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A good article by a friend of mine: https://www.finewoodworking.com/2020/05/13/fair-enough I remember many years ago reading a comment by someone else about competing with the "hobbyist" for products. The comment was that someone who did not have a grasp on time, material, overhead and profit just produced stuff "for fun." The result was an excess of product to be gotten rid of at any price. I've also heard many times about people who "just want to cover their material and save a little for a new tool some day," who really have no idea of the the costs that go into making a product for sale.
- 15 replies
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- nancy hiller
- pricing
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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.
- 81 replies
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- woodworking
- profit
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