Starting a business. Need advice.

[paulC]

Well after spending the last few years building 2 CNC routers and purchasing a laser engraver I have quit my job to try setting up my own business.
I have already made a few mistakes.
I payed for a laser from a character in one of the zones forums and a year and 9 months later I'm still waiting for him to complete the machine. Yes, he is in China. He is still promising delivery and says he is having problems so I havent given up hope that I may get something from him eventually. I gave up waiting for him and purchased a second laser from Red Sail last December.
My next big mistake has been in the timing of my quiting and going it alone.
I picked the beginning of April. Just as the local economy started to stagnate.
The area I was trying to get into is giftware and tourism products.
Its been interesting. Ive learnt a lot but I'm not selling much at all.
I have been trying to diversify, looking for laser engraving work, plastic fabrication or anything I can do for a buck.
I have been trying to sell on Trademe, the local equivelent of ebay. Have hade a couple of sales here but need a lot more. I have a couple of shops stocking my product on a commision basis. The idea being I would find out what sells then concentrate on developing those lines. Not much help when the shops are not selling much of anything at all.
I have set up a web site http://www.amazinwood.co.nz
I'm hoping by posting here Google search engine may pick it up without me having to pay to have it included. We will see.
I tried the local paper advertising laser engraving services. That has resulted in nothing. Not a single query.
Tried sending a flyer to all the local electricians looking for engraving work. Got a couple of small jobs but nothing that will keep the wolf from the door.
I'm working out of a small workshop in the back of an industrial area so I have no shop frontage to help with walk in trade.
And I confess to being the worlds worst salesman.
Any one got any ideas?

[ironDigit]

Make sure you spend all the time not making parts ,promoting your business.

are there any identical shops around your area ? and if yes , what do they fill their machinetime with ?

trying to create your new markets by consigning shops is ok but make sure the shops are motivated to selling your product and don't just have it collecting dust.

try renting some advertisingboards around your shop pointing it out as to compensate for being in the back of an inustrialarea and not getting any walk-inn customers.
And have all your products stamped with your brand/info.

and first of all make sure there is enough engraving going around in your area to fill a machine's day or just your bills.

[High Seas]

You didn't mention the size of the machines - but from the detail-work on your site - maybe medium to small? No worries. No need for everyone to build boats!

Have you considered getting some of the product to the shops on the BOI? Pahia has a treasure trove of shops that could sell your wares. Foster's - the ferry company - not the beer/tools -- has(had?) a pretty busy shop at the landing in Pahia that caters to Russell too. Also there might be other opportunities in Kawa Kawa or Kerri Kerri.

Those costers - with the "vinter's logo" ought to sell well in the wine shops too. Not only to the vintner - but their walk-ins too. You could sell them to the vintner and replenish on order - not consignment. Let them set their price - or "gifting" as a bonus with case lot purchase.

Consider the 'foreign yachties' for those at their hangouts as long as you're headed to the BOI - try the boat clubs at Russel or Opua on Friday nites. Special order the items then have delivered via post. Just a thought or 2.

Signboards good idea - TradeMe is maybe OK - but eBay or your site maybe way better for the size/style product.
Best of luck mate!
Jim

[paulC]

Thanks guys.
I tried improving my signage today. At least someone can now find me out the back.
The routers are small. One 400 x 600 the other 600 x 1000. Adaquate for the small stuff I'm making. If I get this off the ground I will import a larger Chinese router. I could not buy the parts for the price they are selling for.
Next thing I will try is to start walking around the gift and tourist shops in Wellington. The Bay of Islands would be a great idea but its a bit far away from me to readily access. I could try sending some marketing info to a few of them.
Paul

[aminear]

Paul,

Just an idea here, on your web page, home page. Put some pictures of your products. The first page (home page) maybe all the chance you get to capture your audience, many people will not drill down unless something catches their eye.

You make some real nice looking stuff, let them see it right away.

Arnie

[svenakela]

At the web page:
1. Make a better title than "home". Add your company name for example.
2. Add Meta description tags to help the search engines to pick it up.
4. Register at Google, you don't have to wait for them: http://www.google.com/addurl/

Good luck with the business!

[paulC]

More good info. Thanks guys. Registered URL and added some pictures to the home page. Added some meta tag keywords. Far from perfect but at least its there. I'm using MS frontpage for web development as its all I have. I've always heard bad things about it. Now I know they are all true.

[toyranosaur]

Just curious, what had you heard about Frontpage that's not up to snuff? We plan to use it to develop our site, but know very little about this type of thing, so any info would be appreciated! Chris

[paulC]

Just curious, what had you heard about Frontpage that's not up to snuff? We plan to use it to develop our site, but know very little about this type of thing, so any info would be appreciated! Chris

My problem was that I wanted a quick solution so I used one of their templates. Once I had shaped the bones of a web site I then wanted to change a few things. Thats where things became messy. I wanted to add my own buttons in place of the template ones. I did this by editing the gif that frontpage had placed in the site. As soon as I saved the web site it replaced the gif with their one again. It was also quite difficult to expand their pages, keeping the same theme. This is something I would expect to be simple but it took me ages to copy all the tabs etc manually. Some of this may be due to my inexperience with the product but a good product should not need an in deapth knowledge to use it or the help should be able to explain how to do these tasks. There are better products around. I was only using it as I had a licensed copy.
Paul

[svenakela]

It's better to have something rather than nothing.

If you have little experience of digital work, Frontpage may be a good tool. Specially if you have a static site that change very little. On the other hand, if you want to update often, it's not very useful.
If you have a web host that lets you run a small database and for example PHP (scripting language) you can setup a CMS - Content Management System - instead. It lets you create news, articles, downloads etc without having the computer knowledge. What you need though is the knowledge to setup the CMS, but as soon as that is done you can go on an create new items as much as you want. And to setup the system of your choice you probably can find someone who can help out.
One very handy and flexible CMS that's for free is Joomla. There are numbers of free systems, but this one is very nice and I know big TV-channel companies that run their front web with it. So go for it!
http://www.joomla.org

[lerman]

Thanks guys.
I tried improving my signage today. At least someone can now find me out the back.
The routers are small. One 400 x 600 the other 600 x 1000. Adaquate for the small stuff I'm making. If I get this off the ground I will import a larger Chinese router. I could not buy the parts for the price they are selling for.
Next thing I will try is to start walking around the gift and tourist shops in Wellington. The Bay of Islands would be a great idea but its a bit far away from me to readily access. I could try sending some marketing info to a few of them.
Paul

If your machine is sitting idle, samples are essentially (except for the cost of consumables) free. So, instead of just marketing info, send them a sample of a custom item -- perhaps something with their name on it.

Ken

[jcoats]

Go 'give away' a couple of 'almost free' signs.

Find a couple of businesses that are your 'target audience' that are in a high traffic area. Preferably ones with a 'tired' sign (looks shop worn, old, out of date).

Talk with the owners, of one, possibly two, and offer to generate a new sign for your cost. But there is a caviat, they MUST promise NEVER to divulge how much they paid, but they MUST pass along your business cards. If they agree, generate a KILLER sign for them. One that will draw them business. See if you can attach a 'small' [Sign By ...] sign on the bottom of it.

Do you ABSOLUTE BEST work for them, not that you would not do it for every customer.

...

For some potential customers, possibly generate a very small version of the proposed sign. They will want to keep the 'tiny sign', but set a price that is unreasonably high and keep it as an example (for your new show room ) of your work.

Make pictures, or small sample of the work you want to do and display them, or make a sample case. ... If they are jobs you did not like to do or were costly to you, do not show them, but keep a picture or something to remind you of what you DO NOT want to do!

...

In my area there are some networking organizations like the Chamber of Commerce, or Kiwanas, or similar, attend some of them regularly.

Keep business cards with you ALL THE TIME.

Do not do 'work cheap' just to get work. If you don't consider your time and efforts worth something, no one else will tell you any different.

Just because your 'CNC did it' does not mean the CNC machine time is free. Neither is your planning or computer setup time. It must all be calculated into the price of the job.

Do make some small 'giveaway's, like small desk toys with your name on it. But make sure they are cheap for you to make but look really good!
...

I know you already know much of this, but a reminder never hurts.