Lets pose a hypothetical business proposistion!

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bjarolim

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I have been building my own smoker as many of you know, and I've gotten some requests that it all things go well other people might want a smoker that o can build for them....lets start off right there.

There are alot of quality pit builders now a days and everyone seems to want more or add to their collection.

Lets say I had an opportunity to start my own pit fab shop along with other various things, I know I have a lot to lead. Still, but is their still a solid market for a new pit fab company if the opportunity did arise?

I'm thinking I would be able to build any pit possible, kettles, uds, pbc, vertical, horizontal, trailer rigs?

What are some pros and cons of thinking about this endeavor.

Only reason I ask is because I love doing fab work and love smoking meats and good eats, seems like its Americas past time coming back.

Lets discuss!!!!
 
If you build it, they will come.

If you have a good product, there is definitely space in the market for you. Some manufacturers have nearly year long waits. and people still signing up.
 
You get a whole new appreciation for them when you see the bill for materials. It's pretty impressive. Good luck, hope you find a good niche.
 
With the popularity of Que right now there IS room for you if you can produce a quality product and repeat. There are few things I find more enjoyable that building a pit. Well my wife is gone this week, so for now there is nothing better.

Good luck! and have fun.
 
Well I know just the steel for mine, which is 24"wide 30"tall and 18" deep for cook chamber, which is insulated, has 3/16" for inner walls and 14 ga. for outter walls and a 18x18x18 Firebox out of 3/16" not insulated, with a custom grill top. All the material for that and the stand a d wheels was around $300, that should be all the material cost used for what I built...making a bigger cooker will not cost that much more.

Say for argument sake u wanna 24x48x24 or something....although I think 18" deep is plenty of depth but 24" brings more capacity of course. Anyways if u wanna go that big I really only think material costs would be maybe $100 more. Getting a base cost for a standard is key but going bigger or smaller won't bring to much extra costs just at first glance.

Now once I get mine done and built in gonna pose the question of what someone would pay for it, cause I've seen some just barely bigger than mine run $1500.
 
Smoke on Badger Mountain said:
With the popularity of Que right now there IS room for you if you can produce a quality product and repeat. There are few things I find more enjoyable that building a pit. Well my wife is gone this week, so for now there is nothing better.

Good luck! and have fun.
Click to expand...

I know my fiance is ready for me to wrap my build up. Its just my first build takes so long cause I wanna get it right plus all the revisions and screw up take time to produce and fix especially if u don't have all the necessary equipment to do it either it will take alot longer.

If I had a cutting torch and chop saw handy I could get stuff knocked out quick...first builds always take forever with whatever your doing.
 
But on my cooker I maybe have spent $200 cause I work a steel fabricating company and we have tons of scrap for everything and my boss doesn't mind us using that stuff and he doesn't make us pay for it....good score for me!
 
You forgot to figure in man hours ( labor) shop materials, misc overhead & profit. add another 1000-1500 on. Fix it with a check book folks have the cash & the want not the know how or desire.
 
Bludawg said:
You forgot to figure in man hours ( labor) shop materials, misc overhead & profit. add another 1000-1500 on. Fix it with a check book folks have the cash & the want not the know how or desire.
Click to expand...


I was strictly talking just material for pit only, I know man hours and tools a d other various things have to be factored in. But I'm figuring materials only right now...all the others will get factored in later
 
As Bludawg pointed out the materials is just the start, your going to need more equipment, breaks, cutters, high duty cycle welders, inventory of materials, tables and jigs, and a paint room. All this requires space. Consider at some point you need to hire help, you must have liability insurance, there will be payroll cost, sky high utilities best to have three phase if this is going to be a long term endeavor, business licenses. Plus the most important resource is time, in addition to fabrication, there is material acquisition, someone needs to man the phones and internet for taking orders facilitating cooker designs and changes, accounting/paying the bills. You'll need to have fork lift these things are heavy and the raw materials are heavy. Don't forget CASH to operate until your cash flow can support you and your employees lifestyles. This is just a rough summation. If you can make it work go for it, your young and have dream just make sure you have a Plan B while your waiting to get past the break even point and turn a profit.
 
All very valid points BillN, for me I wouldn't shoot for the moon right off the bat. Start small with a couple employees small building and the essential tools to get the job done and if business was good and grew then think about upgrading.

I'm not saying all the overhead is not important, because its probably the most important. This is all hypothetical and no business plan is in the works by any means. Hell it may never amount to anything more than this thread right here.

But since I started my build and have really enjoyed doing so and chatting on here it seems that Q might be a decent market seeing that people have multiple cookers and looking for the next best thing to/or add to the collection.

I've always wanted to have my own business but couldn't decide on much that I would enjoy for years and years, but this one has been in my mind for months now. I'm just trying to bounce ideas and thoughts to y'all cause everyone seems to have level headed, deep thought into alot of things from what I read so I figured I propose a hypothetical business and see what everyone thought.
 
I would like to suggest that one of the most important things to a successful business is a great, not good, but a great accountant. I am not an accountant, but my great accountant has saved my butt so many times over the years that he is worth every penny he squeezes from me.

Also there is a difference between a business and a hobby. Take a long look at what you want to achieve and decide which would fit your goals better.
 
There is a market for good cookers and there will always be one. It comes down to your product. I have some nice cookers and yet I'm still kicking the idea of another one around (how am I going to explain this one to the wifey?)

As far as business planning and finances, of equal importance as your accountant is to speak with a lawyer to set it up properly. This is your first "insurance", if you will. You cannot overstate the value of setting up business structure properly.

Marketing for cookers will be largely online, so be sure to have someone who is tech and social media savvy on your side. It will help a ton.

Budget professional costs in along with material and labor. Licenses, insurance and people with lots of letters following their names don't come cheap. Can't cut corners on any of them if you want to do it right.
 
Very competitive market, make sure you find some other "non'BBQ" customers to keep your operation afloat during that first year or two, and those off months.
 
Yes...been trying to think of something will be a quick and semi profitable turn over item that will generate a profit steadily and quickly to keep it afloat while the marketing and builds of cookers picks up and the brand popularizes(think I made that word)
 
I am reminded of a former manager who pooh-poohed an idea I had about reformatting public domain text for use in the old Palm Pilot.

His comment: Why would anyone pay you for reformatting a text they can download for free?

My response: Do you wash your own car? (No)

He was the type of person who would have said "No" to a new browser, because Netscape and Internet Explorer were the most popular browsers. Said browser would have been Mozilla.

Anyway, yes, the market is competitive. But do what every up and coming company has done: find the niche, and live there.

How many rubs and sauces are on the market?
How many different brands of guitars and automobiles are on the market?
How many different brands of clothing are on the market?

Get out there and get 'er done!!!!

Epilogue: The idea my manager pooh-poohed allowed me to get out of debt with the IRS and take Jennifer to Hawaii several times over.
 
Your right.. But seeing as I don't have nearly 1/100 of a couple hundred thousand to give a company a go...start up costs are killer, nor do I know any or how to go about seeking investors to even pitch an idea
 
bjarolim said:
Your right.. But seeing as I don't have nearly 1/100 of a couple hundred thousand to give a company a go...start up costs are killer, nor do I know any or how to go about seeking investors to even pitch an idea
Click to expand...

That information can be found in one of three places:

1. This site (Find the thread about the brer who opened his own BBQ shack - they said it's be fun)
2. Your local library or bookstore
3. The Internet

Quick and Dirty method: Build your prototype (It's easier to sell a steak when your investors can hear the sizzle).

Take it to a comp or two OR loan it to someone that goes regularly and let them test it out OR bring it to a bash. Take notes on their comments and tweak it (if you are able).

Now, on the off chance that you knock it out of the park with Mod 1 Mark 0 version, you might have your investor(s) right there.

Not so quick method: Pitch it on Kickstarter. Caveat: Don't give away too much information; the site has been known to abscond with a few ideas.

By the way, you've already pitched the idea by inquiring about our opinions. You are also doing a form of targeted market research. You're a poet and you don't even know it!!!
 
SmokinJohn said:
That information can be found in one of three places:

1. This site (Find the thread about the brer who opened his own BBQ shack - they said it's be fun)
2. Your local library or bookstore
3. The Internet

Quick and Dirty method: Build your prototype (It's easier to sell a steak when your investors can hear the sizzle).

Take it to a comp or two OR loan it to someone that goes regularly and let them test it out OR bring it to a bash. Take notes on their comments and tweak it (if you are able).

Now, on the off chance that you knock it out of the park with Mod 1 Mark 0 version, you might have your investor(s) right there.

Not so quick method: Pitch it on Kickstarter. Caveat: Don't give away too much information; the site has been known to abscond with a few ideas.

By the way, you've already pitched the idea by inquiring about our opinions. You are also doing a form of targeted market research. You're a poet and you don't even know it!!!
Click to expand...


That's good stuff right there.

Yes the internet is very useful to find all types of information that I have yet to use at my disposal yet for a couple of reasons.
1. I trying to gather the information thru seasoned veterans as most are around here to see if it would even be worth pursuing.
2. My build on my pit isn't even done and still unsure of how she will ride and her efficiency and all that jazz.
3. Trying to get a niche incorporated into my pit that hasn't already been thought of is a tough task, I think I might have a plan about that but the proof of it being effective will be in the pudding.

I do very much appreciate all the info, knowledge and wisdom y'all have shared with me....it will not be forgotten.
 
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