Sawmilling business plan

On site at Mbombela Square Nelspruit. To start with the company on a temporary basis immediately.

Sawmilling business plan

sawmilling business plan

Contact potential customers for your lumber. How much would they use? Check into the value of drying and further processing. Learn appropriate characteristics of various species, i. Some Wood-Mizer owners do all three, but investigating your local market will show you the best cutting method for you.

How Do I Charge? There are no limits to the different approaches you can use to charge for your cutting services. The three most common methods are to charge by the hour, by the volume cut in a day, or by sharing the finished lumber.

All three have their place, but the key is to anticipate which method would be the best pricing policy for that specific job.

Starting a Sawmilling Business and Making Money with a Portable Sawmill - Trees 2 Money

This will be easier to assess as you are exposed to more and more cutting situations. The key to making money is obviously your individual capability to produce a certain volume of lumber each day. By the Hour The most stable or secure method for pricing for the mill owner is a flat, hourly rate.

You will know how much you make in any given day other than a small variation in operating costs before going out to cut. Eight hours work means eight hours of pay regardless of the amount produced.

Pricing on an hourly basis transfers all the risks of daily output to the customer. It encourages the customer to have his logs clean and easily accessible, and to provide a person to help handle the material to get the most value for his money.

Depending on the situation, however, the customer may feel he did not get a "good deal". Unless you adjust your hourly rate to compensate for mill or blade problems incurred during the day that reduced your production, the customer will not have received as much lumber as if you had a trouble-free day.

If you had a good, high-volume day, you may have missed the opportunity to make significantly more money by charging by volume produced.

sawmilling business plan

You may have been underpaid for the services you rendered. By the Board Foot Charging by the volume produced is the most common method used in the industry. This pricing method gives you the ability to make the greatest return in a day, but potentially exposes you to the lowest returns as well.

Many owners in USA routinely cut between board feet a day 4. There are some sawyers, however, who struggle to cut 1, board feet 2.

Understanding Preferential Procurement

This pricing method places of all the risk of productivity on the sawyer since the customer is only paying for the lumber he receives. That is why this method is preferred by a great number of businesses in the industry.WOODWEB provides information for the wood industry including woodworking, cabinets, components, woodworking software, wood finishing, cabinet hardware, lumber.

A business plan is a written description of your business's future, a document that tells what you plan to do and how you plan to do it. If you jot down a . Find sawmill Postings in South Africa! Search Gumtree Free Classified Ads for the latest sawmill listings and more.

If you're the type of person who prefers the clean smell of fresh sawdust to the scent of expensive cologne, if you can imagine the beauty of the sudden quiet when a saw is shut down after a long morning's workout, and if you like the idea of pocketing an honest profit as a happy customer drives away with a pickup load of lumber then it might be .

Learning How To Start A Sawmill Business

Sep 27,  · Also how much experiance do You have with sawmilling and have You used this type of gear before? Reguards Chris McMahon. Your business plan is going to have to have the entire operation spelled out, especially if you're going after any type of financing. Starting a single location sawmill business; Share Topic Similar Topics.

Making Money with a Sawmill Business Plan with a focus on high-margin production, and you might make money — not just wear out a saw.

Where and How Can I Sell the Lumber I Cut on My Sawmill? - Trees 2 Money

only to find that the banking industry does not really understand manufacturing or sawmilling. What you do need to know is the cost of the mill and running cost. What is labor going to cost, and how.

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