Grinding is perhaps the single most important aspect of any mulch production business. After all, if you're not grinding fiber, how are you going to make mulch? To help you build the most profitable operation possible, here's everything you need to know about grinding wood fiber for mulch.
Mulch producers know how important it is to keep an accurate set of books. Like any small to mid-sized business, you need to keep a close eye on your expenses to ensure profitability. But one line item that is overlooked too often is your labor and loader cost. Often considered a sunk cost, understanding what you pay toward labor and loader operations can help shed light on an opportunity to improve efficiency in your mulch yard. Let’s take a closer look at how to accurately calculate your labor and loader costs, and how identifying these costs could help improve financial results for your business.
As a commodity product, it can feel like you have little control over the price of your fiber. The construction company, pallet company or brush clearing crew you get your fiber from sets a price and you pay it. There may be some negotiations based on quantity, but that can feel like the only wiggle room you have. Thankfully, there are other ways to think about fiber that can help you save money in the long run. Here are some tips to keep your fiber price in check and ultimately grow profits for your mulch production business.
Sourcing fiber is perhaps the single greatest variable in the mulch industry. Some producers routinely have trouble finding material, while others enjoy markets that are consistently flooded with cheap fiber. More and more these days, that cheap fiber comes in the form of green waste. While the influx of green waste has created opportunities in many cases, it has also brought disruption to the industry. That’s why mulch producers need to understand all of the issues surrounding green waste, including the true costs. Here are a few things every mulch producer should know about green waste mulch.