HELP ME! Those of you in the business

Okay, I have a project assignment due tomorrow for economics. A friend and I are doing a theoretical entrepreneurial project, we are starting our own surfboard company. She wanted us to ask people in the business a few basic questions. These are what she told us:

How they got started?

Recommendations for beginners?

How much money will you need to get started?

What mistakes did they learn from?

What helps them keep their business viable or keep up with the times?

What license or certificate is necessary?

Do you use any local or national resources?

What type of advertising?

Logos and Trademarks

Pitfalls to Avoid

What are some of the rewards they receive from business?

What words of advice would you give someone starting out in this business?

How long did it take fore your company to make a profit?

What changes do you see happening in this industry for the next five years?

If one or more of you guys could answer these (If you only have an answer for a couple please still post, I can use all that I can get_

Thanks,

Nathan

Note * means may want to leave that one out

How they got started? - Most surfboard companies are started by surfers that either have a passion for surfing, and spreading the stoke by making boards for others,or don’t want to get real jobs haha or a combination of both. In the old days some were drug fronts* Some overseas companies may be run by non-surfers

Recommendations for beginners? - Start small, keep overhead low, maximize output, focus on quality, reasonable turnaround time, avoid fines for lack of proper factory set-up ie. fire hazards improper dust collection/resin storage

How much money will you need to get started? - $75 to $100 grand minimum in california, cheaper in florida,texas, or arizona

What mistakes did they learn from? - Giving away boards to bro brahs, not paying taxes, being nieve and not charging what the job is worth, working on weekends

What helps them keep their business viable or keep up with the times? - Quality finished product, customer service, using top quality materials and/or progressive materials, top notch workers, good customer service creating a good reputation and steady return customers

What license or certificate is necessary? - Business license, federal tax I.D. # for wholesale material purchasing, workmans comp for all employees, resin storage/dust collection permits/acetone removal service

Do you use any local or national resources? - Little to none (maybe wood but usually comes from elsewhere)

What type of advertising? - Sponsoring local contests, magazine advertisements, top pro endorsements, incentives, free product, strokage of celebrity type magazine higher ups (free boards)

Logos and Trademarks - unique and distinguishable laminates placed on all boards visible from a distance, slogans/lifestyles

Pitfalls to Avoid - Health issues with factory workers due to improper safety equipment and/or techniques, Fines for violations, not charging for services rendered or to low of profit margin factored in, fire

What are some of the rewards they receive from business? Working with top professional surfers, possible travel, free places to stay, personal boards made for cheap, Ditching work when swell is pumping, bong hits*

What words of advice would you give someone starting out in this business? Don’t unless you have some business sense, a passion for making surfboards, and like the smell of resin. Oh and no holidays or weekends. Just kidding lol focus on your product and your customer service. A happy customer might tell 2 or 3 people. An unhappy customer tells everyone. Come through with promised deadlines, don’t buy cheap tools buy good ones

How long did it take fore your company to make a profit? You should see a profit if you did everything exactly right in about 2 to 3 years. Realistically…5 to 10

What changes do you see happening in this industry for the next five years? More diversification, more imported boards, some new materials, less and less new domestic companies starting up and surviving.

Keep in mind ours is a fin company, slightly different but not by much. Hope that helps!

Hi Nathan, Ive sent you a PM outlining how you can do it from a website, have the APS files sent to you and then outsource the shaping / glassing / delivery. No staff, no factory.

If the assignment was due in a month I think we could have walked you thru it , but its a bit late now.

That is an option I probably should have mentioned, however I have seen internet surfboard companies do not so well and even cease to exist based soley on the fact that customers were reluctant to plop down $$$ for something that they couldn’t touch first. A picture may be worth a thousand words, but that does little for a guy looking for a certain rail shape or weight etc…Surfers are funny like that, thank god.

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That is an option I probably should have mentioned, however I have seen internet surfboard companies do not so well and even cease to exist based soley on the fact that customers were reluctant to plop down $$$ for something that they couldn’t touch first. A picture may be worth a thousand words, but that does little for a guy looking for a certain rail shape or weight etc…Surfers are funny like that, thank god.

Well the big difference between retailing online and in person… is imho the verbal component. When verbal you can tell them what you are going to tell them, tell them again, tell them again what you are going to tell them and finally, tell them again. Try that visually…

Thanks a bunch guys, I really appreciate it!

Thrushter-Hey, go ahead and walk me through it, this is just the first assignment, we’re actually going to be given theoretical resources, build a business plan etc. The whole thing isn’t due for a while.

yeah sure you sit back and get all this info with no legg work. now how you supposed to become edgamacated?

Nathan, Check yor PM’s.

Sorry, I would have just called someone anyway. I can’t really drive to the ocean from central/northern california for an assignment…