The craft of creating an artist business plan

Trust us: Deciding to make some money sharing your art with the world was a great idea. You’re talented, passionate, and have the potential to start a great business. Stepping into the world of entrepreneurship isn't easy, but we have your back.

If you’re a first-time entrepreneur, you might worry your creativity doesn’t extend to making an artist business plan. In fact, a business plan may sound like a “left-brained” task you’d prefer to outsource.

But creating a business plan is an essential first step in any business pursuit, including an artistic one. A plan allows you to present your ideas quickly and coherently to potential investors, and it helps you organize your own thoughts. Starting an art business (or any business, for that matter) comes with challenges, but the journey is a lot smoother with a roadmap. Even if you don’t love business management, learning these skills will empower you to monetize your art successfully.

You already have ideas about how to start an art business – it’s just time to put them into words. Drafting a business plan may not seem as creative as painting a portrait, but you’ll have plenty of opportunities to infuse it with your unique touch. It’s time to spark your inner entrepreneur:

How to create a business plan for artists in 6 steps

Whether you intend to start a small art business that appeals to your local community or become the next big recording artist topping the charts, you should plan out your route to success.

Small or large, all business operations have to consider similar key factors before they can get off the ground. The following steps will help you translate these factors into a solid business plan.

1. Define your mission statement, vision, and goals

Typically, this section of a business plan is called an executive summary, but feel free to rename it creatively. In the first part of your plan, define your operation and introduce your values and goals. What will you achieve, and why are you passionate about it? Consider this a high-level view of your work and company.

2. Identify your ideal clients

“Target market” sounds a bit corporate, but narrowing in on who you’re selling to will help you make product and marketing decisions. Tell the reader about the ideal client or customer for your work. If you know anything else about your target demographic – like age, location, or interests – include that here.

3. Research competitors

You may not want to think of your artist friends as “the competition,” but as harsh as it may sound, from a business standpoint, that’s basically what they are. But this doesn’t mean you can’t all succeed. The exercise of researching competitors is about understanding similar work on the market so you can focus on what makes your products stand out. Emphasize what sets you apart from others in your industry.

4. Set an art marketing plan and sales strategy

Explain how you intend to reach the art collectors or craft lovers who want to buy your work. A marketing strategy should include descriptions of how you’ll leverage major social media platforms and any paid advertising campaigns you’re planning. Talk about how you plan to use your social presence to drive traffic to your website or wherever you sell your work. Also, be sure to list out your art sales outlets, from online platforms to physical galleries.

5. Mention your online portfolio

Describe the content of your online portfolio and outline the parameters of your professional site. If you already have a web page, tell readers what’s there. If you’re about to make a site, use this section to organize your thoughts. Will you link to an e-commerce page? Promote freelance opportunities and commissions? Decide what content your site will feature and how it will be organized. It’s important to make your webpage accessible to customers – you can use a Linktree URL in your social media bios to link out to multiple sites, including your portfolio.

5. Make a financial plan

A thorough business plan includes financial information like cash flow statements and a balance sheet. If you’re unsure how to prepare these, don’t worry – you’re not alone. For first-time entrepreneurs, we recommend getting help from an accountant. This section is your opportunity to set income projections, determine how much you’ll be paying in taxes, and figure out the cost of the supplies you need to create your art.

What are the benefits of creating an art business plan?

Saying “an artist business plan will help you get organized” may seem a little vague. So, how exactly will making this document improve your understanding of your business? Here are a few insights you stand to gain:

• You’ll know your market better: Researching your competition allows you to become familiar with others working in your medium and area (whether that’s the physical location of your store or on the web). You’ll understand who you’re up against – and you might also discover networking opportunities. Tapping into the small business community is incredibly valuable. Other artists may be willing to answer your questions and offer up advice.
• You’ll set business goals: As an artist, you have dreams and aspirations. Making a business plan will help you define your financial and career goals not only for potential investors but also for yourself. Through building your plan, you’ll come to understand what your milestones will look like from a financial perspective and set a realistic timeline for achieving them.
• You’ll get serious about starting your business: Complicated endeavors look more manageable when you have a plan. Once you take the time to draw out your artist business plan, you’ll be more confident about taking your art career to the next level. Starting a business can feel overwhelming and inspire self-doubt, but your gifts are worth sharing with the world – and worth their price tag. With a solid business plan in hand, your first step toward entrepreneurship is already complete.