Many people in India look towards commencing a small-scale business. But many are confused in selecting the right kind of business for them. People from the middle-class category also look for less investment to start a business. Before starting a business, thorough research is necessary to identify the pros and cons of the business. Moreover, the person who is starting a business should be interested in it and understand the business.
Nobody wants to see their business going down without any profit. So, start a business that you know or you can manage. This guide is all about manufacturing business ideas that anybody interested in commencing a manufacturing business can choose. Before moving on to giving you the best manufacturing ideas, we would like you to read a little more about the small-scale manufacturing business.
What is a small-scale manufacturing business?
As the name says, a small-scale manufacturing business can be a small unit that can be started at your own home or in a small rental space. Also, the equipment or machinery that you would need to start a small manufacturing unit is comparatively low to a large-scale manufacturing business. If you want to reduce the capital investment, you can even hire some machinery for a while. There are several small manufacturing businesses that anybody can commence with low capital investment. Read more to find such business ideas.
How to start a small manufacturing business?
Many steps are involved in starting a manufacturing business. Below you can find the main seven factors that are necessary to start your business.
Do the Research
Research does not mean only checking for the business ideas but also research the situations in the market. By studying that market a little, you will be able to understand what customers are looking for and what is currently in demand. Only if you do good research you can learn about the manufacturing industry. Before exploring various ideas, you will surely have some idea in your head related to what product you like to manufacture. So search for ideas focusing on that particular niche rather than studying about everything and getting confused.
Determine your business idea
This is the second stage in which you will decide on what you are going to make, for who you are making, what the unique selling points of the product are, and where you are making and selling the items. If you are manufacturing products that are already available in the market, you should try to make your products unique. So you must never skip this stage as it is very essential to know how you can make changes in the products that can be attractive and useful for the customers.
Find a Name and Create a Logo
The next step is to find an attractive name for your business. You must also create a logo that matches your business. Understand that logo and the business name are two factors that will define you and your business. So choose these wisely and make them simple and easy to read and remember.
Note down your Business Plan
A good business plan should include five main elements. It should comprise an executive summary which states what you are planning to accomplish with your business. Company legal descriptions are essential to define the legal status of your business. You should also include the details regarding the products and services you are going to offer to the customers. Moreover, you must have a strong understanding of how you will market your products, enhance business and retain your customers. A financial plan should also be jotted down to understand how much investment is required for the business to start and run.
Fund your Business
Even though it is a small manufacturing business, the fund is really important. Without money, it becomes impossible to start any kind of business. You will need a certain percentage of funds for setting the legal documents and other important documents. The fund is required to purchase raw materials and even for production. You will also need to spend some money on marketing tools as well.
Start your Business
Once all the legal papers and funds are ready, you can start your business and commence the production of your products. You can initially start producing a fewer number of products and depending on the demand for your products; you can produce the items in bulk.
Market your Products
Marketing is one factor that is very crucial in creating business. These days, you can see many businesses are being marketed online. You can create a website for your business and utilize social media platforms to market your products online.
Install accounting software
Install myBillBook and make accounting services simple for all your small businesses. It will let you centralize your business’s financial reporting. It allows tracking inventory, creating invoices, and generating payroll. Further, you can generate reports with tax (GST) details with which filing tax becomes easy.
Top 10 easy to start small scale manufacturing business ideas
This section is all about various small-scale manufacturing business ideas that you can think about.
- Organic Soap & Shampoo
You do not require a vast investment to start this business. You will only need to purchase some products that are required to make the soap and shampoo. To start this business, you will not need a huge space; you can start it at your home. This is a profitable business as these products are used by everyone daily.
- Scented Candles and Diffusers
To make a home look classy and attractive, these days’ people buy scented candles and diffusers. These can not only create a classy look but also produce a fresh aroma. Investment to commence such business is very low and you can start the production of these products at your home itself.
- Homemade Confectionaries
Chocolates, cakes, cookies are always in demand. If you love making these sweet eatables, this could be a perfect business choice that is very profitable and will never go out of demand.
- Furniture Business
If you have the talent for making furniture of various kinds, this can be a good business. People spend money on buying attractive furniture that can save a lot of space.
- Jewellery Making
All you need to start making jewellery are raw materials like beads, wires, colours, threads, etc. You can use a small space in your home to make these and can easily market the products through social media.
- Apparels Business
If you know how to stitch, then you surely do not need a huge investment. You can make dresses, bed sheets, blankets, table cloths, and many more items.
- Paper Bags
Going eco-friendly is a great way to enhance your business. You can make paper bags of different sizes that can be used in the market.
- Concrete Block Manufacturing
Such precast solid cement blocks are used mainly for construction purposes and you do not need to spend more to start this business. Only a few machines and tools along with raw materials are only required to start the production.
- Manufacturing Coconut Oil
Coconut oil is used for cooking and is used in many beauty products. You can easily collect the materials needed to make coconut oil and does not require a huge investment. Try making extra virgin coconut oil that can make a huge profit.
- Production of Utensils and Pots
Fashionable utensils, cookware, garden pots, etc. are always in demand. If you have an artistic nature, you can paint ceramic pots and mugs and sell them easily.