Steel scrubber making business with machine is a business that produce 100% profit. Steel Scrubbers are the most widely used tool for cleaning purpose in present days.
In this article, we are discussing the methods to produce steel scrubbers in detailed manner. Because of its huge demand, Steel scrubbers making units are assured to earn 100 percent profit from its production.
We can start this business in two ways. Either we can start it by manufacturing the steel scrubbers directly or by establishing a repacking unit for products. Which is already produced by others.
To establish a manufacturing unit we need making machine and other additional investment expenditures. But to start repacking unit we need only a packing machine for its repacking purpose.
In this article we have comprehensively discussed all the information to establish a steel scrubbers manufacturing unit. It extensively analyzes the investment expenditures to start this unit, details on profit margin, marketing strategy and availability of raw material and all other relevant information.
Steel scrubber making machine
Firstly, we can discuss about the steel scrubber making machine and equipment. It is better to use the machinery with 5 HP power consumption for this unit. Such types of steel scrubber making machine have the capacity to produce 4 Kilo gram products in an hour. It is possible to produce 66 pieces of scrubbers from 1Kilo gram production of steels.
If we are approximately running the machine for 10 hours in a day, we can produce 2640 pieces of scrubbers in a day. In India, steel scrubbing making machines are available all over the country.
The details of leading company in India for steel scrubber making machine has given below.
Steel scrubber packing machine
Another machinery equipment for this unit is the steel scrubber packing machine for its packing process. Two types of scrubber packing machines are available for its packing process. One of those is manual packing machine and another one is semi-automatic packing machine.
Manual packing machine costs RS 40000 and the market price of semi-automatic machine is RS 75000. In a single cartoon board we can punch 12 scrubbers.
contact supplier for machine
OLCEE INTERNATIONAL PVT LTD
Olcee House ” 20, Varun Industrial Area,
Street no – 6, Nr. Gondal chokdi,
Rajkot -360004, Guajart, India.
Ph:+91 70693 86918
Investment for Steel scrubber making business with machine
Now we can discuss about its investment expenditure for Steel scrubber making business with machine. Like all other businesses the major item of investment for steel scrubber making unit is for building and machinery.
Building investment for Steel scrubber making business with machine
First of all we can consider its necessary size of building feasibility. It is enough to have a small shed with the minimum size of 7 meters length and 5 meters width for this purpose. Such type of shed constructed by GI sheet costs around 75000 rupees.
Steel scrubber making machinery Investment
Steel scrubber making machinery investment expenditures we should consider two categories of expenditures. As we already said, it needs two types of machines, making and packing machines.
For steel scrubber machine, we need the investment of 4.5 lakh rupees besides its GST of 18%. So, in total the market price of this machine will be 531000 rupees.
As mentioned above, the packing machines are available at the price from RS 40000 to RS 75000. If you prefer the semi-automatic packing machine at the price of RS 75000, your total investment on both machineries will be RS 606000.
Total investment
Besides this investment, other major investments in this regard are investments on electrical work, electrical connection and paper clearance. It costs around RS 1.5 lakh for these three categories of investment expenditures. Therefore, the aggregate investment expenditure to establish this type of a unit will be RS 756000.
Profit from Steel scrubber making business with machine
This section examines the expected profitability of this business plan. We can purchase 1 Kg raw material to produce steel scrubbers for the price of RS 160. A singe scrubber will have the weight of around 15 gram to 18 gram. In that sense the material cost of a single scrubber will be approximately RS 2.40.
We have to add one rupee of packing cost and one rupee of production cost in to it to get total cost. So the total cost will be around RS 4.40 to produce a finished product of a single scrubber.
The market price of this product is ranging between 15 rupees to 20 rupees. And thereby we can sell the product in wholesale market at the price of 10 rupees for a single piece of steel scrubber.
If we are running our unit in 10 hours in a day, we will get 2640 pieces of scrubbers in a day. Therefore the total expenditures in a day will be RS 2640 * 4.4 =11616.
When we market this product at the price of 10 rupees for one piece to wholesalers we can earn 26400 rupees in total. So we can calculate the profit in one day by deducting total expenditure from this per day revenue. It will be RS 26400-11616 = 14784.
Monthly profit
To calculate monthly profit we have to multiply this amount with 24 days. Here we are assuming that on an average a unit can run for 24 days in a month. When we multiply 14784 with 24 we can found that our monthly net profit will be RS 384814.
This profit analysis may be subjected to vary for a little amount and it completely depends on its volume of sales and timely cash flows.
Raw material for steel scrubber
Now we can look at its raw material for steel scrubber . Mainly it needs steel wires of 0.13 MM with the grade of SS 410 or 430 as raw materials. The market price of these steel wires is RS 160 for 1 kg.
Other main raw materials are cartoon boards and plastic cups for packing. The costs of these cartoon boxes without labels will be 40 rupees for 1 kilo gram and we can purchase it for 60 rupees with labeling. The raw materials for this production are extensively available in India from the states of Maharashtra, Gujarat and Delhi.
Anyhow its packing materials are largely available in Kerala also. The contact details of these materials providers have given below. It is better to purchase larger quantity of raw materials than small quantities. This bulk purchase will be beneficial to get the raw materials at a very low rate. But it should be in accordance with the demand in market.
contact supplier for raw material
Arihant Metal Girgaon,
Mumbai, Maharashtra
Ph:+91-8048602213
Marketing tips and demand
Here it analyses the market potential and marketing strategies of steel scrubbers. As you know, it is not necessary to mention the big market potential of steel scrubber. Because it is highly demanded by every households to clean plates and other oily receptacles especially to remove stains from it.
And it is necessary to change screen scrubbers in every month. So it has a big possibility of larger market share. The main issue in every manufacturing unit is on the section of distribution. So it is very significant to identify distributing agencies.
For this purpose the companies can utilize various Medias like news papers and social media advertising also. Promotion videos in YouTube are very effective advertising method which can access at a very low cost.
In the case of repacking units, this business can run either in wholesale or in retail. In the case of wholesale units we can distribute it to distributing agencies and in the case of retile units we can directly supply it in shops.
This product will be available at all kinds of shops like big shopping malls, hyper markets, super markets and every small and medium size grocery shops. So it doesn’t needs to be bother about its scope and opportunities in market.
License procedure for steel scrubber start up
The most technical thing which an entrepreneur should be aware about is its licensing procedure and paper clearances. In this particular unit, as it is consuming 5HP power, it is enough to get licenses from Panchayat to establish this unit.
It might be need sanitation certificate from health department if it is required by officials in Panchayat.
As a country like India, it is essential to apply for Udyog Aadhaar when we starting a unit. To avail electrical subsidy in Kerala we have to apply for LT connection. For that it is necessary to apply for Udyog Aadhar
. If you are interested to purchase raw materials and to produce it in large scale operation, it is essential to register in GST Network.
In this article we have included all the details to establish a steel scrubber making business with machine. All the information and details mentioned here is purely based on our research and personal observations in this field. The authorities and this website are not responsible for any loss and difficulties faced by an entrepreneur from steels scrubber unit who started the unit on the basis of this particular post.
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