The organic lip balm recipe below resulted in my first ten thousand dollars on Etsy – and that was back in 2014…before the craze for natural skin care even really began.
Small as it may seem, lip balm can make a HUGE difference in your handmade skin care shop. With companies like Chapstick®️ and EOS®️, it is crystal clear that there is a DEMAND for this everyday item.
As the world becomes more aware of the dangers of synthetic ingredients in their personal care products, there has been a notable increase in sales for organic, chemical-free, and small-batch skin care companies.
In this article, you’ll not only learn how to create this winning recipe but also how to turn your lip balm into a successful home-based business.
This post may contain affiliate links, meaning I get a commission if you decide to make a purchase through my links (at no cost to you). Please read the disclosure for more information.
Why Make Organic Lip Balm?
As with any handmade item, the biggest benefit of making your own lip balm is that you have complete control over what ingredients are included in your recipe.
Many leading brands use petroleum jelly in their formulations, and that is one ingredient you should absolutely be steering clear of in any personal care product.
If you have allergies to any ingredients, you can easily find a substitute and make a similarly feeling lip balm without having a reaction.
There are only three main ingredients in this natural lip balm recipe, so if you are already making your own skin care products, chances are you have what you need on hand!
Can I Sell Homemade Lip Balm?
According to the FDA Cosmetics Laws & Regulations, lip balm is considered a cosmetic. Under the FD&C Act, cosmetics do not require approval to be sold.
That being said, if you use terminology in your product name, on your label, or in your online sales page description that your lip balm can heal, cure, or be a treatment, you’ll be putting your products in the ‘drug’ category – which DOES require approval before selling.
Once you master this recipe and can describe your final product in a way that keeps it in the ‘cosmetic’ category, you absolutely SHOULD sell it – online, in person, in singles, in bulk…any way you can think of.
Handmade lip balm is fun to experiment with, fast to make, and has a generous profit margin; almost everyone uses lip balm, so it’s sure to fit with your skin care target market regardless of niche.
There are exponential ways to combine them into gift sets (either together or with other products that you make).
Here are a few of my top-selling lip balm listings to get your ideas rolling:
Individual Lip Balms
Sets of 3 with Theme
Aromatherapy Roller + Lip Balm Gift Set
Why Sell Natural Lip Balm Specifically?
The organic skin care market is expected to increase by 8.9% annually from 2021 to 2030 globally, and facial moisturizers are the fastest-growing segment in the industry (source: https://www.grandviewresearch.com).
We can thank technology, the increased use of mobile devices, and e-commerce for this rise – because of such wide consumption of social media, consumers are being made more aware of green beauty in general, as well as the risks of synthetic ingredients.
Since lip balm is applied to an area of the body that makes it easily ingested (as well as absorbed), it is ESSENTIAL to buy a balm that is guaranteed to be free of parabens, phthalates, fillers, flavors, and dyes.
In addition to the health and safety reasons to sell organic lip balm, customers who are devoted to natural living are typically very loyal patrons who LOVE to shop small.
Over half of my customers are repeat buyers (fifty percent+ return rate!!!).
You can expect the same glowing reviews for your shop with this recipe:
How Much Does It Cost to Make Lip Balm?
Organic lip balm itself (as in, the actual combined ingredients) doesn’t cost that much at all – in fact, I have gotten my own recipe down to only fifteen cents a tube.
Before I was able to buy ingredients in bulk, it was costing me around thirty cents a tube to produce.
Obviously, you can’t just buy ingredients to make ONE tube of lip balm – you can expect to spend about forty dollars on your organic ingredients which will end up being enough for several HUNDRED tubes of lip balm.
The real cost comes down to your business decisions:
- Your target audience
- The type of lip balm packaging that would attract your customers to buy
- How you decide to get your product labels printed
- The unboxing experience you choose to provide
- The e-commerce platform you decide to sell on
- How you choose to market your lip balms
Before we get ahead of ourselves with all of those details (more info is below, worry not!), let’s get you making some life-changing, CHEMICAL-FREE lip balm!
Best Organic Lip Balm Recipe to Make at Home
Handmade Lip Balm Formulation Supplies:
Organic Lip Balm Ingredients:
Step-by-Step Organic DIY Lip Balm Recipe:
1. Fill a saucepan with a couple of inches of tap water.
2. Put your double boiler on top of the saucepan, making sure a portion of the bottom is submerged to heat properly.
3. Measure out ingredients into ramekins on the scale.
- 1.5 oz. organic beeswax
- 0.5 oz. organic shea butter
- 1.625 oz. organic coconut oil
4. Put the pan on your stove or hot plate and turn on the low heat. Add the beeswax and coconut oil and wait for them to melt.
*Note that this could take half an hour or more.
While the ingredients would melt faster at a higher temperature, this compromises the benefits of the natural ingredients – as well as makes plastic lip balm containers melt or leak.
5. Mix with a glass stir rod as it melts to speed up the process. It isn’t necessary to stir constantly. Checking and stirring every few minutes is a good estimate.
6. Give one final stir when the beeswax and coconut oil are melted and remove from heat.
7. Add the shea butter. Melt completely and stir again.
8. If you are adding skin-safe essential oils, now is the time to drop them in using proper dilution rates and safety.
9. Pour liquid balm into heat-safe containers (options listed below) based on your business branding.
- If using a tin or pot, the balm can be poured directly in.
- If filling tubes individually, transfer the liquid using a plastic pipette.
- Alternatively, you can use a lip balm filling tray. Note that there are different versions based on your type of lip balm tube:
Tip: If you get a sinkhole in the top due to the fast hardening of the balm, you can use a craft heat gun very quickly to smooth it out for a more aesthetically pleasing product.
11. Once the balm is hardened, you can safely add the caps and lids to your balm container.
Can You Use Essential Oils in Lip Balm?
Ab-so-lutely! And you should! Essential oils are a natural way to scent your lip balms, they add great variety to your shop, provide endless gift set possibilities, and they may provide therapeutic benefits to boot.
A few items to take note of before just dropping in your favorite scents:
- Keep your dilution to under 2% total essential oils (Use this essential oil calculator if that bends your brain too much.)
- Avoid using ‘hot’ essential oils in any skin care product (cinnamon bark, spearmint, oregano, etc.)
- Use a trusted essential oil supplier so that you know you’re getting and using a pure oil.
Check out the PDF download of 24 essential oil blends for lip balm here to add variety to your shop!
Can I Make This Lip Balm Recipe in Bulk?
I have been asked on several occasions if this organic lip balm recipe can simply be multiplied by two or three to make balm in bulk (when receiving large orders for party favors, businesses, or preparing for the holiday rush).
The short answer is, technically…yes.
But I don’t recommend it.
Since heat can lower the effectiveness and shelf-life of your natural ingredients, the shorter the time they are in your double boiler, the better. If it will take you twice as long to put your liquid balm into tubes, your formulation is also sitting on the heat for twice as long. Not ideal.
Heat also breaks down the strength of essential oils. The longer they are on heat, the more they oxidize, changing the scent and their actual molecular structure.
In my experience, it only takes 30-45 minutes to melt ingredients; if needing multiple batches, I make one at a time and label the first batch while the next one melts. Not a single minute wasted, and all ingredients stay happy!
How to Turn This DIY Lip Balm Recipe into a Handmade Skin Care Business
The branding and marketing possibilities for this organic lip balm recipe are so vast – I started my handmade business with this recipe, and it has continued to be my best seller and number one income stream.
If you are new to considering handmade skincare as a business idea, take a minute to scroll through this startup checklist to see what the overall journey will look like, or you can also download it in the form below:
If some of these tasks and the price of starting a business seem over your head at this moment, remember you can always start small.
Check out my notes on How to Start a Lip Balm Business on a Small Budget…this is how I laid my foundation ten years ago!
Once you get to the exciting point of choosing the look of your lip balms, be sure to head over to the Handmade Lip Balm Packaging Guide to get tips and ideas that fit with your target market.
Last but not least, once you’re cranking ’em out, skim through the 16 Effective Ways to Sell Your Handmade Lip Balm for ways to get your products into the hands of your eager customers.
Example listings from one of my former skin care lines:
Support on Your Lip Balm Business Journey
New to the handmade business world?
Been trucking along for a while but going solo?
Craving feedback and inspiration for your skin care line?
It’s so much more fun to build a business with others doing the same thing – join our private Facebook Group, just for handmade skincare entrepreneurs, over at DIY Skin Biz Community!
Grow Your Skin Care Business!
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