Are you interested in starting a match stick production company? Do you need a sample match stick production business plan template? Then I advice you read on. Matchsticks are used to start fire under controlled conditions. They are used in many homes for starting fire for cooking. They are also used industrially for starting fire when heat energy is needed and for burning waste materials.
Matches are sold in quantity. There’s the wooden type, which are packaged in boxes. And there are paper matches, which are clustered in rows stapled into matchbooks. Because matches are used in almost every home and in almost every industrial establishment, the demand for matches is always on the high. This means there is huge profit potential in the matchstick production business.
If you are looking to start a profitable business of your own, then you must consider venturing into the match stick production business. In this article, you will learn the basics of the match stick production business as well as how to start the business.
Starting a Match Stick Production Company – Sample Business Plan Template
Match production requires wood as the main raw material. The wood is cut out into fine little sticks, and special chemicals are added to the sticks to ensure the safety and burning. For inflammation, the sides of the matchbox are covered with phosphorus and paraffin premix. If wood is abundant in your country, then you can easily start your match production factory, since the main raw material is readily available.
There are two main types of matches:
Which can only produce fire when struck against the specially prepared surface on the matchbox
Which can produce fire when struck against any frictional surface. Being the commoner type and the cheaper to produce, the first type (safety matches) will be discussed here.
Now, let’s look at the steps involved in starting a match stick production company.
Steps Involved In Starting a Match Stick Production Company
1. Craft your business plan
Writing a business plan is the first step towards starting a profitable business. A business guide is to the entrepreneur what the compass is to the sailor; it helps you steer your business to success by helping you focus on the business goals and objectives.
A business plan highlights the profitability of the market, the competition, the total cost required to start and run the business, and the projected earnings from the business.
After crafting your business plan, the next step is to source for funds. Since your business plan will have given you insight into how much you need to start your business, you already know how much to raise. If you are not able to raise the startup capital all by yourself, you may need to approach your family and friends, seeking their support. Better yet, you can approach angel investors or apply for small business grants or loans.
3. Find a location
You will also need to find a suitable location for your matchstick production business. It is best to choose a location that is very close to where potential customers and distributors can easily reach.
Though acquiring the property that will house your business has its advantages, it may not be advisable from the outset, especially if you don’t have much funds on ground. So, it’s usually recommended that you lease the property initially and then consider buying later.
4. Get the necessary equipment and staff
Most of your operations will be machine-mediated, so you will need to acquire the machinery you will need. These include:
- Splint production machinery
- Match production machinery
- Head composition and friction composition machinery
- Air compressor
- Log conveyor, and so on.
In addition, you will need to hire additional individuals to assist you with the business. Each of your machines will be manned by one or two individuals, which means you will need to hire between 10 to 20 staff. However, you must ensure that your employees are competent and able to play their roles excellently.
5. Find suppliers of raw materials
Aside wood, which is the main material used in matchstick production, you will also need chemicals for processing and flaming, and paper boards for inner and outer packing boxes. Aspen, Poplar, and Pine are the types of wood usually used for making match splints. You will need to decide on which type you will be using in your company.
You will also need to find suppliers for these raw materials and ensure that they are able to maintain a steady supply of the materials they supply.
6. Start production and marketing
With everything already in place, you can start production. At the same time, you can start marketing your business to potential customers, and adopt proven marketing strategies that will quickly spread word about your chalk production business.