Injection Molding Service Business Plan, Marketing Plan, How To Guide, and Funding Directory
The Injection Molding Service Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start an Injection Molding Service business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.
Your Business Planning Package will be immediately emailed to you after you make your purchase.
Product Specifications (please see images below):
- Bank/Investor Ready
- Complete Industry Research for the Industry
- 3 Year Excel Financial Model
- Business Plan (26 to 30 pages)
- Marketing Plan (24 to 28 pages)
- 425+ Page Funding Directory
- PowerPoint Presentation
- Loan Amortization and ROI Tools
- Three SWOT Analysis Templates
- How to Start a Business Guide
- Easy to Use Instructions
- All Documents Delivered in Word, Excel, and PowerPoint Format
- Meets SBA Requirements
Injection molding service businesses are highly lucrative companies once they get off the ground. The startup costs associated with this type of business is extremely high given the high expense of the equipment necessary to do plastic mold injections. Typically, the startup costs associated with these types of companies ranges anywhere from $500,000 to $2 million depending on the type of equipment that is going to be purchased. One of the nice things about these businesses is that once they get established, the streams of revenue generated from services is highly predictable. These firms often develop ongoing relationships with specialized manufacturing companies that use injected molded plastic parts as part of their overall operations. As such, once relationships are developed these businesses are able to have highly predictable streams of revenue on a month-to-month basis. One of the drawbacks to these businesses is that they do have very high operating costs. A large-scale industrial facility is usually needed in order to house the injection molding equipment. Additionally, as this is a manufacturing process – the underlying expenses regarding energy cost is also extremely high. However, during times of economic recession or a pullback in the manufacturing industry – injection molding services are able to scale down their costs as it relates to both employment and energy expenses. The gross margins generated from revenues usually ranges from 65% to 85% depending on the molding process.
Given the very large amount of tangible assets needed to develop this type of company, most financial institutions are willing to put up 80% to 90% of the capital needed in order to launch a new injection molding service. Of course, an injection molding service business plan is going to be required. This document should include a three-year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page that focuses on the manufacturing sector and its standard common size income statement. One of the things he needs to be addressed immediately within the business plan is how the company will develop ongoing relationships with third-party manufacturing firms both domestically and internationally. Foremost, many people that enter this field already have extensive relationships within the manufacturing industry and there able to call upon third-party manufacturers that have plastic component needs. As such, by developing and maintaining these relationships – an injection molding service can aggressively commence revenue-generating operations with a flood of purchase orders once the equipment is delivered and installed. Additionally, with the advent of the Internet – a number of injection molding service companies have developed online platforms that allow users to submit STL files for production of limited numbers of injection molded parts. This is a trend that is become common within the manufacturing industry and any company that provides the service to the general public should be able to render a smaller number of services to smaller companies.
Beyond the business plan, an injection molding service marketing plan should be developed as well. This document needs to focus again on the number of relationship that will need to be developed among both domestic and international manufacturers of plastic components as well as larger products that use plastic components as part of the overall line. Two, a moderate scale proprietary website should be developed. This website should feature images of the injection molding equipment, preliminary pricing information, contact information, and other relevant information relevant to how long it takes to process any given order. This website should be listed among all major search engines so that when an individual does a search for injection molding services the website appears frequently in search results. As it relates to social media marketing, this can be done somewhat on a limited basis and less the company is going to be providing a number of services to hobbyists. As home hobbies regarding DIY projects has increased – the demand for specialized products has increased as well. As such, a moderate sized social media-based marketing campaign can boost the visibility of the business and may have a slight effect on boosting overall revenues. An owner-operator of an injection molding service should also take out advertisements in regional and national trade journals that focus specifically on the manufacturing industry. An advertising firm or marketing firm can be hired to determine which periodicals are most appropriate for these types of advertisements.
An injection molding service SWOT analysis should be produced as well. As it relates to strengths, an injection molding service is able to generate moderately high gross margins from these manufacturing services while also enjoying very high barriers to entry. For weaknesses, this is a commoditized market and if a company is consistently good with how they provide their products and there is very little differentiation among different service providers. As such, it is important for the injection molding service to develop a strong brand name for itself from the onset of operations in order to ensure a predictable stream of revenue. For opportunities, one of the things that many of these firms do was to continually update in upgrade their existing equipment in order to handle more complex and larger orders. The ongoing acquisition of additional equipment also allows for more frequent and larger orders to process on an ongoing basis. For threats, technology is always changing in the field of manufacturing and any owner operator of an injection molding service is going to need to keep a close watch on the type of technology that is used in conjunction with plastics manufacturing. However, these businesses have been a mainstay of the overall manufacturing industry for the past 40 years. As such, technological advances are well known and can be adapted to pretty quickly.
In closing, and injection molding service can be a highly lucrative business that has a strong degree of economic stability. As long as the owner-operator maintains a close watch on new technologies to integrate concurrently ensuring a positive cash flow and these can be very successful companies that can be operated for decades to come.