business question

[landscaper]

Good day folks, my significant other and I are considering investing in a company that makes wedding invitations/stationary, birth announcments, business stationary. Basically paper personalized paper goods , the system is no minimum order and next day delivery.

Anybody have any thoughts about wether you would be able to use products on these terms, the pricing points are very good considerable discounts on specialty printers etc.

Looking for some other viewpoints on this one, any thoughts would be appreciated.

 

[peeler_feeler]

Is it an existing business or a franchise?

If existing why is it being sold? If franchise do they have a proven track record.

Personally, i think with the ease of printing your own announcements, invitations etc, i'm not sure what type of market would exist for this service.

 

[landscaper]

the system is basically the equipment to do the work and support. The system has some higher end stuff like, foil embossing, die cutting etc, considerably more than you could easily do with your home computer and printer.

 

[JohnLarue]

Clarification
Are you investing as
1. a passive investor (success is dependent on others driving the business)
2. an active principal (you drive the business)

It sounds like as an active principal
If so then the questions you need answered are
1. Can you drive enough sales to make this a viable enterprise
2. Will you find it personally rewarding
3. Do you need the system or can you make this happen for a lot less
4. Most importantly, how are you going to market / sell the product

As far as demand for the products goes
This sounds like it may be useful, however it also sounds like the wedding invitations, birthday greetings etc are quite "chick centric" , not something most guys spend a great deal of time thinking about (until the last minute)
How do intend to sell to the ladies? (ie through wedding planners etc

Business Stationary is a very competitive business
Go spend some time in Business Depot & Grand & Toy to determine if you can compete price wise.

I hope this helps & good luck

 

[Nickelodeon]

Interesting that I should read this thread after seeing in the Globe this morning a story about cutbacks in weddings during tough times.

Expensive stationary is the first expense to be cut. So be careful.

 

[Doctor Zoidburg]

I will try to be as helpful as possible, here are some things to consider.

- Chistmas card use is at an all time low

- Check to see what the competition is like.

- Is the operation labour and time intensive? Time and labour is money.

- Is it a situation where you are a passive investor, and the other guy gets a salary before any investors are paid.

- Can you target your market? You can be the best at what you do, but you will not get the business if no one knows you exist.

 

[buckwheat1]

sounds like a good idea. Now depends if a store or from home based. Many people look for nice paper and stationary for things like resumes ect they only want to buy 1/2 dozen sheets or so. I'm from rural Ontario and many people generally into scrapbooking which uses all kinds of paper, get yourself into a scrapboking store and check the paper out. People always will need some special paer for something. To be honest paper is cheap it's the printing and layout where the cost is.

 

[landscaper]

Thanks folks,

we will be active participants,the system is actually an embossing machine that will emboss any number of things.

the marketing is a question one I am still thinking about , I have checked out staples and can compete pricewise, they require a minimum order even if it is just 50, the birthday invites and napkins etc to go with the party are another market.

The Globe quote was a good one I can still remember the cost of the stationary for my wedding all those years ago its one of those wake up shuddering things.

If anybody has any ideas on marketing or other target areas please either post them or if the mods are not thrilled with that please P.M. me.

Again my thanks

 

[Gyaos]

Is the business making money now, or is it making a fraction of profits on a higher debt load creation vs high competition?

Gyaos Baltar.

 

[skypilot]

Can't see many repeat customers. Not a business I'd invest in.

 

[iprint]

I'm in the printing business and some areas have been taking a beating and other are very profitable. Niche markets like high end stationery are areas where you can make good money because large place can't do it profitably, take just as much time to do a small intricate job as a simple one, don't just look at wedding invites but what other main stream stationery you can do.

marketing - wedding shows- booths are about $1200.00 buck but I wouldn't get one. Go to the show and find the wedding coordinators and try to get connections, next go to every wedding gown, gift store you can and try to set up cross references, hit the halls, offer to do free b/c for the halls if they will help advertise.

 

[emerging44]

Before anyone gets involved in any kind of entrepenurial business, make sure to read one of the E-Myth books. They offer a very practical methodology of making a small business survive and even succeed.

As always, the big challenge is not going to be the product but sales and revenue. How do you get people to buy your stuff? How do potential customers even know you exist?

 

[tboy]

The only advice I can give is this: why would someone go to you and not the other 7,000 other printers out there?

If you have a way of getting that point across and have a clear goal on how to get them to think of you instead of the others, then starting up a new company is a great idea as opposed to "working for the man". But you have to be able to answer the above question clearly and succinctly before even thinking about putting any money down.

As Iprint says: it's all about promotion and getting your name at the top of people's lists......

 

[Damondean]

http://www.theglobeandmail.com/servlet/story/RTGAM.20090112.wbrides12/BNStory/National/


In downturn, brides-to-be embrace their inner paper-bag princess


TENILLE BONOGUORE

From Monday's Globe and Mail

January 12, 2009
The invitations are homemade, the bouquets small and seasonal, and the guest list has been trimmed to the nearest and dearest.

As thousands of Toronto couples plan their weddings during uneasy times, many are finding ways to make sure the vows they take aren't ones of poverty. But, according to vendors at two of the year's biggest wedding shows, held this weekend at the Metro Convention Centre and the Carlu, there is a hierarchy to what is being sacrificed.

"To be honest, the first thing they cut back on their weddings is the stationery," said Christine Flynn from Love the Card. "If they find it too expensive, they'll do it themselves."

Where brides used to order everything from invitations to seating charts, many are getting the bare minimum. "It's definitely been more budget-concerned than last year," Ms. Flynn said.

 

[tboy]

http://www.theglobeandmail.com/servlet/story/RTGAM.20090112.wbrides12/BNStory/National/


In downturn, brides-to-be embrace their inner paper-bag princess


TENILLE BONOGUORE

From Monday's Globe and Mail

January 12, 2009
The invitations are homemade, the bouquets small and seasonal, and the guest list has been trimmed to the nearest and dearest.

As thousands of Toronto couples plan their weddings during uneasy times, many are finding ways to make sure the vows they take aren't ones of poverty. But, according to vendors at two of the year's biggest wedding shows, held this weekend at the Metro Convention Centre and the Carlu, there is a hierarchy to what is being sacrificed.

"To be honest, the first thing they cut back on their weddings is the stationery," said Christine Flynn from Love the Card. "If they find it too expensive, they'll do it themselves."

Where brides used to order everything from invitations to seating charts, many are getting the bare minimum. "It's definitely been more budget-concerned than last year," Ms. Flynn said.

In other words they are not losing their fricken minds like they used to.....lol

Some of the SHIT that I have heard about at weddings....

 

[hwic]

Been in the small press/digital printing business very successfully for many years, this is something that I would advise you to forget. Some of the negatives have been touched upon here. If this is something that you want to do in your garage or basement at night/on weekends while you keep your salaried day job, go ahead and fill your boots. DO NOT do this if it's going to be your prime/sole source of income.