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Old 02-24-2007, 09:03 AM
Anthony Anthony is offline
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Join Date: Apr 1999
Location: cleveland, OH
Cobra Make, Engine: CSX4000, 427
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Quote:
Originally Posted by David Kirkham

Steve,

I know you are just joking and it is interesting to look at raw material costs.

Actually, you can not buy aluminum for $1.50/pound. Forgings are more like $3-$5/pound and that does not include the price of tooling. We currently pay $2.25 for extrusion (not forgings) and over $3 for plate--when you can find it. The forging we had made was almost $2000.

Then add:

$125,000 milling machine
$100,000 in tooling, cutter, holders, etc.
$50,000 in CAD/CAM software
200 hours of design time
200 hours of programming
100 hours of proofing--(so far)

and I haven't even paid to turn on the lights yet, paid for opportunity costs, or received a guarantee that it will actually work and people will buy it.
If you already own the milling machine, most of the tooling, software, then you're mainly out the labor design/program/troubleshooting time for an investment.
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