Idea No. 206: How profitable is the biofireplace business?

Features of biofuel fireplaces

A bio fireplace is a completely safe and environmentally friendly device; its operation does not require a connection to gas or electricity, as well as the installation of a chimney and additional construction work. In addition, when installing it, there is no need to coordinate all actions with the fire service and obtain permission from it. During operation of the device, a very small amount of carbon dioxide is released into the space. The only condition for its operation is regular ventilation of the room.

This type of fireplace occupies an intermediate position between a chimney, stationary and artificial fireplace. Such structures are classified into several types:

• built-in;
• floor;
• wall;
• desktop

Fireplaces are equipped with a metal heating tank, into which fuel is added to produce a living flame. They can be decorated with a variety of forged parts, veneer, natural stone, heat-resistant glass and various polymer materials.

Device structure

Despite the large assortment of biofireplaces in stores, they can be divided into several groups:

• Wall-mounted devices designed to be mounted on a vertical surface, like paintings.
• Built-in devices, conveniently placed in niches of walls or furniture.
• Corner systems designed to maximize space saving in the room.
• Floor-standing biofireplaces are extremely mobile and easy-to-use devices.
• Tabletop devices, characterized by small dimensions and often original design.

Note that the design of all these types of biofireplaces is the same, and they differ only in dimensions, design and installation capabilities.

The design of the biofireplace is very simple; it consists of two main parts:

1. The fuel block is responsible for working with fire and fuel.
2. The outer casing serves as a decorative part and helps to install the device in the right place.

The fuel block contains a fuel tank made of stainless, heat-resistant steel. The fuel used in these systems is called bioethanol and is an alcohol of plant origin. When burned, such fuel releases steam and very little carbon dioxide. The tank is designed in such a way that fuel does not leak out of it in any position. The size of the fuel tank depends on the overall dimensions of the biofireplace.

Floor-mounted version of a large bio-fireplace

Another important part of the fuel block is the burner. It is the burner that allows you to create a real fire, properly controlled and uniform. Most often, the bio-fireplace burner is covered with decorative elements: imitation stones, coals, original ceramic objects. This was done to make the bio-fireplace seem more natural.

The external decorative frame, which is installed on the body of the product, is also responsible for the naturalness. An important detail here is a protective screen made of fire-resistant glass, which protects the external space from fire. The entire system can be built into a special portal for the bio-fireplace, which allows you to make it a full-fledged participant in the entire interior of the room. By the way, you can entrust the production of the portal to a familiar craftsman or carry out the work yourself. You can make a bio-fireplace yourself.

Good to know: Famous brands of biofireplaces: Polish Kratky, Australian Planika

Manufacturing technology

In the large-scale production of biofireplaces, their manufacturing technology includes:

• laser cutting and bending according to drawings;
• stripping;
• welding work;
• powder coating;
• assembly of products.

In this case, you will have to spend at least 500,000 rubles on professional equipment.

A more budget-friendly option that is perfect for beginning entrepreneurs is organizing the production process at home. For this purpose, it is recommended to allocate a room with an area of ​​at least 50 m2, this could be a cellar or, for example, a garage.

Making a biofireplace with your own hands begins with creating a screen. It is made of glass, 3 mm thick, its dimensions must correspond to the dimensions of the steel frame. All glass parts are connected using silicone sealant, and a day later, after the finished product has dried well, traces of the product must be removed from it using a thin blade.

The heating block should fit well with the fireplace screen; it can be made from a regular metal planter. It is recommended to cut the steel mesh based on the dimensions of the box.

To create a living flame, such devices use bioethanol, which is sold in specialized stores. You can make your own fuel by mixing gasoline and medical alcohol in a certain proportion. It should be added to a steel sealed container, which should be placed at the base of the metal box and covered with construction mesh.

In order to evenly distribute heat between the grates and the fireplace screen, stones should be placed on the metal mesh. They will not only improve heat transfer, but will also give the entire composition a beautiful decorative look.

Directions for business development in biofireplaces

There are several main directions:

1. Independent production of biofireplaces and sale of finished products. These can be either large floor bio-fireplaces or small souvenir and decorative options.
2. Production and sale of biofuels. For the functioning of any bio-fireplace, you need a firebox for a flammable substance and biofuel itself. Such products will be in demand among people who already have biofireplaces.
3. Sale of finished products. You can act as an intermediary between the fireplace manufacturer and end consumers - create advertising, promote products on the market, make transactions. Such mediation can also bring you considerable income.

Let's now look at each of these areas.

Financial calculations

Producing products at home requires little start-up capital:

• purchase of materials for the manufacture of fireplaces - from 25,000 rubles;
• company registration – from 3000 rubles.

Monthly costs:

• advertising – from 15,000 rubles;
• purchase of materials – from 25,000 rubles;
• other expenses – from 10,000 rubles.

The market price of miniature decorative fireplaces is from 5,000 rubles, and large appliances - from 15,000 rubles. If you sell 10 small and 10 large devices per month, your net monthly profit, minus current expenses, will be from 150,000 rubles.

Total:

• starting capital: from 28,000 rubles;
• monthly profit: from 150,000 rubles;
• Project payback period: 1 month.

Permits and documents

Business registration

If you plan to single-handedly rule a small empire for the creation of biofireplaces, open an individual entrepreneur. If you plan to open a large, serious enterprise, create a legal entity.

To register an individual entrepreneur, fill out an application on form No. P21001, attach a copy of your passport and pay the state fee at the bank. To register an LLC, take form No. P11001, and also attach the founder’s decision or minutes of the general meeting of founders, the company’s charter and documents for ownership and premises or long-term lease.

Advertising and sales of goods

You can advertise your products in several ways:

• placing advertisements in print media;
• distribution of booklets and leaflets;
• Internet advertising;
• creating your own website;
• advertising on radio and television.

To attract potential clients, it is recommended to establish cooperation with construction companies and teams, through them you will reach buyers. In addition, you can sell goods directly to builders, who will act as intermediaries.

How to look for clients to sell finished products

And a little about promoting finished products on the market. If you want to build a business on mediation between the manufacturer and the consumer, then you need to be well versed in marketing and working with clients. But first, you need to make a list of biofireplace manufacturers with whom you would like to work and offer them cooperation: you give them clients and sales, they give you a reward (most likely, a percentage of sales).

You can advertise biofireplaces in any way you like: brochures, leaflets, television and radio advertising, online promotion, etc. Here, as in any advertising, it is important to clearly understand who your target consumer is and competently adjust your advertising offer to their needs and desires. Since a biofireplace is a family, homely, cozy product, then when promoting this product on the market, you need to focus on these accents.

An excellent niche for selling finished goods are construction companies and designers who directly contact the client. Here it will be enough to simply present your product well to these companies, describe all its advantages and provide it with advertising booklets. This way, they will be able to recommend your product to their clients. There is a benefit in this for both you and them - you get new clients, and they always have something to offer their clients without wasting time and effort.

Availability of franchises

As a rule, customers are more willing to purchase products from well-known brands, so if you want to engage in large-scale production of products, you can ensure their quick sale by purchasing a franchise. In this case, you will be provided with assistance in organizing a business, marketing support, provision of production machines, as well as their maintenance.

Download for free a short business plan for the production of biofireplaces (.rar file):

Example 1

Diagram of a fuel tank for a biofireplace

If we follow the technology for producing biofireplaces, we will need to use a sealed container made of stainless steel sheets as a fuel tank. In this case, welding work will be necessary, since it is necessary to make the seams airtight. It is recommended to perform argon welding semi-automatically - then the seams will be both neat and airtight. First, a sheet of metal must be marked to the required dimensions, and then bent at 90° to form a box. The cover is cut out separately. The following drawing can be taken as a basis for the manufacture of a biofireplace fuel block:

After the welding of the main box is completed, a smaller container is placed inside, and many holes need to be made in its bottom. The container is filled with absorbent material and then the lid is welded on. The finished fuel tank may look like this:

Prospects for your own business

Experts believe that the idea of ​​producing biofireplaces with your own hands is very promising. The business of assembling heating device data and its relevance depends on the area, oddly enough. Let's explain with an example: you live in a private house and for some reason the heating system begins to malfunction. You don't know why this is happening.

Therefore, you decide to update your heating system, however, you do not have the money to completely replace it. And here comes the idea of ​​purchasing a bio-fireplace - a modern heating device for homes that does not require additional installation work for the construction of a chimney.

Thus, business prospects vary by location. In provincial cities they are higher than in large cities. We are not talking about remote villages, since in such settlements it is quite problematic to get biological fuel - ethanol, on which the biofireplace runs.

Manufacturing procedure

1. Drawing up a drawing of a biofireplace. When drawing up a drawing, you must take into account one feature: it is better not to stand the glass close to the burner. The minimum distance is 15 cm. If the glass is located closer than 15 cm, then during the operation of the fireplace it may heat up and burst, scattering into small pieces, injuring people basking or damaging interior items.

   
   Bio fireplace drawing

2. Preparing the fuel block. The idea of ​​using ordinary metal boxes can be very helpful when making a bio-fireplace. Remember that the size of the box affects the distance of the glass from the burner; the larger it is, the further away the glass should be. The dimensions of the box must be included in the plan. If the box you are using has an unsightly appearance, then it will be difficult to establish a business with such an object, so it is better to paint it.
3. Installation of protective glass casing. As the main material, you can use ordinary window glass, 3 mm thick. If the manufacturing plan does not allow for the supply of whole glass, then it can be cut with a glass cutter to the required size. The joints on the workpiece are sealed with sealant; silicone will provide the necessary adhesion between the material. After applying the sealant, give the workpiece a day to dry completely.
4. Making a tank for a biofireplace. A small metal container, something like a paint can or something like that, is perfect for these purposes. The idea with a plastic container may be a failure, since plastic melts when exposed to high temperatures.

   
   Tank for bio fireplace

5. We cut out a metal mesh approximately the same size as the bio-fireplace itself. Remember that there should be a small distance of 1-3 cm between the mesh and the glass. The mesh is placed on the workpiece and pressed on top with decorative stones. The idea of ​​using stones will help to establish your business, since these decorative elements are liked by so many customers.

Thus, the business of manufacturing and selling bio-fireplaces is a fairly simple activity that requires little investment and minimal effort from a person. Quick payback contributes to the systematic growth of the business and an increase in the number of regular customers. The high level of relevance of the case accompanies the development of factors such as industrial production and franchising.

Advantages and disadvantages of biofireplaces

Advantages Easy to use Using a biofireplace does not require special knowledge and skills. Unlike conventional classic wood-burning fireplaces, a biofireplace is very easy to install and completely unpretentious to use. Maintenance consists only of the need to wipe off dust as it gets dirty and periodically clean the combustion chamber to remove any remaining fuel. That is, no soot, smoke, soot, no need to constantly add firewood and clean the ashes. To make the bio-fireplace work, you just need to fill it with bioethanol and light the fire! Mobility The design of the biofireplace is very light; there are no additional bulky additions, such as gas cylinders. This makes it easy to move the device from room to room or even lend it to friends and family. Certain models can be used outdoors and installed as decoration, for example, in the garden. Safety Biofireplaces are completely safe due to the use of bioethanol in them. This substance does not pose a danger to people or the environment, as it completely decomposes. Just water vapor and carbon dioxide are what is formed after the combustion of such fuel. So the only condition is to regularly ventilate the room where the bio-fireplace is installed so that there is always a sufficient level of oxygen. Design Biofireplaces are usually called interior fireplaces, since you can decorate them with virtually no limits to your imagination. You can use various ceramic firewood, natural or artificial stones, multi-colored glass, etc. for decoration. All this will create comfort and a unique atmosphere in the house. Disadvantages There are, of course, disadvantages to such a device:

• relative high cost of fuel (bioethanol);
• mandatory ventilation of the room;
• The area of ​​the room must be at least 25 m2.

But you must admit, this is all insignificant against the background of all the advantages listed above.

How quickly a business will pay off

Equipment for the workshop will require about 60 thousand rubles. For this money you can buy an angle grinder, a welding machine, a glass cutter, a workbench, a painting machine and hand tools. The average cost of a small fireplace is about 6 thousand rubles. To manufacture one product, you will need materials worth 2 thousand rubles, and the same amount will need to be paid to the craftsmen for the work of producing components.

Thus, an entrepreneur can earn about 2 thousand rubles on each small fireplace. When selling large fireplaces (costing from 10 thousand to 15 thousand rubles), the markup percentage remains the same - about 30%. If every week an entrepreneur can sell two small fireplaces and one large one, then in a month his profit will be about 30 thousand rubles.

Fuel for biofireplace

What fuel is used for a biofireplace?

Bioethanol is used as a combustible substance in biofireplaces - it is an environmentally friendly substance that does not form harmful combustion products. The alcohol used in the production of bioethanol is formed as a result of the processing of sugar-containing plants: corn, potatoes, bananas, wheat, beets, etc. As a result of the combustion of bioethanol, water and carbon dioxide are formed, which is safe for the environment and human health. Biofuel can be bought in specialized stores, but you can also prepare it at home. The main thing is to strictly follow the instructions, otherwise the combustion will be of poor quality.

DIY bioethanol

So, the process of preparing fuel for a biofireplace is quite simple and making it yourself is not difficult. You only need two components:

• ethanol (alcohol - 96%, can be purchased at pharmacies);
• gasoline (must be of perfect purity, transparent, without a strong odor; gasoline is usually used for refilling lighters).

We take 1 liter of alcohol and 60-80 grams of gasoline. Mix the ingredients thoroughly so that they do not separate. Pour the resulting mixture into the burner and set it on fire. The fire should burn smoothly, without smell or soot. One liter of biofuel lasts on average from 2 to 4 hours of combustion.

Advantages and disadvantages of a business idea

One of the main advantages of this business idea is the ability to make fireplaces yourself, with your own hands in a home workshop. The implementation of such a project is feasible for every craftsman and does not require serious investments. But if we consider production on a more serious level and talk about an assembly shop that produces both standard and custom-designed products, then the business idea will have the following advantages:

• insignificant competition - the market is free, and if there are competitors, then you can compete with them by optimizing product prices and achieving customer loyalty thanks to additional services and services;
• low level of initial investment - it all depends on whether professional equipment for bending steel and mass production is purchased or whether assembly is carried out in small batches or individually. In any case, the costs will be limited to an amount that is affordable for a beginning businessman;
• quick payback period - the low cost of initial raw materials and supplies, as well as production equipment, contributes to a quick payback with established product sales lines;
• minimal difficulties with registering an enterprise; it is enough to register an individual entrepreneur or LLC if the authorized capital belongs to several founders.

The business idea has some disadvantages:

• production will require a certain amount of skill when working with metal, glass and machine tools to avoid the effect of an artisanal appearance of the products. You can solve the problem by hiring specialists with experience, or by learning on your own through trial and error;
• the need for constant search for clients and high-quality marketing - for each fireplace there is 1 client who, with a high probability, will not apply for a repeat order. Therefore, production volumes directly depend on the intensity of attracting new customers.

Possible shortcomings are offset by a competent approach to doing business. You may encounter them at the initial stages, but later, having adapted to the peculiarities of the market, you will not notice the initial problems.

Registration of activities

In order to start creating such products with your own hands, it is enough to register an individual entrepreneur. In this case, receiving the papers will take no more than a week, and the taxation system is chosen according to the expected profits. But in the event of bankruptcy, an individual entrepreneur is liable to creditors with all his property, which is considered a big disadvantage.

When registering an LLC, you will have to wait longer for registration, but this form of organization has its advantages:

1. To divide capital investments, there can be several founders at once.
2. In case of bankruptcy, the company risks only the amount included in the authorized capital.
3. Over time, you can expand and open your own branches across the region or country.

However, to maintain complex accounting, you will need to hire a specialist.

Separately, it is worth mentioning about obtaining a certificate for the production of biofireplaces. It is issued in 2-3 days, but for this purpose the finished product is inspected and checked for fire and environmental safety of its use. The advantage is that all the varieties of products you produce are entered into the document at once.

Video: How to make a mini biofireplace

Nowadays, anyone can place a real hearth with a live fire in their apartment. This can be done very simply; you just need to purchase a bio-fireplace in a store or from local craftsmen, which can fully operate in any room. This small device will create an aura of coziness and comfort in your home. Today we will talk about how bio-fireplaces are produced, consider options for industrial and self-production of such things, as well as the possibility of building a business in this area.

A neat tabletop version of a biofireplace

Price list for some offers

For small production, the following price list is recommended:

The price of the model may vary depending on the type of consumables. Fireplaces finished with natural stone, forging or natural materials are more expensive. Frontal ones with external finishing like a natural hearth are priced depending on the size and type of finishing material. The most inexpensive models are made only from a metal frame, hearth and glass.

Franchise business

When you are still new to entrepreneurship of any kind, the most profitable decision may be to purchase a franchise. This means that you pay for a finished project with a written business plan, a recognizable brand, delivery of the required materials and equipment, and various information and training support.

Thus, you will learn how to run a business competently, gain experience in production, and selling goods will not be difficult, since the products of a well-known company are always in demand.

Marketing plan: where to find buyers?

The production of biofireplaces as a business will be successful if you draw up a clear marketing plan - the more clients you find, the more money you will earn. Be sure to include an advertising strategy in your business project.

It is not difficult to promote a company that produces modern bio-fireplaces. The following advertising options are available:

• advertisements on TV and radio,
• distribution of leaflets,
• advertisements and articles in specialized print media.

Be sure to take care of creating your own website - online promotion plays a big role in promoting a young company today. And this may not even be an online store for biofireplaces - a regular information site will do for a start. Here the consumer will be able to find all the information he is interested in - prices and terms of service, technologies used.

An excellent option to advertise manufactured biofireplaces for apartments is to participate in various thematic exhibitions. At such events, an interested audience gathers - there is a chance to receive wholesale orders for the production of devices.

A business idea will pay off much faster if you try to conclude an agreement with construction and finishing companies, interior design studios - their clients can become yours. But in this case, you will definitely need to register the company in the form of an individual entrepreneur or LLC - it will not be possible to work without registration.

If the installation of a biofireplace is not included in the list of services offered by your company, finished products can be offered for sale to specialized stores. But this option for business development is not very popular among entrepreneurs - in terms of the amount of profit received, it is much more profitable to work directly with clients.

Portals for electric fireplaces

Our products are made from high-quality materials, using Italian equipment, by highly qualified craftsmen.
Our portals are made of MDF, which is covered with natural veneer, which makes it possible to obtain a product that is practically indistinguishable in appearance from products made from natural wood. We also use decorative stone from leading manufacturers in the domestic market in the production of our portals. All products of these manufacturers have Certificates of the State Construction Committee of Russia. A wide range of available colors and shapes make it possible to satisfy the needs of any buyer

The artificial stone used for cladding our portals is different:

• Environmentally friendly - safe for indoor use
• Reliability - does not chip during operation
• Quality - our suppliers use only high-quality materials in production
• Maintenance does not require special products - most stains can be removed with warm water

Organizing a business - main stages

To organize a business for the production of biofireplaces, you need to draw up a clear business plan that will allow you to quickly start production and avoid most mistakes. You can find out how to write a business plan yourself here - https://business-poisk.com/sozdanie-biznes-plana.html

With the right approach, you can start a successful business that will quickly pay for itself and begin to generate net profit.

Where to begin?

A business idea for selling bio-fireplaces does not require large expenses. All you need is to have about 30 thousand rubles in your pocket and the ability to work with power tools. Additional tools include: tin snips, wire cutters, hammer, welding and safety equipment.

Business idea for selling bio-fireplaces

The first buyers appear very slowly, since the majority are distrustful of new products, and especially those made with their own hands. Therefore, to attract the first buyers, it is recommended to use the method of creating artificial demand for a product. Someone might think that it is quite difficult to build a business on such a basis, however, as practice shows, artificial demand helps to develop buyers’ trust in a new product.