Neon sign business - a profitable one or not

Published: 23rd February 2011
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The demand for neon signs is steadily growing as business enterprises have come to realize that neon signs are a powerful and yet cost-effective way of advertising to boost sales.

Owners of shops, bars, restaurants and retail outlets consider neon signs as not only inexpensive but as a means to lend prominence to their establishments even in a crowded marketplace. Neon lights have the unique capability to lure the attention of people more than the other types of business signs because of the wide range of colors, glowing lights and aesthetic custom designs.

If you are seriously contemplating to start a business, then get into the manufacturing and marketing of neon signs – taking advantage of the present massive popularity of neon signs. Rest assured that the return on investment in a neon sign business is tremendous and you will be venturing into an undying market.

As a starting point, acquaint yourself about the prices of the materials needed and the labor expenses to obtain a general idea how much it will cost you to produce one sign. The second and obviously the most important step is to prepare a list of potential customers. You can go around the nearby areas and contact owners of small businesses, bars, restaurants, retail outlets etc and seek their patronage.

Determine the selling price based on a simple formula - what it will cost you to produce this sign plus whatever profit margin you want. Try to curb your greed for profits and make the price reasonable, competitive and affordable. In order to know the market prices of various types of neon signs, check for price lists on the websites of some of neon sign makers.

Learn about the intricacies of the neon sign business by visiting a few neon sign manufacturing companies in your targeted market. Try to think of new neon sign design concepts that would distinguish your company from that of all other competitors.

Prepare a comprehensive business plan as a road map for your neon sign business. The U.S. Small Business Administration (SBA) provides free comprehensive small business planning information on its web-site that also includes a SBA on-line business plan course.

As a prospective owner of a neon sign business company, it is imperative that you also learn how to make neon signs. Neon signs, as you may be aware, are lead glass tubes filled with various types of inert gases such as neon that can produce different colors when exposed to electricity. The manufacturing process entails knowledge of heating, blowing and welding glass, as well as harnessing gases for exposure to electrical currents. It is best you undergo proper training with an expert manufacturer prior to opening your own neon sign business.

Please take note that neon sign production unit will require studio space with adequate ventilation as the procedure involves lot of heat and gases.

It is good to know that the International Brotherhood of Electrical Workers (IBEW) and the National Electrical Contractors Association (NECA) will help you with local referrals, provide training opportunities and also offer apprenticeship programs for new neon sign makers. If you are in need of start-up finance, you may check with SBA's Guaranteed Loan Programs for small business loan options.

There is already a huge demand for neon signs and this demand is expected to steadily grow in times ahead. When starting a neon sign business, you will be entering into an industry that has a promising future with immense potential for continued growth.

Brayan Peter is an expert author for Business Neon Signs, Neon Beer Signs,Neon Sign Bar. He written many articles like Custom Neon Signs, Tattoo Neons, Neon Lighting, Metal Signs, Neon Lights, Neon Clocks, Neon Open Sign . For more information visit our site Contact him at

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