The amount of new gun owners in the last two years has skyrocketed. At the same time it’s become harder for the gun industry to garner loans to expand their product lines. It is as if the government is infringing on the 2nd amendment by allowing banks to discriminate against legal businesses. Cutting their lines of credit, not granting loans, etc. Lets say you’re an ammo manufacturer and you produce 10 million rounds a month of a certain caliber. You are now receiving orders for 3 times that much each month. Well, get a loan to cover the cost of machinery to expand your production line to manufacture 30 million rounds, you have a business plan that shows you will sell that many rounds and more and pay off the with interest in a short time. But no (((bank))) will cover the loan. Thanks Obama.
Yeah I don’t buy that story. Because then any enterprising capitalist would be producing record amounts by now. I have no evidence of this at all, but it feels like there is some kind of collusion going on. Seriously, bullets aren’t difficult to make. Why aren’t there deals from Alibaba (or Chinese factories in general) for 0.25c a round?
Because then any enterprising capitalist would be producing record amounts by now
That's assuming we operate under something even remotely resembling free-enterprise capitalism. But we don't.
bullets aren’t difficult to make
Raw materials have been in pretty short supply, and the machines are expensive and long lead time.
Also, 18 months ago, manufactures were furloughing people with machines sitting idle and warehouses full of product they were selling at a discount. They aren't in a rush to spend a bunch of money on machines that will be sitting idle the next time we elect a non-stepper president
Ammo imports from China have been illegal for 30 years.
It’s insidious at all levels, I have seriously considered going into reloading for myself and trade calibers with other reloaders. But components like the primers are just as short as manufactured ammo. I guess we are headed to home primer manufacturing next. Followed shortly by collecting pee buckets to make our own saltpeter.
you wont be able to get primers
So why aren't we setting up something based on the concept of crowdsouring loans? I can't think of a firearm owner that wouldn't be down to invest in some additional manufacturing capacity.
What if the local government won’t grant you a local business license? (And courts support it?)
What if they charge you a tax you can’t afford and stay in business. (And courts support it?)
What if they just sue you with frivolous lawsuits they can’t win, but it doesn’t matter because they have deep pockets? (And courts support it?)
What if they force the crowdsourcing site to cancel your account? (And courts support it?)
Should I go on? These are all tactics our current government allows.
There are plenty of places that will be happy to have such a facility.
If someone sets up crowdfunding that isn't stupid enough to use jewy infrastructure they'll be ok.
An organization that crowdsources loans and pays out profits to those providing the capital for those loans is called a bank. That's a tightly sealed group of people colluding to keep others from doing just what you suggest.
They also don't know if the increased demand is temporary.
Say you borrow $20 mill, build the new plant, and next year demand returns to normal. Now what you have is an unpaid loan and ammo you can't sell. So that's why they don't build the new capacity. The default play is to run the existing equipment on overtime, hire some new workers, start a third shift, etc, streamline your production. You can usually double your normal output with your existing capital equipment. You don't build the new plant as long as possible.
There were riots, so gun sales are up. People buy guns when they feel threatened. They had riots in the 1970's too. Bombings, etc. Revolution Vietnam love you long time. But then things calmed back down. Life sort of returned to normal under Reagan, and boom times under Clinton.
(post is archived)