In developing countries like India, there is always a demand for construction materials. The construction industry in India growing rapidly with an annual growth rate of 7% to 8% annually.
Using this opportunity, you can easily start a cement trading business by partnering with any one of the cement brands available in the Indian market.
Out of these cement brands, in this article, we will talk about the Binani Cement Dealership opportunity.
This article includes topics like Binani cement dealership cost, profit margin, licenses and documents required, space required, and how to apply for the dealership.
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why choose Binani cement?
Binani Industries Limited is the parent company of Binani cement limited. The company was founded in 1996 and has a headquarters in Mumbai, Maharashtra.
Binani industries ltd deals with cement, glass, fibre, energy, and industrial infrastructure fields. It operates in Asia, Europe, Middle East, and North America regions.
Binani Cement has a cement manufacturing capacity of 6.25 million tones per annum and has a sales network in India, UAE, UK, Sudan, South Africa, Tanzania, and Namibia.
The product range include Ordinary Portland Cement (OPC), Pozzolona Portland Cement (PPC), and Ground granulated blast-furnace slag (GGBFS).
Licenses and Registrations required
These are the licenses and documents required to start a Binani cement dealership.
- Company Registration – Sole proprietorship/LLP/Pvt Limited
- Trade Licence – from the local municipality
- Shop & Establishment Registration – from the state board
- GST certificate
- Previous bank statement – for financial background verification
- Valid land documents / Lease agreements.
- Business Insurance – (optional)
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Binani Cement Dealership Cost
You need an investment of approximately INR 4 to 5 lakhs to start a Binani cement dealership.
If you have your own shop then you can start the dealership with minimum investment.
Here is the break-down of the investment,
- Dealership Security Deposit -> 1.5 lakhs
- Initial inventory/stock purchase -> 50,000 to 1 lakh rupees
- Shop Interior and Warehouse -> 80,000 to 1 lakh rupees
- Labour for loading and unloading (1st month salary) -> 30,000 (for 2 nos)
- Shop Advance + First-month Rent -> extra (if you do not own a shop)
- Vehicle for Delivery – extra if Required
The monthly expenses include labor salary, stock purchase, utility bills & Shop rent.
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Profit margin in Binani cement dealership
You can expect a profit margin of 6% to 8% from this dealership.
As with other cement brands, these profit margins are decided by the bonuses and schemes offered by the company. If you make more monthly sales, then the chances of getting good discounts from the company will be high.
How to get Binani cement?
To get a Binani Cement dealership, you need to contact your area sales manager. You can get his number through their official website – contact us page. You need to fill an inquiry form, with your basic details.
Once you get in touch with the area sales manager, he will guide you about the next steps.
There should not be any other Binani cement dealer in a 2-3 kilometer radius from your shop. If there is any Binani dealer nearby, then the chances of you getting a dealership are very less.
FAQ about Dealership
How much investment required for Binani cement dealership ?
You require 4 lakh to 5 lakhs rupees investment to start a dealership
Shop space required for Binani cement dealership?
Minimum space required in 500 square feet
Profit margin in Binani cement dealership?
You can expect a profit margin of 6% to 8% on sales.
How to contact Binani cement?
You can contact Binani cement through their official website binaniindustries.com
I hope this article has resolved many of your doubts related to the Binani cement dealership. If you have any suggestions feel free to mention them in the comment box below.
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