If you’re considering starting your own business, here’s an exciting and low-investment idea for you: the paper napkin or tissue paper manufacturing business.
Many people assume that starting a new business requires significant capital, but with just a small investment, you can earn substantial profits.
The government is also offering support for businesses like this, making it a great opportunity.
Setting up a tissue paper manufacturing unit can bring you steady profits in no time.
Why Tissue Paper is in High Demand
In today’s fast-paced world, tissue paper is an essential item used in many places.
Whether it’s for cleaning hands or wiping mouths, tissue paper or napkins are commonly found in restaurants, hotels, dhabas, offices, hospitals, and more.
Due to its widespread use, there is a growing demand for this product, making it a viable business option.
Investment and Loan Opportunities
To start a tissue paper manufacturing unit, you will need an investment of about Rs 3.50 lakh. With this amount, you can apply for a loan under the Mudra scheme at any bank.
The bank will likely offer you a term loan of Rs 3.10 lakh and a working capital loan of up to Rs 5.30 lakh, helping you get started without too much financial strain.
Profit Potential in the Tissue Paper Business
The potential for earning in this business is significant. With a production capacity of 1.50 lakh kilograms of paper napkins per year, you can sell the product at Rs 65 per kilogram.
This means your annual turnover could reach approximately Rs 97.50 lakh. After covering all expenses, you can expect to save around Rs 10-12 lakh annually.
By partnering with multinational companies, you can further increase your earnings.
In fact, it’s possible to make a net profit of up to Rs 1 lakh per month, while gradually repaying any loans.
How to Apply for a Loan under the Mudra Scheme
To get started, you can apply for a loan under the Pradhan Mantri Mudra Yojana at any bank.
The application process is simple and requires you to provide basic details, such as your name, address, business address, education, current income,
and the amount of loan needed. There are no processing or guarantee fees, and you can repay the loan in easy installments.
Starting a tissue paper manufacturing business can be a smart and profitable choice with the right investment and support.
