Major Expenses for a Printing Business
Are you thinking of putting up a commercial printing business because you think that there are so many printed materials out there and you want a piece of the action? Well then you are on the right track. The business of being a commercial printer is indeed profitable because the demand for printed materials continue to increase. Since more new businesses are starting and old enterprises are expanding, printing requirements also increase. In Northern America alone, it is estimate that are already more than 50,000 printing companies but they still have pending jobs precisely because of the demand
Now you wonder; how much money would you need if you are going to start a commercial printing business?
The key to starting a printing business is really to have enough money for the capital. But the exact amount will differ based on the projected expenses and the size of the commercial printer that you would like to start. Here are some of the initial major expenses that you will need to address:
1. Cost of Printing Equipment. This is perhaps your biggest investment because printing equipment is very expensive. The set of equipment that you will need may start from the computer units, inkjet and laser printers for the office, image setter for the color separation, and then the offset or digital presses. In the past, the machines are cheaper because there is really not much choice, except for the letter presses and the one-color offset machines. But now, you can also have the two-color and the four-color machines. You have to understand that while the four-color machine is more expensive, in the long run this is cheaper because you get to save on manpower costs and then your printing time is hastened. That means you can finish more jobs in just a short time and you can make your collections as soon as possible.
2. Office Space Rental. Depending on how many equipment and manpower you will have, that will determine how much office space you need. You will have a front office; the graphics design room, the printing area, the finishing area, and finally the stock room for the ink and paper supplies. Paper stock is usually bought in bulk so you will need to have a big space reserved for that. You cannot have them placed in the front office or the printing area because they can get soiled.
3. Initial Operational Cost. Your initial operational cost could include permits and processing with government agencies, rental, renovations, installations, hiring of manpower, and the purchase of furniture. You will have to determine how much your monthly operational costs will be and you should have at least six months-worth of operational costs on hand so that you will not run into debt or a dead-end while you are still starting. Of course you can expect income on the first month but since you are still starting, you cannot expect that to be much. You will have to gain the trust of the people first before they will give you their business.
A commercial printing venture can be a small- to medium-scale enterprise or a multi-million dollar investment. It depends on your market, especially the size of the city where your office is located. You may also widen your coverage by marketing your business out-of-town, but you will have to make provision for traveling and representation expenses of your sales representatives. But if you manage this business right, you can really become rich just by being a commercial printer.
Processing your request, Please wait....
