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Jenny's Final Assignment — Defining Costs, Revenue, and Funding
Project: Custom-Designed T-Shirts Featuring My Artwork
Task 1 — My Project
My project is designing and selling custom T-shirts featuring my original artwork. I create unique designs that reflect my love of art and nature, and I print them on high-quality blank T-shirts. My target audience is art lovers and people who want clothing that stands out — something they can't find in a regular store.
What makes my T-shirts different is that each design is genuinely original. I draw everything by hand, scan it digitally, and work with a local print shop to bring the designs to life. Every shirt is a wearable piece of art.
Task 2 — My Costs and Expenses
Running a T-shirt business means tracking costs carefully — materials, advertising, and shipping all add up quickly.
My main costs include:
| Expense | Type | Estimated Cost |
|---|---|---|
| Materials (blank T-shirts, fabric paint, printing materials) | Variable | ~$200/month |
| Advertising (Google Ads, social media promotions) | Variable | ~$100/month |
| Packaging and shipping (boxes, tissue paper, tape, postage) | Variable | ~$50/month |
| Design software subscription | Fixed | $15/month |
Total estimated monthly costs: approximately $365/month Estimated initial investment: approximately $500 to launch (first batch of inventory + setup)
My biggest cost is materials — blank shirts and printing. I've been comparing suppliers to find the best quality at the lowest price. Buying in bulk reduces my per-unit cost, which improves my profit margin on each shirt.
Advertising is my second biggest cost, but I've found that a mix of paid ads and organic social media (free) can reduce this over time as I build a following.
Task 3 — Revenue Sources
My T-shirt business is for-profit, so generating revenue is central to the plan. I have two main revenue streams:
1. Direct Sales Through My Website Selling through my own website means I keep the full profit on every sale — no middleman taking a cut. When someone buys a shirt for $35 and my cost to make it is $12, I keep $23 profit. This is my primary revenue stream.
2. Art Markets and Events Selling at local art markets and craft fairs lets me reach a broader audience in person. People can touch the fabric, see the colours in real life, and connect with the story behind the designs. In-person sales often convert better than online because customers can see exactly what they're getting.
These two revenue streams work well together. Online sales give me reach and scale; in-person markets give me direct customer feedback and community connection.
Why this combination works: Both revenue streams align with my current business model and have strong growth potential. As my online following grows, website sales can scale without proportional cost increases. As I build a reputation at markets, I can qualify for larger venues and festivals.
Task 4 — Funding Strategy
To take my T-shirt business to the next level, I've decided to launch a crowdfunding campaign.
Why crowdfunding?
- My designs are unique and visually appealing — perfect for a crowdfunding pitch where visuals matter
- I have a track record of past success at local markets to share with potential backers
- Crowdfunding lets me raise money without taking on debt or giving up ownership of my business
What I would emphasize in my crowdfunding campaign:
- Uniqueness and creativity — every design is hand-drawn original art, not clip art or templates
- Past success — I've sold at two local markets and have repeat customers
- Potential with additional funding — with more capital, I can order larger batches (lower cost per shirt), expand to new markets, and invest in better photography for my online store
My crowdfunding goal would be $1,500 — enough to cover three months of materials, upgrade my packaging, and run a proper social media launch campaign.
Task 5 — My Lean Canvas: Cost Structure and Revenue Streams
Cost Structure:
- Materials (blank T-shirts, fabric paint, printing materials): ~$200/month
- Advertising (Google Ads, social media): ~$100/month
- Packaging and shipping: ~$50/month
- Design software: ~$15/month
Revenue Streams:
- Direct sales through my website (highest margin, scalable)
- Art markets and events (community connection, direct feedback)
My financial goal: Break even at approximately 16 shirts sold per month (at $35 each). Once I hit that number, every additional shirt is profit. My stretch goal is 30 shirts per month, which would generate approximately $690 in monthly profit after costs.
Task 6 — Reflection
This assignment made me think about the financial side of my business in a way I never had before. I knew I had costs, and I knew I made money from selling shirts — but I had never actually mapped it all out so clearly.
The most important thing I learned is that financial planning isn't just about tracking what you spend — it's about understanding how your costs and revenue work together to create a sustainable business.
For example, I realized that if I raise my prices slightly (from $35 to $38), I can cover my advertising costs more easily without needing to sell more shirts. That's a small change with a big impact.
I also feel much more confident about my crowdfunding strategy now. Before this assignment, crowdfunding felt vague and intimidating. Now I understand exactly what I need to communicate: my uniqueness, my track record, and my potential with more resources.
My biggest takeaway: being open to creative funding strategies is just as important as being creative with your designs. Crowdfunding is a perfect fit for a visual, art-based business like mine, and I'm excited to launch the campaign and take my T-shirt business to the next level.