Starting a garage saltwater business??

[PaintGuru]

I have no idea where this belongs, but I was thinking of starting a "garage saltwater business". The problem is, around here, there seems to be many folks that are doing this, but they mostly have connections with suppliers and play the middle man. I was interested in doing more of a aqua-cultured thing, i.e., getting the pieces initially then selling the frags off as they come. I was also thinking of doing snails since they seem to breed regularly, and of course would be housed in the same system as the corals. I'm doing this for a variety of reasons, mostly because it would be fun, but also for the financial tax breaks involved with a small business . Basically my two areas of stupidity would be:

(1) The best way to build the vats/equipment needed in my basement. Kinda like a "how would you design your tank", but with a garage business in mind.

(2) What would you sell, how do you go about getting suppliers if need be, is just growing and fragging the best way to go, etc.


I'm just tossing ideas around in my head, but I'm sure others here have thought of the same things. Thanks.

[wanareef]

Originally Posted by PaintGuru

I have no idea where this belongs, but I was thinking of starting a "garage saltwater business". The problem is, around here, there seems to be many folks that are doing this, but they mostly have connections with suppliers and play the middle man. I was interested in doing more of a aqua-cultured thing, i.e., getting the pieces initially then selling the frags off as they come. I was also thinking of doing snails since they seem to breed regularly, and of course would be housed in the same system as the corals. I'm doing this for a variety of reasons, mostly because it would be fun, but also for the financial tax breaks involved with a small business . Basically my two areas of stupidity would be:

(1) The best way to build the vats/equipment needed in my basement. Kinda like a "how would you design your tank", but with a garage business in mind.

There are so manyways to do this. Blaine - is using those horse troughs and has each one on it's own sump as indicated on his site. This guy I know has a "stacked" system with custom made tanks, 4'x4'x14", 4 high, all plumbed together using T-5's and a lot of them.

(2) What would you sell, how do you go about getting suppliers if need be, is just growing and fragging the best way to go, etc.

I would think that the beginner corals would sell quick - as there are so many getting into the hobby. But then there are the old timers always looking for that "LE " that nobody else has.

I'm just tossing ideas around in my head, but I'm sure others here have thought of the same things. Thanks.

If it were me doing this, I would setup a "rack" type system, just like the one on GARF and this one friend has. Takes up a small area, compact, easy to get to, but use MH's where needed and T-5's everywhere else. Go BB. Since I would be in the "business" I would get all the dry goods near wholesale and even carry some to sell - then decided if you want to mail order- and/or sell to locals - open up the doors to strangers.

But then the overhead- salt for the water, electricity, the equipment to run the prop tanks- stock

Just scratching the surface

[PaintGuru]

Whats a rack system? I tried looking through their site and couldnt find pictures. I was thinking of the Rubbermaid horse troughs as well and of course was thinking of using MHs, and I like the idea of T-5s and supplimentation. I heard somewhere that most wholesalers won't sell to those without a "storefront". Not sure how true this is. Thanks for your input.

[drw94]

I thought about the same thing. I end up giving a cup full of xenia away a month, not to mention of the SPS I frag and sell for cheap. I believe the initial start up would be in the range of 6000 to 10000 bucks. But remember everything is tax deductible and you can write it all off at the end of the year. Your water, electricity, supplies, and losses are all a write off. For me it would be more of a tax shelter, not looking to make any money, just break even. I have talked to the LFS around here and most would prefer to buy local instead of driving 3 hours to LA. I think It might also help if you propagate some of the rare items that local fish stores don't have or can't keep alive. In my area no fish store can keep SPS alive. I have been buying as many little frags as I can to let them grow out and then frag them. Ricordea are another hot topic. They don;t spread fast but you can cut them in half. A friend of mine mad 32 little red yumas from one. he then sold them at market value or a little below for around 100 each, you don the math. as far as customers go try local, word of mouth goes a long way, and then open up the internet. as far as getting wholesale items just get a business licence and open up an account with who ever, explain your situation and maybe they will sell at wholesale. I haven't explored all the ideas yet as I am still in the planning stage. For me I would not be a business, just an expanded hobby. As long as you look at it that way the losses won't be a problem. To answer your second question where would you get your suppliers, if you start off small only selling a limited selection a good one though, you would be your own supplier, propgating and breeding livestock. For me I am not going to open my garage up to the public, but I will do internet and support the local fish stores.

I think I have rambled enough
Goodluck!!

[PaintGuru]

Yeah my problem is that people around here CAN keep SPS, so another option would be to do rare zoas and softies. I was hoping to keep the initial setup costs below 6-10K, in theory just starting with one vat, one MH with some T5s, a pump for flow and a skimmer. Like you, it's more for a tax shelter, so if I break even and can keep deducting things, I'm happy. Thanks for your input.

[WilyGuy]

Have you looked at frags.org? It might be a good place to start sales. You could start small and build.

[wanareef]

http://www.garf.org/35/unit/unitsavona346296.jpg

http://www.garf.org/35/unit/unit2335500.jpg

http://www.garf.org/ Look under - How to pages - coral farming tips - building a new coral frming unit