The garden hose making business is manufacturing business with the help of machine. In this article, we are discussing about production method and necessary machineries of garden hoses.
As we all know, nowadays, garden hoses are highly demanded product in the market. In this current scenario, most of the households are setting gardens in their home for the purpose of beautification. Garden hoses are widely used to irrigate the plants in garden.
business potential
Therefore large amount of garden hoses are selling in the market for this purpose. It also used for the purpose of garden sprinters too. It is necessary to change the most of the hoses within two or three years.
So, it can be sell again to the same customers those who have purchased it already. Here we are analysis all the information to establish a garden hose production unit such as the method of production of garden hoses, raw materials and details of machineries etc. all these details have discussed below in separate categories.
First of all, we can consider about necessary machinery and equipment’s for the production of garden hose making business .
Garden hose making Machine
Garden hose making Machine are usually single screw extrusion machine. The hoses produced by the process of single screw extrusion. For that we have to use the production method of 75 mm screw barrel. Mainly we should have an extrusion processing machine and it’s die.
This machine has a motor with the capacity of 15 hp to 20 hp, a gear box, housing and screw barrel. Another main component of this machine is its die which designs the shape of the product.
Contact for machinery and consulting
Then we have to design its size neatly by using a sizer. After this process the output will pass through a cooler tank. Then it has to be taken from tank by using take up and it has to be rolled to make it as a finished product. Another main component in this manufacturing process is mixer machine to mix its batch. In total, all the machineries in this process cost approximately 9 lakh rupees.
Profit analysis
Now we can examine it profitability. This calculation is based on the date when this post is updated. A product cost RS 105 for compound mix batch can be sold at RS 129 in wholesale price.
This also can be sold at RS 140 in retail. So, about 25 to 35 rupees can be earned as profit for one kilo gram. Around 400 Kg output can be produced in a 75 mm machine in one shift.
So, on an average, we can earn about RS 10000 (400 X 25) per day as revenue even if we are taking a minimum amount profit per Kg. we will get at least 26 working day in a month. In this case, the total revenue in a month will be around 2.6 lakh rupees (26 X 10000).
Now we can consider its expenditures. In the expenditure side, all its processing charges we have already take in to account with its compound batch. In addition to this we will incur around RS 75000 as TA and other expenditures on maintenance and its running expenditures in a month.
After deducting all these expenditures from our total revenue, the net profit will be RS 185000 in a month. From this analysis it is clear that the garden hose manufacturing business is a good business opportunity with ensuring high profitability.
Contact for machinery and consulting
Look solution consulting agency
kizhissery malappuram kerala india
PH : +918086199006
Marketing strategy for Garden hose making business
Here we are discussing about the marketing strategy of garden hose making business. For any type of product, branding is necessary and very important for its popularity and publicity.
Branding your product
For that we have to design an impressive logo and brand name for our product. This logo and brand name should display on all the packing of the product. And we can also display this logo and brand name on our goods carrier vehicles.
It is also necessary to add the logo with brand name in our website too. Therefore, first of all, we should have a well structured website for or company.
The website is as important as your office. The logo and brand should be included in our visiting cards and brochures. The logo and brand name displayed in entire object should be identical and attractive.
These visiting cards and brochures can be used in our marketing for the publicity. Garden hoses have a consistent market scope in all seasons. As it is also used to wash vehicles and other proposes. It will have demand in both rainy and summer seasons.
Marketing
Mainly, this can be marketed through hardwires and electrical shops. It can be marketed through three different ways, local area marketing or direct marketing, whole sale marketing and distribution marketing.
Local area marketing
In local area marketing, we can directly distribute the products by a distribution representative in our nearby areas. Through direct marketing we can maximize your profit.
The main risk and threat of direct marketing is it need huge amount of money investment in market and there is a high possibility of credit sales in this time.
In this case we will have additional expenditures for sales in lines as salary of sales representatives and supply charges.
Whole sale marketing
In the case of wholesale marketing, we can sell larger quantity of products to a single or few wholesalers as bulk. In this case profit margin will be comparatively low. Even though, it this case expenses also can be reduced considerably.
Market through distribution agency
The third way of marketing technique is supplying products to distribution agencies. It is the major and important way of marketing.
It is possible to supply huge quantity of products with ready cash payment through this method. So that we can concentrate on production activities and no need to bother more about distribution.
The production can be managed in accordance with advanced orders of the product. In the following section we are discussion about its investment expenditures.
Investment for Garden hose making business
Investment for Garden hose making business like all other kinds of manufacturing units. The main categories of investment expenditures for garden hoses are building expenditures, electricity, machinery and expenditures on vehicles for product supply.
Building expenditure
In the case of building expenditure, it is necessary to have considerable size of length and adequate area of width. The area of building should has 15 meters length and 10 meters width to install all these machines.
The total area of such kind of a building will have about 1614 squire feet. We can construct this kind of building by using steel rads and steel sheet which cost around RS 150 for one square feet. So, the total cost to construct such type of a building will be RS 290000.
Machinery expenditure
Other major investment for this unit is investment expenditure or machineries. The details on machinery investment expenditures we have all ready discussed previous section of this article.
The total costs for machineries will be approximately RS 9 lakh as we already mentioned. Besides this amount, there will be 18% of its GST and transporting costs additionally to this price. Therefore the total gross amount of cost for machinery will be RS 1062000.
Electrical expenditure
It is essential to have three phase electricity connection for this unit. So, if you are setting the unit in a location where three phase electricity allocation is not available, you need to access it separately for your propose. To access a three phase connection, it cost about 270 rupees per meter.
And thereby the total cost for electricity connection will be depends on total distance in between transformer and production unit. Anyway, we can consider the total costs for electricity more constructively.
Mainly there will be three types of machineries in the unit, namely, mixer, grinder and extruder. So, it needs three separate connections. In this situation, the total expenditures for electrical work will be about RS 150000.
Other investment expenditure
Another category of investment expenditure is the cost to buy vehicles for product supply. It will be depends on the type of vehicle you are using and you can increases the number of vehicles on the basis of your volume of sales.
We have included all the details to establish a garden hose manufacturing unit in this article. Even though, if you need any additional information to start this kind of a unit, you can contact with the mobile number given below for more details.
Contact for machinery and consulting
Look solution consulting agency
kizhissery malappuram kerala india
PH : +918086199006
License procedure
The major necessary license to establish a garden hose manufacturing unit is licenses from Panchayath or similar local bodies.
Udyog Aadhar is also compulsory for this unit. In addition to these, you need to collect declaration from Pollution Control Board and sanitization certificate from health department.
As other units, you have to register in GST Network also. It essential to have a bank current or savings account for the owner.
So you can easily start to a business lice Garden hose making business. We provide all assessment like machine, license etc .
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