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 high speed cruise |
Starting an ammunition company? |
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Posts: 2949 (04/27/09 09:36 AM) Veteran member |
Hi,
Sometimes a recession can be the time to start a new business. What steps would be needed to start up an ammunition company? Could it be done (and in the current ammo buying spree) with just components, at least initially? hsc |
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JTB1967 |
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Posts: 704 (04/27/09 10:18 AM) Veteran member |
Check with your local Small Business Development Center. There's one in Beckley. They can help you with all the regulatory requirements. They should
also be able to help with research in the ammunition industry. Liability insurance will probably be a major expense. If it's something you'll need to
borrow money to do, be aware there's no such thing as 100% financing. A bank is going to want to see a good business plan including financial projections.
You'll need cash of your own and hopefully you have a home with equity to use as collateral for any loans you'll need.
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wyowillys46 |
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Posts: 433 (04/27/09 11:48 AM) Veteran member |
How would you do it with components when no one else can get them? I don't think you can.
To solve that problem you would need to manufacture primers, brass, and bullets "in house", which would require large amounts of start-up capital investment (millions probably). Brass drawing equipment isn't exactly commonly available equipment either. Not to mention the licensing, safety equipment, insurance, zoning, etc. required to handle bulk priming compound. How would you get powder when no one else can? Even if you miraculously had millions to do it, I doubt you'd be able to get production rolling in time to take advantage of the current boom. |
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ThePitbullofLove |
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Posts: 6537 (04/27/09 04:07 PM) Forum Site Moderator |
wyowillys46 wrote:This. Life is the crummiest book I ever read, there isn't a hook; Just a lot of cheap shots, pictures to shock, and characters an amateur would never dream up... |
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FLAPJACKHAPPY |
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Posts: 183 (04/27/09 07:32 PM) |
There is local manufacturer by my place and he runs 60,000-90,000 .223 a month. he is lucky to get enough brass and components to do a third normal production
on all calibers . and is limiting purchases to 250 rnds maximum so more people get a chance to buy.
I was talking to Deanna at century arms and she was saying they cant get anything and no idea when they will get it either . They had 1 guy send a $125,000 cheque 3days in a row for ammo. and sold it out in 5 days. Primers here are $80 per/1000 if you can find them |
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wworker |
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Posts: 3755 (04/27/09 08:43 PM) |
I haven't seen primers for sale anywhere in over a month except for shotshell and percussian caps.
.380 acp and .38 special are almost non existent. A lack of ammo is the purest form of control. HSC, if you could find components and start, you would have lots of buyers here.  |
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JTB1967 |
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Posts: 706 (04/27/09 10:32 PM) Veteran member |
FLAPJACKHAPPY wrote: I just sold 18,000, but evidently I sold them too cheap! 
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Palimino Stripe |
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Posts: 530 (04/28/09 11:40 AM) Veteran member |
I've often daydream about such an endeavour... My company would make cheap affordable ammo too. Not this whole $19 for 20 rounds (Pre-Obama) stuff. And we
would make ammo quite frankly everybody wants but can't find (i.e. 8X56R, 8mm, .303, etc..) along with all the others (7.62X54R, .223, etc..)
I usually come to when I logistically think about what it would take to actually start such a company ($millions$) and how I'd keep costs down... Oh well. -Palimino |
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m1 talker |
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Posts: 6698 (04/28/09 11:46 AM) Veteran member |
It would be a good thougtht, but I just don't see it being too practical, especially at this time. With the parts shortages even the big ammo manufacturers
are presently seeing, I really doubt that a new competitor coming on the scene would be available to find the parts needed to load ammo. With all the liability
risks involved, the insurance you would have to carry would cost more than you would ever make for several years. And what would happen if Washington, D.C. got
their way with the ammo manufacturers? You would be out of business with several millions of dollars invested in your undertaking.
Yeah, it is a good idea, but it simply is not practical. Curt |
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FLAPJACKHAPPY |
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Posts: 184 (04/28/09 04:19 PM) |
I would picture it to going to look at a gun for sale and some wise old man shows you his dormant ammo factory in his barn kinda a kin to finding the muscle
car of your dreams mothballed in a barn for 40 years. And......... then I wake up
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BALLSANDBULLETS |
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Posts: 110 (04/28/09 04:33 PM) active member |
A friend of a friend here runs a small facility here where he produces mostly for law enforcement and competition shooters. Apparently a decent sized operation
using powder in drums etc. He uses CCI primers for his production and when he called to order more recently he was told that all of their current primer
production was going into loaded ammo. No bulk sales. When the commercial customers can't get supplies, it doesn't bode well for the rest of us. Unless
you could be totally self sufficient, this would be a tough time to start up.
Montani Semper Liberi
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