Michaels didn’t just acquire Joann Fabrics for nostalgic reasons or market share.

When news broke that Michaels acquired Joann’s intellectual property and private label brands, many in the business world saw it as just another corporate deal. But for entrepreneurs, especially service-based women of color building brands from scratch, this move is a masterclass in business strategy, asset protection, and the power of intellectual property.

Let’s break down what happened and what it means for your business today.

What Happened in the Michaels and Joann’s Deal?

Joann’s, a legacy craft and fabric retailer, faced financial struggles and filed for bankruptcy. Instead of watching the brand disappear, Michaels stepped in to acquire its most valuable assets—not the physical stores, but the intellectual property, product designs, and private label brands.

Translation: Nequosha? Michaels didn’t buy the whole company. They bought what made the brand recognizable and profitable.

That’s the power of brand assets. And it’s something every business owner, no matter the size, should understand and prepare for.

Why This Matters to You

You may not have a retail empire or national product line, but if you’ve created content, designed a program, or coined a phrase that people associate with your business, you’ve already built intellectual property worth protecting.

No? Hear me out…:

• That course you teach on repeat
• The signature name of your retreat
• Your podcast title
• Your client onboarding framework

These are assets. Just like Joann’s fabric lines and branding.

And you’re likely thinking, ‘ Why do you care about craft stores, Nequosha? ‘ Well, I’ve always had a soft spot for crafting. Anddddd because I have more unfinished projects than I’d care to admit (don’t we all?), and there’s a sewing machine my mother bought me in 2012 that’s still collecting dust. She still hasn’t taught me how to use it, but that’s a story for another day. I’ve knitted off and on for years, and while I’m no expert, there’s something deeply personal about making something with your hands. Something that carries your signature, even if no one else sees it but you.

That’s the thing about creative work, it often starts personal. But when nurtured, it becomes powerful. And in business, that kind of creativity isn’t just art. It’s equity.

The Real Value Was Intellectual Property

Michaels didn’t need Joann’s leases or warehouse inventory. They wanted the brand equity, the trademarks, the customer trust—the things Joann built over decades that still held value, even as the rest of the business was struggling.

This deal proves that your intellectual property is often your most valuable business asset, especially if you ever want to scale, license, or exit.

The Craft Industry: A Booming Market

Understanding the value of this acquisition also requires recognizing the size and growth of the craft industry:

• Global Market: The global arts and crafts market is projected to reach approximately $106.6 billion by 2034, growing at a compound annual growth rate (CAGR) of 9.1% from 2025 to 2034.
  Source: News.Market.us
• U.S. Market: In the United States, the handicrafts market is expected to hit $199.5 billion by 2030, with a CAGR of 3.7% between 2025 and 2030.
  Source: Grandview Research
• Online Sales: U.S. online sales of craft supplies exceeded $22.2 billion in 2024, reflecting a shift toward digital convenience.
  Source: Customcy.com

This is more than a niche. It’s a thriving, competitive economy. Michaels made a smart money play.

Why This Was a Smart Investment for Michaels

This wasn’t just a rescue mission. It was a calculated growth strategy.

• Product Expansion: Michaels is adding over 600 sewing and quilting products to its shelves, including fabric, yarn, thread, and even sewing machines.
  Source: Michaels Pressroom
• Customer Base: Joann’s loyal audience becomes a built-in market for Michaels to absorb and serve with better infrastructure and brand recognition.
• Market Alignment: The acquisition fits a clear rise in demand for textile and fiber-based crafts among younger and digitally-connected shoppers.
  Source: Retail Dive

Michaels didn’t just buy assets. They bought influence, community trust, and a legacy they can now grow.

So, What Does This Mean for You?

If you’re running a business, especially one built on your expertise, content, or creativity, allow this to be your sign to stop treating those assets like “extras.” Michaels didn’t scoop up Joann’s storefronts. They went after the brand names, the designs, and the trust that had been built over the years.

That’s what held value.

You already have the beginnings of those kinds of assets. The question is: are you protecting them? Are you setting your business up to grow, be licensed, or even acquired someday?

Whether you’re just starting or already scaling, the steps below will help you secure what you’ve built and position yourself for long-term success.

Your Takeaway From The Michaels & Joann Deal

You don’t need millions in venture funding to protect what you’ve built. You need a mindset shift: your content, your process, your branding—these are not just things you made. They’re assets. And assets can create leverage, legacy, and long-term wealth.

Michaels saw the value in Joann’s intellectual property.

The real question is: are you seeing the value in yours?

If you’d like some additional resources on intellectual property basics, I encourage you to check out the following:

• Trademarks 101
• Copyrights
• Intellectual Property Licensing