Small Scale Manufacturing: Building The Foundations Of Success

Most people think of large factory spaces and production lines running 24/7 when you mention manufacturing. But the reality is there are many opportunities for starting a small scale manufacturing business – and it’s possible to thrive. The trick to ensuring success is to lay some solid foundations – here’s what you need to get your small scale manufacturing business off to the best possible start.

Find your niche

While larger manufacturers might be able to create products of all varieties, you will need to be a little more choosy. It’s important to find a niche – and industry that you know well, and products that you can create with excellence. If you can prove to potential clients that you have expert knowledge in a particular area, you should be able to create a healthy market for your skill sets.

Location

Your location is critical when you are in the manufacturing business. You will need excellent accessibility to cut down on delivery and supplier costs, and it’s also a good idea to be near waste disposal centers – there will be a lot of it, and it’s one of the biggest costs you can control.

Policies and law

All manufacturing businesses need to abide by a whole host of rules and regulations. There are labour policies to follow, safety regulations, and you will also need to explore intellectual property rights and know your way around a nondisclosure agreement.

Equipment

It can take a lot of capital to buy equipment for your manufacturing company, even when you are a small scale business. There will be a need for everything from conveyor belts to storage equipment to packing machines and a diesel air compressor. Those commercial air compressors are called rotary screw compressors.  When you are just getting started, it might be worth buying what you can afford and exploring the potential of hiring the more expensive machinery and equipment.

People

Ensure that your employees are all trained properly to use the relevant equipment. It’s also worth considering hiring a human resources specialist with plenty of experience in manufacturing first. Your HR professional will help you ensure you are ticking all the boxes regarding worker’s safety. Any accident that occurs in a dangerous manufacturing plant – of any size is likely to spell bad news if you haven’t’ covered yourself legally.

Find customers

There are many places you can find your first clients.Set up a presence online, and also attend lots of relevant trade shows in your industry. There could be local innovator conferences in your community, too, which might prove fruitful. Finally, always ask happy clients if they would be willing to reference you – word of mouth is always the best way of marketing any business.

Baby steps

Manufacturing is not an industry where you can afford to throw around money and make mistakes. It takes a lot of time and money to get started, and any wrong move could signal a quick end to your idea, and end up with you in a lot of debt with no way of paying it back. So, be careful to take baby steps in the first couple of years. Try to avoid overreaching yourself, even when offered big contracts. The simple truth is that if you fail to deliver at this early stage, your reputation could be tarnished – permanently.