I'm looking into buying a powder coating shop. Would like to learn about what specific pitfalls to be aware of in this business. Not looking for general business advice, I've run a successful retail & service business for many years, just your thoughts specific to going into a powder coating shop.
No personal experience but there may be some useful info here... http://www.paintandpowder.com/CDA CC
I ran my own sheetmetal manufacturing business ( made Mailboxes) for 23 years. Spent many many hours in the powder booth and gained quite a bit of knowledge. First and most importantly is make sure the oven is a quality unit that will keep a accurate and steady temperature for the proper curing of the powder. Your powder supplier rep should have the equipment to test the oven for temp fluctuations and 'hotspots'. The gloss on finished powdercoat is achieved by the release of waxes, but only when the temp is sufficient and steady. Badly cured powder is a nightmare to A: recure properly and B: remove to recoat. What pretreatment facilities does the business have? PM me with any further questions and I'll try to help. Ian
Go to Pete Eastwood's tool site. www.eastwood.com In the powder coating section he has a book: "Beginning Powder Coater's Handbook: An Introduction to Powder Coating", by Tracy Norris. I have this book and it is a good primer on powder coating, written especially for the amateur powder coater. It summerizes the basics of powder coating. Good read and worth the money.
Ah, location, compe***ion and customer base. Thomasnet.com shows 62 powder coaters in Northern Cal. I don't know if there are any in Santa Cruz or how close others would be to you, or if you are looking at an existing business or a new one. Your base has to be more than automotive, I would think, depending on the size of your city and compe***ion. Being close to race cars, circle track dudes would be a plus as they all have their stuff powder puffed. You can't rely on just hambers, most of um are to cheap to pay the price... Oh ****, did I say that... ...never mind...
In Santa Cruz county there are 2 other places that can powder coat. They both do mostly bicycle frames and don't seem to want more business. This is in a county of 600,000 plus people and wet, salty air. In Monterey/ San Benito counties there are a couple more places that powdercoat, but many more people/businesses. I think there is enough demand to support me if I market the business, but it sure would be nice if I could quantify that. Also I wonder is powder coating here to stay, or is it about to be eclipsed by some other technology?
Check this site. Lots of info. While your there sign up for their newsletter and/or mag. http://www.pcoating.com/ Where I'm at nobody has been able to make a go of this type business for very long.
4Woody, Look beyond automotive applications for business. Make sure you have as BIG a customer base as possible. In AZ, the guys who build swimming pool safety fences, get their fence sections and parts powder coated after they are fabricated. The steel corrodes slower and lasts longer with powder coat than with paint. Look for who in your area is a manufacturer of fabricated steel products. Maybe they need powder coating services. Look for patio furniture manufacturers, or other outdoor products. If its metal, powder coating will make it look pretty, longer. In the automotive line, look at the 4X4 off-road crowd. They beat the daylights out of their stuff and powder coating takes a beating better than paint. The import tuner crowd will like pretty parts for dressing up their engine compartments and also suspension parts. What about agricultural applications? Farm machinery takes a beating and powder coated parts will last better. Talk to the farm implement dealers, John Deere, New Holland, Ford, etc. to see if they need your services. Also talk to the local Catepiller dealer. His off-road and construction equipment needs protection also. And like was said in another post, you could take some business away from the guys who are coating bicycles. Talk to the maintenance departments of any sea-side resorts, hotels, etc. Powder coating would help them reduce the frequency of painting metal things at their facilities. I don't know where Santa Cruz is located, so I don't know how close to the ocean you are. If its only 75 or 100 miles, check it out. How about boat sales and service dealers? Talk to them. Trailer manufacturers? Does this give you enough ideas for possible customers?
I believe it is the future. People are doing some amazing things with powder these days, and compared to liquid paint, powder is very environmentally friendly, which is a big deal these days. The new hot thing in powder coating now is low temp U.V. curing, coating wood (MDF), and believe it or not, plastic. Also, you may want to look in to taking this 2-1/2 day cl*** through Powder-X, I think its $500 (http://metalcrafttools.com/upcoming.htm ).