Upfront tooling cost is one of the main barriers to launching a new plastic product. For a startup or an innovative SME, committing significant capital before selling the first part is a real cash flow and financing plan risk. At Moulding Injection, we have developed a co-investment model where tooling risk is shared between us and the client. Here is how this model works, who it is for, and what it changes concretely for your project.
The tooling CAPEX problem for project holders
An injection mould is a capital expenditure that occurs before the first part is produced and sold. By définition it is a risk investment: you commit resources on the basis of a demand projection, with no certainty about the volume actually achieved in séries.
For large industrial groups, this logic is well controlled: the capital exists, market validations have been carried out, investment committees have ruled. For startups, growing SMEs or innovation project holders, the situation is différent. The tooling CAPEX bottleneck can slow or delay a technically and commercially viable project.
It is in this context that our risk-sharing model fits: transforming an upfront capital expenditure into a progressive investment integrated into production cost.
The co-investment principle
The principle is straightforward. If your project has serious technical and commercial potential, we no longer position ourselves purely as a supplier. We become a partner by funding part of the mould manufacturing, which we recover progressively through a unit price uplift on produced parts.
For the client, the effect is immediate: the initial capital outlay is significantly reduced, preserving available cash flow for other critical launch items such as marketing, distribution or launch stock.
For Moulding Injection, this model commits us to the project and secures a production volume in our Belgian workshops. It is a long-term relationship, not a one-off transaction.
Amortisation over production: the mechanics
Our share of the tooling is recovered progressively through a unit uplift on produced parts. The amortisation pace is calculated based on the projected production volume and the duration preferred by the client. The horizon can range from a few months to several years depending on production cadence.
This structure transforms CAPEX into OPEX: instead of an exceptional outlay at the start, the client integrates a progressive cost directly tied to actual production. If volumes exceed projections, amortisation accelerates. If the market takes longer to develop, the pace adapts.
Everything is defined contractually upfront: co-investment share, unit uplift rate, amortisation duration, exit conditions. There is no ambiguity about each party's commitments.
Which projects are eligible?
This risk-sharing model does not apply to every project. For co-investment to be relevant on both sides, certain conditions must be met.
Technical feasibility must be validated. Before any commitment, we carry out a full analysis of the part: geometry, tolerances, material, processing constraints. This validation is performed by LGR Design Studio, our partner design office. A technically uncertain project is not a good co-investment candidate.
Visibility on volumes is required. The parts-based amortisation model requires a credible projection of séries production. We favour projects targeting a significant recurring volume within one or two years. A one-shot product with no répétition perspective does not meet this criterion.
The project must have demonstrable commercial potential. We look at the target market, product positioning and the strength of the project holder's commercial plan. It is not a financial investment committee, but a pragmatic assessment of project viability.
The sectors we prioritise
Our co-investment experience has been built around projects in sectors where product innovation has a measurable impact: technology, médical, agri-industry, and sustainable or eco-designed products.
These sectors share common characteristics: long development cycles, specific regulatory constraints, and projects where intellectual property has real strategic value. These are precisely the projects where proximity with the manufacturer is a major advantage.
Our clients in these sectors benefit not only from the risk-sharing model, but also from LGR Design Studio technical follow-up throughout the project, from part design to séries qualification.
What this model changes for startups and SMEs
For a startup in launch phase, this model fundamentally changes the financing plan structure. The tooling item, often one of the heaviest in an industrial launch budget, becomes a progressive cost rather than an upfront barrier.
This opens complementary financing possibilities: some players in the startup ecosystem, whether investors, public innovation support programmes or investment aid mechanisms, more easily support operational expenditure than fixed assets. Transforming tooling CAPEX into OPEX can therefore have positive effects on eligibility for other financing sources.
For an SME launching a new product line, this model allows testing commercial viability without committing the full tooling capital before market validation. It is a pragmatic approach to industrial risk management.
How to initiate a co-investment
If your project could fit this model, the process is direct. You present your project to us: product description, target market, volume projections, identified technical constraints and project maturity stage.
We carry out an internal analysis, with LGR Design Studio for the technical side and our commercial team for volumes and schedule. If the project meets the criteria, we submit a detailed co-investment proposal with sharing conditions and the amortisation plan.
This assessment does not commit you. And if your project is not eligible for co-investment, we can in any case support you on a standard basis with our full technical expertise.
Have a project in mind?
Send us your project file: product description, target volumes, target market and current development stage. We come back to you with a feasibility analysis and, if the profile fits, a co-investment proposal.
FAQ
FAQ
What is the tooling co-investment model?
It is a model where Moulding Injection funds part of the mould manufacturing cost, in exchange for progressive amortisation via a unit uplift on produced parts. The client reduces initial CAPEX and spreads the investment over actual production.
What types of projects are eligible for co-investment?
Projects with validated technical feasibility, visibility on séries volumes and demonstrable commercial potential. We prioritise technology, médical, agri-industry and sustainable or eco-designed product sectors.
How does per-part amortisation work?
A unit uplift is applied to the price of each part produced until Moulding Injection's share is fully recovered. The rate and duration are fixed contractually upfront. If volumes grow faster than projected, amortisation accelerates proportionally.
Does co-investment involve shared ownership of the mould?
No. The mould remains the exclusive property of the client, even during the amortisation period. Co-investment is a financing mechanism, not shared ownership. The client can retrieve the mould at any time subject to repayment of the remaining balance.
What is the minimum commitment duration in this model?
There is no strict minimum duration, but the model is designed for projects with recurring production over at least one to two years. Amortisation duration is calibrated on projected volumes and fixed contractually. Early exit is possible under conditions defined in the contract.
