Investing in a Distillation System vs Toll Distilling

Short Path Continuous Distillation System by Chemtech Services Inc.

What’s Best for Your Business?

Investing in a distillation system vs toll distilling, which is best for you? If your business relies on producing distilled products, then you may be faced with the decision between investing in your own distillation system, or utilizing toll distilling services. There are pros and cons to both options, and it’s important to weigh them carefully before making a decision. In this blog post, we’ll explore the benefits and drawbacks of each approach, so you can make an informed choice for your business.

Investing in a Distillation System

One of the biggest advantages of investing in your own distillation system is that you have complete control over the process. You can make adjustments to the equipment, process, and ingredients as needed to create the exact product you want, without having to rely on a third party. Additionally, you can save money in the long run by not having to pay for toll distilling services and by being able to produce larger quantities of product at a lower cost per unit.

However, there are also some drawbacks when investing in your own distillation system. For one, it requires a substantial upfront investment, both in terms of equipment and in the time and energy required to learn how to use it properly. Additionally, maintenance and repair costs can add up over time, and you’ll need to make sure you have sufficient space and resources to operate the system effectively. In certain cases, these drawbacks are far outweighed by the benefits of investing in a distillation system, and perhaps in your circumstance too. 

Investing in Distillation System Benefits:

  • Saves money over time
  • More control over process and product
  • Great ROI for those that have unused space
  • Ideal for larger batches

Ideal Candidates for Investing in a Distillation System

  • Companies with high demand for products
  • Those who have certainty of concept
  • Those looking to scale
  • Anyone with wasted/unused space
  • Anyone with a dedicated team of experts
  • Companies who specialize in oils, cannabis, chemical, and pharmaceutical goods

Using Toll Distilling Services

If you don’t have the resources or expertise to invest in your own distillation system, using toll distilling services can be a good alternative. This approach allows you to outsource the production of your product to a third party, which has the necessary equipment and expertise to create high-quality finished goods. This approach can also be particularly beneficial if you’re just starting out or if you have limited resources.

Of course, using toll distilling services also has its drawbacks. One of the main issues is that you’ll have to give up some control over the process and the final product. You’ll also need to pay for these services, which can be quite expensive depending on the volume and complexity of your needs. Toll distillation services can be a perfect solution for many companies, and oftentimes offer a preferable temporary solution.  

Tolling Benefits:

  • Low initial investment
  • No extra space needed
  • No training or new hire team members
  • No red tape
  • Great for small batches/runs
  • Perfect for testing before producing large quantities/Pilot Distillation
  • Quick turn around

Industries & Typical Candidates for Tolling

  • Silicones & other specialty
  • Large companies
  • Companies that don’t want hassle 
  • Epoxies, waxes, silicones, specialty chemicals
  • (We do not offer in house tolling for Cannabis, investing is best here) 

Which Course of Action is Right for You?

In the end, the choice between investing in your own distillation system or using toll distilling services depends on a variety of factors. If you have the resources and expertise to invest in your own system, it can be a great way to have complete control over the production process and save money in the long run. However, toll distilling can be a good option if you’re just starting out or if you have limited resources or expertise. Whatever approach you choose, it’s important to do your research, compare costs and benefits, and make an informed decision that best meets the needs of your business.

Getting Started

For a detailed and personalized assessment of which course of action is best for your needs, contact our team today. We can help you understand how to strategically scale your business with less risk, and less stress. The most important thing to focus on is quality. When you work with Chemtech Services Inc. you have access to our years of expertise in the industry. Contact us today to get started!

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