How to Start a Candle Business: Real Startup Costs, Profit Timelines, and COGS Explained

If you’re researching how to start a candle business, this post breaks down everything I wish I’d known when we began: realistic startup costs, how long profitability can take, practical steps to scale beyond home production, how to choose wicks, whether you need seasonal collections, how to keep cost of goods sold (COGS) manageable, and where your buyers actually hang out online.

I’m writing this from experience. We launched our candle business with a modest budget, iterated fast, and reinvested every sale back into the company. Within a few years we scaled into retail, wholesale, and multiple revenue streams. This post is a practical, no-fluff guide for makers who want to turn candle-making into a real business — and it’s written in the voice I use with members of our community every day.

Quick Overview: What you'll learn

• Exactly how much it costs to get started, realistically
• A clear timeline and milestones for reaching profitability
• How to test wicks and choose the right one without wasting supplies
• Practical, low-risk strategies for scaling beyond making candles at home
• Why seasonal collections are optional — and when they help
• How to keep COGS low without buying everything in bulk
• Which marketing channels actually convert for candle brands

Why this guide and why now

If you’re wondering how to start a candle business because you love candles and want to make money doing it, you’re in the right place. There’s a lot of content out there, but most resources either over-simplify the financial reality or push expensive shortcuts. My goal is to help you make smart, repeatable choices that let you start lean, iterate, and scale profitably.

Core principle: Start small, sell first, scale second

The single most important mindset for anyone learning how to start a candle business is simple: start small, get feedback, and reinvest. Resist the urge to buy every color of glass or a warehouseful of wax before you’ve sold your first candles. The upfront capital you truly need is modest compared to what many people assume.

Real startup costs: How much does it cost to start a candle business?

When people ask how to start a candle business, the first question is always, “How much will this cost?” The honest answer is: it depends — but for most solo makers who start intentionally, you can get off the ground for roughly $1,200 to $1,500. That covers testing supplies, enough initial inventory to sell, basic packaging, and essential tools.

Why that range? Because you’ll need to buy:

• Wax (sample and a few boxes)
• Wicks (several sizes for testing and a supply for initial candles)
• Fragrance oils (sample sizes and a few pounds of your top sellers)
• Vessels (start with a simple glass you can use across scents)
• Labels and basic packaging
• Basic tools: a scale, thermometer, pouring pitcher, melter (or crockpot), gloves

There are additional optional expenses — branding, a professional label printer, professional photography, or a premium melter — but you don’t need all of them to start. Many makers launch with high-quality DIY photos and invest in professional assets only after validating demand.

Now, some people will tell you they spent $5,000+ to start. That happens when makers test dozens of waxes, try multiple supply chains, iterate their brand identity, and buy seasonal vessels. That route is valid, but not required. If your question is how to start a candle business without a huge budget, focus on a small, validated product line and iterate.

What to buy first: the minimum viable candle business kit

To be practical, here’s a minimum list to begin selling candles quickly and testing demand:

• Two wax types to test (or one if you're confident): e.g., 464 paraffin blend and a coconut-soy blend
• Wicks recommended by your wax supplier (start with recommended sizes)
• 6 fragrances to test (start with 5–6 scents; don’t overextend)
• 5–10 vessels (enough to make small batches and fulfill early orders)
• Labels (you can print at home or use a small run from a label printer)
• Scale, thermometer, pouring pitchers, gloves, and a simple melter
• Boxes or mailers for shipping

Start with 5–10 candles per scent. Make as you sell. Don’t sit on inventory for months. When you reinvest every sale into inventory and marketing, your business gains velocity with limited capital.

Timeline to profitability: realistic expectations

People want a timeline: “How long will it take to be profitable?” There’s no single answer — profitability depends on your niche, pricing, sales channels, and how much time you invest. But here are realistic timelines based on common trajectories:

• Fast path (3–9 months): You treat your candle business like a business from day one. You pick a focused niche, have a clear target customer, sell at markets and online, and reinvest proceeds. You test 5–6 scents, find 1–2 winners, and scale them. Many makers can hit profitability inside the first year on this path.
• Moderate path (9–18 months): You grow more slowly — testing more scents, learning branding, and finding the right sales channels. Profitability takes longer because you’re iterating openly in the market.
• Long path (1–3 years+): Often the result of starting part-time, experimenting widely, or trying seasonal-only products without market testing. You can still succeed, but expect a longer runway.

For context, we started selling in February and opened a storefront in August of the same year. That was a fast path motivated by proof of product, storefront confidence from wholesale and markets, and the ability to dedicate resources. You don’t need to open a storefront to be profitable; many makers stay profitable without retail space.

Step-by-step 90-day action plan: from hobbyist to seller

If you want a concrete plan on how to start a candle business, here’s a 90-day roadmap to get you selling and measuring progress:

Days 1–14: Foundations and testing

• Define your why and target customer. Who are you making candles for? (This drives all decisions.)
• Pick 4–6 scents that fit your niche and branding.
• Order small amounts of wax, wicks (recommended sizes), vessels, and sample oils.
• Start wick testing using supplier-recommended sizes.

Days 15–45: Create your product and initial inventory

• Dial in formulas for two winning scents and one back-up.
• Make 5–10 candles per winning scent (small batch).
• Take consistent product photos for your shop and social profiles.
• Create a simple Shopify (or other) store and set up basic shipping and policies.
• Collect emails on day one — even if it’s a “coming soon” landing page.

Days 46–90: Launch, gather feedback, and reinvest

• Launch online and do at least one local market or pop-up.
• Collect customer feedback: scent, throw, burn quality, packaging impressions.
• Reinvest every sale wisely: if a scent sells, buy more raw materials. Test additional promotions via email or social ads.
• Track COGS carefully and calculate your margins. Adjust pricing if necessary.

If you follow this plan, many makers reach profitability within the first 3–9 months. The key is focusing on a small set of well-performing products and reinvesting revenue into what sells.

Choosing wax and wicks: practical wick-sizing and testing advice

One question I answer every day is about wicking: which wick should I use and how do I choose the right size? Here’s a straightforward approach that saves time and inventory costs.

Start with supplier recommendations

Nearly every wax supplier publishes a wick chart. Use it. Suppliers want your candles to succeed — that means their recommended wick for a specific wax is a great starting point. For example, in our shop we use a 464 wax (a paraffin blend) with CD wicks, and a coconut-soy blend with Performance-type wicks. When we first tested, we tried switching to other options and circled back to the supplier recommendations every time.

A simple testing protocol

When you run wick tests, keep the experiment controlled:

• Use the same fragrance load for each test candle.
• Pour at the same fill temperature and ambient temperature.
• Use the same vessel size and fill level.
• Trim wicks to a consistent length each burn.
• Run tests for at least 4–6 hours to see the full melt pool and hot throw.

What you’re looking for:

• Melt pool diameter: consistent and reaches the jar edges in a reasonable time
• Flame height: not too tall (sooting) and not too short (tunneling)
• Even burn without excessive sooting or mushrooming on the wick
• Good hot and cold throw of fragrance

When to go up or down a wick size

If your melt pool is too narrow and the candle tunnels, go up one wick size. If the flame is too high, smokey, or causing black soot, go down one size. Remember: soy and coconut blends burn differently than paraffin blends. That’s why choosing the right wick for the wax type is critical.

Common mistakes with wicking

• Skipping supplier recommendations and guessing on wick size
• Testing with different ambient temps and not controlling variables
• Changing multiple variables at once (wax type + wick + fragrance), which makes troubleshooting impossible
• Over-filling early tests — if you pour too hot or too high, variables get muddied

Scaling beyond home production: when and how to move out of your house

If you’re asking how to start a candle business and scale it, you’ll eventually face a decision: do I continue at home or move production out of the house? Many makers start at the kitchen table. We did too — then we moved into a bedroom studio, then into a retail storefront and production space.

Signs you’ve outgrown your home setup

• You can’t find space to store inventory and supplies
• Production is spilling into family time or your paid 9–5
• Shipping and fulfillment become chaotic and inefficient
• You’re hitting a sales ceiling because your workspace limits batch size

Options when you outgrow home production

There are three common routes:

1. Rent a temperature-controlled production space (warehouse): This is a low-overhead option if you don’t need foot traffic. Expect to pay roughly what a storage/warehouse proximate to you costs — in our area it was about $1,000/month for a basic space when we researched alternatives.
2. Open a retail storefront: More commitment, but it provides a customer-facing brand experience and can offset some rent with retail revenue. Our retail storefront rent was about $1,600/month — a higher commitment but it brought everything out of the house and provided a place to sell directly.
3. Focus on wholesale/private label fulfillment: If you can secure wholesale accounts or corporate gifting clients, production can scale in a dedicated backroom or rented production space without retail overhead.

How to decide

If retail sounds appealing, ask yourself: Do I have consistent demand? Do I have proof of product through markets or wholesale? A storefront is a bigger financial and time commitment than a warehouse, so don’t open one just because you’re feeling cramped. If you have proof of product — consistent sales, good wholesale interest, strong market results — then a storefront can make sense.

Practical transition tips

• Validate demand before signing a lease: markets and wholesale are low-cost validators.
• Plan for payroll: if you’ll hire staff, factor that into your monthly break-even numbers.
• Choose a temperature-controlled space for wax stability.
• Consider proximity to UPS/USPS and major roadways to reduce shipping time and costs.

Seasonal collections: do you need them?

Short answer: no, you do not need seasonal collections to succeed. It all depends on your niche and brand strategy.

We launched a lifestyle fragrance brand that is evergreen — the scents work year-round and we plan to slowly expand the product line without seasonal rotations. If your niche is “elevated hotel-style” or perfume-inspired scents, seasonal pumpkin spice or peppermint may not fit your brand voice.

That said, seasonal collections can be a strong marketing lever for certain niches. Consider these scenarios:

• If your audience expects seasonal products (e.g., cozy fall scents for cottage farmhouse lovers), seasonal collections can boost sales.
• If your product line is brand-focused or perfume-derived, keep it evergreen and add limited editions only when they align with the brand story.
• Use seasonal scents strategically — as limited editions to generate urgency — rather than as your core business model if your brand is evergreen.

Keeping COGS low without buying everything in bulk

COGS (Cost of Goods Sold) drives whether your candle business is profitable. When starting out, most makers worry they must buy everything in bulk at the best price to survive. That’s not true. Smart buying and product decisions will keep COGS manageable while preserving flexibility.

Strategic purchasing approach

• Buy small for testing. Only bulk-buy once you’ve validated a scent.
• Buy wax in larger quantities when you know it’s a winner — shipping discounts can be dramatic.
• For vessels, start with a single, versatile jar you can use across scents (a simple libbey-style glass works well). Specialty colored vessels are fun, but they can leave you stuck if they go out of stock or don’t sell.
• Look at per-case pricing thresholds. Buying slightly more to reach the next pricing tier (e.g., 6 cases to 7 cases) can meaningfully lower cost per lid or per jar.
• Shop suppliers with favorable shipping thresholds. For example, adding a few boxes of wax might drop UPS shipping dramatically once you hit a threshold weight.

Real examples to illustrate COGS thinking

When we started, our cost to make a particular candle was about $7.25. Today, with optimized sourcing and volume, that same candle costs us roughly $5.50 to make. We sell it for $26 and still have healthy margins. The key was finding ways to reduce cost per unit that didn’t compromise quality: vendor negotiation, shipping threshold optimization, and consolidating vessel types.

Don’t obsess over the perfect wholesale deal early. Instead, focus on reducing costs that will most reliably lower per-unit expense once volume ramps up: wax, vessels, and shipping. Labeling and packaging are also areas to optimize — use durable, attractive labels that scale economically.

Pricing strategy: how to price for profit

When you learn how to start a candle business, pricing is one of the most misunderstood parts. Basic pricing principles:

• Calculate true COGS per unit: wax, wick, fragrance, vessel, label, box, tape, and shipping materials.
• Add labor cost per unit (even if it’s just your time at the beginning).
• Factor in overhead: storage, marketing, platforms, rent (if any), and payroll.
• Price according to your niche: boutique candles often command a $20–$40 price point, while mass-market candles command lower prices.

Example: if a candle costs $5.50 to produce and the packaging/labor/overhead adds $2.50, your true cost is $8.00. Selling at $26 gives you a margin to cover marketing and growth. If your target market won’t pay that price, either change the product to reduce costs or reposition to a higher-value niche.

Sales channels: where to sell your candles

There are many ways to sell candles. Focus is more important than being everywhere. Here are channels to consider and when they make sense:

Direct-to-consumer (DTC) — online store

Great for brand control and higher margins. Prioritize DTC if you can drive traffic via social media, email, or paid ads. Collect email addresses from day one — they’re gold for promotions and cash injections during slow months.

Markets and pop-ups

Excellent low-cost testing grounds. Markets give quick feedback and proof of product. Many makers validate scents and packaging at markets before investing more in inventory.

Wholesale and private labeling

Good for volume and reducing reliance on direct marketing. Wholesale margins are lower per unit, but volume can dramatically improve cash flow and brand exposure. Wholesale success is often the proof you need to justify a bigger production space.

Corporate gifting and fundraisers

Large, predictable orders can stabilize cash flow. Fundraisers are an underrated way to get your label into new hands with low acquisition cost. If you’re wondering how to start a candle business with minimal ad spend, fundraisers and corporate gifting are channels to explore.

Retail storefront

Higher overhead and commitment, but offers a powerful brand experience. Only open a storefront if you have evidence of consistent demand and the financial ability to cover monthly rent and payroll during slow months.

Marketing and customer acquisition: where your customers hang out

One of the most common questions I get when people ask how to start a candle business is: “Do I need a YouTube channel or all the platforms?” The short answer: no. You don’t need to be everywhere. Find your customer — and be where they already are.

For our brand, the primary platforms that convert are Facebook and Instagram. We spend most of our time and marketing budget there. That might change by niche — some audiences respond better to TikTok or Pinterest — but the point is to be intentional.

If you’re a niche lifestyle channel or creator who already has a large following, a YouTube channel could be a natural place to include candle sales. But most candle brands do not succeed because of YouTube presence alone. Focus on:

• Collecting email addresses from day one
• Building consistent, high-quality content for 1–2 platforms where your customers are
• Using paid promotions strategically to boost new product launches or holiday pushes

Common mistakes I see when makers learn how to start a candle business

Over the years, I’ve seen some consistent patterns among makers who struggle. Avoid these mistakes:

• Buying thousands of dollars of inventory before validating product-market fit
• Testing too many fragrances at once (avoid the scattergun approach)
• Overcomplicating packaging early — choose simple, versatile vessels and invest in branding later
• Ignoring email collection — email campaigns are reliable revenue drivers when done right
• Rejecting supplier wick recommendations without testing them properly
• Trying to be on every platform — pick two and do them well

Tools and resources to streamline your business

There are several tools every candle business should consider:

• Inventory and COGS software — we use Inventora to calculate COGS accurately. Having a system to track raw materials and per-unit cost is a game-changer.
• Reliable suppliers for wax and fragrance — choose reputable vendors and follow their wick recommendations.
• A melter that suits your batch sizes — for many makers, an automated melter is the best investment once volume grows.
• Shipping discounts — optimize your shipping by reaching carrier thresholds and negotiating rates when volume allows.

Branding and packaging: how to look premium on a budget

You can get a premium look without premium overhead if you prioritize the right elements:

• Pick one vessel that works across your collection
• Invest in clean, memorable labels and consistent typography
• Use simple, sturdy shipping boxes and add a tissue or sticker to enhance unboxing
• Focus on consistent photography — good lighting and simple staging can look professional

Branding is how you justify price. If you want to sell at a $20–$30 price point, your design and messaging must reflect that value.

How to price wholesale vs retail

Wholesale pricing is typically 50% of retail or priced to allow a 2x mark-up for retailers. If your retail price is $26, consider a wholesale price that gives your retail partners room to mark up while keeping you profitable. Always calculate your break-even wholesale volume before offering deep discounts.

Why collecting email addresses matters from day one

Email is the most reliable channel to drive repeat sales and cash injections. We learned this the hard way — we started collecting emails months after launch and it cost us missed sales. Once you’ve built an email list, you can:

• Run flash promotions (great for covering tax bills or slow months)
• Announce new products with an existing audience
• Build loyalty via content and exclusive offers

What to expect in year one vs year three

Year one is about validation: testing scents, establishing suppliers, building a small audience, and learning fulfillment. Expect to reinvest heavily and make operational mistakes — that’s normal.

By year three — if you’ve been consistent — you can expect:

• Multiple revenue streams (DTC, markets, wholesale)
• Refined COGS and supplier relationships that lower cost per unit
• Potentially retail locations or outsourced production
• Stronger brand recognition and repeat customers

We crossed significant milestones in our first three years by focusing on product quality, reinvesting revenue, and expanding into wholesale while maintaining an online presence.

Ethics, safety, and compliance

Safety is non-negotiable. Learn the regulations in your region about labeling, flame-retardant materials, and fragrance disclosures. Use proper testing protocols so you don’t create a product that’s a fire or health hazard. Labeling should include:

• Burn instructions
• Fragrance and ingredient disclosures as required
• Warnings for children and pets

Complying with safety standards protects both your customers and your business longevity.

Examples of low-cost marketing wins

When you first learn how to start a candle business, marketing can feel overwhelming. Here are low-cost, high-impact tactics:

• Local markets and pop-ups for immediate feedback
• Collaborations with local boutiques or complementary brands for co-promoted launches
• Simple email campaigns tied to launches, holidays, or need states (e.g., “calming evenings”)
• Referral discounts — incentivize customers to refer friends

How to measure success: KPIs that matter

Track these KPIs from day one:

• COGS per unit and gross margin
• Customer acquisition cost (CAC) by channel
• Average order value (AOV)
• Repeat purchase rate
• Inventory turnover

Keep your reporting simple. If you can’t track profit per SKU, you don’t know what to scale.

Advanced scaling options

Once you have proof of product and consistent sales, consider these growth levers:

• Private label and white label production for other brands
• Wholesale distribution partnerships
• Licensing fragrance formulas for other product categories (e.g., perfumes)
• Scaling fulfillment via 3PL when order volume grows

Resources I recommend

Start with these essentials:

• Inventory/COGS tracking (we use Inventora)
• Reputable wax suppliers and wick charts — follow their recommendations
• Start with versatile vessels (Libbey-style clear jars) to avoid being stuck on seasonal colors
• Melters and automated equipment as your batch sizes increase

Case studies and examples

Here are two abbreviated case studies illustrating different paths to profitability:

Case study 1: Solo maker — weekend nights and markets

Jane launched with $1,300, tested six scents, and sold at local markets on weekends. She reinvested profits monthly and focused on email collection and Facebook ads targeted to local shoppers. By month nine she had consistent online orders, by month 14 she reached break-even, and by year two she had a small 3-room production space for weekday fulfillment.

Case study 2: Fast scale via wholesale

Mark focused on hotel-style scents and targeted local boutiques for wholesale. He invested in samples and pitch kits and secured several small retail accounts. Those early wholesale orders gave him the cash flow to invest in larger wax purchases and a small warehouse, and within 18 months he was fulfilling both retail and DTC orders profitably.

Common FAQs about how to start a candle business

FAQ: How much money do I need to start a candle business?

Realistically, plan on $1,200–$1,500 to cover testing, initial inventory, packaging, and basic tools. You can start with less if you already have some supplies, but this range gives you flexibility to test 4–6 scents and make an initial inventory to sell.

FAQ: How long until I’m profitable?

Profitability can happen as soon as a few months or take a couple of years depending on focus. If you validate products quickly, sell consistently, and reinvest profits, many makers reach profitability in 3–9 months.

FAQ: Do I need seasonal collections?

No. Seasonal collections can help specific niches, but they are not required. If your brand is evergreen or perfume-focused, stick to year-round scents that align with your brand.

FAQ: How do I choose wicks?

Start with the wick sizes your wax supplier recommends. Run controlled burn tests and adjust up or down based on melt pool and flame behavior. Don’t change multiple variables at once.

FAQ: Should I buy everything in bulk?

Don’t buy everything in bulk at the beginning. Buy sample sizes and small batches for test runs. Once you have winners, buy larger quantities — often the biggest savings come from shipping thresholds and per-case price tiers for vessels and lids.

FAQ: Do I need a YouTube channel to sell candles?

No. A YouTube channel can be useful for creators with an existing audience, but it’s not required for selling candles. Focus on the platforms where your target customers are — for many candle brands that’s Facebook and Instagram. Collect emails from day one.

FAQ: How should I price my candles?

Calculate COGS, add labor and overhead, and price to reflect your niche. Many boutiques sell candles in the $20–$40 range. If your product costs $8–$10 to produce in total, a retail price of $26 can provide healthy margins.

FAQ: What vessel should I start with?

Start with a single, versatile vessel such as a clear glass jar that works across scents. Avoid specialty colors early on to prevent being stuck with unsellable inventory.

Final checklist before you launch

• Defined your why and target customer
• Validated 1–3 winning scents through small runs and customer feedback
• Calculated COGS and set retail and wholesale prices
• Set up a simple online store and email capture
• Launched at least one market or wholesale conversation to test demand
• Established basic bookkeeping for inventory and expenses
• Planned your reinvestment strategy for the first 6–12 months

Parting advice: Start, test, and iterate

If you’re still wondering how to start a candle business, remember this: the barrier to entry is low, but the path to success requires intention and persistence. Start with a focused product line, follow supplier guidance for wicking and wax, and use markets and wholesale to validate demand before expanding your footprint. Collect emails, track COGS closely, and reinvest profits into what sells.

Running a candle business can be incredibly rewarding, but it will test your patience and your willingness to learn. Surround yourself with a community of makers, ask questions, iterate quickly, and keep your focus where it counts: product quality, predictable customer acquisition, and financial discipline.

If you want to dig deeper into any of these topics — wick testing methodology, COGS templates, or a step-by-step candle course — I’m here to help. But the most important thing is this: take one small, validated step forward today.

Additional Frequently Asked Questions (Extended)

FAQ: How many scents should I launch with?

Start with 4–6 scents and make a small inventory of 5–10 units each. Too many scents dilute your brand and increase inventory complexity. As one scent becomes a consistent seller, scale it and add complementary scents slowly.

FAQ: How do I avoid being stuck with unsold vessels?

Use versatile, neutral vessels for your core collection. Specialty colors and seasonal vessels are great for limited editions only after you’ve validated sales. Supplier inventories change frequently; building your business around evergreen vessel choices reduces risk.

FAQ: How do I calculate my labor cost per candle?

Estimate the time it takes to make a batch and assign an hourly rate to your time. Divide the labor cost across the number of candles produced in that batch. This gives you a per-unit labor cost to include in your COGS.

FAQ: Should I offer discounts to retailers?

Be strategic. Offer wholesale pricing that allows retailers to make a margin while leaving you profitable. Avoid deeply discounted wholesale deals unless they come with volume guarantees or marketing support that justify the lower price.

FAQ: How do I handle returns and refunds?

Have clear policies posted on your website. For damaged items, require photos and proof of purchase. For customer satisfaction issues, offer replacements or store credit where appropriate. Clear policies protect both you and your customers.

FAQ: When should I hire help?

Hire when the time you spend on operations prevents you from focusing on high-impact growth activities, or when order volume consistently delays fulfillment. Consider part-time fulfillment help first before hiring full-time staff.

FAQ: How do I ensure scent consistency?

Keep supplier lot numbers, document fragrance loads, and maintain consistent pouring temperatures and batch records. Small changes in temperature or fragrance dose can alter the throw, so standardize your process and record every batch.

Wrap-up

How to start a candle business is a question I answer every day. My main message: start small, validate quickly, and reinvest strategically. Use supplier recommendations, follow structured wick-testing protocols, and focus your marketing where your customers are. Keep COGS manageable by choosing versatile vessels, optimizing shipping thresholds, and buying in larger quantities only after you have proven winners.

Take the next step: make a single candle, sell it, collect feedback, and reinvest the earnings into growth. That single loop — build, sell, learn, reinvest — is how you move from hobby to profitable candle business.

Remember: defined purpose, focused product selection, and disciplined reinvestment matter more than a big budget. Start today and iterate with intentionality.