Firewood info i bought

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DDM

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okay i bought this CD with resale rights why did i buy it? I have no clue but instead of selling it here it is.Whether it will be helpful or not i do not know.Sounded better in the Ad.

How To Start And Operate Your Own Firewood Supply Business
Unpredictable fuel costs and the necessity of keeping warm in
the winter have resulted in "boom sales" for manufactures of
wood-burning stoves. There has also been a return to the use
of the fireplace as a form of supplementary heat and as a
luxury that promotes the "cozy" atmosphere sought after by
both middle class and affluent families. This renaissance in
the popularity of wood heat, and upward spiraling sales of
associated equipment, has created a demand for firewood that's
almost impossible to fulfill.
A very important element: This demand has caused the price of
firewood to almost double over the past several years.
Whatever the "going price" for a cord of firewood in your
area, you can expect it to increase by 20 to 30 percent each
year for the next ten years or so.
Your potential market is a varied as the weather; it is also
somewhat dependent on the weather. You'll find buyers among
apartment dwellers as well as home owners. The rich buying
firewood perhaps more than the poor; those concerned with
the purity of the environment and the so-called "voluntary-
simplicity" folk seeking a return to the "pioneering" life
are all part of your market.
And don't think for a minute that firewood sales are limited
to the colder northern states. people living in Sunny
Southern California and along the Gulf of Mexico buy and
burn firewood for the same reasons as people living in
Minnesota and Montana.
One of the secrets of success in this business is understanding
why the people in your area burn firewood. Then it's a matter
of learning when and how often they need it, and positioning
yourself to fill those needs.
It doesn't take special education or training to become
successful firewood supplier. Just for the record, the
backgrounds of people operating businesses of this kind
range from farmers to unemployed factory workers to
doctors, lawyers, real estate salesman and even university
professors.
The kind of equipment you'll need varies according to the
type of business you want to establish, and the kind of wood
you will be supplying.
The first prerequisite to the establishment of your business
is to decide what kind of business---wholesale to retail
outlets, or retail to the general public--you want to operate.
Next, you'll have to decide on the type of firewood you will
sell. There are three major categories: 1) mill ends or sawed
up scrap lumber and kindling, 2) whole logs for the buyer to

cut according to his own specifications, 3) fireplace and
stove wood, cut and split according to the general requirements
of your market area.
Your next step is to line up a source of supply. Actually, it's
best to "lock in" a number of sources of supply. Later on, as
your business develops and grows, you may want to offer several
different kinds of firewood, that is, become a full-service
dealer offering firewood to meet everyone's needs and fancies
for your area. We'll discuss different categories of wood and
demand, so that you can explore sources of supply and costs.
MILL ENDS: Your best source of supply for this type of wood is
the sawmills in your area. If you live in a metropolitan area,
take a few weekend trips to the small towns in the wooded areas
of your state. With a little bit of initiative on your part,
you should be able to discover any number of small sawmill
operations within a 200-mile radius most metropolitan areas
in this country.
What you'll want to do is buy a truckload of mill ends, take
them home and package them into sacks of firewood. Thus, a
load of mill ends that you might buy for $50 would be broken
down into perhaps 200 sackfuls that you sell for $10 per sack.
Multiply these 200 sacks of firewood times $10 each, and you
have a gross income of $2,000 for a load of wood costing you
only $50. You wouldn't have to be very smart to realize that's
pretty good, providing your sources of supply can keeps us
with the demand.
The beauty of mill ends is that they are clean, burn down into
sackfuls are fast, put out a lot of heat, and when broken down
into sackfuls are ideal for apartment dwellers, as well as
people in warmer climates needing firewood for just a few cold
spells each winter. Until you have a large full-service
firewood supply operation, it's suggested that you leave the
sale of truckload supplies of mill ends to the larger, more
established firewood suppliers. My advice here is that you
should stay within the capabilities of supplying the buying
demands of your market, and further concentrate on selling
what brings you the greatest profit. However, as your
operation grows, the supply of truckloads of mill end
firewood is definitely worth considering.
Other sources of supply for mill end will be your local
lumbar yards, woodworking or furniture manufacturing firms,
and home building or remodeling contractors. in many instances,
you can offer to stop by these places about once a week and
clean up the worksite by hauling away the scrap lumbar, and
they'll let you have it without cost. It is possible to even
get paid for doing this. The only drawback will be that you'll
have to sort this wood, and then saw it up into the sizes you
want for your bundles or sacks. This is no big deal, because
you can handle a pickup or trailer load with a power saw in
just a couple of hours.

When you have the wood ready to package into sacks, you'll
save time and increase your profits by hiring a couple of
high school, explain that you need a couple of students for
part time work sacking firewood, and you'll have all the
help you need.
As for how much to pay them, establish a pay rate for 100
full sacks. Of two high school students, one would hold open
a sack while the other uses a scoop shovel to pick up the
wood and dump it into the sack. Between them, they can gather
the top of the sack and tie it with twine. The full sacks,
of course, must be stacked on a pallet or in a area ready
for selling. Check the time it takes two good students,
working at a reasonably fast clip, to load 100 sacks.
Knowing the current minimum hourly wage rate, you can then
determine the labor value of 100 loaded sacks.
For a supply of burlap bags for use in sacking wood, check
with a farmer's feed store. If you buy in quantity, you can
get them at a very reasonable price. You can purchase twine
for tying the sacks at the same place.
WHOLE LOGS: Many people have chain saws and fancy themselves
as "do-it-yourselfs," but they don't have the time to go out
into the woods and bring back firewood. If you can supply
these people with a location not too far from home, where
they can saw and split their own firewood, you'll have a
steady stream of customers. You'll need a large vacant lot--
about a half acre to a full acre---and preferably on the
outskirts of town. The first thing will be to put up a
6-foot cyclone fence around your lot, and then a small
garden shed type building to serve as your office.
Contact a sawmill or logging operation not too far from
where you want to open your business. Arrange with them
to deliver whole logs (lumbar rejects) to your wood lot.
Your costs shouldn't run much more than $10 per log,
even for premium wood, but will depend upon the size
and number delivered in each load.
If you have the vehicle and the energy, you can also
contact the Forest Service or the Bureau of Land
Management in your area for a permit to cut firewood
in government preservation area. Then you go out into
the woods, saw up downed trees into eight-foot lengths,
load them into your vehicle and haul them to your woodlot.
Still another source of supply is the farmers in your
area. Talk with them and offer to "thin out" area of
standing timber, and the downed trees. Oftentimes, you
can get this wood at no cost other than offering the land
owners a share of the timber you take out. He may even
consider your "thinning" and hauling an even exchange
for logs.
Don't forget about the road building construction

companies, and commercial and residential developers as
sources of supply. Actually, once you get into the business
you'll find sources of supply virtually unlimited, and
restricted only by your initiative in making contact with
the property owners.
once you have a supply of logs within your wood lot, there
are many things you can do to attract customers. Run an
advertisement in your local paper inviting "do-it-yourselfers"
to come out and cut their own firewood. You charge them
twice as much per log as your cost, and they do the sawing,
the splitting, the loading and provide their own car or
truck to take them home. You are only to supervise and
receive payment.
You could also rent chain saws, axes and the use of your
power splitter. Allow the customer to select the log of his
choice, and then have the hired help--high school students,
perhaps--who would saw, split and load this wood into the
buyer's vehicle. The ultimate, of course, would be to
include delivery and stacking of this wood at the customer's
residence.
Once the customer has selected his log--at twice your
costs--and pays you $10 for sawing it into the lengths he
wants, plus $20 for splitting it for him and another $20
for loading it onto his vehicle, you're talking about $300
to $400 per cord of wood. The secret here is to have your
helpers working in teams, with the kind of efficiency that
means well over $150 per hour for you.
 
FIREPLACE AND STOVE WOOD: In running a program of pre-cut
and split fireplace and stove wood, you combine all the
principles we've discussed so far, into either a wholesale
or retail firewood supply sales outlet.
The easiest and most profitable operating procedure is to
set up a wood lot where whole logs are delivered to your
location. Part-time workers saw these logs into 16 to 24
lengths for you. A couple of people with chain saws should
be able to cut two cords of wood per hour. A couple of
people working a power log splitter should be able to keep
up with the people on chain saws. And a couple of other
people stacking this wood onto pallets as it's split, or
for storage until sold, would be all the help your need.
If you can set your business up along these lines, you'll
realize the greatest profits and not have to get involved
in the physical part of the business. The big thing to
remember is that--as the business owner and operator---
your time should be devoted to selling the end product.
If you decide to be a wholesale supplier, and sell to
retailers, advertise for and hire commission sales people
to call on the retail outlets in your area. You'll need
help in covering all the possible opportunities for retail

sales of your firewood.
You should be selling sacks and pallet loads of firewood.
remember: The more you can divide a basic cord of firewood
into sacks or pallet loads, the greater profit you're going
to make from each cord of wood you sell.
You'll find most people buying cords or truckload quantities
of firewood before cold weather sets in, and after that,
people will buy in quantities only large enough to get by,
or to last out a sudden cold public, after setting up retail
sales outlets, be sure that your prices at least "average"
those being charged by the retail sellers. Never "undercut"
the price your retail people are charging.
If you decide to do all the selling yourself--in other words,
act as your own retail outlet--you'll need to advertise.
Start out with a large three-column wide, by four-inch deep
display ad in your local paper. Unless you've had advertising
experience, at least contact the advertising instruction
class at your local community college for help in layout and
writing of this ad. If you're not far from a large
metropolitan area, you can often contact the advertising
agencies in that area, and get freelance help to assist in
the makeup of your advertising.
Plan the appearances of this ads for a Saturday morning paper.
Make your opening a big event--much as the same as a grand
opening or special anniversary sale--with free coffee, donuts
and balloons for the children. Ideally, the opening of this
kind of business should be staged on a weekend in late
September or early October, and designed to acquaint the
people in your area with your firewood business.
Get the name, address and phone number of everyone who shows
up. This can be handled very unobtrusively by giving away
free prizes requiring the attendees to your event to fill
out simple prize drawing forms. The prizes can be a free
cord of wood, dinner for two at a local restaurant, or even
movie passes.
The whole purpose of your grand opening show is to let
people know that you're open to serve their needs; to get
them to discover your location; and to implant in their
minds the memory that you can supply them with the means
to keep warm when the weather turns cold.
Quite naturally, many will find your services to be more
convenient, time-saving and less bother that whatever methods
they're currently using. As you talk with your customers,
listen to their "complaints" about their present methods of
firewood procurement, and then alleviate those problems with
the services you provide.
After your grand opening, a small 2 by 4 inches display ad

in the yellow pages of your telephone directory plus the
posting of advertising circulars and business cards left
with woodstove and fireplace suppliers, insulation and
remodeling contractors and lumbar yards in you area is
about all the advertising you'll need to do. However, it
would be wise to follow the lead of the "snow tire" people,
and whenever the weather forecast shows a cold front or
winter storm moving in, invest some money in radio and
newspaper advertising.
Statistics prove that 20 percent of your potential market
will prepare for cold weather by purchasing before the cold
weather sets in. Another 30 percent of the market will wait
until the first cold snap hits, then buy from the first
supplier that comes to mind. Finally, the remaining people
will have to be "sold" via suggestion of the benefits your
business provides.
This is the period when you begin profiting from those names,
addresses and telephone numbers of the people who turned out
to your big opening event. Simply set up a telephone selling
program utilizing the services of commission telephone sales
people, and follow up on those who had registered.
You can conceivably operate this business from your home or
backyard, and definitely on a part-time basis, but their
prospects of immediate success, with outstanding profits
are so great that it would be wise to plan on a big
operation from the start.
A receipt pad for taking orders, a "daily diary" or ledger
type of bookkeeping system, a calculator and a telephone
should suffice for office supplies and equipment. Until
you're over the hump on the profit side, you can keep your
sales receipts in a shoebox or daily staple together and
store in chronological order.
A couple of other points remember: Hardwood burns the
longest and gives off the most heat; firewood that has
been cut in the spring and seasoned through the summer
is the kind most people will be willing to pay premium
prices for; and giving the customers a "little extra" for
his money will result in greater and longer lasting success
than quick profit schemes.
Once you've got your basis firewood supply business on a
profitable basis and running smoothly, you'll find your
facilities and business expertise ideally suited to adding
extra profit producing lines such as the sale of firewood
accessories, woodstoves, built-in fireplaces, home
insulation or weathering services, recycling and perhaps
even home remodeling.
 
Year Round Income From Your Firewood Business
Every home with a chimney and every (real) BAR-BE-QUE needs
firewood. The homeowner or restaurateur seldom has the time or
means of to go after and cut his own firewood. On the other hand,
there are farms and lots covered with leaves and heavy brush
whose owners don't have time or energy to clear. If you combine
these two problems the solution to both may be a profitable
business!
Cut firewood sells for $50 to $200 a cord these days (depending
on the season and part of the country).
A cord of wood is 128 cubic feet (a stack 2 feet wide, eight feet
long and eight feet high, or four feet wide, eight feet long and
4 feet high), or a good 3/4 ton pickup load.
A couple of people with a chain saw could fill their truck with
poles (small logs), take them to the "yard" and saw them into
firewood, then load, deliver and stack the wood in a few hours
time.
 
With a larger truck, they could do two cords at a time: twice the
profit with only about 25% more cost and effort. You can cut
poles to insert in the pickup or truck bed to form a "rack" to
hold the maximum load. Be sure to run a cable or heavy rope
across the load at the top of your rack poles to make them secure
(keep them from bending outward).
It would also be wise to measure your truck so you can show marks
to indicate a half cord, full cord, etc.. to save loading time
and possibly, arguments.
An easy way to do this is to compute the area of the bed and
divide that into 128.
For example, if your truck bed is 4 x 8
feet, or 32 square feet, divide that
into 128 to get 4. This means when the
wood fills the bed and is 4 feet high,
it is one cord of firewood.
Prices for firewood vary with type (oak or elm), age (green or
dry), whether or not it is split, the amount purchased, and if it
is delivered and/or stacked by the seller.
Split, seasoned wood brings the highest prices -- some vendors
invest in hydraulic wood splitters for this reason. The price of
firewood is also affected by the season and often, for a
temperature. A cold winter stirs yearning for a nice warm glow in
the fireplace -- especially Christmas.
For this business, you will need a place to saw to length, split
and store your firewood; preferably a place where people can come
load their car trunks and pickup.

A truck is a necessity, as are a couple of chain saws and
crosscut saw -- and a wood splitter would be nice. Your yard does
not have to be in an exclusive area - just so people who want
firewood can find it and it's not too far out.
Put signs on your truck so people can
get your name and phone number when
they see a truck loaded with firewood.
Put a small ad in the paper as winter
approaches, and if you can afford it, also
put an ad in the yellow pages.
This is not a business where fancy letterhead stationery and
business cards are all that important, but it would not be a bad
idea to have a business card to hand out to people who might want
to call on you later.
You must have a telephone, however, and it would also be wise to
have a sign at your wood yard, especially if it can be seen by
passers by: why waste the advertising opportunity?
In your wood yard, arrange your products by category and make
EASY to sell. Stack your firewood by type wood, size of the logs
and length (you will soon learn the most popular wood and size in
your area. You can also save a few poles that can be cut to
custom lengths (some people have unusual sized fireplaces or
bar-be-ques).
If you live in an area with termites, invest in a gallon of
chlordane and spray the ground (never the wood) before you stack
the wood. It is also advisable to place a treated wood (like
landscape timers) as a base, so your firewood does not actually
touch the ground (this keeps it cleaner too).
You can apply the chlordane with a inexpensive hand sprayer --
just be sure to follow the directions on the label EXPLICITLY.
DO NOT get the spray on the wood, as it is extremely toxic and
could cause dangerous fumes when burned.. A single chlordane
treatment will last up to twenty years (it does not break down
like many other chemicals).
During the summer quiet times, make a few wood holders that
measure out a half, quarter cord when filled. These can be used
to measure wood that is loaded into the trunk of a car or back of
a pickup.. Smaller holders can be used to measure out bundles of
wood and/or kindling that is tied into bundles.
If you do a lot of sawing at the yard, save any valuable sawdust,
like hickory or mesquite, which can be sold as "flavoring."
Note that if you burn charcoal or ordinary wood, you can dampen
hickory sawdust and sprinkle it around the edges for a hickory

smoked effect. It may not be the same as real hickory smoke, but
it is better than nothing - this idea has been profitable to many
a wood yard!
Another trick is to tie bundles of wood of about 15 pounds and
wholesale them to stores for winter sales. You can also sell
these bundles along the highway on cold days, especially during
the holiday season. Vendors have really make good money doing
this.. The price per cord for wood sold in these small bundles is
awesome. Also, don't throw away those small pieces -- package and
sell them as kindling.
If you have enough business, it could even be profitable to
invest in a composter -- something like the city uses to chop up
trimmed tree limbs so they will fit into their truck (consider
buying their chopped brush!).
With a composter, you can turn waste sawdust, leaves, small
branches and twigs into compost that can be sold by the sack or
cubic yard. When considering a composter, make sure to think
about using it a work sites.
For example if you clear a large lot, you can compost the trash
and harvest the firewood. This would undoubtedly make your
clearing service more valuable.
You might also check into picking up left over lumber from lumber
yards, construction projects and tree trimmers. Perhaps you could
even sell newspaper logs ( or the machine that makes them).
The message here is to figure out how to make a profit from what
would otherwise be wasted time, effort or material. This is often
the difference between a successful business and one that just
survives.
Naturally, your heaviest firewood sales will be in winter, which
means your income may be limited in summer when you are preparing
for the selling season.
It is possible to receive some income from clearing lots and
removing trees, however, and there are always the restaurants and
BAR-BE-QUE houses. The bottom lines is that with a part-time
summer effort and a modest investment, you can have a very nice
winter income.
 
cliff_notes.gif


?? :D
 
Like i said it was marketed very well and very over stated. Might help someone though. There was some good bonus stuff on the CD though.
 
oh yeah..........

........i really need a bunch of "do-it-yourselfers" wielding chainsaws and logsplitters in a woodlot i'm trying to supervise.

lawsuit city...........
 
David

Thank You!

That was very informative! I got a few good ideas from it and it inspired a few more! Your on my "I owe You a Beer" list !

Cord Arrow dose make a point about Law Suits, as there is not much that you can do that would keep you safe from a law suit. But it dose bring up the idea of making your firewood business an LLC.

Thanks David!

Kevin
 
LLC status would just slow the lawsuit down. I don't do "you haul" firewood from my property anymore. My insurance costs went down after the fact. Crazy people out in the world just waiting for the opportunity to sue your arse, don't give em' any ammunition.
 
JP Hallman

Your so right about the type that are just looking for a chance to sue!

The simple idea that a business is insured opens the door for both Lawyers (as in there is money to start the case) But having an LLC simply limits the "liability" it can even lower your road insurance, while your in route of doing your business.

LLC's are perhaps the biggest red flag there is to a rapacious Lawyer , as the Limit is set on how much he would get if he did win a case against you!

If your LLC had , (just from the text David posted) , say, 600' of chain link fence, a Tool Shed, a couple of WildThings (from a garage sale,, they wouldent even need to run) , an axe or 2, a Generator and a Coffee Pot,and a few racks of firewood and an old beater truck ,,,,,, thats all they could get in a lawsuit!

I think you could even be leasing your wood-lot, from your-self (for the wood business), and they cant touch it (?)

The word "Frivolous" goes on to every "counter suit" why not make that word look more real to an opposing Lawyer?


You know that you can tell the difference from road-kill and a Lawyer on the side of the road?,,,,,,,,,, as there are usually skid marks before the road-kill!

Kevin
 
You're right on the "Limited" part, hence Limited Liability Company. The "problem" is the fact an LLC sends a message of a more organized business. One with more property to abscond with. The attorney's out for his fee which he/she'll get no matter the outcome. The attorney gets a boat payment and you're in court spending money instead of the woodyard making money. Limited to me is knowing I'll nip the problem in the bud before it happens. NO ONE but myself, employees and family/friends set foot in the wood yard. Anyone else is tresspassing and will be dealt with as needed.
 
well, it's not bundled, but i get a great big truckload of "shaves", the outer-most part of the log that's cut off first, at the local yard for $40, all i can load and rick on a one-ton.

they cut 'em right at 16". pile 'em WAY up to the sky. they sell a bunch of this stuff.

now, i can load and rick with the best of them. i'll get 'er squatin' if ya give me enough time.

people like this stuff, don't know why, guess 'cause it's easy to light and burn, whatever.

one fellow i sell it to shrink-wraps the stuff and sells it at the local super and convinence stores. staples a handle on it. gets 3.99 for ten pieces. 'bout two hours worth of heat , if ya conserve........

rest of the folks pay from $80 to $200 for the same load. depends if you care to drive to the rich side of town. if the mill's cuttin' fruitwood, ya can get three.

granted, i ain't doin' much rickin' for $80, but for $200, they're gettin' their money's worth. at least in their minds. and that's all that really matters. they always call for more...........
 
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