# Hobby/Business Sawmilling Plan



## Ack (Mar 13, 2009)

Ok...So the title might be a bit of a mouth full but I am hoping a few people can shed some light and knowledge on a dream I have.

I would like to purchase a sawmill within the next 5 years or so (thinking maybe a LT15 or T.A. Schmid), learn to use it and possibly mill lumber for people and create different pieces of furniture for them from the tree that I milled for them. I can't think of anything much more satisfying. 

Now I'm thinking/dreaming very small time business. Like only a handful of jobs (4-6) per year. I still want it to be considered a hobby. But of course I want to be good at what I do. So I'm trying to find all the missing pieces that I'm not thinking of that involves milling and this whole process.

So if anyone has any idea's or dreams of their own feel free to share them. I would love to hear anything from anyone. Any tips and words of wisdom! I'm trying to leave this open ended for everyone to share something. Thanks.


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## smithingman (Jan 8, 2010)

I am a self employed craftsman and figured I would throw in my 2 cents. I am a prime example of learning the hard way. Before you start any kind of a business up-WRITE A BUSINES PLAN. What is your market, who are you going to sell to, what are your expenses,liabilities,insurance(a biggie) etc. I am not by any means saying don't follow your dreams. What I am saying is basically, failing to plan is planning to fail. If you want to build custom furniture, you also want to build a body of work so your clients can see what you have to offer. Hopefully you have a very supportive spouse/partner. Making money part time to start is difficult (been there), and it will take a lot of time away from family and such. Be careful with the money stuff-to build anything takes $$ in equipment,supplies time etc. Mess with the family bucks makes trouble. My spouse did not do well witht the life of a craftsman (feast/famine etc) and is no longer my spouse-BIG loss. That being said, I wouldn't give up what I do for anything. If I give up what I love-everything else will suffer anyway. Well, on with the struggle today.
Mark Emig


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## Daren (Oct 14, 2006)

Ack said:


> So I'm trying to find all the missing pieces that I'm not thinking of that involves milling and this whole process.
> 
> I'm trying to leave this open ended for everyone to share something.


Yea, plenty open ended.

I think you are looking at it right (maybe) when you say start as a hobby/part time. Too many jump in with both feet, realize they are over their heads, then go out of business just as fast as they get into it. A little background on me, since I do run a sawmill and sorta do what you are vaguely talking about. I was already self employed (ran a plumbing/heating/home improvement business) I was building a house in the country and bought a mill to process some trees that had to be removed from the site. I was going to use the mill for a year, save a ton of money on lumber/use the trees instead of waste them, then sell the little manual mill (figured to lose maybe $1000 on the mill, but get 10X that in lumber with my labor/logs from my building site)...Then everything went off track.

How they went off track: I was running the plumbing shop (hypothetical here, but pretty close to the real deal) and would get a call to change a water heater and the same day get a call to saw a log for someone...I would chose that log for 2X the labor and 1/2 the money every time...I ran myself out of the plumbing business with my "part time" sawmill side gig. Money wasn't the object, no kids-wife with a good job (like Mark's, mine's now the ex ) I loved sawmilling, damn hard work, but honest work. And the learning curve was a challenge that pushed me. I get bored easy, change a million water heaters--well you made some money, but one water heater is just like the last...It's hard to say that about logs, there are so many different types and so many ways to mill.

While on the subject of logs. That would be the first thing I would look at if you are thinking about this. A sawmill is nothing without logs, where are you going to get them ? Remember the more $ you have in logs the lower the margins once you have done all the steps to make them lumber.

And logs are HEAVY. I went out and bought an inexpensive sawmill (T.A. Schmid) and thought "Hey look at me, I'm gonna sawmill !" Then the logs started piling up and a realized I was going to break my back without help...so I had to go out and spend 2X what I paid for the mill for a skidsteer to move them. 

If you have a tractor and a woodlot those last 2 paragraghs don't pertain to you.

You asked ''missing pieces'', luckily you have a few years (from your post) to fill in those blanks. Get to know your trees #1, get to know what they can/are used for. Well, before I go into all that here is a similar question asked. http://www.woodworkingtalk.com/f26/milling-book-23511/ Mark mentioned know your market for the finished product (be that lumber or furniture) good advice...It is so much better to have a product/_any_ product that people are waiting for/a hole in the supply vs demand chain, than to make a product (that maybe everyone else is) and have to find people to buy it (and you have to compete for customers).

The missing pieces of your question could literally fill a book, heck a couple books, which I am not typing out in this one post. I just thought I would chime in and would like to see what others have to say as well.


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## jeffreythree (Jan 9, 2008)

So much could be said on this topic, but I will list a few things I found important so far.

1. Have a business plan and try to stick to it.
2. Don't make a product then try to find a market.
3. Learn to cut your own wood before cutting a someone elses

I have similar aspirations as you, start small and build up. I feel I now know my mill and how to cut well enough to not waste a customers money. Now I need somewhere local(property is 2 hours away) to store it if I want to cut for customers. I think a better time line may be to pick up a mill sooner and learn it with plans to start cutting other peoples' wood in 5 years or less. It takes a lot of projects to use up your own wood, and even more time if you have to find some logs to mill and dry. I use a Logrite Junior arch and the mill has a log loading winch and ramps; so you don't need need expensive equipment in the beginning if you understand what size logs you can handle.


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## jim douglas (Feb 8, 2010)

ACK,
You are thinking about doing something I started several years ago. First be warned, as Daren eludes to above, sawing is addictive. I will list some of the things I have that help me take a log & process it.
1. I have an LT40 HD woodmizer sawmill & kubota tractor for milling. 
2. You have to dry the lumber now. I use a Sauno 800 BF kiln. Daren has plans for a solar kiln.
3. I also have a 900 sq. ft. shop with lots of toys to build the finished product.

I have been a carpenter for over 30 years & collected many tools. I have no overhead, everything is paid for. If you are on a 5 year plan I would start collecting tools for the shop & work your way toward aquiring other tools from profits. 
A Business Plan will help determine priorities. I have been writing mine & editing it for 4 years. I am do to retire soon & this will be my retirement carreer.
Good Luck,
Jim


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## Daren (Oct 14, 2006)

My kiln is a dehumidification kiln.

Here are some free solar kiln plans http://www.builditsolar.com/Projects/WoodDrying/wood_kiln.htm



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## mrbentontoyou (Aug 3, 2010)

+3 on a solid business plan, which could take a long while to come together. for me, the business planning really stripped everything down into dollars and cents logic; methods and ideas that weren't going to work financially instantly became clear and solutions nearly so. i had no idea what a business plan actually involved so i took a class called "business plan workshop" at a local education center. it really helped me get realistic.


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## Ack (Mar 13, 2009)

Thank you guys for all the great replies. Definitely have some more food for thought. I'm definitely looking into a business plan. 

I hope that I can keep this part time/hobby... meaning I hope I can keep myself from wanting to do this full time and that I have enough business to do it full time.

I'm a full time science teacher right now and I'm on track to be in nursing school by next spring. This is why I'm looking so far down the road and why I NEED it to just be a hobby/part time. My fiance is definitely on board as far as a wood shop goes. Although she is not real familiar with a sawmill and all it involves.

One other question I would like to revisit here is what do you believe is the toughest small mill out there? Ive read the other threads but just curious to see if anything has changed.

Thanks again guys. Much appreciated 

Ack


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## Ack (Mar 13, 2009)

Can anyone tell me the amount of gas you use milling? Was really looking for the amount of bd. ft per gallon? I'm sure there is a number of variables but a rough estimate would be great. Thank you. 

Ack


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## woodnthings (Jan 24, 2009)

*That cost shouldn't matter*

In my opinion, it won't make or break the operation and if it does your margin is too thin. I am considering an electric powered mill from www.hud-son.com the Oscar 328E it's a 5 HP. It won't work out in the woods however. But it would be more quiet for a hobby business in a residential location. :thumbsup: bill

BTW it's not on the web page, but in the catalog.
Found it here: http://www.davisforestry.ca/new-equipment/sawmills/hud-son-oscar-328e/


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## Ack (Mar 13, 2009)

Thanks woodnthings! 

Now that I think about it your right on. 

I take it that an electric powered mill will be stationary....will it also be cheaper to operate than gas? Just curious....


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## Daren (Oct 14, 2006)

*TOTAL ballpark, and more to think about...*



Ack said:


> Was really looking for the amount of bd. ft per gallon? I'm sure there is a number of variables but a rough estimate would be great.


A GREAT number of variables, too many to even list...size of engine--species of wood (hard wood just uses more gas) how efficient you are working, not just the mill--what size logs--how sharp is your blade (more on that in a minute)--how thick are you milling (thicker wood=less cuts=less fuel)... Just for a general idea I, tinkering around here, estimate it costs me less than a $1 worth of gas to mill 100 bft. As an overall/average/ballpark. Milling average logs/working smart/milling average thicknesses.

My little 13 HP Honda has a 1 1/2 gallon tank, on a good day with good logs 500-600 bft milled 4/4 is easy on a tank of gas...on a good day I can mill that on one blade also...My band wear/breakage cost more than fuel. I said I can mill 500-600 bft on one band on a good day...then there are days I ruin 5 bands ($100 to buy new @ $20 each) and only use $5 worth of gas. To have a band resharpened it cost me $8, I cannot burn $8 worth of fuel before a band goes dull naturally sawing hardwoods. If I hit something, which I do, some days I can't burn $0.50 worth of fuel before I am changing bands.(either broke it costing me $20, or just dulled it= $8)

A guy can buy his own setter/sharpener for bandsaw blades, but they are not cheap (for anything decent). And labor spent sharpening is labor not spent sawing (or other things to make money), that is why even though I run a sharpening shop I don't even do my own bands. With the numbers crunched I am $ ahead just to have them done by someone else.

Just one more thing to think about when it comes to operating costs on a mill.



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## Mizer (Mar 11, 2010)

Ack said:


> Thanks woodnthings!
> 
> Now that I think about it your right on.
> 
> I take it that an electric powered mill will be stationary....will it also be cheaper to operate than gas? Just curious....


Lots cheaper! Electric is virtually maintenance free compared to gas or diesel.:euro:


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## Hammered Toes (Mar 16, 2011)

I bought a Timberking 1220 mill several years ago and still enjoy my retirement years sawing beautiful lumber. I almost had to quit everything a short time before I retired because I took a nasty fall and broke three vertabrae in my back, my lefy arm, and my left foot. I still have trouble walking and have to be extra careful when falling a tree because I can't run worth a darn anymore. But I still manage to work a few hours each day, doing what I love to do.

The 1220 mill I bought is a hand-crank mill that, if one works extra hard, can turn out close to a thousand feet of lumber a day. It is really easy on gasoline consumption with the 15 H.P Kohler that came with it. 

I sawed the framing for a full house pattern for my son, plus numerous feet of lumber for my own use and a little to sell. I cannot really say anything bad about this little mill because, as I see it, it has paid for itself a few times already and will again see action this summer because I am patched up enough so that I can again saw those logs. Of course, I am still a relatively young man for this area, turning 71 last December.


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