Start MY own Litho offset printing business?

[gazprinter]

HI all!!
I live in North Wales and I have worked for the same printing company for almost 17 years now since leaving school in 1996! I'm at the top of my game where I am but feel very undervalued to be honest and feel I could start on my own and seek the benefits of being my own boss.
I currently operate a 5 colour B2 komori press which is great but I could never afford one straight away! so I think I'd need to invest in a one or two colour Heidelberg GTO or similar to begin with, I've worked on several other press' over the years so I do have the knowledge. Now trouble is this, If you're a printer or own a printers you'll know it's an expensive set up, my plan would be to go for the general jobbing work like business cards, leaflets, NCR books etc., I would need a press, a small guillotine, Something to make plates ( metal or paper)? and ideally a digital press for small run 4 colour work, Can anyone give me advice on setup costs and also ways of raising the money Id need and if any grants are worth going for? Investors?? I also have another work college who wants to join me on this who would be the designer.

Any advice is great; I just think my 17 years' experience in print could pave my way to a successful business.[/font]

Many thanks

Gareth

 

[Vardan 89]

I wish you all the best... It is always good to work for your own business. I think whilst you looking to get of the costs involved, it is equally important to research your market, is there a room for another printer where you plan to operate from, how will you get your clients, do you need a website, etc etc.

On cost front there are various other cost you need to factor in ...accountancy, staff wages, finance costs etc.

I think a properly listed forecasted expenses and income will give you an idea of where you heading to...

I wish you all the best...if you are confident then defi become your boss...

 

[joeptsearle]

I think it would be a great idea, you do need to decide though which niche you are primarily going to be serving, this will give you some clarity as to where you should focus your marketing efforts later on. Expenses should be realistically calculated like equipment etc, so you know exactly how much money you need to break even. Get a realistic forecast from someone who has been in the game for a while, projected profits etc.

 

[ethical PR]

joeptsearle - interested in why you think it's a great idea? Printing is a hugely competitive industry. Lots of well established printing companies are failing and it's a hard industry to break into.

OP do your research. Identify your start up costs and annual running costs including salaries for yourself and designer. Undertake research with online and local printers to see what they are offering and at what cost,

Think about how you differeniate yourself from your competitors - what can you offer that others can't - can you do it at a competitive price?

Do you know how to put together a marketing plan and will you have a budget to implement it.

It's great you have experience, but as you mentioned you don't have the funds and you don't have experience of running a business, so although not impossible, it will be a difficult market for you to break into.

Good luck

 

[JonathanSEO]

Is the printing company you have worked at for 17 years doing well?

Printing firms are going bust extremely frequently especially independent ones when printers, paper and ink are very expensive.

It's definitely something that will be tricky to get into and make a profit at. Finding customers won't be easy either.

Good luck.

 

[Daxo]

It's great you have enthusiasm for printing but I believe you will lose every penny you invest in a print company.

Have you properly surveyed the market?

If you plan to focus on a very niche and specialised type of printing then you MIGHT stand a small chance of making low profits, however if you plan to offer mass printing like business cards, flyers, posters and booklets I think it will just be an elaborate way to relieve yourself of thousands of pounds.

 

[Vectis]

I would say avoid this at all costs!

Sorry to be negative, but running your own print company, investing in printing presses, Paper, materials etc etc is a world away from working for a print company and drawing a salary every month.

I haven't worked directly for print companies but we've worked alongside them for decades and we know that it's cut throat and that many that we've known over the years have gone to the wall. You must know this too as you've worked in the industry for so long.

You say you can run the presses, and obviously you've got experience of this, and you have a designer willing to come onboard too, but who will get the sales in? Who will deal with the customers? Who's going to run the back office?

I honestly can't see investors being interested in this, not these days, unless you have some revolutionary way of slashing the enormous costs of setting up a print business.

 

[NJ123]

Don't do it.

Working on the press is, as you would expect, much different to going out selling.

When you do get orders, you'll have to prepare yourself for your margin to drop quicker than your enthusiasm.

It's such a busy, busy industry. Type business cards into google and you will see what you are up against.

It's brilliant to see passion for a job, but my recommendation would be to carry on working, go on a couple of management courses and start to show your employer, or employers down the line, that you're serious about what you do. Hopefully that will lead you onto better paid roles and more job satisfaction.

 

[Deleted member 59730]

I agree that small litho colour printers are going bust all the time. The big ones too.

The print businesses that are doing well are those which do digital print and offer a full service. And I mean full service. Like the company who had a job of printing and laminating all the new bus times for fixing onto bus stops. They not only converted the database to the design but went out and erected all new bus stops.

 

[gazprinter]

Thanks to everyone for your input and ideas, I am a novice but I just feel that working for 17 years under a close eye is more than enough I'm tierd of making my boss' richer and having my nose rubbed in it! Is it just unlucky I'm in a competitive trade? I would go the digital way to minimize costs? I've seen some impressive digital presses that can be leased?

 

[ethical PR]

Well lots of trades are competitive.

Staff can think it's easy to run a business and think their bosses are making lots of profit - normally neither is the case .

Whether you use digital or litho you still have a crowded marketplace. Do your research, put together your budget, develop your business plan and marketing plan.

If you feel you have a viable business plan and the knowledge, expertise and funds to make it happen, then go for it.

 

[Socio South West]

Thanks to everyone for your input and ideas, I am a novice but I just feel that working for 17 years under a close eye is more than enough I'm tierd of making my boss' richer and having my nose rubbed in it! Is it just unlucky I'm in a competitive trade? I would go the digital way to minimize costs? I've seen some impressive digital presses that can be leased?

Now you are talking!!! This is where the industry is at: Forget litho would be my advice, and go for short run quick turn around work.

The big problem in translating the sort of work you have been doing into running a business doing the same is actually getting the work in, so I would suggest you either take on a partner experienced in sales and marketing, or make your first appointment someone who is going to get work in for you.

And a final thought... for every pound you say you have made for your boss, you have also kept a headache alive: After a while running your own business with employees of your own, you will understand!

 

[businessfunding]

I am with ethical. In reality the answer will lie in your business plAn

To set up a litho operation - cutting costs to the bone - will require an outlay of £100k caped - either cash or pg debt

You will need a niche!

 

[joeptsearle]

joeptsearle - interested in why you think it's a great idea? Printing is a hugely competitive industry. Lots of well established printing companies are failing and it's a hard industry to break into.

OP do your research. Identify your start up costs and annual running costs including salaries for yourself and designer. Undertake research with online and local printers to see what they are offering and at what cost,

Think about how you differeniate yourself from your competitors - what can you offer that others can't - can you do it at a competitive price?

Do you know how to put together a marketing plan and will you have a budget to implement it.

It's great you have experience, but as you mentioned you don't have the funds and you don't have experience of running a business, so although not impossible, it will be a difficult market for you to break into.

Good luck

Admittedly I don't know a vast amount about the profitability of the printing industry, however I do think it can expanded quite rapidly by marketing online and there is still a big demand. There would need to be a very strong USP especially with the likes of vistaprint etc.

 

[Talay]

Thanks to everyone for your input and ideas, I am a novice but I just feel that working for 17 years under a close eye is more than enough I'm tierd of making my boss' richer and having my nose rubbed in it! Is it just unlucky I'm in a competitive trade? I would go the digital way to minimize costs? I've seen some impressive digital presses that can be leased?

I'm sorry to be blunt but the very fact that you have spent 17 years in this business as an employee is indicative of where the heart lies.

Your desire to "be the boss" is driven from jealousy from perceived riches but without any idea of the costs.

The fact that you have no capital and no business plan will make this an impossible task.

However, to look on the positive side, you express a desire to advance yourself and perhaps this is just the catalyst to approach your boss and ask to get more involved with the business. At least then you will learn the front end and the intensity of capital deployed. If you ever revisit the desire to go it alone, those skills will be invaluable.

 

[neildigital]

Hi there,

To add my bit, I started a digital print business 5 years ago, and with about 20k investment got into the market, and invest probably another £150k over the 5 years. I have just invest over £500k to get into the litho market but this is off the back of 3-4 contract to underpin the business.

I would suggest if you are really wanting to get started yourself, pick up a cheap secondhand digital machine to allow you to offer quick turnaround/ local print offerings, which will give you a cashflow offering, and look to print manage / outsource larger work if it comes along.

Another issue you will have with the larger runs is the cashflow, bigger runs means bigger costs, and as a new business alot of your suppliers will take advantage of that, with not very competitive prices and short credit terms.

If you fancy a chat more about it, give me an email, or call tomorrow.

 

[Deleted member 59730]

Another issue you will have with the larger runs is the cashflow, bigger runs means bigger costs, and as a new business alot of your suppliers will take advantage of that, with not very competitive prices and short credit terms.

Do you mean customers?

I can get 90 days credit from some of the major litho printers in Europe. Its a cut-throat business to be in. For the past 20 years I have done all my printing in Italy because the quality and service is better than the UK printers I tried. One of the materials I use is made in Scandinavia and it can be sourced by my Italian printer at half the price it is in the UK. Even if you cut costs to the bone you still need the clout to get good deals on your material.

 

[neildigital]

I was meaning suppliers, great you get 90 days, but are you a new business, or been running for a while?

New businesses get a bad deal now with lots of suppliers....

Do you mean customers?

I can get 90 days credit from some of the major litho printers in Europe. Its a cut-throat business to be in. For the past 20 years I have done all my printing in Italy because the quality and service is better than the UK printers I tried. One of the materials I use is made in Scandinavia and it can be sourced by my Italian printer at half the price it is in the UK. Even if you cut costs to the bone you still need the clout to get good deals on your material.

 

[Deleted member 59730]

I was meaning suppliers, great you get 90 days, but are you a new business, or been running for a while?

New businesses get a bad deal now with lots of suppliers....

I got sixty days in my first year 28 years ago.

 

[neildigital]

I think there's the point 28 year ago, different world now!!

I got sixty days in my first year 28 years ago.

 

[NJ123]

Why not find a trade printer and just get knocking doors down? Outsource all of your work and go from there. Build a living then decide if it's for you prior to taking out leases on machines.

Realistically, as a one man band the more time you spend on the press/setting up, the less time you'll be out selling.