The use of hardware products does not lose relevance in any construction and repair work. A business plan implemented in such a situation, based on the production of small fasteners, pays off no later than 2-3 years with properly established production processes. The market is in demand for products of various configurations that can be produced on new or used machines that provide even low productivity. You can buy foreign or domestic equipment at an affordable price class=”aligncenter” width=”658″ height=”467″[/img]
Self-tapping screw production technology
This group of products is produced by cold stamping. It is customary to use as raw materials:
- brass;
- steel (standard, stainless or high carbon).
The material is used in the form of wire, which is already twisted into skeins. The production technology of self-tapping screws can be divided into the following stages:
- preparation of the workpiece - cutting the wire to a given size;
- tip and head formation;
- thread formation;
- hardening of the product by rapid heating and cooling in a hardening wheel;
- treatment of the product with anti-corrosion material.
The production line consists of a cold heading and thread rolling machine, as well as a centrifuge for drying the product, a galvanizing line and a hardening furnace. When drawing up a business plan for the production of self-tapping screws, be prepared that more than half of the investment will go to the purchase of equipment. The operating speed of the mini-machine depends on the degree of its productivity and can range from 50 to 250 pieces per minute. The price of the simplest machines (any machine from the entire line) starts from 80 thousand rubles, more complex equipment for the production of self-tapping screws varies between 500-900 thousand rubles. In any case, to purchase a full line you need a starting capital of 600 thousand rubles.
By opening a mini-factory with expensive equipment, you can quickly recoup your initial investment, since the productivity of such technologies is much higher. Profitability will also increase due to the production of higher quality products and the ability to expand the range.
Equipment selection rules
When selecting machines, it is necessary to take into account their productivity, labor intensity of manufacturing processes and operational characteristics. In addition, the source material has a direct impact on the parameters of the equipment. In the vast majority of cases, machines for the production of hardware are designed for processing rolled steel made from metal of various alloys.
The minimum configuration of the line will require the following types of equipment:
- Unwinding machine. Designed for cutting wire into blanks.
- Cold heading machine. With its help, the desired shape of the product is obtained by rolling.
- Thread rolling equipment. Necessary for applying threaded lines to the surface of the material being processed.
Then the hardware products go through the hardening stage, after which they are packaged and sent to the finished product warehouse.
Dowel production technology
The dowel is a fastener often used in construction, the demand for which is high and practically does not depend on the seasonality factor. That is why this niche can be considered highly profitable and quickly pays for itself.
On the other hand, the production of plastic dowels requires significant costs and detailed calculations.
Regardless of the scale of the project, nylon or polyvinyl chloride is used to make dowels. Experts recommend using nylon, since this material makes it possible to produce fasteners for thermal insulation. Using PVC will slightly reduce the cost, but the price of such dowels is also significantly lower.
At the initial stage, the raw material is supplied in the form of granules, then processed. The manufacturing process of this group of products consists of the following stages:
- preparatory process;
- melting nylon or PVC;
- pressing the mass, creating finished products.
As a rule, all lines for the production of dowel nails are automated. Since the quality of manufactured products practically does not depend on the human factor, it is worth investing in reliable equipment from well-known manufacturers.
In order to produce dowels of different sizes and parameters, a full-fledged production line is required. Equipment for the production of plastic dowels:
- centrifuge;
- thermoplastic;
- Press forms.
To install the line, you will need a small production workshop, which can be located outside the city to minimize rental costs. The cost of such a line averages 1.2-1.8 million rubles. To minimize costs, you can purchase cheaper equipment from Chinese manufacturers or used technology.
Production of fasteners (hardware) as a business
The production of fasteners (hardware) as a business line does not lose its popularity among entrepreneurs due to high profitability rates and constant demand for products. Hardware products are in demand by both construction companies and individuals. Not a single repair or construction project is complete without the use of various fasteners.
The general concept of hardware products includes hundreds of items and positions, the production of which requires specialized expensive equipment. In the general list of hardware, a favorable position is occupied by perforated fasteners, which are in great demand in the construction market and require relatively small investments to start production compared to other hardware.
Perforated fasteners and their production
The production of perforated fasteners is a line for the production of products of various shapes, in which a special machine makes many holes. The most popular among consumers are corners, mounting tapes and plates.
When starting production, an entrepreneur needs to decide what raw materials the fasteners will be made from.
Builders give preference to products that have a high-grade zinc coating, thanks to which the product becomes universal and suitable for both external and internal decoration.
An entrepreneur should think about whether he will buy already galvanized raw materials or carry out the galvanizing procedure in his workshop.
To do this, you need to compare the cost of raw materials with and without coating, and then, based on the difference in price, calculate the benefits of installing galvanizing equipment in your workshop.
As a rule, it is more profitable to apply the coating on site, but the purchase of raw materials already prepared for production from official dealers of metallurgical plants is accompanied by the provision of certificates of the coating class and guarantees the high quality of perforated fasteners.
In general, the entire production process of perforated fasteners can be divided into 3 main parts:
- preliminary preparation of raw materials (steel sheets);
- marking and cutting steel strips;
- applying perforation and giving the strip the required shape.
To ensure the production of high-quality products, it is necessary to pay special attention to the selection of equipment for the production of hardware.
Equipment
The demand for fasteners gives rise to a large number of offers on the professional equipment market, offering new and used machines at a variety of prices.
Used equipment will certainly cost a businessman less than new equipment, but how long it will last and how much money will have to be invested in repairs if it breaks down cannot be predicted in advance.
That is why we recommend purchasing a new machine that has warranty service and does not require preliminary repairs.
a machine for the production of hardware, depending on the production capacity and country of origin, at a price from 800,000 to 3,000,000 rubles. Do not rush to immediately buy a heavy-duty, expensive machine and invest more than one million in the workshop: the hardware market is characterized by seasonality and a large number of competitors.
To begin with, focus your attention on machines up to 1 million rubles. In addition to the machine, to create an automated production line you will need to purchase an unwinder, a guillotine, a receiving table and a roll forming machine. It will take another half a million rubles from the entrepreneur’s wallet to purchase additional equipment.
In total, creating a production line will cost approximately 1,300,000 rubles.
Shop
The production of fasteners (hardware) as a business places some basic requirements on the premises, compliance with which guarantees a well-coordinated work process:
- uninterrupted supply of electricity and water;
- availability of heating in the cold season;
- availability of a bathroom;
- proper ventilation system;
- availability of access roads;
- availability of a beam crane for unloading/loading.
To place all the equipment, you need a room of about 100 square meters. m. Since the work line is quite noisy and dusty, it is necessary to equip a small area for employees where they can have lunch and relax in peace.
The cost of renting such premises for regions of Russia with the exception of Central is on average 100,000 rubles.
Workers
Purchasing an automated line frees the entrepreneur from recruiting a whole staff of specialists. To control the operation of equipment for the production of fasteners , only a few people will have to be employed, and specifically:
- equipment and production control specialist: 2 people;
- packer: 2 people.
When production gains regular customers and sales volumes increase, additional staff can be hired to work.
Raw materials
Manufacturers must enter into an agreement for the supply of raw materials before launching the line.
It is best to cooperate with official dealers of metallurgical industries, because they guarantee the quality of raw materials and minimum prices.
In addition, large plants have representative offices and warehouses in almost every city, which reduces the cost of delivery. But an agreement can be concluded only after the entrepreneur has been assigned the status of an individual entrepreneur or LLC.
For most manufactured perforated products, galvanized sheets with a thickness of 2 and 2.5 mm are required. Approximately 1 ton of raw materials will cost an entrepreneur 55,000 rubles. The initial recommended purchase volume is 3 tons, or 165,000 rubles.
Promotion and sales
In order for money to appear in the company’s current account for purchased products, while still “on shore”, when drawing up a business plan, the businessman must resolve issues related to organizing sales.
It is necessary to determine whether the production will work for retail, cooperate only with wholesalers, or use both options in tandem. All conditions and agreements must be recorded in a formal contract, which must be signed and sealed by both the buyer and the supplier.
In any case, you will need an employee who will form commercial offers and engage in active sales. In order to motivate an employee to work efficiently, it is advisable to establish piecework payment for him and provide him with a mechanism for stimulating sales in the form of a system of discounts and bonuses.
Before producing...
Cooperation with market counterparties involves the official registration of production activities with the Federal Tax Service of the Russian Federation. If an entrepreneur alone manages production and finances its creation, then he creates an individual entrepreneur. If a business in the production of fasteners (hardware) is sponsored by several individuals, they usually form an LLC together and own equal shares.
To create an LLC you will need 14,000 rubles, 4,000 of which is the state duty, and 10,000 is the authorized capital. Assigning the status of an individual entrepreneur costs only 800 rubles, which is spent on paying the state fee.
In a situation where production is opened on the basis of an existing enterprise, you need to contact the tax authority with an application to enter an additional OKVED code and a receipt for payment of the state duty. The cost of making changes is 800 rubles.
Let's sum it up
So, when the whole process is thought out inside and out, it’s time to calculate how much money will be needed to implement the project. The amount of starting investments with stage-by-stage expenses is presented in the form of a table.
Cost item | Amount, rubles |
Equipment | 1 300 000 |
WorkshopRaw materials | 100 000165 000 |
Registration | 800 |
Total | 1 565 800 |
Launching production will cost the entrepreneur 1,565,800 rubles.
Monthly production costs will consist of the cost of rent, utility bills, employee salaries, costs of raw materials and packaging.
Where can I get so much money?
Not every aspiring entrepreneur can boast of having a couple of free millions in their account. If you don’t have money or don’t have enough money to start, you can use one of the suggested options:
- Bank loan;
- leasing;
- equipment rent;
- investor assistance;
- related loan.
The use of any of the options implies the return of funds, taking into account remuneration, within the period agreed upon by the parties. But in order to receive start-up capital or use leasing, an entrepreneur needs to prepare a forecast calculation of profit.
Forecast indicators
In most cases, in the first year of operation, production works in bulk, selling fasteners through intermediaries who are focused on purchasing large quantities. By concluding an agreement with wholesale companies and knowing their monthly needs, you can calculate the amount of expected profit.
The selling price of production is equal to the cost of fasteners, increased by 50%. The cost of fasteners is on average 300,000 rubles, which per month with full sales of products gives an income of 450,000 rubles. The amount of expected profit per month is 150,000 rubles.
At a given level of profit, the payback period for the initial investment is calculated as the fraction of profit and initial investment and is 1,565,800/150,000 = 10.5 months.
Should know
When launching the production of perforated fasteners, it is important to know some of the nuances inherent in this area.
- Firstly, the presence of a seasonal factor. Manufacturers note a decrease in sales volumes during the winter periods from approximately October to March.
- Secondly, dependence on market prices for raw materials. Leading metallurgical plants change prices for raw materials, which has a direct impact on the formation of the cost of fasteners.
- Thirdly, the level of competition. It is extremely short-sighted to open fastener production in a city where the hardware plant is the city-forming enterprise and supplies all large wholesalers with all the necessary fasteners.
Preliminary analysis and careful calculations will allow you to determine a competent work strategy and bring production to a decent level.
Screw production technology
A screw is a common and widely used fastening element, which is a metal base with a thread and an edged head. It is made of stainless steel or brass. Equipment for equipping a production line costs from 1.2 million and depends on the degree of productivity, country of origin, and capacity. If you plan to firmly establish yourself in your chosen niche and offer high-quality products with a wide range, you should not skimp on technical equipment. The relatively high cost of equipment will allow us to produce higher-quality screws and quickly recoup the investment costs and reach the break-even point.
Equipment for the production of screws:
- cold heading automation;
- thread rolling machine with chip separator;
- automated line for heat treatment;
- automated line for anti-corrosion coating.
The production of screws as a business consists of the following stages:
- production of blanks - base of a given length and head;
- thread cutting;
- heat treatment in a hardening furnace;
- application of phosphated or galvanized coating.
Production of perforated fasteners
Various fasteners are in demand on the construction market, so the question of how to open your own production of perforated fasteners from scratch is relevant today. To start making money from the production of a particular product, it is not at all necessary to launch large-scale production.
All kinds of components and fasteners are in no less demand in various fields than, for example, complex equipment. In addition, much less investment is required to start a business.
However, despite the apparent simplicity, when deciding to launch your own workshop for the production of perforated fasteners, you need to think through many nuances.
Manufacturing technology of perforated fasteners
Considering that fasteners are widely used in the construction of buildings and structures, these products must meet all declared characteristics. The main point here is the quality of the components used.
It is better to purchase the material from which the parts will be made directly from the manufacturer. This way you can save significantly and minimize the risks of supplying low-quality raw materials.
Taking the production of perforated fasteners from galvanized steel as an example, you can produce sheets of material that are further processed within the walls of your own plant.
True, this will require purchasing additional equipment, which can be an overwhelming burden for beginning entrepreneurs. Therefore, it is better to start by purchasing steel from suppliers. In general, the manufacturing process of perforated fasteners looks like this:
- Preparation of steel sheets.
- Cutting steel coils into strips of a certain width.
- Directly obtaining fasteners of various shapes by perforating them.
In order for the resulting parts to meet all modern standards, it is necessary to purchase equipment for the production of perforated fasteners. And we’ll discuss which one now.
There are many offers for selling equipment on the market now. Taking into account your financial capabilities, you can choose a suitable line. The price of machines for the production of perforated fasteners will vary depending on its capacity, the production method used and the country of manufacture.
You will spend at least 700,000 rubles on equipping the workshop. however, there are lines that are much more expensive - their cost reaches 3,000,000 rubles. But before you buy such an expensive line, think carefully about whether you will be able to sell all the products produced. It will be quite difficult for a young enterprise to establish distribution channels.
The standard line is equipped as follows:
- unwinder,
- profile forming mill,
- cutting device,
- coordinate punching machine,
- reception table
To save money, you can, of course, equip your workshop with used machines. But only modern equipment can provide the best quality of finished products. And this will undoubtedly affect your profits in the future. Nowadays, machines that perform laser cutting of workpieces are popular among manufacturers.
Using such equipment, it is possible to reduce process time and obtain more complex products. Since the laser does not mechanically affect the part in any way, the fastener is smooth, without any flaws.
Therefore, if you have such an opportunity, be sure to replace the old device with a laser machine for the production of perforated fasteners . The cost of a good unit with sufficient power for a small enterprise is from 500,000 rubles.
In order for perforation on fasteners to be carried out with great speed and accuracy, it is better if the coordinate punching machine is equipped with program control. This will allow you to fully control the process. You will spend at least another 300,000 rubles on automation.
Question of sales of finished fasteners
In any business, the issues of selling finished products are almost in the first place. Your final profit will depend on your clients. The best option is wholesale buyers. It is difficult to agree on cooperation with them, but it is quite feasible.
Offer them favorable prices and high-quality service. Consumers of fasteners are mainly construction companies and stores. Bet on them.
As practice shows, the price of equipment for the production of perforated fasteners with established sales channels and competent management policies pays off within a year. All costs of organizing a business (which is at least 1,400,000 rubles.
) will be used for technical equipment of the workshop, preparation of the premises and purchase of raw materials. The price of finished products varies widely - it all depends on the type and size of the product. The cost of the part is at least 40% lower than the selling price. The possible profit will be easy to calculate.
Bolts and nuts production technology
A screw pair, which consists of bolts and nuts, is a commonly used form of metric fastener. The inside of the nut has a thread that screws onto the bolt. The result is a strong, reliable mount. The following raw materials are used to produce nuts and bolts:
- stainless, carbon, chrome or alloy steel;
- bronze;
- titanium;
- copper;
- brass.
Their manufacturing technology is based on the cold method of continuous shaping from rod or wire. Wound on a reel, the wire is sent to a bolt cutting machine, which makes blanks of a given size. The base then goes through several shaping dies. The thread is rolled onto the final workpiece.
Equipment for the production of nuts and bolts:
- nut threading machine;
- cold heading automation;
- die;
- stamping machine;
- cold heading tools – bushings, inserts, punches, dies, etc.
On average, a full-fledged line for the production of bolts and nuts will cost 800 – 1200 thousand rubles.
Recruitment
Purchasing new technologies and automated lines minimizes payroll costs, since most of the processes that required hiring employees are performed automatically.
The availability of labor depends on the type of production chosen and the equipment purchased. Average wages in Russia for blue-collar workers per month:
- turner - from 25 to 40 thousand rubles;
- technologist, engineer – 35-45 thousand rubles;
- mechanic - 28-32 thousand rubles;
- welder – 30-35 thousand rubles;
- loader – 20-25 thousand rubles.
When hiring employees, it is better to hire experienced specialists. A competent personnel policy will save your time and money in the future.
Ways to sell products
The production of hardware is a profitable business, since fasteners have always been in high demand among individuals and large enterprises.
You can sell goods wholesale to small sellers, place information about products in the media and the Internet. Some companies, along with a production workshop, open their own retail outlet, selling high-strength fasteners and other products at a maximum margin. On the one hand, this option requires additional investments, on the other hand, your company will always have a stable supplier in the person of itself.
Thread rolling machine
Next, the product goes to the thread rolling machine. This hardware production equipment forms threads on the surface of the material using cold rolling. Depending on the settings, it has a different application step, depth and location on the workpiece.
Simultaneously with this process, additional hardening of the hardware occurs. Mechanical pressure on the surface strengthens its structure, improving performance properties. Some types of products require additional heat treatment - hardening. First, their surface is heated to a certain temperature and then cooled in a cold oil solution. As a result, the strength of the hardware increases, but at the same time its fragility increases.
Financial part
You can organize a production workshop in any locality. In order to produce about 2 million units of fasteners per month, an investment of 1 million rubles is needed. Most of the expenses are needed to purchase equipment. The final amount depends on this choice.
Approximate starting costs for organizing a production workshop for the production of hardware:
- purchase, transportation and installation of equipment – 600 – 1500 thousand rubles;
- registration of an enterprise – 10 thousand rubles;
- workshop equipment – 30 thousand rubles.
Monthly costs:
- purchase of raw materials, materials - from 150 thousand rubles;
- rental payments – from 30 thousand rubles;
- wage fund – from 40 thousand rubles;
- utility bills, payment of taxes - from 25 thousand rubles.
As can be seen from the calculations, monthly expenses will amount to 245 thousand rubles, which is 2.94 million per year. The amount of investment for the implementation of the project will be from 885 thousand rubles. up to 1.6 million rubles
If on average one fastener costs 20 kopecks, you can receive about 400 thousand rubles monthly. Based on approximate calculations, net profit for the year could amount to 1.86 million rubles. (4800000 – 2940000).
Download for free a short business plan for a workshop for the production of self-tapping screws (.rar file): Example 1
Equipment for the production of perforated fasteners - Metalworker's Handbook
Having a good understanding of the construction industry, a professional can begin to implement almost any business project - many of the areas are characterized by high profitability.
But beginners also have every chance to launch a profitable enterprise by choosing a low-cost direction characterized by high consumer demand for the final product.
If you buy equipment for the production of hardware and establish sales contacts, you can quickly get accustomed to the market and start earning good money.
Our business assessment:
Starting investments – from 1,500,000 rubles.
Market saturation is average.
The difficulty of starting a business is 6/10.
Fastening materials always sell out well. Buyers are not only private builders, but also large developers who need this product constantly and in large volumes.
The main share of demand falls on screws, self-tapping screws, nails, bolts, and anchors.
The production of hardware and fasteners as a business suggests the presence of 2 development options - you either produce “standard” products, or take orders from large clients.
And the second scheme for the development of a small workshop is the most optimal, since it will be very difficult to compete with industry giants. And since large enterprises rarely take on orders from medium-sized businesses, you can take a strong place in the market.
How to start a hardware production plant? What should an entrepreneur take into account?
Proper business registration
It’s great if at the initial stage of business development you draw up a clear business plan. On the pages of the project you will analyze the sales market and competitors, calculate costs and possible profits.
Are you going to borrow funds from banks or private investors for the production of construction fasteners? Then you can’t do without a business plan! You must prove to lenders that the business is profitable.
And the first point of the business plan is the registration of the enterprise. To open the production of hardware and fasteners in Russia, register as an individual entrepreneur or LLC. At the same time, you will need to register with the tax office.
There is also a lot of work ahead to register the technical conditions according to which fasteners will be manufactured in the future, which will entail both monetary and time costs.
It is impossible to do without obtaining permits from sanitary and fire services - but this will already be at the stage of commissioning the line and starting the work of the workshop.
If you plan to produce and sell hardware and fasteners under your own brand, you should consider this point by registering the brand and developing an original product packaging design. But a novice entrepreneur can refuse this - he will have to wait a long time for approval from government agencies (up to a year) and will have to invest a lot of money.
How complex is the technology for producing hardware products?
The technology for producing hardware, given that all the “work” is done by machines and devices, is not complicated. But without knowing the basics at all, you still can’t do it alone - to start a smooth process, it’s better to invite a specialist in this field.
The production of stainless steel hardware will require constant supplies of steel wire of different diameters to the workshop.
The quality of the finished products will depend on the quality of the raw materials used - it’s better not to skimp on it! Some manufacturers prefer wire already cut into blanks.
This greatly simplifies the process, since you don’t have to spend money on one of the line’s machines. But at the same time, the purchase of “semi-finished products” increases the cost of finished products, which not all customers will like.
The production of hardware products is carried out using the following technology:
- Cutting blanks according to specified parameters along the length of the final product.
- Formation of the cap, slot and point.
- Thread cutting on a finished steel blank.
These are the main stages of the process that are required in the workshop. In principle, at this stage it is already possible to pack ready-made fasteners.
But the production of high-strength hardware will require the organization of other processes that are aimed at giving the products improved properties. All this will require additional equipment.
But it’s better to spend money when starting a business to ensure high quality products.
The production of furniture fasteners at further stages may consist of the following:
- Hardening in a furnace. Exposure of metal to high temperatures.
- Phosphating. A special composition is applied to the products, which during processing forms iron phosphate. The solution is heated to a certain temperature, and the fasteners are then immersed in it. This is a very economical way to improve product properties.
- Oxidation. This production of hardware products involves applying a film of oxides to the surface of the fasteners. This technique is slightly worse than phosphating, since in the end the final product is not characterized by such high strength indicators.
- Galvanizing. Applying a zinc-based protective film to nails and bolts. The technology is quite complex, which leads to higher prices for products, which is why the technique is not so often used in small enterprises.
During additional production stages, the wire used becomes stronger, is not exposed to the harmful effects of moisture, and can withstand heavy loads.
Manufacturing non-standard hardware does not mean that you need to introduce several existing techniques into production at once. For each specific customer order, you can “vary” the technology by choosing a specific processing method.
Workshop technical equipment
The hardware production line is the most impressive expense item in the entire business plan. Some types of machines may not be purchased by mini-workshops.
But there is also equipment without which it is impossible to imagine the technological chain.
Study the market for suppliers of machines and devices and choose the appropriate option based on price and functionality.
The list of equipment for the production of hardware products includes:
- Cold heading machine. Cuts wire into blanks, forms caps and points.
- Thread rolling mill. The working mechanism is equipped with special dies, with the help of which threads are cut with a given pitch.
- Hardening furnace. The internal space heats up to 920 ˚С.
- Galvanic line. Consists of several sequentially installed baths. The products are loaded into a special drum, which is then immersed in a bath with a degreaser, and then in a bath with one or another chemical composition and clean water.
- Drying centrifuge. This is an automatic machine for the production of hardware that dries finished products after treatment in a bath using hot air.
The line with the designated equipment can be fully automated. In this case, the operating personnel are only required to load raw materials and unload finished products. Not the most popular option among novice entrepreneurs, since it involves significant expenses.
The price of equipment for the production of hardware and fasteners varies widely depending on the power and level of configuration. The entrepreneur will have to spend at least 800,000 rubles on equipping the workshop.
And this will not be the most productive line - with a capacity of up to 60 units/min. In this case, the functionality of the equipment is quite limited - for the most part it cannot be reconfigured to produce dozens of types of products.
Machines producing up to 250 items per minute cost no less than 2,000,000 rubles.
You can buy a machine for the production of hardware both in Russia and abroad. European equipment is expensive; domestic entrepreneurs rarely install it in workshops.
But Asian lines are superior to many others in terms of price and quality. First of all, consider buying these.
The following brands of machines for producing fasteners have proven themselves excellent in the market: LianTeng, Candid, INNOR and FOB.
We recommend these articles:
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We are opening a mini-factory for the production of self-tapping screws.
How to write a business plan for the production of biofireplaces?
Profitability of the planned business
If we take the minimum, it will cost an entrepreneur about 1,500,000 rubles to organize an enterprise for the production of hardware.
This will include the costs of equipping the workshop, preparing it for work, and ensuring a supply of raw materials. And this figure is far from the limit.