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How to Start Inverter Manufacturing Business

An inverter is an electric device that changes direct current (DC) to alternating current (AC). This conversion may be accomplished by electromechanical means namely motor, Generator sets are entirely by electronics means. Any Individual having an interest in the electrical and electronics product manufacturing sector can initiate an inverter manufacturing business.

This manufacturing operation doesn’t demand a lot of space. The assembling process is also simple. Inverters find applications where emergency standby power is required and/or there is no AC power available. The inverter is generally used with various sophisticated electronic and mechanical equipment that requires a continuous and un-fluctuating power supply for effective functioning.

Is Inverter Manufacturing Business Profitable?

The electrical power production in our country is much less than the demand. Through government is making efforts to bridge the gap between demand and supply by inviting private sector participation, the condition is expected to continue as demand is growing at a much further pace. Railway, telecom, computer institute, Post Office, Bank, ATM counter, Medical equipment are the major commercial sector that uses the inverter for standby power supply.

The Inverters and UPS market in India have witnessed a growth in recent years on account of rising demand fueled by the demand and supply gap in electric power supply, expansion of industries, and rising income levels of consumers.

The market is highly fragmented in India; however, it is dominated by large organized players. Small scale players are also doing very well in this market. The usage of UPS in the household sector where PCS is installed is also increasing.

The Indian inverter market will reach Rs.3.88 lakh crore ($71 billion) by 2020, according to a report by Yole Developpement. Thus, inverter manufacturing is a profitable and viable investment opportunity for small business entrepreneurs.

Inverter Manufacturing Project Plan Guide for Beginners

Business License & Registration

In starting an inverter manufacturing business, you will need to obtain the following registrations and licenses from Govt. Authority.

  1. Business registration with ROC
  2. Trade License from Municipal Authority
  3. GST Registration
  4. MSME Udyog Aadhaar Registration
  5. Trademark Registration
  6. ‘Consent to Establish’ and ‘Consent to Operate’ from the Pollution Control Board.
  7. Factory license for medium and large-scale factory operation.

Inverter Manufacturing Machine & Raw Material

There are a wide variety of machine and tools required to operate an inverter manufacturing business. Some of them are the following:

  1. Coil winding machine
  2. Frequency counter
  3. LCR Bridge (Digital) Ind
  4. Ocilla scope dual trace (10 MHz)
  5. DC regulated power supply (30V, 2 Amp)
  6. Digital Voltage (4½ digits)
  7. Multi-meter
  8. Winding Machine
  9. Flow soldering machine
  10. Surface mounting equipment
  11. Line frequency Monitor
  12. True RMS meter (4 digits)
  13. Dummer Stat (4amps & 8 Amps)
  14. Panel Meters
  15. HV. Tester
  16. Rheostats
  17. Electric Drill (½”) (Pillar Type)
  18. Megger
  19. Testing equipment, Power analyzer
  20. CAD/CAM computer for PCB design

In starting an inverter manufacturing unit, you will need to procure the following raw materials:

  1. Resistors
  2. Diodes
  3. Capacitors
  4. Switches
  5. Transistors
  6. S.C.R
  7. Mosfet
  8. Heat Sink
  9. ICs
  10. LED
  11. Connectors
  12. Auto Wires
  13. Wire & Sleeves
  14. Relays
  15. Lug
  16. Cabinet
  17. PCB
  18. Jacks
  19. Pre-set
  20. Socket
  21. Fuse Holder
  22. Mains Lead
  23. Copper Wire
  24. Tapes
  25. Sleeves Plastic Formers
  26. Impregnation Compound
  27. Ktheriod + Prespam Paper
  28. P.F.
  29. Hardware fittings
  30. Coir
  31. Varnish

Inverter Manufacturing Process

First of all, you must have special transformers for such a product. You have to procure that from outside as per the specifications. Test the critical components, which go to make up the products. Because you have to ensure that they meet the required specifications.

The components are fixed and solder on a printed circuit board (PCB) according to the design. Additionally, assemble the controls and sockets individually. Then mount the  PCB transformers etc. on the chassis and make all the interconnections.

The waveforms at various checkpoints, output voltage, and power are checked adjustments are made so that the products meet the desired performance specifications.

On completion of testing the instrument is kept for soaking the specific time period to ensure its quality and reliability.

Raw material procurement → Inspection of components → Sub-assembly → Wiring → Checking of finished products → Testing → Packing

Cost of Starting an Inverter Manufacturing Unit

The minimum cost of opening a small scale inverter manufacturing plant is a minimum of Rs. 1 Cr in Indian Rupees. There will be an added investment in land and workforce.