FMCG Business Ideas, Strategy and Plan: How to Start FMCG Businesses

February 16, 2011 5 Comments

Hello, I am an accountancy graduate, done my graduation last year. I want to set up a small scale business (manufacturing & selling unit) with these products

  1. Packaged drinking water
  2. Dry snacks
  3. Or any other FMCG (Fast moving consumer goods)

What is the estimated amount to be invested to get started with FMCG business, can you give ideas on capital (in Detailed)?

Also, I would like to know that, if there is any scope to get help from govt. Or any organization, Please give me some effective ideas so i can start my project as early as possible very strongly.

FMCG Business Plan and Ideas

Answer: The business you are talking (FMCG) about requires a lot of investment. Even if you get loan from government, you are require to provide some 25% margin. It is not impossible, but it is difficult. You need to have roughly USD 200,000 of capital. And on that margin, you can get loan around 500,000.

So think upon it and then reply what you want to do ahead, you can use the comment below form, if you need any further help.

5 Comments »

  • RG said:

    Hello,
    I am an MBA(finance). I want to start a retail chain in FMCG sector. Kindly tell how can I start this business. What is the estimated amount to be invested to get started with FMCG business, can you give ideas on capital? Also tell some govt. aids which i can be benefited?(As i no money to start this business but have a space and workers.
    Thank you.

    Reply This Comment

    Scott Wilson Reply:

    RG,
    I would suggest you to observe and analyze the retail chains around you. Read more on the same. You will get the practical idea when you actually go to such chains. As far as the cost is concerned, that depends upon the commodities you want to trade and the scale of business.
    Thank you.

    Reply This Comment

  • Jyoti said:

    Hi Scott,

    Thanks for sharing your intellect on these topics as they help us to gain more understanding and confidence in our dreams. I have seen your posts on small scale industries when I came across Water packaging related, I am looking forward.

    I am working in Bank and stay at Badarpur Border, Delhi. I am looking for more guidance about packaged water of 20 litres bottles or pouch packaging of water in same area. My investment budget isn’t very high (may range 1-2 lakh at present) but I have my open space of 400+ sq ft. Can you give more briefing about investment/set up cost for this business.

    Also, I have query about you if you don’t mind. I have seen your expert views in Indian domain, are you working in India or the circumstances in India tally with other countries. Kindly let me know about such countries if you know as they will help me to get opportunities of new less identified markets.

    Regards,
    Jyoti

    Reply This Comment

  • Claudiu said:

    Yes there are. Ignite, it’s a company that sells elctirec service. It has demonstrated great profit for all of it’s sales Representatives. As you probably already know most of them only benefit the top of the echelon. There are some out there, you just have to find them . Prepaid Legal can be but you really have to get out there and keep the interest. Quix Start use to be one but, with this economy few people give a damn about the fact that SA-8 in it’s greatest form can wash 40 loads of clothes for 18 – 48 dollars and the dollar store has a soap that does the same thing for a dollar and that really matters when your money is tight. So what you want to do is check the different enterprises out there, view the economy . and remember that you aren’t trying to sell to you but to Joe and Jane Blow everyday Americans and they are watching their dimes . what they need is a benefit that strongly demonstrates it’s also saving them money and then you can sign them up . The best thing to profit on is their satisfaction. They will sell your product for you. Don’t use those magazine sales either. I’ve seen most of that junk at the dollar store again for a dollar. You won’t profit or you won’t profit much!

    Reply This Comment

  • sanjay kumar verma said:

    Can guide me about FMCG business, which I want to start in next few weeks.

    I am post graduated and have almost 17 years of experience, I have worked in chemical industry, iron industry, and now I am in to banking.

    I want to start a business, my monthly income is 25000, I am thinking of starting something in FMCG, from what I have heard that FMCG has 15-20% profit margin, is that true?

    How much initial investment will be required?

    What is better distributorship or retail?

    Reply This Comment

Leave your response!

Comment on topic. No spam Please!