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FIB - Scams 101 - Ye Olde Archives
Posted By: Bluto In Response To: Re: I agree, but (BenV)
Tuesday, 24 October 2006, at 7:31 a.m.
> I have been interested in that but I haven't looked at what their bulk
> discounts are. I would be in heaven if I could build custom computers for
> a living (lots of competition locally - perhaps a move is in order).
The problem with system building is that the margins are very slim. NewEgg's bulk pricing is pretty good. In fact, it is better than most legit wholesalers I have seen (you have to buy A LOT to get half decent prices on computer parts and consumer electronics - and I mean A LOT). But even with good bulk pricing from NewEgg, your margins will still be slim. And then comes the major problem - tech support. You have to realize that if you are building systems for the general public you will waste a lot of time on tech support. Remember, the general public, on average. is very much NOT tech savvy.
If you were to ever get into this business, a realistic and solid business plan, written down on paper, would have to be in order, IMHO. You would have to find a niche to cater to that would be profitable for you.
Also, I think that you'd find that the competition is fierce in just about Anytown, USA, not just in the cities. If a small town has just a couple of system builders, competition is still fierce. And depending on the town, even on other competitor might be too many.
^_^
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