Running a wood carving business requires not only artistic skill but also solid financial management. To ensure profitability, start by creating a detailed budget that accounts for materials, tools, and overhead costs. High-quality carving tools may seem expensive upfront, but investing in durable equipment reduces long-term expenses. Track every expense meticulously, from raw wood purchases to workshop utilities, to identify areas for cost-cutting. Diversify revenue streams by selling finished pieces, offering carving classes, or creating DIY kits. Pricing your work correctly is crucial—factor in material costs, labor hours, and market demand. Consider seasonal fluctuations in sales and maintain a cash reserve for slower periods. Lastly, explore tax deductions specific to art businesses, such as studio space and tool depreciation. With careful planning and disciplined financial habits, your wood carving venture can thrive both creatively and economically.