Mini-factories for small business - an excellent opportunity to get a good profit

Mini-plants for small businesses have become very popular today. The use of such plants is due to the possibility of significant savings in cash in comparison with medium and large enterprises. In addition, relatively small investments significantly expand the circle of those who want to test themselves in Entrepreneurship.

In order to open a mini-factory, there is no need to register a legal entity, it is enough to be an individual entrepreneur. As practice shows, to reduce start-up costs, you can first start production, and after a while to issue business documents.

The amount of capital investment in mini-plants for small businesses depends on the industry and on what products you plan to produce. As an option, I want to graphically paint the production of cinder blocks with the help of a small company.

Why slag blocks? Because it is the most simple product, very cheap in terms of cost.

Financial part of the business plan

To launch a business for the manufacture of slagblocks, the following basic facilities:

• A room with a platform for manufacturing and storing products;
• Consumable material (cement, sand, screenings, gravel);
• In fact, the mini-factory itself (vibropress, concrete mixer, molds, etc.).

The cost of such equipment depends on its capacity. On average, it will be sufficient to invest about $ 4,000 in the mini-slag block plant, of which the vibropress itself costs $ 3,000, the remaining amount is the cost of additional equipment.

The average markup for slag blocks is 70 percent. Their cost depends on the material they are made of and for what purposes they are intended (for foundation, construction). In the case of the above example, the capacity of the mini-plant is about 20,000 units per month. If you take an average mark-up of $ 0.2 (this is at a minimum), then you can earn about $ 4,000 gross income per month. With the minus of expenses for taxes, as well as payments of wages and other indirect costs, we will receive a net profit of 2500 US dollars.

We can safely say that mini-plants for small businesses are highly profitable enterprises. They are able to return the cost of investment for several months of work.

The indisputable advantage of such productions is the ease of management. There is no need to use a highly skilled, and therefore expensive, labor. If something went wrong, then finding a spare part for such plants is not difficult.

Small investments give an opportunity to try different directions in business, and if the business "does not go," you can always sell the enterprise. After all, there are different situations in which the firm did not bring income: it is not with the goods that you are working with, at that time other things were started. Mini-factories for small businesses are characterized by considerable demand in the market, so there is a buyer for such equipment quickly.

To become the owner of a small profitable plant, and in time to earn considerable capital, anyone can, but one must have a desire.