Thinkin' about a reloading business

TexMex247

TGT Addict
TGT Supporter
May 11, 2009
2,777
113
Leander(NW Austin)
Ok, so call me stupid if you want to but I've been thinking about starting a reloading business. I know I will need to obtain a class 6 ffl, location, equipment,insurace and of course a well detailed business plan(if a want a loan). I don't plan on making this my primary source of income and don't want to mass produce. I was wondering if anyone has been down this road before. With all of the shortages lately, I know that certain components are in short supply. This does not worry me because I have already seen availablity increasing everywhere. I am NOT interested in producing cheap plinkin' rounds, strictly handmade match grade ammo thoroughly tested for speed, grouping, consistency etc. I am currently developing these loads for personal use which I would of course duplicate later for sale. I DO plan on reloading customer provided fire-formed brass as well newly manufactured rounds. I have read on many forums that it just isn't worth dealing with all of the liability but I want to hear about some first hand experiences. If anyone is interested in investment oppurtunity etc. PM me about it or if you just want to tell me how stupid this all sounds then let it fly - Texmex
 

zembonez

TGT Addict
Feb 22, 2008
4,728
36
Republic of Texas
Might well be a money maker if run correctly. The liability would probably spook me though. You'd just have to stay perfectly on the top of your game and produce nothing but quality product.
 

DCortez

TGT Addict
Jan 28, 2009
6,599
36
Houston, Cy-Fair
Get out of debt
Stay out of debt
Don't buy the biggest and best
Don't rely on others, be prepared to do everything
Figure out what cal sells the best & what you want to sell
Shipping, don't use mailboxes etc. stores, go to fedex store
Get a fedex freight acct, don't use regular fedex
Packaging?
Marketing?
Where will you get your supplies?
What happens if Obama poops on your dream?


I could go on, but you get the gist.
 

Bullseye Shooter

Active Member
Apr 28, 2008
510
16
Texas Panhandle
I had two friends, each had their own reloading business. Small profits, lots of work and when they wanted to get out of doing it, they could not sell the equipment for enough to get out of the debt they built up. They eneded up doing it, to just try and get enough to break even on the equipment. They're out of it now, at a loss.
 

TexMex247

TGT Addict
TGT Supporter
May 11, 2009
2,777
113
Leander(NW Austin)
It just seems so profitable, I don't see how you would wind up in the negative unless you had legal problems. I don't want to buy or ever use commercial equipment. I know it sounds crazy but quality control is the key issue for me. Truly hand loaded ammo at fair prices. A good example, .223 rounds back in the day(90's) sold new(win white box) for around $6 for 20. Now that price has doubled or more. Hand loading with once fired brass costs about 15 cents for a Hornady BT bullet, 4 cents for primers and 6-8 cents for powder. Those are all at retail prices, that adds up to 25-28 cents per round, or about 5.50 a box. Add the 11% government tax and that's still only about 6 bucks a box. Bullets of this quality would typically sell for a dollar a shot if bought under winchester or competitive labels. I'm thinking insurance has got to be the most expensive aspect other than overhead. I would plan on selling a load like this for 11.99/20 with once fired brass or 17.99 w/all new components. That undercuts the competetion big time. Even the cheapest ball rounds cost you over 40 cents a piece from quality reloaders like Collins cartridge co.(with once fired mil brass). My initial plan would not be for large scale production or shipping outside of Texas except to distributors. Still a ton of details to work out and many more loads to be tested before I start cranking them out and selling them. We'll see how it all pans out.
 

MadMo44Mag

TGT Addict
Jan 23, 2009
3,053
36
Ft.Worth
Years ago I helped a commercial re-loader - that's who got me started reloading.
Even with top of the line equipment and good resources, this is a very time consuming endeavor.
Rifle ammo is very time consuming because of all the necessary steps involved to turn out quality ammo that will chamber in any gun.
I'm not trying to discourage you, just be advised that this is a very time intensive business.
Good luck!
 

wrtanker

Active Member
Jul 17, 2009
216
18
Ft. Worth
I was reading in another thread (lost track of which one) about some impending legislation in Austin about firearms and ammo produced entirely in Texas for Texas-only distribution. It seems that the federal laws wouldn't apply so you shouldn't need the class 6 FFL. Of course, that assumes you can get all of your components from Texas sources....
 

Pappy

Resident Septuagenarian
Feb 29, 2008
319
16
Texas
Also consider the customer base..I personally will not buy reloads and will use only my own or factory..mine being first choice.

Anyway, anyone doing serious quality shooting will probably prefer to load their own.

From my viewpoint, it's not a good idea....
 

Bullseye Shooter

Active Member
Apr 28, 2008
510
16
Texas Panhandle
Pappy brings up a point which I did not mention in my earlier post. The two guys I knew who were reloading were doing strictly pistol rounds, no rifle. One of them attempted to load some .223s for sale, but found that with the wide variety of rifles at the time, he could not guarantee they would function in everyone's firearm. He especially had a problem with the early Ruger Mini-14s.
 

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