Why Making More Sales Won't Make You More Profit 


elena saxton 

"If I sell more of my products, then I'll make more money..."


Everyone who makes more sales makes more revenue (duh), however as an artisan, not a machine, you are very limited in how many products you can make every month– which means that your income is inherently limited too.


This idea that many artisans have, that if they could just sell more products, then they’d make more money, is an illusion. Because based on the way they’re running their business, most artisans simply can't create enough products to generate the profit they desire– even if they were able to sell it all.

So what’s the solution?

To find a way to make more products? 

Short term, this may lift your profit a little bit, but for most artisans this requires a huge increase in labor, pushing yourself to work long hours for only a marginal increase in profit 20-30%. Most artisans need to increase their profit by 300% or more to be able to live comfortably and “make more products” isn’t a sustainable solution.

"Make more more to earn more."

This is what I call the Mass Produced Product Business Model.  But that model doesn’t work for artisans, because artisanal business are different in two very important ways: 

  1. You’re very limited in how many products you can make in a month. 
  2. Artisanal products are expensive to make, they take more time to manufacture and the materials are more expensive then their mass produced counterparts.

When you think about making more money, the math behind it is simple: 

Income- Expenses = Profit

As you already know, your income is limited by how many products you can make in a month, and remember you still need time for other things in your business (marketing, customer service, etc.) 

And in order to stay in integrity, and make high quality products you can’t lower your material costs, those are naturally going to be high. 

Which leaves most artisans with less than a few thousand dollars of maximum profit, assuming they are able to sell everything they make. This is the best case scenario based on how most artisans are running their business (their current business model).  

If you haven’t done this work already, then chances are this is true for you as well. 

It was true for one of my favorite clients, Jill Harrell, from Scabby Robot who was maxed out at less than $2k of monthly profit. I taught her how to increase her maximum monthly profit to beyond $20k a month! So don’t worry, no matter where you are at now, you can change your business model and increase your profit capacity. The first, and extremely important step, is to understand exactly what your maximum income currently is.

You can do this by using my business model calculator.

You can get access to it for free!

And, if you’d like to see an example of how to use the business model calculator, you can have free 7 day access to the “Business Model Calculator” workshop, where I’ll walk you step by step through how to use it with Jill’s business as an example.

Keeping Learning:


Foundational Business Courses Made Specifically For Artisans.