Bicycle Company

How Profitable Is A Bicycle Company? (Updated for 2025)

Pat Walls

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Updated: April 17th, 2025

How Profitable Is A Bicycle Company? (Updated for 2025)

So you want to start a bicycle company?

And the first question that came to your mind was, “well, are bicycle companies actually profitable?”

With a market size of $29.2B - there’s plenty of business to go around.

Especially considering:

You could start a bicycle company with as low as $30,000
Based on our data, bicycle companies generate an average of $4.73M per year

There’s money to be made. Don’t worry.

But, I don't want to spoil it all. Below we’ll cover everything you need to know when it comes to the profitability of a bicycle company.

Let’s dive in!

Is a bicycle company profitable?

Yes, a bicycle company is generally a profitable business. However, you still need to consider several factors since these things always impact the overall outcome.

For instance, since average revenue is $4.73M per year with an estimated gross margin of 40%, you could expect to recover your investment within 7 months or even less.

But of course, it all comes down to how much you earn compared to the potential revenues of your bicycle company.

To determine whether your business is profitable, you should earn more than your expenses in the beginning months. However, while you're in your first month, it can be challenging to know what to expect.

Therefore, you should maintain a record of your monthly expenses and income to determine whether you're meeting your goals. By doing this step, you can see how your bicycle company is doing and if any changes or adjustments need to be made to enhance or maintain your efforts.

Is a bicycle company worth it?

If you’re wondering if a bicycle company is worth it, the answer is a big YES. With bicycle companies, you have the potential to earn $4.73M per year (this is based on data reported by real founders).

Further, you could have your initial investment back within months. Simply put, it’s a business worth a shot, especially if you have the resources and make the necessary efforts to achieve or surpass the target.

With a market size of $29.2B, it will be possible for you to build something that grows and turns into a flourishing business. As such, it’s the type of business you might want to consider starting.

Of course, you must learn and understand every aspect of running a bicycle company to ensure success. Still, as long as you have the initial investment and can endure a few months before your actual gains, this business could be worth it.

You might want to consider reading more specifics about successful bicycle companies case studies.

Examples Of Profitable Bicycle Companies

Here are a few examples of profitable bicycle companies, and a few more details about them:

1. State Bicycle Co. ($12M/year)

Mehdi Farsi and his brother Reza noticed a gap in the market for affordable and attractive complete bicycles. With their background in cycling and business, they decided to start State Bicycle Co. in 2009. Since then, the company has grown to over $50 million in annual sales and has become a trusted and well-known brand in the industry through strategies such as sponsoring talented riders and building a strong social media presence.

Is it profitable? Yes
How much money it makes: $12M/year
How much did it cost to start: $30K

How Two Brothers Started A $1M/Month Bicycle Brand

"Co-founders of State Bicycle Co. reveal how they bootstrapped their company to over $50M in annual sales and produced over 100,000 bikes by creating a trusted brand through word-of-mouth and social media, sponsoring talented riders, limited-edition releases, and focusing on product quality."

Read this case study

Read by 12,148 founders

Learn more about starting a bicycle company:

Where to start?

-> Bicycle company plan
-> How to finance a bicycle company?
-> How much does it cost to start a bicycle company?
-> Pros and cons of a bicycle company

Need inspiration?

-> Other bicycle company success stories
-> Marketing ideas for a bicycle company
-> Bicycle company slogans
-> Bicycle company names
-> Bicycle company Instagram bios
-> Bicycle company Instagram captions

Other resources

-> Bicycle company tips
-> Blog post ideas for a bicycle company
-> Bicycle company quotes

How much can you make with a bicycle company?

With a bicycle company, you can make an average of $4.73M revenue per year (based on data reported by real businesses).

You can start with an initial investment as low as $30,000. Then, with proper knowledge and sustained effort, you could have an ROI (return of investment) within 7 months.

How much does a bicycle company make a week?

Based on our data, average weekly revenue for a bicycle company ranges around $98.4K. As such, you could see monthly revenues of $394K.

To know if your bicycle company achieves the weekly profit target, you need to keep track of the total earnings you get per day. Afterward, you'll want to consider subtracting the expenses you have daily.

Learning your weekly profit can also show whether you're hitting your target goal for your bicycle company.

How much do bicycle companies owners make?

The income of a bicycle company owner can vary depending on various factors such as location, size, competition, and the owner's business skills.

But to give you some idea, the weekly revenue of an established bicycle company is about $98.4K. But this can be lower or higher depending on so many factors - it's almost impossible to say exactly.

While the potential for earning a good income as a bicycle company owner exists, success in this field requires a commitment to providing quality products and services and building a strong reputation within the community.

Bicycle Company Profit Margins

Generally speaking, a bicycle company can expect profit margin of around 40%. Profit margins refer to the percentage of revenue that remains after deducting all expenses associated with running a business. In the case of a bicycle company, profit margins can vary depending on various factors, such as the type and quality of products sold, the size of the store, and the level of competition in the area.

However, these figures can vary depending on the pricing strategy, inventory management, and overall efficiency of the business. To maintain healthy profit margins, bicycle company owners must focus on managing costs, negotiating favorable supplier terms, and providing high-quality products and services to attract and retain customers. By doing so, bicycle company owners can ensure long-term sustainability and profitability for their business.

Bicycle company owner salary

The salary of a bicycle company owner is an unpredictable figure. It's significantly influenced by numerous factors, including the store's location, its size, and the degree of competition. An owner of a well-established bicycle company, in a prime position, might see an average weekly salary around the ballpark of $39.4K.

But it's worth noting, such numbers aren't always consistent. The earnings can vary wildly, potentially swinging by as much as 80% either way.

Achieving consistent success and maintaining a reliable income stream in this industry requires a deep commitment. It's imperative to offer high-quality products, deliver impeccable customer service, and nurture a trusted bond with the community you serve.

Conclusion

In a nutshell, based on many of our examples, a bicycle company may be a promising business to start - but the success of your bicycle company mostly depends on your effort and your approach.

If you focus on these, you'll have a much higher chance of a profitable bicycle company.

Part of

Starting A Bicycle Company: Everything You Need To Know

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