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13th December 2007, 05:10 PM #16
Hi
In the new year I'm thinking of starting up a new business as a sole trader so I want to take advantage of any trade discounts obviously. Now being a newb at this I was wondering if people can help me out wrt Bunnings Trade discount.
Being a sole trader is not too significant. For retaillers/wholesalers it tends to be more about quantity and consistancy of purchase.
As far as Bunnings is concerned the trade card is a joke. Unless you spend enormous amounts of cash (several hundred dollars per month) ON A REGULAR BASIS at Bunnings any discount will be negligible.
On my list of powertools I looking at the moment for[*] GMC LMS250 mitre saw - Yes GMC but with 2 years trade I can just chuck it out and I don't need superior precision so seems to fit the bill[*] Cordless drill reasonable compact but with torque - Bosch GSR 12-14V series seems to fit the bill[*] An electric sander (still trying to decide which one)[*] Potentially a saw/router table though can defer. It'd be a nice to have
for convenience but might leave it till I actually need it.
If you intend to enter into a business that involves tools, you would be better off assessing the tools you need by reviewing at any tool store. Ask questions about the tools of which you like the look/feel/cost etc.
From this assessment you can produce a short list of the "precise" tools you want and will also have "some" experience of the retailler (the questions session). Your next step would be to ask several vendors to provode you a quote on the tools you want, advising the vendors that they are not the only people quoting on your needs.
It may be advantageous to advise the vendor of your intended business but I doubt it will help much. The vendor would like to see regular and frequent trade from you and unless you have tradespeople working for you, tools are not a frequent purchase after the initial setup.
HTH
[*] A bunch of network tools but that's not really a hardware woodworking discussionKind Regards
Peter
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13th December 2007 05:10 PM # ADSGoogle Adsense Advertisement
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13th December 2007, 05:14 PM #17.
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They are not guarantors but proof that you are a good regular paying customer with no outstanding debt. As the Bloody Thumb pointed out " Buggered if I know how you would fare starting up these days" Well that is tricky, but if you are fair dinkum about starting a business then you will work out a way of getting an account.
I dont blame them for wanting references.Two of the timber companys i have accounts with have lost so much money from furnituremakers/cabinetmakers going bust and some just disappearing its not funny.
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13th December 2007, 06:17 PM #18Intermediate Member
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Well no problem being brutal. I'm pretty thick skinned. I'm not planning to open up a construction company with 100's of people onboard. It's more a two man op doing network installs for commercial/home installations combined with consultancy services for network design etc. Persoanally I don't want to load up the van with a million tools right from the start. My strategy is to have a bunch of general purpose woodworking tools onhand and as we get specific jobs to evaluate the site and see what else is required and purchase it building up the kit as we go along. I don't want to purchase kit unecessarily straight from the start which just sucks up cash and space and isn't used. I just want some basic tools to get simple construction done when required at the start and take it from there. The networking & electrical side is covered from a list of tools requirements but I didn't include that because it's kind of off topic from a power tools perspective. I'm not going to bore you with discussions about network analysers etc.
Hopefully setting up cash trade accounts will solve some reference problems and I'll take it from there. I appreciate trade centres want you to lay down thousands a month with each one alone but as a startup two man operation I think thats unreasonable and hopefully I'll find someone willing to give me a break.
I really can't understand how people can keep buying powertools over and over again in short periods consistencyand in large quantities unless they sell powertools retail so I'm a little surprised powertool suppliers have that expectation from a trade perspective. Surely you would prefer to have a casual customer than no customer at all, especially if they are happy to pay cash upfront. Not to mention that while you are instore you might be tempted to get more.
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13th December 2007, 07:36 PM #19Deceased
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Seeing you don't mind brutal honest opinions, I'll give you mine.
It appears that you want to start a small business installing networks and so you may need to do cabling and need a few woodworking tools. The tools you are talking about are low quality and price costing maybe $400 as well as a second hand Triton workbench, and an obsolete MK3 costing about $ 100 will do.
That is what I call chickenfeed for tool purchases, as most of us would have spent at least ten times that to equip their workshops, most spend five times that just to buy a TS. BTW I spent more on dust collection than your whole tool outlay.
So you would be spending less than the average DIY spends in a year and yet you want trade discounts.
And you want trade accounts for those purchases as well.
To most retailers it will sound like a DIYer trying to get extra discounts.
Peter.
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13th December 2007, 08:13 PM #20Intermediate Member
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Well if I'm not being realistic on the trade discounts so be it. I'm not going to go out an spend $100,000 on tools that I don't need jus to look like a big time tradie. I'll try for trade and if I get it I get it. To me I'd rather have a customer spend money than lose that person to the likes of Bunnings or M10 or another shop, especially if the person is willing to pay cash upfront like I am for no risk and a sale.
I've kind of already factored in the costs at no trade for some of the lesser items but there is no harm in trying and for the person that gives me a chance might find that by the end of the year I've spent up big building my toolkit. It's just taken me a year to do it rather than one large purchase and given that I offer no risk of credit loss since I'm willing to pay cash upfront I think it's a risk a trade shop should take. I can't see a loss for them.
My way of looknig at business is that I'd rather have a customer think of me when they need something even if they only use me once in 5 years than not think of me at all when it comes to a purchase, especially if they pay cash upfront. I'm hoping trade centres adopt a similar attitude. I'm sure I'll find one somewhere which is hungry for business.
If there is anyone in Sydney who is a small business and isn't spending $100,000's a quarter on tools and knows of a powertools place that is happy to deal with the small timer (willing to pay cash up front with no credit requirement for the moment) please PM me. It will be kept in confidence and much appreciated.
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13th December 2007, 11:03 PM #21
Think you've got all your info above.
I work at Bunnings.
Bunnings as a large organisation are really only interested in trade accounts that have reasonable volume going through them. As mentioned, specific trades get discount on relevant products - eg. plasterers would get discounted gyprock, compounds, etc. They are very aggressive at the moment to obtain market share in trade, but I guess with their size they are able to be selective about what they pick up.
Trade cash cards seem to get bugger all discount so may not be worth your while.
As mentioned, the tool list you mention above does read more like a DIYers list than a tradesman who lives on his tools. Not a criticism in the slightest; but I think your best shot is to just shop around & get the best deal on the tools you mentioned. Wouldn't hurt to finalise your exact list & fax it around to all the local businesses that could supply & request a quote on the lot.
Good luck with your new business.
Cheers.....................Sean
The beatings will continue until morale improves.
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13th December 2007, 11:17 PM #22Senior Member
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If I was going to start a small business in tools, I would first establish a credit line with my bank, then approach companies that acctually make the tools ..dewalt, ryobi etc ....and accept goods on consignment for a set period of time, say 90 days, before I had to pay for them, this gives me stock to play with, time to make a buck, without forking out cash and hoping someone buys something ...the costs of running a small shop these days can vary from small to huge, and you dont want to waste it by paying the middleman and earning peanuts .....my advise ...speak to a business consultant and your bank manager, and weigh up the pro's and con's....the tax department can be quite helpful too, nothing to fear from them, its their job to help you be aware of your liabilities in the business world....whatever you decide ......lets hope its an informed decision, and good luck to you.
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13th December 2007, 11:42 PM #23SENIOR MEMBER
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There's no secret tool organization that would require a PM or confidential treatment.
As has been mentioned, you're not exactly spending much dough there. You've got three choices as I see it.
1. If you want decent tools then most tool shops such as Total Tools will be around the same price, but a few phone calls may save you a few bucks.
2. Keep an eye on eBay for a decent tool that you'll save a bit of money on by taking a risk and foregoing a warranty.
3. If you want the bottom end, GMC, Ozito type stuff then just go to Bunnings/BigW/Target etc. and fork over the readies.
I just bought an $80 Ryobi belt sander to replace the $49 Ozito jobby that blew up after doing some miles of hard yards. If the Ryobi blows up within two years I'll get it replaced under warranty. I didn't make a big deal about getting a few pennies discount on a two bob belt sander. I just handed over the cash and walked out with a belt sander.
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13th December 2007, 11:53 PM #24My way of looknig at business is that I'd rather have a customer think of me when they need something even if they only use me once in 5 years than not think of me at all when it comes to a purchase, especially if they pay cash upfront.
many customers appreciate a tradie who cleans up his mess, or better yet doesn't make a mess in the first place.
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13th December 2007, 11:55 PM #25Intermediate Member
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14th December 2007, 12:29 PM #26
I wish you all the best in your new venture.
Hmmm? To what "bunch of general purpose woodworking tools" are you referring? I have installed MANY network and serial communication cables, including installations in multistorey commercial buildings. The only tools really needed are essentially a GOOD drill, masonry bits, a few hole saws and a "snake" (for pulling the cable through cavities).
I don't see a need for a table saw or even a SCMS, unless you are going to build cabinets or simmilar to house the network routers etc. Nowadays it is MUCH easier to buy such cabinets, even for use in private homes.
I don't want to purchase kit unecessarily straight from the start which just sucks up cash and space and isn't used. I just want some basic tools to get simple construction done when required at the start and take it from there.
The networking & electrical side is covered from a list of tools requirements but I didn't include that because it's kind of off topic from a power tools perspective. I'm not going to bore you with discussions about network analysers etc.
especially if they are happy to pay cash upfront.
My last tool purchase was for a metal cutting bandsaw for $500. This is more (for ONE tool) than your projected tool outlay, and I did not expect a "trade discount" I did not get one eitherKind Regards
Peter
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14th December 2007, 01:46 PM #27Intermediate Member
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I don't want to go into too many details as there isn't much point but initially the business was going to be consultancy and network design inthe corporate sector, not just ethernet installs either. After a bit of examination we decided it wouldn't be too much cost to offer an all round service and cater to the occasional home user although that won't be the primary market by any stretch of the imagination. More of a backup plan to tide us over as the business starts. I don't plan on just setting up a simple ethernet networks. Plenty of cablers around to do that already. As you point out most home installs are wi-fi and frankly don't need a pro. They are adequate for light users but anyone who needs a serious network can't go past wired.
To All:
Appreciate all the input. Seems trade discount for the small amount of powertools I foresee might be a problem to get. Not a big deal really but it doesn't hurt to try so we'll see how it goes.
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14th December 2007, 03:10 PM #28
Well everyone else has bought into this one so I will add my 2 cents worth.
Seeing you live in Sydney I would be buying any timber and odd bits of hardware and pay cash at Bunnings or Mitre 10 or look for a dedicated builders hardware and whatever you buy just add 10% to the material cost for your trouble.
As far as power tools go try Gasweld they will always offer a discount.
As far as your network cable and fitting etc. I would go to an Electrical Wholesaler such Cetnaj, Lawrence & Hanson or one of the others.
I don't like to rain on your parade but:
What you have to remember you will be competing with most electricians as most of the them do data cabling as well as TV cabling especially on new homes as they rough in for the electrical.
The other thing now is the Telstra Shops are offering all that type of service when people are putting in their Broadband and I don't know if it is like it is up here the TV antenna installers are offering data cabling along with the TV cabling.
Anyway good luck with it.
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14th December 2007, 10:19 PM #29Hammer Head
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for tools go to sydney tools, when you buy from them the first time they will add you to there system all purchases go onto your "cash account" so that if a repair is required they can just print the purschase invoice off, they also are able to do good prices on most items.
we buy from all of there stores and since all the purschases are stored on the system each store is offering biger and biger discounts each time we buy to get us to come back to there shop.
see these guys when you go the shop they all ways give better prices then the other guys who work in the shops.
dulwich hill - jason
alexindra- matt
brookvale - sam or jack
castle hill - deno
bunnings trade card is a joke of a system this year we have spent in the region of 500k on timber from mitre 10 home hardware and a timber yard. bunnings have got just bits and peices since there "trade card" only gives me $1.00 off a $100.00 bill. not worth the effort.
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14th December 2007, 10:30 PM #30Intermediate Member
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