Business idea: production of natural cosmetics
Investments: from 450,000 rubles
Payback: from 1.5 years
The deteriorating environmental situation in the world, the presence of a large number of chemical-based additives in the existing industry puzzles modern manufacturers with the issue of natural products. Allergic reactions caused by irritants contained in personal hygiene products, care products, food products are already a big problem that needs to be addressed.
But it is also a great opportunity to generate good revenue by setting up businesses that manufacture and market cosmetic products based on natural ingredients. In this article, we will consider the production of natural cosmetics as a business, and also study the step-by-step instructions for launching it.
The production of cosmetics from natural raw materials is not only a business that benefits people, but also a highly profitable business, which, with the right approach and correctly set priorities, can provide a stable income. First of all, because people concerned about their health care prefer to purchase high quality safe products. The second point is that organic raw materials are more expensive than chemical components, and, despite the high costs associated with the cost of the manufactured product, the price of the finished natural product will significantly exceed non-natural analogues. Therefore, the demand for the product in question will always be higher than its supply.
What is required for implementation?
To implement a business idea for the production of natural cosmetics, the primary tasks are:
- study of information on methods of manufacturing cosmetics;
- development of a product line, its assortment and composition;
- search for suppliers for the supply of quality raw materials ;
- laboratory equipment;
- analysis of the competitive market.
Step-by-step startup instructions
The implementation of a business project includes the following stages:
Having appeared in the mid-1990s, liquid soap quickly became popular among Russians. It is inexpensive, it is much more convenient to use it than bar soap. Now the product occupies about a third of the entire soap making market in Russia.
The production of this detergent is a promising business idea. Despite high competition in the industry, market demand is not fully covered. In this article, we will tell you more about the stages of business development, point out its important features and give an approximate calculation of payback.
Brief Industry Analysis
In Russia, liquid soap occupies a large share in the total production in the industry (35.9% in 2021)
The market shows positive dynamics every year. Of course, after the crisis in 2021, growth slowed down, but the general trend still persists.
In 2021, 2.5 thousand tons of soap were produced, in 2021 already 3.6 thousand tons.In 2021, the figure is expected at the level of 3.8 thousand tons.
Toilet soap is generally the most profitable sales segment for private brands. Recently, their products have become more attractive to buyers.
Market competition is quite high. There are several major manufacturers: NMZhK, Nevskaya Cosmetics, Vesna. There are also medium and small-scale industries, there are imports. Yet demand is not fully met - that is, new companies in the industry have every chance to succeed and get their share.
Liquid soap production: technology
Before organizing the process, you need to consult with a soap making specialist, choose a basic recipe, on the basis of which a product line will be created. The finished product must have suitable softness, ductility and transparency characteristics.
Three technologies for the production of liquid soap:
Starting a chemical plant is an interesting and highly profitable business. The production and sale of chemicals is a relevant business idea. Indeed, it is impossible to imagine modern life without chemical products. Guided by this article, you can find out the algorithm for opening such a production and understand what requirements must be observed when opening.
Since chemical production is impossible without specific equipment, you will need to purchase or rent premises to accommodate it. Space requirements depend on what equipment you plan to purchase. It is also necessary to understand how much and what kind of products will be produced on this equipment in order to select the optimal area for its storage. For the smooth operation of the equipment, stocks of raw materials are needed within walking distance.
If the producer of raw materials is not located on the next street, then when choosing a room, it is necessary to allocate some area for a warehouse. As a rule, different raw materials have different requirements for storage conditions. Humidity, illumination, temperature conditions, ventilation, fire safety requirements may differ. Choose premises based on these requirements. however, there are general guidelines for the selection of premises:
- Look for a building in your city's industrial area. As a rule, the rental rate there or the sale price is lower than in commercial premises in the center.
- Check the availability and functionality of the communications required for smooth operation. As a rule, these are water and sanitation, electricity, heating and gasification.
- Good access roads are needed for the delivery of equipment, as well as the import of raw materials and the export of finished products.
- Consider expanding in rented or purchased space if production increases. For a small enterprise, an area of 70 - 120 sq. ... The average cost of renting such premises will be from 7 to 18 thousand rubles per month.
Raw materials are the basis for the production of any chemical product. Find suppliers in advance and agree with them on all terms of purchase. Naturally, you need to immediately determine the volume of purchased raw materials so that you can negotiate the price.
In some cases, raw materials include water, oxidants, solvents, reagents, etc. Perhaps this is when these components are involved in the main production. The cost of raw materials varies greatly. For example, polypropylene used in the manufacture of food grade plastic dishes costs about 100 rubles per kilogram. A ton of ammonia used for the synthesis of fertilizers costs about 27,000 rubles.
Organization of chemical production
To simplify, the organization diagram can be represented as follows:
This option is especially relevant for starting any production, since it allows a businessman to focus only on the high-quality performance of the production process and forget about such significant costs as advertising, promotion, supply of materials, sales of goods.
Options for starting your own business
- Open production yourself. In this case, the entrepreneur takes all the initiative to organize the enterprise only on himself. It is on his abilities and connections in the business world that the success of the business started will depend. He independently determines the original idea, develops a business plan, advertises and promotes his company, looks for suppliers of components and materials, arranges the production process and then sells the finished product to the consumer.
- Purchase a franchise from a well-known company. This path is the most optimal for a young businessman. A franchise as a type of market contractual relations implies the transfer of rights to produce a certain type of product from one party (franchisor) to another party (franchisee) for a certain (in percentage, fixed amount) remuneration (royalty). The entrepreneur thus acquires the opportunity to develop production under the auspices of a well-known brand, apply proven technologies, and quickly establish production and marketing of products. At the same time, using a ready-made business model, he moves only within the framework of the conditions offered to him by the main franchise firm and cannot show a certain independence.
Directions that can be developed by the franchise
You can open your own company in any area of business, each of which has its own specifics. The following areas are mainly popular.
Is the most popular area for opening franchises in modern Russia (flower business, sales of clothing, footwear, perfumery, factory items from China, e-commerce, including dropshipping). In special thematic catalogs, you can choose quite economical options.
Buying a trading franchise frees the entrepreneur from gaining their own market share from scratch. It is only important to correctly assess the demand for a certain type of product on the market and the purchasing power of the population of a particular region.
This area includes many interesting proposals (cosmetology, medical and spa services, educational, legal and accounting services, catering, sewing business, hotel services, repair, plumbing and electrical work, car business, etc.) ...
A manufacturing franchise for a small business allows an entrepreneur to acquire the right to manufacture any product (paving slabs, dry mixes, finishing materials, metal products, food products - cheese, dairy, bakery, confectionery, textiles, clothing , shoes, cosmetics and perfumes, etc.).
However, such a direction should be distinguished from a franchise in which subsidiaries can only sell products manufactured by the parent company.
If you do not take into account environmental problems, when some manufacturers are not too scrupulous about the substances used in their products, then there is nothing wrong with this: the production of detergents has always been, is and will be very profitable, and its products are in demand.
Sales volume comparison
Powdered products are in the lead in terms of production volumes. They are easy to manufacture, cheap, and therefore in high demand among consumers. In our country, detergents in the form of tablets, which are very popular in Europe and the USA, are practically not common.
In second place are liquid products. Their advantage is that they do not contain "hard" ingredients that can cause allergies.
Possibilities of manufacturing a wide range of products depend on the equipment of production with the necessary equipment. Modern liquid detergents are much more difficult to manufacture, since they contain a lot of components. However, domestic companies often use only the simplest types, which include only sets of surfactants, perfume and dye.
The cost of such detergents is also low, and the profitability of production is higher, since up to 40% of the volume is water.
Information about production technology
The technology for the production of synthetic detergents itself includes several main stages: mixing the composition, drying (in the case of powdered compositions), packaging.
At the first stage, a rather heterogeneous composition is obtained. In order to reduce the particle size, it is driven through a colloid mill. As for drying, it is carried out in special chambers, spraying and drying the composition. The process is under pressure up to 50 atmospheres and at a temperature of 250-350 ° C.
Such production of detergents is not very expedient from an economic point of view, since it requires considerable energy costs, and dust pollution requires tight control by supervisory authorities. The crystallization method is much more successful, for which low-temperature drying towers are used.