Join Date: Nov 2012
Location: Chicagoland Illinois
Projects are fun, sometimes frustrating, always a learning experience. The first rule of a 'project' (bike, car, whatever) is to determine the objective - is it a flip for profit? Is it a 'keeper'? Is it a 'quick and dirty' or a full blown nut and bolt frame off restoration (like Luis did)? Is it going to be stock in the end or some sort of customized end product?
From there, set a budget - ON PAPER - This is the key to staying out of (or quantifying the depth) of 'project financial black hole'. There's not much sense in putting 2 grand into a $1500.00 bike unless (Like Luis again) its some sort of labor of love and money doesn't matter in the scope of the project's objective. This is particularly important in a flip project.
As far as ROI goes -
1: YOUR Labor is 'free' - elbow grease is your best investment with the highest ROI.
2: Appearance matters a LOT for resale, and 'custom' is almost always a black hole financially.
3:Sourcing parts is the next ROI area to focus on - depending on the scope of your project, and as an example, there's little value in putting a $200 AGM battery into a 'flip' bike when a $60 wet cell will do the trick. Used parts can be a money saver, but they come with some risk...OEM NOS can be the 'safe' route, but nothing blows the budget faster.
4: A gallon of Simple Green, a bale of shop towels, and a gallon of Go-Jo Fast Orange hand cleaner from Costco - you're going to need a LOT of this stuff, so buy it in bulk cheaply early on!
5: Specialty tools are expensive - make friends with Harbor Freight early on for anything that makes sense - some of their stuff is pure crap, but a lot of it is a great value for occasional casual use.
There's a start....enjoy your project and participate here on the forum as much as you can...we all love to watch projects and help out.