India's shoe market is expanding quickly and has a lot of promise. In India, launching a shoe business involves thorough preparation. This blog will give a general overview of the shoe industry, including the licenses necessary, the raw materials and equipment needed, the investment necessary, the labour required, and the steps to launch a shoe business in India.
There is a tremendous opportunity for business owners who want to launch a shoe business in India, where the shoe industry is expanding quickly. Over the next five years, the Indian shoe market, presently valued at Rs. 30,000 crores, is anticipated to expand at a CAGR of 8%. The demand for footwear is rising along with disposable income and the expansion of the Indian economy. The numerous aspects of launching a shoe business in India will be covered in this article.
Shoe Business – Overview
The shoe industry consists of the creation, production, and sale of footwear. The shoe industry can be broken down into various segments, such as footwear for sports, casual wear, formal occasions, and ethnic wear. Depending on their hobbies and market need, entrepreneurs can decide to concentrate on one or several categories.
License Required for Shoe Business
The following licences must be obtained in order to launch a shoe business idea in India:
- Register the corporation as a sole proprietorship, partnership, or private limited company to conduct business.
- GST registration: Ensure that your company is registered for GST.
- Trade licence: Request a trade licence from the neighbourhood government.
- FSSAI licence: An FSSAI licence is essential if the shoe business produces or sells food items, such as leather goods.
- BIS certification: BIS certification is required if the shoe industry involves manufacturing.
Raw Materials Required for Shoe Business
Leather, rubber, plastic, synthetic materials, adhesives, and other components are the basic materials needed for a shoe business. The quality of the finished shoes will depend on the quality of the raw materials utilised in their production.
Equipment Required for Shoe Making Business
A cutting machine, last-making machine, sewing machine, sole-making machine, and finishing machine are among the tools needed for a shoe manufacturing business. These devices can be purchased from Indian suppliers or imported from other nations.
Investment Required For Shoe Making Business
The amount of capital needed for a shoe manufacturing company varies on the size of the business. A medium or large-scale firm would require an investment of at least Rs. 50 lakhs, whilst a small-scale shoe business might be launched with an expenditure of about Rs. 5 lakhs.
Manpower Required for Shoe Making Business
A shoe manufacturing company needs designers, pattern makers, cutters, seamstresses, quality control inspectors, and sales personnel. The size of the business will determine how many workers are required.
Procedure to Start a Shoe Business
The following procedures must be taken in order to launch a shoe business in India:
- Business licencing: Create a private limited corporation, partnership, or sole proprietorship in order to register the business.
- Obtain the required permits: Obtain the required permits, such as a trading licence, an FSSAI permit, and a BIS certification.
- Decide on a location: Pick a site for your company that is both accessible and has the necessary infrastructure.
- Purchase equipment and raw materials: Purchase the necessary machinery and raw materials from vendors in India or other nations.
- Hire staff: When hiring personnel, consider the demands of the business.
- Create shoes: Produce shoes in accordance with market trends and consumer desire.
- Then, market and sell the shoes via a variety of channels, including wholesalers, brick-and-mortar retailers, and internet marketplaces.
Conclusion
Entrepreneurs interested in the footwear sector have a lucrative opportunity to start a shoe business in India. To launch a successful shoe business, one needs to secure the required permits, buy top-notch supplies and machinery, engage qualified personnel, and create a marketing plan. An Indian shoe business can eventually turn a profit with adequate preparation and execution.
Vakilsearch assists business owners in launching and successfully operating their enterprises. Our team of professionals can help you through the process of registering your business, getting the necessary licences, and adhering to the law. To start a shoe business in India, get in touch with us right away.
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