Cost of goods per knife?

[Gary Mulkey]

Radar,

I feel like we have gotten away from your initial purpose with this thread and that may be partially my fault.

For most of us I would imagine that the cost of goods per knife is a difficult question to answer. Since it has absolutely nothing to do with the value of the finished knife, many of us don't compute it. I suppose that the best answer would be add all of your material & supply receipts at the end of the year and divide by the number of knives made.

Many new makers get a little too caught up in the cost of making a knife thinking that time & material is a good barometer for price. Unfortunately in our business that is not the case. A knife is only worth what the public will pay for it. Because of this, pricing your knives is probably the most difficult thing to learn that there is for a beginning maker.

When buying a custom knife you are not just purchasing a product but also buying a piece of the man who has made it. This is a very reputation oriented business and the maker's name may well be just as important to value as is the quality of the knife.

Sorry to get so verbose but in short, I wouldn't get too excited about the average cost of your knives. Just buy the best materials that you can afford and use them.


Gary

[BCROB]

sending knives out for heat treat was the dagger in knife making costs for me, wrap it up send it in the mail , wait 2 weeks , pay for its return , pay for the heat treat .................enough was enough and through some good advice from Ray and others I ended up with my Paragon, I've had it just over a year now and its almost paid itself off in money saved on heat treats alone , nevermind the money I've been fortunate enough to make in knife sales which has now added a few more goodies in the shop......ie rockwell tester , milling machine, a 2nd 2 x 72................in short the Paragon is a huge money saver for me...........next to a 2 x 72 this is a must have.....just my 2 bits, grind on friends !!! Ray has the snow flown yet ??

Rob

[Ray Rogers]

Not yet Rob but forecast says this Sunday should be the first snow ....

[Eli Jensen]

I rough estimate is costs me about $100 per knife to make. This is calculated by the drain on my account divided by how many knives I make for that time period. When I try and add up the materials it comes in less but I always lose money so . . . . but this includes buying new equipment.

[R. Yates]

Most knife makers add up the cost of materials + 20 % to give them their cost of a finish knife 4 sale price and then the MS level makers that have become well known make (X many a year ) at a given price they know what their time is worth and what they should charge for their work and that is it till next year. ALL of them have a waiting list you must get on before you will get one from them directly . this is not set in stone for New makers as they may be very good makers yet no one know who they are or studied under. However, many will eventually put out sub standard work and will not last long due to just that . Always put out the very best work you can, use the best materials you can afford and fix it if an issue should happen with any one of your Knives "due to faulty workmanship". Any blade I have made and let out of my shop is Guaranteed for "My Lifetime".

I hope this helps you out as well as the other post from several of the Very Good Knife makers that have took the time to help you out and tried to answer your inquiry.

Best of Luck and i look forward to seeing your work.

Sam

[Radar]

Great information from all, I appreciate the help. My original question was more geared to gauge how much this new obsession is going to cost me than to establish market price for my work. However, the input has helped me see things from new perspectives.

Great advice on steel selection as well.

Thanks again.

-Radar

[R. Yates]

Well in that case I just spent a bit over a grand this past month for wood,steel,pins and leather stuff Knife making stuff . However the 50 dollar knife shop book would help you out a ton and is a priceless resource.

Sam

[Radar]

I'll definitely put that on my list of must-haves.