Etsy's New Rules Open Doors to Bigger Sellers

Etsy is growing up. The website, born in 2005 as a marketplace for homespun crafts, this month announced guidelines that expand who can sell goods and how they can sell them. Etsy sellers are now free to hire employees, outsource shipping and fulfillment, and use manufacturers to make items they designed, as long as they’re transparent about the process.

The change follows years of growing pains and awkward moments for the site. Etsy is now home to more than 1 million storefronts and this month will surpass $1 billion in annual transactions for the first time. Last year sellers protested after a featured shop turned out to have help from a staff making handmade furniture in apparent violation of the website’s rules. Critics also say the company doesn’t do enough to police mass-produced goods posing as handmade items.