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How much to budget for materials as a furniture maker?

This article was written by our expert who is surveying the industry and constantly updating the business plan for a furniture maker.

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As a new furniture maker in Oct 2025, you should budget materials with precision because they typically represent 40–60% of each project’s total cost.

Your costs will depend on the furniture types you build most often, the grades of wood/metal/upholstery you choose, waste rates during cutting and finishing, and supplier terms such as MOQs, lead times, and volume discounts.

If you want to dig deeper and learn more, you can download our business plan for a furniture maker. Also, before launching, get all the profit, revenue, and cost breakdowns you need for complete clarity with our furniture maker financial forecast.

Summary

Material budgeting for a furniture maker hinges on your core product mix, chosen material grades, realistic waste allowances, and supplier economics (MOQ, imports, and lead times).

Expect price volatility in timber, board products, foam, and metals; build 8–12 weeks of lead time and a 10–20% contingency into your cash plan.

Frequent Product Type (2025) Typical Materials (Primary) Material Share of Unit Cost Typical Waste Allowance Unit Material Cost (Range) Notes for Budgeting
Dining tables Hardwood slab/lamella, steel base, finish 50–60% Hardwood 35–37% $180–$650 Large boards → higher waste; allow flattening loss
Office desks 25mm particle/MFC, edging, hardware 45–55% Board ~20% $90–$280 Board yield improves with nesting cut lists
Chairs (office/visitor) Metal/nylon base, molded foam, fabric 45–55% Foam/fabric 10–15% $55–$160 Foam price volatility is high in 2025
Sofas Kiln-dried frame, springs, foam, upholstery 50–60% Fabric 12–18% $220–$780 Fabric yield depends on pattern/repeat
Storage units Plywood/MDF, hinges/slides, finish 45–55% Plywood 20–27% $110–$360 Hardware quality swings unit cost
Side tables Solid wood top, metal/wood legs, finish 40–50% Hardwood 30–35% $40–$140 Offcut strategy can reduce waste
Custom statement pieces Premium hardwoods, custom metalwork 55–65% Hardwood 35%+, veneer 50–80% $300–$1,200+ Low scale → higher unit material cost

Who wrote this content?

The Dojo Business Team

A team of financial experts, consultants, and writers
We're a team of finance experts, consultants, market analysts, and specialized writers dedicated to helping new entrepreneurs launch their businesses. We help you avoid costly mistakes by providing detailed business plans, accurate market studies, and reliable financial forecasts to maximize your chances of success from day one—especially in the furniture maker market.

How we created this content 🔎📝

At Dojo Business, we know the furniture market inside out—we track trends and market dynamics every single day. But we don't just rely on reports and analysis. We talk daily with local experts—entrepreneurs, investors, and key industry players. These direct conversations give us real insights into what's actually happening in the market.
To create this content, we started with our own conversations and observations. But we didn't stop there. To make sure our numbers and data are rock-solid, we also dug into reputable, recognized sources that you'll find listed at the bottom of this article.
You'll also see custom infographics that capture and visualize key trends, making complex information easier to understand and more impactful. We hope you find them helpful! All other illustrations were created in-house and added by hand.
If you think we missed something or could have gone deeper on certain points, let us know—we'll get back to you within 24 hours.

Which furniture pieces are most frequently produced in 2025?

Focus on chairs, tables, sofas, and storage units, with strong demand for multifunctional and minimalist designs.

Handcrafted statement tables and ergonomic office chairs sell steadily, while sustainable materials (reclaimed wood, bamboo, recycled metals) keep gaining traction.

For a small workshop, plan a product mix where 40–50% of monthly output is chairs/stools, 25–30% tables/desks, 15–20% storage, and 10–15% sofas to balance cash cycles.

You’ll find detailed market insights in our furniture maker business plan, updated every quarter.

This mix helps stabilize material purchasing and inventory turns.

What standard materials and quantities are typical for each piece?

Each furniture type has a repeatable bill of materials; you should price against unit quantities, not rough estimates.

Use the following BOM patterns as a budgeting baseline for a small-batch furniture maker.

Piece Typical Materials & Unit Quantities Budgeting Notes
Office desk (120×60cm) 25mm MFC/particle board ~1.0–1.2 m²; ABS edge 5 m; steel frame 6–8 kg; screws/bolts ~60 pcs; finish 150–250 ml Nesting cuts reduce board waste; spec cam fittings for fast assembly
Dining table (180×90cm) Hardwood top 0.5–0.7 m³ eq. (lamella); steel legs 10–14 kg; leveling feet 4; finish 250–400 ml Flattening and jointing raise waste; protect for moisture movement
Side table (50cm Ø) Solid wood round 0.06–0.09 m³ eq.; wood/metal legs 2–4 kg; fixings 20 pcs; finish 80–120 ml Great use for offcuts to lift yield
Visitor chair Metal base 4–6 kg; molded foam 0.04–0.06 m³; fabric 1.1–1.4 m; staples 120–180; screws 20–30 Fabric repeat affects yield; foam drives comfort and price
3-seater sofa KD hardwood frame; sinuous springs 12–16; foam 0.2–0.3 m³; fabric 12–16 m; feet 4; glides 4; webbing 10–14 m Confirm fabric width (1.4–1.5 m) when costing
Storage cabinet (100×180cm) Plywood/MDF 3–5 sheets; hinges 4–6; slides 2–3 pairs; pulls 2–4; screws ~80–120; finish 250–400 ml Hardware selection shifts cost by 10–20%+
Custom statement piece Premium hardwood 0.3–0.8 m³ eq.; custom steel 8–20 kg; specialty finish 300–600 ml; unique hardware Prototype once; lock BOM before committing

What are current market prices for raw materials (local vs. imported)?

Prices for wood products, foam, and some metals have risen sharply; always quote locally and internationally.

Use the table below to set realistic unit budgets for a furniture maker operating in Oct 2025; adjust for your region and shipping.

Material Typical Local Price (ex-VAT) Typical Imported Price (landed)
Hardwood (oak/maple/walnut) $2,000–$3,800 per m³ (rough-sawn) $2,300–$4,200 per m³ incl. freight/duty
Plywood (18mm furniture grade) $28–$55 per sheet (1220×2440) $32–$65 per sheet landed
Particle/MFC 25mm $22–$40 per sheet; laminates +$15–$30 $26–$48 per sheet landed
Steel tube (2–3mm) $1.0–$1.6 per kg $1.2–$1.9 per kg landed
Upholstery foam $2.8–$5.0 per board-foot $3.2–$5.8 per board-foot landed
Upholstery fabric (durable synthetics) $6–$18 per meter (1.4–1.5 m width) $8–$24 per meter landed
Finishes (varnish/stain) $9–$22 per liter $10–$28 per liter landed
Hardware (hinges, slides, bolts) $6–$25 per unit set (cabinet) $7–$32 per unit set landed

How much material waste should I plan for?

Plan waste per material, not a single workshop-wide percentage.

Use these allowances to budget materials accurately for a furniture maker.

Material Typical Waste % Why It Happens / How to Reduce
Particle/MFC boards ~19–20% Nesting inefficiencies and edge banding trims; optimize cut lists and panelizing
Softwood 20–27% Knots, warp, end checks; buy better grades for visible faces
Hardwood 35–37% Jointing/planing loss and defect removal; rough mill oversize
Veneer 50–80% Trimming, matching, defects; use engineered veneer on large surfaces
Fabric 10–18% Pattern matching and repeats; plan cutting maps
Foam 8–12% Profile shaping; order pre-cut when volume justifies
Steel 6–10% Cut-off lengths; standardize tube sizes and jigs
business plan cabinet maker

What MOQs do suppliers require and how does bulk purchasing change unit cost?

Most material suppliers quote price breaks tied to MOQs; larger batches reduce your per-unit material cost.

Use this table to plan purchase sizes for a furniture maker without over-tying cash in inventory.

Material Common MOQ Tiers Typical Unit Cost Impact
Plywood (18mm) 20 / 50 / 100 sheets −5% @50 sheets; −10–15% @100 sheets
Hardwood 0.5 / 1.0 / 2.0 m³ −4% @1 m³; −8–12% @2 m³ (grade-dependent)
Steel tube 200 / 500 / 1,000 kg −3% @500 kg; −6–9% @1,000 kg
Foam blocks 10 / 30 / 60 units −6% @30; −10–14% @60 (density-dependent)
Upholstery fabric 50 / 150 / 300 m −5% @150 m; −10–12% @300 m
Hardware kits 100 / 500 / 1,000 sets −7% @500; −12–18% @1,000 sets
Finishes 20 / 100 / 200 L −5% @100 L; −8–10% @200 L

What material quality grades match customer expectations?

  • Wood: Use visible-face hardwoods (FAS/Select for North American grades) on tabletops/fronts; structural members can use #1 Common or quality plywood to control cost.
  • Metal: Specify seamless welds, clean grind, and powder coat for high-touch frames; avoid visible spatter or pinholes.
  • Upholstery: Choose durable polyester or poly-blend with ≥30,000 Martindale or ≥50,000 double rubs; confirm colorfastness and stain resistance.
  • Hardware: Favor branded hinges/slides (soft-close where expected); poor hardware undermines perceived quality.
  • Finish: Require uniform film build, no runs/sags/dust nibs; test for water and heat resistance on samples.

This is one of the strategies explained in our furniture maker business plan.

Which additional materials must I include in the budget?

  • Hardware: hinges, slides, leveling feet, threaded inserts, bolts, cams, screws.
  • Adhesives: wood glue (PVA), epoxy for high-stress joints, PU for difficult substrates.
  • Finishes: water-borne varnish, oil, stain, primer, sanding sealer, abrasives.
  • Upholstery: webbing, springs, zippers, piping, batting, staples, dust cover.
  • Consumables: shop rags, masking, mixing cups, brush/roller wear, PPE.

We cover this exact topic in the furniture maker business plan.

What are average supplier lead times and how do they affect cash flow?

Lead times directly govern how much working capital a furniture maker ties up in inventory.

Use the table below to plan purchase timing and cash buffers.

Material Typical Lead Time Cash Flow Implication
Local hardwood/plywood 1–3 weeks Plan weekly orders; small buffer stock
Imported hardwood 8–12 weeks Pay deposits; hold 1–1.5 cycles of safety stock
Metal frames 2–4 weeks (fabricated) Batch orders to hit price breaks
Foam blocks 2–3 weeks Schedule to upholstery runs; avoid aging
Fabric (imported) 6–10 weeks Color approvals add time; hedge with core SKUs
Hardware 2–6 weeks (standard), 8–10 custom Qualify a second source for critical items
Finishes 1–2 weeks Buy in pails; shelf-life management is key

What seasonal or market price swings should I expect?

Expect periodic spikes in lumber, board products, foam, and metals driven by weather, geopolitics, and logistics.

Furniture makers should budget a 5–10% price contingency on volatile inputs and use volume buys to hedge when cash allows.

Monitor vendor notices monthly and lock pricing for 30–90 days where possible.

It’s a key part of what we outline in the furniture maker business plan.

Use long-term forecasts to smooth purchases across seasons.

business plan furniture making enterprise

What markup do experienced furniture makers apply to cover material costs?

Most experienced furniture makers apply a 30–50% markup on materials to cover handling, wastage, sourcing time, and overhead.

For custom projects or premium grades, use the top of the range; for standardized SKUs with tight yields, use the lower end.

As a rule of thumb, calculate: sell price = (materials × markup) + labor + overhead + profit target.

Get expert guidance and actionable steps inside our furniture maker business plan.

Revisit markup quarterly as supplier pricing shifts.

How do costs differ between custom orders and standardized runs?

Custom builds have higher material cost per unit due to low economies of scale and unique BOMs.

Standard runs benefit from better yields, price breaks, and repeatable setups, lowering unit material cost.

Use this comparison to decide when to standardize as a furniture maker.

Cost Driver Custom Order (One-off/Small Batch) Standardized Production Run
Material unit price List price; limited breaks Volume discounts (5–15%)
Waste/yield Higher (hardwood 35%+; veneer up to 80%) Optimized nesting lowers waste by 5–10 pts
Hardware Specialty parts; longer lead times Standard kits; multi-supplier options
Finishes Unique colors; small-batch pricing Core SKUs; pail pricing
Cash flow Higher deposits; slower turns Predictable buys; faster turns
Pricing power High if brand/custom value is strong Competitive; rely on efficiency
Risk Spec creep and rework risk Process stability; lower variance

What percentage of the overall project budget is usually materials?

For most furniture makers, materials represent 40–60% of total project cost.

Premium hardwoods, imported fabric, and custom hardware push you toward 55–60%; board-based designs and standardized SKUs trend toward 40–45%.

Track actuals per job and recalibrate quarterly against supplier changes.

This is one of the many elements we break down in the furniture maker business plan.

Use a rolling 3-month average to set quotes confidently.

business plan furniture making enterprise

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are encouraged to consult with a qualified professional before making any investment decisions. We accept no liability for any actions taken based on the information provided.

Sources

  1. Decorilla — Furniture Trends 2025
  2. ELLE DECOR — Furniture Trends 2025
  3. Furniture BOQ Examples
  4. LinkedIn — Inflation & Furniture Industry
  5. WoodExpert3D — Raw Materials Getting Expensive
  6. BFM — Wood Waste & Recycling
  7. Wood Research — Lumber Waste Studies
  8. Inventory Planner — MOQ Guide
  9. Desons Furniture — Overseas Lead Times
  10. Fortune Business Insights — Furniture Market
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