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How to start a candle business

Last reviewed . General information, not legal or tax advice.

To start a candle business, develop and burn-test a small range, cost each candle, and meet the safety rules: federal law limits lead in metal-cored wicks, candles containing a hazardous substance need cautionary labels, and voluntary ASTM standards cover fire safety and warning labels. Then register the business, get product liability insurance and choose where to sell.

What federal rules apply to candles?

The Consumer Product Safety Commission's candle guidance lists a short set of mandatory requirements:

  • Lead in metal-cored wicks. Under 16 CFR 1500.17(a)(13), the metal core of a candlewick may contain no more than 0.06% lead by weight of the metal. Candles and wicks above that, made or imported on or after October 15, 2003, are banned hazardous substances.
  • Shipping cartons for metal-cored wick candles. Each outer container or wrapper they ship in, including shipments to a retailer, must be labeled "Conforms to 16 CFR 1500.17(a)(13)." The retail display container does not need it unless it is also the only shipping container.
  • A certificate for metal-cored wicks. Candles with metal-cored wicks need a General Certificate of Conformity citing that rule. The CPSC says there is no certification requirement for candles with nonmetal-cored wicks.
  • Cautionary labels for hazardous contents. A candle that contains a hazardous substance as defined under the Federal Hazardous Substances Act must carry cautionary labeling.

If your wicks have no metal core and your candle contains no hazardous substance, the federal mandatory list is short. That is not the same as having no duties: you remain responsible for a safe product, which is where the voluntary standards and your own testing come in.

Which voluntary standards cover candle fire safety and labels?

The CPSC points candle makers to industry consensus standards, also called voluntary standards, published by ASTM International. They are not mandatory, but they are the standards the CPSC itself points to:

ASTM candle standards named by the CPSC
StandardWhat it covers
ASTM F2058Candle fire safety labeling
ASTM F2417Fire safety for candles
ASTM F2179Annealed glass containers made for use as candle containers
ASTM F2601Fire safety for candle accessories
ASTM F2326Collecting and analyzing visible emissions from candles as they burn
ASTM F1972Terminology for candles and accessory items

The CPSC page names the standards; their full texts come from ASTM International. For a small maker, the practical starting point is F2058 for the warning label and F2417 for burn performance, and F2179 if you pour into glass.

How do I develop and test a candle line?

A candle is a system: wax, wick, vessel, fragrance and dye all change how it burns. Treat a change to any one of them, even the amount of fragrance, as a reason to test again. A workable routine:

  1. Start with a few products, for example one vessel size in three scents, rather than a broad catalog.
  2. For each combination, record the exact materials and supplier lots, then burn samples from start to finish and note flame height, soot, how the wax pool forms and the vessel's temperature.
  3. Keep the records with the batch numbers you put on your labels, so that if a customer reports a problem you can trace which candles share the same materials.
  4. Ask wick and wax suppliers for their own data and certificates, especially for any wick with a metal core.
  5. Write your warning label to the F2058 approach before your first sale, not after.

How should I price candles?

Price from cost, not from what other shops charge. Build a cost sheet for one finished candle:

  • Materials: wax, wick, vessel and lid, fragrance oil, dye, warning label and brand label.
  • Packaging and shipping supplies: box, padding, tape and the postage you do not pass on.
  • Labor: your pouring, curing, finishing and packing time at an hourly rate you would accept, even if you do not pay yourself yet.
  • Selling costs: marketplace or card fees, which are a percentage of the price, so add them after you set a target margin.
  • Losses: test burns, failed pours and breakage, spread across good units.

Get supplier quotes at the quantities you will really buy, not sample prices. Then work the numbers through how to price a product or service, and check what a channel takes per order in how to sell on Etsy.

Do I need a license or insurance to sell candles?

There is no federal license to make candles. Licenses come from your state, county and city and depend on your location and activity, the SBA explains, and zoning rules can still apply to a business run from home. Ask your city about home occupation rules before you pour in volume, and see business licenses and permits. If your state taxes sales of goods like candles, you will also need a seller's permit.

Insurance matters more for candles than for most crafts, because the product is designed to burn in a customer's home. The SBA lists product liability insurance for businesses that make or sell a product; it covers financial loss when a defective product causes injury. Ask whether the markets and shops you plan to sell through require proof of liability cover.

Frequently asked questions

Do candles need a warning label?

Federal law requires cautionary labeling when a candle contains a hazardous substance under the Federal Hazardous Substances Act. Beyond that, the CPSC points makers to ASTM F2058, the voluntary standard for candle fire safety labeling. Following it gives your label a recognized basis, and the label is the main way your safety instructions reach the person lighting the candle.

Are lead wicks banned in candles?

Yes, in effect. Since October 15, 2003, candles made or imported with metal-cored wicks whose core contains more than 0.06% lead by weight are banned hazardous substances under 16 CFR 1500.17(a)(13). Candles with metal-cored wicks also need a General Certificate of Conformity and the conformity statement on their shipping cartons.

Can I make and sell candles from home?

Federal rules do not require a commercial workshop for candles, but your city or county may regulate home businesses through zoning and home occupation permits, and the SBA notes that home-based business coverage is often added to a homeowner's policy as a rider. Check local rules, and ask an insurance agent about product liability cover before you start selling.

Is ASTM F2417 required by law?

No. The CPSC describes the ASTM candle standards, including F2417 for candle fire safety and F2058 for labeling, as industry consensus or voluntary standards. Following them is still a sound way to document the care you took in designing, testing and labeling your candles, and it gives you clear answers when a buyer asks how your candles were tested.

Sources

  1. Candles Business Guidance, U.S. Consumer Product Safety Commission. https://www.cpsc.gov/Business--Manufacturing/Business-Education/Business-Guidance/Candles
  2. 16 CFR 1500.17, Banned hazardous substances, U.S. Consumer Product Safety Commission (eCFR). https://www.ecfr.gov/current/title-16/chapter-II/subchapter-C/part-1500/section-1500.17
  3. Pick your business location, U.S. Small Business Administration. https://www.sba.gov/business-guide/launch-your-business/pick-your-business-location
  4. Get business insurance, U.S. Small Business Administration. https://www.sba.gov/business-guide/launch-your-business/get-business-insurance

This guide is general information, not legal or tax advice. Rules differ by state and city and change over time, so confirm the details with the official sources above or a licensed professional.