You are viewing a complimentary preview of this book. For options to unlock the full book, please login or visit our catalog to create a FlatWorld Account and see purchase options.
Entrepreneurship

v1.0 Laura Portolese, Jaclyn Krause, and Julie R. Bonner

Chapter 1 What is Entrepreneurship?

Case Study – Purple Door Fabric

Figure 1.1 Fabrics Used for Quilting

Piles of quilting fabric.

Lynda Hainer always loved sewing. She took her first sewing class in sixth grade and started making clothes for herself. After she married, she made clothes for her six children, and then for their children. She sewed her first quilt for her youngest son thirty-one years ago. Today, she continues to make quilts for her family and friends.

Although Lynda enjoyed piecing her quilts, she became frustrated with how her finished quilts looked when she “tied them off.” Tying off a quilt refers to the process of joining the pieced top, the batting material, and the backing fabric to form the quilt. Linda knew the solution was to invest in a long-arm machine that would allow her to do beautiful free-motion quilt designs, but these machines are expensive. They aren’t affordable for a home quilting enthusiast. That’s when Lynda hit on the idea to take money to make quilts for others. If she charged for her quilting service, the long-arm sewing machine would become an investment that eventually paid for itself.

Lynda bought a big, beautiful, expensive long-arm machine. As she taught herself to use it, she developed a small clientele. These customers would drop off quilts for her to complete. This proved an enjoyable and profitable hobby. When her father became ill, Lynda wanted to make the transition to working from home so she could care for him. That’s when Purple Door Fabric was born.

The only fabric store in town had closed in 2014. Lynda knew there was a need, not just for her quilting service, but for quality quilting fabrics. Leveraging her experience working in fabric stores, she opened up shop in a 600-square-foot building erected on her property in 2016. The efficient little space houses hundreds of bolts of cotton quilting fabric, supplies, and of course Lynda’s beloved long-arm sewing machine.

Figure 1.2 Inside Purple Door Fabric, Ellensburg, WA

Shelves filled with fabrics organized by color

Since opening Purple Door Fabric, Lynda has upgraded to a computerized version of the machine. This allows her to quilt thousands of different patterns quickly and easily. Once she loads the quilt and programs into the machine, the rest of the process is automated. This gives Lynda time to attend to walk-in customers and manage the other aspects of her business.

In just a short year and a half, Purple Door Fabric has grown to include a second long-arm machine housed in a converted garage on the property. When her business first started, Lynda relied on word of mouth to let people know about her business, handing out business cards at quilt guild meetings. Now, she attends quilt shows and has added to her business a large van that serves as a mobile fabric store. Of course, she also uses social media, marketing Purple Door through a Facebook page.

Lynda’s husband, Jim, also helps. He has a degree in marketing and focuses on growing the business he and his wife share. He also built all the shelves and cases for the many bolts of fabric for the store and the van. The business has truly become a family affair.

Lynda admits that she and her husband have faced several challenges since starting the business. The most notable is the continued need to invest all profits back into inventory and machinery, something she had not planned to do when she started the store. Purple Door, however, has proven very popular, given that Lynda’s small town has no other fabric store. During the first half of 2017, the store completed 162 quilts for customers, not to mention selling many, many yards of fabric.

Lynda is confident that the store will turn a profit quickly but managing growth has been a challenge. Because her business is run from a location on her home property, she is limited in just how big her business can grow. The only option to expand beyond that point would be to move to an actual storefront. Lynda admits that this would not be her first choice.

Purple Door Fabric is one example of a passion for a hobby that has turned into a thriving enterprise. Whether you want to start a small business to supplement your income, to further your passion, to work from home, or to serve as a stepping stone to a larger, even national business enterprise, it’s important to understand all the different aspects defining your small business. Lynda is definitely an entrepreneur... but what, exactly, does that mean? What is entrepreneurship itself?

Many dream of owning their own business or being their own boss. Whether your dream is to start a small local bakery, open a consulting firm, turn your hobby into full-time job, or launch the next big Internet sensation, it’s not enough to have an idea. You need to know how to transform the idea into a viable business enterprise. Additionally, you need to know how to run and grow your business into a successful enterprise. You need to know how to be an entrepreneur.

In this text, we will explore entrepreneurship by looking at the many aspects that are involved in starting, growing, managing, and maintaining a successful small business. We’ll also look at what it means to take your business to the next level.

Ready? Then let’s get started.