Opening a roll forming metal factory

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Industry and ancillary industry are the fields that the Government has fostered today. In particular, the investment and development programs bring great potential to the national economy. However, investing in this industry faces many challenges for entrepreneurs. First, the businessman needs to solve the problem “the CONDITIONS FOR ESTABLISHING A ROLL FORMING METAL FACTORY”? In instance, to understand how to open a billion-dong roll forming metal factory is not easy. Therefore, in this article, Vietsteel will share with businessmen the experience to solve the above difficulties.

I. Why should a businessman open a roll forming metal factory?

The first milestone is the average growth rate of the value-added (VA) in industry in the period of 2016 – 2020 is estimated to increase by 7.16%, much higher than the target set for the period of 2020 from 6.5 to 7.0% per year. In particular, the government decided to create opportunities to boost public investment, one of the biggest driving forces for economic growth today. Moreover, the demand for steel is also positively affected by the recovery of the real estate and housing market. Therefore, the steel industry is highly valuated because of many optimistic highlights for long-term development.

Moreover, the roll forming metal factory brings many potential benefits to the businessman. Especially, it can promote high economic benefits, bring billions in profits to investors by the look of the trend of market development in the near future. In Vietnam, the demand for roofing and sheltering is enormous in households, construction sites on large or small scale. In addition, there are additional benefits such as:

Reduce intermediary costs, optimize profits.

Instead of buying finished products from another supplier, the businessman will be able to manage the entire process from production, operating all stages, flexibly supplying raw materials and output products. The delivery time can be more proactive, the business can maintain “to be safe” in the supply chain. Profits will be more optimal when actively producing products from the workshop.

Long-term investment, easy to expand business scale

Establishing a roll forming metal factory is a long-term investment that helps to create high profits, the ability to recover capital quickly, grow in the long term. The entrepreneur can expand the business scale to other workshops or be a supplier to other partners. In particular, entrepreneurs can invest in aesthetical, exclusive sheet metal profiles, taking control of own technology and creating market trends.

Save the costs of labors

One of the benefits is that the roll forming metal factory uses automation technology lines, which saves a lot of labor costs, and help traders reduce the cost weight.

The production of roofing sheet metal is not too complicated, but it is difficult to produce manually. Although manual production is not impossible, with a large sheet of steel sheet, producing tens, hundreds of square meters, manual production is only for those who want to waste time and manpower.

II. Experience in setting up a cost-effective roll forming metal factory

In order to establish a cost-effective roll forming metal factory, the businessman needs to consider issues such as location, business premises, suitable steel rolling machines, budget for the opening of the workshop and other legal issues.

Location set

  • When choosing a location to set up a roll forming metal factory business, it is tremendously necessary to choose a convenient traffic point, which can be on open major roads for easy steel transport. The place must be qualified as easy access for large vehicles such as trucks or container lorries to enter and turn.
  • The location of the factory needs a large area and suitable for the types of machines to be placed in.
  • Terrain of the landscape for installation, construction surface must also be suitable for easy operation of the factory.
  • In addition, if the location is in rural area of 10km away from the urban or more, it can help the businessman save rental costs, as well as other factory facility costs.

Business premises

The business premises must be sufficiently open space, providing the workers in the factory large volume of air to breathe. The ideal business premises for roll forming metal should be generously spacy, ensuring environmental ventilation and not affecting the surrounding area in terms of noise free. It is not recommended to choose residential areas, where many people live.

Choose the right type of roll forming machine

There are many types of roll forming machines and the business can choose the one suitable to its budget and business scale.

  • Roofing Roll Forming Machine: This machine has a suitable price for beginners to open a roll forming metal factory. It is popular and widely used. Besides, there are a variety of machine speed options such as 20 meters / min, 25 meters / min, 30 meters / min, 35 meters / min, 40 meters / min and the fastest is 60 meters / min. The investors can choose the speed of rolling machines to suit the needs and investment costs. Common profiles are: 6 waves, 11 waves.  Roofing roll forming sheet metal is always popular in many large and small projects. It is highly potential for salability and to bring good profits for beginners who decide to set up factories.
  • Crimping Curve: Can be combined with roll forming machine to create diversity of items to the business. This sheet metal profile creates curved domes used in building eaves to shade from the sun, the rain. Moreover, it is also flexible to use in bending trucks and container trucks.
  • Step tile rolling machine: magnificently shaped, easy to use, favored in special architectural projects due to high aesthetics.
  • Double deck roll forming machine: Rolling machine with many different shapes should choose 1 roofing deck, 1 step tile deck.
  • CZ Purling Combination: The machine can save workshop space and labor. One machine produces 2 formats both C and Z, with more than 20 different sizes. Resizing and forming take less effort and require not many labors because it has been fully automated. It is one of the most popular machines on the market today.

Estimated financial budget

Depending on different scale of each project, the financial budget for investing in roll forming metal factory can vary. The businessman prepares an estimated financial budget within capability in order to establish a roll forming metal factory. The modern, professional and fully equipped factory model will help businesses promote production efficiency.

Factory investment budget: There is no regulation on how many squared meters the factory size must reach. However, the business investor should note that a comprehensive factory with quality equipment, adequate space and professional processing system will help the business become more efficient.

There are 2 factory investment options:

  1. New construction investment: Favored as a pre-fabricated construction; however, it is possible to consider building a light steel technology frame that saves costs and construction time.
  2. Renting a factory: This option should be used at the beginning to stabilize production and revenue sources. It is suitable with the short-term plan. The importance is that businesses need to choose a reputable factory leasing unit, no matter how many squared meters the size is.

– Regarding machine investment: Depending on the existing budget, the businessman can invest the appropriate number of machines for his factory. With the average investment, the investor should carefully consider the market trend to achieve optimal efficiency with his investment level. Besides, the businessman can refer to some machines proposed by Vietsteel above.

Other considerations

  • Legal

The businessman needs to determine in advance the business purpose, the amount of existing capital, the legal representative, the scale of production….and whether to choose to operate as an enterprise or individual business.

  • For an individual business, it is necessary to prepare licenses such as permission to establish a production facility (including information and identification documents for registration).
  • For a manufacturing enterprise: the businessman needs to apply for the enterprise registration certificate, investment registration certificate to establish the enterprise, operation license for production products (sub-license). In addition, the businessman needs to carry out procedures to be confirmed to meet environmental conditions, fire prevention and fighting when opening the workshop.
  • Human Resource management

Depending on the size of the investment, the investor will train the number of personnel accordingly. However, the current staffing costs are not low and resources are limited. An effective solution to save personnel and still ensure production productivity is to invest in automatic machines. And choosing machines with high durability saves warranty and maintenance time.

One of the leading suppliers of roll forming machines in Vietnam that investors can trust is Vietsteel. We provide roll forming machines with modern and advanced technology. With durability up to 15 years, Vietsteel roll forming machines can help the businessmen save immense labor costs, because only 1- 2 personnel needed to operate the machine. Moreover, while delivering the machine to our customers’ destinations, our engineer will support the installation and operation of the machine on site. We also help guide the personnel to operate the machine. We ensure those who use the machine for the first time to be confident and to manipulate with ease. In particular, Vietsteel also supports online directly 24/7 to handle technical problems that businesses encounter.

Establishing a roll forming metal factory for beginners will be difficult, and the businessmen may have many doubts about this. The entrepreneur can contact Vietsteel for consultancy and we can advise the businessmen about opening a billion-dong roll forming metal factory. The businessman can contact us for details on budget, costs, machines suitable for the budget of the businessman, etc. with hotline +84 906 898 860 or send information about