Sachet water production is a line of business which can be very profitable. It can be segmented into different categories depending on the resources and capital available to start. The different categories include franchise acquisition, factory production and single vehicle production. We will focus more on the single vehicle production for the purpose of this article.Single vehicle production is one of the least capital-intensive methods of sachet water production. The owner of the business will need a type of vehicle to do distribution of his product. KIA Bongo trucks, Hyundai Mighty trucks, Hyundai Rhino trucks and KIA Trade trucks are some of the most used vehicles in this line of business. Some business owners also use motorized tricycles with specially attached metal baskets locally known in Ghana as “aboboyaa” to distribute the product.
To begin with this line of business, the business owner needs to register his business with the Registrar and Accountant General’s Department. Though a lot of business owners skip this step, it is advisable to do it to avoid legal problems later. Once the registration is complete, the brand of the business should be created. This includes creating the brand logo, registering dedicated phone lines and designing a special “block” with the brand logo imprinted on it. The business owner sends this block to the rubber factories to produce sachet water rubber with the brand logo of the business owner imprinted all over the rubber. The rubber is normally produced in a roll. The business owner is charged a fee per every kilogram of rubber that is produced.
The owner sends the roll of rubber to a sachet water producing factory which they normally lassie with (this factory must be certified). The factory takes the roll of rubber from the owner and puts it in their machinery. The machines cut the rubber into sachet water size, fill them with drinkable water and seal them. Once this is done, the sachet water is bagged with about 30 pieces in each bag. Each piece will display the logo and contact details of the business owner. The owner is charged per the number of bags produced.
The owner loads the bags into his truck and moves out to sell the product. Most owners employ a driver and a driver’s mate to distribute the product and market the brand. The driver and his mate are usually experienced in selling sachet water to small businesses and large corporations. They are normally paid on a commission basis. Factory production is very capital intensive because it includes importation of the machinery and tools for producing the water in sachets. The factory owner will also have to plan for installation costs, factory space, registration with FDA as well as a reliable source of safe drinking water. Franchise acquisition involves buying a franchise from an already established water production brand. The business owner will have to plan for the cost of the franchise and costs associated with producing the water to fit the exact specifications of the established
brand owner.
CONCLUSION
Sachet water production and distribution is very profitable since everyone wants a pure drinking water and I personally recommend it for most start-ups , however with small capital I advise you choose the single vehicle production category and purchase your own machines when business starts to grow. Although the business is competitive with proper research especially with regards to customers and marketing you will exceed. It’s also important to note that without proper management pilfering by staff can affect your finances.
fhCwJM oMZEL CYsQ fwRGtTHS exn izcnQd