This paper presents the design process of a composite wheel rim for a Formula Student race car. First, the design requirements for composite rims are outlined, which are driven to ensure safe operation as well as compliance with race regulations. Next, a novel methodology for the iterative design of composite wheel rims is proposed, and its steps are individually presented. The load cases were determined using data from lap time simulations and from practical experience from the operation of previous race cars. Material cards for the simulations were created by measuring the characteristics of the prepreg composites. The geometry of the rims was created by prioritizing the optimum contact with the tires. After creating the rim geometry, the composite material cards, and the simulation’s pre-processing, the layup iteration process began. In this manual iterative process, FEM simulations were run and their results were evaluated. The desired component properties were reached after 11 layup iterations. The final result is a weight reduction of 35% compared to the aluminum rims and 15% compared to the previous multi-piece CFRP rims, without a compromise in operational safety. The main novelty of the paper is the description of the iterative layup selection logic and process in detail, as well as demonstrating this on a concrete use case.