Just how much demand is there for a Polymer 80% AR-15 Lower if the price was right?
If you read my last thread in the reloading section I was looking to invest into ammo reloading commercial setup under the impression I had a high level source whom could supply millions of parts that I needed to go big, and as many have replied nobody can get that quantity and I'm here to say your right, and Im sorry. My supplier said he can get at most 25,000 per month, not the millions I was requesting. Anyways enough of that.
So while researching into other investment ideas, I ran into a CNC shop that wants to produce a Polymer 80% AR-15 Lower and sell them for $40-$90 each (depending on what the current market with bare) and claims with a shop running full time he could produce 32,000 units per month approx. He wants 55K to invest in the mold in exchange for 10% royalties, claiming that the mold cost approx 60k to make properly. Anyways the projections seem great, returns seem good even on 10%, however I'm just unsure of the demand for that quantity of polymer lowers. I know everyone wants 6061 or 7075...etc.
From my understanding with a polymer you can put a different upper on it and then switch it back without wearing out the lower to the point you have some wiggle room once it return it to its original caliber....etc, that and well yeah the cost is much lower.
Anyways what are your thoughts? If you had 55k to invest into making 32k polymer 80% lowers per month in exchange for 10% would you do it? Just trying to figure out the risk involved with this.
If you read my last thread in the reloading section I was looking to invest into ammo reloading commercial setup under the impression I had a high level source whom could supply millions of parts that I needed to go big, and as many have replied nobody can get that quantity and I'm here to say your right, and Im sorry. My supplier said he can get at most 25,000 per month, not the millions I was requesting. Anyways enough of that.
So while researching into other investment ideas, I ran into a CNC shop that wants to produce a Polymer 80% AR-15 Lower and sell them for $40-$90 each (depending on what the current market with bare) and claims with a shop running full time he could produce 32,000 units per month approx. He wants 55K to invest in the mold in exchange for 10% royalties, claiming that the mold cost approx 60k to make properly. Anyways the projections seem great, returns seem good even on 10%, however I'm just unsure of the demand for that quantity of polymer lowers. I know everyone wants 6061 or 7075...etc.
From my understanding with a polymer you can put a different upper on it and then switch it back without wearing out the lower to the point you have some wiggle room once it return it to its original caliber....etc, that and well yeah the cost is much lower.
Anyways what are your thoughts? If you had 55k to invest into making 32k polymer 80% lowers per month in exchange for 10% would you do it? Just trying to figure out the risk involved with this.
