DAB Posted June 11, 2017 Report Share Posted June 11, 2017 (edited) So a friend, who i've made something for previously, posts on FB a pic and link to an oval cutting board that overhangs an inside counter in the kitchen. 24x18, maple, available on Amazon for $132 with free shipping. told him that there is no way that me making that for that price is worth me doing it. figure i'd need about 4BF of lumber. lumber that is 120 miles away (round trip). so i'd spend about $24 on gas just to fetch the lumber, another $25 on the lumber, and another 3-4 hours making it over the course of a day or two. 132-49 = 83, and if i cover shipping, that would be about $30 to me (as i'm not a frequent shipper), so my paper profit is now about $53. for 3 hours of effort, that's only about $17/hr. not worth doing it once you factor in the fixed shop costs that should be accounted for to determine the real "money in my pocket" profit. Edited December 5, 2017 by Ron Dudelston tags added HARO50, lew, John Morris and 1 other 4 Quote Link to comment Share on other sites More sharing options...
kmealy Posted June 11, 2017 Report Share Posted June 11, 2017 Cherry pie. My wife noted an ad for pie cherries at a local orchard. Cherry pie is one of my favorites, so I made her read the intro of that book I"m reading. We can buy pre-pitted, cooked and thickened cherry pie filling for a few dollars at Kroger or GFS. Costco Cherry pies are huge and good, but unfortunately only available a few weeks every year. HARO50 1 Quote Link to comment Share on other sites More sharing options...
Popular Post HandyDan Posted June 12, 2017 Popular Post Report Share Posted June 12, 2017 Most everything I make is gifted to people. The profits are great. I see plenty on $100.00 smiles from people that receive them. Harry Brink, HARO50, honesttjohn and 2 others 5 Quote Link to comment Share on other sites More sharing options...
Gene Howe Posted June 12, 2017 Report Share Posted June 12, 2017 I've sold quite a few things. Done a number of cabinet commissions. Never quit the day job. Now, its all for fun. HARO50, Cal and John Moody 3 Quote Link to comment Share on other sites More sharing options...
Popular Post Marv Rall Posted June 12, 2017 Popular Post Report Share Posted June 12, 2017 I have made most of my living selling----don't want to do it any more so I have vowed that I do will be for family and charity. Recently I constructed 24 adjustable bible----cookbook-----Ipad table top stands. These are made available for silent auctions----or other such charity events. Turned out that there was significant interest by many who saw them-----so I made this offer-----show me proof that you contributed 100$ to a charity of "your" choice and you can own one---------well, looks like I have modify that offer as I wont have any left for family, friends etc. Cal, HandyDan, Gene Howe and 5 others 8 Quote Link to comment Share on other sites More sharing options...
Popular Post John Morris Posted June 12, 2017 Popular Post Report Share Posted June 12, 2017 Location and market. While woodworking is not my primary day job, when I do make and sell, I make a very handsome profit. HARO50, Grandpadave52, John Moody and 3 others 6 Quote Link to comment Share on other sites More sharing options...
Gene Howe Posted June 12, 2017 Report Share Posted June 12, 2017 39 minutes ago, John Morris said: Location and market. While woodworking is not my primary day job, when I do make and sell, I make a very handsome profit. I have no doubt. Quote Link to comment Share on other sites More sharing options...
Popular Post John Morris Posted June 12, 2017 Popular Post Report Share Posted June 12, 2017 18 minutes ago, Gene Howe said: I have no doubt. Sorry Gene, I hope I wasn't seen as bragging, but it is all about market or finding the market and just being a good human being. Even location is not that huge of a factor anymore what with online sales and all. If we want to make good money, then we need to set a rate, stick with it, and don't back-down or compromise that rate. We can determine the market we are in, by the folks we attract. It's not their fault, it's our fault as a business owner. We should know the market we want to attract, and go after it. And, it takes time to establish that market. The market I attract personally, are the folks who love hand made, and are willing to pay for it. They value the human touch in work, and they value the personal one on one experience as well, the home visit, the phone calls, etc. If we want to make good money building cutting boards, small crafts, custom casework, chairs, turnings, then we need to spend a ton of time finding that market, and in many cases, as in my situation, if you build long enough, and provide excellent service, and make every customer feel special, because they are, over time you build a reputation as a woodworker people want to do business with, not that they have too, but because they want too. I am a firm believer, smiles, kindness, openness, caring, not showing I am in a rush, and most importantly of all, if I screw up, I eat it, and I have. I feel you truly do have to like people to be successful in this business, if you don't like people, then forget it, or have another person be the face of your business who can interact well with customers. I like people, I care, I listen, more often than not I spend more time talking about life and their family with a customer, than the actual project itself, and I like it. It's not uncommon for myself and a customer to chat about their project for 10 minutes, and an hour or more about life. Just some thoughts folks. It's not a complete list of successful business practices, but it's a good start I feel. 1fizgig, Cal, Stick486 and 3 others 6 Quote Link to comment Share on other sites More sharing options...
DAB Posted June 12, 2017 Author Report Share Posted June 12, 2017 i'm morally opposed to working past lunch time for the benefit of gov't. and then having to spend evenings and weekends keeping books to keep gov't happy. Quote Link to comment Share on other sites More sharing options...
Al B Posted June 12, 2017 Report Share Posted June 12, 2017 (edited) Sorry Doug, whether you work past lunch or not, you still have to spend the time needed to keep the gov't happy. Edited June 12, 2017 by It Was Al B HARO50 and John Moody 2 Quote Link to comment Share on other sites More sharing options...
DAB Posted June 12, 2017 Author Report Share Posted June 12, 2017 au contraire! not all income is taxed in the same manner. work is heavily taxed, but capital gains are very lightly taxed (even zero in some cases). you would be shocked at my fed tax bill last year. wasn't much more than a pair of nice pistols. Quote Link to comment Share on other sites More sharing options...
Ron Dudelston Posted June 16, 2017 Report Share Posted June 16, 2017 Did your friend ask you to build the board or just post the image and price? Quote Link to comment Share on other sites More sharing options...
DAB Posted June 16, 2017 Author Report Share Posted June 16, 2017 54 minutes ago, Ron Dudelston said: Did your friend ask you to build the board or just post the image and price? he contacted me and asked. i told him my price for a certain type and size board, still haven't heard back. and what gets me is that something handmade of wood, if properly done, will be useful and beautiful for decades, but folks would rather spend their money on something very fleeting like a ticket to a concert or sporting event. all to watch people being paid many multiples of what I or you might make. people like the idea of handmade items, but they don't like the idea of paying for handmade items. kmealy, Ron Dudelston, Dadio and 1 other 4 Quote Link to comment Share on other sites More sharing options...
John Morris Posted June 16, 2017 Report Share Posted June 16, 2017 36 minutes ago, DAB said: people like the idea of handmade items, but they don't like the idea of paying for handmade items They do Dab. They will pay. But you gotta go get em. Gene Howe, Chips N Dust and HARO50 3 Quote Link to comment Share on other sites More sharing options...
DAB Posted June 16, 2017 Author Report Share Posted June 16, 2017 25 minutes ago, John Morris said: They do Dab. They will pay. But you gotta go get em. if my supply of groceries depended on it, i'd figure out how to do that. but thankfully, i don't. i do woodworking for my own benefit. shop guy, HARO50 and Dadio 3 Quote Link to comment Share on other sites More sharing options...
Ron Dudelston Posted June 16, 2017 Report Share Posted June 16, 2017 2 hours ago, John Morris said: They do Dab. They will pay. But you gotta go get em. You're spot on, John. My rate is $30 an hour plus materials. I'm reasonable and covered up. John Moody and HARO50 2 Quote Link to comment Share on other sites More sharing options...
DAB Posted June 16, 2017 Author Report Share Posted June 16, 2017 well, let's see, i still have a nice project i did in 8th grade, and that was about 40 years ago, i've had a fully functional shop in some form since 2003, so you could argue that i've been doing woodworking either 40+ years, or at least 14 years. not always full time, but working on things as time, money, tools, and inspiration were available. so i'd argue that if you are only charging 30/hr after all those many years of proving yourself and getting better, you are not charging enough. that's only 60k if you can work full time all year long. my plumber charges me 125/hr. so if you came to my shop with a pile of money and a few ideas, we'd start talking at 100/hr (800/day). otherwise, i'm quite happy doing my own thing and not being bothered by people looking to pay 10 cents on the dollar. go to Ikea, they'll take care of you. Quote Link to comment Share on other sites More sharing options...
Popular Post John Morris Posted June 16, 2017 Popular Post Report Share Posted June 16, 2017 I'm not sure where this discussion is going, but the title is no profit margin. Although it was meant for a specific case regarding Dab's cutting boards, there are woodworkers who make a wonderful living, they are very successful, independent, with independent shops and they are not media personalities. If you got what it takes, a living in woodworking can be very lucrative. I think where I am coming from is a business in woodworking is very doable, the profit can be made, a fine life style can be had, and a family can be raised from a business in woodworking. There seems to be much negativity surrounding business in woodworking, and I don't understand it myself. Frustration, failure possibly? Whatever it may be, one failure does not equate to an entire industry of failures nor negative experiences to be had by all who engage in making a living woodworking. A successful owner of a woodworking business is not hard to find at all. John Moody, Cal, Ron Dudelston and 2 others 5 Quote Link to comment Share on other sites More sharing options...
Dadio Posted June 16, 2017 Report Share Posted June 16, 2017 My 2 cents worth is that there are not many business minded woodworkers. most are good at wood working but lousy at marketing and the business end. that describes me,and so many that I have seen try. Herb lew and HARO50 2 Quote Link to comment Share on other sites More sharing options...
Popular Post Gene Howe Posted June 17, 2017 Popular Post Report Share Posted June 17, 2017 (edited) All my life my philosophy has been "If you can't have fun and thoroughly enjoy (xxx), don't do it." Naturally, there have been situational exceptions but, few and of short duration. Working with wood has always and, continues to be, a major source of enjoyment for me. Bless those who have the capacity to derive happiness from a woodworking business. I know several guys like that who really have fun doing the woodworking and get a kick out of the business side. I stuck my toe in and quickly determined I wasn't cut out for it. Took a few years and a relocation to close it down. It was fun....while lasted, though. Now, it's 100% fun. Edited June 17, 2017 by Gene Howe HARO50, Cal, John Moody and 2 others 5 Quote Link to comment Share on other sites More sharing options...
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