You are reading a single comment by @LeMesjeu and its replies. Click here to read the full conversation.
  • It’s a pretty good point. I don’t think I dispute a $10k figure for tooling and jigs (because those sorts of costs mount up pretty quickly) but you do have to question how many of these they’ll ever sell. It’s a pretty limited market.

  • Now that I think about it and had a couple more coffees. They probably produce all their stuff in the east so production cost is actualy just time slots in some welding and finishing factory that runs 24/7.

    The R&D that goes into a kickstand should be just a CAD model with stress analasys.

    So either their prodcution facility is invoicing them too much or Benno is paying himself genourisly.

    Also, I suspect the kickstand is mounted on their bikes too, so a premium with a better margin for products sold seperatly is not bad startegy at all. As volume orders would generaly equal to a lower cost per unit.

About

Avatar for LeMesjeu @LeMesjeu started