Do you want to start a logging company from scratch? Or you need a sample logging business plan template? If YES, then i advice you read on.
If your dream is to determine how much you could earn in a month and also to have full control of your time, then you should consider becoming an entrepreneur. Although; it is be very challenging becoming an entrepreneur, but the truth remains that being an entrepreneur is one surest ways of attaining financial freedom.
So if you want to be in full control of your time and you want to attain financial freedom, then you should consider starting your own business and one of the businesses you can start is a logging company.
The logging industry is indeed a very big industry both in the united states of America and in Canada. Logging companies are known to be major players in house construction and in the forestry industry. Majority of the houses in the US and Canada are built with logs; hence the sales of log is tied to the real estate industry (the construction and sales of homes).
Starting a logging company can be considered to be capital intensive but it’s indeed highly profitable. It is capital intensive because of the money required for the purchase of logging equipments and the money required to obtain licenses and permits. No doubt the industry is highly regulated by both the Federal Government and the State Government and any logging company that is found on the wrong side of the law are always dealt with.
Starting a logging company requires proper preparation and planning; you would need to acquire training and it could be obtaining a degree in Forestry or a College Diploma in Forestry Management. Now let us quickly go through the 7 steps to follow to successfully setup your own logging company;
Starting a Logging Company – Sample Business Plan Template
The step you need to take before starting your own logging company is to spend time to research on the logging industry. It is important you do this, because you stand to gain a lot when you carry out proper research.
Part of what you should look out for when researching the logging industry is to know the areas where the business thrives, the financial turnover of the business, the right equipment needed, the type of tree (wood) that is in high demand, the required license, permits and insurance cover needed in the industry, how to source for laborers, the government body saddled with the responsibility of regulating the industry, the umbrella body of logging companies and how you can become a member and loads of other factors that is peculiar to the country or state you intend establishing your logging company.
The information you obtain from your research would be of great help when writing your business plan. You should be able to map out strategies on how to setup your logging company in your business plan. The truth is that if you are able to come up with a good business plan that can pass reality check, then you can be rest assured that you are on your way to building a successful and profitable business.
3. Acquire Relevant Training and Education
Logging business is indeed a big business and should not be handled with levity; little wonder there is a university degree dedicated for forestry. So, it is important that you acquire relevant training and education before launching your own logging company. Part of what you need to do is to enroll for a degree or diploma in forestry and upon graduation; you can apply and work with a logging company or the forestry ministry in your country.
The truth is that when you are properly educated, it makes it easier for you to follow best practices in conducting your business. As a matter of fact, there are laws regulating the logging industry and it is your responsibility to ensure that you abide by the laws.
4. Incorporate Your Company and obtain all the Required License and Permits
The fact that no one can be allowed to go into the forest to start cutting trees without obtaining permission and approval from the government makes it compulsory for you to first incorporate your company, and then obtain all the required license and permits needed to run a logging company. You can consult your lawyer to help you with the registration of your company and perhaps to guide you on the process to follow to be able to obtain your license and permits.
5. Rent or Lease a Facility for your Lumberyard
Starting a logging company means that you would need a facility for your lumberyard, except you want to run a small scale logging company that be operated from your backyard. Therefore, ensure that you secure a facility that is large enough to accommodate both your lumberyard and administrative block. In most states in the US, you would need a special permit to use any facility for a large scale lumberyard. So be sure you inform your realtor that you are looking for a facility to be used for your lumberyard.
6. Purchase the Required Equipments
The major equipments you would need for your logging business are a lumberjack, Feller Bunchers, Skidders, forklift and skeleton trucks for transporting logs. You would also need safety gadgets like protective helmets, safety booths, protective goggles, suitable hand gloves et al. In some cases, you would also need a bulldozer.
The market for logs is indeed a very large market and it is still growing. All you need to do to make good profit in this industry is to properly position your logging company. You cam market your logs to government, construction companies and also to individuals. Ensure that you network with major players in the construction and logging industry. No doubt you are likely to get referrals from your network and also from your clients.
There you have it; the 7 steps that can aid you to follow to successfully establish your own logging company from the scratch, and then build it to profitability within record time.
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