Business Idea: Earn Upto Rs 7.48 Lakh Per Annum By Investing Own Contribution Of Rs 2.15 Lakh In This Business

Business Idea: You can identify Potato Chips Manufacturing business that can be launched with your Own Contribution of Rs 2.15 lakh and has the potential to give you profit returns of upto Rs 7.48 lakh --in the fifth year of your business.

New Delhi: If you want to start a business with less capital and earn handsome profit there is a project identification or a smart business idea that involves minimum capital but yields enormous profit. 

Owing to its widespread consumption across all age groups and in nearly every location in India, this product is in high demand. The business idea that we are talking about is that of making potato chips. From this business, you can make more money than you would from several other jobs. The central government supports people initiating ventures in the Food Products Sector under the Pradhan Mantri MUDRA Yojana (PMMY). You can also avail MUDRA loans up to Rs 10 lakh under PMMY for starting this business. 

The Khadi and Village Industries Commission (KVIC) has also prepared a report on how to start this business.

Business Idea: Potato Chips Making Business

Potato chips are consumed as a snack, side dish, or appetizer. They pair well with practically any food and drink option and are convenient to snack on anytime, anywhere. Therefore they are well-liked by people and in huge demand on the market. Given the enormous demand for potato chips, starting a potato chip business will result in bumper profits. 

You will need to use astute strategies if you hope to take the lead in this industry. You will need a potato-slicing and chips-making machine for this. If you want to start a big plant then you will have to buy heavy machines. However, in the initial phase, you can start production with small machines or even hand slicers.

Business Idea: Potato Chips Manufacturing Process

To make potato chips, you'll need potatoes, oil, spices, and other ingredients. The potatoes are cleaned in cold water after they have been peeled. After that, the potatoes are sliced into paper-thin pieces by a rotating presser. The slices flow into troughs filled with oil after passing beneath air jets that remove extra water. Salt is sprinkled on the slices as they fall. The to-be-flavored potato chips go through a drum that is loaded with the preferred powdered seasonings. The chips are sent to a packing machine for packaging once they have cooled and been sorted.

According to the Khadi and Village Industries Commission (KVIC) feasibility report, initiating a potato chips manufacturing venture requires a total investment of Rs 21.47 lakh, out of which you will be required to give Own Contribution of Rs 2.15 lakh. Over a period of five years, you can expect a net profit of upto Rs 7.48 lakh --in the fifth year.

Business Idea: Cost And Requirements For Potato Chips  

The Khadi and Village Industries Commission has prepared a report on the potato chips making business. According to this project study, in order to launch the business you will require capital for Machinery and equipment,  Raw materials, Manpower, Land, Potato chips license and registration.

Potato Chips Manufacturing Business COST OF PROJECT

Land Building & Civil Work -

Plant & Machinery: Rs 12.69  lakh
Furniture & Fixtures: Rs 1 lakh

Pre-operative Expenses Contingencies

Working Capital Requirement: Rs 7.78 lakh
Total: Rs 21.47 lakh

Potato Chips Manufacturing Business MEANS OF FINANCE

Own Contribution: Rs 2.15 lakh
Bank Finance: Rs 12.32 lakh
working capital from bank: Rs 7 lakh
Total: Rs 21.47 lakh
KVIC Margin Money 25% of 13.69 Lacs =( 3.42 Lacs)

Business Idea: Profit From Potato Chips Making

The KVIC feasible report giving a Five Year's Projected Profitability Statement said that in the first year you can see a net profit of Rs 4.01 lakh, Rs 4.87 lakh in the second year, Rs 5.76 lakh in the third year, Rs 6.50 lakh in the fourth year and Rs 7.48 lakh in the fifth year.

Making potato chips can bring in lakhs of rupees if your product has a unique taste and quality. Contacting any local distributor would enable you to sell your chips. Additionally, you can list your products on various e-commerce. You can also take orders from big businesses and supermarkets.

(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.)