BKH Expansion to Plasma Cutting

BKH Products started in 2013 under a slightly different guise to what it is today. My wife and I started it when we both relocated to Ladismith. We started with wooden toys and small furniture items but soon realised that the market wasn't what we thought it would be. We then developed our own unique product, which turned out to be a major success. We offer sandblasted enamel mugs, which are supplied to coffee shops and padstals around the country. We supply to various institutions who also have them as a gift item in their gift shops. Since then we have expanded into engraving mugs with a laser machine too. Over and above that we also make many items for weddings, 21st birthdays, custom trophies, engraved/sandblasted glass and much more.

We have managed to expand every year, adding equipment and products as we progress and are now wanting to do so again. We now are able to use our laser machine to cut keyrings, acrylic, engrave rowmark on for trophies and engrave wood signs and small gift items for weddings, events and gift shops.

We are currently looking at purchasing a plasma cutting table with plasma machine. The cost is R125000. Unfortunately, the machine we need is expensive and being self employed, we find it hard to get any type of loan. We are in the fortunate position of not having any other debt. The plasma cutter will enable us to expand to incorporate larger signage, steel cutting and other applications. We feel this is the way to go to supplement our existing product range.

We are selling off some of our redundant equipment in the process, also other items we no longer have a need for, such as bicycles and personal items. If we come near to achieving our goal, we are even willing to sell our vehicle to accomplish the target.

As well as we have done in the past, the profit margins of our products are small, so we have to sell vast amounts of product to achieve a steady income.

Once we purchase the plasma cutting table we can increase profit, as each job can achieve a greater profit amount than we currently receive. Of course, we are also open to the idea repaying an investment or part of it with product. We could discuss what is needed in this regard.