Patches and Emblems Can Be Packed With Profit

Being smart about sourcing blanks for emblems and patches enables you to produce high-margin finished goods.
Nov 1, 2007

By Jimmy Lamb, Contributing Writer

Patches and emblems can be excellent profit centers for a small embroidery shop. Most companies that specialize in these products are quite large and require minimum quantities in the range of 100 pieces or more. However, many customers looking for small quantities — in the five- to 24-piece range — are not being serviced. You can take advantage of this by offering small runs of custom patches. The processes are simple and can be used to embroider virtually any patch of any shape or size. Before discussing these techniques, let's take a look at the traditional patch-making process.

The production process used by companies that specialize in making patches from scratch involves special tools and processes that are not readily available to the average embroidery shop. The typical production process starts with the embroidery being done directly on the fabric that will serve as the base of the patch — usually twill. Then, the fabric is cut out in the shape of the desired patch. This is done using specialty cutting machines such as die-cutters or lasers.

Finally, a merrowed edge (looks like a satin border, but it's not) is applied using a merrow machine. This provides a neat, clean border for the patch and also seals the ends of the emblem. The production process also may include adding a "sealant" on the back of the patch. The result is a sturdy, professional-looking emblem that is ready for customer delivery.

The process sounds simple, but creating a high-quality patch from scratch is not a task for the do-it-yourselfer or small embroidery shop. One common misconception is that you can sew a design onto twill fabric, embroider a satin border around it in the desired shape of a patch and then carefully cut away the excess fabric along the outside edge of the satin border.

There are three problems with this concept. First, the satin border does not seal the edges of the patch. Next, it has a tendency to unravel. Finally, it's impossible to trim the fabric close enough to the edge of the satin border to remove all traces of it. All three problems combine to produce a patch with a low- quality appearance.

Still think this is a do-it-yourself project? Calculate the time it costs you to create the patch from scratch, assuming you get the quality you need. Chances are, you won't be making much profit — if any at all.

SMARTER ALTERNATIVE

Fear not, as there is a method that any shop can use to create beautiful patches and emblems at a very low cost. In a nutshell, you need to focus on adding embroidery to finished blanks rather than creating the patch to begin with.

What are finished blanks? They are complete patches ready for sale without the embroidery. They are available in various sizes, shapes and colors from any number of blank patch manufacturers.

The challenge is getting the patch onto the machine for sewing. Hooping a blank patch or emblem is virtually impossible. While there are special patch frames available, they typically are designed to hold one specific size of patch and, thus, offer no versatility for handling a wide range of shapes and sizes.

Luckily, there is a simple method that uses ordinary hoops and materials, plus a touch of digitizing. Here is the step-by-step process that you can use to make it happen:

Create a Patch Template File. Scan the physical patch to be used. Digitize a running stitch around the outside edge of the scanned image. Be sure that the segment starts and stops at the top of the patch. Save this as a "patch template file," using a unique identifier in the template filename — probably something that refers to the shape of the patch or the name of the client.

Create a Patch Sew File. Open a new design file using the patch template file created in Step 1. Paste or create the desired logo and/or add

Hooping. Obtain backing that has an adhesive coating on one side. Hoop the backing with the adhesive side up. Lightly score the protective paper coating and remove it to expose the adhesive portion. Remove only the portion of coating inside the hoop.

Sewing. Prepare the machine to sew the patch as follows:

• Program your machine to stop at the first color change, which occurs at the end of the outline running stitch that defines the boundaries of the patch.

• Start the machine and it will sew the outline running stitch and then stop.

• Place the blank patch onto the adhesive backing using the outline running stitch as a template.

• Restart the machine and it will sew the entire logo and then move back to the center of the design.

When finished, simply unhoop and tear off the backing. You will notice that the outline running stitch does not attach itself to the patch; rather, it stays with the excess backing.

You have now sewn a single patch quickly and easily.

SEWING MULTIPLE PATCHES

For runs of more than one patch, you can sew multiple patches in one hoop. Choose a large hoop and determine how many patches can be placed inside of it without touching each other or the hoop. Create a new design file and plot the location for each patch. Use the copy function to insert the single emblem patch sew file created above in each of the plotted positions. Save this as a patch sew file, noting in the filename that it is for multiple patches.

Program your machine to stop at the first color change for each individual patch, which occurs at the end of the patch's outline running stitch.

Start the machine and it should sew the outline running stitch for the first patch, then stop.

Place a blank patch onto the adhesive backing using the outline running stitch as a template.

Restart the machine and it should sew the entire logo. Upon completion it will move to the location for the next patch and sew the outline running stitch, then stop.

This process will repeat until you have finished all of the patches that you programmed to fit in one hoop.

When finished, simply unhoop and tear off the backing. You will notice that the outline running stitch does not attach itself to the patches; rather, it remains with the excess backing.

NOTE: When sewing multiple patches, do not attempt to remove a patch from the adhesive backing until all patches have been sewn.

PRICING

Pricing patches and emblems can be an interesting challenge. For example, if a blank 2" x 4" emblem costs you 36 cents and you add a name that runs about 1,000 stitches at a rate of $1.50 per 1,000, then your cost is $1.86. You should be able to charge anywhere from $4 to $7 per patch, which yields a decent profit if you are doing multiple pieces. Anything less than 12 pieces would be questionable as to whether it's worth your time.

On the other hand, as the quantity goes up, the price goes down. So, if you are dealing with an order of between 50 and 100 pieces, you might be looking at a selling price of just $2 to $3 each per finished patch. The key to making decent money on patches is to focus on jobs that the customer can't get anywhere else, which usually means order sizes of between 12 and 48 pieces.

SPECIAL CASES

There are exceptions, such as specialty patches that can command a large markup, even in very small quantities. (My shop did shoulder patches for a police department with a 5,000-stitch logo on a blank emblem that costs $3 each. On orders of 11 pieces at a time, we sold them for $18 each.)

The bottom line is that you have to be able to make a profit on a patch before you ever consider doing the work. Carefully consider how much time and effort will be required to produce the job from beginning to end. Don't make the mistake of assuming your time has no cost. Focus on efficient production techniques!

Award-winning author and international speaker Jimmy Lamb, director of training and education for Tajima USA Sales & Support by Hirsch, Hauppauge, N.Y., has more than 15 years embroidery experience. He is the author of The Embroidery Business Survival Guide and a frequent speaker at industry events and trade shows.

To comment on Jimmy's article, e-mail him at jlamb@tajima-hirsch.com.

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