-> Manufacturing, construction, Agriculture
Furniture manufacturing business
Have you ever tried to make furniture yourself, with your own hands? At home. At home, in the garage...
If you are not at all familiar with this issue in general and the process of organizing a furniture manufacturing business in the so-called “home environment” (as a consequence of this knowledge and skills), then I will tell you that this is done in an elementary way!
Learn make furniture yourself and, perhaps, start your own furniture business- believe me, this is available to everyone!
That's what you think it is furniture business in Russian today?
And this is a business that:
Does not require large financial investments;
- has profitability from 80 to 300%;
- a product that is used by all people;
- can exist and develop regardless of the technical equipment of your future enterprise;
- will never end;
- every year it develops more and more.
A business that people are already doing and quite successfully. A business that even a full-time student can start.
Piece manufacturing and mass production of furniture today have become outrageously simple...
This can no longer be called production... Rather, it is a process that can be called: “Assemble a construction set without outside help, if you are over 14 years old."
Today there is a real opportunity make it yourself high quality, modern, absolutely any furniture, any configuration that you are used to seeing in a store - be it a kitchen, a wardrobe, a wall...
And in order to make this furniture, you do not need to have any machines - only a computer, a printer, hand drill and a small amount of hand-held (not electric) small tools in the form of screwdrivers, hammers, etc. And of course, knowledge of how it’s all put together, I emphasize, it’s not made, but assembled.
Does this sound implausible to you?
But what if I told you that making modern, luxury furniture, which is sold in expensive, supposedly Italian showrooms, which has more “bells and whistles” than a car, is no more difficult to make than assembling a computer from components. Of course, provided that you understand something about this...
What if I also add that this furniture is not made in Italy, but in the garages closest to the store?
Yes, yes, I’m talking about the very kitchen that you dream of all your life, with an aluminum or wooden facade... a countertop reminiscent of natural granite... with smoothly opening wide drawers... with self-opening facades... with a granite sink... with various chrome-plated tubes , baskets, dryers, and aluminum profiles...The one that costs from 80,000 rubles...
About that very wardrobe that has huge aluminum doors with a huge mirror and a cooler filling than in a BMW... which also costs more than one thousand dollars...
You simply don’t know anything about how furniture is made today!
Making furniture at home? Easy to learn!
You will learn many secrets of the furniture business, which anyone who has never even thought of doing this can start engage in furniture production.
And the most interesting thing is that you do not have to invest a lot of money in this business, but at the same time, this business has a profitability of 80% or higher.
And even a full-time student can do it in his free time from studying.
“How can this be?!”, you ask, “If a business has at least some profitability, therefore, you need to invest at least some amount of money in it in order to make a profit.”
That's right. But it’s not you who will be investing the money. You can be 100% sure of this. You will only need a minimum set of tools, which almost every owner has, and a place to assemble finished parts...
To make your own furniture, you do not need to have a special technical education or have innate design skills. Anyone (even a housewife or a child over 10 years old) can independently design and manufacture almost any cabinet furniture without outside help. At worst, if you doubt your creativity, you can always recreate furniture from any photograph or picture from a furniture magazine that catches your eye.
Can you imagine the seriousness of such knowledge and skill and what role it can play in your life?!
Let's look at a specific example of the manufacture of the most complex type of furniture - the kitchen. Why is the kitchen the most difficult type? Because the kitchen package includes the most different fittings and materials, this is the first thing, and the second is that all the details are small, and even the smallest defects immediately catch the eye.
Let's take this expensive kitchen as a basis:
What can you say about her? Large expensive kitchen, made of the most modern materials. It is relatively expensive, 48,000 rubles excluding household appliances, stove, oven and microwave. Honestly, its price in the store will be higher by 15 thousand for sure.
The facade is made of framed MDF, has built-in household appliances, lighting, deep drawers, roof rails, long handles. The boxes are made of high-quality German laminated chipboard, the fittings are also German, from Hettich. The kitchen is no worse than its Western counterparts, either in quality or price.
Can you make such a kitchen yourself? No? What's the difficulty? Don't know how to do this? Well, okay, I'll try to convince you otherwise.
Take another close look at this kitchen. Would you be able to assemble it if you were given everything disassembled, with a clear sketch of each individual cabinet or bedside table and all the necessary bolts and nuts attached to this “designer”?
Have you thought about it? What if they gave you, say, 24,000 rubles for collecting it? And on top of that for installation 8% percent of the total cost, which will be another 4,000 rubles?
Would it be worth the effort for 5-7 days?
Do you think no one will give that much for assembling a kitchen? They will! You just need to think about it a little. Of course, if you buy such a kitchen in a store, you will receive no more than 3% of the cost for assembly, and if you “make it” yourself, you will receive no less than 50% of its cost.
Your task is to find everything and order it in certain sizes or buy it.
That is, at the first stage, you need to make clear documentation for the product, in which you will have to write down for yourself all the materials and accessories necessary for the manufacture of the kitchen and calculate all the possible costs of making the order.
The material is purchased at a regular warehouse, and sawing is also ordered there. Facades, countertops, fittings, and components are made in huge factories; they have representative offices in every city. So when purchasing, you are on an equal footing with all furniture makers. They also buy everything in a specialty store. You can buy anything, if it is not in stock, it will be delivered to order. Glass is cut in glass workshops to your size. We submitted an application indicating the glass name and size, and received the finished glass...
What then comes of all this?
All you need is to drill holes for the Euro screed to assemble the furniture, install all the necessary fittings, handles, hinges, guides.
Well, everything like that... All this can be done in any garage, on the balcony, or even locally in the apartment.
Let's say, in order to assemble the kitchen that you saw above, you need to spend a maximum of 5-7 days on everything (or sacrifice three days off) - from the delivery of materials to the installation of the finished product.
Furniture production: analysis of 9 concepts + detailed business plan for furniture production: 4 steps to building your own business.
Furniture manufacture profitable idea for business.
Expensive, difficult and a lot of competition? Yes, to start making furniture, you need to have a clear plan of action that will lead you to success.
“Why this particular idea? I can start making British beanies: there’s less competition and you can easily become a leader.”
Yes, one cannot but agree with this statement. The furniture business is a tough, competitive environment.
But here’s what you get in return for the money and effort spent in organizing your own furniture production:
You can earn much more from furniture production than from fur hats.
We are talking not only about the manufacture of goods: sales, assembly, dealer activities - all this brings real income.
Regular customers.
Wholesale purchases and long-term cooperation are the basis of the work of furniture factories.
Sustainable profitability of production.
Quality furniture always sells. Every year the demand for domestically produced goods is growing. price category.
Opportunity to expand your business.
The percentage of Russian products on the market has grown to 55-70%. Demand creates supply.
The formation of regional production divisions will make it possible to compete in the battle for a monopoly in the furniture market.
How to open your own furniture manufacturing company without huge investments? Here main question articles.
Is this real? Yes, undoubtedly, it is quite possible without large investments.
When you read this article to the end, you will have no doubt about the veracity of this statement.
First step: decide on the concept of furniture production
Why do you think the demand for furniture has remained stable over the years?
Diversity is the key to success in this industry. The versatility of the market allows each manufacturer to find its own “island” of responsibility.
Let's list the areas of everyday life where various modifications of the same furniture can be used:
- educational institutions;
- shops (hypermarkets, trading floors);
- official representative offices;
- business centers;
- residential buildings;
- apartments;
- , cafes, public canteens;
- entertainment centers.
Each of these establishments has a certain interior style, which means that the furniture must have unique design. Diversity is the basis for special product offerings.
The market is divided into a dozen sections, each of which differs from the others in production materials, furniture design, and pricing policy.
Deciding on the concept of your product is the first step to production success.
Let's evaluate together the main sections of furniture production in Russia.
1) Production of wooden furniture.
The basic option for production is the most exact specification of this direction. Wood is considered a so-called warm material.
Wooden furniture is used in residential premises, educational institutions, hotels, any service centers, where the emphasis is on the client.
What are the advantages of production? wooden furniture?
- durability;
- reliability;
- ease of processing;
- sufficient amount of raw materials for production + moderate cost;
- variability of furniture design.
Also, we must not forget about the other important features of wood: it retains heat well + has a low density (the weight of the material is relatively small).
Is production worth it? wooden structures Or is it better to find analog materials?
There is nothing better than wood for a beginning woodworker.
2) Production of metal furniture.
Production metal furniture: what is it for?
- Warehouses, requiring practical furniture, capable of withstanding heavy loads.
- Chemical industry, metallurgy and other industries, involving the use of specific materials.
For storing medications and maintaining safety metal constructions fit better than others.
Food industry.
Working with some products (meat, fish, frozen products) requires the use of stable and easy-to-care structures.
Banking industry.
The main purpose of using metal furniture is maximum safety.
Working with metal is very different from cutting and shaping wood. Without special skills and abilities, you should not take on welding and metalworking machines.
3) Production of furniture from solid wood.
Readers may have a question: “What is the production of solid wood furniture?”
Solid wood is solid materials, i.e. boards, wooden boards, which could not be processed in any way. The principle of solid wood extraction is cutting solid wood.
Solid wood products have unique look, and working with them requires special knowledge and many years of experience working with wood.
The cost of raw materials for such furniture is high, so you can use this expensive and fragile material only if you are completely confident in your skills.
Is this the best idea for a start-up business? Definitely not! Only the most experienced entrepreneurs risk taking on the production of luxury solid wood furniture.
There is too much of a chance to burn out, especially considering the fact that serious customers turn only to experienced market players who have managed to strengthen their reputation with work and time.
4) Production of upholstered furniture.
Upholstered furniture is an indispensable attribute of a cozy home interior apartments, private houses.
The trend of the 21st century is office equipment with all the amenities for workers, so the scope of use of this concept is only growing.
The design of upholstered furniture sometimes amazes with its functionality and thoughtfulness of details.
But, it is necessary to understand that the client’s demand is always focused on simple and understandable forms, comfort and low price.
What problems will you face if you choose to produce upholstered furniture?
Need for hand upholstery.
Automated upholstery equipment costs incredible amounts of money, so it will be cheaper to use the services of a professional upholsterer.
Making the frame + upholstery of the cover takes up to several days.
Failure to fully automate can have a negative impact on overall productivity.
Cost of materials.
The price of upholstery materials for furniture may exceed the cost of a frame assembled from fiberboard and chipboard.
Upholstered furniture is not a panacea for a novice entrepreneur. The cost and labor intensity of production require significant capital investment.
5) Production of cabinet furniture.
Simple cabinet furniture made from chipboard is used in all areas of human life. Bench for classroom, Kitchen Area, a simple book table - all these are cabinet products.
The technological process of its production can be either 90% automated or manual, depending on the complexity of the design.
Why is cabinet furniture production a great idea for a small business?
Simplicity of design.
You don't need to use expensive designer services. Simplicity of design is the key to success in this sector of furniture production.
Easy to assemble.
The process can be automated, but furniture collection services can also be provided at home.
This will serve as another marketing advantage for your business.
High profitability.
There will always be clients.
With a little effort, you can establish contact with business centers or educational institutions.
You need to choose a direction for constant cooperation; this will ensure stability of orders + uniformity of work.
6) Production of office furniture.
Production office furniture— narrow specialization of the “corps” direction. Often, the production of office cabinet furniture differs from the production of household furniture.
The most obvious sign is the rigor of the design + restrained shades.
The best format for selling your services is to place orders for complete office furnishings.
What are the design features in the production of office furniture?
- The designer must develop a general concept for the room, i.e. Each piece of furniture in the office should correspond to the overall atmosphere.
- Clear product outline: Yet the rigor of the work process must be reflected in every detail.
- Materials: the use of the same type of materials for production allows you to invest minimal amounts on production.
Production of cabinet furniture for office? Yes, but only if you initially take the right position in the market.
Make furniture of a moderate price category, focusing on small offices. Then success among buyers is guaranteed.
7) Production of custom-made furniture.
The production of custom-made furniture is a separate sector of business. And also an ideal option for your own business.
The main goal of such entrepreneurship is to receive one order, complete it efficiently, and only then take on the second.
If you individual entrepreneur, who has a garage with a minimum set of equipment, this is your gold mine. Of course, you need to have experience working with wood and be a high-level specialist to organize such production.
Clients order the services of an individual master carpenter only if there is a need to produce exclusive furniture.
The professionalism of the entrepreneur and his team is of primary importance in business development.
8) Production of children's furniture.
The production of furniture for children must be accompanied by constant monitoring. It is important to remember who you are creating the product for.
Basic quality standards that the production of children's furniture has:
Environmental friendliness of materials.
It is especially worth paying attention to the use of polymers.
Any open contact of a child's skin with industrial chemicals can lead to irritation and other unpleasant consequences.
Practical design.
Furniture should be stable and practical; this will ensure the safety of the child.
Interesting design.
Young children perceive the world somewhat differently. For them, not only practicality is important, but also the visual component.
If you are just starting your entrepreneurial journey, leave the production of children's furniture to other market players.
Any mistake in the production of an inexperienced businessman can put an end to all expectations.
9) Production of kitchen furniture.
Kitchen furniture, for the most part, is cabinet furniture, assembled from ready-made sections of fiberboard and chipboard.
An important indicator of quality is practicality. Working in the kitchen involves constant use of every element of the interior.
Kitchen furniture should be simple and understandable even for a child: no extra shelves or decorative elements.
What are the advantages of producing kitchen furniture for a beginning entrepreneur?
- The simple design simplifies production and allows for greater automation of the process.
It is not necessary to have a furniture workshop or factory.
It is enough to be a good designer to correctly describe the customer’s wishes.
Those. you must assemble a design layout, and then simply order the necessary sections and assemble them together in the client’s home.
Cheap materials.
If you disassemble 90% modern designs, inside you will see a mixture of fiberboard, chipboard, glue and varnish.
All financial transactions related to the acquisition of income of an individual entrepreneur must be carried out using a current account.
Decide on the accounting format.
Now everything is ready for the official start of the project. All that remains is to think about the format of your production.
STEP 2: Determine the supply base for materials. Equipment for furniture production.
Think about the question: where to get the materials needed for production?
The best option is to approve an agreement with a woodworking shop on wholesale purchases of chipboard, fiberboard and others Supplies.
The advantage of such cooperation is the ability to order cutting of the material according to the dimensions you specify. This eliminates the need for expensive wood cutting machines.
List of materials for the production of cabinet furniture
Material name | Unit | Price, rub.) |
|---|---|---|
| Chipboard 12 mm | sq. m. | 95 |
| Chipboard 16 mm | sq. m. | 90 |
| Fibreboard 3.2 mm | sq. m. | 25 |
| Edge material | p.m. | 2 |
| Packaging (cardboard) | sq. m. | 2 |
| Accessories | set | 160 |
| Cutting tool | set | 7 800 |
| Fasteners | set | 60 |
Getting materials is not a problem. Much harder to do high-quality cut according to design requirements.
Don't want to pay for the services of a woodworking shop? Rent equipment for furniture production for a certain period of time.
To do this, you need to contact the administration of the nearest furniture factory and arrange for the use of machines outside of working hours. The management of furniture production is interested in permanent job machines, because every minute of downtime costs them a lot of money.
Basic machines for furniture production
| Machine | Purpose |
|---|---|
Slitting machine  | Used for cutting fiberboard and chipboard panels. It is fundamental in the work of a carpenter with cabinet furniture. The cost starts from 100,000 rubles. Depending on the manufacturer and type of material supply, it can reach 300,000 rubles. |
Edge banding machine  | Allows you to close the edges of fiberboard and chipboard boards using high-temperature exposure to rolled cladding material. Cost from 100,000 to 200,000 rubles. |
| Drilling and filler machine | Used for drilling through and blind holes in chipboard panels and fiberboard. Cost 100,000-150,000 rubles. |
Renting machines will allow you to create your own the required form sawed.
Finding a niche in the numerous stream of opportunities is not so easy. Collecting information, as well as statistics on the most profitable and actively developing areas of business, will help you navigate and find the area where you can apply your abilities.
Now there is a tendency to increase construction volumes and an increase in mortgage lending, so the demand for furniture will be at a high level in the near future. If you've ever thought about starting your own business, you can't go wrong by trying your hand at the furniture business.
Today, in the market for goods, works and services offered, one can observe a tendency towards narrow specialization. By developing certain types of furniture models, entrepreneurs can focus on its unique properties, original design and specialized application.
Manufacturers settle on a specific type of product and try to find their consumer who would provide a constant profit.
Business specialization
Representatives of small and medium-sized businesses focus on a narrow market niche. Having established themselves in one direction, entrepreneurs are already making a choice in favor of stability or expansion of production, capturing more and more new profiles.
There is a large set of companies that specialize in the production and sale of furniture for pharmacies, restaurants and workshops, car services, supermarkets, etc.
The number of potential specializations is extremely large. Absolutely any type of activity requires furniture. Experts are confident that in the near future the appeal to specializations will only intensify.
Now innovators are already appearing on the market, offering glass, plastic, frameless and multifunctional furniture made from rare tree species.
The direction of restoration and restoration of furniture is also developing. This type of business flourishes exclusively in big cities and is geared towards antiques. Like business, furniture restoration also satisfies the needs of its clients.
Range
When choosing a field, you should decide on the range of products. Among the furniture there are such groups as:
Instructions for use
- household;
- for common areas.
According to those properties
- collapsible;
- sectional;
- bent;
- wicker;
- built-in;
- non-removable.
By purpose
- case;
- for sitting or lying;
- furniture for work;
- furniture for dining.
Domestic manufacturers strive not only to provide the population with furniture, but also to provide a range of additional services for delivery, assembly and selection of individual designs.
There is both mass production of identical models and the creation of custom-made furniture. In the latter case, clients can provide everything - from the size and purpose of the model, to the design and selection of materials.
Choosing a location for furniture production
The choice of place to locate your production must be treated with special care. For the first time, it is best to rent a commercial space. In the future, if the business develops steadily, you can move on to purchasing your own premises or constructing an industrial building on your own.
When choosing a location, be guided by the following characteristics:
- Availability of convenient transport interchange;
- General condition of the structure;
- Indoor temperature;
- Humidity level.
All these components are necessary to maintain optimal storage conditions for materials. The recommended temperature should not exceed 18 degrees Celsius, while the required indoor relative humidity is between 55 and 70%.
With these characteristics, the raw materials will not be damaged and will be stored in the warehouse for a long time.
Otherwise, the wood will swell and the paintwork will fade.
Often, if the regime is not followed, mold and stains appear on the raw material, indicating that the wood is susceptible to rotting.
For initial production you will need:
- Workshop premises;
- Warehouse for finished products;
- Retail premises;
- Administrative premises or central office.
Equipment for the enterprise
High-quality furniture production requires high-tech equipment and components.
To produce furniture parts you will need the following types of equipment:
- CNC machines, with modeling programs;
- Jigsaw;
- Milling machine;
- Lathe;
- Other tools.
It is almost impossible to create competitive furniture by working only with domestic suppliers. This problem can only be solved if the company provides itself with the necessary equipment required quality or resorts to the use of foreign technological products.
Staffing
Working in a workshop requires specialized knowledge in the field of furniture production. For hiring, craftsmen with appropriate qualifications will be needed. Select your personnel wisely, because the quality of products and the efficiency of order execution will depend on their work.
For the first time, for a standard workshop of a starting furniture business you should hire:
- 5-7 workshop specialists with experience working on the main types of machines when processing wooden blanks, chipboard and MDF;
- 1 production foreman with experience in organizing production activities;
- 1 driver with driving category for cars and trucks.
Remuneration occurs in accordance with the Labor Code. Respect for workers' rights is one of the businessmen's priorities.
For the first month of work, the total wage for all employees must occupy a special expense item and be at least 150,000 - 200,000 rubles.
The average payment depends on the region where the business is sold. In big cities you need to take the maximum amount threshold.
Purchase of raw materials
There are a number of metropolitan distributors who will help you purchase equipment from imported manufacturers.
Start-up companies quite often order the following components abroad:
- Laminated boards;
- Films;
- MDF boards;
- Accessories;
- Paints and varnishes;
- Sliding systems;
- Aluminum profiles, etc.
Preference is given to Western companies, especially Germany, Latvia, Great Britain and Sweden. Manufacturing companies from these countries guarantee durability and, of course, excellent quality of products.
If you are guided by the expected volume of output, it is quite possible to plan the volume of purchases. You will need to select reliable suppliers who will provide your business with the required raw materials, accessories and related products for production.
Sales and promotion
Even if your company produces unique and high-quality furniture, without the right sales mechanisms, selling your products will be very difficult. The main thing is to competently build a sales policy, keep the business in a stable position and, to the extent possible, continue its development.
Experts in the business world advise being guided by the following components when building sales tactics and, of course, promotion:
- Products;
- Price policy;
- Promotion;
- Sales place.
Don’t get hung up on your products, try to navigate the world of furniture, attend exhibitions, participate in competitions, stay on top of new products and current trends.
Remember your competitors, set the average price for the market, relying on a flexible policy of discounts and bonuses to attract new customers.
At the moment there are two main ways of implementation: sales of products through our own retail outlets and work through distributors.
The first method will build the name and reputation of your new company, and will also make the entrepreneur more independent. However, this path is complicated by considerable financial losses.
A more effective way would be to sell your own goods through existing distributor stores. You can sell furniture wholesale, rent it out on interest, or rent one of the halls. The distributor will take the risk of the sale, which will require you to prove your competitiveness.
It is worth considering that a furniture business can also be promoted through an online store. Create a convenient website with an up-to-date product catalog and price list, register in furniture company catalogs, open pages on social networks and organize a newsletter for potential clients.
Selling via the Internet is the most suitable way for a start-up business. It does not require large expenditures and can bring real results.
The financial analysis
To calculate the initial business plan, you need to take into account all initial and recurring investments. This includes costs for launching a project, promotion, sales of goods and advertising. It is necessary to compare them with the financial indicators of the project: profitability, investment and payback period.
Main expense items
Focus on expense items such as:
- Purchase of equipment and related tools (RUB 1,000,000);
- Purchase of consumables (150,000 rubles);
- Registration of an enterprise (30,000 - 40,000 rubles);
- Raw materials (150,000 rubles);
- Payment of workers (150,000 - 200,000 rubles);
- Rental of premises (50,000 rubles);
- Advertising (20,000 rubles).
Prices are approximate and there is a reasonable margin of error. 1,600,000 rubles - this is the approximate cost of starting a furniture business.
Business profitability
Furniture business from other areas entrepreneurial activity is different high percentage profitability - 40% per year. Therefore, even at the initial stages of business, you can achieve amazing results.
With a profitability of 30%, the expected profit will be 400,000 rubles per month. With intensive business development, this amount will increase by 20% every year. The payback period for such a project will be 14 months.
Pros and cons of furniture making
Advantages:
- High profitability up to 40%;
- Constant demand for products;
- Relatively short payback period;
- Expanded choice of ways to sell goods;
- Possibility of narrow specification on one type of furniture;
- A large number of suppliers of raw materials and low prices for materials;
- Governmental support.
Flaws:
- Enough high requirements to the staff;
- Lack of quality equipment in our country;
- High cost of the initial business project;
- Special conditions for storing raw materials in warehouses;
- Sanitary and other requirements for the materials used.
conclusions
Due to the fact that in Russia one of the priority areas throughout for long years The construction of apartment buildings and cottages remains, it is worth assuming that in the next decades, the furniture business will remain afloat.
Over the past few years, the demand for furniture has increased significantly. At the same time, the number of Russian companies in this area is incredibly small. This is due high level competition with Western manufacturers and poorly developed strategies of bankrupt companies.
If you build a furniture business correctly, production profitability can reach 40% per year. But to achieve such results, you will need to approach the matter carefully.
In this material:
How to start a furniture business from scratch? You can also find enterprises that make furniture without equipment or any serious production premises. But the consumer is already tired of cheap walls and tables, furniture made of chipboard, which falls apart after a few years. Now more demands are placed on the manufactured product. To comply with them, you will have to open a full-fledged furniture production workshop.
Market Review
Where to start furniture production? Before opening a furniture shop, be aware that small and medium-sized businesses in this area typically specialize in something specific. You should not grab hold of producing everything in a row, but you should try to make every effort to gain a foothold in some narrow niche. This is a fundamental rule in the survival strategy in furniture production. You can focus your efforts on your own production of the following furniture:
- hull;
- soft;
- advertising;
- For trade organizations.
Promotional furniture is used to decorate points of sale and attract as many buyers as possible to a product or service. For trade organizations such as shops, pharmacies, shopping centers, salons, require special shelves and display cases on which the assortment will be displayed.
Furniture manufacturing involves a large number of specializations. You can focus your collection efforts on some items with limited functionality, such as Euro pallets or computer tables, but you can make glass tables and cabinets, make furniture from some certain material- plastic, natural wood.
Furniture manufacturing as a business does not only mean creating goods. Services for restoration of cabinet and upholstered furniture are also popular. These services are especially in demand among citizens with low incomes, and there are many of them in the country. The opposite direction is the restoration and restoration of antiques. In this case, services will be in demand in regions that are economically developed.
An unoccupied niche in this market includes the production of wicker furniture. A small enterprise can master it, but wicker chairs, sofas, and cabinets continue to be imported from abroad, leaving them in the high price segment.
An excellent specialization for small and medium-sized businesses is built-in furniture. In this case it is required individual approach to every client. Large enterprises cannot satisfy individual customer requirements.
To understand whether it makes sense to start a furniture manufacturing business, pay attention to the development trends in related fields. If the real estate market is developing, foreign cars are being purchased, the market for antiques and advertising services is developing, and this dynamics can be observed in the next two to three years, we can start in this direction. On the other hand, there will always be demand for furniture: after its decline, the upward trend returns very quickly.
Organization of production
Where to start making furniture? Once you have decided on your specialization, you need to find suitable premises. Minimum required area, which is required is 200 m 2. Its rent will cost 1300-6500 rubles per year per 1 m2. This price range depends on the region.
In Moscow and St. Petersburg, you need to adjust to the cost of 1 m 2 at 5-6.5 thousand rubles. per year, and in regions, especially economically undeveloped ones, you can quite count on the lowest prices. The average is 3,300 rubles per year per 1 m2. Total rent will cost 650-660 tr. in year. If you can rent a room for a cheaper long-term, that will be very good.
Depending on the specialization, you need to spend from 350 thousand rubles on equipment. up to 1.5 million rubles. This does not include the purchase of office equipment, software, a truck with which the furniture will be delivered to the consumer or to points of sale. You can purchase both standard machines and entire production lines that are made to order.
Pay attention to purchasing quality components. Please immediately note that it is impossible to produce furniture that will be of high quality and competitive, while relying only on domestically produced parts and fittings. You will have to establish connections with distributors of foreign companies that offer everything you need for furniture production.
Decide in advance and make a list of component suppliers, enter into supply agreements:
- MDF boards;
- laminated boards;
- films on slabs;
- paint and varnish materials;
- accessories;
- aluminum profiles;
- sliding systems.
On initial stage it is necessary to duplicate suppliers for each position. Diversify your assortment so that there is more than just the production of chipboard furniture. During the work, some of them will be eliminated, cooperation will continue only with some of them, which turned out to be reliable and favorable in the price range.
Next, it remains to resolve the issue with the staff. The level of training of employees must be high, but they also require high pay. You can organize your training in your specialty if you have the experience and qualified personnel for this.
The staff of a furniture workshop should include:
- master;
- assembly fitter;
- carpenters;
- glazier.
The production workshop can accommodate from 10 to 50 people, depending on the volume of production.
In addition to these, you also need:
- driver;
- Sales Manager;
- courier;
- storekeeper;
- designer.
The general wage fund (payroll), if there are no more than 15 employees, is from 350 thousand rubles.
These calculations are valid for the general case. Depending on the specialization and scale of the region, they can change both downward and upward. For example, for economically underdeveloped regions the wage fund will decrease, but for Moscow and St. Petersburg it will increase several times. Let's look at specific examples in the niches for the production of cabinet and upholstered furniture.
Production of cabinet furniture
The production technology of cabinet furniture includes the following:
- preparation of a project for the intended product in different planes;
- work on cutting materials, forming parts of the future product;
- work on drilling holes and sockets for fasteners;
- work on trimming edges;
- final assembly of finished furniture.
This process depends on how automated it is. It is believed that the use of CNC machines reduces the percentage of manual labor and increases process automation. The operator of such a machine only needs to enter the size data into the program, create the required product, and once the machine is started, it will cut out everything that is needed in a few minutes. This manufacturing method is considered advanced and high-tech.
The disadvantage of such production is that constantly reconfiguring the program for an individual order is considered an unprofitable exercise. Therefore, to work with individual orders The use of CNC machines is not suitable. The best option is to organize furniture production on several machines, which form a semi-automatic line with combined manual labor.
For such a furniture manufacturing workshop you will need to purchase the following equipment and tools:
- format-cutting machine with manual supply of materials;
- edge banding machine, with which straight edges, concave and convex elements are lined;
- drilling and filler machine, which allows you to make holes - both blind and open;
- grinding machine;
- screwdrivers and hammer drill;
- cutters, drills, knives.
With all this, you can count on a simultaneous monthly production of 100 units:
- cabinets;
- tables;
- cabinet;
- shelving.
A total of 400 units of finished products. The expenses must include the following:
- for materials;
- for electricity,
- for advertising;
- for depreciation.
In addition, the cost of furniture production is formed by payroll and rent. The payroll together with wage taxes is about 400 thousand rubles, rent is 50-55 thousand rubles. The cost of 400 of these products will be about 500 thousand rubles.
The cost of a table or cabinet varies from 2.3-3.3 thousand rubles, and the cost of cabinets and racks - 3.5-5 thousand rubles. The approximate income will be 1160-1660 tr. The profit will be 590-1060 tr. per month. This is the perfect calculation. For getting real numbers the final values can be divided in half, even if labor efficiency is high.
Production of upholstered furniture
The population's need for upholstered furniture forms a sixth of the entire furniture market, which makes this niche very promising and attractive for both medium and small enterprises.
There is a trend towards custom-made sofas and armchairs, which makes it possible for small businesses to successfully compete with large industries, who will not chase after an individual customer. It is convenient for small and medium-sized businesses to produce small batches of armchairs and sofas.
This niche is also attractive for small and medium-sized businesses because it does not require the purchase of expensive equipment.
Basic operations are performed manually. Finally, such small and medium-sized businesses easily adapt to fashion trends and are ready to quickly fulfill an order, even if a new product has just appeared on the market. For this, the factory needs a quarter to transfer equipment and technological process for the release of some specific models. A small workshop can only provide the customer with a whole line of models through combinations of upholstery, fittings and materials, thereby benefiting from exclusivity.
Your production of upholstered furniture requires the purchase of the following machines:
- combined - for wood processing;
- multi-saw edger;
- turning;
- milling;
- crosscut;
- grinding.
Their total cost is 150-160 thousand rubles. In addition to the machines, you will need drying equipment and pneumatic clamps, as well as hand tool, sewing machine and cutting tables. This is another 40 tr. In total, the technology for producing upholstered furniture will require about 200 thousand rubles for equipment and tools.
In addition to equipment for production workshop You will also need to purchase office equipment - office equipment and furniture with a total cost of 60-90 thousand rubles. This equipment allows us to produce up to 100 sofas monthly, each of which can be offered for sale at a price of 7.5 thousand rubles. The enterprise's income will be from 750 thousand rubles.
The costs of producing upholstered furniture are:
- Payroll - 150-250 rubles;
- rent - 50 thousand rubles;
- materials - 150 tr.;
- electricity, public utilities, Internet, communication - 20 thousand rubles;
- advertising - 30-50 t.r.;
- unforeseen expenses - 40-60 tr.
In total, the total production costs are 440-580 thousand rubles. The enterprise's profit before taxes is 170-310 thousand rubles, and after - 160-290 thousand rubles. The real profit value will be 1.5-2 times lower. The average payback period for investments in equipment and tools in this type of activity, if efficiency is high, is considered normal from 4 months.
Take into account the production of facades. The number of enterprises that specialize in this is growing every year, but many manufacturers’ products are not of high quality. Buyers are willing to spend more money on high-quality facades, therefore, if you focus on product quality and do not strive to reduce costs due to it, then the production of facades can turn out to be a very profitable enterprise.
To open your own production, you will need 1.5 million rubles. One equipment, its purchase, delivery and installation will cost 1 million rubles. You also need to provide for the purchase of raw materials for a month of furniture production, which will cost another 250-300 thousand rubles.
One person can operate the equipment, so the payroll will be small. Such a furniture production workshop produces 400-500 m2 of MDF facades per month. The cost of 1 m2 reaches 1 thousand rubles. The income of such an enterprise is 400-500 thousand rubles. Consumables - up to 200 tr. The initial investment will pay off in 8-12 months.
What to focus on?
How to organize your furniture manufacturing business to achieve high labor efficiency? First: it is necessary that safety precautions are observed. Second: the staff must have a personal interest in high-quality production. Therefore, establish that the salary is formed from a fixed rate and a percentage for the work performed, and the marriage is deducted from the salary. This will increase employee engagement and improve labor efficiency.
After the work in the workshop has improved, begin an active search for customers. You can sell products both through retail chains in your city and in other cities.
It is very good if you have your own online store to sell manufactured furniture. If you invest money in its promotion and contextual advertising, it allows you to increase sales several times, while advertising costs will be low.
Order a business plan
 | Investment: Investment 350,000 ₽ The company, as a furniture manufacturer, was founded in 2009. Today it is a dynamically developing manufacturing enterprise. We produce more than 20 thousand products per month. More than 100 stores. The brand “HALF PRICE Furniture” was created in 2014 for a retail network of furniture stores in the format of a furniture discounter. The first store was opened that same year. As expected, the project... |
|
 | Investments: Investments 1,000,000 - 2,000,000 ₽ In 2016, the company carried out a full launch of automated production of the First Furniture Factory-ALNO joint venture, rebranding of the factory, a new model range for various segments and the premium kitchen brand Bruno Piatti. A joint venture with the Piatti Factory made it possible to produce kitchens according to Swiss quality standards. Today, the First Furniture-ALNO is: -52,000 m2 of production and warehouse space. -Capacity – 50,000 sets of furniture... |
|
 | Investments: Investments 3,350,000 - 5,500,000 ₽ New Chicken is new project restaurant holding BCA, which has experience opening more than 150 establishments in 8 countries. The company is actively growing, developing new directions and knows what consumers need tomorrow. The company promotes a network of establishments using a franchising model. Franchise description The franchise package includes: production/trade/assembly equipment, furniture. The New Chicken franchise has… |
|
 | Investments: Investments 600,000 - 1,200,000 ₽ The HiLoft hostel chain is a project that meets the high standards of the international association Hosteling International. Our hostels reflect Hosteling International's eco-concept: * Provide a framework for maintaining and continuously developing social and cultural connections within the community. *Contribute to the popularization of safe tourism that does not cause damage to the environment. *Promote the development of accessible tourism. We provide our franchisees’ hostels with high occupancy rates in… |
|
 | Investments: Investments 2,700,000 - 3,500,000 ₽ We are a team of professionals with more than 10 years of experience in the food market. During this time, we have implemented more than 40 regional and federal projects in 15 different concepts. In 2017, we launched the “Bakery No. 21” project and now we manage a network of cafe-bakeries, which we want to expand, because we believe that our product is a new level in the world... |
|
 | Investments: Investments 499,000 - 1,500,000 ₽ The Avista Module Engineering group of companies has been introducing innovations and creating trends in the market for 11 years prefabricated construction. Founded by Vadim Ravilievich Kulubekov. The company specializes in providing comprehensive services for the design, production, delivery, construction and completion of prefabricated buildings for administrative, domestic and industrial purposes. The products are manufactured at a plant in Novosibirsk. The company’s product range includes prefabricated cabins, modular dormitories, modular canteens,… IceBox franchise Investments: Investments 670,000 - 1,400,000 ₽ The LLC UK "ICE BOX" company appeared in Tolyatti in 2015 and began its activities with a delivery service for natural homemade ice cream. The main advantage trademark is a 100% natural composition, excluding the presence of any dyes, flavors, factory pastes, vegetable fats and E-components. IceBox ice cream is made exclusively from fresh farm cream and milk, natural berries, fruits, nuts,… |
|
 | Investments: Investments 330,000 - 376,000 ₽ The network of Sharpening Centers "TSEKH" is one of the leading networks in the field of sharpening and sales of hairdressing and manicure tool. Working directly with all leading manufacturers of hairdressing and manicure instruments, we provide our franchisees with the best prices for stores at TSEKH Sharpening Centers. “TSEKH” is also an official dealer of many manufacturers of sharpening equipment, thanks to which our… | Investments: Investments 1,500,000 - 10,000,000 ₽ The FinLine company, the Auto Pawnshop brand, was founded in 1999 and is one of the market leaders in the segment of secured lending and investment. The company's main specialization is loans secured by liquid assets: vehicles, vehicle titles, real estate, equipment and precious metals. Over nineteen years of work, we have learned to manage and scale the pawnshop business as efficiently as possible and are now ready to share our… |
 | Investments: Investments 260,000 - 580,000 ₽ Vasilyeva Lidiya Lvovna – founder, leader, strategist and practicing trainer “ International school speed reading and information management." In 1983 she received a diploma from the Nizhny Tagil State Institute, worked in secondary school simultaneously head teacher and teacher of Russian language and literature. Year after year I asked myself the question: “...why do children learn new knowledge with such difficulty, why do they “dump” information after a short... |
|
If you have ever thought about how to start a furniture business– three options for developing your own business will certainly help you choose the right way. The profitability of this area of business activity suggests that there is every chance of getting good income. But due to the fact that many beginners and experienced businessmen notice this, they will have to fight the competition very actively. The production of wooden furniture is always in demand, regardless of the economic situation or time of year, and this allows entrepreneurs to make a profit throughout all year round.
But, like any line of activity, the furniture business also has a number of features that may differ depending on the region in which the factory is planned to open. Every businessman wants to know the approximate indicators of the demand function for a particular product before starting to manufacture it, and this is quite natural. It is best to start work by identifying a reliable and high-quality supplier of materials and equipment, as well as by studying supply and demand in the furniture services market.
Considering the fact that even the most Small town already probably has several large and proven furniture productions, which the majority turn to, it will not be enough to simply study which furniture is now the most in demand, it is also necessary to distinguish it from the rest. It’s quite difficult for a novice businessman, because in order to fight with experienced old-timers in the business, you will have to not only use expensive advertising, but also set a low price for the product, and this will immediately affect the payback period of the business.
Start off furniture manufacturing business best from your own promising niche, in which there is a low but steadily growing demand. This is exactly how small and medium-sized companies operate, which, focusing on a specific specialization, gain a foothold in the market. Examples include the production of wooden furniture for municipal institutions, the production of cabinets, tables and shelving for retail outlets, or the creation of hanging and floor cabinets for beauty and health studios. If we talk about an even narrower focus, then these could be advertising stands, sports corners, office partitions or country furniture.
There are several indicators that determine the economic growth, and they are usually used by experienced businessmen when starting a business in a new industry. Let's say that in a certain market you can observe a stable, stable situation that has every prospect for expansion over several years. This suggests that in the near future new players will likely take up space, and the number of competitors will grow, along with the number of buyers. Experts have recently found that if there is a growth in the jewelry and antique market, then wooden furniture with an antique or classic style will become in demand.
In addition, before starting a furniture business, you need to evaluate:
- Demand for real estate and the dynamics of this industry. If activation is noticeable construction work for the construction of high-rise buildings and new buildings, this indicates an increase in demand for housing. Consequently, citizens will begin to actively purchase kitchen furniture, because it is most often not possible to transport it from old apartments, due to the size and layout features;
- If sales of audio equipment increased, household appliances and video devices, then we can expect an increase in demand for cabinet and built-in furniture;
- The birth rate affects the demand in the field of children's furniture;
- Don’t forget to keep an eye on the legislation that the authorities plan to adopt very soon, be it local or federal changes. If the development of any direction receives support from the state, or the order of business work is adjusted, this may affect the demand for certain products;
What's the best way to run a small furniture manufacturing business?
Do not forget about the relationship between the scale of the business and capital investments. If you have the opportunity to spend a large amount of money at once, then you can start opening a specialized plant, but in the absence big money It is quite enough to act gradually and without scope. Small business also has its advantages, for example, it is much easier to adapt to changes in market relations and the economic situation. In order to change the activity profile of an entire factory, you will have to spend a lot of time, but reorienting a small enterprise can be much faster and easier. Therefore, it is very important before planning volumes production capacity, conduct a thorough analysis of the sales market so that all goods are in demand and do not sit in the warehouse.
The easiest way start a furniture business For those who have access to hardware stores, contractors involved in construction and repairs, in this case you can think about creating a small factory. But for a private entrepreneur who takes out a loan for a business, or uses a government program, would be better suited small business, custom work. You can always expand your horizons, but it is important to acquire a stable customer base, which tends to increase.
How to start a furniture business: three development options
A narrow consumer niche, and a mini factory that carries out individual orders.
- An entrepreneur can create his own monopoly, without having to compete with the sharks of the furniture business, which is already a big plus for a beginner;
- Each product unit has a high margin and is not affected by any price policy, nor other features of running a monopoly business;
- Mini production of furniture to order, as a small monopoly, will not only significantly reduce the payback period, but also quickly accumulate money for further development.
- Small sales volume and limitations of the demand function, since no one can guarantee that consumers will not get fed up with narrow-profile goods and will not stop placing orders with the manufacturer;
- Most often, such work is performed in artisanal conditions, it is simply not profitable to purchase expensive automatic equipment, so most of the production processes are performed manually;
- There is a high probability that substandard conditions will constantly appear, and the quality characteristics do not always correspond to modern standards.
Furniture manufacturing business as its own dealer network.
Positive aspects of this option:
- It is with the help of the presentation of your own brand that it is much easier to organize competitive production;
- If the production of wooden furniture is designed for large volumes, then when purchasing a large batch of material there is every chance of getting a discount from the supplier;
- If the dealer network has a large number of stores of its brand, then the entrepreneur can count on stable sales.
- Nowadays, the furniture business is being actively explored by a variety of businessmen, and many of them have already established themselves in the market as reliable, high-quality manufacturers and have won the trust of citizens. For a furniture manufacturing business to take its place in the market, you will have to spend a lot of money on advertising campaign, closely engage in the promotion and development of the direction;
- A large number of market participants dictate certain conditions for each new player, this includes both high-quality service and stable, affordable prices, and high-quality performance of work. Otherwise, a newcomer is unlikely to be able to create a good image of his enterprise, and customers will go to trusted manufacturers;
Franchising as a way to start producing wooden furniture
Nowadays, a number of production chains invite franchisees to cooperate, offering quite favorable conditions, but there are pitfalls here too. The positive aspects are:
- Savings on start-up costs;
- Availability of a clear scheme according to which the business will develop, with a ready-made analysis of consumer demand, training in the specifics of production. This will allow you to bypass a number of difficulties that often lead to increased risks and bankruptcy;
- A franchise is an opportunity to start a furniture business, having already a well-known and popular name on the market, so it will not be possible to advertise it on such a large scale, because there is already a certain client base that prefers this particular brand;
- If we are talking about a foreign manufacturer, then get ready for strict control, which of course excludes the possibility of saving on wood or quality components;
- The assortment may be limited due to the fact that a number of franchises are issued only on the condition of working only with a given manufacturer, and this slows down the reaction to market changes.
Despite the fact that now many furniture companies are actively operating in our country, more and more new companies continue to appear, which means that, if desired, everyone will find their clients. The development prospects here are clearly visible due to constant demand, changing trends and fashion that citizens want to comply with when decorating their home or office. You can find material like this domestic producers, and import suppliers, so there will be no problems with this. Yes and availability large number citizens who still want to update their furniture indicates the demand for the product; the main thing is to position your enterprise correctly.