How to Start a 3D Printing Design Business

Start a 3D Printing Design Business by following these 10 steps:

1. Plan your 3D Printing Design Business
2. Form your 3D Printing Design Business into a Legal Entity
3. Register your 3D Printing Design Business for Taxes
4. Open a Business Bank Account & Credit Card
5. Set up Accounting for your 3D Printing Design Business
6. Get the Necessary Permits & Licenses for your 3D Printing Design Business
7. Get 3D Printing Design Business Insurance
8. Define your 3D Printing Design Business Brand
9. Create your 3D Printing Design Business Website
10. Set up your Business Phone System

We have put together this simple guide to starting your 3D Printing Design Business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas.

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

• What will you name your business?
• What are the startup and ongoing costs?
• Who is your target market?
• How much can you charge customers?

Luckily we have done a lot of this research for you.

What will you name your business?

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our 3D Printing Design Business Name Generator

If you operate a sole proprietorship, you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name, we recommend researching your business name by checking:

• Your state's business records
• Federal and state trademark records
• Social media platforms
• Web domain availability.

It's very important to secure your domain name before someone else does.

What are the costs involved in opening a 3D Printing Design Business?

The costs involved in opening such a business are minimal. Most shops start out of someone's home, so there is no expensive lease or utilities to pay every month, nor any staff salaries to pay. If you will be working with Shapeways, you do not have to have a 3D printer: you simply upload designs to them, sell the products through your own website, and split profits with Shapeways. If you are buying your own 3D printer, you can typically find a commercial model you need for $6,000 or less, though there are models available in a variety of price points. Otherwise, your primary cost will be creating a professional website (typically about $500) and advertising your services (most advertising will be done online, so your starting advertising budget may be $2,000 or less).

What are the ongoing expenses for a 3D Printing Design Business?

Part of the beauty of this job is that there are very few ongoing expenses. As a home-based job, your only guaranteed costs will be to pay to host your professional website (typically less than one hundred dollars a year); you may opt to continue paying for advertising, which will typically be five hundred dollars or less per month. Other than that, though, you only need to re-stock materials (assuming you are printing the items yourself) when you get orders, and you will price items to take materials into account. If you are printing through Shapeways, then you will price items to compensate for the fee that they will take (you set a markup for each item sold, and this is the money you make, minus a 3.5% transaction fee).

Who is the target market?

This is one business where your preferred clients may vary greatly depending on your area and if you choose to specialize in printing certain things. One group that may become your favorite is hobbyists. From collectors wanting to replace parts for their model trains to gamers wanting you to print objects for their roleplaying campaign, hobbyists are that rare group that has very niche interests and the disposable income to accommodate those interests.

How does a 3D Printing Design Business make money?

A 3D printing business makes money by printing and delivering 3D versions of shapes and objects to customers. You may also make money by taking design requests from customers who cannot find the shapes they want printed anywhere else.

How much can you charge customers?

The price for your items will vary greatly according to their size, complexity, and the materials used. For instance, in the tabletop gaming niche, you might charge four dollars for a small item like a miniature shopping cart. Conversely, you might charge upwards of two hundred dollars for large, complex terrain to be used in a tabletop war game. If you are printing through Shapeways, then they will help determine the price of the item using those same factors. The more niche your item, the more you can effectively charge, as customers have nowhere else to obtain that item.

How much profit can a 3D Printing Design Business make?

The exact amount of profit you can make is difficult to determine. One research company estimates that 3D artists make an average of $53,000 a year, but that is counting those who do such work for corporations rather than themselves. Regardless, your actual profit is like that of any other specialty shop: if you find the right combination of diverse products, niche markets, and relevant advertising, and the sky is the limit on your profit.

How can you make your business more profitable?

All of the ways to make your business more profitable come down to making your business more visible. Try writing guest blogs for websites that your audience reads in order to get noticed. Offer to print things your community may need (such as prosthetics) in order to build good relationships and gain publicity. Finally, give 3D printed gifts to family and friends. This is a great way to generate good buzz and solid word of mouth.

STEP 2: Form a legal entity

The most common business structure types are the sole proprietorship, partnership, limited liability company (LLC), and corporation.

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your 3D Printing Design Business is sued.

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil.

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

• Separates your personal assets from your company's assets, which is necessary for personal asset protection.
• Makes accounting and tax filing easier.

Get a business credit card

Getting a business credit card helps you:

• Separate personal and business expenses by putting your business' expenses all in one place.
• Build your company's credit history, which can be useful to raise money later on.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a 3D printing design business. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits.

Trademark & Copyright Protection

If you are developing a unique product, concept, brand, or design, it is prudent to protect your rights by registering for the appropriate trademarks and copyrights.

Learn more about trademark and copyright protection

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance. If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

Is this Business Right For You?

This business is great for artists, particularly those who have created physical works (such as statues and carvings) before. Arguably, the most important part of this job is being able to take a good idea and use a combination of software and artistic skill to make it into a reality.

What happens during a typical day at a 3D Printing Design Business?

Your most prominent daily activities will be designing 3D objects and focusing on ways of selling them to consumers. If you are not relying on a third party such as Shapeways, then a generous portion of your time will be taken up by printing objects. Beyond this, your time will often be spent working on new ways to advertise your services online.

What are some skills and experiences that will help you build a successful 3D Printing Design Business?

To make your 3D designs, you will need special software (such as Blender) and experience using it. Similarly, if you are doing the 3D printing yourself, then you will need to be very familiar with using and troubleshooting your 3D printer. Finally, you should become very familiar with the 3D printing market—as it grows, it may become more of a challenge to make your own business stand out in the crowd.

What is the growth potential for a 3D Printing Design Business?

The growth potential for this business is quite large. The research company Canalys believes that the market for 3D printed goods will actually grow by 500% between 2014 and 2019.

Not sure if a 3D Printing Design Business is right for you? Try our free Business Idea Generator and find your perfect idea.