Construction supplier

>>1159212
>I also had in mind a bolt/screws supplier where I would also produce my own, with a CNC machine as well as custom bits.

pro tip: screws and bolts sell at cost. all the profits from screws and bolts comes from the scrap you recycle when machining.

>>1159212
>>1159216
Neither of you know shit about screws and similar fastener manufacture.

And OP no it is not feasible. The only people who machine their own screws (at least how you're describing) are into low load high precision shit like watchmaking.

>>1159216
This has to be the most retarded thing I have ever read. Congratulations.

>>1159231
>>1159223
Nah, he's right. The scraps you recycle are used for more screws and bolts. It's an infinite money cycle.

>>1159271
Why don't they just recycle the material to begin with then?

File: cnc-metal-chip-briquettes.jpg (211KB, 590x393px) Image search: [Google]

211KB, 590x393px

>>1159274
>>1159231
>>1159223

i worked for a screw/bolt manufacturer doing applications and system design. all the profit comes from the chip briquetter because so much of the bar stock you are using gets turned to waste.its literally the only way to keep market share because when it comes to purchasing screws, half a cent price difference matters. so manufacturers sell at cost to stay competitive and get their payday from the waste.

>>1159293
So you are saying I could buy the stock and then grind it up to nothing and make more money than a company making screws. Why do screw companies exist they could all just grind the stock to nothing and sell the waste for more profit, actually they would be stupid not to!
Take a flying fuck to yourself you pineapple brained imbecile.

>>1159297
what part of "at cost" don't you understand? cost is more than just an input of bar stock retard.

do i really have to explain what overhead and capital equipment costs are?

>>1159293
Are you really going to RP being in the fastener business? Holy shit.

>>1159299
>hey guys lets buy some metal and machine it into things that lose us money but then we can take the scraps and rather than making more things sell it for PROFIT

>>1159300
look man, you can argue with me all you want. but where i worked, thats how the money came and went.

>>1159302
>hey guys lets buy some metal and machine it into things that lose us money

there you go not understanding simple words like "cost" again.

>>1159304
And I totally ;^) believe you ;^).

Honestly you're not the first I've seen on here and I can't understand the drive behind it.

>>1159299
No, explain the part about how their payday comes from recycling the scrap other than accounting spin, start with what is the net from screw sales vs chippings. If the chippings net more then why do they make screw at all. If its the other way around which it certainly is then the original premise is bullshit, you could just say well they cover costs by recycling waste and selling screws and then profit comes from selling screws, which is true but boring so why parrot it right?

>>1159308
They don't even sell the waste

>>1159271
This is broadly correct. Any waste can be recompressed into a briquette and machined, there is very little waste beyond that. Most profit isn't done by the fastener tho, the bulk of a factory's money has as far as I have ever known been through contracts where they supply fasteners as needed to buyers. The product is a commodity sold by rough weight, money is made on the service end more or less.

Budda bing budda boom.

>>1159305
It's misleading because the screw cost covers the cost of the scrap.
It's disingenuous to say the scrap is pure profit. Vs throwing it in the trash perhaps.

Wait, can people even make money selling stucco supplies like mesh, styrofoam or the coating? Ain't it cheaper just buying them from China?

File: man-soldering-repairing-printed-circuit-board-forced-air-iron-44099087.jpg (181KB, 862x964px) Image search: [Google]

181KB, 862x964px

does this thread look to accountants
the same way pic related looks to us?

>>1159369
Thems laws of input and output being hereby abused, f'sure.. I had an analogy or two ready about things which were indeed more valuable as scrap, but, I got attention deficit issues and forgot, need to invent your own now.

>>1159365
It's a lot of hassle buying them from China. If you mean produce them, I thought one of the steps for styrofoam was particularly hazardous but I could be me mixing it up with some other materials.

If you consider as well that the buyer power for most guys is quite weak and a factory in China screwing over a single small buyer may be no big deal, a reseller is able to in effect be a bigger buyer by representing a number of buyers and their interests. In other words if you're the guy that buys a basket from me once a year and you pay me once but I don't deliver because another 20 guys are coming to me for baskets and I don't give a shit you're fucked. But if one guy buys 20 baskets the dynamics of the relationship change. I can't fuck that guy over as easily.

>I want to open a material supplier

Work for one to learn the rather complex business, then compete in an area where existing and remote suppliers cannot crush you like a bug.

"Want" is dumb. FIND OUT what will make you money first! If you have to ask here you shouldn't do it because you don't know enough about the subject to make money and you sure as fuck can't learn it here.

Yeah the comments are all correct I work at a building material supplier the market is current with the price of steel. I run a horizontal bandsaw to cut ATR for custom order lengths. All of the cutoffs are scraped to recycle.