Pricing Guide

Embroidered Patch Pricing: How to Price Name Tags, Hat and Jacket Patches

How to price embroidered patches: cost twill, backing and thread by stitch count, add machine and finishing time, then set prices for single patches, bulk runs and rush orders.

By Craft Calculators Team Updated 8 min read
Embroidered Patch Pricing: How to Price Name Tags, Hat and Jacket Patches
In this guide

Embroidered patches are small, so they feel cheap to make. They aren't. Each one needs digitizing, hooping, stitching, cutting and a finished edge, plus an iron-on or hook backing. This guide shows how to price name tag patches, hat patches and jacket patches from stitch count up, and how to quote bulk and rush orders without losing money.

Quick answer
  • Patch price = twill and stabilizer + backing + thread (by stitch count) + machine and finishing time + overhead, then profit and fees.
  • A single 2 x 4 in name tag patch costs about $8.38 to make and sells for about $13. In bulk, the price per patch drops fast because you hoop many at once.
  • Charge digitizing once per design, not once per patch.
  • Add 25% to 50% for rush orders that push other work back.

Why patch prices are hard to guess

The materials in a patch often cost about a dollar. That makes it tempting to charge $5 or $6. But the time is the real cost: a 5,500-stitch name tag runs for about 9 to 12 minutes, plus hooping, trimming and edge finishing.

Patches also have a big setup cost. Digitizing a new design and stitching a test can take an hour or more. If you hide that in a one-patch price, single orders look too expensive. If you skip it, bulk orders lose money.

The steps

1. Get the stitch count

Your digitizing software reports the stitch count. As a rough guide, a simple 2 x 4 in name tag is 4,000 to 6,000 stitches, a 3 in hat patch is 6,000 to 9,000, and a dense 4 in patch can be 10,000 to 14,000.

2. Cost the materials

Add twill or felt, stabilizer, thread and bobbin, and backing. Thread often runs a few cents per 1,000 stitches. Backing is the swing cost: iron-on adhesive is cheap, hook and loop for uniforms costs more.

3. Time the machine run and finishing

Divide stitches by your real stitches per minute, not the machine maximum. Then add hooping, trimming, a merrow or laser-cut edge, and backing. Use this as hands-on time for a single patch.

4. Charge digitizing as a setup fee

Many shops charge a one-time digitizing fee for new designs. If you include it in the price, spread it across the order quantity instead.

5. Add overhead, profit and fees

Machines are expensive and need service. Add 10% or more overhead, 25% to 35% profit, and divide by 0.90 if you sell online.

6. Set your rush and minimums

Rush jobs bump other customers. Many shops add 25% to 50% and set a minimum order, such as 10 or 25 patches, for custom designs.

Embroidered Patch Pricing Calculator – Size, Density, Patches per Hoop, Twill, Backing & Price spreadsheet
The Embroidered Patch Pricing Calculator – Size, Density, Patches per Hoop, Twill, Backing & Price does this math for you. Type into the peach cells and the prices update.

Worked example: three single patches

Single patch prices at $22 an hour, 10% overhead, 30% profit and 10% fees. Hook and loop backing on the name tag, iron-on on the others.

Name tag 2 x 4 in (5,500 st) Hat patch 3 in (8,000 st) Jacket patch 4 in (12,000 st)
Twill, stabilizer, edge thread $0.35 $0.40 $0.55
Backing $0.45 $0.20 $0.30
Thread and bobbin $0.22 $0.32 $0.48
Labor at $22.00/hr 0.3 hr = $6.60 0.35 hr = $7.70 0.45 hr = $9.90
Overhead (10%) $0.76 $0.86 $1.12
Cost to make $8.38 $9.48 $12.35
Plus 30% profit $10.90 $12.33 $16.06
Cover 10% selling fees (divide by 0.90) $12.11 $13.70 $17.84
Suggested price $13 $14 $18

Materials are about a dollar a patch. Time is 80% or more of the cost, which is why bulk runs, where you hoop several patches at once, change the price so much.

Typical patch supply costs

Common ranges for small shops buying supplies in bulk.

Supply Typical cost Notes
Twill or felt $0.15 to $0.50 per patch Depends on size and color
Stabilizer $0.05 to $0.20 per patch Tear-away or water-soluble
Thread $0.02 to $0.05 per 1,000 stitches Polyester is cheaper than metallic
Iron-on adhesive $0.10 to $0.30 per patch Easy for hats and bags
Hook and loop backing $0.30 to $0.70 per patch Expected on uniform name tags

What you keep on each sales channel

The same 2 x 4 in name tag patch at $13.00 leaves different money in your pocket depending on where it sells. This uses the $8.38 cost to make from the example above, with Etsy's current transaction, processing and listing fees and Square's in-person card rate. Shipping, sales tax and ads are left out.

Where it sells Buyer pays Fees You keep Profit over cost
Etsy (6.5% + 3% + $0.25 + $0.20 listing) $13.00 $1.68 $11.31 $2.93
Your own website (about 2.9% + $0.30) $13.00 $0.68 $12.32 $3.94
Craft fair, card reader (2.6% + $0.15) $13.00 $0.49 $12.51 $4.13
Craft fair, cash $13.00 $0.00 $13.00 $4.62
Wholesale to a shop (50% of retail) $6.50 $0.00 $6.50 -$1.88

On Etsy, fees take about 13% of a $13.00 sale. The fixed $0.45 per order hits small items hardest, so bundles and multi-packs keep more of each sale. If a sale comes through Etsy Offsite Ads, add another 15% (12% for shops over $10,000 a year), so build that into your price if you're enrolled. Wholesale at half of retail loses $1.88 per piece here. Either raise retail, lower your cost, or set a separate wholesale price with a case minimum. Patches sell to businesses and teams more than to single shoppers, so most of your money will come from bulk quotes, not single sales.

Bulk and custom order pricing

For an order of 2 x 4 in name tag patches, digitizing and a test stitch-out takes about 1.5 hr at $22.00/hr. Charge that once per order, then spread it across the pieces. Materials are $1.02 per piece and hands-on time is 18 minutes, which drops when you batch the same design. Overhead is 10%, profit 30%, and 3% covers card or invoice fees.

Quantity Setup share per piece Cost per piece Price per piece Order total
1 $33.00 $44.68 $59.88 $59.88
10 $3.30 $9.11 $12.21 $122.07
25 $1.32 $5.84 $7.83 $195.70
50 $0.66 $4.75 $6.37 $318.43
100 $0.33 $4.03 $5.40 $539.57

The price per piece falls from $59.88 to $5.40 because the setup is shared, not because you cut your rate. Quote the tier the customer actually orders, ask for a 50% deposit before you buy blanks, and set a minimum order size for custom work.

Patch pricing checklist

  • Stitch count from your software for each design.
  • Materials including backing type.
  • Real run time at your actual speed, plus finishing.
  • Digitizing charged once per design.
  • Bulk tiers that reflect hooping several patches at once.
  • A rush fee and a minimum order for custom designs.
  • A deposit before you start a big run.

Price patches by stitch count

Type your stitch count, backing and time into the peach cells. The calculator shows the cost per patch and price tiers for bulk orders.

Get the Embroidered Patch Calculator

Calculators that help

Common questions

How much should I charge for an embroidered patch?

Single custom patches often sell for $8 to $20 depending on size and stitch count. In this guide a single name tag prices at about $13. Bulk orders are much lower per patch because setup is shared and you hoop several at once.

How do you price patches by stitch count?

Work out the cost per 1,000 stitches from your machine time and rate, add materials and finishing, then add overhead and profit. Many shops quote a base price plus a per-1,000-stitch charge.

Should I charge a digitizing fee for patches?

Yes, for new designs. Many shops charge it once and waive it on reorders. You can also spread it across the order so the customer sees one price per patch.

How much more should rush patches cost?

Many shops add 25% to 50%, depending on how much other work it pushes back. Put the rush fee in writing on the quote.

Iron-on or hook and loop backing?

Iron-on is cheaper and fine for bags and hats. Hook and loop is common for uniforms and tactical gear and costs more, so price it as an option.

What is a good minimum order for custom patches?

Many small shops use 10 to 25 pieces for custom designs. Below that, the setup cost makes each patch expensive.

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