Month: November 2020

Categories
Business motivation

Start Small Seasonal Business This Winter With Investment As Low As Rs 50,000

Seasonal business has been a seasoned business trend for ages. It’s a great way to make some extra money without having to establish a full-scale business. The best part of seasonal businesses is that you have the rest of the ear to yourself to prepare for your business during that one particular season and it isn’t something that will have you invest tonnes of money. 

If you wish to start a business this winter season, you might as well give this article a read as it could end up being your motivation behind starting that profitable seasonal business. Let’s start!

Woolen wear

It is hard to imagine winter without those cozy, comfortable, and stylish woolen wear. Honestly, these beautiful woolen wear are the reasons people wait for the winter season and this is your chance as an entrepreneur to make some money out of it. Thi business could be started with an investment as low as Rs 15,000. You don’t even have to worry about this pandemic to go and get the stock as all this could be done online as well including the payment for the same. If it interests you, think about it as winter is just around the corner.

Blankets and Covers

Think of what protects you from the harsh winters. Yes, those cozy blankets. These are the products that remain in high demand before and during the winter season. The most loved blankets are from Rajasthan. If you have made your mind to do this business, do think about Rajasthan to bring in your stock from. Another good reason to do this business is the brilliant profit margin of up to 25%! Think no more, go for it.

Electrical appliances

Who doesn’t love a good heater to be around in winters or a great quality geyser? There is immense potential in starting a seasonal business that involves electrical appliances. 

All you need to do is look for a good wholesale market for electrical goods. One such market is at Purana Quila, Delhi. Retailers can often be seen here to purchase heaters, rods, and small geysers. You can also buy products from here and can sell them to a retailer. You can have a profit margin of upto 20%.

How To Sell Your Products

Now that you know the perfect product to sell, be prepared with an e-commerce platform or an online shopping website to sell these products on. Since on these platforms, the fixed price is low and the customer base is much wider, it is only intelligent to consider the option.

Once you put up your products for sale don’t forget to do some marketing and publicity via social media as social media is something that if done well will get you exposed to an immensely wide and broad customer base which also has global consumers.

Final Thoughts

You can think about running your business for a month/few months in a year while using the rest of the time to pursue your full-time career or other businesses. If you find yourself unable to kickstart the business this year, you can always try the next time with all the preparations. No matter how harsh these winters get, a smart entrepreneur will always find ways to warm up to new business opportunities to keep the cash flowing in.

Categories
Business motivation

4 Most Popular Business Models That Can Work Wonders For Startups

If you have ever been a participant in a discussion around establishing a startup, there is no chance you have not heard about the term business model. In case you have not, the startup business is all we are going to discuss in this article. So what exactly is a business model? A business model is nothing but a long term plan that focuses on value, both for the business and the customer.

A business model should be such that it delivers value to its consumers consistently while helping the business monetize the strategies. If you are in the process of starting your business or looking for a better plan to roll things out, this article might serve you the purpose. Read on to know about 4 such business models.

Marketplace Model

It is the kind of business model where a business makes money by charging the buyers and sellers some transaction fees for using their platform. The best part about this model is that the server you need to run your business doesn’t cost that much money and the cost will only go down in the future. You can take inspiration from companies like Uber and Amazon

Sponsorship Model

Have you ever given a thought to how youtube actually earns? Think right now. If you are clueless about it, we will walk you through its business model, that is sponsorship based. In this model, the businesses usually make money from the sponsors and the users usually do not pay to use the platform. Other than youtube, Wikipedia could serve as a great example. 

Franchise

In the franchise business model, Franchisee pays royalties to the Franchisor to use the brand’s name, logo, values, business model, as well as how the entire operation works. Rapid growth can be achieved without much capital vs full ownership. The best part of buying out a franchise is that you do not need to invest a huge chunk of money in the form of capital, rather you will get a steady and regular income out of your association with the established name. The best examples could be food chains such as McDonald’s India.

Reseller 

This is the business model where the businesses give the responsibility to their resellers to sell the products on their behalf. If we talk about the USP of this business model then it would surely be the hassle-free experience of not managing the inventory, as it is managed by the resellers. A great would be Amway. Just by going through its business model, you will get to realize how efficiently and profitably the company has been running the business all this while.

It is important to understand that a single kind of business model would suit all kinds of businesses. Think through what your business is all about and what is it that you want to deliver to your customer and what you want to achieve as a business. Once you have a clear picture, it’s just a matter of time before you see a business model fitting your needs perfectly.

 

Categories
Business motivation

Restaurant Startup: Does it Really Burn A Hole In Your Pocket?

Aspiring restaurateurs are often faced with the question as to how much it really costs to open a restaurant. The question is very important because fulfilling your passion for owning a restaurant does involve some serious money which depends on basically your location and the scale of the restaurant. 

This article is going to revolve around the various costs and expenses that you may face while trying to set up your dream restaurant. Costs that vary from renting a place/buying a place to paying the salary of the staff. If opening a restaurant business has been on the cards, then this guide to calculate your expenses will prove to be a godsend for your business.

Let’s Talk Money

How much do you think the average cost of opening and setting up a restaurant is? Can’t figure it out? Let’s bifurcate it together and proceed step by step.

Owning/Renting A Place

The most difficult part is to finalize the locality where you would want to set up your restaurant. Then comes the size of the restaurant which will have you decide if it is going to be a cozy, small, and casual setup, or is it destined to be a high-end posh restaurant. These two factors will affect your finances hugely. The better the area, the costlier the place. Doesn’t matter if you have a generous budget or a stretched one, there is always a place that you can find accordingly. If you are thinking of renting a place, the average cost would be somewhere between Rs 30,000 – Rs 1,00,000. However, if you are looking to buy out a place, you will have to spend a much higher amount that will vary from Rs 50 lacs to Rs 1 cr.

The Cost Of Acquiring Licenses

The most tedious task and equally time-consuming task is to get all the necessary permits and licenses to run a restaurant business without any hassles. You will be required to have a

FSSAI License: It will cost you around  7500/- for the central license and Rs. 2000- Rs.5000 for the state license. 

Health/Trade license: This license will cost you Rs. 500 – Rs. 50,000 depending on the requirements of your restaurant.

Eating house license: On average Rs. 300 will be the cost to get it and it’s valid for three years.

Shop and Establishment License: The cost ranges from Rs. 200 to Rs. 4,000 per year. The number of employees and the location of the restaurant plays a big role in this license.

Music License: The annual fees range between Rs. 3,500 – Rs. 10,000. This license is issued by the Phonographic Performance Limited (PPL).

Operational Costs And Staffing Costs

You will always want your restaurant to run as smoothly as possible without any glitches. However, to ensure that you need to get good quality equipment for your kitchen so that the operations are never halted due to the quality of the equipment such as grills, stove, mixers, etc. The appliances would cost you an average of 5 Lcs. Also, the staff you intend to hire to run your restaurant will take up to 20-30% of the total revenue you generate.

Raw Material Costs

Please keep it in mind that the salary of your staff and the raw materials costs are recurring expenses, The raw materials will cost you around 30-40% of the total revenue that your restaurant generates. Getting good quality and fresh material will cost you even higher, hence, plan accordingly.

Marketing and Maintenance

If you do not market your business in the best possible manner, you will cost it its potential customers. If you have built something for a particular type of audience or crowd, it becomes your duty to let the prospect know that you are open to business. Depending on how much and what way you promote your business, the cost will vary.

We hope this gives you a clear idea of how much it actually costs to build a restaurant from scratch. It is important to know that there will always be some random expenses that will raise their heads occasionally and you need to be prepared. Nonetheless, based on the above details, we wish you luck chalking out your business plan. 

Categories
Business motivation

Affordable And Viable Business Ideas That Can Be Easily Executed In India

All things great and successful started small and this is the reason why you should not be hesitant to become a proud owner of a small business. If you do not compromise with the kind of hard work, dedication, and willingness to build a business regardless of the scale, your business is already halfway to becoming a great success.

We are bringing to you today some great small scale business ideas that will help you fulfill your dream of becoming an entrepreneur without burning a hole in your pocket. Does it sound like something that would excite you? If yes, this is a great read for you. 

Help Them Travel The World

It may have sounded like a bad idea at first, especially in this post-corona phase, but now that people have slowly started to step out of their houses to take that much-needed vacation, it would be a great idea to start a traveling agency. You can go for a home-based traveling agency that has an association with a host agency to have help wherever necessary. This home-based agency could be started with an investment as low as Rs 10,000.

Break The Rules With A Breakfast Bar

Cute little breakfast joints are gaining popularity nowadays. People, especially millennials and Gen-Z, enjoy having the first meal of their day somewhere nice and cozy and this is your opportunity to make some money out of it. You do not need a huge place for it, it could just be a shack that doesn’t require you to pay a lot of money as rent. If cooking is something where your interest lies, this is a great option for you to consider.

Juice It Up With  A Juice Bar

What is that one thing that concerns you when you stop by a roadside juice shop? We all will agree it’s hygiene! People love themselves a great glass of fruit or vegetable juice, but poor hygiene practices stop them from enjoying it. You have a great chance here to bring a change and make a business out of it. You can open a juice bar that ESPECIALLY takes care of the hygiene of the place so that people can enjoy the deliciousness without worrying about their health.

Bake Success With Your Online Bakery

Shocked? Don’t be as it is an actual business that some of the entrepreneurs have already started executing. Think about it, you get to work in the comfort of your home and own kitchen and you do not have to own a place and pay the unnecessary rent. It depends on you if you need helping hands which might increase the budget by a teeny tiny amount. If baking is something that has your heart and soul, it is the perfect time to hop on the bandwagon. The money will be spent on making a website, marketing, equipment, and of course the recurrent costs such as raw materials.

We are quite certain of the fact that we have left you amazed by these business options that do not require us to gather huge capital to invest. If you have a great entrepreneurial mind and strong work ethics, you will turn out to be great at what you do, be it small or big. Always remember, we always have to start small to go big!

 

Categories
Business motivation

4 Small Scale Business Ideas That Can Earn You Big Money

Why do you want to own a business? We are sure that your answer lies in the freedom, innovation, and passion that entrepreneurship brings along. The entrepreneurship and startup ecosystem in India has just been getting bigger and stronger and now is the best time for all wantrepreneurs out there to fulfill their dreams. It is not necessary to own a big business to become an entrepreneur, there are tonnes of small scale business ideas that can introduce to the truest essence of entrepreneurship.

The government has also been stressing over the power of business and encouraging wantrepreneurs to start their own business benefiting from Startup India Scheme & Stand Up India Scheme. Let’s get started with some small business ideas that will help establish as an entrepreneur without spending too much.

Blogging Is A Mind-Boggling Idea

Blogging is topping the chart when it comes to online business ideas, it is even popular when we talk about small scale businesses. All that you are required to do is create high-quality content consistently. You will be required to write an SEO friendly article which will really help you earn even better.  If blogging and writing have your heart, just find your niche and get started with it to earn as much as Rs 5,00,000 a month.

Serve Them With Your Excellent Courier Service

Courier service is not rocket science, you pick up a parcel from point A and you drop it at point B. To initiate the business, all you need to have is a vehicle(van) that you can rely on for transportation.  If done properly, this business can easily earn you somewhere around Rs25,000- Rs 30,000 a month.

Impart Wisdom and Become An Online Tutor

Do you love teaching? If yes, then this would be the best option for you to start your small tutoring business. All you need to have a great internet connection with even greater speed and an association with an online teaching platform to earn decent money. If you are good at what you do, you can earn up to Rs 60,000 a month. You can charge your student on an hourly basis or daily basis, it is all up to you.

Airbnb Is The New Rage

Do you have an amazing property lying empty? Worry not as this is one opportunity that you encash in the form of Airbnb. Just list your property on Airbnb and start making money out of the rent paid. The amount of money you earn totally depends on how well kept is that property and also the kind of services you provide. Some great Airbnb properties have been earning as much as Rs 1,00,000.

Never reject an idea based on how small it is, rather focus on how much profit could it make. Always remember small is just the beginning. If you manage to run a small business well you will not only get the experience of a business on a bigger level but also will get a chance to take that small business to new levels. Opportunities are everywhere, only if you have the eye to identify!

Categories
MSME Technology

Paytm to Double Loan Disbursement for MSMEs From Rs 550 Crore in Last Fiscal Year to Rs 1,000 Crore by March 2021

Paytm (Photo Credits: Facebook)

New Delhi, November 9: In a major boost to the micro- and small and medium enterprises (MSMEs), financial services platform Paytm on Monday announced to double its loan disbursements for the MSMEs from Rs 550 crore in last fiscal year to Rs 1,000 crore by March 2021. The firm said that it has company expanded collateral-free loans of up to Rs 5,00,000 at a low-interest rate and unique daily EMI product customised for micro-merchants.

Paytm continues to lead the offline payments (P2M) segment with over 50 percent market share by offering all digital payment methods. Bhavesh Gupta, CEO, Paytm Lending was quoted by IANS saying that with the firm’s collateral-free instant loans, it is trying to help kirana stores and other small business owners who have been left behind by the traditional banking sector and do not have easy access to loans and credit.

According to a report by IANS, the company informed that the recently launched Paytm All-in-One Android POS device has enabled over two lakh MSMEs to accept all payment modes. The company said it will continue to offer collateral-free loans under the ‘Merchant Lending Programme’ in Paytm for Business app. The firm said it has digitised the entire process starting from the loan application, approval to disbursal with no additional documents required in partnership with NBFCs and banks.

Rrports inform that in the last financial year, the company processed loans worth Rs 550 crore, benefiting over a lakh merchant partner. “Going forward, we will especially focus on EDC merchants and provide higher loan amounts based on their EDC transactions,” Gupta said.

Categories
Startup

Shell India Plans to Engage With At least 30 Startups Every Year From 2020 Through Its E4 Programme, to Help Them Scale Their Business

Startup
Startup (Photo Credits: Pixabay)

Bangalore, November 9: Shell India is planning to engage with 25-30 startups every year from 2022 onwards through its E4 Programme. The objective is to help them scale their business.

According to a PTI report, Shell, under E4 Programme, incubates and supports startups via various modules of linking talent, technology, capital and know-how to accelerate India’s transition to a sustainable energy future. Over the last 3 years, the company has been able to engage with 30 startups and supported them with investments and mentoring at Shell campus located in India.

Shell E4 Programme, general manager, James Unterreiner as quoted in the PTI report said, “We have 30 start-ups now that have come through the E4 program and we’re in the process of adding 10 to 12 more that’ll start the program in January. We’re planning on ramping the program to 25 to 30 annually. So, the first couple of years have been a slow ramp to get there and now we’re at that run rate where we expect 25 to 30 annually.”

Shell has been working hard to ensure that energy startups become commercially viable, where they can engage with investors and corporates.

Categories
Finance Startup

5 Important Points To Prepare For Your Investor Meetings

Waiting to start an entrepreneurial journey, but freaking out with thoughts about how to conceptualize your business idea? Or have one great idea, but no funds to execute it? Then let us tell you that your journey has just started. Today, investors are looking forward to enduring some great business ideas and invest in those business ideas that can elevate to the next level of success.

The hard part is to pitch your idea to an investor and explain you are right concept without going in the wrong direction. Your months of research work and strategy can go wrong if you are not prepared well for the funding process. In this pandemic, many startups have gained investors in their business, and you must be thinking about what homework you need to have one good investor on board.

Here are a few tips that can help you to generate valuable partnerships or investor for your first meeting-

Make a Pitch Deck

A pitch deck is an important starting point, and your pitch deck categorically asserts the significant aspects of your business idea and product or service. Professionals always like documents and data to run through while talking about your idea. Well, the data explained, and the number shows the hard work you’ve done. It also gives the impression of preparation for the meeting.

Use graphs and pictures to present your strategies. Ensure that your slides are sharp and accurate. It also assists you in not missing valuable points to share.

Describe Your Story

Story narration plays a significant factor while making a pitch to an investor. It’s a human tendency to love stories that inspire them. A well-narrated story always brings an instant connection with a potential investor and helps you to indulge in your idea.

Make sure you display your passion and willing to risk your project. The more passion and commitment you have toward your dream, the more beneficial it will be to you.

The Team You Bring on Table

Most investors don’t generally put money just on the idea you share, but they also put money on the team that will run the concept. Therefore, when you meet, remember to introduce or discuss the team and its Essential Skills. Ensure that they can help you carry the idea to the heights you plan for them.

The main purpose here is to show that you are willing to make an effort to reach the goal you have done.

Industry Updates

For growing and staying in the industry, you should know about the competition also. To creak the opportunity, prepare the list before meeting with the investor. Then showcase how you are different from them. Also, work on a roadmap project to deal with the competition. 

Make a Financial Model

Make sure you have this discussion as your investor will be investing money in your idea until you share your plan on how you can utilize your money. Prepare the forecast of the financial model for the next 5 years. Try to give a clear picture you can provide to the investor.

Make sure, to be honest with your investors. Every investor aims to look for sincerity in the people they are backing up. We suggest you do your homework before meeting them as it will give you a good possibility of raising funds from investors.

 

Categories
Business motivation

6 Steps To Register Your Private Limited Company In India

Wish to be an entrepreneur in India? Starting this journey can be overwhelming as well as scary at the same time. There are many steps to be considered before you step up out and start your venture. So, when you are planning to plan your own business, you need to work on deciding what kind of entity it will be.

Like if you wish to own the business by yourself, then you can register your startup as a sole proprietorship. Similarly, you may register for a partnership. But if you wish to separate your liability from the company’s liability, then you should go ahead with private limited company registration.

In this structure, you need to choose the amount for taxes, paperwork, and the amount of personal liability to be distinguished clearly.

Here are a few steps that can help you to understand Private Limited Company registration processes in India.

Step 1: Get Digital Signatures (DSC)

The digital signature is one you require to file the forms for company registration. This process is online, and the forms need a digital signature. DSC is one of the mandatory for any subscriber and witness in the memorandum and articles of association. You can obtain the digital signature certificates from the government recognized certifying agencies.

If we talk about the costing of DSC depends on the certifying agency you work. You need to obtain either Class- 2 or Class- 3 categories of DSC. In this process, the person needs to present him or herself before registering authority to prove their identity.

Step 2: Apply Director Identification Numbers (DINs).

The Director’s ID number or DIN is a unique eight-digit ID number that is issued by the central government to each person who must be a director of a business or who is already a director of a business. It must be obtained by those wishing to become directors of a company. A single DIN is sufficient for an administrator in several enterprises.

Step 3: Name Approval

The company name is something that gives recognition to the brand. So, getting approval is important. For this, there are two procedures for acquiring the approval for the company name.

One process is to apply the name through INC-32 (Incorporating Company) but, in this process, only one name can be in this form. Therefore, make sure you have the proposed name should follow the name availability guidelines, existing trademarks to avoid rejection. Another process is by filing INC-32 it is a faster process than the INC-1 route.

Step 4: Information About Form INC-32

Recently, the Ministry of Company Affairs proposed Form INC-32. It is an explained pro forma for incorporating a company electronically.

It solves, the three purposes with the benefit provided in a single application:

  • Application for allotment of DIN (Director Identification Number)
  • Reservation of company name
  • Incorporation of a new company

Step 5: Information About INC-33 and INC-34

Both forms have been introduced, to facilitate the Indian company registration process. INC- 33 refers to an electronic Memorandum of Association, and INC- 34 is electronic Articles of Association

The memorandum describes the company charter, while the bylaws include the company’s internal rules and bylaws. Before the completion of both forms physically and now, you can complete these forms online and must include digitally signed subscribers to the memo and statuses.

Step 6: PAN and TAN Application

When you apply a single Form INC-32, you may submit an application for the company’s NAP and TAN uses Forms 49A for the NAP and 49B for the TAN. Once you have submitted Form INC-32, you can automatically generate the form(s). After forms download, please remember to attach a digital signature and upload it to the ACM portal. Upon completion of all details, the registration will get approved by the MCO, and a Corporate Identity Number (CIN) is issued. It is possible to follow up on-line through the GAC portal.

These six steps will help you to register yourself to set up a Private Limited Company in India.  Once you intend to register your company, you can get all information at the Ministry of Corporate Affairs online.

 

Categories
MSME Startup

Gift Shops: 5 Tips to Follow to Revive Your Gift Shop Business Amid COVID-19 Pandemic

Gift shop Business
Gift shop Business (Photo Credits: Flickr)

Mumbai, November 6: Coronavirus pandemic affected every business across the world. From job losses to pink slips, majority of the companies have suffered.  It has been more difficult for small businesses, like gift shops, who had to remain shut for several months in the middle of the lockdown.

Gift shop business is a revenue-generating venture, provided you keep a few things in mind. Across the globe, in the past decade, this business has witnessed a huge growth because of the increase in application for inventive products and extension in the customer base.

Now with the ease in the restrictions, and with the economy opening up, these businesses have also started operating.

Here are 5 tips which you can follow to make your business successful: 

Have Strong Online Presence: In today’s age, there is no other alternative, but you need to have a strong online presence. From having an e-commerce website to allowing customers to discover your brand on social media platforms, you should never miss this opportunity.

Spend your funds wisely: After remaining shut for several months, it is very important to use your resources and funds wisely.

Choose Your Niche, Be Original: Remember there are thousands of gift shops in the market. Try and understand how your shop will be different from the rest. It is very important to be original in your idea in order to stand out from the clutter.

Pay attention to hygiene: Since you are opening the shop in the middle of the pandemic. You need to take care of the hygiene and pay other attention to precautions that need to be maintained amid the pandemic.

Make your shop look attractive: Being a gift shop, you will have different items to showcase. Design your shop in such a manner so that you can manage to attract the attention of the audience. Your shop may not be big in terms of the space, but utilise it with proper planning without making it look cluttered.