Interest in cheap brewing machine

[Ale]

I am expecting an inheritance of a few 10s of thousands shortly and would love to go self employed. I'm looking at a bit of wheeling and dealing on Ebay/Amazon and google ads brought this up.

https://www.alibaba.com/product-det...53429.html?spm=a2700.7906351.40.10.MvJNSL&s=p

It would be a huge risk but for an estimated£35k or so (I'm guessing here to include shipping costs, insurance and VAT) I could import 300 of these as the minimum order. I would then look to sell them as a cheap option compared to a grain father. If I stuck these on at £200-£250 to give me a £25k profit hopefully, depending on my final costs do you think there would be much interest?

I would of course look for similar cheaper alternatives as well, which could just be suppliers of smaller quantities even if the unit price is a little higher. I would also ask for a sample first and try it out myself (and I havent even done an AG brew yet).

 

[MyQul]

I dont know a huge amount about these brewing machines but there seems to be more and more coming onto the martket. Only the other day (might have been yesterday - too much home brew!) a forumite posted a link to another new one thats just come out. I've seen several posted links by forumites on the forum (not including the usual suspects grainfather etc)

 

[GermLish]

HAve you seen this one: http://www.home-brew-online.com/equipment-c40/hambleton-bard-bulldog-brewer-p2532

If you are the importer you're legally liable for warranty and safety regulations like all the electrical stuff. Means you need to set up a business with insurance and so on in case one kettle causes a fire to a customers house or so.

Then, when you want to deal with China it is highly recommended to fly there and deal with them personally. Chinese suppliers often have a different understanding of quality. Next thing you need a shipment agent. They make sure you wan't get empty boxes or damaged goods. they also make sure your products get to the ship at the right time. Then next thing you'll have to deal with the import taxes and duties.

Also I doubt the merchandise is a fast seller. You can have a look at ebay how much ACE boilers are sold up to now and these are heavily discussed in different forums (http://www.ebay.co.uk/itm/NEW-homeb...Mashing-Grain-Brewing-Equipment-/390983101542).

Personally I think you overestimate the demand in UK. And the bureaucrazy is very challenging. Been there got the shirt.

Erm yeah and your figures are not at all realistic.

 

[ElChemist]

Not even remotely worth it. The level of **** involved in being an importer means it really isnt worth it...

 

[Graz]

If you are the importer you're legally liable for warranty and safety regulations like all the electrical stuff. Means you need to set up a business with insurance and so on in case one kettle causes a fire to a customers house or so.

This was the main thing I was going to say. It can really add to the cost to get it certified for electrical safety and EMC (Electromagnetic Interference Regulations). There's a good chance it wouldn't pass first time around and then you be looking for someone to modify it to make it certifiable, and then you have to do the mods to all 300 of them.

Sorry to piss on your bonfire. Keep looking!

 

[marlon]

I am expecting an inheritance of a few 10s of thousands shortly and would love to go self employed. I'm looking at a bit of wheeling and dealing on Ebay/Amazon and google ads brought this up.

https://www.alibaba.com/product-det...53429.html?spm=a2700.7906351.40.10.MvJNSL&s=p

It would be a huge risk but for an estimated�£35k or so (I'm guessing here to include shipping costs, insurance and VAT) I could import 300 of these as the minimum order. I would then look to sell them as a cheap option compared to a grain father. If I stuck these on at �£200-�£250 to give me a �£25k profit hopefully, depending on my final costs do you think there would be much interest?

I would of course look for similar cheaper alternatives as well, which could just be suppliers of smaller quantities even if the unit price is a little higher. I would also ask for a sample first and try it out myself (and I havent even done an AG brew yet).

This one looks exactly like the new Hambledon Bard Bulldog. Check out their website if you haven't already. Having said that, I'd buy one off you at £200ish - even though It means forgoing the free all-grain kit they offer!
But if 300 units is minimum order, I think you're gonna strugle shifting that many, but good luck with whatever you end up doing...

 

[Clint]

What about looking at UK made stainless fermenter and the like...plenty of small businesses out there that will do custom,short run quality stuff..there's a couple of chaps on a metal detecting forum I go on who are based in Yorkshire that run a fabrication business making all sorts in stainless steel. They do loads of spades,digging tools etc..super high quality,great service and very reasonably priced. I have first hand experience of them having bought and used their stuff and can't fault it.

Cheers

Clint

 

[marlon]

What about looking at UK made stainless fermenter and the like...plenty of small businesses out there that will do custom,short run quality stuff..there's a couple of chaps on a metal detecting forum I go on who are based in Yorkshire that run a fabrication business making all sorts in stainless steel. They do loads of spades,digging tools etc..super high quality,great service and very reasonably priced. I have first hand experience of them having bought and used their stuff and can't fault it.

Cheers

Clint

That sounds worth exploring!:thumb:

 

[Leon103]

Like everyone else as said, don't bother.

 

[chewie]

What about looking at UK made stainless fermenter and the like...plenty of small businesses out there that will do custom,short run quality stuff..there's a couple of chaps on a metal detecting forum I go on who are based in Yorkshire that run a fabrication business making all sorts in stainless steel. They do loads of spades,digging tools etc..super high quality,great service and very reasonably priced. I have first hand experience of them having bought and used their stuff and can't fault it.

Cheers

Clint

Getting in contact with people like that and coming up with some bespoke designs and equipment to suit small homebrewers in a flat to someone starting a microbrewery and a website design with realistic pricing and ease of use is i would think a better option than importing chinese made stuff.

@OP Buying a container full of product is one thing, having it all in working order to suit not just EU rules but also British wiring regs is another. If you did decide to do it then flying out and inspecting the products and seeing them in working conditions is the best 1k you will ever save.

 

[GermLish]

Like everyone else as said, don't bother.

This is not what I meant to say.

As an importer you can start a really good business and make a lot of money, but it takes a lot of time and experience. If you, for example had a job in a company which made business with China t is easy to set up your own business. If you don't have this experience and try to learn it on the job, you'll pay dearly.

First thing I realised is the calculation which forgot almost all service fees like shipping costs and handling agent in China and UK, or import tax. Additionally there are costs to run a company like book keeping costs, lawyer costs, insurance costs etc.

Only because an article is available on alibaba, it doesn't mean it's as easy to buy like on ebay or amazon. For example: Payment Terms: L/C,T/T. This means if you order a sample or smaller amounts you can use alibaba to pay money, but for bigger orders like the 300 you'll need a letter of credit from your bank. Smaller numbers will be send how you want it, but bigger numbers normally need a shipping agent who manages the container, the transport of the container to the harbour, books the ship, handling of the container in the harbour, customs, the whole transport to ta warehouse here in UK. From here you need to manage the transport to your own warehouse (a.k.a. garage).

What if the quality of the product is crappy? You receive 300 boilers with the wires hanging loose? Will you fix all 300 yourself? Or if the heating element has a shortcut and as soon as you put in the socket the house burns down or somebody gets an electrical shock and dies? So you will need somebody who checks the company and also checks the production every now and then and also tests some samples (another 2.5k).

Just some numbers:
Shipping (all costs incl. agent, material, ship etc.)
1 palette 1.5m x 1.2x x 2m = 1k
30ft standard container: 8-10k

Next thing is the dealer: The companies response rate is 93% :nono:

The company claims to have "Product Certifications: CB,CE,NOM,RoHS ". If the are real you will see if the customs open your container and refuse the products to be imported (China is well known for it's honesty). This means you have to do the tests (5k or send them back to China on your own costs).

And why does everybody think only cheap products are interesting? And now that the Pound is on the worst exchange rate why not produce something clever in UK and export it to China?

Just some thoughts. Never put all your eggs in one basket.

 

[Ale]

What about looking at UK made stainless fermenter and the like...plenty of small businesses out there that will do custom,short run quality stuff..there's a couple of chaps on a metal detecting forum I go on who are based in Yorkshire that run a fabrication business making all sorts in stainless steel. They do loads of spades,digging tools etc..super high quality,great service and very reasonably priced. I have first hand experience of them having bought and used their stuff and can't fault it.

Cheers

Clint

As it happens I have a friend who owns a metal fabrication company.

 

[dan34]

Think you may have supped to much home brew mate

 

[GermLish]

On a german forum the guys do some stainless stuff.

I put here the links, I think the pictures speak for itself:

http://hobbybrauer.de/forum/viewtopic.php?p=67429#p67429

and a impeller:

http://hobbybrauer.de/modules.php?name=eBoard&file=viewthread&tid=18756

 

[Ale]

Thanks for all the responses. I have worked for a number of years in purchasing and contract management and have even sourced goods from China before it was commonplace. I didnt have to do the paperwork for the importing of goods though, that was someone elses job. I'll probably just stick to plan A of going back into financial services.

 

[MyQul]

On a german forum the guys do some stainless stuff.

I put here the links, I think the pictures speak for itself:

http://hobbybrauer.de/forum/viewtopic.php?p=67429#p67429

and a impeller:

http://hobbybrauer.de/modules.php?name=eBoard&file=viewthread&tid=18756

WTF is that!! :shock:

It's got the biggest airlock I've ever seen :lol:

 

[chewie]

WTF is that!! :shock:

It's got the biggest airlock I've ever seen :lol:

Lol typical German over engineering :)

 

[DoctorMick]

WTF is that!! :shock:

It's got the biggest airlock I've ever seen :lol:

I thought it was part of the tin man from the wizard of oz...could be wrong tho.

 

[GermLish]

I thought it was part of the tin man from the wizard of oz...could be wrong tho.

LOL

it's a hood

Lol typical German over engineering :)

That's German over engineering

or this:

 

[Dutto]

Let me tell you a story about what happens when things are shipped.

Back in 1962 I was in Egypt on a tramp steamer (the SS Rinaldo) and part of our cargo was 500 cases of Ballantine's Whisky. The cases were locked inside a Bonded Store on the ship with 4" thick wooden doors and a lock like a dustbin lid.

As a Deck Officer Cadet I (along with the Client's Tally Man) had to make sure that every case placed on the pallet for offloading was undamaged, showed no sign of leakage and was also unopened. Work progressed during the morning and by our first break about 50% of the cargo had been offloaded. I locked up the Bonded Store whilst the Egyptian Dockers picked up their stuff and finished up at the ladder to the deck just as the last man was starting to climb the ladder.

As his feet moved up the rungs of the ladder I could hear a steady "*****-*****" emanating from his clothing (typical Arab clothing of baggy pants and an even baggier jacket) so when we got to the Tween-Deck I pulled at his trouser leg and indicated that he should step off the ladder. He did so and I joined him.

"*****? *****?" I said, not knowing any Arabic and at this the man produced two bottles of Ballantine Whisky from his jacket and handed them to me. He carried on up the ladder still going "*****-*****" and I went and deposited the two bottles of whisky in my cabin.

In the afternoon we completed off-loading the cargo and after the last of the cases went on to the pallet the Client's Tally Man agreed with me that every case had been offloaded "undamaged, unopened and with no visible sign of leakage". He signed the relevant bits of paper and disappeared up the ladder.

As I didn't have to do anything with the door on the Bonded Store I was standing at the Tween Decks when my friend of the morning came up the ladder. I smiled benignly at him, he got off the ladder and solemnly handed me yet another two bottles of Ballantine's whisky before continuing on his way with the by now familiar "*****-*****" on every rung.

To this very day, I have no idea how they did it and I have no idea how many bottles of whisky were missing when the cases were finally opened by the Egyptian Client ...

... and you probably won't know either when your cargo of Brewing Machines comes up short so I suggest that you:

o Take your time.

o Do your research.

o Calculate Break Even Points.

o Carry out a Cost Benefit Analysis.

o Calculate Cash Flows.

o etc etc etc

... and then take the results to someone like a Bank Manager or a good friend to pick your plans to bits.

If it is still "All Steam Ahead" then I wish you the best of luck in your new venture. :thumb: :thumb:

This is the SS Rinaldo! :thumb: :thumb: