Starting a Sup company what to expect?

NoahsArk

Member
What should I be looking at
Me an my bro are investing 15k into


I'm looking for the powders and all. Idk anything yet
 
NoahsArk said:
What should I be looking at
Me an my bro are investing 15k into


I'm looking for the powders and all. Idk anything yet
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15k will buy you the needed "silica gel desiccant dry packs" for your future supplements.
 
If you ask one side, it will cost you 1 Bajillion Dollars, you will need a staff of 100 MDs and PhDs, and you will do nothing but undergo inspections from the FDA 24/7.

If you ask the other side, it will cost you 5 Thousand Dollars, you can hire the guys hanging around outside Home Depot, and you can do it in your garage.

I'd expect the truth to be somewhere in the middle.
 
The_Old_Guy said:
If you ask one side, it will cost you 1 Bajillion Dollars, you will need a staff of 100 MDs and PhDs, and you will do nothing but undergo inspections from the FDA 24/7.

If you ask the other side, it will cost you 5 Thousand Dollars, you can hire the guys hanging around outside Home Depot, and you can do it in your garage.

I'd expect the truth to be somewhere in the middle.
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The truth is you can start a supplement company for the cost of the LLC and the first run of your product(s).

Doing it so you have EVERYTHING lined up according to FDA/legal guidelines is a very different story.
 
$15 isn't enough to start ANY type of company... hell, buying a good computer to manage all the things you need to keep track of will cost you a good chunk of that haha.

in b4 pixy dusted pre selling for $80 a tub callled "crack addict"
 
[video=youtube;-NZU_qCSdSw]https://www.youtube.com/watch?v=-NZU_qCSdSw[/video]

[video=youtube;t-8LjGoX9D8]https://www.youtube.com/watch?v=t-8LjGoX9D8[/video]
 
First run of product probably around $10k depending on product. Website design $2k. Marketing much more. You would need around $25 -$30k to start and does not mean success. That's for around 1000 bottles of one product depending on raw materials.
 
cheftepesh1 said:
First run of product probably around $10k depending on product. Website design $2k. Marketing much more. You would need around $25 -$30k to start and does not mean success. That's for around 1000 bottles of one product depending on raw materials.
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The average pre-workout costs <$5 these days with all the nonsense formulas being released. You could get a run of 1000-2000 units of a basic pre made for for $5000-$7500 without any issue.


Making a website is something many can do for far cheaper than 2k.


I really think a lot of people overestimate the size of a lot of companies that are newly formed.
 
VaughnTrue said:
The average pre-workout costs <$5 these days with all the nonsense formulas being released. You could get a run of 1000-2000 units of a basic pre made for for $5000-$7500 without any issue.


Making a website is something many can do for far cheaper than 2k.


I really think a lot of people overestimate the size of a lot of companies that are newly formed.
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Just giving estimates for a quality product from research I have done. Yes you can do many things cheaper, but that's not always the best way to succeed.
 
I honestly wish you the best of luck. But as someone with a background in investment banking and equity research, I cannot condone this venture.
 
booneman77 said:
$15 isn't enough to start ANY type of company... hell, buying a good computer to manage all the things you need to keep track of will cost you a good chunk of that haha.

in b4 pixy dusted pre selling for $80 a tub callled "crack addict"
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You forgot the fandom "3" instead of a letter: "Crack Addi3t" or something along those lines.
 
VaughnTrue said:
The average pre-workout costs <$5 these days with all the nonsense formulas being released. You could get a run of 1000-2000 units of a basic pre made for for $5000-$7500 without any issue.


Making a website is something many can do for far cheaper than 2k.


I really think a lot of people overestimate the size of a lot of companies that are newly formed.
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I've been told first hand by a company owner that some companies formulations have to work within a certain budget aka $6 a bottle. Don't surprised if half the supplement companies on this very board practice similar fixtures.
 
AdelV said:
I've been told first hand by a company owner that some companies formulations have to work within a certain budget aka $6 a bottle. Don't surprised if half the supplement companies on this very board practice similar fixtures.
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some companies have a hard limit on price per unit, but it's not a smart business model. Profit margins make way more sense.

Most companies aim for 50%+ of profit margin on each sale.
 
Hey guys, a lawyer is here to ruin the fun! Okay, not ruin it - just give advice. First, good luck. Every company starts somewhere. I work at a larger law firm that represents primarily middle market companies. Although we do some work for small businesses and start ups.

The best advice I can give you is don't cut corners on the legal end to save a few bucks in the beginning. Make sure you have your corporate documents prepared and reviewed by a reputable attorney or law firm. I've seen it a thousand times. Two best friends open up a company and pull a crappy operating agreement or articles of incorporation/corporate by laws from the internet and go full steam ahead. Fast forward to when your business relationship (and friendship) falls apart. Now you have crappy documents full of gray areas and are left asking what each of your rights are. That's when lawsuits get filed. You'll eventually figure it out - about $50-100k later (depending on what's at stake). Whereas you could have paid an attorney $2-5k up front to get you airtight documents that spell out what happens in the event of a corporate fall out or dissolution.

Then you have to worry about compliance. Are you in line with CGMP (if you have to be)? Are you going to hire employees? Better make sure you comply with employment laws. How is your company going to be taxed? Will you be issuing stock or seeking investments?

I represent a lot of manufacturing companies but don't represent any supplement companies (yet), so I'm not going to pretend to understand their unique workings. I'm just giving you a general picture from the legal side of things. Don't cut corners in the beginning, or else you may end up paying for it down the road.
 
VaughnTrue said:
The average pre-workout costs <$5 these days with all the nonsense formulas being released. You could get a run of 1000-2000 units of a basic pre made for for $5000-$7500 without any issue.


Making a website is something many can do for far cheaper than 2k.


I really think a lot of people overestimate the size of a lot of companies that are newly formed.
Click to expand...

We would have launched multiple flavors if our product only cost $5 a unit to make. Must be nice to have margins like that.... then again, does the product even do anything if it's only costing $5 a pop to make?
 
MonteCedillo said:
We would have launched multiple flavors if our product only cost $5 a unit to make. Must be nice to have margins like that.... then again, does the product even do anything if it's only costing $5 a pop to make?
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400mg caffeine, 1.6g BA, and filler gets you the energy + tingles most people look for. The top selling pre's on the market today are all $4-$7 out the door. its insane.
 
Open an ebay store first and then your own store. Lucky Vitamin has a similar setup. Competition is fierce, you may need more money.
 
Yeah I would start the business from another angle: researching the ins and outs first.

Costs skyrocket when you have no idea what to expect and budget for
 
I think because a lot of us spend some time on this board, our view of the average supplement user can be misconstrued. The average consumer is dumb as hell and as long as a pre gets them "buzzing" and giving dem "feelz" with a nice shiny label, you are gtg. If you actually give a damn about what you are producing and what you want your name to stand for, I think the cost is going to be considerably higher than 15k.
 
ryane87 said:
I think because a lot of us spend some time on this board, our view of the average supplement user can be misconstrued. The average consumer is dumb as hell and as long as a pre gets them "buzzing" and giving dem "feelz" with a nice shiny label, you are gtg. If you actually give a damn about what you are producing and what you want your name to stand for, I think the cost is going to be considerably higher than 15k.
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Easily higher, depending on the amount you produce.
 
The_Old_Guy said:
If you ask one side, it will cost you 1 Bajillion Dollars, you will need a staff of 100 MDs and PhDs, and you will do nothing but undergo inspections from the FDA 24/7.

If you ask the other side, it will cost you 5 Thousand Dollars, you can hire the guys hanging around outside Home Depot, and you can do it in your garage.

I'd expect the truth to be somewhere in the middle.
Click to expand...

^this guy would make a great forum rep, OP
 
VaughnTrue said:
The average pre-workout costs <$5 these days with all the nonsense formulas being released. You could get a run of 1000-2000 units of a basic pre made for for $5000-$7500 without any issue.


Making a website is something many can do for far cheaper than 2k.


I really think a lot of people overestimate the size of a lot of companies that are newly formed.
Click to expand...

I've noticed a trend towards pre-sales...I wonder if some companies release a label then use money from the pre-sale to fund the cost of the product?
 
thebigt said:
I've noticed a trend towards pre-sales...I wonder if some companies release a label then use money from the pre-sale to fund the cost of the product?
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No doubt!
 
OP, you sound like a smart guy.

Someone who can appreciate and understand the well crafted plan for disrupting the supplement industry and achieving explosive growth that I have constructed.

But first, I'm going to need you to deposit 15k in my offshore bank account...
 
LLN said:
OP, you sound like a smart guy.

Someone who can appreciate and understand the well crafted plan for disrupting the supplement industry and achieving explosive growth that I have constructed.

But first, I'm going to need you to deposit 15k in my offshore bank account...
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Lmfao.
I would but nah
 
booneman77 said:
$15 isn't enough to start ANY type of company... hell, buying a good computer to manage all the things you need to keep track of will cost you a good chunk of that haha.

in b4 pixy dusted pre selling for $80 a tub callled "crack addict"
Click to expand...

I laughed so hard at this. I love you
 
VaughnTrue said:
The average pre-workout costs <$5 these days with all the nonsense formulas being released. You could get a run of 1000-2000 units of a basic pre made for for $5000-$7500 without any issue.


Making a website is something many can do for far cheaper than 2k.


I really think a lot of people overestimate the size of a lot of companies that are newly formed.
Click to expand...

Who says I need a website when I could just use Facebook nowadays lmfao.
Really its so easy to make a website domain. Raw martials in bulk aren't expensive. Me an my buddy got a couple of formulas we're going to try an then make our first batch. We are going to be the test dummies too lol
 
The fact you put lmfao and lol in your replies suggests that either you are too young to start a business or this Is a wind up.

The fact that you would just use Facebook as a website just says it all.

This is going to be another one of these Instagram supplement/clothing companies that randomly follow you
 
NoahsArk said:
Who says I need a website when I could just use Facebook nowadays lmfao.
Really its so easy to make a website domain. Raw martials in bulk aren't expensive. Me an my buddy got a couple of formulas we're going to try an then make our first batch. We are going to be the test dummies too lol
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best of luck in your non-cGMP manufacturing future.
 
DEVANS89 said:
The fact you put lmfao and lol in your replies suggests that either you are too young to start a business or this Is a wind up.

The fact that you would just use Facebook as a website just says it all.

This is going to be another one of these Instagram supplement/clothing companies that randomly follow you
Click to expand...

Yeah, just look at the numerous social-media-based supp "companies" that have emerged lately, owned (or at least fronted) by street-cred personalities. They likely dont give a fuk about adhering to any compliance standards; their whole schtick is "ghetto". Ghetto is cool (taggable and likeable), and likely generates decent profit due to miniscule overhead. Word of mouth is cheap marketing.
 
DEVANS89 said:
The fact you put lmfao and lol in your replies suggests that either you are too young to start a business or this Is a wind up.

The fact that you would just use Facebook as a website just says it all.

This is going to be another one of these Instagram supplement/clothing companies that randomly follow you
Click to expand...

HA! I was thinking the same thing. I actually just assumed his pwo would be called LMFAO
 
OL was started off less than 10k so good luck. You may need a better business plan though
 
Nac said:
Yeah, just look at the numerous social-media-based supp "companies" that have emerged lately, owned (or at least fronted) by street-cred personalities. They likely dont give a fuk about adhering to any compliance standards; their whole schtick is "ghetto". Ghetto is cool (taggable and likeable), and likely generates decent profit due to miniscule overhead. Word of mouth is cheap marketing.
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SHEEP MENTALITY.
 
VaughnTrue said:
OP, lets hear about a formula or two you plan on releasing. genuinely curious
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I'm curious as well. In such a saturated market, you have to do SOMETHING different to really stand out. Innovative and/or effective products are always a great start, but it seems that some companies do well based on good marketing or unique/attractive labels, and don't really have quality supplements/formulas.
 
white label product or creating your own formulas ?
 
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