Business Idea: Earn Upto Rs 14.49 Lakh Yearly By Starting This Venture, Widely Used By Every Household

Many of us frequently consider launching a business that require minimum capital but generate good income. In light of this, we're going to identify a smart business project with you today that requires minimum startup money but yields income in the lakhs.  

Business Idea: Cotton buds Or Cotton Swab business

This is a compact yet incredibly practical tool used to clean ear canals, remove makeup spills, clean devices, clean craft supplies, and more. Despite its modest size, this product's business has the potential to make you a lot of money. We are discussing the cotton bud-making business. Cotton buds or cotton swabs are wads of cotton encircling a small stalk of paper or plastic. Given how widely used cotton buds are in people's lives, you might think about launching a business that produces them. This is a low-cap startup business that can bring in a healthy income for you. In addition, the government will help you in starting your business. Therefore, you can realise your dream business of earning lakhs by making cotton swabs.

According to the Khadi and Village Industries Commission (KVIC) feasibility report, initiating a Cotton Swabs Or Cotton Buds manufacturing venture requires a total investment of Rs 24.92 lakh, out of which you will be required to give Own Contribution of Rs 2.49 lakh. Over a period of five years, you can expect a net profit of upto Rs 14.49 lakh --in the fifth year.

Business Idea: Capital Required To Start Cotton Buds Or Cotton Swab Business

Cotton swabs are basic products that can be made by hand at home. However, for mass production, an automated machine will be needed. The Khadi and Village Industries Commission has prepared a report on the ways to start and profit from the cotton swab-making business. The feasibility report states that the initial costs to start a cotton swab business will be Rs. 24.92 lakhs, of which Rs. 2.49 lakhs will be own capital. 

Cotton Swabs Or Cotton Buds Manufacturing Business COST OF PROJECT: Rs 24.92 Lakhs

Land Own/Rented
Building /Shed 1000 Sq ft: Rs 2.50 lakh
Plant & Machinery: Rs 15 lakh
Furniture & Fixtures: Rs 75,000
Working Capital Requirement: Rs 6.67 lakh
Total = Rs 24.92 lakh

Cotton Swabs Or Cotton Buds Manufacturing Business MEANS OF FINANCE

Own Contribution: Rs 2.49 lakh
Term Loan: Rs 16.43 lakh
Working Capital: Rs 6 lakh
Total = Rs 24.92 lakh

Business Idea: Profits From Cotton Swab Or Cotton Bud Making Business

Your profit depends on the production capacity of cotton swabs annually and also the quality of your products. The production of cotton swabs has the potential to increase your income to lakhs. 

The KVIC feasible report giving a Five Year's Projected Profitability Statement on Cotton Swabs Or Cotton Buds Manufacturing Business said that in the first year you can see a net profit of Rs 2.92 lakh, Rs 5.88 lakh in the second year, Rs 8.88 lakh in the third year, Rs 11.70 lakh in the fourth year and Rs 14.49 lakh in the fifth year.

As a local brand, you can request a more convenient price for your cotton buds. You can get in touch with healthcare centers, medical stores, electronic stores, cosmetic and makeup shops, etc, to sell your products. Additionally, you can list your products on online sites for further exposure.

(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.)