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What would it take to open a ammo reloading Facility?

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  • JON KARGATHALON
    Member
    • Mar 2012
    • 299

    What would it take to open a ammo reloading Facility?

    In light of the Jack Ross ammo problems, I was toying with the idea of possibly opening a similar facility selling reloads for plinking ect. Heres what i was wondering, and please be serious, as i am seriously considering it.

    What amount of capital would i need to get started?- I know i will need at least 5 reloading presses fully decked out. (Money isn't an issue)

    Do i need some sort of special permit to open a business like that?- I'm New to owning a business.



    Say i do make this happen, I realize to avoid the JR problem, i would need to produce a couple hundred thousand rounds of different calibers before i start to sell, and continuously make more as the orders come in. Im guesstimating, maybe $30,000 dollers to start?
    Last edited by JON KARGATHALON; 07-12-2012, 10:54 AM.
    I bit me a vampire once, Them there fellers..taste like corn..
  • #2
    hk91666
    Senior Member
    • Dec 2009
    • 1945

    Originally posted by JON KARGATHALON
    In light of the Jack Ross ammo problems, I was toying with the idea of possibly opening a similar facility selling reloads for plinking ect. Heres what i was wondering, and please be serious, as i am seriously considering it.

    What amount of capital would i need to get started?- I know i will need at least 5 reloading pressed fully decked out. (Money isn't an issue)

    Do i need some sort of special permit to open a business like that?- I'm New to owning a business.



    Say i do make this happen, I realize to avoid the JR problem, i would need to produce a couple hundred thousand rounds of different calibers before i start to sell, and continuously make more as the orders come in. Im guesstimating, maybe $30,000 dollers to start?
    I am thinking an 06 FFL (hope I got the number correct)
    "Si Vis Pacem Parabellum"

    NRA Life Member since 1978
    NRA Endowment Member since 2016
    CRPA Life Member 2022

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    • #3
      Dark Mod
      Veteran Member
      • Feb 2011
      • 4284

      Originally posted by JON KARGATHALON
      In light of the Jack Ross ammo problems, I was toying with the idea of possibly opening a similar facility selling reloads for plinking ect. Heres what i was wondering, and please be serious, as i am seriously considering it.

      What amount of capital would i need to get started?- I know i will need at least 5 reloading pressed fully decked out. (Money isn't an issue)

      Do i need some sort of special permit to open a business like that?- I'm New to owning a business.



      Say i do make this happen, I realize to avoid the JR problem, i would need to produce a couple hundred thousand rounds of different calibers before i start to sell, and continuously make more as the orders come in. Im guesstimating, maybe $30,000 dollers to start?
      Try $20k just for one machine. A Camdex isnt cheap, thats just for 1 caliber. Plus the components needed to feed it etc.. i would think in the $100k+ to get started.

      Plus you need a quarter million in liability insurance, an 06 FFL, business liscence etc..

      Definatetly not cheap. The market is saturated with cheap reloads, you wont make much of a profit either.

      You could do it on the cheap, buy several Dillon 1050's and hire some guys to operate them, but then your talking about only pumping out 20k rounds a day fully staffed.

      Youll be going up against entrenched commercial reloaders. Most of these guys have their sh** together and know how to produce a great product.

      Weeks of testing loads, problems finding brass, minor hiccups with the machines, just expect nothing to go totally according to plan. Its gonna be alot harder than it sounds

      Going the minimal investment route, your looking at profiting a couple hundred bucks a day if that. Maybe less maybe more

      Comment

      • #4
        XDRoX
        Veteran Member
        • Mar 2009
        • 4420

        If you do this from home I doubt it would even take that much capital to start.

        FreakShow is a member on this forum who commercially reloads from his home. He doesn't post here any more but is on glocktalk everyday. He's more than happy to tell you everything you need. So if you're serious then I'd join glocktalk and PM him. He actually posted accurate instruction, very lengthly, on the forum a few years back.

        You would need a license to sell ammo, which isn't hard to get and not that expensive. And you'd also need insurance in case your loads hurt somebody. Also I remember it as not being very expensive at all.

        The hard part is actually making money at it. The profit margin is really small on common calibers like 9mm and 45.

        Expensive rarer calibers are where it's at. You have the greatest opportunity to make money with calibers like 10mm, where it's very expensive to buy. Freakshow also talks about this a lot more in depth.

        The easiest way to get started IMO would be to buy a 1050 with two caliber conversions. Pick two calibers, throw the presses in your garage, get a license to sell and insurance, and start reloading.
        Chris
        <----Rimfire Addict


        Originally posted by Oceanbob
        Get a DILLON...

        Comment

        • #5
          JNunez23
          Veteran Member
          • Jan 2012
          • 2755

          Besides spending a fortune on equipment, you'll need to be insured (maybe 5k/year) FFL fees, and the list goes on and on...reload your own and be done with it.
          sigpic"Be more concerned with your character than your reputation, because your character is what you really are, while your reputation is merely what others think you are."
          John Wooden

          Need a holster?, please email us at StrappedKydex@gmail.com for any holsters, mag carriers, and more. Custom jobs welcomed!

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          • #6
            qtrxist
            L4K
            CGN Contributor - Lifetime
            • Jun 2009
            • 607

            Yep, a decked out Camdex wont be cheap, over $20k.

            1050 with bulletfeeder, and ponsness auto-drive would be one other option. or maybe 650 with the same set-up.

            Market is the big problem. 90% of people i know who regularly shoot, reloads their own. One can start to reload with a decent press and all stuff needed under $1k.
            Caesar salad

            Comment

            • #7
              JON KARGATHALON
              Member
              • Mar 2012
              • 299

              Thanks for the honest replies guys, I know its definitely not a one man job to go completely commercial, and so i will ponder on this some more for a while.
              Last edited by JON KARGATHALON; 07-12-2012, 11:03 AM.
              I bit me a vampire once, Them there fellers..taste like corn..

              Comment

              • #8
                Quinc
                Veteran Member
                • Jan 2010
                • 3011

                Originally posted by JON KARGATHALON
                Thanks for the honest replies guys, I know its definitely not a one man job to go completely commercial, and so i will ponder on this some more for a while.
                Find the freakshow thread and read it. He gives ALOT of viable information.
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                sigpic
                www.appleseedinfo.org

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                • #9
                  JON KARGATHALON
                  Member
                  • Mar 2012
                  • 299

                  Originally posted by Quinc
                  Find the freakshow thread and read it. He gives ALOT of viable information.
                  Will do, Thanks for pointing me to him guys.
                  I bit me a vampire once, Them there fellers..taste like corn..

                  Comment

                  • #10
                    M27
                    Senior Member
                    • Apr 2011
                    • 871

                    Also because you are in sac county you will need to look into that ammo registry thing if you are going to sell.

                    If you do open and are looking for employes in the area please PM me, this would be my dream job.
                    I will share my opinion and my load data, BUT I am just a guy with too many cigars and too many guns. Whatever I say is probably wrong.

                    Comment

                    • #11
                      sargenv
                      Veteran Member
                      • Oct 2005
                      • 4620

                      Not to mention that State department levy/tax/fee of I believe $2500/yr.. then ATF wants 11% of your sales for exise taxes... and income taxes.. and and and..

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                      • #12
                        JNunez23
                        Veteran Member
                        • Jan 2012
                        • 2755

                        I seriously don't even get how "bullet man 911" makes any profit. Insurance and fees are a monster, they kill any profit that might be left IMO..
                        sigpic"Be more concerned with your character than your reputation, because your character is what you really are, while your reputation is merely what others think you are."
                        John Wooden

                        Need a holster?, please email us at StrappedKydex@gmail.com for any holsters, mag carriers, and more. Custom jobs welcomed!

                        Comment

                        • #13
                          DaveInOroValley
                          CGN/CGSSA Contributor
                          CGN Contributor
                          • Jan 2010
                          • 8967

                          If you decide to do it I would be interested in working there. i'm young but retired and would love that job.
                          NRA Life Member

                          Vet since 1978

                          "Don't bother me with facts, Son. I've already made up my mind." -Foghorn Leghorn

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                          • #14
                            Norcalkid
                            Senior Member
                            • Nov 2008
                            • 1971

                            Originally posted by Quinc
                            Find the freakshow thread and read it. He gives ALOT of viable information.
                            Do you have a link to it? I did a search but couldn't find it.

                            Comment

                            • #15
                              blockfort
                              Senior Member
                              • Oct 2011
                              • 1183

                              I can't imagine why you would want to get in to a business where you can only make money by undercutting your competitors, making small profits on (hopefully) huge volumes.

                              LAX gets free brass, you'd probably have to own a range to get your prices or profit close to theirs, and you'd have to undersell them since no one knows who you are.

                              Maybe as a hobby, but it may only get you to cover your own ammo costs, probably not something to make a living on.

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