Start up business

[Eric Chivers]

I am interested in starting a business in the CNC routing and wordcarving market. I have no industry specific experience but am quite comfortable learning just about any software and I have better than average mechanical understanding.

Any advise about equipment and products from someone with experience.

I have been searching the web for information. It looks like an extremely gratifying business from a creative point of view, but not sure on the financial potential.

Thanks for any input.

Eric:)

[Mitchell Andrus]

Welcome to the Creek.

I spend my day doing what I love... making furniture....., and marketing, selling, taking orders, fixing tools, sweeping, learning Corel, Photoshop, Sketchup, designing magazine ads, sending faxes, stacking wood, billing and bookeeping, filling out tax forms, paying bills, brown nosing clients... you get the idea.

Love what you do first, then build a business around that. Buy machines and tools as you go. It took me ten years to get established and my market matured to the point that I could afford a laser and keep it busy enough to be a worthwhile investment. It cost as much as ALL of my other tools combined, and I have a shop Norm Abrams would be comfortable in.

Not a wet blanket, I hope. It just seemed like you needed to hear from someone who's been there, done that, and can show you where every bruise is.

If you are going to make carved signs, check and see if there are 8 others doing this nearby already. If there is NOBODY in the sign business nearby, figure out why not - have they all dried up and blown away? Same goes for small gift shops, flea markets, trophies, etc.

Perhaps working in a small shop for someone else for a while will help you conjure a plan.

Good luck.

[Joe Pelonio]

Have a variety of products, something that's really popular may not stay that way. People are "faddy" (if that's a word). I have been in the sign business since 1993, and the first 10 years I made a lot of sandblasted wood signs, since then the popularity has dropped off to the point where the last one I did was 6 months ago. Only twice in that time have people asked for a carved or routed sign, and both decided not to buy it after I gave a price, as I would not compete with the guy at the fair with the router and template set that does them for next to nothing.

[Mark Winlund]

I agree with Joe... Different kinds of signs go in and out of style. I made a fortune doing rotary engraved plastic signs... now, I rarely even start the machines. Out of fashion = rotary engraving, sand blasted wood, cut vinyl signs. In fashion = wood laser and inlay, certain types of sublimated signs, full color process vinyl banners and signs (big bucks for the printers). Hard to make money on trophies ("we have 47 kids to make trophies for and we have a budget of $123 for the works"). Awards are still moneymakers, but you have to have a steady list of clients.

Mark :rolleyes:



Joe wrote: "first 10 years I made a lot of sandblasted wood signs, since then the popularity has dropped off to the point where the last one I did was 6 months ago. Only twice in that time have people asked for a carved or routed sign,"

[Eric Chivers]

Thanks for the comments. It seems like these various machines are capable of making so much more than just signs and furniture. What got me interested was a Christmas shopping trip in a small town in Indiana and I came across a piece of "art work" that looked like it had been lasered out of a block of wood. I started thinking of several different applications for such customized pieces, mostly in the home decoration area. What other applications have you come across other than signs and furniture?

Thanks for the advise.

Eric Chivers

[Mitchell Andrus]

Visit the laser sales sites for ideas. The are enough applications for lasers to fill a book. When in doubt, Google it.

[Rodne Gold]

The real money is not to be made in one off's and "creative" things in the cnc market but in high volume production. Machines capable of this are expensive as is the software , expect to lay out $40k or more for both.
For artistic and creative processes , you will need both a laser and a smaller over head router/cnc machine. The combination of both will allow your imagination and ability to translate it into fact to run wild and allow you to work in just about any medium and combine them.
I have found trophies extremely profitable , but those are custom creations using mixed media. In fact being able to use mixed media is also the key to success in signage , however you will need an additional machine for this , namely a print and cut digital medium/large format solvent/ecosolvent vinyl printer.

With all 3 of these machines you can really tackle anything that comes your way , add a simple perspex bender and attempt some glueing and you are really on your way.
A 4ft by 4ft router/engraver with a 2-3hp spindle , a 30-50W laser , lets say 32 x 18" and a small print and cut machine like a Roland Versacam will do. Just doing point of sale displays can keep you busy and make a lot of dough with this combo.
Corel will work well for all of these , tho something like artcam is better for 3d carving or dimansional work on the cnc.

[Joe Pelonio]

While it may not sound glamorous or artistic, one of the most profitable uses for the CNC is dimensional lettering and logos. I do much of that on the laser but have limitations as to materials, thickness, and size of individual pieces. Sometimes I sub out jobs to a CNC guy. Many sign shops sell dimensional letters and logos but use a company like Gemini, Inc., with a high price, and long delasy. If you do end up with a machine you can offer your services as a less expensive and faster alternative. Just as I commented on the dwindling popularity of the sandblasted wood signs, dimensional letters/logos, especially on inside office walls have become very popular. Naturally I push the laser cut acrylic, and they are relatively easy and very profitable. If I had a CNC I could do PVC, Metal, and metal laminated onto PVC as well.

This one for example, is laser cut acrylic mounted on acrylic to hang from a drop ceiling. I have made 4-5 of them for various of their offices, at a couple of hundred apiece, but also do a larger wall version (letters stuck directly onto the wall) for close to $1,000 installed.

http://members.aol.com/bisjoe/acrsign.gif

[Bob Yeager]

I'm a newbie laser guy...I have found a lot of information at the Engravers Journal website. They have a specific article on making money with a laser...this may give you some insight.

http://www.engraversjournal.com/articlelist.php

Bob