How to sell handmade products online in the UK

To sell handmade products online in the UK, choose where to sell (a craft marketplace, your own shop, social media or a mix), price to pay for your time as well as materials, check the safety rules for your type of product, and register with HMRC once your sales pass the trading allowance. Then focus on great photos and the story behind what you make.

Handmade has a real advantage online: people buy from people. But it also comes with a few rules that catch makers out. This guide covers both.

Where to sell handmade products online

Most makers use two or three of these together.

• Craft marketplaces such as Etsy, Folksy and Not On The High Street. Shoppers come looking for handmade, but you pay fees and your shop sits next to many others.
• Your own website. More work to bring visitors, but you keep your customers, your brand and more of each sale.
• Social media. Behind-the-scenes videos of you making things are some of the most engaging posts there are.
• Craft fairs and markets. Not online, but a great way to meet customers who then buy from your website later.

A common route is to start on a marketplace to test demand, build a following on social media, then open your own shop when you have repeat customers. Our guide to moving from Etsy to your own website covers that step.

Price for your time, not just materials

Underpricing is the most common handmade mistake. A simple way to price:

1. 1Add up materials for one item, including a share of things like glue, thread or wax.
2. 2Time yourself making a batch, and work out the time per item.
3. 3Multiply that time by an hourly rate you’d genuinely be happy with.
4. 4Add packaging, postage, payment and platform fees.
5. 5Add a profit margin on top, so the business can grow.
6. 6Compare with similar handmade items. If you’re far above, look at making in batches or simplifying the design.

Check the safety rules for your product

Handmade products must be safe, just like factory-made ones, and some types have specific rules. As of October 2026, the main ones to know:

• Cosmetics (soaps, bath bombs, lip balms, creams): you need a UK Responsible Person, a Cosmetic Product Safety Report from a qualified assessor, and a notification on the government’s SCPN service before you sell.
• Candles and wax melts: fragrance oils can mean hazard labelling is needed. Your supplier’s safety data sheets will help.
• Toys and anything that might be treated as a toy: these must meet toy safety rules and carry a UKCA or CE mark. Soft toys and baby items need particular care.
• Children’s clothing: watch for drawstrings and small parts.
• Jewellery: items made of gold, silver, platinum or palladium over set weights must be hallmarked (1g for gold, 7.78g for silver, 0.5g for platinum, 1g for palladium). There are also limits on nickel in jewellery that touches skin.
• Food (cakes, sweets, preserves): register with your local council at least 28 days before you start selling. It’s free.

Personalised and made-to-order items

Under UK consumer law, online shoppers normally have 14 days to cancel. There’s an exception for goods made to the customer’s specification or clearly personalised, such as a name engraved on a chopping board.

• Explain this clearly in your terms and on the product page.
• The exception doesn’t cover faults. If it arrives damaged or not as described, the customer still has their rights.
• Choosing a colour from your standard options usually isn’t “personalised”. Check the guidance if unsure.

Tell customers how long made-to-order items take, and stick to it. A clear “made and sent within 5 working days” builds more trust than a vague promise.

Tax: when your hobby becomes a business

• As of October 2026, the first £1,000 of trading income in a tax year is covered by the trading allowance. Above that, you’ll normally need to register for Self Assessment with HMRC.
• That £1,000 is income (sales), not profit, unless you choose to deduct your actual costs instead.
• Online marketplaces now share seller information with HMRC. As of October 2026 they report sellers who make 30 or more sales, or receive more than about £1,700, in a year. Reporting doesn’t mean you owe tax, but HMRC will see the figures.

Keep receipts for materials and tools from the start. Check gov.uk for the latest rules.

Make your handmade shop stand out

Your story and your process are part of what people buy.

• Show your hands at work. Photos and short videos of making build trust and interest.
• Write an honest About page. Who you are, where you work, why you started.
• Describe materials precisely. “Solid oak from a Somerset sawmill” beats “high-quality wood”.
• Photograph consistently. Same background, same light, same angles across your range.
• Package with care. A neat, branded parcel turns a purchase into a gift-worthy moment.

Plan for busy seasons

Handmade sales often peak before Christmas, Mother’s Day and Valentine’s Day. Because you can only make so much, plan ahead.

• Build stock of your best sellers in the quieter months.
• Set and publish last order dates for each occasion.
• Pause personalised orders when you’re at capacity, rather than missing dates.

Grow without burning out

Once orders build up, time becomes your limit. Ways to grow:

• Make in batches rather than one at a time.
• Simplify your range: fewer products, made well.
• Raise prices on products with long waiting lists.
• Automate the admin: order emails, dispatch emails and review requests.

On your own website, a hosted platform can take care of much of that admin. Merchella, for example, sends dispatch emails and review requests automatically, so your time goes on making.

In short

To sell handmade products online in the UK: pick one or two places to sell, price for your time, check the safety rules for your craft, be clear about personalised orders, and register with HMRC once you pass the trading allowance. Then let your process and story do the selling.