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How to become a multimillionaire in the bodybuilding industry

Do a search on Tradekey and you will see that it is run over with scammers.

Not saying everyone on there is scammers, however for the most part if the person you are dealing doesn't accept American Express or is willing to do Cash On Delivery, stay the fuck away from.

When you get terms where they only do biz by Western Union or Money Order (often offering a discount on the bill) you better be ready to roll the dice for a 50/50 result of actually getting something.
 
Do a search on Tradekey and you will see that it is run over with scammers.

Not saying everyone on there is scammers, however for the most part if the person you are dealing doesn't accept American Express or is willing to do Cash On Delivery, stay the fuck away from.

When you get terms where they only do biz by Western Union or Money Order (often offering a discount on the bill) you better be ready to roll the dice for a 50/50 result of actually getting something.

Very good post and I would say that advice is standard for any kind of business

COD
CC
50% up front 50% on delivery

until trust has been built on time and honesty

The one time Doug and I didnt adhere to our 50% up front, 50% on delivery for our manufacturing facility...it was for a close personal friend of a friend of mine.....and we said "bro you are good people, you are good to go, any friend of "Steves" is a friend of ours...and we gave him net 30 terms"

He took us for 5 figures on his second order in 2007

then claimed bankruptcy and absolved himself of all debt with us holding the empty bag (out of inventory, and not paid)

lesson learned...the hard way.
 
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(P.E.T. and HDPE)

PET= Poly Ethylene Terathalate

HDPE= High Density Polyethlyene


Thats for those guys who are wondering what that meant...lol:p :D


Also these two materials are two of the biggest commodity products produced in the world.....Its cheap and very negotiable in big orders.

I used to work in the polymer additived industry so I have a little background in the subject....One of our customers used Hydrobromic Acid to make PET resins....
 
Very good post and I would say that advice is standard for any kind of business

COD
CC
50% up front 50% on delivery

until trust has been built on time and honesty

The one time Doug and I didnt adhere to our 50% up front, 50% on delivery for our manufacturing facility...it was for a close personal friend of a friend of mine.....and we said "bro you are good people, you are good to go, any friend of "Steves" is a friend of ours...and we gave him net 30 terms"

He took us for 5 figures on his second order in 2007

then claimed bankruptcy and absolved himself of all debt with us holding the empty bag (out of inventory, and not paid)

lesson learned...the hard way.

You could have attached leins on any of the corporations assets.
 
Polarized Reality

Some people on this board dont particularly like me because I am very opinionated about training/diet/supplementation.....and I am ok with that. I feel my body of work over the last 16 years allows me some leeway with being highly opinionated about certain subjects. And I do know that goes directly against some peoples training bibles and it causes them to (again) not think of me in their highest regard.
But I do hope what doesnt go unnoticed is my work behind the scenes over the years in trying to help my fellow bodybuilder's to the best of my abilities......which is sometimes tough in this very self absorbed sport. For some weird reason Ive always felt it was my duty to help good people in this sport to the best of my abilities.....and I go out of my way to try to hook up people in certain area's within the sport. I did this long ago for a couple guys on the East Coast who wanted to move to Cali and needed a job so they could hit the ground running (I got them a job right off the bat at Maxx Muscle and they moved on from that)....and I continually try to do it today with hooking up my guys with magazines, photo shoots, supplement companies, and other opportunities.
I also give out free (and pay for the shipping too) about 2000 dollars worth of protein every month to my customers for telling people about my company. I feel thats my duty to my good loyal customers who tell other people that they like my company. One guy is winning 40lbs of protein a month....I dont know how the heck he is going to use it all--LOL
**broken link removed**
What does this all have to do with anything? Its a leadin to the following....so that you know my reasoning for all this----I like to help out my fellow bodybuilders in this sport.

Ok here goes. Everybody and their brother wants to get into the bodybuilding or fitness arena with the same plan of attack. "Im going to make my own supplement company!!!" "I'll be the next BSN or Gaspari!!!" "I'll be rich!!!" .....Do you have any idea how saturated this industry is right now? It is saturated beyond belief. Half of my business is TP the other half is a custom manufacturing company. I have all these guys come to my manufacturing company wanting us to make them their own line of protein powders or creatine and I just shake my head and kind of chuckle......here is your dilemna.

A) the margin on protein powders is minimal-(heavy to ship, bulky, and profit margin is crap)
B) You will be the 1 millionth company out there with a protein powder and creatine
C) You dont have enough capital to even make a small dent in the industry. You know all that money you scrapped together to get 2 pallets of protein for XYZ per pound? Optimum Nutrition, or BSN, or Weider or whoever just bought 2000 pallets of what you did and because of that, they are able to sell their protein at less per pound on the retail shelves than YOU ACTUALLY BOUGHT YOUR PALLETS per pound price FOR!!! So you are going to sell your protein you just scraped all your money together for ---- for 10 dollars more a jug than the big boys and are going to make such a low profit that your quickly going to be out of business.

So I keep seeing this over and over in this industry....people coming in with high dreams thinking they are going to rule the world only to find out .....they get lost in a sea of many supplement company boats.

So what am i getting at here?

My company buys all its jugs from the same company BSN buys its jugs. A little while back there was a big blip in the manufacturing part of the supplement industry. Seems a certain MMA related company that sells highly overpriced supplements started bouncing big (and i mean big) 6 figure checks left and right........see alot of stuff in this industry is done on net terms.....meaning you get your product first and pay 15 to 30 days later (sometimes longer).....thats how its all done because there is so much turnover with inventory. Well this MMA related company bought (and got delivered) huge amounts of jugs and then stopped paying bills...BIG BILLS! So what that does is put the jug manufacturing part of the industry under a huge amount of stress because they now are out of inventory and now have no money to pay their own bills because they just got scammed. Through all this process alot of information came out.

Basically there are 2 main people in this industry in the jug manufacturing process with a spattering of others......(hard to believe isnt it?)......and one of those two has been telling everyone he has a big blow moulding plant but he doesnt....he just has an office and what he does is drop ship. He is a broker making his huge cuts on orders and then outsourcing all the jugs....thru different parties. And sometimes this screws him up because he promises things and cant deliver because he is dependant on that third party.

So let me wrap this up for you guys ok. Everyone wants to be Gaspari, everyone wants to be BSN. I am telling you right now the actual jug manufacturing part of the supplement industry is so ripe for the picking (and at this moment weak beyond belief that if you really looked into it---I think you would be astonished at having such a weak cog in the process) that if anyone reading this right now has hookups in the blow moulding industry at all.....and took the bull by the horns and went after this......I HAVE ABSOLUTELY NO DOUBT AT ALL THAT YOU WOULD CAPTURE THE INDUSTRY AND BECOME A MULTI MULTI MULTI MILLIONAIRE many times over within (6 months?) (a year?) (2 years?)......it is that weak. You guys are seeing the fringe outside parts of everything with all the bells and whistles and glamour....Olympia Expo's and the like.....yet the inside plastic jug manufacturing process is a rube goldstein ghetto spoke in the wheel. I guess I could put it like this....Heres Toyota and Lexus making all these glamourous cars and commercials and selling millions of cars........ and then you find out the only guy building the Lexus+Toyota frames for them are some guy named Uncle Charlie and his son Billy in Wilmer Idaho in his 2 car garage behind his house.

Why havent i looked into doing this? Doug (my business partner) and I have talked about this....we both dont know jack crap about blow moulding or plastic manufacturing an our expertise begins ends at the actual material the jug is made out of (P.E.T. and HDPE)......I talked to him about even putting up this post because of maybe going into this business in the future but we both knew we wouldnt.

There are a slew of custom manufacturers out there.....a bunch of us....we make products but we all go thru the same guys for our jugs...and I cannot say enough how halfass that part of the industry is. But there are millions upon millions of jugs getting made and used by supplement manufacturers and if somebody who has blow moulding contacts or experience....took this baton im handing off to you and ran with it....I couldnt even fathom how wealthy you would become....unbelievable....you would capture the industry. We are not talking making money off your one supplement line you want to create...we are talking making money off of every single company out there who is selling millions of jugs and you are making money off of every one of those jugs....the company is doing the marketing for you...your making money off their prosperity....try to add that up in your head....# of supplement companies X # of jugs = you manufacturing those jugs.

So my fellow bodybuilder reading this....who is thinking to himself "wow thats the industry my Uncle Wally or my buddy Steve is in"....I am telling you straight out....I would be the absolute first person in line on this bigtime if I had any hookups in the least. So im letting you know about this....thats my duty to my fellow bodybuilders.

I ask you one thing for every guy who see's this post and is acting on it. Please dont forget in the future that I told you about this. Its very easy 3 years down the road to be riding around in your Bentley Continental and forgetting who actually gave you the headstart that took you down that path......all i ask is you give my company a little bit of discount for getting you on that path......and hey you got my business.

All my best to the person/s who has the drive, fortitude, and the connections to act on this. You are going to be a rich MF.

Just watched this last thread with Phil pointing out a workout technique that he had learned. He then as a reward for sharing info with us went on to be questioned in depth and punished (under the guise of good discussion)for what was later proved to be indisputable fact.

Your telling these guys "how to become a millionnaire" and NOT ONE WONDERING THOMAS? I know from reading the forum all the time the tremendous value you bring to the community here. I'm certainly not questioning your intent to help spread news about what you believe is a great opportunity. I was just pointing out an observation.

That being said, I own a concrete company in the northeast. I have seen alot of companys come and go. The market only supports X amount of yards of concrete to be sold. The amount of people in my business doesn't change that much and in time returns to the mean. Could there be a reason that there is only two providers of these plastic jugs rather than an opportunity of epic proportions? Just wondering. I have no knowledge of this industry.

Don't jump on me guys. I like/respect this guy as much as anyone.
 
DANTE KNOWS HIS STUFF

Just watched this last thread with Phil pointing out a workout technique that he had learned. He then as a reward for sharing info with us went on to be questioned in depth and punished (under the guise of good discussion)for what was later proved to be indisputable fact.

Your telling these guys "how to become a millionnaire" and NOT ONE WONDERING THOMAS? I know from reading the forum all the time the tremendous value you bring to the community here. I'm certainly not questioning your intent to help spread news about what you believe is a great opportunity. I was just pointing out an observation.

That being said, I own a concrete company in the northeast. I have seen alot of companys come and go. The market only supports X amount of yards of concrete to be sold. The amount of people in my business doesn't change that much and in time returns to the mean. Could there be a reason that there is only two providers of these plastic jugs rather than an opportunity of epic proportions? Just wondering. I have no knowledge of this industry.

Don't jump on me guys. I like/respect this guy as much as anyone.

and has NEVER been a BSer, but that is a fair question concrete guy
 
Just watched this last thread with Phil pointing out a workout technique that he had learned. He then as a reward for sharing info with us went on to be questioned in depth and punished (under the guise of good discussion)for what was later proved to be indisputable fact.

Your telling these guys "how to become a millionnaire" and NOT ONE WONDERING THOMAS? I know from reading the forum all the time the tremendous value you bring to the community here. I'm certainly not questioning your intent to help spread news about what you believe is a great opportunity. I was just pointing out an observation.

That being said, I own a concrete company in the northeast. I have seen alot of companys come and go. The market only supports X amount of yards of concrete to be sold. The amount of people in my business doesn't change that much and in time returns to the mean. Could there be a reason that there is only two providers of these plastic jugs rather than an opportunity of epic proportions? Just wondering. I have no knowledge of this industry.

Don't jump on me guys. I like/respect this guy as much as anyone.


Just a little bit of background from what I have personally seen with large manufacturing plants. I worked in the plastics and rubber (mostly plastics) business for over 9 years. The company I worked for built highly customized machinery for the plastics industry and I have seen my share of the cost per pcs. being so marginal many products don't have a chance as a "stand alone"

To explain myself the PET and HDPE are both commodity products.
Now I don't know who currently makes the jugs but I am guessing they have their hands in more than just supplement containers.

What I'm getting at is the cost of the raw materials is greatly reduced with a larger volume of such raw materials.
To start a business to mfg just jugs would likely not be prudent.

Like DC mentioned in the first post - you will likely need someone on the inside of a blow molding mfg. plant to produce these for you.
If you do - the first thing is to do the research and find out the total amount of product you could move and at what cost is to the end user.

Then it would simply be you as the middle man.
Customer to the plastics/blow mold company and supplier to the supplement companies.

Definite potential as DC said.

A couple things to be cautious of is being a very small customer to a very large plastics manufacturer and having the $$ to get the ball rolling.
Most customers looking to get a new product made in the business have to pony up the "tooling" cost for the new product, this is the breaking point for many as some people run out of cash before the product is deemed acceptable until the tooling is perfected. The plastic jug should be pretty straight forward and given the rapport with the blow molder and you sales skills you may even get them to foot the bill on the tooling.
That is highly unlikely as a first time customer.

Either way, if you have a potential connection with a company in that line of work heed DC's advice and see what can be done.

If I missed anything I apologize in advance,

Sal
 
DC, you may be right but looking at the situation from the other end you have to question why the companies that were making the tubs went out of business in the first place. it is only fair to assume that if the market were as ripe for the picking as you've said then the preexisting companies that formerly comprised the market would still be around and, in fact, if there were more alpha left in that market, more companies would pop up until all the gains made beyond the fundamental hurdle rate in that sector were gone. I'm in no way saying you're wrong, I'm just curious as to why the companies went out of business to begin with if the market is as wide open as you were saying.
 
I think the most important message is to look around for opprotunities.....Dc saw something and its worth looking into...there may be something there...maybe not...but the important thing is that you see something and check it out....ask some questions.....thats how you don't end up a 70 year old guy working at Mcdonalds for rent money.
 
Dante, you seem to be a popular guy, your PM box is full...
 
My company buys all its jugs from the same company BSN buys its jugs. A little while back there was a big blip in the manufacturing part of the supplement industry. Seems a certain MMA related company that sells highly overpriced supplements started bouncing big (and i mean big) 6 figure checks left and right........see alot of stuff in this industry is done on net terms.....meaning you get your product first and pay 15 to 30 days later (sometimes longer).....thats how its all done because there is so much turnover with inventory. Well this MMA related company bought (and got delivered) huge amounts of jugs and then stopped paying bills...BIG BILLS! So what that does is put the jug manufacturing part of the industry under a huge amount of stress because they now are out of inventory and now have no money to pay their own bills because they just got scammed. Through all this process alot of information came out.

Basically there are 2 main people in this industry in the jug manufacturing process with a spattering of others......(hard to believe isnt it?)......and one of those two has been telling everyone he has a big blow moulding plant but he doesnt....he just has an office and what he does is drop ship. He is a broker making his huge cuts on orders and then outsourcing all the jugs....thru different parties. And sometimes this screws him up because he promises things and cant deliver because he is dependant on that third party.

So let me wrap this up for you guys ok. Everyone wants to be Gaspari, everyone wants to be BSN. I am telling you right now the actual jug manufacturing part of the supplement industry is so ripe for the picking (and at this moment weak beyond belief that if you really looked into it---I think you would be astonished at having such a weak cog in the process) that if anyone reading this right now has hookups in the blow moulding industry at all.....and took the bull by the horns and went after this......I HAVE ABSOLUTELY NO DOUBT AT ALL THAT YOU WOULD CAPTURE THE INDUSTRY AND BECOME A MULTI MULTI MULTI MILLIONAIRE many times over within (6 months?) (a year?) (2 years?)......it is that weak. You guys are seeing the fringe outside parts of everything with all the bells and whistles and glamour....Olympia Expo's and the like.....yet the inside plastic jug manufacturing process is a rube goldstein ghetto spoke in the wheel. I guess I could put it like this....Heres Toyota and Lexus making all these glamourous cars and commercials and selling millions of cars........ and then you find out the only guy building the Lexus+Toyota frames for them are some guy named Uncle Charlie and his son Billy in Wilmer Idaho in his 2 car garage behind his house.

Why havent i looked into doing this? Doug (my business partner) and I have talked about this....we both dont know jack crap about blow moulding or plastic manufacturing an our expertise begins ends at the actual material the jug is made out of (P.E.T. and HDPE)......I talked to him about even putting up this post because of maybe going into this business in the future but we both knew we wouldnt.

There are a slew of custom manufacturers out there.....a bunch of us....we make products but we all go thru the same guys for our jugs...and I cannot say enough how halfass that part of the industry is. But there are millions upon millions of jugs getting made and used by supplement manufacturers and if somebody who has blow moulding contacts or experience....took this baton im handing off to you and ran with it....I couldnt even fathom how wealthy you would become....unbelievable....you would capture the industry. We are not talking making money off your one supplement line you want to create...we are talking making money off of every single company out there who is selling millions of jugs and you are making money off of every one of those jugs....the company is doing the marketing for you...your making money off their prosperity....try to add that up in your head....# of supplement companies X # of jugs = you manufacturing those jugs.

So my fellow bodybuilder reading this....who is thinking to himself "wow thats the industry my Uncle Wally or my buddy Steve is in"....I am telling you straight out....I would be the absolute first person in line on this bigtime if I had any hookups in the least. So im letting you know about this....thats my duty to my fellow bodybuilders.

I ask you one thing for every guy who see's this post and is acting on it. Please dont forget in the future that I told you about this. Its very easy 3 years down the road to be riding around in your Bentley Continental and forgetting who actually gave you the headstart that took you down that path......all i ask is you give my company a little bit of discount for getting you on that path......and hey you got my business.

All my best to the person/s who has the drive, fortitude, and the connections to act on this. You are going to be a rich MF.
I was told this market is pretty wide open and a certain supplement companys get their jugs from several suppiers. and supply is just fine on their end. so I have serious doubts that any of you will be able to undercut any of these large suppliers and get a big supplment company's jug business. I could be dead wrong and I hope all of you become multi-millionairs as i want nothing but the best for all of you, and i don't want to come across as negative, I just checked with one and only one supplement company but that company is a rather L A R G E COMPANY!
 
You could have attached leins on any of the corporations assets.

We did and first come first serve got them of the people he owed--he went down with alot of people holding the bill....we were left with zero
 
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DC, you may be right but looking at the situation from the other end you have to question why the companies that were making the tubs went out of business in the first place. it is only fair to assume that if the market were as ripe for the picking as you've said then the preexisting companies that formerly comprised the market would still be around and, in fact, if there were more alpha left in that market, more companies would pop up until all the gains made beyond the fundamental hurdle rate in that sector were gone. I'm in no way saying you're wrong, I'm just curious as to why the companies went out of business to begin with if the market is as wide open as you were saying.

Out of business? They arent out of business....they are steamrolling ahead.....
 
I was told this market is pretty wide open and a certain supplement companys get their jugs from several suppiers. and supply is just fine on their end. so I have serious doubts that any of you will be able to undercut any of these large suppliers and get a big supplment company's jug business. I could be dead wrong and I hope all of you become multi-millionairs as i want nothing but the best for all of you, and i don't want to come across as negative, I just checked with one and only one supplement company but that company is a rather L A R G E COMPANY!

I wouldnt say there is a problem with supply and i think some of the guys on this thread took what i said that these companys are in financial trouble and are in dire straights.....that could be the furthest from the truth.....that one company took a huge financial hit when X&^%e stopped paying bills all over the place to them in unbelieveable amounts. But these companies arent hurting....no way no how. Its of my opinion that alot of things are being done ghetto. Its also of my opinion though if someone came in and did this right....they would capture the market.

I would love to give some really intricate and shocking details here but I have to be very careful and have to be vague on certain fronts.

Im throwing ideas out to people to get them to think...Im not saying there wouldnt be rough waters, that its all going to flow like a gold river.....etc......but ive talked to enough bodybuilders to take the opinion that alot of them get stuck in 9 dollar an hour jobs without realizing they have contacts, potential, and the ability to make other things happen.

My opinion is this---If someone on this site has blow moulding contacts and fortitude.....and went about things the right way......skys the limit.
 
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Lost in all this thread is this fact that i tried to relay

One of these guys has an office in his garage.

He takes orders for jugs from companies (thousands upon thousands of jugs)

Contacts the actual jug making company and orders up the jugs

Manufacturing company makes the jugs and ships them out with Office guys return address on them to buying company

Office guy makes his hefty cut for being nothing but a middle man.

Its a repeat business over and over and over and over...it never runs out.
 
The problem as I see with this example and business in general:
1) you are entering an established market
2) manufacturing is a capital intensive business - high start up costs
3) even if you just wanted to be a broker, why would the end users switch to you over an established contact - usually two reasons (price and product)
4) an easy way to get rid of new competition is to drive them out of business (if you're starting out, your costs will be higher or you won't be able to under cut the established guy's costs for too long - most likely your funds will run out).

To generalize, usually there has to be a need before one can enter any market(you can define need as - shortage, innovation, price, timely supply, etc.). In this case, if the end user is getting their jugs on time and at good price, then there is no reason for them to change. Unless they have to constantly wait for their supply and this in turn holds their process down.

I would've loved to start my own business. To me, and I'm sure to a lot of you guys, it means 'FREEDOM'. But, I think it's not that easy. Some people get lucky, some people take risks (some persevere, some loose it all). It's a totally new ballgame if you have a family to support. A lot of times it means quiting your existing job, living off your credit cards. Yes, the rewards can be out of this world if you make it. But how many people don't? How many spend 60-80 hour weeks establishing their new business to have it closed down 2 years down the road and declaring bancrupcy.

Also, a lot of people especially in manufacturing, enter a field that they are familar with, often that they can run the production or what have you. How many can buy machinery, hire full staff, etc. I thing a mechanical engineer would have a much better chance starting in manufacturing then a banker...

Sorry, guys, don't mean to be negative.

I think it's a great idea to surround yourselves with creative people and to throw ideas around. You never know when someone will see the light...

To finish on a positive note, 'IF YOU NEVER TRY YOU WILL NEVER KNOW OR WILL NEVER SUCCEED...'
 
I wouldnt say there is a problem with supply and i think some of the guys on this thread took what i said that these companys are in financial trouble and are in dire straights.....that could be the furthest from the truth.....that one company took a huge financial hit when X&^%e stopped paying bills all over the place to them in unbelieveable amounts. But these companies arent hurting....no way no how. Its of my opinion that alot of things are being done ghetto. Its also of my opinion though if someone came in and did this right....they would capture the market.

I would love to give some really intricate and shocking details here but I have to be very careful and have to be vague on certain fronts.

Im throwing ideas out to people to get them to think...Im not saying there wouldnt be rough waters, that its all going to flow like a gold river.....etc......but ive talked to enough bodybuilders to take the opinion that alot of them get stuck in 9 dollar an hour jobs without realizing they have contacts, potential, and the ability to make other things happen.

My opinion is this---If someone on this site has blow moulding contacts and fortitude.....and went about things the right way......skys the limit.
ok thanks for clearing that up dante, as i was one of those people that kinda misunderstood parts of your post, now i get what you are talking about, ha and i like when you said things are being done ghetto..LOL yes if someone was to come across a blow molding business contact and did things right they could take a lot of other guys who are doing things as professional as they should be business'. thanks for your reply dante.
 
I see said the blind man!!!

Lost in all this thread is this fact that i tried to relay

One of these guys has an office in his garage.

He takes orders for jugs from companies (thousands upon thousands of jugs)

Contacts the actual jug making company and orders up the jugs

Manufacturing company makes the jugs and ships them out with Office guys return address on them to buying company

Office guy makes his hefty cut for being nothing but a middle man.

Its a repeat business over and over and over and over...it never runs out.

Wow...these few lines in this entire thread speak volumes and are quite an eye-opener! Thanks DC
 
What i was trying to get to Tom outside of the (if someone had their foot in the blow moulding industry) is to get people thinking outside of this little box they have painted themselves in

ala the tradekey site...thats just one site...theres many out there like that.

There are huge numbers of people in the United States that are acting as brokers and making a grip of money being nothing but a guy who takes an order and fullfills that order

Doesnt have to be in the bodybuilding industry....

I know of a local person whose business was on the downside out here in California...he was in the tattoo and piercing business....whats big out here in Cali? Surfing

Hypothetical: http://www.tradekey.com/ks-epoxy-surfboards/

This guy's surfboard business has overtaken his tattoo and piercing business and his head is spinning its going so crazy

Now he is doing that for himself and his own local store

but i was thinking about it in the context of supply and demand in manufacturing/components/whatever.....you fullfill one small cog in someones large manufacturing machine.

ok im running out to time again
 
Thanks DC Im sick of my low paying job And you got me thinking why cant i do something like this and become wealthy
 

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