Business Idea: Initiating a Coir Brush Manufacturing venture requires a total investment of Rs 18 lakh, out of which you will be required to give Own Contribution of Rs 1.8 Lakh. Over a period of five years, you can expect a net profit of upto Rs 8.06 lakh yearly–in the fifth year.
New Delhi: If you are thinking of starting your business with less investment, then there is a great opportunity for you. You can start a coir brush-making business with less capital and earn well. You would need to invest Rs 1.8 lakhs in this business and you will make Rs 8.02 lakhs in net profit every year. Read on to find out how to launch the business and how the government will help start it.
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Business Idea: Scope of Coir Brush Business
Commonly created from coconut fiber, coir is used to make a variety of cleaning brushes, including floor sweeping brushes, scrubbing brushes, table cleaning brushes, commode brushes, bottle cleaning brushes, etc. Because these brushes are used for routine cleaning, there is a great demand for them in the market. As the market is always hungry for this product, producing and selling it would be very lucrative.
Business Idea: How will the government help?
The government is providing help to start the coir brush-making business. You can avail of the facility of the Mudra loan of the Central Government to start this business. MUDRA loans are available in three categories. For small businesses, loans up to Rs 50000 are available under the ‘Shishu’ category and beyond 50,000 and up to 5 lakh under the ‘Kishor’ category. Loan is offered beyond 5 lakh and up to 10 lakh under the Tarun category. According to your category, you can avail of the loan.
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Business Idea: Cost of Launching Coir Brush Business
The Khadi and Village Industries Commission has prepared a report on the ways to start and profit from the coir brush business. According to the feasibility report, to make coir brushes you will need a manufacturing unit. The project costs Rs 18 lakhs, out of which your capital will be Rs 1.8 lakhs. There will be a working capital of Rs 6.76 lakhs. If you don’t have any space of your own, you can rent space and install the unit there. The estimated annual sales turnover will be Rs 67.03 lakhs, according to the KVIC report.
Business Idea: Coir Brush Manufacturing COST OF PROJECT
Particulars Amount
Land Rented/Owned
Building & Civil Work (1500 Sq Ft): Rs 4 Lakh
Plant & Machinery: Rs 6 Lakh
Furniture & Fixtures: Rs 49,000
Pre-operative Expenses –
Working Capital Requirement: Rs 7.51 Lakh
Total: Rs 18 Lakh
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Business Idea: Coir Brush Manufacturing MEANS OF FINANCE
Particulars Amount
Own Contribution @10%: Rs 1.80 Lakh
Term Loan: Rs 9.44 Lakh
Workign Capital Finance: Rs 6.76 Lakh
Total: Rs 18 Lakh
Business Idea: Profit from Coir Brush Business
The KVIC feasible report giving a Five Year’s Projected Profitability Statement on coir brush Manufacturing Business said that in the first year you can see a net profit of Rs 4.54 lakh, Rs 6.16 lakh in the second year, Rs 8.25 lakh in the third year, Rs 7.09 lakh in the fourth year and Rs 8.02 lakh in the fifth year.
By starting a coir brush manufacturing business, you can earn lakhs annually when you are producing the best quality brushes and selling them in the right market. You can contact nearby supermarkets and shops to sell your product. You can also list your product on online sites to boost sales.
(Disclaimer: This article is for sole information purpose and for readers’ project identification. The earning calculator is also mostly based on assumptive figures to give an example of certain type as mentioned by KVIC previous estimates. The Zee News article does not intend to give any financial advice of any sorts. For initiating any venture, you must do your own due diligence and market research.)
