Monday, December 26, 2011

What is a Cottage Industry?

A Cottage Industry is a small scale operation typically in regards to manufacturing and producing something at home rather than a factory. Usually ran by family members on their own equipment from their home. It can stem from a growing hobby that turns into home based work in order to start making a profit.

Beekeeping for example is becoming a huge cottage industry on the east coast and with all the problems honey bees have had over the last several years, skyrocketing the cost of honey. Candle making is always a growing Cottage industry as people will always love candles for just their scents or for emergency usages. Many people who sew, needlepoint or other handmade crafts can easily turn it into a cottage industry.

While working from home is not for everyone, A cottage industry certainly has it charms and pluses, especially when facing uncertainty in the workforce in a down economy. Cottage industries have many benefits including freedom to set ones own hours and keeping customer satisfaction and personal touches a top priority that factories of mass production just could never emulate. With an entire family involved in the operation, it builds strong family relationships and teaches children wonderful business skills that nothing else could match.

Starting a Cottage Industry, could very well be one solution to generating more income, although you would have to be disciplined and be capable of actually producing merchandise.

If you were to start a Cottage Industry, or already have one, what would it be?