Is slipper making business profitable in 2022 ?
All about Slipper Making Business
Slipper makig business : Men, women, and children all wear slippers, which are categorised as a domestic consumer durable item. Rubber slippers are a lightweight type of shoe. Making slippers is a relatively easy technique.
You may make slippers from a small-scale unit. Rubber sheet can be used as the primary raw material for manufacture, along with some straightforward equipment.
Slipper making business profit margin
In India, slippers are used by both urban and rural residents. Additionally, the product has export potential. India produces close to 16 billion pairs of footwears annually, making it the second-largest producer of footwears in the world after China. The USA, Germany, France, and the UK are the top importers.
With an estimated consumption of one pair per person, slippers (Hawaii Chappals) are close to 10000 crores in value. In addition to being a necessity in modern times, it has evolved into a significant fashion accessory available in various forms.
Machineries required for Slipper making business
A lot of machines are required to launch slipper-making operations. A sole cutting machine is first required. These tools are used to cut the lengthy rubber sheets into pieces that are precisely the right size and form. These devices are run by hand.
The holes in the soles must then be drilled using a machine. That is, the slippers' holes are drilled using drilling equipment. Some drilling machines have the ability to insert straps into the holes.
Not all drilling equipment has the ability to fix straps. You can use hand tools to fix the straps. They are simple to operate and don't require much expertise. The straps are firmly fastened to the sole using these hand tools.
You also require a finishing machine. The straps and slipper are properly cut and shaped by finishing equipment. Finishing will only be handled by one machine if automatic equipment are being used.
In addition to these machinery, the business of creating slippers also needs certain dies, such as shape and size dies. These dies can be fitted to the cutting machines you're using. Some low-quality machines do not have the dies; instead, manufacturers must purchase and fix them separately. High-quality machines come with their dies.
Both traditional and internet retailers sell machines. These machines are available to heavy machinery dealers. There are numerous websites that sell slipper-making equipment in the case of online retailers. They are accessible to everyone online. Additionally, all of these websites discuss the capabilities and characteristics of such computers.
Depending on their capacity and quality, these devices have varying prices. Simple machines that are used to cut the soles start at around Rs. 18000. Other than cutting and moulding the soles, these devices are powerless.
High-end automatic shoemaking equipment cost at least Rs. 1 Lac if the firm wishes to use them. Depending on how well they can serve, some of the machines cost Rs. 2.5 Lac. Not just slippers but all types of shoes are made using these pricey equipment. These tools can also be used as finishing tools.
Slipper making business plan
- Registration & License For Slipper Manufacturingc :You must first register your company with the ROC before beginning a slipper manufacturing operation in India. It is advised to register as an OPC or LLP format for a small scale entity. Contact the local Municipal Authority to request a trade licence, and the DIC to register an SSI unit. Yes, a pollution permit is needed for this kind of manufacturing facility. Currently, in order to start a slipper manufacturing business in India, GST Registration is required.
- Arrange Funds : A project to make slippers often involves two different types of financial requirements. One is working capital, and the other is fixed capital. Angel investment is the best source of capital for the launch of any small firm. Apply for a term loan if you need fixed capital, and for a cash credit or overdraft facility if you need working capital.
- Slipper Manufacturing Unit Setup : You must first create a customised project report in advance. You can determine how much money you require, the suppliers of the machinery, the machines that must be installed, the location of the raw material sources, etc. A layout plan is crucial before installing the machines.
- Set up other necessities like the water and electricity supplies. The following formalities are required for slipper manufacturing unit initiatives:
- Registration and Other formalities
- Land identification and acquisition
- Construction Work
- Machinery Purchasing and its Installation
- Trail Production
- Buy Slipper Making Machines : You must carefully choose the appropriate machinery based on the product specifications and the required manufacturing output.
Here is a list of some of the Machines required to make slippers :
- Flat Bed Sewing Machine with Motor, Stand & Table Clutch Type
- Drilling machine
- Combined Finishing Machine
- Stapling Machine
- Plastic Last
- Cutting dies of different sizes and shapes
- Hand-operated tools & equipment
- Raw Materials For Slipper Making : Rubber straps and sheets make up the bulk of the raw materials. Additionally, you will require the packaging supplies. You can also buy these raw materials directly from the manufacturer or at the nearby wholesale market.
Slipper Manufacturing Process
- Get the microcellular sheet from other units first. Then, using a cutting machine or mould, give them the desired shape.
- Additionally, additional units may supply you with straps. After that, use a foot-operated device to attach these straps to the chappals.
- Put the straps in the finishing machine to give it the finishing touches. Put these chappals in a polythene bag after you've checked their quality. Send them to the markets at last.
- Rubber Sheet → Sole Cutting → Drilling → Strap Fittings → Finishing → Final Inspection → Packing
How to do marketing and branding for slipper making business?
One such item that is utilised in practically every home is the slipper. Every segment of society uses chappals, also known as Hawaiian slippers. It follows that there must be a large number of manufacturers operating in the same industry. In order to increase sales of your product or service, your marketing methods must be distinctive.
First and foremost, it's crucial to sell the product as far as possible. It may occur as a result of advertisements, offers (discounts), and other factors. In order for customers to come and purchase your product, the producer must ensure that the product receives the greatest amount of market exposure.
Every home uses slippers, thus any neighbourhood could be the targeted one. Manufacturers can sell their slippers in malls or major department stores in addition to local marketplaces. Manufacturers must publicise and gain popularity for their slippers before they can sell their goods.
Manufacturers can utilise promotional tools including local newspapers, pamphlets, kiosks, banners, and hoardings to increase the product's popularity. Radio or television commercials can have a significant impact on indoor advertisements.
Documents required for slipper making business
Small-scale industries include the shoe industry. Therefore, the business must be registered as an MSME. Contact the local Municipal Authority to request a trade licence, and the DIC to register an SSI unit. Yes, a pollution permit is needed for this kind of manufacturing facility. To start any firm, you must first acquire a trade licence and register with the RoC (Registrar of Companies). In order to start producing and selling his products, the manufacturer must register his business and acquire a trade licence.
Currently, in order to start a slipper manufacturing business in India, GST Registration is required.
Investment required for slipper making business
A total of Rs. 1 to 2 Lac is required to start the slipper manufacturing business. The company requires a few employees in addition to purchasing raw materials, equipment, and packaging supplies. Slipper-making machinery doesn't require highly trained personnel to operate it. Since they are not automatic machines, they are less complicated and require fewer employees.
On the other hand, if the maker didn't use drill machines or other instruments for strap fixing, they may have required more personnel to complete the task. For that, the expense of the slipper-making enterprise can be increased by Rs. 30,000.
Slipper making business Profit Margin
A pair of slippers costs between Rs. 30 and Rs. 40 to make, and they sell for at least Rs. 100. Accordingly, a manufacturer can make at least Rs. 60 in profit for each slipper. With a low-quality machine and a smaller setup, the producer can crank out at least 100 dozen pairs of slippers at once. This results in a profit margin for the maker of at least Rs. 60,000 and possibly more.
If there is a small setup, a profit of between Rs. 10,000 and Rs. 20,000 has typically been witnessed at the end of the month in the slipper manufacturing industry. Manufacturers can make at least Rs. 40,000 per month if there is a large setup for the same business.
Return on Investment in slipper making business
These slippers are sold for at least Rs. 100 per pair and cost between Rs. 30 and Rs. 40 per piece. This means a manufacturer will make at least Rs. 60 profit on each pair of slippers.
Best suppliers for slipper making machinery
- Single Phase Slipper Making Machine 5 Ton, 3 Kw, Production Capacity: 40 Per Mint by Small Scale Industries
- Omex Single Phase Semi Automatic Footwear Making Machine, 3 HP, Production Capacity: 1000 Pieces/HR by Omex Enterprises