor your performance! Truck your product's sales! Are you moving forward or not? Most of the eCommerce platforms deliver an elaborate analysis of your performance! Keep tracking which products get crazy sales and which do not and why they don’t. Also, focus on where your audiences are from. Connect your site to Google Analytics to get valuable insights and data like conversion rates, traffic, and other meaningful metrics - such as demographics and locations. At present, Facebook and Instagram also have integrated analytics that can help you with the best plan for the marketing campaign!

Do I need a business plan to start a t-shirt business?

— It's said that planning is half of the work! So, it's better to have a business plan for your t-shirt business instead of having none. A solid business plan keeps you adhering to your vision. An effective t-shirt business plan can play a significant role in achieving success and staying in the market for a long time.

What is the average profit margin on a t-shirt?

— Maximum sellers set the profit margin on a t-shirt around 50%. If your cost for each t-shirt + printing goes to $10, you should target to sell the t-shirt for $20. If you set a higher profit margin, it offers you a free shipping opportunity.

Isn’t it possible to start a t-shirt business with a small budget?

— Starting a t-shirt business with a small budget is pretty much possible. The business requires a low cost to get started the business.

Is a t-shirt business profitable?

— If you compare the t-shirt business with other online business opportunities, starting an online t-shirt business is more profitable due to its lower costs.

Do I need a business license to sell t-shirts online?

— Generally, you don't need a business license to sell t-shirts online. Better - go and check your local finance or revenue department to learn more in your area.

Printful or Printify — which one you should go with?

— Depends on your choice! The reason for choosing an option is to save money. Printful has higher production costs than Printify. So, the t-shirt business owners who have a tight budget go with Printify considering their budget. At the same time, Printiful offers a better international shipping rate. No doubt, Printiful is a good choice for a trendy t-shirt business owner.

Do I need prior experience to start a t-shirt business?

— Typically, No. You don't need any prior experience to start a t-shirt business. You can get all the resources online to start your t-shirt venture. Also, you'll get plenty of guides on how to start a t-shirt business without prior experience.

EndNote

Finally, we’re at the end! 

How was the step-by-step guide on how to start a t-shirt business? 

We believe we've made your venture easier with the above guidelines! It'll never be easier to release creativity and sell your thoughts about t-shirts online. Starting a t-shirt business and making it profitable business needs clear guidelines and implementation of all of them. When you understand what it conveys to launch a t-shirt business, it'll help to save your effort, time, and even money! 

So, if starting a t-shirt business is your passion, understand your passion from the core of your heart. Feel it with care and consideration. At the very beginning — being too experimental will consume your mental energy! So, it'll be a good option to follow the above steps to get a sound start on your t-shirt business. Mind it, success will not come overnight. It takes time and your brainstorming efforts!  

Contact us if you want to skip doing it yourself. We always stand by you with our guides. No more today! Keep your hope alive with your passion. We firmly believe you can achieve what you dream of! 👏

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