Are you searching for small food retail business ideas? You can consider starting a sugarcane juice business with a small capital investment. Find here detailed know-how and sugarcane juice business plan sample checklist for your ready reference.
Basically, sugarcane juice is a very healthy beverage. Particularly, in the summer season, you can mark the huge demand for fresh juice. However, you can turn your sugarcane juice outlet into a profitable venture throughout the year.
Is Sugarcane Juice Business Profitable?
Some of the reasons why sugarcane juice is profitable are listed below:
- First of all, you can open a business with very small capital investment. Therefore, the business reaches break-even within a very short period of time.
- Basically, this juice is a healthy alternative to processed cold drinks items. So, the demand will remain high in the future days also.
- You can expand the brand at any moment of time by opening multiple counters.
- Additionally, you can keep customer retention throughout the year by selling different products from the same counter.
- Finally, the business attracts a wide range of target audiences. Regardless the age and gender, people love to consume fresh sugar cane juice as a healthy drink.
Nutritional Value of 30 gm Sugarcane Juice
30 gm fresh juice contains:
- Proteins 0.20 g
- Water 0.19 g
- Ash 0.66 g
- Fat 0.09 g
- Riboflavin 0.16 mg
- Niacin 0.20 mg
- Pantothenic Acid 0.09 mg
- Calcium 32.57 mg
- Iron 0.57 mg
- Magnesium 2.49 mg
- Phosphorus 0.01 mg
- Potassium 162.86 mg
- Copper 0.09 mg
- Manganese 0.09 mg
Here are the 7 Steps to Start Sugarcane Juice Business
1. Business Registration
In starting the business, you have to form a business entity. There are several factors you need to consider in selecting the right form of business. However, if you are planning to open only one counter, then it is better to start as a proprietorship company or LLP company.
Additionally, you have to obtain a Trade License from the local Municipal Authority in the name of your business. Apply online for Udyog Aadhaar registration. Open a current bank account. Additionally, apply for permission under Shops & Establishments Act. To know more details, Click Here.
2. Financial Plan & Arrangement
According to your investment capacity, you have to craft a financial plan. First of all, list down the costs for establishing the shop. Broadly, it includes store rent, machinery and equipment cost, utility bills, manpower cost, other admin expenses including marketing and promotion.
Basically, the amount of monthly rent hugely varies from place to place. Definitely, the cost of 100 Sq Ft area in a metropolitan city is much higher than in a small town. If you have your own capital to invest, it is fine. Otherwise, you can apply for a loan to your nearby banks.
After having a specific cost calculation, project monthly sales and revenue earnings. Finally, calculate the gross and net profit, ROI, and break even. Basically, a financial plan is important not only for applying for a loan, it will help you in operating the business smoothly.
Related: Best Small Business Loans
3. Store or Kiosk Setup
First of all, determine whether you want to set up a small store or kiosk. For an individual operation, it is better to have a store setup. However, if you want to have space on a shop-in-shop basis, you can consider a kiosk. Generally, shopping malls, big offices, IT hubs, airports, multiplexes are the best destinations for kiosk operation.
The retail space must have electricity, a water supply, and a wide front area for attracting the audience. You must have electricity for general lighting purposes and for machinery operations. Additionally, you will need to have a water supply for general cleaning purposes only.
4. Procure Machinery & Equipment
According to your store size and market potential, you have to procure the equipment and machinery. The most important machine is the sugar cane grinding machine. Nowadays, there are two options readily available in the market. One is a manual machine and another is an automatic sugar cane grinding machine.
Basically, the manual machine requires hard effort and it doesn’t demand any electricity or fuel. The automatic machines run either with diesel or electricity. It operates smoothly and you can get large quantity output from this machine. Additionally, some of these automatic machines come with an automatic cooling system. Therefore, you can serve chilled fresh juice directly from the machine.
Apart from the sugar cane grinding machine, you have to procure other utensils like glasses, spoons, racks, etc. And if you go with a manual machine, then you must have a refrigerator for the continuous supply of ice.
5. Arrange Resources
The major required raw material is fresh sugarcane. And definitely, you need to have an arrangement of the regular basis supply of this item. Additionally, you may procure some spices and salts to give a fresh juice a spicy taste for the consumers who look for it.
You must have an arrangement of the computerized billing system. Therefore, you will need to have a computer and bill printing machine with paper roll. Additionally, use the right accounting software to keep the stock and monitor the daily transactions.
6. Hire Employee
If you procure an automatic machine, you can operate the store with only one employee. However, the requirement of the number of employees depends on the overall space of the shop and the number of clients you serve regularly.
In any retail business, employees play an important role in the overall success of the business. Hire an experienced and skilled employee. Also, arrange some training and orientation program for him or her. Moreover, serving tasty fresh juice with a smiling face is the primary aspect of getting the overall success of this business.
7. Promotion & Expansion
No business becomes successful without promotion. You must have a marketing plan with an effective sales promotion strategy. And in a small business, you must put your creative thoughts. Select a catchy and attractive name for your business. Fix a good storefront sign on the outer wall of your shop. Give your employee a uniform with the company name and logo. Also, you can offer some introductory discounts on the launching days of your store.
Basically, a sugarcane juice outlet is a seasonal business. You can face the maximum demand in the summer season. However, you have to have a plan for sustaining the business in other seasons also. Simply, you can add some other products that come under the same category. Or the products you can sell from the same space. You can also expand your sugarcane juice business by opening new counters or kiosks.
Editorial Staff at NextWhatBusiness is a team of Business Consultants having years of experience in small and medium scale businesses.