# Spray foam business



## SHOWERDOORWIZ (Feb 4, 2011)

A friend of mine is offering me to partner-up and start a spray foam insulation business. there is a rig that he offers to buy with all the equipment inside... about 30 gran... 
he is a good man, we did some business with him before, so i know i can trust him. but I have no idea about spay foam business. is it hot? is it good? 
do people want it? and how much it costs? 
I did some research on internet about it, but there is no info about how much people charge for it? does anyone have any idea? I want to put together the numbers and see how much profit it may or may not generate... see if its any good?

P.S. DOES IT REQUIRE LICENCE?

thanks in advance.


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## slowsol (Aug 27, 2005)

Want to know the only ship that won't sail?

How many failed partnerships started off with one person saying, "he is a good man, we did some business with him before, so i know i can trust him."

I would bet 100%.


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## SHOWERDOORWIZ (Feb 4, 2011)

it may fail, i agree, or may not. 
what i mean is - if the partnership fails, it will not be because one of us is not working hard enough or being is dishonest. it may fail for all other reasons...
that is not the question. 
the question is - is there anyone who done it before and can he help me with advice.


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## Main Street (Mar 26, 2009)

We do some spray foam insulation for our home improvement business. We just figure the square footage and get the kit we need from on line or supply house. 
I think you'd have to go commercial and partner with some of the larger construction companies in order to specialize. A friend runs a steel building company, but he said they use their own labor and don't farm it out.
You'd be well advised to do a market survey of builders to see if they could use you. Right now it would be tough to make it in the residential market only.
Good luck.


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## TxElectrician (May 21, 2008)

No help, just curious... if he's bringing in 30k to the business what are you bringing? If not 30k worth of something then he's the boss. If you don't reconize that then the partnership is doomed from the beginning.


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## VinylHanger (Jul 14, 2011)

I'll leave the obvious pitfalls about partnerships alone. As for specializing in a trade you know nothing about, that would be a very hard road to hoe.

The guys I know who are specialized are having a really hard time making it. If all I did was glass these days, I'd be starving as well. If it is a service you can add to your regular, hopefully successful business, then it might be a good idea. 

However, just buying a 30,000 dollar rig and hoping to find work for it is tough. You might be able to lease one and see how it goes first?

Good luck, I am a fan of people just going for it, but watch your back and keep your ducks in a row.


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## SHOWERDOORWIZ (Feb 4, 2011)

Thanks for king wishes... same to you all.
actually - my partner offers to go 50/50. 
he is good with construction in general, have hands that can do anything. and I am good with engineering, computers, and sales. and worked at construction too...
so i don't know...


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## Jaws (Dec 20, 2010)

50/50 and he puts up the cash? Pretty good. I have thought about doing something like this as an integrated part of my construction company but never as a stand alone. If your the one installing beware, **** is nasty


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## rustyjames (Aug 28, 2008)

Aside from the partnership issues, it might be a good idea to do some homework before diving into the foam business. I've been reading (online) about installations that had to get ripped out because of poor indoor air quality due to foam.


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## woodchuck2 (Feb 27, 2008)

rustyjames said:


> Aside from the partnership issues, it might be a good idea to do some homework before diving into the foam business. I've been reading (online) about installations that had to get ripped out because of poor indoor air quality due to foam.


Most places here that have that problem opt for a cold air/fresh air intake system because of the home being airtight. I find this amusing myself, i would just crack open a window.


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## Jackpine Savage (Dec 27, 2010)

SHOWERDOORWIZ said:


> A friend of mine is offering me to partner-up and start a spray foam insulation business. there is a rig that he offers to buy with all the equipment inside... about 30 gran...
> he is a good man, we did some business with him before, so i know i can trust him. but I have no idea about spay foam business. is it hot? is it good?
> do people want it? and how much it costs?
> I did some research on internet about it, but there is no info about how much people charge for it? does anyone have any idea? I want to put together the numbers and see how much profit it may or may not generate... see if its any good?
> ...


A lot of it depends on your local market. Guys here charge $.80 a board foot. I have no idea their material cost. 

Bigger issue though is that spray foam is sort of a bandwagon these days, and if you were starting a biz in my town, you would be late getting on the wagon. 

These days, throw a rock onto a busy street and chances are you'll hit a spray foam contractor.


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## Crawl-Dog (Dec 25, 2010)

I see that your info states that you're from NJ.

Is this where most of your work will be, or tri-state?

I can tell you that me being in the insulation trades, that stating a foam business from knowing nothing, is much more difficult than what the sales reps,sites and seminars stress it to be.

When you get the machine, in most contracts they'll sit you through a class, get you a cert, and even send guys out to help calibrate it and get it ready from it's factor/and shipping settings.
These guys will show you a thing or two, and linger for a bit till you have an understanding. Then they'll fly back to where they came from, and off to the next client.

At this point you are set free to the wolves. I'll tell you right now, it's a throat cutting business my friend. Insulation company's are taking contracts these days for just about anything, and they're insulating everything and anything. Most these company's are cutting prices to just low ball the **** out'a of competitors. So if your partner has some retro fit work going on, reno's ect, and he sells the client some foam, then start by buying the small canisters as this is the best deal. You'll have to really get out there and make a name for yourself in a line of work that has a 101 other Joe's,Tom's and Harry's that are thinking on the same line as you, not including the insulation contractors that are well established already with many builders and other contractors. It's hurting as it is, so keep that in mind.
Start small, get a feel, build up a rep and base for doing so, then if all goes well take the plunge. 

*I have to ask tho, is this really the market for investing in something of this size, not like you have a contract in the works that will pay for itself in 5 months?*

Just my .02, I'm just an installer I have never owned my own business nor ever will, I'm just a fish in a tank, and I watch what goes on around me daily. I seen enough to know better.

I'm just giving you one angel here to look at it, not shooting you down.

Good luck, God speed, and I wish you well with any choice you make.


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## The Coastal Craftsman (Jun 29, 2009)

Cut throat ain't the word. I know of one machine that was bought and sold 6 times because each and every buyer thought it would be easy money yet they lost money. I have never opted to use it and prob never would because of various issues I hear it has. The one house I worked on that had it in the walls was the biggest pig ever to work on. The only time I ever see it used time and time again is Holmes on homes!


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## Inner10 (Mar 12, 2009)

Almost all houses built here are spray-foamed around the band joist and at the ends of beams on exterior walls. Definitely a viable business but unless you have work lined up I can't see jumping in head first.


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## Crawl-Dog (Dec 25, 2010)

BCConstruction said:


> Cut throat ain't the word. I know of one machine that was bought and sold 6 times because each and every buyer thought it would be easy money yet they lost money. I have never opted to use it and prob never would because of various issues I hear it has. The one house I worked on that had it in the walls was the biggest pig ever to work on. The only time I ever see it used time and time again is Holmes on homes!


Bingo

And an other reason above, it's worse then owning a boat, these things are money pits if you don't have the resources or clientele/work lined up to support it. 

Also
I don't give a rats ass what any foam/sprayer contractors here has to say about it or wishes to advocate that it's in-demand or what not, they just might have a decent base of loyal contractors, and a nice network to work with. Other then that I think we all know it's high risk at this time of the ages.

5 contractors buy into this type of work, 4 fail, and 1 prevails.


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## Crawl-Dog (Dec 25, 2010)

Inner10 said:


> Almost all houses built here are spray-foamed around the band joist and at the ends of beams on exterior walls. Definitely a viable business but unless you have work lined up I can't see jumping in head first.


The canisters are ideal for these situations, I mean someone is going to have to have a **** ton of bands lined up, on some 2-3 story homes, of a boat load of crawl-bands on a ranch.


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## Inner10 (Mar 12, 2009)

> The canisters are ideal for these situations, I mean someone is going to have to have a **** ton of bands lined up, on some 2-3 story homes, of a boat load of crawl-bands on a ranch.


Only one company I sub for uses the handy-foam things and all they do are small additions and renovations.

All the other contractors I know and/or work for call in the guys with the ghost busters outfits on to do the spraying.


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## Crawl-Dog (Dec 25, 2010)

Inner10 said:


> Only one company I sub for uses the handy-foam things and all they do are small additions and renovations.
> 
> All the other contractors I know and/or work for call in the guys with the ghost busters outfits on to do the spraying.


exactly... simple small jobs and they pay for themselves, and pocket a few bucks, larger ones just sub out and let it be someone elses headache.

Ghost busters! Classic.....:laughing:


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## ExtremePride (Oct 27, 2010)

Here where I'm located a guy bought one. He has only done his own house and one other, in a years time. I asked him about the house I just built 2300sq. ft. He told me about $16,000.00 I had a guy go in with fiberglass batts and blown in for $2100.00. Foam may be good but I don't see the value in it. The house is all electric and the bill is not over $75.00 yet with the fiberglass.


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## WindowsonWash (Nov 1, 2011)

It is a tough business. You need to keep the rig running and it is really easy to screw up stuff in the beginning.

I would be leery but I applaud your effort and ambition.


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