Many entrepreneurs want to start and run their own manufacturing businesses, but you need to follow specific steps to be successful.
Do Your Research
When did anyone start a business without doing research first? Probably the ones that didn’t last long!
Starting and running a successful manufacturing company comes down to understanding the needs of the market in which you live, and being able to provide the needed products at a fair price.
So, every beginning company needs to perform market research to learn about your market and things that it needs. Perhaps you want to manufacture some type of metal product, such as mailboxes or toolboxes. Manufacturing businesses also make packaging, plastics, paper and more.
You can learn alot about many manufacturing industries by poring over trade magazines in various manufacturing niches.
As you do your research about the market and these products, study what you find and look for any gaps in what people want and what is sold. This could mean you need to offer something that isn’t sold yet.
Where Will Your Facility Be?
As you are thinking about the products you will make, also consider your location. First, where will the facility be located, and how and where will you market your goods?
When you first start, working out of your garage or basement might be enough. But if you are in a specialized manufacturing industry, you probably need to rent a commercial warehouse.
Thinking about how to sell your wares can mean selling them straight to consumers with a website and social media channels like Twitter, Facebook, and Instagram.
Or, you can sell your products via a middleman, such as eBay, Amazon, or Etsy. Whatever you decide, it will take a few months to locate buyers, but eventually, you’ll begin making sales.
Recruiting Your Team
Every successful manufacturing business needs to have a skilled and dedicated team. You need to have experienced, hard working employees who believe in the manufacturing products you sell.
Hiring a highly skilled finance and accounting team is especially important to ensure that the books are taken care of. And they should allocate the salaries needed to hire the most skilled trades workers. Note that there are more jobs than workers in the US right now, so you may have to spend more to hire the best staff.
3 Manufacturing Business Ideas
If you still are scratching your head to come up with an idea for your manufacturing company, consider a few of these:
- Custom assembly: Many small electronic and computer startups that sell a few dozen units per month may need help to assemble their products until they build a large sales volume. Some of these small businesses may need contractors to handle welding or assembly of electric wires.
- Machining small holes: Product parts in all business sectors are getting smaller. Your manufacturing company could focus on lasers and micromachining to make small holes and to machine tiny parts for various industrial products.
- Promotional wooden products: If you have woodworking tools and power saws available, you may want to look at creating awards and plaques in your area. This is a niche that is growing quickly so you may want to give it a try.
Starting your manufacturing company takes a lot of planning and work, but there are so many opportunities out there in the growing economy. Do your research, work hard, and you can succeed.