How To Start a DIY Candle-Making Side Hustle from Home

Have you ever thought about turning your love for candles into a money-making hobby?

Whether you’re obsessed with filling your home with cozy scents or just looking for a creative way to earn extra cash, starting a candle-making business might be the perfect side hustle for you!

Why Candle-Making is the Perfect Side Hustle

Candles are more than just a source of light – they’re a mood setter, a stress reliever, and even a statement piece in home decor – and that’s why candles are so popular.

The candle industry is booming! In fact, according to a report by Grand View Research, the global candle market is expected to reach over $10 billion by 2028. People love candles, and they’re willing to spend good money on high-quality, unique, and handmade ones.

I remember a lady who I used to work with who started making candles just for fun during a holiday break. She made a few batches for gifts, and before she knew it, her friends were asking if they could buy them.

A few Instagram posts later, she had her first dozen orders, and now she runs a thriving Etsy shop!

It just goes to show that something as simple as melting wax and adding a scent can turn into a profitable business if you do it right.

And the best part is that you don’t need a huge budget or fancy equipment to get started.

You can test different scents and styles right from your kitchen and scale up as your business grows.

Whether you want to sell on Etsy, at local markets, or through your own website, there are plenty of ways to get your products in front of candle lovers.

1. Research & Planning

Before you start pouring wax, you need to have a game plan.

Taking some time to research the market and define your niche will help set you apart from the competition.

Find Your Niche

Not all candles are created equal! What makes yours special?

Here are a few popular niches to consider:

Luxury candles – High-end scents with premium ingredients.
Eco-friendly candles – Made with soy or beeswax, no synthetic fragrances.
Themed candles – Inspired by books, movies, zodiac signs, etc.
Wellness candles – Infused with essential oils for relaxation and aromatherapy.
Funny or quirky candles – Unique names and scents that make people smile.

Check Out the Competition

A quick browse on Etsy or Instagram will show you what’s trending. Take note of pricing, packaging, and customer reviews. What are people loving? What complaints do they have? Learning from competitors can help you position your brand effectively.

Define Your Brand

Think about what kind of vibe you want your brand to have. Is it elegant and sophisticated? Fun and playful? Natural and earthy? Your brand personality will influence everything from your packaging to your Instagram aesthetic.

I talk more about branding a little later!

2. Getting Started: Materials & Equipment

Now, let’s talk supplies! Here’s what you’ll need to start making candles:

Wax – Soy, paraffin, beeswax, or coconut wax.
Wicks – Cotton, wood, or hemp wicks (size matters for burn quality!).
Fragrance oils or essential oils – The magic behind your scent.
Dye (optional) – If you want colored candles.
Containers or molds – Jars, tins, or pillar molds.
A double boiler or melting pot – To safely melt your wax.
Thermometer – Helps ensure the right pouring temp.
Stirring sticks – To mix your fragrance evenly.
Labels and packaging – Make them look amazing!

🕯️ Tip: Start small and test different wax blends and scent combinations before buying in bulk. This will help you find the best formula without wasting money!

3. Mastering the Craft

Candle-making is part science, part art.

Here’s a simple step-by-step guide to making a basic soy candle:

Melt the wax – Use a double boiler to slowly melt your wax until it reaches around 170°F.
Add fragrance – Stir in fragrance oil (typically 6-10% of your wax weight) and mix well.
Attach the wick – Secure your wick to the bottom of your container.
Pour the wax – Let it cool slightly before pouring to prevent sinkholes.
Let it cure – Allow the candle to set for at least 24-48 hours before burning.
Trim the wick – Cut it to about ¼ inch before lighting.

Common mistakes? Wicks that are too small (resulting in tunneling), fragrances that don’t last (check your ratios), or candles that crack (pour at the right temp!). Practice makes perfect!

🕯️Tip: Take a look on YouTube, there’ll be dozens of videos on how to make candles there.

4. Branding & Packaging

Great branding makes people want to buy your candles before they even smell them! A strong brand identity helps you stand out, build customer loyalty, and create a professional look for your business.

Key Elements of Branding & Packaging:

A catchy business name – Choose something memorable that reflects your candle style. Think about what sets your brand apart—cozy, luxurious, quirky, or eco-friendly?
Logo and colors – Keep it simple yet stylish. Choose colors that align with your brand identity (earthy tones for eco-friendly candles, soft pastels for calming vibes, or bold, modern hues for trendy aesthetics).
Eco-friendly packaging – Many customers prefer sustainable options. Use recyclable jars, biodegradable labels, and plastic-free shipping materials to attract eco-conscious buyers.
Unique labels – Give your candles personality! Creative names and descriptions add charm (e.g., instead of “Lavender Candle,” try “Midnight Lavender Escape”). Handwritten tags or minimalist designs can also make your candles feel more premium.
Consistent branding across platforms – Make sure your website, Etsy shop, Instagram, and packaging all have a cohesive look and feel. A strong brand identity helps build trust and recognition among your customers.

Remember, packaging isn’t just about looks – it’s an experience. A beautifully packaged candle feels like a gift, even if it’s bought for personal use.

Investing in quality branding will make your candles irresistible to customers!

5. Pricing & Profit Margins

Pricing your candles correctly ensures you make a profit while staying competitive.

Here’s a basic formula to help:

(Material Costs + Time Spent + Overhead Costs) x 2 or 3 = Your Price

Example: If it costs you $5 to make a candle, you should be selling it for at least $15-$20. This covers materials, labor, and profit!

🕯️ Tip: I go into more detail about profit margins in my Home Business Roadmap ebook.

Other Factors to Consider

Perceived Value – Luxury candles with elegant packaging and high-end scents can be priced higher.
Competitor Pricing – Research similar products to ensure your prices are competitive.
Target Audience – Are you selling budget-friendly candles or premium, handcrafted ones?
Shipping Costs – Factor in packaging and postage if you’re selling online.

Boosting Profits

Also, consider offering bundles or subscriptions to increase customer retention and revenue. Discounts on multi-packs can encourage larger purchases. Limited-edition seasonal scents can also create urgency and increase sales.

If selling in-person, consider tiered pricing, like offering a discount when customers buy multiple candles. For example, “1 for $20, 2 for $35, 3 for $50” can entice people to buy more at once.

🕯️ Tip: Great product photos make all the difference when selling online!

7. Marketing & Growing Your Business

Marketing doesn’t have to be complicated!

Here are some fun and effective ways to get your candles in front of the right people:

Social Media Magic

Behind-the-scenes content: Show off your candle-making process on Instagram and TikTok.
Aesthetic photos: Create a cohesive feed with beautiful product shots.
Hashtags & trends: Use trending sounds and hashtags to boost visibility.
Live streams & Q&A sessions: Engage with your audience in real time.

Build a Community

Run giveaways: Ask followers to tag friends and share your posts for a chance to win.
Engage with customers: Reply to comments and messages to build relationships.
Create a brand story: Share what inspired your business to connect with your audience.

Collaborations & Influencer Marketing

Partner with micro-influencers: They have engaged audiences and can showcase your candles.
Wholesale & boutiques: Get your candles stocked in local shops.
Affiliate programs: Offer commissions to people who bring in sales.

Encourage Reviews & Word of Mouth

Ask happy customers for testimonials: Feature them on your website and socials.
Offer referral discounts: Reward customers for bringing in friends.
Provide top-notch packaging & customer service: This increases the chance of repeat purchases.

A solid marketing plan will help grow your business quickly and keep your customers coming back for more!

8. Legal & Business Basics

When starting your candle business, the legal and business basics are essential to set you up for success and avoid potential headaches down the road.

Let’s break it down:

1. Register Your Business

First things first, you’ll want to officially register your business. Depending on your location, this could mean getting a business license or forming a legal entity like an LLC (Limited Liability Company). An LLC is especially useful because it protects your personal assets from business-related liabilities. Plus, it can make you look more professional to potential clients and customers.

You’ll also need to check if you need a sales tax permit, which allows you to collect taxes from customers.

2. Insurance

Insurance is one of those things you hope you’ll never need, but it’s a lifesaver if something goes wrong. In the case of candles, liability insurance is important because you’re dealing with a product that involves heat and potentially flammable materials.

If someone were to get injured or if a candle caused damage to property, having the right insurance could save you from costly lawsuits.

Some insurance policies can also cover things like damage to your stock or equipment. Do your research to find the right type and level of coverage for your needs.

3. Safety Regulations

Selling candles isn’t as simple as making them and selling them to customers.

There are safety regulations you need to be aware of to ensure your candles are safe to use and meet the necessary legal standards.

The U.S. Consumer Product Safety Commission (CPSC) has guidelines for candle safety, and you might need to include specific labeling on your products, such as burn times, safety instructions, and ingredient lists.

Some states or countries may have additional regulations, so be sure to research what applies to your area.

It’s always a good idea to test your candles and make sure they burn correctly and safely.

4. Trademark and Copyrights

As you grow your brand, it’s a good idea to look into trademarks, especially if you’ve developed a unique logo, brand name, or specific candle designs.

A trademark protects your intellectual property and prevents others from using your brand name or logo.

You might also want to consider copyrighting any unique candle-related content you create, such as photography, written descriptions, or custom designs.

5. Contracts for Vendors & Customers

Whether you’re buying supplies from vendors or selling candles to customers, contracts help protect both parties.

A vendor contract should outline payment terms, delivery schedules, and responsibilities for both you and the supplier.

For customers, having clear terms and conditions on your website or in your contracts can help prevent misunderstandings, especially if you offer custom orders or need to clarify your refund policies. This is especially true if you’re selling candles online, as it builds trust with your audience.

6. Taxes and Accounting

Handling taxes can be overwhelming, but staying organized from the start will make things much easier.

You’ll need to track your expenses and income to file taxes correctly, whether you’re a sole proprietor or have an LLC.

It might also help to consult with an accountant who specializes in small businesses to ensure you’re meeting all local, state, and federal tax obligations.

Keep receipts for every purchase (supplies, shipping, marketing, etc.) to deduct these as business expenses when tax time rolls around.

And don’t forget about self-employment taxes!

In the long run, taking care of the legal side of your business might seem like a lot of work, but it’s totally worth it for peace of mind and to protect yourself and your business.

Plus, setting it all up properly can help you grow confidently and avoid any nasty surprises.