Focus on Fair Trade

The first thing I did upon returning to the States, with visions of business grandeur in my head, was to do some research. Ok, a lot of research. Initially, our focus was going to be products from Peru. So, I researched the competition to see what was out there. And, of course, no surprise, there are quite a few from the contintental US and from Peru. Some of the sites were fresh, full of great product, and easy to navigate. Some sites looked like the laundry we pull out of our bags after two weeks of travel. Then, I found sites offering a variety of products from other countries. As I poked around, my premise of Peruvian handcrafts began to extend beyond South America and soon took on the world. Continued surfing and I came upon several sites where the handcrafts were "fairly traded".

Now, I had heard of fair trade coffee to the point of buying it regularly in my local store. Fair trade bananas another one, but harder to find. Fair trade handcrafts? Hmmmm. Is this a gimmick or does it add value to my business? Let's consider Fair Trade:

Fair Trade - a social movement started in the 1940's with handcrafts sold through church organizations prior to it catching on in the agricultural model with great success. Fair trade ensures the artisan receives a living wage, which at a minumum is the country's minimum wage, but often is far above it. Working conditions, benefits, education, and market access are all improved under the fair trade model. Sounds fair to me. What does this mean to the consumer? Yes, prices are higher than a non fair trade item, but not so significantly that it makes you think twice. In fact, you'll sleep better knowing that the artisan wasn't starving, dying or under 10 years of age when they made your handcraft.

Ok, that said, the premise for the business was fully developed and the business plan ready to be written. Mamacuna Traders, an Internet retailer, would sell handcrafts from around the world made by Fair Trade Certified artisans or producer groups practicing fair trade practices.

My research included the competition, the marketplace, trends analysis, and oh yes, financials. Financials - the make or break section of every business plan. Now if I can just find my calculator...

Naming Baby

Ok, we have accepted the fact we are going to start a new business selling handcrafts via the Internet. And just like being a little pregnant, the first thing we want to do is name it. Advice? Don't drink Pisco Sours while figuring out a name for your company. This is your brand. It is important that the company name is associated with the type of company you have in mind, except if you are a lawyer or PR person where using your actual name is not only a benefit, but it feels good too.

Most important is to make sure there is no one else out there with that name. Too many times, companies have started the ball rolling, spent thousands of dollars getting creative advertising done, built a web site, handed out business cards, and screenprinted tee-shirts to find out that Joe Smith owns a company by the same name the next town over! How do you find out if anyone else is using the name you wish to bestow on your brand new little baby?

1) Search the Internet - Are there 300,000 companies out there using your chosen name in some way? - Back to the drawing board

2) Check for trademarks - log on to http://www.uspto.gov/ where you can do a quick check (if it passes here, great, but don't go hiring the ad agency yet)

3) Check for exisiting domain names - if you don't see it, GRAB IT and get your domain name registered

4) File with your Secretary of State if you plan on forming a corporation, LLC, or other partnerships. They'll let you know if someone in your state is already doing business under that name or a very similar name

5) If you cleared all the above hurdles -GO BACK TO http://www.uspto.gov/ AND GET A TRADEMARK.

So, needless to say, our time running short in Peru, the name of our business just popped up before our eyes. On a visit to Pachacamac, home of the ugliest dog, and where the great sun god Inti was celebrated with a little blood lust, we came across this sign. "Mamacuna." I liked the ring of it. Cuna translates from Spanish as "cradle" and although there is no literal translation of the term, these women were the chosen wise women who educated Inca girls from the cradle and trained them in the traditional crafts. Mamacuna - keepers of the traditional arts and crafts - we liked that, and added Traders to better define our business mission. There you have it. Mamacuna Traders was ready to get started - all we needed to do was write a business plan and figure out how much this endeavor would cost us.

Next post - How not to fall asleep while writing a business plan.

Handcrafts of Peru

Since my initial blog this week, Peru suffered a series of earthquakes, the first registering at 7.9 on the Richter scale. My family members checked in, everyone was a bit shaken, but amazingly enough nothing was damaged. Earthquakes are not something unfamiliar in Peru. During our visit in March 07, tour guides would remind us of past earthquakes, big and small, that had left their thumbprint on the city.

So, what in Peru captured our attention enough to warrent adding additional chaos to our lives? The handcrafts. Now, I have to slip in here that I am a crafter artisan type person myself. Not the traditional crochet toaster cover crafter, but the kind that peers under lampshades, pulls at seams, feels the wall thickness on pottery, just so the poor person I am shopping with can hear me exclaim, "I can make this." And usually I do. There are paintings, slip covers, pottery, mosaics, lamps, pillows, boxes, you name it, all over my house with my signature on it. The reason I am telling you this, is to qualify the fact I know quality in crafting. I know the skill set it takes. I know the years of learning and doing it over and over and over again, until you can do it in your sleep. So when I see fine and steady embroidery, tightly woven baskets, and unique pottery, I know I am in the company of masters.

Just a couple of fun examples that we found. The embroidery is quite exquisite and you will find it on just about any type of apparel; belts, purses, hats, vests, and even this fun little wallet. The embroidery usually features several of the iconic animals of Peru such as the hummingbird, the owl, the fish, and the condor. The reverse glass mirror was an art form introduced by the Spaniards. The Peruvian artisan has taken reverse glass painting to new levels of expertise from the stylized floral pattern found on this small mirror to wonderful religious paintings. The earrings are made of shell, which is a popular jewelry item, even here in the U.S. but the detail into which they add the twisted wire pattern. It's almost as if they are making lace out of wire.

Then there is the Alpaca; alpaca blankets, alpaca scarves, alpaca ponchos, alpaca purses, and of course baby alpaca teddy bears. These little cuties, made from the first shearing of a young alpaca are so incredibly soft you'll end up buying one and walking around the market cuddling it as if it were puppy or kitten.

So, there you have it, just some of the wonderful items we saw that we thought might sell in the States. Next step was to get home and start planning the new business. But wait, what the hell are we going to call this company? Stay tuned to this blog to find out how you too can find a name for your business in the least obvious place (or sometimes the most!)

Birth of a Business - The Aha Moment

After several busy years working as a PR professional in the law enforcement and military markets, my husband and I took a much needed vacation with our adult daughter in tow. No, not the aqua blue waters and sandy beach resort this time, but Peru. Now, I understand there are those that would never include Peru in any of the places they might visit before they die, and some that see Peru as part of a life long spiritual stepping stone. We have family there, so we saw it as international travel on the cheap side.



We were looking forward to two weeks of visiting a couple of growing nephews, taking in the glories of Machu Pichu and overall, just relaxing in the bosom of family. No one was anticipating the birth, or even the gestation of a business idea. And that's normally when it happens; when you are most relaxed and least unaware.



For me, it hit the next day. After taking in the local customary Pisco Sour before lunch, we started to stroll the famous Inca Market in Lima, Peru. I don't remember if it was Aisle 3, the cacophony of color, the wicked cool embroidery, or the Pisco Sours that got me, but I had the "Aha" moment.



"We could sell this stuff in the States!"



Several dollars lighter, I mean later, we left the Inca Market but the idea of bringing this riot of color and craft to other interested armchair travelers wouldn't go away.



It persisted through the rainy night at Agues Calientes and the climb to Machu Pichu. It persisted over Cerviche and Cusquena. It announced its name at the Pachacamac ruins as "Mamacuna". So, needless to say, we packed up our new born idea and flew home to New Hampshire.



That was in March of 2007 and we are awaiting the physical birth of this endeavor as http://www.mamacuna.com/ which goes live in a little over two weeks.



So - between March 2007 and August 2007 what the heck have we been doing? That's what this blog is about, our adventures in entrepreneurial land. But, this isn't about first timers. Oh no, we've created a few businesses before, but this one, an international import Internet retail site with a focus on handcrafts and fair trade products?...that's the story!