Business Idea | Washing soap manufacturing business

Introduction

Washing soap manufacturing business is a kind of small scale business and very suitable for the homemaker. The demand for washing soap will never fade and growing rapidly. Though people use the washing machine, the demand for washing soap will remain the same. It is a necessity of every household. This is a kind of business which anyone can do with a proper plan.

Raw material and their cost

In this business, the use of raw material is high. Seven types of raw materials are used to make a washing soap. The total combination of raw materials will be up to 142 kgs/liter and the cost will be Rs.5000 ā€“ 5200/- The raw materials and details are mentioned in below table,

S.no        Raw material In kgs/ ltr Cost/ kgs/ltr  Total Cost
1Detergent powder100303000
2Soda ash32678
3Acid Slurry20631260
4AOS –  kgs(to produce foams)445180
5Sodium silicate- soap bonding1015150
6Polymer555275
7Perfume in ml1502231
 Total142 kgs/ltr Rs.5174/-

AOS ā€“Alpha Olefin Sulfonate

Expenses to make 1 kg of soap

  • Raw material cost per one kg is 36.44/- (5174/142 kgs)
  • Other expenses including transport, labor cost, electricity, rent, packing are Rs.7.29/-
  • So to produce one kg, the total cost will be Rs.43.72/-

Soap manufacturing process

As discussed above seven types of raw materials, add the raw materials one by one in mixing machine. it mixes till it gets a solid state. The solid state material of raw material will feed into the next machine and can get the product as soap by pressing. After getting the product, cut it for the required shape and dry until it comes to the packing stage. Pack it without breakage of soap with packing materials. Can produce 426 kgs of soap in this machine per day

Machine Link : https://m.indiamart.com/proddetail.php?i=11708765755

How to approach the business and steps

Washing soap manufacturing business is the common one which is very suitable for homemakers. Before going to do this business, draw a plan for this business according to your investment.

  • Purchase the machine and required raw materials.
  • Make a quality product by a proper combination of raw materials
  • Pack it with a good quality of packing materials
  • Create a brand name for the product to differentiate from others.

Marketing and where to sell

This kind of business required marketing to sell a product. Sell the soaps in the offer and in wholesale rate to customers. Should bring a reputation on product among people by supplying quality product thereby increasing sales. Can sell the soap at

  • Wholesale shop
  • Department stores
  • An individual customer nearby you
  • Apartments
  • And can make an individual shop in the name of a brand of washing soap

Profit details:

 The cost of soap which we already use is Rs.16/- for 250 grams. here, we are going to discuss profit details with the wholesale rate for kgs

  • As discussed above, the production cost/ kgs will be Rs.44/-
  • Wholesale price for one kg is Rs.52/-
  • So, profit of soap for one kg is Rs. 8/-
  • If one-day production is 426 kgs as machine capacity, the profit will be Rs.3408/-( 426 X 8 Rs)

The above-discussed profit details are only production based calculation. Marketing plays a major role in this business. Our profit based on sales of soaps. Can get more profit by increasing sales.