How to calculate hourly cost and rate of sheet metal processing lines

Dallan is often asked what is the operating cost for a sheet metal processing line, and this article will provide a method for calculating it.

You will see that, especially for new lines such as roll forming lines, punching machine and laser cutting, the payback and the number of working hours of the machine play the most significant role, and that the payback is a decision that the sheet metal manufacturer has to take.

Other times, Dallan's clients ask how much they should charge for the machine per hour, and at the end of the article we will see that this question has a little different answer: in this case the entrepreneur has to decide how much of the overhead costs are connected to the machine operation, how much is the gross margin he wants to have and what is the hourly rate generally applied in the market.

Follow the link and discover more about how to calculate the hourly cost of a machine.