The Forestry Forum is sponsored in part by:

iDRY Vacuum Kilns


Forestry Forum
Sponsored by:


TimberKing Sawmills



Toll Free 1-800-582-0470

LogRite Tools



Norwood Industries Inc.




Your source for Portable Sawmills, Edgers, Resaws, Sharpeners, Setters, Bandsaw Blades and Sawmill Parts

EZ Boardwalk Sawmills. More Saw For Less Money!

STIHLDealers.com sponsored by Northeast STIHL


Woodland Sawmills

Peterson Swingmills

 KASCO SharpTech WoodMaxx Blades

Turbosawmill

Sawmill Exchange

Michigan Firewood, your BRUTE FORCE Authorized Dealer

FARMA


Baker Products

ECHO-Bearcat

iDRY Wood Lumber Vacuum Drying for everyon

Nyle Kiln Dry Systems




Author Topic: business plan  (Read 4365 times)

0 Members and 1 Guest are viewing this topic.

Offline OlJarhead

  • Senior Member x2
  • *****
  • Posts: 2061
  • Age: 54
  • Location: Moses Lake, Washington
  • Gender: Male
    • Share Post
    • Dartplayer
Re: business plan
« Reply #20 on: October 20, 2012, 01:10:24 AM »
In my case they wouldn't be able to bring the logs to me! lol my location (where I have the mill) is not trailer friendly ;)

But, I like the advice here (sorry if I've highjacked a thread) and I'm taking it to heart!  I'm discussing options to build a trailer for the LT10 with my neighbor now (he does metal fab work in his backyard and has done work for us before) and if I can get a trailer under the LT10 and have it truly portable for not too much of an investment (considering I've already invested in the mill and am now unemployed) then I'll be doing what's been advised here for certain!

I already see the wisdom in just using the LT10 and taking out some simple adds (and placing one in the local general store -- since there is only one within miles)...I have 20 acres in the middle of the forest and don't know of any portable millers near by (though I know there is or was one and there is a stationary mill within 10 miles of my location but I never see it running -- though I've seen new lumber near it often enough).

So maybe, just maybe, I could earn enough to make a go of it.
2016 LT40HD26 and Mahindra 5010 W/FEL WM Hundred Thousand BF Club Member

Offline Okrafarmer

  • Senior Member x2
  • *****
  • Posts: 6419
  • Age: 41
  • Location: upcountry SC-- Sweetgum capital of the world!
  • Gender: Male
  • Exiled from Sawdust Land--plotting a return
    • Share Post
Re: business plan
« Reply #21 on: October 20, 2012, 01:15:30 AM »
Sounds like a good plan, OJH. Unless you have a better way to make money, give it your best shot.  ;)
No matter how conventional wisdom may fly in the face of radical thought, it's still the most popular type.

Reduced to Uber Driver and a broken MS290 Stihl

Genesis Hardwood Lumber

Offline Ianab

  • Administrator
  • *****
  • Posts: 13425
  • Age: 57
  • Location: Stratford , New Zealand
  • Gender: Male
  • Marmite on toast is a real breakfast
    • Share Post
Re: business plan
« Reply #22 on: October 20, 2012, 02:53:11 AM »
Quote
I'm discussing options to build a trailer for the LT10 with my neighbor now (he does metal fab work in his backyard and has done work for us before)

I'm sure I've seen smaller mills like that simply mounted on the deck of a standard trailer. That way, 6 or 8 bolts and you have it off and can use the trailer for moving logs or boards?

A couple of jacks on each end of the trailer to stabilise it for milling and you are good to go. Loading ramps etc can wooden, you have a sawmill and can make those.

As well as just milling, look at other related options as well. Making cedar garden  furniture, selling firewood etc. Not going to get rich, but you should be able to make a few dollars. You have your trailer, basic tools etc

Ian
Weekend warrior, Peterson JP test pilot, Dolmar 7900 and Stihl MS310 saws and  the usual collection of power tools :)

Offline rbraeking

  • member
  • *
  • Posts: 5
  • Location: Santa Fe, Texas
  • Gender: Male
  • Milling/Custom Furniture/CNC Routing
    • Share Post
    • Sand Dollar Woodworks
Re: business plan
« Reply #23 on: October 20, 2012, 04:53:41 AM »
My cost of milling lumber is around 65 cents/bf.  There are not a lot of customers available for milling in this area so the mill is not a stand-alone money maker.  It is more of a convenient tool for the rest of the business which is custom furniture and repairs....and even that is not my day job.  With the cost of blades (you'll mess up quite a few before you get the hang of it.), gasoline, maintenance and repairs the mill is about a break even situation if not a cost center.  If you must finance your mill go through the mill manufacturer.  If you are like me, more talent than money, then buy a used mill and make it work for you. 

Offline OlJarhead

  • Senior Member x2
  • *****
  • Posts: 2061
  • Age: 54
  • Location: Moses Lake, Washington
  • Gender: Male
    • Share Post
    • Dartplayer
Re: business plan
« Reply #24 on: October 20, 2012, 11:01:11 AM »
I've done well with blades and can get 2 to 3 hours of milling on one (I'm told I could possibly do more but don't push it).  So that's $7/2hrs of operating.  I don't use a lot of fuel but even at 5 gallons a day (long day on my mill) I'm still only at $20 for fuel.

Travel to and from a job would be more fuel (for the truck) and that has to be figured in there -- so 30 miles each way would run me about 5 gallons with my F150 pulling a light trailer so call that $20 more.

Total cost for 8 hours of milling is around $68.  Round that up to $80 for various unseen expenses and then figure a 50bf/hr rate (the LT100 really doesn't crank the lumber out though they advertise 100bf/hr) because that's just how things are and my cost w/o the mill is about 17 cents per board foot.  Then of course I have to add in my wage and consider the cost of maintenance and repairs but unless I'm way off base wouldn't the cost of operating the mill be a lot less then 68cents a bf?
2016 LT40HD26 and Mahindra 5010 W/FEL WM Hundred Thousand BF Club Member

Offline Tree Feller

  • Senior Member
  • ****
  • Posts: 991
  • Age: 67
  • Location: Tyler, Texas
  • Gender: Male
    • Share Post
Re: business plan
« Reply #25 on: October 20, 2012, 11:54:30 AM »

 ...unless I'm way off base wouldn't the cost of operating the mill be a lot less then 68cents a bf?

If it isn't there are a lot of sawmillers going broke. I've never paid that much per bf to have logs milled.
Cody

Logmaster LM-1 Sawmill
Kioti CK 30 w/ FEL
Stihl MS-290 Chainsaw
48" Logrite Cant Hook
Well equipped, serious, woodworking shop

Offline bill m

  • Senior Member x2
  • *****
  • Posts: 1531
  • Age: 64
  • Location: Stockbridge Ma.
  • Gender: Male
    • Share Post
Re: business plan
« Reply #26 on: October 20, 2012, 01:00:35 PM »
My cost of milling lumber is around 65 cents/bf.  There are not a lot of customers available for milling in this area so the mill is not a stand-alone money maker.  It is more of a convenient tool for the rest of the business which is custom furniture and repairs....and even that is not my day job.  With the cost of blades (you'll mess up quite a few before you get the hang of it.), gasoline, maintenance and repairs the mill is about a break even situation if not a cost center.  If you must finance your mill go through the mill manufacturer.  If you are like me, more talent than money, then buy a used mill and make it work for you. 
If sawing lumber is costing you money why not just sell the mill, pay someone else to saw your lumber and use your time to do something that will make money.
NH tc55da Metavic 4x4 trailer Stihl and Husky saws

Offline Okrafarmer

  • Senior Member x2
  • *****
  • Posts: 6419
  • Age: 41
  • Location: upcountry SC-- Sweetgum capital of the world!
  • Gender: Male
  • Exiled from Sawdust Land--plotting a return
    • Share Post
Re: business plan
« Reply #27 on: October 20, 2012, 09:22:59 PM »
Oljarhead, don't forget to include depreciation of your mill, truck, trailer (if applicable), and support tools. But even if you get up to .25 / bf costs, you should be able to charge more than that in Washington State, I think.  Just hope it's enough to pay your way. Try to work on upping your production rate. If you can improve from 50 to 65 bf/hr, that's a big boost.
No matter how conventional wisdom may fly in the face of radical thought, it's still the most popular type.

Reduced to Uber Driver and a broken MS290 Stihl

Genesis Hardwood Lumber

Offline GeneWengert-WoodDoc

  • Senior Member x2
  • *****
  • Posts: 2700
  • Location: Bishop, GA
  • Gender: Male
  • Author of "Sawing Hardwood Lumber"
    • Share Post
    • Book on Sawing hardwood Lumber
Re: business plan
« Reply #28 on: October 20, 2012, 10:40:10 PM »
There is a valuable bit of information in Bill M's posting.  It is always worth considering hiring out a particular service rather than investing in equipment yourself.  For example, if you do not have much need for planed lumber, but sometimes get an order for planed lumber, it might be a better decision to hire out the planing than to buy a planer.
Gene - Author of articles in Sawmill & Woodlot and books: Drying Hardwood Lumber; VA Tech Solar Kiln; Sawing Edging & Trimming Hardwood Lumber. And more

Offline OlJarhead

  • Senior Member x2
  • *****
  • Posts: 2061
  • Age: 54
  • Location: Moses Lake, Washington
  • Gender: Male
    • Share Post
    • Dartplayer
Re: business plan
« Reply #29 on: October 20, 2012, 11:11:40 PM »
Was doing some math today and figured I milled everything from 50 to 95bf/hr on he LT10.  It all depends on the size of the log more then anything and with 8' logs vs 16' logs it gets tougher, I think anyway, to mill at the higher rates (just because of loading, rolling and offloading etc).

Seems when I was milling logs in the 15-22" range I was able to mill closer to the 95bf/hr rate but I figure a smaller mill would probably do better with hourly rates specially if the logs are smaller (8-12" diameter).

I've figured that with 4 hours of mill time I could survive as long as I worked 16 days out of the month.....seems doable.
2016 LT40HD26 and Mahindra 5010 W/FEL WM Hundred Thousand BF Club Member

Offline Okrafarmer

  • Senior Member x2
  • *****
  • Posts: 6419
  • Age: 41
  • Location: upcountry SC-- Sweetgum capital of the world!
  • Gender: Male
  • Exiled from Sawdust Land--plotting a return
    • Share Post
Re: business plan
« Reply #30 on: October 20, 2012, 11:20:09 PM »
Well, figure in yet another 20% for even more unexpected problems, but it definitely seems like a better plan than just sitting around doing nothing.  :)
No matter how conventional wisdom may fly in the face of radical thought, it's still the most popular type.

Reduced to Uber Driver and a broken MS290 Stihl

Genesis Hardwood Lumber

Offline Meadows Miller

  • Senior Member x2
  • *****
  • Posts: 3297
  • Age: 38
  • Location: Find a Job You Love & You Will Never Work Another Day In Your Life
  • Gender: Male
  • The Walkabout Sawyer
    • Share Post
Re: business plan
« Reply #31 on: October 21, 2012, 08:14:38 PM »
Gday

another thing i forgot to add JH is that if you have say a 6x10' or longer trailer you might not need to build your mill onto one to be protable I welded the 4x2 tube on then I would leve the head at the far end of the trailer and had a prop so i could lift the light end of the mill up and back the trailer under the mill to alittle over half way then i would roll the head up half way and lock it down to the track and slide it in to the trailer n strap er down Mate  ;) ;D

Regards Chris
4TH Generation Timbergetter

Offline OlJarhead

  • Senior Member x2
  • *****
  • Posts: 2061
  • Age: 54
  • Location: Moses Lake, Washington
  • Gender: Male
    • Share Post
    • Dartplayer
Re: business plan
« Reply #32 on: October 21, 2012, 09:56:41 PM »
THanks -- this is kinda what I'm working towards. 

We're thinking of making the trailer so the mill can be either run on the trailer or removed from it so the trailer can be used for other purposes.
2016 LT40HD26 and Mahindra 5010 W/FEL WM Hundred Thousand BF Club Member

Offline Tree Feller

  • Senior Member
  • ****
  • Posts: 991
  • Age: 67
  • Location: Tyler, Texas
  • Gender: Male
    • Share Post
Re: business plan
« Reply #33 on: October 21, 2012, 11:52:26 PM »
Pleased to see you posting again, Erik. Sorry to hear about the job, though.
Cody

Logmaster LM-1 Sawmill
Kioti CK 30 w/ FEL
Stihl MS-290 Chainsaw
48" Logrite Cant Hook
Well equipped, serious, woodworking shop

Offline OlJarhead

  • Senior Member x2
  • *****
  • Posts: 2061
  • Age: 54
  • Location: Moses Lake, Washington
  • Gender: Male
    • Share Post
    • Dartplayer
Re: business plan
« Reply #34 on: October 22, 2012, 01:26:12 AM »
Thanks TF -- truth is I haven't been milling lately.  Too busy putting in a field and working on the orchard and water system.

But I hope to get back to milling again soon!
2016 LT40HD26 and Mahindra 5010 W/FEL WM Hundred Thousand BF Club Member


Share via delicious Share via digg Share via facebook Share via linkedin Share via pinterest Share via reddit Share via stumble Share via tumblr Share via twitter

xx
Business Plan?

Started by 2StateTrigger on General Board

17 Replies
1773 Views
Last post November 25, 2015, 07:58:56 AM
by jdtuttle
xx
My business plan

Started by Darrel on General Board

6 Replies
893 Views
Last post April 01, 2014, 08:54:19 PM
by scsmith42
xx
Business Plan

Started by woodsteach on Sawmills and Milling

10 Replies
2210 Views
Last post June 06, 2005, 10:39:18 PM
by AtLast
xx
New Log Truck, Business Plan

Started by luke on Forestry and Logging

30 Replies
20744 Views
Last post July 09, 2004, 10:27:36 PM
by SKIDDERBABY
 


Powered by EzPortal