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Constructive feedback before turning my Hobby, into a Business
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Hello All, My name is Ross Hennessy and I am looking for a "proof of concept" so to speak. Over the past year, I have been building up bikes for people in my spare time. The goal of all of the builds, was to help them achieve their dream bike, without them having to shell out bike shop prices, or spend their time digging though craigslist. Below, I have the basic outline to this concept, and want your feedback on:
- If you think this is a viable idea
- If you would buy a bike in this manner
- What questions, concerns or thoughts you would want to have answered BEFORE you went through with something like this.
- Any other thoughts or feedback you have
Thank you for you time, I appreciate any and all feedback!
My Dream Bike
Who wouldn’t want a flashy superbike? You just can’t beat the feeling of a race ready, super light bike as you crush your climb. Or maybe it’s that dream TT bike rocketing you though the field in comfort and style. However, with bike prices becoming more costly, not everyone wants to drop their whole years paycheck on the newest S-Works. And let's face it, sifting through craigslist for a used bike can be a pain. That is where I come in.
My goal is to help you build your dream bike, at a fraction of the cost of going to a traditional bike shop. Plus, it will be exactly how YOU want it, not just how it came.
Who am I? Someone that loves bikes. I obsess over every detail and love nothing more than searching the internet looking for the best deal, on the coolest components. I am also someone that hasn’t had the biggest budget, but doesn't let that get in my way of building up the best rigs I could get. I’ve found a passion in building badass bikes for a fraction of the cost. Being from a family of long course cyclists, I have a vast understanding of bike components and the desire to have it done just right.
What Do I do? I build super bikes, for mortal prices. I search out the best deals for the best bikes. This could mean building up a top of the line bike on lightly used parts. Or piecing together a race ready ride with new components and a used frame. Whatever you and your budget want, we can build. You tell me the dream or goal, and I do all the work to make it happen.
How does the process work?
  1. We work together to figure out exactly what you want your bike to be, the time frame you want to have it in, and the budget for the build.
  2. I get to work searching and building your bike. You get updates on progress, every step of the way.
  3. Once its built up, it will be professionally inspected, tuned, packed and shipped to you, ready to ride!

What does it cost?
  • I work within the budget you set out. Each bike is custom built, staring from the frame, so the cost will vary depending on what you are looking to accomplish. Some examples of what to expect are below.
  • Once a frame that meets your expectations is located, a 20% deposit is taken and put towards the cost of the bike.

Examples of my Custom Builds - Shipped Prices ranged from 1200-5000

Felt IA 10 Custom Tri Bike
  • Frame: Felt IA10
  • Components: Etap 11 Speed
  • TriBars: TriRig Alpha X
  • Brakes: TriRig Omega
  • Wheels : HED Jet 6 Plus Front, HED Jet Plus Disc Rear, Tubeless
  • Tires: Vittoria Corsa Speed Tubeless
  • Power Meter: Pioneer Dual Sided Ultegra build
  • Bike Computer: Pioneer

Cannondale Slice Custom
  • Frame: 2015 Cannondale Slice, Ultegra model
  • Components: Shimano Ultegra with 105 Crank, 11 speed
  • TriBars: Profile Design Aeria Ultimate w/ Hydration
  • Brakes: TriRig Omega
  • Wheels : HED H3 Plus Front, Flo Disc rear
  • Tires: Vittoria Corsa Speed Tubeless
  • Power Meter: Powertap P1 Dual Sided pedals

Fuji Transonic 2.8 Custom
  • Frame: Fuji Transonic 2.8, Pearl White
  • Components: Etap 11 speed
  • Bars: Oval 910 Carbon
  • Brakes: Fuji
  • Wheels : HED Jet Plus 5
  • Tires: Vittoria Corsa Tubeless
  • Crank: Rotor Flo Aero Crank
Kestrel Talon Custom
  • Frame: Kestrel Talon
  • Components: 105 - Long Cage 11 speed
  • Bars: Oval and Profile Design Mix
  • Brakes: 105
  • Wheels : HED Jet Plus 5
  • Tires: Vittoria Corsa Tubeless
  • Crank: Rotor Oval


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Last edited by: Hennessyr: Jul 23, 19 14:12
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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How are you making money from this? A percentage mark up, straight up fee? And what about liability. As the person who is buying and selling the used gear I would think that the liability of that would be on you.

Brian Jacobson
Fit2Ride Velo Studio
http://www.fit2ridevelo.com
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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How many hours do you spend on a build? What do you think is a reasonable hourly rate to charge for this if it was your livelihood? Multiply the two together. Add this to the parts cost. What do you get?

Do you envision many will want to pay that price for a custom build rather than a stock bike?
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I hate to be "that guy" but I have to be here...

The devices you put on a bike that makes it slow down and stop are called "brakes", not "breaks".

If this is meant to be a write-up of a business case, I would be careful of the little things like that. If I saw a mistake like that on a resume I would likely toss it.
Last edited by: g_lev: Jul 23, 19 13:10
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I've been doing this for athletes I coach for the last few years. I think what you're going to find is that people in the market for a "dream bike" generally want it to be BRAND NEW, and nothing as a take off piece from craigslist, ebay, facebook marketplace, etc even if the part is new and unused. As soon as they know you aren't buying it direct from the manufacturer, they don't trust it.
You are also going to be competing against all their friends, group ride buddies, and bike shops who are telling them that you don't have the experience and also telling them a load of horror stories about not buying bikes new with warranties to compete with. on top of that, they'll have all the (sometimes empty but not usually) promises of routine maintenance from the bike shop.
On top of that you'll be competing with a place like pro's closet which has a ton of great bikes and great prices that really and truely are professionally re-done. The bikes i've gotten from them have all been A++
You should also prepare to be on the hook for all their complaints after, which if it's really their dream bike, is going to be many years.

Not trying to discourage you, but I've found I can't make a cent on it.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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As another pointed out, I like to start with the dirty math to see what kind of volume and capital it would take. For example, say you wanted to earn a $50K salary plus another $15K to cover insurance. That is $65K/year in net margin. So, let's say you think you could average $500 gross margin per dream bike. That translates to 130 bikes per year or 1 ordered, built, and delivered every 2 business days.

So, the first question is, do you think you could create a sustainable pipeline of 2.5 bikes per week at a $500 gross margin?

Next is the working capital. You are collecting 20% up front, but that means you will potentially be carrying $20K to $30K in short-term debt between deposit to sourcing all the parts and delivering the bike. So, that is a lot of interest that eats into the gross margin. Plus, you need to secure the line of credit in the first place.

Then, you will have losses you need to eat for all kinds of reasons (shipping damage, bad suppliers, customer fraud, canceled orders, etc.). Those write-downs will also eat into the gross margin. So, you may have to bump up your gross margin to $750 or more just to net the $500/bike you need to get your $65K gross personal income target.

If the dirty math works, then keep moving forward.
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Re: Constructive feedback before turning my Hobby, into a Business [BrianJ] [ In reply to ]
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Pricing is the tricky one, and I am still landing on the exact way to get that squared away. I have been going with a 20% total fee for the build, that was inclusive of time finding parts, shipping the parts to me, the build, and any small parts I would need (break cables and what not that would be new for any build).

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Re: Constructive feedback before turning my Hobby, into a Business [Sindre] [ In reply to ]
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That really is the question. What is the value to people on building up a bike, exactly how they want for less than what they would pay at a shop.

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Re: Constructive feedback before turning my Hobby, into a Business [g_lev] [ In reply to ]
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Thank you!! I appreciate that, and it is fixed.

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Questions like this always make me think of this
Do you know how to make a small fortune in the bike industry?
(Insert any other hobby business here - guns, quilts, bikes etc)

Start with a big fortune.

Good luck if you take this on.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I don't see how it could work as a stand alone business. Maybe if you did something like velofix with this?
Last edited by: rjrankin: Jul 23, 19 14:18
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Re: Constructive feedback before turning my Hobby, into a Business [peace242000] [ In reply to ]
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I think you are 100% correct in that there is some competition from the new market place, as well as with shops like the pros closet. The hope would be to differentiate from them by offering a more custom approach, vs a this is what you get. I appreciate that feedback, and you brought up a great point about the competition out there.

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Re: Constructive feedback before turning my Hobby, into a Business [exxxviii] [ In reply to ]
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This is a lot where my head has been on this one, my current plan is to work at this, over the next year, while I continue my day job, with the goal that the day job can work to fund this, and be the running capital I would need to not be keeping that constant 20k of debt. Credit line is fairly well taken care of for it which is a plus. I also assume it would take about a year to create any solid traction towards consistently generating sales.

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Re: Constructive feedback before turning my Hobby, into a Business [rjrankin] [ In reply to ]
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I also coach Triathlon, so my goal would be to combine these two things into one career.

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Re: Constructive feedback before turning my Hobby, into a Business [Rumpled] [ In reply to ]
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haha yeah, lucky for me, a "small fortune" is well more than I am looking for. I live a pretty modest life.

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Problem is that at $2k bike price and less- 20% does not add up to much. Especially if you have to do a lot of creative sourcing to procure all of the items needed for a build.
It is even time consuming when going through legitimate distributors with accounts- much harder if you are looking for deals on everything.

Ground up builds also take a lot of time, effort, skill, and proper tools. You have to be super on point when building bikes as a business. Builds take even more if the bike is internally cabled, even more than that if the bike has hydraulic disc brakes.
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Re: Constructive feedback before turning my Hobby, into a Business [bootsie_cat] [ In reply to ]
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I agree that the builds can be tricky, which is why I work for, and with my local bike shop :)

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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So what's in it for the bike shop?

If you work for them and get parts through them, at some point in time they are going to want a cut-
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Re: Constructive feedback before turning my Hobby, into a Business [bootsie_cat] [ In reply to ]
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Good point, and let me rephrase, this is why I used to work for my local bike shop, and now just buy my parts through them, but have learned a great deal from the mechanical side of things.

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Then you are a leg up.

My intention was not to say that this is a bad idea or can't work, more just stating that it is time and labor intensive and that you need to make the numbers work in a way where you are compensated for your efforts.
You should be "paying" yourself $200-300 for a build depending on how complex. And this doesn't count the time to source everything, pack, ship, etc..

And you want to build in a little fudge factor because once in a while there is a "build from hell" that eats up time and $.

I would do this- Keep detailed cost and time sheets for next few builds. See what your actual time invested is and also what your return is.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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havent really looked through other comments so this might be redundant but this doesn't sound like something I would personally do. If I am buying used I like to be the one who is checking everything out and I think many triathletes have the same type of OCD personality that goes with this. I feel like this isnt a business that would be profitable for you as a full time job, maybe you get some business to make side money but not enough to really earn an income off of
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I'm pretty squarely in your target market. I love the idea of piecing together a fast bike, I just don't have the mechanical knowledge to do it myself.

So how does this work in practice... let's say my budget is 4k. I want to build the absolute fastest 56 TT bike money can buy (for 4k)... I want a disk rear, rear 60, 60 front... doesn't need to be new, but I want it to be nice.

Whatchya got?

If buy a bike from you, am I selecting my components/ wheels/ headset?

Are you selling packages based on inventory you have amassed over time?

Or are my options based on what you find on ebay/ classifieds that week?

What is the turnaround time on a project?
Last edited by: MadTownTRI: Jul 23, 19 16:58
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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It doesn't make sense to buy anything from the bike shop.
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Re: Constructive feedback before turning my Hobby, into a Business [MadTownTRI] [ In reply to ]
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Okay great! So, in a case like this, I would start here, we would chat and figure out what those needs are (you just described a bunch of them, but I have a few more detailed questions). We go over your sizing and what bikes would fit you based on that.

We would first get the specifics of the build you want. Mechanical or Electronic? Do you want SRAM, Shimano, Campy, or no preference? If you have a specific brand of wheels, components, and frame that you want, awesome, Ill work within that. But if your open, than I search out the best deal, for the parts you want.

I do have some "in stock" inventory that you can choose from, also I do have some partnerships with component, wheel, and bar company's so new IS an option for any build, than it goes to the used marketplace.

Turn around time: That is going to be based on what you are looking for, and what your time frame is. In a case like you described, where you dont have your heart set on a specific brand, as long as its a good one, than typically we are looking around 3 weeks. With that said, it can be longer if you are hoping for something rare, or exotic though. Either way I would keep you updated though the whole process!

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Used part on new frames? Huh?
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Re: Constructive feedback before turning my Hobby, into a Business [marklemcd] [ In reply to ]
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The options are open, based on what the budgets, and goals of the client are.

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I am retired/on disability and tinker with bikes because I like it. I have done what you want to do - take requirements and make it work within a budget. And the market for that is so small that you're not going to make a living off it. Between tools, eBay shipping costs, supplies, etc, etc it actually cost me money. I'm fortunate that I can afford to spend some money on my hobby, but if it's your livelihood - I don't know, man. As mentioned above, people want new bikes. It's so much easier to go to your local Trek dealer and grab a Speedconcept off the shelf.

I think the only way to make money on bicycles is if you want to do the repair work your average dad doesn't want to do or can't do, and if you want to do that work cheaper than your LBS. Be prepared to spend a lot of time swearing at seized index shifters, shitty cantilever brakes, rusted out bottom brackets, and similar glamorous jobs.

Citizen of the world, former drunkard. Resident Traumatic Brain Injury advocate.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I did this for three of my bikes, and after the first one I would have paid to have someone track down all the components and put everything together! I think the market would be the triathlete in his/ her second or third year. They’re probably ready to upgrade, know the top models and want the one, but can’t or won’t pay new bike prices. Here the key would be to offer a top quality used frame, and good quality components (105 or Ultrega, not Dura Ace, etc,). Don’t think you’ll make a lot of money, but it would be a good second income business, and if you could keep it local, meet the buyer, have them pick it up (and offer some reasonable cost maintenance), you may avoid the majority of hassles. You would also learn a lot about the process so if you did expand nationally you would have a stronger base to launch from.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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IMO, it's a tricky business...

I did 2 custom build over the last few years... one assembled by the shop, one assembled by myself.

Both took significant amount of time to find, order and assemble the parts (let alone answering my phone calls)... i will not be surprise if both those bikes took 10 hrs of shop time (and probably 50 of mine... but that is a different problem).

Given that not all your bids will be successful and you have few expenses.... you essentially have to charge $+100/hr to make a living doing it. Otherwise you are better to be a bike mechanic and charge $20/hr (with no financial responsibilities)

Also keep in mind that as soon as you put a sign on a building, people will want to negotiate.... and you will need to offer after sale service.


I really like playing the bike mechanic, but i think that in the age of the internet, it's hard to make a leaving at it.


Bike shops make money by spending as little time as possible selling you something that came in as few boxes as possible.
(in my part of the world small shops that offer mostly custom bike struggle, big shop selling generic bikes seams to make good money... sad)
Last edited by: benleg: Jul 23, 19 20:09
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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 i have 14 bikes in my basement, all either bought used or built from parts off ebay, FB marketplace etc... waiting for the right part to pop up on ebay at a good price is very time consuming (i waited 6 months to find a black 26.8 thompson seatpost at <$40 ) One of the posts earlier did rough math having you build and ship a bike every few days to make it work, but finding deals on parts won't allow you to move that quickly. if you're going to move at that speed you'll probably be paying close to retail, and then the whole thing falls apart i would guess.
i don't think it works as a full time job, but as a hobby yes. part of the fun is scoring some good parts at a great price, then the build is the other fun part. turning it around and selling it at cost +20% is nice but keeping it and riding is the most fun part.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Did you ever think about just opening a bike shop ? Although this still would present a lot of challenges, particularly from online retailers etc, you would have a broader customer base than just those wanting custom builds.

Personally I think the niche you are currently looking at might be a bit limited to build a business but I would encourage you to keep iterating ideas until you come up with something a bit more sustainable.
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Re: Constructive feedback before turning my Hobby, into a Business [Behan] [ In reply to ]
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What does your wife think about your plan? Does she think you're crazy?
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Re: Constructive feedback before turning my Hobby, into a Business [BrianJ] [ In reply to ]
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And what about liability. As the person who is buying and selling the used gear I would think that the liability of that would be on you.

This. I personally would never buy or sell a used carbon frame. It's not just legal liability, but personal responsibility. How would you feel if a bike you sold with an invisibly cracked frame caused a serious injury or worse? With the volume being low enough to actually notice and care (if you were doing thousands of bikes it could be easier to justify i.e. he could have fallen off any bike, these things happen).

Sure, you could tap test for free, or if you don't mind adding the extra cost, do an electrical non-destructive test if you can find someone to do one locally. It won't find every fault, but it might be enough to make me feel better if I were to do it (which sounds like a blast—I've pondered doing the same, so I get it).

_____________________________________________________
George Dedopoulos | @geodee | geodee.com | Team Atomica | Toronto Triathlon Club
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Hennessyr wrote:
This is a lot where my head has been on this one, my current plan is to work at this, over the next year, while I continue my day job, with the goal that the day job can work to fund this, and be the running capital I would need to not be keeping that constant 20k of debt. Credit line is fairly well taken care of for it which is a plus. I also assume it would take about a year to create any solid traction towards consistently generating sales.
The great part is that you have a day job with steady income that you can leverage while building the idea. So, I would focus on piloting to prove potential as you grow. So, think about ways to pilot test, not just take orders as they come in, to:
  • Prove that you can consistently earn $500 or more per bike build
  • Attract significant volume of new customers that you do not know
  • Keep a lot of in-process bikes organized (dozens of frames and parts will accumulate for many orders awaiting final build)
  • Afford to keep your savings or credit cards to the limit with parts and stuff
  • Reliably and cost-effectively ship bikes
  • Provide post-delivery support (buyers will have to do some assembly and they will probably mess that up)
  • Build and maintain a high-quality website to represent your business


Maybe create a goal to find 10 new custom build customers in 4 month at $500 profit per bike. That is a small, but significant fraction of your likely target long-term run rate. If you can get 10 bikes to happy customers in a reasonably short window, then evaluate whether you think you can scale that to 10 bikes per month.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I really like this idea BUT, I think your audience is small and this is coming from a guy who would, theoretically be in that target group. Even as a potential member, I have done exactly what you described for my last several builds and saved LOTS of money even with totally new parts in some instances. I’m just not sure I would pay anyone to do that for me (except the small fee to build up the bike) as a primary purpose of the exercise was to save money (and I like scouting various places for deals on parts) and you would be effectively taking some of those savings.
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Re: Constructive feedback before turning my Hobby, into a Business [exxxviii] [ In reply to ]
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Hey all! Thanks for the feedback! This is all exactly what I am looking for!

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Seems like a perfectly good idea. You will have to pay retail for things like cables, chains, tubes, tools, etc and that stuff can add up. If you could get an account with Quality for these items it would make a lot of sense. Shops are expensive because of all the stuff they have to eat, buying a whole roll of housing in pink to match one customer's bike, buying a special Praxis tool for one BB, etc.

Buying bare frames seems to be cost prohibitive at retail. It's not much more money to buy the whole bike with cheap parts.

Hope it works for you, seems like a fun idea.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Seems like you have gotten enough advice about the viability of this as a business from the ST Venture Capitalists above so I will spare you my 2c on that piece. I will say that I would definitely be a customer, whether you made any money or not. I think this is a hole in the market that is filled only by guys that build their own bikes themselves and leaves us without the mechanical knowledge or time with the options of buying stock from retailer or buying used with questionable provenance. Even from pros closet, you only get what you get. ~ 3 years into my first tri bike I am ready for a super bike but my wallet is definitely not and certainly not for a custom build. I think the idea is a good one, which is a better start than most have. Best of luck turning it into a business.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Hennessyr wrote:
Hey all! Thanks for the feedback! This is all exactly what I am looking for!


Just make the difference between; "I will like to use your service" and "I will to pay for your service" :)
Last edited by: benleg: Jul 24, 19 7:35
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Something else you might want to think about for fill in work is assembling bicycles that people purchase online and packing bicycles for shipment. It's pretty quick and simple and you can pick up $50 in a hurry. Mail-order bikes are pretty quick to assemble. Seems like a lot of shops don't want to get into it.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Hennessyr wrote:
haha yeah, lucky for me, a "small fortune" is well more than I am looking for. I live a pretty modest life.

It would have to be a very modest life. As I do the math I don't see how you make much more than $40K a year on both coaching and this bike build idea. And that is if everything goes well for you volume-wise. If you have any volume issues at all you are looking at significantly below $40K a year. The only way this makes sense is if it is your passion and you are willing to be poor for your passion. I think most of us quickly find out that Triathlon is much better kept as a hobby than as a means to make money.

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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Hennessyr wrote:
Thank you for you time, I appreciate any and all feedback!

You can totally do it. Some advice:

Charge a % of your costs for your service (including shipping, packaging, etc) and itemize everything, like construction contractors. Say $500 minimum, or 15% whichever is greater. You want high end bikes, not crap ones. Don't bottom feed.

Make a detailed form for the customer regarding what decisions they need to make and how the process works. Something that they fill out. Streamline it. Communicate via email as much as possible. You don't want to be wasting hours talking on the phone, plus you need a written record of communications.

You can get wholesale contracts direct with manufacturers for some items. I don't know if you can with Sram and Shimano though, and that kinda blows. Maybe if you also source frames direct and build them up, you can get an OEM license. Getting the parts cheap is super important BTW, especially with the price of electronic shifting. If you can undercut bike companies with a superior product, you have a very viable business. As for US wholesalers, you'll need a storefront. But honestly you can buy most stuff from the UK cheaper than QBP.

Custom everything, including paint. You'll need to hook up with people who can do this.

If there are problems (and there will be) it's on you. Take very good care of your customers. Be honest. Don't count your money. On some sales you'll end up making negative $.

It'll be less fun than you think and you won't get rich (probably). But if you do it well, you'll make some money. There are a million ways to make a modest income by providing a service.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Some thoughts:

I think people above did some good math, 130 bikes at year sounds really hard.

I would look into additional ways to build your brand/share the passion/sell goods and services, while you have downtime between builds and scouring the internet for parts. If you explored 5-10 additional avenues it might also lead to more creativity and discovering the one or two ideas that would really click with people.

I'm thinking stuff like slamthatstem.com (a photo feed and a $22 top cap kit with a sweet sticker). What parts could you have custom made and stocked that help people achieve a slick dream build?

Also check out the early days of TriRig.com: https://web.archive.org/...//www.tririg.com:80/. He started off with just news and features of sweet rigs (front door brag: check out the BMC Time Machine!), and then at some point created the first parts.

Stuff like that could also scale better than you in the workstand building one bike at a time, help you get customers and get your name out.

hmm....I think I will also look into this now...
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Re: Constructive feedback before turning my Hobby, into a Business [Behan] [ In reply to ]
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Behan wrote:
Did you ever think about just opening a bike shop ? Although this still would present a lot of challenges, particularly from online retailers etc, you would have a broader customer base than just those wanting custom builds.

Personally I think the niche you are currently looking at might be a bit limited to build a business but I would encourage you to keep iterating ideas until you come up with something a bit more sustainable.

I know so many people who have lost money trying to build a business out of their cycling or triathlon hobby. It is one of the quickest ways to lose a bunch of money. Bike shops all over are closing. Margins are getting ridiculously tight. The shops I have seen who are successful have been ones that specialize in repairs and/or restorations. Those shops also tend to sell new bikes that are on the lower end of the price range- kids bikes, commuters, BMX, low end mountain bikes. None try to specialize in dream bikes. There just is not much of a market. Even before internet sales started hurting bike shops it was a hard business to be successful in.

One of my favorite conversations with a bike shop owner was him explaining the difference between a mountain bike rider and a road rider. A mountain bike rider would buy a new bike, take it out on the trails, and break it somehow. They would show back up in the shop laughing, talking about how much fun they had, and pay for a new part or repair. A road bike rider would buy a bike, ride it for 6 years, wreck or have a part finally wear out, and show up in the shop all upset, wanting the bike fixed for free. I think your business plan leans more toward having the second experience.

I love cycling. I worked for years in a bike shop in sales and as a wrench over 20 years ago. I was pretty good at sales and okay as a wrench. I would never, ever try to make it my business.

---------------

"Remember: a bicycle is an elegant and efficient tool designed for seeking out and defeating people who aren't as good as you."

--BikeSnobNYC
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Hennessyr wrote:
Kestrel Talon Custom
  • Frame: Kestrel Talon
  • Components: 105 - Long Cage 11 speed
  • Bars: Oval and Profile Design Mix
  • Brakes: 105
  • Wheels : HED Jet Plus 5
  • Tires: Vittoria Corsa Tubeless
  • Crank: Rotor Oval

Bikes Direct is currently selling a 105 Talon for $1000. If you can beat that price and still take a cut you are finding some seriously discounted parts. You might be better off just opening an ebay store and re-selling parts.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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It sounds like you are looking to buy yourself a job more than starting a business

Meaning if you don’t work you don’t make money

If this is ok with you I would say go ahead as I do believe there is a need for what you want to do

You would be in fine company with most dentists, accountants, attys and doctors.
Last edited by: MrTri123: Jul 24, 19 14:01
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Just from reading your post and replies, it sounds like the smart business model here is sourcing new and used parts for folks wanting to buy things. Meaning, people tell you what they want and what they are willing to pay, you either have it in inventory or can acquire it via the channels you have developed. Either way, good luck.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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This is an interesting idea.

I might be your target customer. I don’t have the budget to buy the best, but i build the best, or close to it, through an combo of deals, quality used, and new.

The issue is that folks like me that are willing to acquire such a build, enjoy “the hunt”.

And those that are too busy to hunt themselves, but want the gear... probably have the cash to slap down on brand new.

So i think the sell needs to be someone that can build the bike of your dreams/budget, to your specific fit/needs. And you are unique by helping folks navigate the sea of aftermarket choices. Parts contacts will be key.
Last edited by: Rocket_racing: Jul 24, 19 14:20
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Re: Constructive feedback before turning my Hobby, into a Business [Rocket_racing] [ In reply to ]
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Rocket_racing wrote:
The issue is that folks like me that are willing to acquire such a build, enjoy “the hunt”.

And those that are too busy to hunt themselves, but want the gear... probably have the cash to slap down on brand new.

this is a key hurdle.
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Re: Constructive feedback before turning my Hobby, into a Business [rruff] [ In reply to ]
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I appreciate that! I also think thats a good point about how you are looking at pricing, thank you for that advise! I have a couple relationships which will help in a major way, and will get to work on those streamlining ideas.

Insta: Trihennessy - Out Rival Racing Elite Team
- Roka - WattieInk - NormaTec - QUINTANA ROO - Profile Design - Pioneer - Gatorade Endurance
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Re: Constructive feedback before turning my Hobby, into a Business [MrTri123] [ In reply to ]
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My plan definitely involves a lot of work... Sorry for not understanding, what do you mean buy your way a job?

Insta: Trihennessy - Out Rival Racing Elite Team
- Roka - WattieInk - NormaTec - QUINTANA ROO - Profile Design - Pioneer - Gatorade Endurance
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Hennessyr wrote:
I appreciate that! I also think thats a good point about how you are looking at pricing, thank you for that advise! I have a couple relationships which will help in a major way, and will get to work on those streamlining ideas.

What's to keep a person who asks you for a bike from changing their mind? Are you going to get their money upfront?

I could see a person asking you "about a bike". You think of it as an "order" and build the bike. Then they change their mind, or their situation changes, or they keep shopping and find something they like better.

Your competition is the internet and not a LBS. Some of us do what you're offering as a way to upgrade/change out our own bikes. You would be competing with people who are willing to sell for very little (and are not doing it for a living) in order to get it out of their way.

Start listing what parts/builds/services you already have on Craigslist, ST and ebay without investing more time and money. You could find that selling is harder/takes longer than acquiring/doing.

Indoor Triathlete - I thought I was right, until I realized I was wrong.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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I have been around bikes for over 30 years and I always build my own bikes, generally starting with a new or used frameset. I will comment on some things some people have said.

First- used parts is a risk. I have had people lie to me about what I am buying, and I know bikes. I still got taken sometimes. Be careful. I would stay with new, take-off parts only or closeout stuff that is new.

In the end, as a self employed person myself- you will find it takes a lot of sales to make a little profit. Making enough money to truly pay yourself a decent wage, as a career full time, will really tweak this. I honestly think keep it a hobby. Unless.....

You plan to market lots on eBay like “Pro’s closet” has done. If you think you will stay local and do anything more than bikes in your basement, I think the overhead will destroy you. In the end, your basically a used bike store. Regardless if it’s high end bikes... I think you will turn to lower end bikes as you will need the sales.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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There is a guy here who does something similar. Finds a good bargain on quality bikes and components, does bikes up from this and on-sells for a profit. I don't think it is a full-time wage but is a bit of extra cash.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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One way I see this working is if you basically turn yourself into a online or ebay store of used bikes, parts, that also does custom builds on the side.

Deals can be had on used bikes/parts, but they are rarely available exactly when you need them. You'll probably need to constantly be looking for deals, maintaining an inventory, and flipping bikes/parts constantly in between custom build orders.

Yes, this would mean inventory space, but I can't see how this works in a larger volume without inventory space anyway.
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Re: Constructive feedback before turning my Hobby, into a Business [jharris] [ In reply to ]
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jharris wrote:
......generally starting with a new or used frameset.........

Is there a 3rd option besides used or new?

Pink? Maybe. Maybe not. You decide.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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The more I think about this I believe your best bet for a real business would be to source decent frames from China or Taiwan and customize them with new parts... which you purchase with an OEM license primarily. In addition you can scavenge good used parts and offer them on your custom builds as well. But the idea you outlined earlier of scavenging *after* you get a request seems highly problematic. You have no idea how long it will take, what sort of condition the customer will accept, or even if you will find what they want, ever. Way too much back and forth, disappointment, etc. Wasted time.

You'll find out pretty quick that you don't want to dink around with stuff that is a PITA.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Have you thought at all about augmenting this service with others? Not trying to derail your idea but if you added bike fitting for example, you can provide add-ons to juice your margins.

Of course, you’d have to know how/learn to fit bikes, and have a fit bike/studio...could be a cool combo, custom bike building plus fitting plus coaching even. Or one-on-one spin sessions.

I run a home-based business and what I will tell you is that your expenses are always higher than you think. Make yourself a list of everything you can possibly think of that can/will cost you money - office supplies, tools, stamps, envelopes, gas, water cooler, whatever, so you have an idea of what your worst-case scenario P&L might look like. Shipping costs for example can very rapidly destroy any margin you might have had otherwise.

That said, it’s a cool idea and I hope it works out for you.
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Re: Constructive feedback before turning my Hobby, into a Business [japarker24] [ In reply to ]
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japarker24 wrote:
jharris wrote:
......generally starting with a new or used frameset.........

Is there a 3rd option besides used or new?

Yes, stolen.

Where do you live? Lol

Smart a**


FYI- I don’t like buying used carbon frames. Maybe I should have been more clear on why I said new or used.
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Re: Constructive feedback before turning my Hobby, into a Business [jharris] [ In reply to ]
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jharris wrote:
japarker24 wrote:
jharris wrote:
......generally starting with a new or used frameset.........


Is there a 3rd option besides used or new?


Yes, stolen.

Where do you live? Lol

Smart a**


FYI- I don’t like buying used carbon frames. Maybe I should have been more clear on why I said new or used.

LOL. You called me a smart ass for asking a legitimate question. I'll give you a smart ass reply to justify it:

You know stolen isn't a substitute for new or used, right? A stolen bike (frameset) is still going to be either new or used.

Pink? Maybe. Maybe not. You decide.
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Re: Constructive feedback before turning my Hobby, into a Business [japarker24] [ In reply to ]
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I just hope your quality level of build would be a LOT better than your doppelganger's tuned automobiles.

There's hundreds of pages of internet gold on automotive forums about that company. There's even a meme with your name on it already. Well, that person's name, but same name.
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Re: Constructive feedback before turning my Hobby, into a Business [Hennessyr] [ In reply to ]
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Hennessyr wrote:
Pricing is the tricky one, and I am still landing on the exact way to get that squared away. I have been going with a 20% total fee for the build, that was inclusive of time finding parts, shipping the parts to me, the build, and any small parts I would need (break cables and what not that would be new for any build).

Ok, the "break/brake" thing didn't bother me until now...
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