[Closed] Paging those who have their own bike firm...

Treat it like any business. Supply and demand. Strip out the brand name, product detail and go back to the mechanics of what the customer wants, identify a need, the market and build/factor in returns, storage, cost etc.

Possibly contact the bike companies direct. I don't believe a good business plan involves posting on a forum 😉

this guy:

Nick Lobnitz

http://www.paper-bicycle.com/

gets the frames made in Taiwan and then built up by a shop think in the Uk

tron -
I think I may have spotted an opportunity to sell complete bikes... they key problem I can see is being lumbered with a load of bikes that aren't selling

I think you need to look at the opportunity a bit harder.

and it depends on what you define as competitive pricing. i could give you rough numbers on frames and parts but are we talking OEM, grey import or full price?

The original post wasn't hugely detailed, but I've written business plans before and so have some idea of what's involved. I'm lucky enough that I'm in a position where I'd be able to self fund to some extent, have access to free storage and do the day to day work involved myself. As a result, start up costs are pretty minimal, and so the minimum volume that I'd need to shift is also pretty small.

As I see it, if I can order in relatively small numbers, then I can "dip a toe in the water" without exposing myself to much risk. Bikes have an innate value, and you could just offload your stock on eBay if it wasn't going well.

However, start putting in loads of legwork visiting trade shows to see products and speak to manufacturers will very quickly raise the start up costs. Which then raises the volume you've got to shift, which means bigger orders, and that of course means a bigger initial investment. So I'd like some idea if the initial model would work, hence the question on volumes asked on a bike forum where quite a few bike co. gaffers hang about...

Podge, I'd be looking at buying direct from OEMs, preferably as built as possible before being put into the box. Probably fairly basic steel frames.

I did some very basic scouting round on frames and the minimum I could get was 100 but was informed that if i went via some one with existing channels I could get less but cost may become stupid high at lower numbers.

full build bikes are subject to additional tax, something to think about if it gets bigger, for a small run it probably wouldn't make much difference

Hmm. I'd be looking to sell at around the £300 pricepoint. Preferably cheaper.

It's clearly possible as the likes of Decathlon turn out reasonable bikes for not far above £100, but they'll obviously operate on big volumes.

as you say, volume is the key there

just for research purposes I'd get your self a copy of the TBG and see if anyone is offering anything similar then drop them a line asking for minimum quantities and cost. at least it will give you a rough idea. though I have found replies tend to be a bit hit and miss.

if you want any more info, just drop us a line, i'd be happy to help, its something i've worked with a bit and looked into a lot recently however i'm leaning more to custom frames in the uk as its a dying market and i love craftsmanship

Do you really expect people in the industry to supply you with information that they have gained through years of (costly) experience, so that you can potentially set up a competitor cycle import business?

At the moment, they key problem I can see is being lumbered with a load of bikes that aren't selling

No shit Einstein 🙄

Cheers.

Custom frames are nice, but dying markets are rarely the place to be 😆
I could see a place for custom carbon, and it's not like it's real rocket science stuff anymore.

a competitor cycle import business

It wouldn't be in the same sector as any of the guys I can think of who post on here. Not a mountain bike, and not a Roadrat type thing either.

M8

I don't want to be scathing but I have a fair amount of business experience (very nearly losing my shirt on several 'sure-fire' projects, which is one of the reasons I do what I do now) and much as I would hate to curb enthusiasm or entrepreneurial flair, I think it is fair to say that it doesn't take a genius to work out what it is that you are actually thinking of.

By all means ping me an email if you want some feedback. An open forum is not the place to do it.

I wouldn't be doing it for a living, I have a proper job for that (well when i'm not unemployed), I'd be doing it for the love of creating something.

If I'd had an incredible idea, I wouldn't be asking about it on here either.

A quick shufti at minimum order quantities suggests that "dipping a toe in" wouldn't be a viable strategy.

tron - A quick shufti at minimum order quantities suggests that "dipping a toe in" wouldn't be a viable strategy.

yeah, my toe was about £40k, I quickly decided against it

The problem with £300 bikes is that they're not bought by people who are into bikes! People spending that will want to walk into a shop and walk out with a bike, so unless you get your bikes into shops you'll struggle to sell them IMO.

So you have gone from 'dipping a toe' with minimal start up costs to realising that this isn't a viable strategy in the space of an hour!

Have you really thought this through or put any leg work into feasibility of the idea before posting on here?

Sounds like you wanted a business handed on a plate.

Bit grumpy this morning are we Woody? leave the poor fella alone.

I was actually expecting to be contacted by 15 different Taiwanese bike manufacturers, who'd engage in a bidding war. The game plan was that I'd be offered as many bikes as I could take at a cost of 50p each on 90 day credit terms.

I'd realise a 10000% margin on each bike, and use my fortune to become one of the Dragons on the telly. I'd become famous for deciding whether to invest or not from downstairs with Evan Davies, without actually listening to or seeing any of the pitches - because the pitch in the middle of the show is always the good pitch. I'd have Noel Edmonds upstairs acting as my agent, with that red phone of his.

After building my reputation, I'd retire to S****horpe, and churn out books on absolutely every area of business, pointing out the fairly obvious. Like Porter does.

Once I'd get bored of that, I'd publish a scandalous autobiography, claiming that there is a pleasant side to Deborah Meaden. And how Peter Jones would go ballistic on a daily basis over Edmond's shirts.

Or on the other hand, I might have had a few thoughts and wondered what the viability of a very small bicycle firm might be, without wanting to invest a huge amount of time.

the podge

Well I have just come off nightshift..... 😆

Being realistic rather than grumpy and I have offered advice! You have obviously put a bit of effort into the research side of this (considerably more than the OP by the sounds of it), as I did many years ago. My point is that questioning competitors is generally not the best business strategy, especially when that info is probably available from vendors with a simple email request.

If Tron has genuinely uncovered an exploitable area, good luck to him.

Edit - nice reposte tron ....but why do I get the impression that the first part of it is nearer to the truth 8)

Dear STW forum,

I've got a fantastic business idea. Cheap fixies. Low cost, high margin, and they're selling like crazy at the minute if the folks I see riding 'round london on 'em is any indication. The only trouble is I don't know where to start. If anyone can help with information on suppliers, minimum orders, costs, and whether it's possible to buy on consignment (I'm worried about getting stuck with them...) i'd really appreciate it. I don't have much time to invest in this, it doesn't look that difficult, but I do have a big shed. Any advice (and any investors who might want to get in on the ground floor of this industry shattering business model) would be greatly appreciated.

Please email me on cantbearsedtodomyownresearch@lazybastard.co.uk if you'd prefer to discuss offline.

The Hatman

Its a proper love fest on here at the moment init?

I'm most upset by the suggestion that I'd have anything to do with fixies. 😆

No offence to any bikeshop owners. I'd rather go into the porn industry- setting up and reselling DVD etc.

Has it got anything to do with Raleigh Roadster ladies bikes?