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Sawmill Business Plan [Sample Template]

By: Author Solomon O'Chucks

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Sawmill Business

A sawmill business is an enterprise that is involved in the cutting, processing, and distribution of timber or lumber. The primary function of a sawmill is to convert logs into various wood products, such as boards, planks, beams, and other dimensional lumber used in construction, furniture manufacturing, and other applications.

Sawmill businesses can vary in scale and sophistication, ranging from small family-owned operations to large industrial facilities with advanced machinery and automated processes. The profitability of a sawmill business depends on factors such as the availability and cost of raw materials, operational efficiency, market demand for wood products, and overall management effectiveness.

Steps on How to Write a Sawmill Business Plan

Executive summary.

Seth Micah® Sawmill, Inc. is a leading sawmill business based in Fargo, North Dakota. We specialize in the cutting, processing, and distribution of high-quality lumber and timber products. With our state-of-the-art facilities and commitment to sustainable practices, we aim to meet the growing demand for wood products in the construction and furniture manufacturing industries.

Seth Micah® Sawmill, Inc. was founded in 2023 by Seth Micah, a visionary entrepreneur with deep expertise in the timber industry. Over the years, we have built a strong reputation for delivering superior wood products and excellent customer service.

Our sawmill facility is strategically located in Fargo, providing us with easy access to abundant timber resources and a well-connected transportation network.

Seth Micah® Sawmill, Inc. is poised for continued success as a leading sawmill business in Fargo, North Dakota. With our focus on quality, sustainability, and customer satisfaction, we are well-positioned to capitalize on the growing demand for wood products. Seth Micah is the founder and CEO of Seth Micah® Sawmill, Inc.

Company Profile

A. our products and services.

At Seth Micah® Sawmill, Inc., we offer a wide range of wood products to meet diverse customer needs. Our product portfolio includes boards, planks, beams, and dimensional lumber, all produced with precision and strict adherence to quality standards.

We leverage advanced sawing technology and modern processing techniques to ensure consistent product quality and minimize waste.

In addition to our core product offerings, we provide value-added services such as wood drying, planning, and grading. These services enhance the quality and usability of our lumber, enabling us to cater to the specific requirements of our customers. We take pride in our ability to offer customized solutions and meet project deadlines efficiently.

b. Nature of the Business

Our sawmill business will operate both the business-to-consumer business model and the business-to-business business model.

c. The Industry

Seth Micah® Sawmill, Inc. will operate in the forestry or timber industry.

d. Mission Statement

At Seth Micah® Sawmill, Inc., our mission is to be a trusted leader in the sawmill industry by providing superior-quality wood products and exceptional customer service. We are committed to sustainable practices, responsible sourcing of timber, and continuous innovation in order to meet the evolving needs of our customers and contribute to the growth and development of the communities we serve.

e. Vision Statement

Our vision at Seth Micah® Sawmill, Inc. is to be the preferred choice for customers seeking high-quality lumber and timber products. We strive to set industry benchmarks by leveraging advanced technology, optimizing operational efficiency, and fostering a culture of excellence.

f. Our Tagline (Slogan)

Seth Micah® Sawmill, Inc. – “Crafting Nature’s Finest Timber!”

g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)

Seth Micah® Sawmill, Inc. will be formed as a Limited Liability Company (LLC).

h. Our Organizational Structure

  • Chief Executive Officer (Owner)
  • Production (Sawmill) Manager
  • Accountant (Cashier)
  • Delivery Truck Drivers

i. Ownership/Shareholder Structure and Board Members

  • Seth Micah (Owner and Chairman/Chief Executive Officer) 52 Percent Shares
  • Bob Chicago (Board Member) 18 Percent Shares
  • Rowland Miller (Board Member) 10 Percent Shares
  • Juston Czar (Board Member) 10 Percent Shares
  • Martha Linus (Board Member and Sectary) 10 Percent Shares.

SWOT Analysis

A. strength.

  • Seth Micah® Sawmill, Inc. prides itself on producing high-quality lumber and timber products, meeting industry standards and customer expectations.
  • The sawmill operates with state-of-the-art machinery and technology, enabling efficient production processes and maintaining consistent product quality.
  • The company is committed to sustainable sourcing of timber, aligning with the growing demand for eco-friendly and responsible products.
  • Seth Micah® Sawmill, Inc. has built a strong reputation for exceptional customer service, timely deliveries, and tailored solutions that meet the unique requirements of its customers.
  • The sawmill’s location in Fargo, North Dakota provides easy access to abundant timber resources and a well-connected transportation network.

b. Weakness

  • The sawmill’s success is tied to the construction and furniture manufacturing industries, which can be subject to economic fluctuations and market demand volatility.
  • Expanding market presence beyond Fargo and neighboring regions may require additional resources and strategic efforts.
  • The availability and cost of raw materials, such as timber logs, can impact the company’s operations and profitability.

c. Opportunities

  • Identifying and entering new markets beyond the current geographical area can drive revenue growth and increase market share.
  • Introducing new wood products or value-added services can cater to emerging customer needs and tap into niche markets.
  • The growing demand for sustainable and eco-friendly products presents an opportunity to further differentiate Seth Micah® Sawmill, Inc. in the market.

i. How Big is the Industry?

The forestry or timber industry is a significant sector globally, contributing to various sectors of the economy, including construction, furniture manufacturing, paper production, and renewable energy. The timber industry generates significant economic value.

In 2020, the global trade value of forest products, including wood, pulp, and paper, reached around US$259 billion. According to the Food and Agriculture Organization (FAO), approximately 13.2 million people were employed in forestry and logging activities globally in 2020.

ii. Is the Industry Growing or Declining?

The sawmill industry has experienced growth in recent years due to increased demand for wood products in sectors such as construction and furniture manufacturing. Growing populations, urbanization, and infrastructure development have contributed to this demand.

The performance of the housing market often influences the sawmill industry. During periods of robust construction activity and a strong housing market, there is typically higher demand for lumber and wood products, leading to growth in the industry.

Conversely, economic downturns or fluctuations in the housing market can impact demand and potentially lead to a decline.

iii. What are the Future Trends in the Industry?

The demand for sustainable and responsibly sourced wood products is expected to continue growing. Sawmills that adopt environmentally friendly practices, such as certified sustainable forestry, efficient use of resources, and carbon footprint reduction, are likely to be favored by environmentally conscious consumers and businesses.

The sawmill industry is poised to benefit from continued advancements in technology. Automation, robotics, and digital solutions are likely to play a greater role in enhancing efficiency, optimizing production processes, and improving product quality.

This may result in increased productivity, reduced waste, and improved safety measures. Sawmills can explore opportunities to expand their product offerings beyond traditional lumber.

Value-added products, such as engineered wood products (e.g., cross-laminated timber), wood composites, and specialty products, are expected to gain prominence. These products offer enhanced strength, durability, and design flexibility for various applications in construction and other industries.

Utilizing digital technologies, such as the Internet of Things (IoT), sensors, data analytics, and predictive maintenance, can enable sawmills to optimize operations, monitor equipment performance, and improve decision-making processes. Real-time data collection and analysis can lead to better resource management, cost efficiencies, and predictive maintenance, thereby enhancing overall operational effectiveness.

iv. Are There Existing Niches in the Industry?

No, there are no existing niches when it comes to the sawmill business because the sawmill business is a niche idea in the forestry or timber industry.

v. Can You Sell a Franchise of Your Business in the Future?

Seth Micah® Sawmill, Inc. has plans to sell franchises in the nearest future and we will target major cities with thriving construction, woodworking, or related industries market in the United States of America.

  • The sawmill industry is competitive, with other established players and potential new entrants vying for market share.
  • Fluctuations in the economy, including changes in construction activity or housing market trends, can impact the demand for wood products.
  • Changes in regulations related to timber harvesting, environmental practices, or trade policies can affect the company’s operations and profitability.

i. Who are the Major Competitors?

  • Weyerhaeuser Company
  • Georgia-Pacific
  • Interfor Corporation
  • West Fraser Timber Co. Ltd.
  • Sierra Pacific Industries
  • Resolute Forest Products
  • Canfor Corporation
  • Roseburg Forest Products
  • PotlatchDeltic Corporation
  • Hampton Lumber
  • Boise Cascade Company
  • Louisiana-Pacific Corporation (LP)
  • Norbord Inc.
  • Tolko Industries Ltd.
  • Rayonier Advanced Materials
  • KapStone Paper and Packaging Corporation
  • Potlatch Corporation
  • Seneca Sawmill Company
  • Hampton Affiliates
  • Lone Star Northwest, Inc.

ii. Is There a Franchise for Sawmill Business?

Yes, there are franchise opportunities for a sawmill business, and here are some of them:

  • The Sawmill Exchange
  • Hardwood Creations
  • Rhino Shield
  • N-Hance Wood Refinishing
  • Rustic Cuff
  • WoodSpring Suites.

iii. Are There Policies, Regulations, or Zoning Laws Affecting Sawmill Business?

Sawmills are subject to various environmental regulations at the federal, state, and local levels. These regulations may cover aspects such as air and water quality, waste management, noise control, and protection of endangered species. Compliance with environmental permits, reporting requirements, and sustainable sourcing practices may be necessary.

Occupational Safety and Health Administration (OSHA) sets and enforces safety standards to protect workers in all industries, including sawmills. Regulations related to machine guarding, personal protective equipment, fire safety, and handling hazardous materials are important considerations for sawmill operations.

Regulations related to timber harvesting and logging practices can vary by state. They often cover aspects such as timber harvesting permits, sustainable forest management, reforestation requirements, and protection of sensitive areas like wetlands and riparian zones.

Local zoning laws dictate where certain types of businesses, including sawmills, can operate. Zoning ordinances may specify specific areas designated for industrial or commercial activities, taking into account factors such as noise, traffic, and environmental impacts.

If the sawmill involves the transportation and shipping of products, compliance with regulations governing the transportation of goods, such as the Department of Transportation (DOT) regulations, may be necessary. This can include requirements for vehicle safety, weight restrictions, and proper labeling of hazardous materials, if applicable.

Marketing Plan

A. who is your target audience.

i. Age Range

The primary target audience for a sawmill business may include individuals aged 25 and above. This age range typically represents individuals who are more likely to be involved in construction, woodworking, or related industries, where the use of lumber and wood products is common.

ii. Level of Education

The level of education varies, but the target audience may include individuals with a high school diploma or vocational training in fields such as carpentry, construction, or woodworking. They can also include professionals with higher education degrees who work in architectural, design, or engineering fields.

iii. Income Level

The income level of the target audience can vary depending on the products and services offered by us. It may include individuals with moderate to high-income levels who are involved in construction projects, home improvement, furniture manufacturing, or other industries that require wood products.

iv. Ethnicity

The target audience for a sawmill business is not limited to a specific ethnicity. It can cater to a diverse customer base representing different ethnicities and backgrounds, as the demand for wood products is widespread across various industries and consumer segments.

v. Language

While English will be the primary language of communication, the target audience can include individuals who speak different languages.

vi. Geographical Location

The geographical location of the target audience will depend on the reach and market focus of Seth Micah® Sawmill, Inc. It will include customers within a specific region or serve a broader national or international market.

vii. Lifestyle

The target audience’s lifestyle can vary, but it may include professionals and businesses involved in construction, woodworking, furniture manufacturing, and related industries.

b. Advertising and Promotion Strategies

  • Build Relationships with players in the forestry or timber industry.
  • Deliberately Brand All Our Vans and Delivery Bikes.
  • Develop Your Business Directory Profiles
  • Tap Into Text Marketing
  • Make Use of Bill Boards.
  • Share Your Events in Local Groups and Pages.
  • Turn Your Social Media Channels into a Resource

i. Traditional Marketing Strategies

  • Marketing through Direct Mail.
  • Print Media Marketing – Newspapers & Magazines.
  • Broadcast Marketing -Television & Radio Channels.
  • Out-of-Home” marketing (OOH marketing) – Public Transits like Buses and Trains, Billboards, Street shows, and Cabs.
  • Leverage direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.

ii. Digital Marketing Strategies

  • Social Media Marketing Platforms.
  • Influencer Marketing.
  • Email Marketing.
  • Content Marketing.
  • Search Engine Optimization (SEO) Marketing.
  • Affiliate Marketing
  • Mobile Marketing.

iii. Social Media Marketing Plan

  • Start using chatbots.
  • Create a personalized experience for our customers.
  • Create an efficient content marketing strategy.
  • Create a community for our target market and potential target market.
  • Gear up our profiles with a diverse content strategy.
  • Use brand advocates.
  • Create profiles on relevant social media channels.
  • Run cross-channel campaigns.

c. Pricing Strategy

When working out our pricing strategy, Seth Micah® Sawmill, Inc. will make sure it covers profits, insurance, premium, license, and economy or value and full package. In all our pricing strategy will reflect;

  • Penetration Pricing
  • Cost-Based Pricing
  • Value-Based Pricing
  • Competition-Based Pricing.

Sales and Distribution Plan

A. sales channels.

Our channel sales strategy will involve using partners and third parties—such as referral partners, affiliate partners, strategic alliances with players in the carpentry, construction, and woodworking industry, and freelancers to help refer customers to us.

Seth Micah® Sawmill, Inc. will also leverage the 4 Ps of marketing which is a place, price, product, and promotion. By carefully integrating all these marketing strategies into a marketing mix, we can have visible, in-demand products that are competitively priced and promoted to our customers.

b. Inventory Strategy

The inventory strategy for Seth Micah® Sawmill, Inc. will depend on various factors such as the scale of operations, market demand, production capacity, and the types of products offered. Seth Micah® Sawmill, Inc. will analyze historical sales data, market trends, and customer feedback to predict future demand. This will help determine the quantities and types of products to produce and stock.

Seth Micah® Sawmill, Inc. will make sure we work with “Just-in-time (JIT) inventory” – (JIT involves holding as little stock as possible, negating the costs and risks involved with keeping a large amount of stock on hand.)

c. Payment Options for Customers

Here are the payment options that Seth Micah® Sawmill, Inc. will make available to her clients;

  • Bank Transfers
  • Credit or Debit Card
  • Electronic Payment Systems such as PayPal or Venmo

d. Return Policy, Incentives, and Guarantees

Return Policy

Seth Micah® Sawmill, Inc. will establish a clear and customer-friendly return policy for its products. Our policy outlines the conditions under which returns are accepted, including any time limits, acceptable reasons for the return (such as product defects or damage during shipping), and the process for initiating a return.

We will strike a balance between accommodating customer needs and protecting the business from fraudulent returns or misuse of the policy.

To incentivize customers and promote loyalty, Seth Micah® Sawmill, Inc. will consider offering various incentives. These incentives may include discounts on future purchases, loyalty reward programs, referral programs, or special promotions for repeat customers.

To instill confidence in the quality of its products, Seth Micah® Sawmill, Inc. will offer guarantees or warranties. These guarantees can cover defects in materials or workmanship and provide assurance to customers that the company stands behind its products.

Clear terms and conditions of the guarantees will be communicated to customers, including any limitations or exclusions. The duration of the guarantees will vary depending on the product category and industry standards.

e. Customer Support Strategy

Seth Micah® Sawmill, Inc. will offer support through various channels to accommodate customer preferences. This will include phone support, email support, live chat on the company website, and social media engagement. Each channel should be staffed with knowledgeable and responsive customer support representatives.

Seth Micah® Sawmill, Inc. aims to provide prompt and timely responses to customer inquiries or issues. Quick response times demonstrate that the company values its customers and their concerns.

Seth Micah® Sawmill, Inc. will ensure that customer support representatives have a deep understanding of the products and services offered by the company. This knowledge allows them to address customer inquiries effectively and provide accurate information or troubleshooting guidance.

Operational Plan

Seth Micah® Sawmill, Inc. will engage in optimizing production schedules, minimizing setup times, and reducing waste to ensure a streamlined production process. This will help maintain a balanced inventory level while meeting customer demand.

a. What Happens During a Typical Day at a Sawmill Business?

  • The day typically starts with the arrival of logs from logging operations or suppliers. Logs are inspected for quality, species, and size, and necessary documentation is recorded.
  • Log processing
  • Once the lumber is ready, it is sorted, bundled, and packaged for shipment. Proper labeling and documentation are prepared, including invoices and shipping records.
  • Regular maintenance and repairs of equipment and machinery are essential to keep the sawmill operations running smoothly.
  • Administrative duties, such as record-keeping, inventory management, customer inquiries, order processing, and financial management, are typically handled throughout the day to ensure smooth business operations.

b. Production Process 

The process typically starts with the arrival of logs at the sawmill. These logs are then debarked, sorted, and cut into different sizes using large sawing machines, such as circular saws or band saws. The sawn timber is further processed and may undergo additional treatments, such as drying, planning, and grading, to enhance its quality and value.

Once the timber is processed, the sawmill may engage in various activities, including wholesale or retail distribution of lumber to construction companies, contractors, furniture manufacturers, or individuals. Some sawmills may specialize in specific wood products or cater to niche markets, while others may offer a wide range of timber-related services.

c. Service Procedure

Orders received from customers, distributors, or retailers are processed and prepared for shipment. The appropriate quantities of logs are packed, and shipping labels and documentation are prepared.

d. The Supply Chain

The supply chain for our sawmill business involves coordinating with suppliers of raw materials and distributors of sawmill products. Good communication and planning are critical to managing the supply chain and ensuring that the business can meet customer demand.

e. Sources of Income

Seth Micah® Sawmill, Inc. will make money from:

  • Sale of Lumber
  • Value-Added Products
  • By-Products and Residuals
  • Custom Milling and Cutting Services.

Financial Plan

A. amount needed to start your sawmill manufacturing company.

Seth Micah® Sawmill, Inc. would need an estimate of $185,000 successfully set up our sawmill business in the United States of America. Please note that this amount includes the salaries of all our staff for the first month of operation.

b. What are the Cost Involved?

  • Business Registration Fees – $750.
  • Legal expenses for obtaining licenses and permits – $1,300.
  • Marketing, Branding, and Promotions – $3,000.
  • Business Consultant Fee – $2,500.
  • Insurance – $2,400.
  • Rent/Lease – $45,000.
  • Operational Cost (salaries of employees, payments of bills et al) – $30,000
  • Start-up Inventory – $15,000
  • Truck, Equipment, and Tools – $75,000
  • Store Equipment (cash register, security, ventilation, signage) – $1,750
  • Website: $600
  • Opening party: $5,000
  • Miscellaneous: $5,000

c. Do You Need to Build a Facility? If YES, How Much will it cost?

Seth Micah® Sawmill, Inc. will not build a new facility for our sawmill; we intend to start with a long-term lease and after 8 years, we will start the process of acquiring our own.

d. What are the Ongoing Expenses for Running a Sawmill Business?

  • Raw Materials
  • Labor Costs
  • Equipment Maintenance and Repairs
  • Energy and Utilities
  • Transportation and Logistics
  • Administrative and Office Expenses
  • Regulatory Compliance and Permits
  • Marketing and Sales.

e. What is the Average Salary of your Staff?

  • Chief Executive Officer – $65,000 Per Year
  • Production (Sawmill) Manager – $47,000 Per Year
  • Accountant – $38,000 Per Year
  • Sawmillers – $33,000 Per Year
  • Delivery Truck Drivers -$30,000 Per Year.

f. How Do You Get Funding to Start a Sawmill Business?

  • Raising money from personal savings and sale of personal stocks and properties
  • Raising money from investors and business partners
  • Sell shares to interested investors
  • Applying for a loan from your bank/banks
  • Pitching your business idea and applying for business grants and seed funding from the government, donor organizations, and angel investors
  • Source for soft loans from your family members and friends.

Financial Projection

A. how much should you charge for your product/service.

The price of sawmill products in the United States can vary widely depending on several factors, including the type of lumber, grade, dimensions, quality, market demand, regional variations, and economic conditions. Additionally, prices can fluctuate over time due to factors such as changes in supply and demand, market competition, and the cost of raw materials.

b. Sales Forecast?

  • First Fiscal Year (FY1): $335,000
  • Second Fiscal Year (FY2): $375,000
  • Third Fiscal Year (FY3): $675,000

c. Estimated Profit You Will Make a Year?

  • First Fiscal Year (FY1) (Profit After Tax): 25%
  • Second Fiscal Year (FY2) (Profit After Tax): 30%
  • Third Fiscal Year (FY3) (Profit After Tax): 45%

d. Profit Margin of a Sawmill Manufacturing Company Product/Service

The ideal profit margin we hope to make at Seth Micah® Sawmill, Inc. will be between 25 and 45 percent depending on the packaging size.

Growth Plan

A. how do you intend to grow and expand by opening more retail outlets/offices or selling a franchise.

Seth Micah® Sawmill, Inc. will grow our sawmill business by first opening other sawmills in key cities in the United States of America within the first five years of establishing the business and then will start selling franchises from the sixth year.

b. Where do you intend to expand to and why?

Seth Micah® Sawmill, Inc. plans to expand to the following cities.

  • Federal Way, Washington
  • Atlanta, Georgia
  • Anderson, California
  • Springfield, Oregon
  • Boise, Idaho
  • Nashville, Tennessee
  • Jacksonville, Florida
  • Northbrook, Illinois
  • Spokane, Washington
  • Portland, Oregon
  • Eugene, Oregon.

We are expanding to these cities because these cities are known for their favorable law in the forestry and timber industry and a thriving market for sawmill products.

The founder of Seth Micah® Sawmill, Inc. plans to exit the business via family succession. We have positioned structures and processes in place that will help us achieve our plan of successfully transferring the business from one family member to another and from one generation to another without difficulties.

The company has successfully developed a detailed transition plan to smoothly hand over responsibilities to the new successor. This includes transferring ownership, training key personnel, and communicating with employees, customers, and suppliers about the change.

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Tools Advisor

How to Start a Sawmill Business: Step-by-Step Guide for Beginners

how to start a sawmill business

Are you looking to turn your passion for woodworking into a profitable business venture? Starting a sawmill could be just the opportunity you’ve been looking for. But where do you begin? The sawmill industry can seem daunting, with many factors to consider before diving in. Fortunately, by following a few key tips and tricks, you can set yourself up for success and avoid common pitfalls.

In this blog, we’ll explore everything you need to know to start a sawmill business, from choosing the right equipment to marketing your products effectively. So grab your hard hat and let’s get started!

Planning and Research

Starting a sawmill business requires careful planning and extensive research. Before investing money and time, aspiring entrepreneurs must first determine the feasibility of their idea. Factors such as location, market demand, competition, and cost analysis must be taken into account.

Developing a comprehensive business plan can help in identifying potential challenges and opportunities and setting realistic goals. It is also crucial to research and comply with state and local regulations and obtain all necessary permits and licenses. Additionally, understanding the equipment needed, such as saws, kilns, and drying sheds, and investing in high-quality machinery can ensure the success and growth of the business.

Overall, starting a sawmill business requires a lot of investment, both financially and time-wise, but with proper planning and research, it can be a profitable venture in the long run.

Market Analysis

When starting a business, planning and research are crucial to success. Understanding the market and its trends can help determine the demand for your product or service. Market analysis involves studying the industry, competition, and target audience to identify opportunities and potential challenges.

By conducting thorough research, you can gather data on consumer behavior and preferences, industry regulations, and current market conditions. This information can be used to develop a strategic business plan and make informed decisions that position your brand for growth. Without proper planning and research, businesses risk wasting resources and missing out on potential opportunities.

In short, market analysis is the foundation for any successful business venture. By understanding the market and utilizing the insights gathered, businesses can gain an edge over their competition and thrive in their respective industries.

how to start a sawmill business

Creating a Business Plan

When planning to start a business, it’s essential to have a well-structured business plan. Thorough research and planning are crucial in creating a business plan that outlines the mission, goals, strategies, and financial projections of the business. The first step in planning is conducting market research to determine the target market, competitors, and industry conditions.

This information helps identify potential customers and trends within the industry that can be leveraged to achieve success. Furthermore, creating a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) helps outline the competitive landscape and gives insight into how to position the business to stand out in the market. With the research conducted, it’s time to strategize and plan out how to implement a cohesive business plan that incorporates branding, marketing, operations, and financials.

A detailed plan helps ensure that the business stays on track and can be adjusted as needed to achieve success. Overall, research and planning are critical steps in creating a well-structured business plan that lays the foundation for a successful business venture.

Location and Equipment

When it comes to planning and researching for a location and equipment for your business, there are a few things that you should take into consideration to ensure the success of your venture. Firstly, think about the target market and what their needs are. Do they require a location that is easily accessible, or are they looking for a unique experience that is off the beaten path? Secondly, consider the logistics of the location, such as parking, transportation, and nearby amenities.

You want your customers to feel comfortable and have everything they need within reach. Finally, when it comes to equipment, it’s essential to research the best of the best. Invest in items that will last long and deliver the best possible experience for your customers.

By taking the time to plan and research, you can ensure that your business gets off to a great start, and you’re able to provide exceptional service to your customers, which will keep them coming back for more.

Legal and Financial Considerations

Starting a sawmill business requires a lot of legal and financial considerations. First and foremost, it’s important to choose the right business structure that suits your needs and goals. You can select from various options like sole proprietorship, partnership, LLC, S-corp or C-corp.

Secondly, you need to obtain all the necessary licenses and permits required by your state or local government. This may include environmental permits, zoning permits, and business licenses. It’s also crucial to register for taxes and get an EIN from the IRS.

Another important aspect of starting a sawmill business is securing financing. This involves finding investors or lenders who can provide the necessary capital. You may also need to prepare a detailed business plan showcasing your financial projections, market analysis, and marketing strategies.

Moreover, it’s advisable to consult with an attorney or business expert to ensure you cover all legal and financial requirements. With diligent planning and expert guidance, you can start a profitable sawmill business and thrive in the industry.

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Business Registration and Licenses

When starting a business, it’s essential to consider the legal and financial aspects of the process. One of the most critical steps is registering your business and obtaining the correct licenses. It can be confusing to navigate the various requirements and regulations, but it’s crucial to do so correctly to avoid penalties or legal issues down the line.

Depending on the nature of your business, you may need to register with state or local authorities, obtain specific permits, or apply for a tax identification number. Failing to take the proper steps could result in fines, legal action, or even the closure of your business. Think of it as laying a strong foundation for your business to operate on in the long run.

Taking these legal and financial considerations seriously will help ensure your business’s success.

Insurance Needs

When it comes to legal and financial considerations, insurance needs are something that can’t be overlooked. Whether you’re running a business or simply concerned about your personal liability, there are a variety of insurance options to consider. For example, many businesses will need general liability insurance to protect against lawsuits and property damage, while individuals may want to invest in auto or home insurance to safeguard their assets.

Additionally, there are specialized insurance options for specific industries or professions, such as malpractice insurance for doctors or errors and omissions insurance for insurance agents. No matter what type of insurance coverage you need, it’s important to research your options and choose a policy that is tailored to your unique circumstances. By doing so, you can rest assured that you’re protected in the event of unexpected legal or financial challenges that may arise.

So, don’t neglect your insurance needs – invest in the right coverage and enjoy greater peace of mind.

Financing Options

When considering startup financing options, it’s essential to keep legal and financial considerations in mind. One of the most common financing options is taking out a loan from a bank or other financial institution. However, it’s crucial to understand the terms and repayment schedule before signing on the dotted line.

You should also consider options such as crowdfunding or angel investors, which can provide funding without the need for a loan. It’s also critical to understand legal obligations such as setting up a business entity and obtaining any necessary licenses or permits. Failing to do so can result in legal troubles down the road.

Furthermore, be sure to keep detailed financial records to monitor cash flow and expenses. Understanding and staying on top of these legal and financial considerations from the start can set you up for success in the long run.

Cost Analysis

When starting a business, legal and financial considerations should always be accounted for. Expenses associated with legal and financial requirements can add up quickly and unexpectedly. When determining the cost analysis of starting a business, it is important to factor in the costs of legal fees, accounting fees, taxes, and licenses.

These expenses can vary greatly depending on the type of business and the location, so it is necessary to research the specific requirements for your business. It is also important to consider the long-term costs of not properly handling legal and financial matters, as it can potentially lead to lawsuits or penalties. In the long-run, investing in a qualified lawyer and accountant can save you money and protect your business.

It’s important to prioritize these legal and financial considerations as essential parts of the initial planning and budgeting stages of your new business.

Operations and Marketing

Starting a sawmill business can be a challenging task, but with the right approach, it can lead to great reward. Generally, the first step towards starting your own sawmill business is to develop a detailed business plan that incorporates aspects such as market analysis, demand growth, financial projections, operating requirements, and the cost of starting the business. While developing your business plan, you should also consider operational aspects such as equipment requirements, space, and personnel.

Once you have developed your business plan, the next step is to market your sawmill business. This involves developing a marketing strategy that includes identifying your target market, conducting market research, devising a pricing strategy, and creating an online presence. With the right operational and marketing approach, you can start and grow a successful sawmill business that can offer employment opportunities and add value to your local community.

Hiring and Training Personnel

When it comes to hiring and training personnel for your business, you need to strike a balance between operations and marketing. On the one hand, you want to ensure that your employees are equipped with the necessary skills to effectively handle your day-to-day operations. On the other hand, you also want to make sure that they understand the importance of marketing and how it impacts your overall success.

One effective way to achieve this balance is by providing cross-training opportunities. By offering training in both operations and marketing, you can create well-rounded employees who are capable of handling a variety of tasks and contributing to the growth of your business. Additionally, by highlighting the importance of marketing during the hiring process, you can attract candidates who are passionate about promoting your business and understanding your target audience.

So, whether you’re looking to hire new employees or train your existing team, remember that a focus on both operations and marketing can lead to greater success for your business.

Log Procurement and Milling Operations

As a logging company, it’s crucial to keep an accurate record of all log procurement and milling operations. This involves tracking everything from the initial extraction of the logs to the final stages of milling and processing. By maintaining detailed records, logging companies can better identify any inefficiencies in their operations and make data-driven decisions to optimize their performance.

It also helps to ensure compliance with local regulations and sustainability practices, as well as giving customers peace of mind that their wood products come from a responsible source. In addition to operational benefits, proper record-keeping can also play a role in marketing efforts. Logging companies that can provide transparent and verifiable information about their operations are more likely to attract environmentally conscious consumers who prioritize sustainable practices.

By leveraging data in this way, logging companies can enhance both their operations and marketing efforts, ensuring long-term success in a competitive industry.

Product Line and Sales Strategies

When it comes to successful operations and marketing for a business, the product line and sales strategies play a crucial role. The product line refers to the products or services that a business offers to its customers, while sales strategy is the approach that a business takes to generate sales and revenue. To succeed in the market, a business needs to have a well-defined product line that meets the needs of its customers, and sales strategies that effectively communicate and promote these products to potential customers.

A business can achieve this by aligning its product line with the current market demand and continuously analyzing the sales data to refine its sales strategy accordingly. By adopting a data-driven approach, businesses can predict potential market trends and make informed decisions on product development and marketing initiatives. In summary, the success of a business relies on both the product line and sales strategies, and effective operations and marketing require a balance between the two.

Networking and Building a Customer Base

When starting a new business, networking and building a customer base are crucial steps to success. One effective way to do so is attending local events and getting involved in the community. This allows you to meet potential customers and develop relationships with other businesses in the area.

Utilize social media platforms to establish an online presence and connect with a wider audience. It’s important to have a clear message and brand identity in order to attract the right kind of customers. Once you have established a customer base, it’s important to keep them engaged and satisfied by providing excellent customer service and quality products/services.

Consider offering incentives such as referral programs or loyalty rewards to keep customers coming back. Remember, building a strong customer base takes time and effort, but with dedication and consistency, your business can thrive.

Starting a sawmill business might seem daunting, but with proper planning and execution, it can be a rewarding and profitable venture. From understanding the market demand, securing a suitable location, acquiring the right equipment, to developing a marketing strategy – success lies in meticulous attention to detail and a commitment to quality. But perhaps the most crucial ingredient to this recipe for success is a deep passion for the industry and a willingness to learn and adapt to new challenges.

So, sharpen your saw blades, embrace the wood-loving community, and saw your way to success in the lumber industry!”

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What are the initial steps required to start a sawmill business? The initial steps include conducting market research, developing a business plan, obtaining necessary permits and licenses, securing financing, and purchasing equipment.

How much does it cost to start a sawmill business? The cost to start a sawmill business varies depending on the size and scale of the operation. It can range from tens of thousands to millions of dollars.

What permits and licenses are required to start a sawmill business? Required permits and licenses vary by location, but typically include a business license, environmental permits, and timber harvesting permits.

What equipment is necessary to start a sawmill business? The necessary equipment includes a sawmill, debarker, edger, and various machines for sorting, grading, and processing lumber.

How can I finance my sawmill business? Financing options include traditional bank loans, Small Business Administration (SBA) loans, private investors, and crowdfunding.

How can I find a reliable timber supplier for my sawmill business? Networking with local forestry associations, attending trade shows, and using online resources such as the Forest Products Network can help you find a reliable timber supplier.

What are some common challenges faced by sawmill businesses? Common challenges include maintaining consistent quality and quantity of raw materials, dealing with fluctuating market demand and prices, and complying with environmental regulations.

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How To Start A Sawmill Business

To start a sawmill business, one should conduct a thorough market research, acquire the necessary licenses and permits, secure a location and equipment, ensure safety measures, hire skilled staff, and implement effective marketing strategies.

  • Last Update: November 23, 2023

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Starting a sawmill business can be an incredibly rewarding venture for those with a passion for woodworking and a desire to bring unique and custom-made wood products to the market. Whether you have experience in the lumber industry or are a complete novice, this blog post will serve as a comprehensive guide to help you navigate the process of starting your own sawmill business. From understanding the market and sourcing raw materials to selecting the right equipment and marketing your products, we will explore the key steps and considerations involved in launching a successful sawmill business. So, if you’re ready to turn your passion for woodworking into a thriving business, read on to discover the essential information you need to get started.

How To Start A Sawmill Business: Step-by-Step

Starting a sawmill business can be a challenging endeavor, but with the right planning, determination, and knowledge, it is definitely achievable. By following the step-by-step guide discussed in this blog post, you can navigate through the essential aspects of starting a sawmill business, such as market research, cost analysis, equipment selection, and legal requirements. It is crucial to have a solid business plan in place, prioritize safety measures, and continuously adapt to market trends. Remember that success in this industry requires a combination of technical skills, operational efficiency, and a customer-centric approach. With dedication and perseverance, your sawmill business has the potential to thrive and become a profitable venture in the ever-expanding timber industry. Good luck!

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sawmill business plan pdf

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sawmill business plan pdf

Sawmill business is a profitable venture for those who specialize in the production and sale of timber products. It involves the cutting, preparation and selling of logs and lumber. Building a successful sawmill business requires significant investments, hard work and knowledge of the industry.

Starting a sawmill business involves the purchase of land to set up and run the sawmill. It also includes the purchase of quality sawmilling machinery, which can be expensive. You should also consider obtaining a working capital loan to help with start-up costs.

You should also carefully plan out the types of timber products you will produce. For example, will you be sawing hardwoods or softwoods? Will you need to purchase kiln-dried lumber? Knowing the types of lumber you will be producing will determine what type of sawmill equipment you need, as well as the size of the log inventory you will need.

Finding the right customers for your sawmill business is vital for long-term success. You should research nearby wood markets, such as furniture and cabinet makers, home builders and woodworking shops.

By offering high quality products, competitive pricing and excellent customer service, you will build a good reputation that will help bring in new customers. Also, expanding into selling additional products, such as unfinished and finished furniture pieces, can expand your target customer base and boost profits.

As the sawmill business grows, it’s important to keep up with changing technologies. Invest in new, more efficient sawmill equipment that can help reduce waste and improve production. Developing a business plan can help you make informed decisions and set goals for your sawmill business.

How much does it cost to start a sawmill business

The cost associated with opening a sawmill business varies depending on the size of the business, location, and equipment and services needed. An estimate of the total cost to start a sawmill business could be around $50,000 – $100,000.

One of the most important costs to consider when starting a sawmill business is your capital investment. The cost of new equipment, such as saws and accessories, can vary greatly but will typically range from $20,000 – $50,000. Used equipment that is still in good working condition is often a good consideration as well, with prices ranging from $5,000 – $20,000.

Another cost to consider is that of personnel and labor. Depending on the size, scope and number of clients that your business will serve, you may need to hire 2-3 additional employees. This should be included in your estimated costs, likely ranging from $10,000 – $20,000 per person.

Your business location is a major factor in the cost of starting a sawmill business. Rent and utility costs can range from $1,000 to $5,000 per month, depending on the size of the facility and location. Also, you may also need to purchase land for the business and construct a building to house the mill, which will increase costs significantly.

Advertising and promotion of your business may also be necessary in order to generate additional customers and revenue. This cost can vary greatly, depending on your desired methods and strategies. If you plan on using digital marketing, this cost may be a few hundred dollars per month, while traditional advertisement through radio, television, or newspaper may be thousands per month.

Additional costs to consider when starting a sawmill business include liability and property insurance, business licenses and permits, and accounting and legal services. The cost of legal and accounting services will vary based on the complexity of your business. Additionally, business permits and licenses may vary by location, so it is important to research specific requirements in the area you plan on operating your business.

The total cost to start a sawmill business may range from approximately $50,000 to $100,000. The total cost will depend on the size and scope of the business, the specific location and the required equipment, personnel and services. In most cases, a larger investment upfront can help reduce costs in the long-term and increase profitability in the future.

Steps Involved in Starting Sawmill Business

  • Create a Business Plan: Before launching a sawmill business, you must create a comprehensive business plan that details your goals, vision, and strategies for success.
  • Obtain Financing: Depending on the size and scope of your sawmill business, you may need to obtain financing from banks, venture capitalists, or private lenders.
  • Acquire Equipment: Sawmill businesses require a variety of special equipment in order to build and craft items. You will need to purchase saws, planers, shapers, chippers, and other essential tools and machinery that are necessary to create items from logs and lumber.
  • Source Lumber: In order to make products, you will need lumber to work with. You can purchase logs from lumberyards and tree farms, or you can cut down trees yourself.
  • Market Your Business: You will need to advertise your sawmill business in order to make consumers aware of your services. Advertise on social media and in local newspapers.
  • Establish a Customer Base: You must establish a customer base in order to make the most of your sawmill business. Develop relationships with potential customers and offer discounts for bulk orders.
  • Supply Your Customers: Make sure you can meet customer demand by having ample supplies of lumber and other materials that are necessary for your sawmill business.

Profit Margin in Sawmill Business

The profit margin in a sawmill business depends on a variety of factors, including the cost of the raw materials, overhead costs, operating costs, and the final sale price of the product. The average gross profit margin for sawmills is usually between 20% and 30%, but this can vary significantly depending on the market.

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Running a Small-Scale Sawmill Business

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A few brief profiles of folks who have been successful in the small-scale sawmill business.

If you’re the type of person who prefers the clean smell of fresh sawdust to the scent of expensive cologne, if you can imagine the beauty of the sudden quiet when a saw is shut down after a long morning’s workout, and if you like the idea of pocketing an honest profit as a happy customer drives away with a pickup load of lumber . . . then it might be worth your while to explore the possibility of owning and operating your own family small-scale sawmill business.

Don’t be mistaken, though . . . sawyering is not an easy profession to take up. Far from it . . . it demands muscle-straining, back-taxing work! Still, since it does allow you to be your own boss–and to earn as much (or as little) as your energy, ambition, and luck will permit–cutting lumber for a living can sure beat the heck out of working for someone else . . . either in a stuffy factory or an air-conditioned office.

Furthermore, despite the weakness of the economy and the mounting power of the large lumber “factories” (which are causing the demise of small operations everywhere), a few well-organized, intelligently run, independent sawmills are somehow managing to remain financially solvent–and even to thrive–during these difficult times.

But why not learn the facts from “them that’s doin’ “? Here are a few brief profiles of folks who are now successful small-scale sawyers . . some observations as to why they’re making a go of it when others are facing bankruptcy . . . and a number of suggestions as to how, if you’ve a mind to, you might do the same.

SMALL-SCALE SAWMILLS: HIGH ACHIEVERS

To supplement the income of his working Ohio farm, Ronald H. bought–in 1978–a Mobile Dimension saw that he could hitch to the back of his pickup and haul out into the woods to log and cut boards for his neighbors. He chose the portable outfit, rather than a larger circular saw, because he knew that he’d be cutting only during off farming seasons. Currently, still working only a few months a year with his Mobile saw, Ron is pleased to say that he and his mini-mill can make as much as $200 a day, which is double what he was able to earn when he started out.

Ralph J. and his two sons quit raising goats in the Blue Ridge Mountains when government regulations became too restrictive. At the time, they decided to settle back and catch up on their homestead projects until they could figure out another way to make their land work for them. So, in order to cut down on the land-clearing and construction costs that faced them, the family purchased a used Mobile saw.

After learning–from local old-time sawyers–just how to go about cutting wood properly, Ralph started to clear his land. But when folks discovered that his mill was up and running, he soon found himself unable to get his house built because too many people were asking to buy boards from him!

Not being one to pass up an opportunity–especially when it stared him in the eye and winked–Ralph rapidly set about marketing his lumber. He soon sold his original unit and bought an old circular saw with a diesel engine . . . a tool that, he figured, would let him cut enough lumber to satisfy the growing demand.

Not long thereafter, a reporter from a nearby daily newspaper came out to do a human interest story on Ralph and the “last of the mountain sawmills” . . . and after the article appeared, Ralph and his two boys (who helped him run the mill) found that they had more business than they knew what to do with! “Some Saturday mornings we couldn’t even drive down the mill road, what with all the farmers waiting in their trucks for us to come sell them some wood!” Ralph proudly exclaims.

The family business is doing so well today that Ralph has expanded the operation to include a small palletmaking plant, and may soon (“depending on how things go”) even open a planing mill, too!

Our third sawing-for-profit success story centers on Jim B.–an electrical engineer from Dallas, Texas–who decided, several years ago, that he’d had enough of the constant pressures he faced working 10 or 12 hours a day to “earn a lot of money for someone else”. So after a great deal of soul searching, he finally bought some land near a small city and moved his family across the country to settle upon it . . . with absolutely no idea of what he was going to do to earn a living in his “new world”.

Upon arrival, Jim (like Ralph) decided to set up a small sawmill to reduce his land-clearing and building expenses. However, unlike Ralph, Jim was unable to find anyone to teach him how to operate the old circular saw he’d bought. The Texan isn’t one to give up easily, though, so he just set to and taught himself how to run the equipment!

“Sawing isn’t very difficult to pick up,” he says. “You’ve simply got to take it one step at a time and be careful to pay close attention to each of the tasks you perform. Then, if you do something wrong, you can correct it next time around . . . and if you do something right, you can repeat it!”

Jim soon found that he actually enjoyed the process of cutting wood, and this realization led to his eventual decision to take up sawyering professionally. So, once he’d developed his skill to the point that he was able to cut quality lumber consistently, Jim started to advertise his mill in the classified section of the nearby city’s newspaper. It did take him a year or so to earn the trust of his neighbors and to establish his reputation . . . but today his business is thriving.

SOLVENT SAWMANSHIP

You’ve likely, from reading those examples, already formed a few ideas about what must be done to make a small mill turn a profit these days. For example, it’s hard to overlook the fact that–even if you cut the highest-quality lumber and sell it at low prices–you darn well better advertise if you want to get customers. An occasional buyer may happen to drive by and stop at your mill . . . but to depend on this sort of walk-in business (which, believe it or not, has been a common practice in the past!) would almost certainly prove to be disastrous.

So if you begin to saw and want to sell . . . at the least, do as Jim did and take out an ad in the classified section of the nearest daily. And while you’re at it, why not traipse up to the top of your mill road and hammer in a sign so folks can find you? You’d be surprised how many small mills have no sign, no advertising, and, as a result, no business nowadays.

Pretty soon–once folks discover that your wood is every bit as good as you say it is–you’ll begin to benefit from word-of-mouth promotion. And you’ll need the respect and trust of your neighbors if you hope to stay afloat . . . because you’ll have to depend on local homesteaders, farmers, and such for about 90% of your business (the rest will come from sales to nearby dry kilns, pallet companies, planing mills, and the like). Fortunately, in most parts of the country, there are still plenty of people who’d rather buy boards from someone they know and trust than deal with a large, impersonal lumberyard.

Naturally, there are many details about the actual process of setting up a mill–and even about just how one gets a squared board out of a round log–that need to be examined . . . and it’s a darn shame that there aren’t more good books to explain the business step by step. As questions come up, though, you may be able to get assistance from your state forestry service (see the note at the end of this article for details). Or you might even want to look into one of the technical schools that offer full courses in sawyering.

SAWMILL EQUIPMENT SELECTION

In order to choose the right saw, you’ll first have to determine what kind of operation you plan to run and how much money you can afford to invest in equipment. For instance, if you want to work merely on a part-time basis–as Ronald does–and if you can finance it, you might consider purchasing a Mobile Dimension saw directly from the company. The firm sells a basic outfit, which includes saw and power source, for a little over $7,000. (For more information, write or phone the helpful folks at Mobile Mfg. Co., Dept. TMEN, Troutdale, Oregon.)

Other manufacturers are now marketing apparatus that will allow you to cut lumber with a chain saw. If you’re planning to saw only small quantities of wood, you might want to investigate these relatively inexpensive products. (See the articles on such devices in MOTHER EARTH NEWS NO. 64, page 116 . . . and NO. 77, page 120. To order back issues, turn to page 48.)

However, if you’re thinking of going into full-time lumber production, your best bet will probably be to buy a circular saw matched with a diesel- or gas-fueled power unit (it might even be an old 18-wheeler engine). Belsaw is one of the largest and most respected manufacturers of this kind of equipment. (For more information, write to Belsaw Machinery Co., Dept. TMEN, Kansas City, Missouri .)

Although a new saw does represent a significant investment, most of the companies supplying such products will be happy to teach you to use their machinery, and they’ll also be around to answer any questions that might come up later. (Again, because there’s an astounding dearth of written material about the operation of small sawmills, the free advice could be worth a lot in the long run.) But if you’re determined to be thrifty, you may well be able to pick up a used blade and power unit–perhaps from someone who’s either been driven out of the business or retired from it–for around $5,000 (that’s for both saw and motor).

While you’re in a spending frame of mind, you might also want to consider buying a forklift to help tote wood around your lot. Bought new, such a vehicle will cost around $20,000, but you might be able to locate a used one for closer to $8,000 if you check with firms that use the handy machines regularly.

PROTECTING YOUR SAWMILL EQUIPMENT INVESTMENT

The bulk of your equipment maintenance chores will involve keeping your saw greased and its engine in good working order . . . and sharpening the blade periodically (often several times a day) with a good file. You’ll keep your honing tasks to a minimum, though, if you brush off each log before you send it through . . . since it often takes only one dirty hunk of timber to dull a blade!

And as you clean the wood, look for nails or pieces of barbed wire that might be lodged in it. A single bit of metal–such as a nail–can completely ruin a set of expensive (about $75!) saw teeth. Sometimes, though, metal will become implanted in a sapling, and the bark will grow over it, so you won’t always be able to detect these bit-butchers. For that reason, it’s a good plan to keep an extra set of teeth on hand at all times.

PAUL BUNYAN, SLIDE OVER

Of course, in order to produce boards, a sawyer needs a steady supply of logs . . . and you’ll have to determine whether you’ll fell the trees yourself, buy timber from a logger, or cut up logs supplied by your customers. It used to be that any small-scale lumbermaker worth his or her salt would log all the necessary lumber . . cut it . . dry it . . . and sell it. But times have changed, and it’s not always profitable to go through all four processes yourself.

Generally, the best bet is to find a few dependable loggers in your area who will sell you timber. But be careful not to purchase more wood than you think you can resell in a given time period. Ideally, you want to cut–and market–approximately 3,000 board feet in a day . . . keeping about one day’s supply ahead. It also pays to saw up trees brought in by customers . . . charging them for your time and for the wear and tear on your equipment.

Just as you probably won’t want to do your own logging, you will–in most cases–be better of avoiding the next step beyond sawing, which is air-drying the boards. Drying lumber is a time- and labor-consuming proposition (not to mention the fact that it takes up a lot of space).

SAWMILL PROFIT POTENTIAL

Once you’ve narrowed your scope and settled on sawing and selling as your activities in the timber trade, you’ll still likely have to work away at it for at least a year before you begin to show any significant profit. Running a sawmill is not a get-rich-quick venture. However, if you’re willing to be patient, develop your ability, and employ the discipline necessary to put in a full day’s work, you could eventually earn as much as $30,000 annually.

You probably won’t be able to sell (or saw) boards year round. During the coldest weather there simply isn’t as much demand for lumber as there is from spring through fall. You might utilize the “off ‘ time to clean up your woodlot, though. By the time winter rolls around, your work site should be littered with slabwood scraps and sawdust . . . and those slabs can be sold by the pickup load for firewood, while the sawdust can likely be marketed for use as bedding and insulation around plants.

Then, if you just can’t stay away from “cutting up”, you might want to purchase a chain saw and start up a stovewood business to carry you through till you can start your mill up again in the spring.

SAWMILL LUMBER PRICING

In general, lumber (even when it’s still in log form) is bought and sold by the board foot, a unit of measure equal to a board that’s one foot square and one inch thick. In order to figure the worth of a log, then, you must learn to estimate how many board feet you can get from the timber. (Once you’ve cut up the log, of course, you can simply measure the planks.)

Naturally, the price that you’ll be able to ask for your lumber will depend upon the market and upon the varieties of wood available to you. As an example, though . . . Jim B., who buys mostly in the Southeast, says that he can purchase white pine logs for $150 to $170 per 1,000 board feet and–once they’re cut–sell them for about $300 per 1,000. White oak, which is a hardwood and therefore more difficult to cut, can be bought for about the same price as the pine but sells for around $350.

For starters, you can check lumber prices at other mills to get an idea of what you should charge for your wood. And remember . . . if you can undercut someone else’s rates and still turn a satisfactory profit, by all means do so!

“TIM-B-E-R!”

In the end, after you’ve weighed all the ideas in this article (and beefed that information up with data from other sources), only you can decide whether or not the challenge of starting up your own mill appeals to you. Certainly, a sawyer’s life is a strenuous and often uncertain one (see the sidebar accompanying this article) . . . but at the same time, it can be a godsend for an individual who’s willing to use both brain and brawn to wrestle a big old log and turn it into an income!

EDITOR’S NOTE: To find out more about how to set up a small sawmill operation, you might want to check with the Forestry Products Utilization Specialist at your state forestry office. One of that individual’s duties is to direct people to other sources of information that could be helpful to them. Also, write to the folks at the Forestry Production Lab, Dept. TMEN, Madison, Wisconsin . . . or ask the lab’s publications department for the pamphlet entitled Circular Sawmills and Their Efficient Operation and a list of other relevant publications.

SOME CONS OF BECOMING A LUMBERING PRO

An old sawmill–nestled back in a mountain cove and covered with kudzu and cobwebs from months of disuse–is just about as depressing a sight as a weathered old sawyer who’s burdened with the weight of bills that can’t be paid. Now failure is never pleasant to consider, but it’s a possibility that you must be aware of if you’re to understand fully what it could be like to be a woodcutter today.

Many small sawmills, you see, are definitely facing hard times, and most of these businesses (whose owners are used to the “old ways” of operation) are totally unprepared for the modern hardships they’ll likely encounter.

Perhaps the single major factor behind the demise of many small sawmills (more important than economic instability, poor wood supplies, or even the ever-increasing government safety regulations) is the growing power of the bigger mills. These giant firms are, quite simply, pushing the “little fellers”out of business.

For example, a large mill or lumberyard might start to buy custom-cut wood from a family-owned mill to satisfy certain customers .. . and later demand that the small sawyer sign an exclusive contract to sell only to the larger outfit (which means the sawyer would have to give up all other customers and depend solely on the large mill for his or her income). Then, when the big mill has–for one reason or another–no further need of the special services, the small enterprise could be cut off . . . and would have no regular customers to fall back on.

Some large mills and yards also employ their own graders to determine the quality of all the wood that comes in for sale . . . and the prices that such a firm will pay are fixed at wholesale rates according to what the grader says a given batch is worth. Ultimately, then, the amount of money a small sawyer–selling to such an outfit–receives could be totally subject to the honesty of a grader he may never have seen. If that “expert” (whose “qualifications” are left up to his or her employer) is trying to help the boss save money or isn’t quite on the up and up–and, at the same time, if the small-scale woodcutter isn’t exactly sure how good his or her wood is–the big buyer could obtain top-grade lumber at low-grade prices. It happens . . . not always, but it does happen.

sawmill business plan pdf

  • Published on Nov 1, 1982

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sawmill business plan pdf

It should be noted that there is no special software required to use these templates. All business plans come in Microsoft Word and Microsoft Excel format. Each business plan features:

  • Excecutive Summary
  • Company and Financing Summary
  • Products and Services Overview
  • Strategic Analysis with current research!
  • Marketing Plan
  • Personnel Plan
  • 3 Year Advanced Financial Plan
  • Expanded Financial Plan with Monthly Financials
  • Loan Amortization and ROI Tools
  • FREE PowerPoint Presentation for Banks, Investors, or Grant Companies!

1.0 Executive Summary

The purpose of this business plan is to raise $250,000 for the development of a saw milling company while showcasing the expected financials and operations over the next three years. Saw Mill, Inc. (“the Company”) is a New York based corporation that will sell large inventories lumber that are used in conjunction with manufacturing and home building. The Company was founded by John Doe.

1.1 Products and Services

As mentioned above, the business specializes in the sale of lumber to contractors, carpenters, and the general public within New York. After the launching period is complete, Mr. Doe intends to offer direct delivery services of lumber, which will significantly increase the revenues and profitability of the business while providing a value added advantage to the Company’s operations. The third section of the business plan will further describe the produces offered by the Saw Mill.

1.2 The Financing

Mr. Doe is seeking to raise $250,000 from as a bank loan. The interest rate and loan agreement are to be further discussed during negotiation. This business plan assumes that the business will receive a 10 year loan with a 9% fixed interest rate. The financing will be used for the following: • Development of the Company’s production location. • Financing for the first six months of operation. • Capital to purchase the Company’s inventory. Mr. Doe will contribute $50,000 to the venture.

1.3 Mission Statement

The Saw Mill’s mission is to become the recognized leader in its targeted market for providing lumber at a low cost.

1.4 Mangement Team

The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the lumber industry. Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations.

1.5 Sales Forecasts

Mr. Doe expects a strong rate of growth at the start of operations. Below are the expected financials over the next three years.

1.6 Expansion Plan

As time progresses, Management may seek to continually increase its manufacturing capacity by either acquiring additional production equipment or developing additional facilities while concurrently acquiring additional saw milling equipment.

2.0 Company and Financing Summary

2.1 Registered Name and Corporate Structure

Saw Mill, Inc. The Company is registered as a corporation in the State of New York.

2.2 Required Funds

At this time, the Saw Mill requires $250,000 of debt funds. Below is a breakdown of how these funds will be used:

2.3 Investor Equity

Mr. Doe is not seeking an investment from a third party at this time.

2.4 Management Equity

John Doe owns 100% of the Saw Mill, Inc.

2.5 Exit Strategy

If the business is very successful, Mr. Doe may seek to sell the business to a third party for a significant earnings multiple. Most likely, the Company will hire a qualified business broker to sell the business on behalf of the Saw Mill. Based on historical numbers, the business could fetch a sales premium of up to 4 times earnings.

3.0 Products and Services

The business, in its warehouse and milling, will maintain an extensive inventory of wood products for real estate development and carpentry purposes. The Company will provide the following types of wood to its customers: • African Mahogany • Alder • American Cherry • Ash • Black Walnut • Brazilian Cherry • Canarywood • Carribean Rosewood • Cumaru • Gonalco Alves • Honduras Mahogany • Lacewood • Maple • Padouk • Plainsawn Bubinga • Poplar • Quatersawn Bubinga • Quartersawn White Oak • Raintree • Red Oak • Santos Mahogany • Spanish Cedar • Teak • Tiete Rosewood • Wenge • White Oka • Yellowheart • Zebrawood The business will sell lumber on both a wholesale and retail basis directly to contractors and the general public. Management is currently examining the standardized cost of goods markup that Management will employ for sales to contractors and retail sales.

4.0 Strategic and Market Analysis

4.1 Economic Outlook

This section of the analysis will detail the economic climate, the saw milling industry, the customer profile, and the competition that the business will face as it progresses through its business operations. Currently, the economic market condition in the United States is moderate. The meltdown of the sub prime mortgage market coupled with increasing gas prices has led many people to believe that the US is on the cusp of a double dip economic recession. This slowdown in the economy has also greatly impacted real estate sales, which has halted to historical lows. However, Saw Mills tend to operate with great economic stability as people will continue to purchase these goods in any economic climate.

4.2 Industry Analysis

Within the United States, there are more than 3,800 companies that specialize in the production of wood products (which includes saw milling).. Aggregately, these businesses generate more than $25 billion of revenue per year while providing jobs to more than 110,000 people. Aggregate payrolls in each of the last five years have exceeded $3.5 billion. This is a mature industry, and the excepted future growth rate is expected to mirror that of the general population and economic growth. One of the strong points about this industry is that market agents operate with a strong degree of economic stability as people will continue to require lumber for a number of purposes.

4.3 Customer Profile

It is difficult to determine the average customer profile for Saw Mill, Inc. as the business will sell its lumber products directly to third party distributors and wholesalers that in turn will sell branded or bulk inventories to retail stores or directly to end users. However, based on market research, there are approximately 400 companies that specialize in the retail distribution of lumber and the Company will be able to develop a number of ongoing purchase order relationships with distributors, contractors, and specialty firms throughout the target market.

4.4 Competitive Analysis

This is one of the sections of the business plan that you must write completely on your own. The key to writing a strong competitive analysis is that you do your research on the local competition. Find out who your competitors are by searching online directories and searching in your local Yellow Pages. If there are a number of competitors in the same industry (meaning that it is not feasible to describe each one) then showcase the number of businesses that compete with you, and why your business will provide customers with service/products that are of better quality or less expensive than your competition.

5.0 Marketing Plan

The Saw Mill intends to maintain an extensive marketing campaign that will ensure maximum visibility for the business in its targeted market. Below is an overview of the marketing strategies and objectives of the Company.

5.1 Marketing Objectives

• Develop connections with lumber distributors.

• Establish connections with major national and regional retailers that may purchase bulk orders of lumber directly from the Company.

5.2 Marketing Strategies

The marketing required by the Company will be minimal as Saw Mill will not market its products directly to the general public. As stated many times in this business plan, the Company has already begun to secure purchase order relationships that will ensure that the Company can produce and immediately distribute its inventories from the onset of operations. As the business expands, the business may seek to develop relationships with additional distributors of lumber products. In these instances, Management will directly contact other distributors in the industry to discuss how the business can supply them with the raw lumber that they are seeking to distribute directly to end users and retailers. Brochures and other sales literature will be produced to showcase the facility, pricing, and operations of the business when seeking to develop new ongoing purchase order relationships.

5.3 Pricing

In this section, describe the pricing of your services and products. You should provide as much information as possible about your pricing as possible in this section. However, if you have hundreds of items, condense your product list categorically. This section of the business plan should not span more than 1 page.

6.0 Organizational Plan and Personnel Summary

6.1 Corporate Organization

6.2 Organizational Budget

6.3 Management Biographies

In this section of the business plan, you should write a two to four paragraph biography about your work experience, your education, and your skill set. For each owner or key employee, you should provide a brief biography in this section.

7.0 Financial Plan

7.1 Underlying Assumptions

• Saw Mill will have an annual revenue growth rate of 7% per year.

• The Owner will acquire $250,000 of debt funds to develop the business.

• The loan will have a 10 year term with a 9% interest rate.

7.2 Sensitivity Analysis

The Company’s revenues are modestly sensitive to changes in the general economy. The lumber products manufactured by the Company are in demand on a year round basis.

7.3 Source of Funds

7.4 General Assumptions

7.5 Profit and Loss Statements 

7.6 Cash Flow Analysis

7.7 Balance Sheet

7.8 General Assumptions

7.9 Business Ratios

Expanded Profit and Loss Statements

Expanded Cash Flow Analysis

Home » Moisture Meters » Wood Division Knowledge Base » How to Start a Successful Small to Medium Sawmilling Business

How to Start a Successful Small to Medium Sawmilling Business

Evaluating the local species that will be available to you is a key aspect for deciding what kind of a mill you will be.

Whether in an urban or rural environment, people are making money starting a sawmill business.

Some fell into the sawmilling business because they started milling their wood to cut costs. Others have more personal motivations, like wanting to work outside or dedicating themselves to conservation.

Whatever your reasons might be, the milling business is like any other; you have to look before you leap if you want to set yourself up for long-term success. Otherwise, the day-in, day-out workload could overwhelm you, and your new sawmill might end up unused.

Since we want you and your business to succeed, we’ve gathered a list of things to consider when starting up a sawmilling business.

Understanding the challenges of operating a sawmill

Opening a new business, regardless of industry, is always a risk. We can’t cover all the challenges and risks of opening a sawmilling business, but here are some common ones to think about:

Managing capital and cash flow

Not having enough working capital—or poorly managing cash flow—is one of the biggest drivers in small businesses closing.

You can risk your entire operation if you don’t have enough operating capital to cover your costs while experiencing limited or no cash flow. In other words, don’t plan on immediate success to cover your equipment leasing or loan costs.

Gathering timber

If a couple of neighbors or local farms let you haul timber off their property for free, you might be tempted to open a professional sawmill. But wait just a second. That’s great that they let you take the wood, but free timber is never a sustainable source.

Buying timber will be one of your largest ongoing costs. Identify alternate sources with pricing, so you know your options and timber costs going in.

Giving up your day job

It’s very common to start running your sawmill as a part-time opportunity.

For many, this is just a smart, conservative approach. It lets you build experience and manage expenses without overextending yourself.

One of the challenges of operating a mill is the large, ongoing cost of purchasing the timber.

If you feel like you’re ready to make sawmilling your primary means of support, be sure you have a solid, realistic business plan. And it is recommended that you have at least a year’s worth of operating capital on hand.

Crunching the numbers

Sure, you’re not thinking about opening a sawmill because you love math.

Even so, you want to have a detailed accounting of your costs and a conservative projection of your revenue, and then see how things line up. A lot of your decisions will be based on how each of your choices impacts your numbers.

What sort of lumber mill do you want to be?

Think of a new restaurant.

The cook doesn’t open his doors to cook up whatever he feels like each day. No, he details precisely what he wants to offer and to whom.

It’s the same for a sawmill business—especially for a small or medium-sized mill that can’t compete with the large industrial sawmill cutting commodity boards. But if you’re in a remote area with a robust, local construction industry, maybe you can succeed. Either way, the point is to first assess your local market. What it offers and what it needs, and then drill down on your niche.

What local wood species are available? Are there species that people can use to build homes or outbuildings? Perhaps local species that are in demand with artisans and furniture makers?

More specialized work requires more specialized sawmills, blades, and skills, which will increase your initial costs. If you’re the only mill that can handle large lumber, then it is worth it to invest in a small sawmill. Having a specialty doesn’t mean you can’t mill common lumber output, like studs and support beams. However, specialties make marketing easier and often allow for higher margin work.

When you offer a niche product or service, that’ll likely be the key to early success.

What scope of services will you offer?

From a revenue perspective, a sawmill has two primary variables: yield and added-value services.

Yield is the number of saleable boards you get from the lumber you mill. The most common pricing method is charging by the board foot , which puts the burden on you to mill the wood efficiently. However, how much you charge per board foot also depends on the grade of the wood , including how far down the processing line you’ve taken it.

For example, you can sell your cut wood green, or you can dry it first. Drying takes time and space, but if you use an accurate moisture meter that provides calibrated readings of the moisture content in each slab, you can sell the wood at a higher grade—which means higher prices—when it’s dried properly.

Should you be a portable sawmill or a stationary sawmill?

Many small sawmills get started by the weekend hobbyist who is experienced working with a portable sawmill. From there, it seems a natural step to take the portable band sawmill onto other people’s properties and complete a job for them.

But, of course, trade-offs exist between acting as a portable mill or working as a stationary operation.

Pros of operating a portable sawmill:

  • No log transportation costs since you’re bringing the portable sawmill to the site.
  • No need for large amounts of land to manage the wood.
  • Lower initial cost for portable sawmills, which allows you to also buy specialty attachments to produce more specialty cuts.
  • An ideal entry point into the business for someone who already owns a portable sawmill and wants to start doing seasonal work.

Pros of operating a stationary sawmill:

  • Easier to add mobile sawmill services as an additional service, than for a portable outfit to decide to add a stationary sawmill.
  • You have time and space to dry the wood for higher resale value.

Equipment you need for milling wood

There are various types of sawmills: From chainsaw mills to manual portable band sawmills, or circular saws to vertical milling machines.

The sawmill you’ll need depends on the scope of operations, the volume of wood you expect to cut daily, and the types of lumber and cutting you want to do.

Having decided the type of sawmill you want, you’ll also want to consider other equipment needs based on your scope of operations.

The bare minimum for just getting started

If you want the lowest overhead to start turning trees into money, this is the bare bones list of what you’ll need:

  • Single portable sawmill
  • A truck or tractor that can haul both the portable sawmill and your lumber around
  • Trash bin for the wood waste
  • Cant hook to move logs around
  • Wood storage options
  • Fuel reserves for your sawmill
  • Protection wear, like steel-toed boots, gloves, eye-and-ear protection, and a hard hat
  • Fire extinguisher and emergency first-aid kit
  • Kilns come in a range of styles and prices, including low-cost solar kilns. You can even build your own solar kiln. Learn more about kiln drying here.
  • Protection from the elements

For good airflow when drying wood, it is always recommended that you sticker stack your boards.

Let’s talk about “Protection from the elements” a bit.

The cheapest option to protect your wood from rain and snow is just draping some tarps over it, but the right way to do it is this: Sticker stack the wood.

Concrete blocks and “sticker stacks” keep the wood off the ground and get airflow between boards. You will also need some sheet metal roofing— here’s a full guide on storing wood .

And finally, get yourself a high-quality moisture meter to monitor and ensure moisture quality control. There are also stack probe sensors you can use to measure moisture deep into your wood stacks.

Value-add equipment:

Once you have the basics, you might look into these tools:

  • Extra blades and spare parts to avoid prolonged downtime when something goes wrong with any of your sawmills
  • Any specialty blades you need for edging and trimming

Equipment to add to be a midsize sawmill:

An accurate moisture meter that provides calibrated readings of the wood’s moisture content is an important tool to ensure that the wood is dried properly.

When you start ramping up operations, everything needs to grow a bit bigger to accommodate the larger volumes of wood that you’ll be managing at various stages in the milling process. So the first thing you’ll need is land to put it on.

Here’s what comes after that:

  • Forklift and other support equipment, like loaders, roller tables, and log decks, to move, sort, and store wood
  • Trailer beds and winches for the trucks moving the wood around
  • Chippers and bins
  • In-kiln moisture meter to monitor the wood’s moisture content as it drys
  • Handheld moisture meters to quickly check the dryness of the wood and find “trouble spots”
  • Edgebanders
  • Finishing and sanding equipment
  • Shavers and grinders

Putting it all together

Running a profitable sawmill takes planning and patience. But with the right tools and the right approach, you can join the ranks of those making money in the sawmilling business.

Best of luck as you venture out.

As Sales Manager for Wagner Meters, Ron has more than 35 years of experience with instrumentation and measurement systems in different industries.  In previous positions, he has served as Regional Sales Manager, Product and Projects Manager, and Sales Manager for manufacturers involved in measurement instrumentation.

Thanks Ron. I had a lot of those same thoughts when deciding how and which direction to go with my very basic mill.

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How To Market a New Sawmill Business

By Simon Petree, Green Leaf Forest Products

Given that about 60% of all portable sawmill owners make all or part of their income each year milling lumber and other wood products, it’s surprising how little attention is paid to marketing the business those owners depend on.   If you ask what sawyers depend on most for marketing, most mill owners respond, “Word-of mouth.”

While it is true that as soon as you set the edge of a blade against the end of a log people begin to notice, and slowly you begin to build a business, but your business - whether full-time or part-time - will never live up to its potential for profit unless you take steps to do at least some marketing.   Don’t forget, most voters can’t name the two senators from their state.   Don’t think you’ll build much better public recognition of your business without at least some effort to actively introduce yourself to the public you depend on.

So, let’s talk about three marketing steps you can take almost immediately with very little effort and little or no cost.

sawmill business plan pdf

First, name your business. Or if necessary, rename your business and put some thought into the name you choose.

Think about the success Wood-Mizer has seen over the past three decades. Do you think the company would have had the same success had the founders named the fledgling company after themselves, “ Laskowski and Tekulve Sawmills?”

The name “Wood-Mizer” has proven to be a powerful marketing tool and I doubt it cost the founders anything more than a little thinking time to come up with a name that’s become a legend in the industry. 

When you’re inventing a name for your own business, think about some concepts that are important to people today.  Those concepts vary depending on where you live but as a beginning, the term “urban wood” calls to mind images of environmental responsibility, recycling, and woodland preservation, especially to customers living in and near cities.  Other terms like “local,” “green”, “recycle”, “sustainable” and “renewable” are important buzzwords today as well. 

When naming your business, think about what is important to your customer and try to work something into the name that tells the customer you are likely to care about what they care about.  Not every name is going to be a home run but you can make a better living hitting singles than striking out.  “Farm to Market Sawmilling” is much more likely to evoke a positive image in a customer’s mind than something like “A to Z Sawmilling” will. 

sawmill business plan pdf

When you are happy with the name, consider signage, especially if you live or have a workplace along a road with good traffic.  

Stick a sign out there for people to see every day as they pass by.  Got a work truck?  You can get a magnetic sign pretty cheaply and slap it on the doors of your rig. Everywhere you go, it goes.  If you’ve ever traveled and stopped somewhere because you noticed a sign or billboard you know that signs sell.  Have a sign painted that travels with you as you move your portable mill from one place to another. That way, potential customers will see you sawing and signage will give them a way to contact you.

Last and not least, think about social media.

Start by taking a look at Wood-Mizer’s Facebook page; thousands of people follow their page.  That is amazing. You can sign up for a business page on Facebook for the same price Wood-Mizer paid - nothing.  You’ll also be starting out with the same number of likes Wood-Mizer started out with - none. But don’t expect thousands of “likes” right away. 

sawmill business plan pdf

You will have to pay attention to the page to benefit from the page.  Nothing is more forlorn than a Facebook business page where the last entry was made two years ago, but the rewards can be significant if you make a conscious attempt to assure you are current.

Begin by asking customers to "like", "follow", and "share" your business via Facebook.   Then, at least once a week, post something about what you are doing whether it is milling a special log, cutting for a restoration project, or simply getting on with the everyday life of your business.  

Keeping in touch with the customer is the “word-of-mouth” of today’s world. But again, don’t forget to keep your page current. Blogs and websites can be effective too but, they do require more work and sometimes an investment.   If you’re not all that comfortable with a computer, start with just the Facebook page.   It’s easy to maintain, doesn’t consume much time, and will give you a chance to explore the territory.   Then, as you get more comfortable, expand your social media horizons to other networks such as Twitter and Instagram .

Deciding to take the big step and become a startup business can be a daunting task, but it is also an exciting step into an unknown future. Growing your business is work and it’s best to get off on the right foot. Begin your marketing effort the very day you decide you’re going to be a business owner.

Simon Petree owns Green Leaf Forest Products near Lynden, Washington.   He is currently writing a book aimed at sharing the lessons he’s learned milling more than five million board feet of lumber, timber, slabs and other products during the fifteen years he’s been in business.

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Free PDF Business Plan Templates and Samples

By Joe Weller | September 9, 2020

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We’ve gathered the most useful collection of business plan PDF templates and samples, including options for organizations of any size and type.

On this page, you’ll find free PDF templates for a simple business plan , small business plan , startup business plan , and more.

Simple Business Plan PDF Templates

These simple business plan PDF templates are ready to use and customizable to fit the needs of any organization.

Simple Business Plan Template PDF

Simple Business Plan Template

This template contains a traditional business plan layout to help you map out each aspect, from a company overview to sales projections and a marketing strategy. This template includes a table of contents, as well as space for financing details that startups looking for funding may need to provide. 

Download Simple Business Plan Template - PDF

Lean Business Plan Template PDF

Lean Business Plan Template

This scannable business plan template allows you to easily identify the most important elements of your plan. Use this template to outline key details pertaining to your business and industry, product or service offerings, target customer segments (and channels to reach them), and to identify sources of revenue. There is also space to include key performance metrics and a timeline of activities. 

Download Lean Business Plan Template - PDF

Simple 30-60-90 Day Business Plan Template PDF

Simple 30-60-90 Day Business Plan Template

This template is designed to help you develop and implement a 90-day business plan by breaking it down into manageable chunks of time. Use the space provided to detail your main goals and deliverables for each timeframe, and then add the steps necessary to achieve your objectives. Assign task ownership and enter deadlines to ensure your plan stays on track every step of the way.

Download Simple 30-60-90 Day Business Plan Template

PDF | Smartsheet

One-Page Business Plan PDF Templates

The following single page business plan templates are designed to help you download your key ideas on paper, and can be used to create a pitch document to gain buy-in from partners, investors, and stakeholders.

One-Page Business Plan Template PDF

sawmill business plan pdf

Use this one-page template to summarize each aspect of your business concept in a clear and concise manner. Define the who, what, why, and how of your idea, and use the space at the bottom to create a SWOT analysis (strengths, weaknesses, opportunities, and threats) for your business. 

Download One-Page Business Plan Template

If you’re looking for a specific type of analysis, check out our collection of SWOT templates .

One-Page Lean Business Plan PDF

One Page Lean Business Plan Template

This one-page business plan template employs the Lean management concept, and encourages you to focus on the key assumptions of your business idea. A Lean plan is not stagnant, so update it as goals and objectives change — the visual timeline at the bottom is ideal for detailing milestones. 

Download One-Page Lean Business Plan Template - PDF

One-Page 30-60-90 Day Business Plan Template

One Page 30-60-90 Day Business Plan Template

Use this business plan template to identify main goals and outline the necessary activities to achieve those goals in 30, 60, and 90-day increments. Easily customize this template to fit your needs while you track the status of each task and goal to keep your business plan on target. 

Download One-Page 30-60-90 Day Business Plan Template

For additional single page plans, including an example of a one-page business plan , visit " One-Page Business Plan Templates with a Quick How-To Guide ."

Small Business Plan PDF Templates

These business plan templates are useful for small businesses that want to map out a way to meet organizational objectives, including how to structure, operate, and expand their business.

Simple Small Business Plan Template PDF

Simple Small Business Plan Template

A small business can use this template to outline each critical component of a business plan. There is space to provide details about product or service offerings, target audience, customer reach strategy, competitive advantage, and more. Plus, there is space at the bottom of the document to include a SWOT analysis. Once complete, you can use the template as a basis to build out a more elaborate plan. 

Download Simple Small Business Plan Template

Fill-In-the-Blank Small Business Plan Template PDF

Simple Fill In The Blank Business Plan Template

This fill-in-the-blank template walks you through each section of a business plan. Build upon the fill-in-the-blank content provided in each section to add information about your company, business idea, market analysis, implementation plan, timeline of milestones, and much more.

Download Fill-In-the-Blank Small Business Plan Template - PDF

One-Page Small Business Plan Template PDF

One Page Business Plan For Small Business Template

Use this one-page template to create a scannable business plan that highlights the most essential parts of your organization’s strategy. Provide your business overview and management team details at the top, and then outline the target market, market size, competitive offerings, key objectives and success metrics, financial plan, and more.

Download One-Page Business Plan for Small Business - PDF

Startup Business Plan PDF Templates

Startups can use these business plan templates to check the feasibility of their idea, and articulate their vision to potential investors.

Startup Business Plan Template

Startup Business Plan Template

Use this business plan template to organize and prepare each essential component of your startup plan. Outline key details relevant to your concept and organization, including your mission and vision statement, product or services offered, pricing structure, marketing strategy, financial plan, and more.

‌Download Startup Business Plan Template

Sample 30-60-90 Day Business Plan for Startup

Sample 30-60-90 Day Business Plan for Startup

Startups can use this sample 30-60-90 day plan to establish main goals and deliverables spanning a 90-day period. Customize the sample goals, deliverables, and activities provided on this template according to the needs of your business. Then, assign task owners and set due dates to help ensure your 90-day plan stays on track.

‌Download Sample 30-60-90 Day Business Plan for Startup Template 

For additional resources to create your plan, visit “ Free Startup Business Plan Templates and Examples .”

Nonprofit Business Plan PDF Templates

Use these business plan PDF templates to outline your organization’s mission, your plan to make a positive impact in your community, and the steps you will take to achieve your nonprofit’s goals.

Nonprofit Business Plan Template PDF

Fill-in-the-Blank Nonprofit Business Plan Template

Use this customizable PDF template to develop a plan that details your organization’s purpose, objectives, and strategy. This template features a table of contents, with room to include your nonprofit’s mission and vision, key team and board members, program offerings, a market and industry analysis, promotional plan, financial plan, and more. This template also contains a visual timeline to display historic and future milestones.

Download Nonprofit Business Plan Template - PDF

One-Page Business Plan for Nonprofit Organization PDF 

One Page Business Plan for Nonprofit Organizations Template

This one-page plan serves as a good starting point for established and startup nonprofit organizations to jot down their fundamental goals and objectives. This template contains all the essential aspects of a business plan in a concise and scannable format, including the organizational overview, purpose, promotional plan, key objectives and success metrics, fundraising goals, and more.

Download One-Page Business Plan for Nonprofit Organization Template - PDF

Fill-In-the-Blank Business Plan PDF Templates

Use these fill-in-the-blank templates as a foundation for creating a comprehensive roadmap that aligns your business strategy with your marketing, sales, and financial goals.

Simple Fill-In-the-Blank Business Plan PDF

The fill-in-the-blank template contains all the vital parts of a business plan, with sample content that you can customize to fit your needs. There is room to include an executive summary, business description, market analysis, marketing plan, operations plan, financial statements, and more. 

Download Simple Fill-In-the-Blank Business Plan Template - PDF

Lean Fill-In-the-Blank Business Plan PDF

Fill-in-the-Blank Lean  Business Plan Template

This business plan is designed with a Lean approach that encourages you to clarify and communicate your business idea in a clear and concise manner. This single page fill-in-the-blank template includes space to provide details about your management team, the problem you're solving, the solution, target customers, cost structure, and revenue streams. Use the timeline at the bottom to produce a visual illustration of key milestones. 

Download Fill-In-the-Blank Lean Business Plan Template - PDF

For additional resources, take a look at " Free Fill-In-the-Blank Business Plan Templates ."

Sample Business Plan PDF Templates

These sample business plan PDF templates can help you to develop an organized, thorough, and professional business plan.

Business Plan Sample 

Basic Business Plan Sample

This business plan example demonstrates a plan for a fictional food truck company. The sample includes all of the elements in a traditional business plan, which makes it a useful starting point for developing a plan specific to your business needs.

Download Basic Business Plan Sample - PDF

Sample Business Plan Outline Template

Simple Business Plan Outline Template

Use this sample outline as a starting point for your business plan. Shorten or expand the outline depending on your organization’s needs, and use it to develop a table of contents for your finalized plan.

Download Sample Business Plan Outline Template - PDF

Sample Business Financial Plan Template

Business Financial Plan Template

Use this sample template to develop the financial portion of your business plan. The template provides space to include a financial overview, key assumptions, financial indicators, and business ratios. Complete the break-even analysis and add your financial statements to help prove the viability of your organization’s business plan.

Download Business Financial Plan Template

PDF  | Smartsheet

For more free, downloadable templates for all aspects of your business, check out “ Free Business Templates for Organizations of All Sizes .”

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business plan

Started by josh, October 12, 2012, 10:25:19 AM

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Quote from: josh on October 12, 2012, 10:25:19 AM I was curious if anyone had a good overview of how to figure out what is a good hourly rate for milling or what are standard market prices for milling certian logs.

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Quote from: Ron Wenrich on October 12, 2012, 12:42:16 PM Putting them into an hourly cost would depend on how many hours you work per month. 

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  1. Sawmill Business Plan [Sample Template]

    Sawmill Business Plan [Sample Template] A sawmill business is an enterprise that is involved in the cutting, processing, and distribution of timber or lumber. The primary function of a sawmill is to convert logs into various wood products, such as boards, planks, beams, and other dimensional lumber used in construction, furniture manufacturing ...

  2. PDF Developing a Custom Portable Sawmill Enterprise

    Developing a Business Plan It's hard to overstate the importance of a good busi-ness plan. It is your road map to success. A plan will allow you to focus your limited time and resources on endeavors with a high likelihood of success. Indeed, loans from any fi nance institution are con-tingent upon an approved business plan, therefore,

  3. How to write a business plan for a sawmill?

    Having this context is key for the reader to form a view on whether or not they believe that your plan is achievable and the numbers in your forecast realistic. The written part of a sawmill business plan is composed of 7 main sections: The executive summary. The presentation of the company. The products and services.

  4. The Essential Sawmill Business Plan

    Company Description: Describe your sawmill business in detail, including its legal structure, location, and ownership. Market Analysis: Conduct a thorough analysis of the market, identifying your target customers, competitors, and market trends. Products and Services: Outline the products and services your sawmill business will offer, including ...

  5. PDF Your Small Hardwood Sawmill Business BY TERRY CONNERS

    You must market yourself just as much as you plan on marketing your products. BY TERRY CONNERS Your Small Hardwood Sawmill Business To start a successful hardwood sawmill business, you need both a sound business plan and a good marketing plan. Before you begin, you'll need to decide the species you're going to saw, the kind of saw you'll ...

  6. How to Start a Sawmill Business: Step-by-Step Guide for Beginners

    Generally, the first step towards starting your own sawmill business is to develop a detailed business plan that incorporates aspects such as market analysis, demand growth, financial projections, operating requirements, and the cost of starting the business. While developing your business plan, you should also consider operational aspects such ...

  7. PDF Developing a Custom Portable Sawmill Enterprise

    Your Own Small Business" contains the fol-lowing sections: 1. The idea 2. Testing the idea 3. Protecting the idea 4. The right people 5. Structuring the business 6. Cash flow 7. Finding money 8. Technology for your business 9. The best business plan for you 10. The Internet 11. Starting on the right foot 12. Looking ahead Developing a ...

  8. PDF Guideline for a Business Plan for a Sawmilling Enterprise

    6.1. Management structures (Board and Managers etc.) 6.2. Assess the organisation's key competencies (including managerial skills, forest harvesting and sawmilling skills, business skills, marketing skills, Communication skills, customer skills etc.) 6.3. Draw an organogram of the management structure.

  9. Sawmill Startup 101: Key Considerations for Launching Your Business

    Before launching a sawmill business, conducting a thorough cost analysis is essential. This analysis will help you make informed decisions when it comes to purchasing machinery and other necessary resources. By understanding the costs involved, you can create a realistic budget and develop a sound business plan.

  10. PDF iowa slideshow 2020 sawmill session 1 business

    BUSINESS-BE A SCHEDULER. Be proactive and make a weekly production schedule even if you operate a one person sawmill business. Use the schedule to project a profit and loss statement-use $ per day for labor and overhead to add to the cost of logs to create a schedule cost and profit projection. Example-if you have $10,000 of logs on the yard ...

  11. How To Start A Sawmill Business • Srive Blog

    Starting a sawmill business can be an incredibly rewarding venture for those with a passion for woodworking and a desire to bring unique and custom-made wood products to the market. Whether you have experience in the lumber industry or are a complete novice, this blog post will serve as a comprehensive guide to help you navigate the process of ...

  12. PDF So You Want to Build A Sawmill

    Each phase—envision, plan, design, build, staff, operate, market, and maintain—is difficult, unique, and challenging. Sawmilling has been compared to juggling. There is a need to constantly balance a log inventory with the demands of the market. A sawmill has little control over its log resource. Mother Nature grew it, and generally what is ...

  13. How to open a profitable sawmill?

    Raise the financing needed to launch your sawmill. With your business plan in hand, you can tackle one of the final steps to open a sawmill business: the search for financing. Raising the capital needed to launch your business will probably require a combination of equity and debt, which are the two types of financing available to companies.

  14. Starting Sawmill Business

    An estimate of the total cost to start a sawmill business could be around $50,000 - $100,000. One of the most important costs to consider when starting a sawmill business is your capital investment. The cost of new equipment, such as saws and accessories, can vary greatly but will typically range from $20,000 - $50,000.

  15. Running a Small-Scale Sawmill Business

    Published on Nov 1, 1982. Need Help? Call 1-800-234-3368. How to run a successful small-scale sawmill business, including business advertising tips, selection of saw equipment and protecting your ...

  16. TheFinanceResource.com

    1.0 Executive Summary. The purpose of this business plan is to raise $250,000 for the development of a saw milling company while showcasing the expected financials and operations over the next three years. Saw Mill, Inc. ("the Company") is a New York based corporation that will sell large inventories lumber that are used in conjunction with ...

  17. How to Start a Successful Small to Medium Sawmilling Business

    Opening a new business, regardless of industry, is always a risk. We can't cover all the challenges and risks of opening a sawmilling business, but here are some common ones to think about: Managing capital and cash flow. Not having enough working capital—or poorly managing cash flow—is one of the biggest drivers in small businesses closing.

  18. PDF PROPOSED SAWMILL AND FURNITURE FACTORY AT RUNDU Final Study Report

    The Promoter has purchased a suitable property in Rundu for the proposed project. The purpose of this feasibility study and business plan is to assess the feasibility of the project, so that financiers may be approached for funding for the project. This report therefore assesses all factors influencing the viability of the project, and presents ...

  19. How To Market a New Sawmill Business

    Begin by asking customers to "like", "follow", and "share" your business via Facebook. Then, at least once a week, post something about what you are doing whether it is milling a special log, cutting for a restoration project, or simply getting on with the everyday life of your business. Keeping in touch with the customer is the "word-of ...

  20. Business Plan

    Business Plan - Free download as Word Doc (.doc), PDF File (.pdf), Text File (.txt) or read online for free. The document is a business plan for Mafanikio Timber Investment company, which plans to establish a timber production and selling business in Hai District, Kilimanjaro region, Tanzania. The business is requesting a loan of TZS 6,500,000 for startup capital.

  21. Timber Business Plan

    Timber Business Plan - Free download as PDF File (.pdf), Text File (.txt) or read online for free. 1) The document discusses improving the reliability of the timber supply for processors in Southeast Alaska. It identifies factors like litigation, permitting delays, and weather that have made the supply erratic. 2) Potential solutions proposed include offering multi-year timber sales of ...

  22. Free PDF Business Plan Templates

    Lean Business Plan Template PDF. This scannable business plan template allows you to easily identify the most important elements of your plan. Use this template to outline key details pertaining to your business and industry, product or service offerings, target customer segments (and channels to reach them), and to identify sources of revenue.

  23. business plan

    About thirty plus years ago I was in a similar position to yours, and I questioned the need to develop a business plan, etc. at that time. That particular business ultimately failed; and although I learned a lot from it, had I taken the time to understand, develop and manage to a realistic business plan most likely the business would have ...