Making A Living On Lures

[Seeking 56]

Once you figure out your cost and profit margin, see if your local tackle shop would consider a consignment agreement.

 

s56

[Braided Line]

Easier said then done!

[Salty's]

Tnx for pointing that out. I'm old enough to be your dad almost twice over. I been around the block. Trying to help you. You are 16...plenty green behind the ears.  Good luck. Just do it right. 

 

I asked how to calculate a dealer price not how to plan my life....

[CustomBaits4You]

Tnx for pointing that out. I'm old enough to be your dad almost twice over. I been around the block. Trying to help you. You are 16...plenty green behind the ears.  Good luck. Just do it right. 

Thanks

[DaveG]

Its the "fish magnet " part that gets me the most, Iv heard this so many times but its never true, with all due respect I cant see how someone could come up with something so different than what already available.

[Travis]

I took the "fish magnet" to mean little to be honest.   Too many years fishing with guys to find out so many know absolutely nothing about catching fish  you come across the one trick ponies, the complete hacks, then the ones that completely humble you as they find and catch fish anywhere.  When guys that do it for a living start inquiring about get one or more then you know you are on to something.

[kevin24018]

Banjo minnow, helicopter lure, what was that other one that you jigged it forward but then glided away from you because of the design and weight placement?  anyway look and see how many "magnets" there have been and how many are still sticking around that isn't old stock in a warehouse.  Take some business courses and do some research there are a lot of formulas for calculating costs and pricing. Most of the time even as a hobby if you can break even you are doing great when you factor supplies,equipment and the waste/fails that happen.  do a search for "fishing lures as seen on tv" everyone has a better idea, but what seems to really last?

[CustomBaits4You]

Cool, thanks everyone. I really appreciate all of the responses.

[Mattlures]

Stores mark up 40% if your lure sells for $10 retail then you sell it to the stores for $6.

[dlaery]

Your $6 and $10 is right

But they mark it up 67% so they make 40%  

[woodieb8]

percentage on markups vary widly. ..the old adage was 40 per-cent. many retailers now with the Asian invasion....garbage.... run with 100per-cent and more... the large retailers bass pro...cabela,s and such are exact copies of wal mart status. offshore crap... ..that makes lure man. in north America hard to compete in an offset arena.

[Kewl]

Rickimaro

I can tell you as the owner of a small fishing and tackle company, look for something else.  My little company took a HUGE loss last year because of deadbeat that dont pay plus inventory you will have to keep to keep people interested in coming into your store.

I had to suppliment my  income with Electronic cigarettes and tey have made more money in 3 months than my 5 year old fishing company ever did.

If you turn your fun hobby into a job, I dont think you will like like it.  I know I didnt but I am committed now.

I will eventually get live bait in the stroe and try to pick up a few people here and there as more of a service but probably nothing more than than.

 

I wish you the best.

Sincerely

 

Mike

[Anglinarcher]

It has been a while since I commented on a similar topic, but you all have me thinking.

 

Some time ago my son and wife (he is an accountant) tried to talk me into at least looking into the possibility starting a lure making business.  Of course he provided all of the spreadsheets required to make "the business" work.  All I had to do was fill in the blanks and let him take care of the rest.

 

Without even looking into my first commercial customer, I could not find any way to make it work.  Of course I based my assumed lure price on similar lures on the market.  There are always similar lures on the market to compare to and then there is market research to see what your customer will pay.  Even if KVD uses the lure, and advertises it, people will still only pay so much for it.

 

Of course, if I factored into the concept that I could have the lures made overseas, I could have made good money, until the lures were copied, undersold, etc.  I actually had contacts that might have made it work, for, what, three years????????  I have not considered actually starting a business since.

 

Another example of how difficult it is to make a fishing company work?  Perhaps!  A local guy that I am friends with had a TV fishing show in the Pacific Northwest.  It was a pretty good show, even excellent.  He is a great fisherman, and his show was very informative.  He had good contacts, good sponsors, good ratings, but when the economy went bad, his show was canceled.  Now this is a guy who had been very successful, so he started a local fishing shop in his parents struggling RV store while he managed the store for them.  Later, when grandpa decided that the store was now making good money again, grandpa took over the managing again: my friend moved his fishing store to a new location.  It did not last more then a year and now it is closed.

 

Now my friend did not make lures, just sold them, but he had great contacts in the industry, and now ........... who knows.

 

Obviously it happens, Cabelas and Bass Pro Shops made it, Strike King made it, Bomber lures made it, Heddon lures made it.  Excalibur seems to be making it.  It can be done, and someone will do it again.  Unfortunately, I can name even more sporting goods companies and lure companies that failed.

 

I don't remember the numbers I was given once before, but I believe that it is something like one in ten start up companies last 10 years.  But, the one that does make it provides economic growth and prosperity for the country.  Sometimes even a comfortable living for the owner.  LOL

 

I suggest that you take your time.  Selling a few lures to local fishing shops is not going to make you rich, or even get you more then a local reputation, but it is a start.  By the time your knowledge of the business has grown, your lure will be either copied or dead, but it is a start.  Get a degree in business.  My degree is in Engineering, so I can build buildings and bridges, but not a company.  Ouch!  With a business degree, with some experience, I suspect that anything is possible.

 

Go for it, being you are only 16, with careful planning and proper education, you may be the next big winner in the business lottery.

[Vodkaman]

I do not agree with the comment 'it has all been done before'. Far from it I would say.

 

Protecting your idea is a difficult and almost futile event. A patent will be necessary if you intend to sell to a larger company. I am currently working in China. Here, copying is normal, accepted business practice. The just look at me in bewilderment when I have a rant on the subject. If you invent a new idea that is popular and successful, it WILL get copied.

 

I wish you lots of success.

 

DAve

[Mattlures]

I agree with Vodkaman. There are new baits and products every year. A lot are recycled ideas but there are always a few that are new and unique. I feel that when guys say there are no new ideas,they are using that as an excuse to steel somebody else's idea or they just can come up with anything new. At the very least there are improved materials and components. Look at swimbaits today. Those old lures look like kids toys compared to todays realism. You may argue that they share similar designs but they are so vastly improved.

There are a couple ways to be successful in the fishing product business.

#1 make a good a product with the cheapest price. Guys will buy it.

#2 is make the best. There will always be a market for the best of anything. If you make the best you can charge what you want.

If your somewhere in between then it gets real tough.

 

You guys want to get rich? I'll give you an idea I have had for over 30 years.

Make a clear hook. Make it like fluorocarbon. Make it strong enough and make it stay sharp. If you can make a clear hook that's 80% comparable to a steel hook, you would be very wealthy.

That would certainly be something new!

Edited July 22, 2014 by Mattlures

[scrubs]

I have been recently making wooden crankbaits and I discovered a new design on accident and its a fish magnet! I want to make a company that sells wooden crankbaits, spinnerbaits, jigs, and maybe buzzbaits. Is this realistic if I can come up with an efficient way to produce them? Do you make a living on a lure business? Thanks

I used to do decorative bird carving as a hobby. After a while I started showing in galleries to pay for the hobby. Might want to consider starting small like that. Local shops, Ebay etc as outlets.

 

bill

[wildwolfproducts]

I asked how to calculate a dealer price not how to plan my life....

Let me see I make a great living doing this. Yes until the end of the year and we figure out all the taxes including 10% Excise tax on anything you make and sell for fishing. Yes that is 10% to the Government for excise tax. Now you can just say I did not know about that tax. You may go 3 to 5 years but they will bust you. Then its the 10% + interest and fines. That runs into big bucks of you sold many at all.

So to figure your price start out knowing what you have in it with making the bait, PLus hardware to rig the bait, Painting,Packaging, Promoting and overhead Without knowing each step and what you have in your baits its hard for someone else to price yours.

Good luck and hope your the next big hit and sell them faster then you can make it. But don't plan on this being your only means of income. If so enjoy the ramen noodle meals and water.

We own 7 injection molds and lots of products out of those. Plus a spin-casting machine and still its just a tax write off for our real jobs.

Pete

[Silo1688]

Honestly, I make enough lures to sell at some tackle shops and online to cover my tournament costs

[RiverMan]

I have been building and selling lures for a decade or so. I have had lures made in China, Mexico, and currently owned injection molds for multiple baits made here in the USA. You can make money at it but it's not easy. Most that jump in are gone within a couple years and many others make just enough to pay for materials and keep going. Lots of things make it difficult, one is offshore competitors, the Chinese copy everything and sell it for almost nothing. The other thing is sites like this one, when I started I spent literally weeks and hundreds of tests trying to figure out how to weight gliders, now you can get this same info online in five minutes. Videos on YouTube show you how to cut baits, weight baits, paint, clear, etc., the end result? Another "new lure company" every week. This information literally used to take years to figure out.

The other thing is there are some very good big lure companies that make it hard to compete, they have their own engineers, their own in-house mold manufacturing, 3D scanners, 3D printers, paint rooms, staff, etc. Unless you have several million for start up its tough.

However, having said all that, it is fun and after all these years I still enjoy it. It can be toxic with all the paints, clears, lead, wood dust, plastics, so one must be carful. I'm not saying it can't be done but it is extremely difficult......

to quote ACDC, it's a long way to the top if you want to rock and roll"

Jed

Edited by RiverMan, Today, 06:14 PM.

Edited July 25, 2014 by RiverMan

[Travis]

Something that always gets me with these threads is what does one define as making a living?   A guy I spoke with a few times was a "commercial" fishermen.  He essentially made enough to pay for gas, a 6 pack of beer, and basic necessities he lived in a camper and moved it from campsite to campsite (primitive sites) as there was a maximum length of stay. He would brag about not working for the man and how great it was but I cringe to think of that as making a living.     

 

Many guys aren't honest with how successful they are or have a very easily obtained "making a living goal".  If one were to make 75k a year, 4 weeks vacation, week sick time, 9 holidays, 2 personal days, 401k with company match, insurance (medical, dental, eye),8 hr a day work week Monday-Friday, SS, Flexible spending, etc...... It adds up to a lot. especially if one has a family and that is also covered by much of this plan.    

 

I know many that run their own business that if something went wrong they are a month away from being government supported (in my book they were never making a living and are just kidding themselves). They spend a lot more time to make less in money usually at the expense of family time.  Others I know are really being supported by a way too generous spouse.   

[Jdeee]

Travis where do I apply???

[Travis]

Jdeee just throwing out numbers that should be doable for someone with a degree/technical background mid aged with continual work experience.  Salary ranges vary considerably on region but if one takes the look at the average starting salary of college graduates upper 30's for humanities and social services (historically one of the lower starting salaries).  Now most of those jobs would have a week vacation starting, holidays, etc.... I know still many that don't get college degrees, nothing wrong with that just wonder when these making a living off of lure threads a lot of making a living depends on ones definition and those that I know that go into their own business often overlook the benefits package as difficult thing to assign dollars for most of us.

 

A full time minimal wage job with basic benefits it seams that based on the same amount of effort in a small lure business you are are going to be financially worse off.  Once one with technical skills, degree, etc... and work experience gets into the equation it seams even less doable unless we are talking going a much bigger route.

 

Of course it can be done and several here have, are, and will be successful.  Just typically I don't see a list of everything one may be giving up mentioned in these threads and something one should look at (just not the take home check) when deciding about trying to make a go at it.

[RiverMan]

And that's why most are doing it as a hobby. There are some but very few are making 75k+ and enough to cover medical insurance, vacation leave, and retirement contribution, very few. Most of us have a day job to pay the bills and allow for the purchase of more lure building supplies, lol.

RM

[Jdeee]

I think that most jobs that you described above, are far and few between right now. Many graduates are coming out of University's and going back to live with mom and dad because they are no suitable jobs for them. The older workers that lose their jobs are forced to work at Walmart for Minimum wage few benefits.

That unfortunately is the situation in North America and I really don't think it will get any better. I was lucky enough to have run a good sized publishing company and retired at 47. I am a very strong advocate of being self employed and always encourage budding entrepreneurs to go for it. I make lures mainly as a hobby and sell a few here and there, but any business can be successful if you put your heart and soul into it and have the brains to adapt to ever changing markets.

When economy's are bad it's the best time to start a business, because it hardens you up for tough times and when good times arrive that's when you make a lot of Money.

The lure business is a niche business that constantly changes, but as all the Boomers start to retire they will want to do something leisure and they will remember the pleasures of fishing of their youth so the market is definitely in place for growth in the coming years.

So to all those who dream of starting a business GO FOR IT. It is the only way your country will ever survive. You might not make it in the lure business but the learning experience is priceless and chances are that you will find something else that will make you a fortune or at least a living much greater than any boss will ever pay you. I have never met a person who became rich working for someone else, I am sure they exist but I have never met one.

Good luck to all you young entrepreneurs make us proud

[ravenlures]

Since I retired this is the perfect hobby for me. I enjoy fishing and since I started to make lures its harder to find time to fish, sure I dreamed of making a business out of this but it is just going to be something that I will end up passing on to my son or grandsons, let them go and have fun their the ones that have alot of time ahead of them. I really like the challenge of making the lure work and then catch some fish with that lure. Getting into business is not going to be easy and from what everyone has said so far backs that up. If you want to get into business go slow till you find out want you really want to do and do it well, from one lure you just might get into fly fishing.

I started with jigs twenty years ago for fun  and now I am making musky lures, right now I will be happy to pay for two trips a year and keep my boat full of gas, for me that is a successfull business.  Good Luck.