Not everyone can make or sell a ton of wood chips. If you have to sell a ton of wood, maybe that isn’t where you want to be. You need quality wood (for example, that came right from the farm, free of pesticides, chemicals, and additives). A wood shop needs a decent workforce and skilled tools. In order to sell wood you need to have a good network of satisfied customers and know how long (and how much) they will remain a customer.
The easiest way for a business to make money on wood is to find the best wood for the job. This means that you must not only be able to identify best materials, but also how fast (to the mill) these materials can flow. Also, if you are looking at wood chips for sale, then you need to have a good idea where the wood chips came from. Knowing how many trees needed for the wood chips in your shop can help you identify the source and then you can locate the cheapest trees to buy from.
A wood shop that sells well in this manner will have customers that stay with them for years. You won’t end up with the same wood chips year in & year out, but it will last longer and you won’t have customers dropping off and moving on, as with a big lumber yard.
If you are starting a small woodworking business here are some of the things you should do for profitability.
Know your own needs and understand the market (for a small business). There were woodworking businesses that were so small (no one knew what they even did) that they were not profitable anymore. If you are starting a small woodworking business on your own, know what you really need to be successful. Do you need a high quality wood from an independent farmer? If your only woodcutting is cutting trees or buying the lumber yourself, you might find that buying in bulk or “borrowing” from a lumber yard can be profitable in small quantity.
Have a good supply chain, especially for wood chips. Most woodworkers have access to a lot of materials from different sources. This allows you to work from a wide variety of sources and still profitably order in bulk. Know where the wood comes from, as well as the conditions the trees need to survive in if you are going to produce any wood.
Make sure you have someone to help out. Many businesses that have trouble with their business are just not able to find a skilled employee to help. When you are looking to
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