C1200 Business Case – £48,000 Profit Per Month Running at Six Hours Per Day
The C1200 business case gives you the information and data you need to make the business decision to buy the plant.
We have used an annual usage of 10,000 m3 per year for the calculation.
10,000 m3 is 33% of the full capacity of 30,000 m3.
10,000 m3 is about between 30 and 40 m3 per day. This production is ideal for small pre-cast factories making concrete blocks and other pre-cast products.
Concrete Production Cost
The production cost to produce a C50 or 50 kN/mm2 concrete mix is £72.99. If some recycled aggregates can be used in the mix, then this will reduce the cost. The prices are based November 2018 Wirral, UK.
Prices of materials will change in time and depending on location.
Return On Investment
The cost of buying C50 ready-mix is £98.00, giving a difference of £25 m3
10,000 m3 x £25 m3 saving is £250,000.
The total investment of the plant including lease-purchase costs is £92,288 giving a payback period of less than six months.
Your selling price for you concrete should be between £25 m3 to sell as ready-mix to £50 m3 selling it as pre-cast products.
Monthly profitability based on the plant running two hours per day = 32 m3 production. Profitability based £25 m3 = £800 per day and £16,000 per month.
Monthly profitability based on the plant running six hours per day = 96 m3 production. Profitability based £25 m3 = £2,400 per day and £48,000 per month.
Your monthly plant repayment on finance will be around £1,750 per month.
We offer a full finance service for a number of finance options. Go to Finance to learn more.
Plant and Concrete Production cost Analysis
Concrete Production Costs
As you can from the spread sheet a C50 mix costs £72.99. The cost of a C15 mix is £60 m3 the main difference being the cement and chemical content. Cost can be reduced further using recycled aggregates and sands.
We have the analysis on a spreadsheet. If you would like a copy to put your own inputs in for a update, contact me using one of the options below.
If you have any questions feel free to contact me using one of the methods below.