We read a lot of articles regarding Profitable Business Guide over internet but most of them are written in such manner that a simple person who is interested in a business very first time is unable to understand easily. We can not understand that how much to invest, what will be profit ratio, which type of machinery is required and how to increase profit or grow that business with time.
Type of Business:
I am choosing one type of the best businesses to do in start which is the manufacturing of products like a Dish Wash Cleaner liquid, Hand Wash liquid, Glass Cleaner etc and all these products use the same machinery. As I have described all the liquid manufacturing products which have a special reason which you will understand next.
All the above stated products are manufactured by using up to 80% of water, furthermore this percentage may be high in Glass Cleaner. Hmmm!!! Now you can understand why I selected to explain this type of business. Other than water, only 20% are the other ingredients like perfume, color, preservatives, surfactants, etc. You can hire a Chemist in start for good and proper work plan at the site.
Market Value of Products:
It is very obvious that the above described products are used in our daily life at home, kitchen, office or any industry. These are demanded worldwide. You would have to focus on quality not quantity first of all. These products have a good market value all over the world and can be produced from medium to premium quality.
How much to Invest on Machinery & other Materials:
This is the first and very important point for starting a business. Let me explain that this type of business does not require too much expensive machinery. You will find several options in start according to the market trend of your products. A simple mixture and printer is required at first only for mixing and date printing purpose and if affordable, a labeling machine. Cost of machinery depends upon the material used, and its capacity and features. However, a simple one can also be used in start. Total machinery cost may be from 12000$ to as good as you can afford. This will also depend on which level you are going to start.
Other materials which you will buy depends upon the market and you will obviously set a profitable price of your product.
How to Increase Profit:
For profit increase, the most important role is played by the Chemist who will prepare the formulations and will set the percentage of ingredients to be used. After that initial cost will be estimated and decided how to increase profit. Alternate suppliers can be searched which will offer you the same materials in a relatively low cost. Proper marketing of the products will also become a source of profit. When you do marketing of your product, you will get opportunities to get more and more orders. Labor cost can be reduced upto maximum level by the use of optional machinery like for capping, packing, sealing of cartons etc,.
You can save electricity
because product preparing takes only 2 to 3 hours. After that
there is only filling of products which can also be done
manually. So, this business will also be suitable for the areas
of world which are suffering through load shedding issues.
Note: A Chemist should be hired for explanation of ingredients required