What Is Your Breakeven On a Binding Machine?

Sometimes it is tough to decide, should I bring my bookbinding in-house our outsource it to another shop? Picking the right binding machine is only half the problem. Figuring out what it all costs is another. So, If you were to buy a Rhin-O-Tuff OD4012 binding machine, what would it cost? And, how long would it take to get your money back? Let’s do the math.

Question 1: How many booklets will you do in a month?

Let’s say 80

Question 2: What are you binding?

4:1 Coil

Question 3: What model?

Rhin-0-Tuff OD4012 – $2,690
Electric coil inserter – $976

So, how long will it take?

  • Average book size is 20 pages
  • Coil size is 4:1
  • Average cost of Outsource booklet: $18.00
  • Labor Rate: $20/Hour
  • Time to build 1 Booklet: 3.2 minutes
  • Average in-house booklet cost: $3.51
  • Average Savings per booklet: $14.49
  • Averages Savings per month: $1,159.20
  • # of in-house booklets till payback: 349 booklets
  • # months till payback: 4 months

Buy or lease? Approximate lease payment would be $85 a month over 60 months.

So, if you were looking at adding a binding machine to your business, this can help you get an idea of how much a Rhin-O-Tuff binding machine would cost to break even. 4 months of pretty heavy use, the rest is gravy. Plus, they have a 3-year warranty on their machines. Not a bad deal.

shop rhin-o-tuff binding punch machines

Author: Garry Jones

is President of Lloyds of Indiana, an Online seller of print finishing products and services located in Indianapolis, Indiana. Garry is a thought leader in the ever changing landscape of marketing and printing.

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