Do you need a formal business plan a long document, printed on expensive bond paper, and reviewed by accountants, bankers, consultants, and lawyers? Well.probably not. BUT, if you are going to make a major investment or borrow money to get started, you really need a business plan before you start. If you are going to cut off your old income quit your job before starting your craft business, you need a plan (or a psychiatrist). That business plan should not only cover what and how you are going to do business but should also have goals and measures – to objectively know how it is working – is it going according to plan (okay to invest more) or not meeting goals (is it time to cut the losses?
In my case it was simple. I had been making furniture for friends and family, and people asked can you make one of those for me?I had done a small amount of work for pay even with my full-time job. When I retired, I simply started to advertise my services on my website, building things similar to what I had been doing all along, from the same shop, with basically the same equipment. If you have a hobby that can be expanded, then just do it.