Why Wholesaling Brought Us More than Just Revenue. Meet Toy Shop Owner David Minnery
When he lost his job as an architect during the recession, stay-at-home dad David found that making and selling wooden toys was an easy way to support his family.
Now he now spends most of his time in his workshop or taking care of his kids. With up to 150 orders a day during the holiday season, we had to know more about his experience wholesaling his products throughout the year and what he's hoping to learn next from all of you!
Name: David Minnery
Business: Manzanita Kids
Started: November 2010
How did you create your awesome job?
I got laid off from my job as a structural architect during the economic crash, just two weeks after my son was born.
It was difficult to come to terms with at first, but it ended up being one of the best things that ever happened to me. I got to spend more time with my son, and it gave me the chance to start fresh. My wife and I both decided that we didn’t want to put our kids in daycare, so we started looking for ways to earn money without having to work a 9-to-5.
Before training to become an architect, I was a studio artist. My main focus was sculpture and I worked with bronze, iron, stone, clay and cement. I started working with wood after finding a piece of furniture I couldn’t afford and attempting to make it myself.
The decision to start making wooden baby toys was mostly a reaction to the wash of brightly colored plastic toys you find in preschool classrooms and toy stores. My wife teaches first grade, so she spends a lot of time surrounded by cheap toys made from suspect materials with dubious origins.
We wanted to create a higher-quality product together, and we’ve proven to be a great team, with her designing the products and me making them.
When did you know your business was going to work?
We started out just before Christmas 2010 and launched with a dozen designs. We decided to list them on Etsy.
Within a few days, we sold our first toys to a woman in Nevada. After that first sale, we went on to have a really busy Christmas, which was a total shock!
Right after that first Christmas, we got really serious about it. When we found ourselves working into the early hours, sanding and packing toys for shipping, we knew we could make enough money to meet the needs of our family.
What has been the biggest surprise after starting your own business?
I had some experience running a small business from my time as a studio manager, which helped me prepare for life as a small business owner.
This said, I still haven’t completely figured out work/life balance! Even though this business has always been structured around family, it can still be a challenge to switch off from work.
I work all the time. Most of my friends have 9-to-5 jobs, which means they get to relax on the weekends. All weekends mean for me is two full days in the shop.
It’s usually OK, and my wife is very good at telling me to take a break, but because 50% of my business is seasonal, November and December can be hugely challenging.
How do you price your products?
We looked at competitors’ prices to start with, but when we got more serious, I created a worksheet to calculate the cost of materials and labor hours for each toy.
It also works in the costs of our overheads, including everything from saw blades to keeping the lights on in the shop. This worksheet is essential to my business, so I’m glad I spent time getting it right.
What does a typical day look like for you?
The goal has always been to get the business in good enough shape that it can support my entire family. Then, eventually my wife can join me in running it full time. We’re not quite there yet, so I run the business while she teaches.
My mornings are hectic — I wake the kids up, pack lunches and make breakfast for everyone. Then I take my son to the bus stop and rush home to squeeze in half an hour of emails before taking my daughter to preschool. She stays there for two-and-a-half hours, which gives me time to get out into the shop and make sawdust, only stopping to answer urgent customer emails that come through on my phone.
I pick my daughter up at lunchtime, then spend time with her while running errands like laundry and dishes before my wife gets home. When my wife arrives, I go back out into the shop for the evening.
90% of the time, it’s just me in the shop. I still cut and wax all the pieces, but I’ve taken on someone to help with sanding over the holidays. I’ve also invested in machinery to improve accuracy and production times, which is was hard for a little business like ours to start with, but has proven to be a really sensible move.
If you could go back in time, what’s the one thing you’d do differently in starting your business?
I wish I’d started wholesaling earlier. We first got into wholesaling 18 months ago and it’s been great for our business. While most of our retail sales happen around the holidays, wholesale orders are spread out over the year, which keeps cash trickling in.
I dragged my feet in the beginning because I was worried about not making enough money from wholesaling, but it’s been a great marketing tool for us, allowing us access to a whole new group of customers who wouldn’t think to shop online.
Wholesaling even introduced us to Molly Moon, run by a great local entrepreneur. Her ice cream shops are community gathering spaces, and when she asked us to create a custom rattle, it was tremendous for our business.
Sales aside, it’s also great to align with a business to share values and ideals, and this wouldn’t have happened without wholesale.
What would you like to learn today from a network of other small business owners and self-employed professionals?
There are only so many hours in the day, and I have to decide how best to spend my time. When I have the choice of sitting at a computer or making things in my shop, I always choose the shop.
However, this leaves a gap in our marketing. I currently spend roughly 30 minutes a day on social media, but I'm wondering...
Should I be spending more time on it?
The Power of Personal Story. The Power of Our QB Community!
David's small business story is one of many featured here in the QuickBooks Community. We believe we're strongest when we share and learn from each other! If you agree, you've come to the right place.
Joining the QB Community connects you to others who, just like you, who dare to work for themselves. (Find the Sign Up link to the upper right!)
Need more information? Here you go!