Industrial machines to reload ammo

well this thread is bring out the answrs and making a few more intrested in it, considering its hard to get ammo now, thank you mr presadent lol, but seriusly it is an idea worth looking into.
 
I've been done this path before.. Had 2 camdexs and couldn't get my building approved for production... (about 2 hours north of where you are).. Had spent a chunk of change in setup... I didn't have deep enough pockets to go any further... You need to be very well funded and expect to spend a minimum of a year in paperwork, approvals and setup.
 
IMHO the hard part would be the magazine requirements....and getting the necessary components.

But the real hard part is taking into account an honest economic evaluation of the situation.

Lemme see, at 1000 rounds per hour of .223, using 23 grains of power, that's 23,000 grains of powder per hour. That's over 3 pounds of powder per hour.

In a single, 8 hour day, you'll used 24 pounds of powder.

If you're producing for 5 days straight, you'll need 120 pounds of powder per week.

If you have a 250 pound magazine, you'll need to get a powder order in once every 2 weeks or you'll be out.

I'm not sure if the magazines are in 250 pound or 250 KG ratings....I don't recall.

But, if it's 250 pounds, and there's ANY break in your supply chain, you're HOOPED.

You get 2 weeks of production.

Now, that said, what would you be able to produce in that 2 weeks? 8 hours, times 1000 rounds times 10 days....that's 80,000 rounds. Ish.

At today's prices, that's about $40,000. ($500 per case)

Subtract the cost of the powder: $30 per pound (or more)
Primers: $35 per 1000
Brass: $.10 each sound fair in bulk?
Bullets: $100/1000 sound fair too for a bulk price?

Let's do the math on those.

Your costs:

Powder ($30x240 lbs) = $7200
Primers: ($35 x 80K) = $2800
Brass: (.10 x 80K) = $8000
Bullets: ($100 x 80K) = $8000

Total of $26,000 in expenses.

So, let's do the math up. From your $40000, you have remaining only $16,000

In other words, $8,000 per week of work.

And that doesn't include the other costs....the mortgage, licensing, building, equipment, repairs, etc.

I think the profit margin on this is smaller than you'd think.

NS
 
Your costs:

Powder ($30x240 lbs) = $7200
Primers: ($35 x 80K) = $2800
Brass: (.10 x 80K) = $8000
Bullets: ($100 x 80K) = $8000

Total of $26,000 in expenses.

So, let's do the math up. From your $40000, you have remaining only $16,000

In other words, $8,000 per week of work.
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So you say we are left with $8,000 per week, and if this is steady for the year, and we multiply it by 52 weeks, one could potentially get $416,000 for the year....

that is a lot more than I make in a year, for sure, and I am sure all the other costs would not eat up all that money, ???
 
Ftaview said:
So you say we are left with $8,000 per week, and if this is steady for the year, and we multiply it by 52 weeks, one could potentially get $416,000 for the year....

that is a lot more than I make in a year, for sure, and I am sure all the other costs would not eat up all that money, ???
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subtract from the 400K the capital amortization of about 200K
(Magazine will cost 40-50K)
the interest/carrying costs
Testing is a nothing biggy
the annual costs of licensing, banking, insurance (if you can get it), advertising etc etc...

As I said you need to well funded to consider it..

And all of this only works if you can sell what you make...
The faster the machines go the less consistent they are.. I'm not talking really out to lunch .1-.2 grains and some sizing issues...

You can't run the machines full out all day... You need to clean up every so often readjust lube etc....
and when something does go wrong.. it goes wrong big time... at best is screws up a couple cases and you need to breakdown a small lot.. at worst a broken machine or a screwed up setup....


I've love to find a fairly silent partner who has a half million to invest in a venture like this... But they don't exist...
 
A very good analysis NS. The only change I would make is a production rate of 4000 rds per hour on a camdex machine, or running 4 1050 (either automatic or $10 workers) and run the numbers from that. 6000 is about the max for most small ops, unless you run several camdex machines.
 
CanAm said:
you's still need approval and permits, etc because you are selling.
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What about if you sold "memberships" and depending on the membership purchased it would include an allotment of ammo? Technically you would not be "selling" ammo you would be selling "memberships" that come with certain priviledges...

It gets around the liquor laws when having private functions so it may just work with ammo too?

Any thoughts on this scenario?

Cheers, Bob
 
BimmerBob said:
What about if you sold "memberships" and depending on the membership purchased it would include an allotment of ammo? Technically you would not be "selling" ammo you would be selling "memberships" that come with certain priviledges...

It gets around the liquor laws when having private functions so it may just work with ammo too?

Any thoughts on this scenario?

Cheers, Bob
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would there be a limit on how many "memberships" on could buy :p
 
BimmerBob said:
What about if you sold "memberships" and depending on the membership purchased it would include an allotment of ammo? Technically you would not be "selling" ammo you would be selling "memberships" that come with certain priviledges...

It gets around the liquor laws when having private functions so it may just work with ammo too?

Any thoughts on this scenario?

Cheers, Bob
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NRCAN won't go for that one.
 
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