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Starting a business

Tags:
  • Computers
  • Business Computing
  • Software
Last response: in Opinions and Experiences
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September 13, 2014 1:36:19 PM

Hello there. I've recently made the commitment to start my own business building computers. I do not plan to do any software work or repairs. I am only doing this as an after hours second job for fun and to make a few bucks. I am a novice overall with computers as I know more than the average Joe, but surely know much much less than the majority that probably frequent Tom's. I have already made contact with the appropriate sources to get a LLC created, tax ID, etc.

I was wondering a few things and I would be very grateful to hear opinions and thoughts of those who are currently involved in this business and anyone else with some ideas of how to make the best of the opportunity.

What is the absolute best way to purchase parts? Do I sign up as a commercial buyer?

Should I start learning how to diagnose software issues? I really wouldn't know where to begin. Any suggestions would be appreciated.

If you do similar work, how do you like to do your builds? Customer request only? Buy parts as you go and create from your inventory?

Any other suggestions would be massively appreciated!

More about : starting business

September 13, 2014 1:54:12 PM

There is very little, if any, money to be made in the Custom Computer business. At the high end, you cannot compete with the established stores as you do not have the recognized name and status. Am I going to drop $1500 at TigerDirect or Joe's Computers? At the low-end, you cannot compete with big box stores and their supply of low-cost Acer/HP desktops. You cannot build a $299.99 Windows Desktop Computer.

Even if you do decide to go ahead, you don't intend to do repairs? Does this mean the computers you sell won't have a warranty? Again, why would I purchase from you?

To answer your questions, the best way to purchase components would be in bulk direct from a supplier, but that entails a very high upfront cost with no guarantee of actually selling a single computer. Software issues are less of a concern as hardware issues, but it would be an upside to have one place to go with any hardware or software issues.

Bottom line, it's not worth the effort.

-Wolf sends
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September 13, 2014 2:06:42 PM

Thank you for the reply. Regarding any type of warranty, I definitely did not word that the best. Of course parts would be covered under manufacturers warranty and I would be the one responsible. As far as profit, out of the three builds I've sold so far the lowest profit I have made is $150. This is why I am doing this as a hobby and a second job. I understand and agree with what you're saying trying to battle big box stores. My target market is not Acer/HP folks. My audience is those looking for what Walmart cannot offer. As an example, the town I live in is a below average size town. Family owned businesses still hold some weight here. I plan to create a relationship with a local business that does pc repairs. We only have Best Buy and Walmart for big box stores. The rest is overpriced garbage.

I appreciate your response and opinion. Please share more if you have ideas and opinions!
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