The Roland BN20 Printer/Cutter and the Avance multi-needle embroidery machine combine to make a powerful, and popular custom t-shirt business.
And it’s so popular because as most successful custom products businesses know – customers want, and will pay for, more than one thing. The more options you can offer to a customer, the more chances you have for-profit and success.
The Power of Bundles
A “Bundle” is the combination of 2 completely different kinds of customization equipment. Like the Avancé 1201C multi needle machine and the BN20 demonstrated in this video:
The reason that Bundles help businesses start faster and start with more sales is built right into that specific example.
Start Up Business Case Study
DTu Accounting is a local accounting, payroll, and bookkeeping startup.
While Don Tu, the owner was considering what he wants to get to help brand his new company he naturally thought of the usual start-up package:
- A website to send people to
- A Facebook business page so he could advertise there
- LinkedIn profile for his business contacts
- Business cards for face-to-face meeting
- Embroidered Polos to help people identify him, his employees, and his brand
Embroidery Business | Part 1
Don networked with his friends and family and found an embroidery business that could handle that custom apparel part of the job.
If you were that embroidery business owner – with your new Avancé multi-needle embroidery machine of course – you would get that phone call.
Here’s a pretty typical online price for a custom embroidered polo using the actual garment shown in the video:
6 good quality logo polos done with a multi-needle embroidery machine – about $128 including taxes.
Purchase these shirts from Colman and Company for $10.26 each as shown below, and your profits look like this:
[log in to see this price: https://colmanandcompany.com/SM-K500.html]
Sale Price $119.88
Cost of Goods $61.56
Gross Profit $58.32
That works out to about $50/hour in gross profit, which is a common target for small embroidery businesses.
If you could get enough of those jobs to fill a 40-hour workweek you’re on your way to a 6 figure year!
BN20 Business | Part 2
But Don, the entrepreneur here, is a creative guy, so there’s more to the story.
He and his team work remotely. Although not just at home.
They often work on laptops on-site at client locations.
Plus, many of them work in public spaces like coffee shops or shared space facilities like WeWork.
So, Don wanted to also brand the company laptops that his team would use in multiple situations.
That way passerby would see their business and what they do, and clients would be reminded of the company that was providing this great service every time they walked by.
If you were in the sticker, sign and banner business – with your new Roland BN20 from ColDesi you may have gotten that call.
“I need six stickers with my logo on it for company laptops”
Stickers like this are easy to make and will take you almost no time at all to produce. And they sell for around $6.00 each.
The good news, even though this is only a $36 order your cost on the material to make them is only about $.66!
The stickers in the video were produced using the BN20 and Matte Permanent Adhesive Print & Cut Vinyl from Colman and Company/ColDesi-Supplies shown below:
The profitability of the BN20 is staggering when you look at the cost for that roll and what you can charge for custom stickers. A 20-inch wide by 50 FOOT long roll of sticker vinyl is just under $40!
For this order you’ll make:
Sale Price $36
Cost of Goods $.66
Gross Profit $35.34
If this is your business, it will probably take you about 10 minutes to knock out this sticker job. So again if you can translate this into even 1 hour of work your making over $200/hour.
The Bundle Effect
Offering more to Embroidery Customers
The first way being able to offer both the embroidered polos and the BN20 produced stickers will boost your business is how you attract new customers.
In our Case Study example – Don got a referral on the custom embroidered polos and searched online for the laptop stickers.
As a smart multi-needle embroidery machine owner, when you get that call about the 6 polos you would offer your other services. Because you have the BN20 you can offer:
- Stickers
- Banners
- Signage
- Custom T-Shirts
- Branded Tumbler
- More promotional products
Your embroidery customer immediately becomes a printer cutter customer And you go from making $58.32 in profit on a small embroidery job to making $93.66 on a start-up branding package.
Let’s just note here that your labor won’t actually go up at all. Because each polo is going to take 10-12 minutes to sew out so you can easily do the sticker job while they’re sewing.
Offering more to Roland BN20 Customers
The opposite is also true.
If a customer calls you because you advertise your business doing stickers, banners and signs with that BN-20 printer/cutter you can offer embroidery.
That way the $36 sticker sale goes up to a $136 polos and sticker deal.
In either case the fact that you can bring in customers for 2X the reasons WILL add up to more than 2X the business!
Exponential Nature of Bundles
We surveyed our customers that have been in business for some time to ask them how they acquired new customers. Over 80% of them cited “referrals” as the #1 source.
Let’s say your new embroidery business gets 10 new customers per month in the first 90 days. That’s 30 customers that are out there spreading the word for you.
They tell their friends. Maybe give you a good Google Review or Facebook Review. Your business grows because of those first 30 customers.
Now imaging you ALSO got 30 new customers for promotional products, signs, or stickers with your new Roldan BN20.
Big Numbers - FAST
According to a survey on retailcustomerexperience.com, Americans tell an average of 9 people about positive experiences with a seller.
That means that if you do a great job with those first 30 embroidery customers you might be mentioned or recommended to 270 other people.
Or if you did the same quality job for your BN20 sticker customers you could get that free advertising to an additional 270 people.
Either number is great.
But together the 540 potential customers you may get a recommendation to can be a game a changer!
Bundle Financing ROI
Just using that SMALL job for a startup accounting business your profit was $93.66.
4 jobs like that will earn you $374.64 in gross profits.
You are making your monthly payments with just 4 SMALL jobs per month.
Or look at it like this:
Most embroidery jobs are 12 pieces or more. Using the numbers earlier will make you about $116 per job.
10 of those jobs a month is $1,116 in profits.
Add the BN-20 stickers and that adds another $700 into the pot which means you would total $1,816 in profits on that $374 payment.
Almost a 5X return on your investment!
12 piece and higher orders are the most common embroidered polo orders. It would take just TWO of those jobs to make your payment.
If you get the same 10 new customers per month in our numbers earlier for embroidery that you added stickers to PLUS the 10 new ones that start with a BN20 sticker job and you add embroidery that’s:
20 jobs/month x $93.66 = $1,873.20 in profits.
Reality Check – Roland BN20
Stickers are a very profitable example, but by far not the most popular product you can make with the BN20.
If you want to do a little math and give your embroidery business ideas a boost, do the calculations above by adding:
- Custom printed t-shirts – average profit $12
- Custom Water Bottles
- Posters
- Coasters
- Tumblers
- Custom Wine Bottles
- Car Stickers
- Locker Stickers
And just look at this apparel profit calculator from Roland:
Bundling Dollar and Sense
The combination of the Avancé multi-needle embroidery machine and the Roland BN20 printer – both from ColDesi- makes great business sense.
Give our business the maximum potential for success:
2. Join the ColDesi Family – get training and professional technical support
3. Let people know you do embroidery
4. Let people know you do stickers – banners – custom t-shirts
5. Encourage them to tell their friends
