Home-made candles have a charm of their own. Creative individuals make these in various forms, colours and even provide customised variants to buyers. Today you can find candles created per your zodiac sign! You have several categories of these. Some of these come in different coloured layers, while others are frosted scented, while some are even embellished with stardust. Unlike traditional candles, the handmade candle industry has ample scope to set up shop on a small or large scale. Some Indian actors specialise in the handmade candle making business, where a large volume of their finished products is exported. Candles are used almost everywhere. You can find them lit in religious places and on festive occasions. The sizes and shapes of handmade candles leave you asking for more. From square-shaped and vertical shapes to round and triangle-shaped ones, the makers of candles leave no stone unturned to cater to the needs of their diverse clients. Some of the categories made of essential oils are also used for meditation. Creative and innovatively designed handmade candles make for a great gift item. Several individuals have set up a candle making business at home. There are numerous candle business ideas, and individuals with a creative mind can turn this into a very profitable career.
Did you know?
Candles made of beeswax are one of the healthiest varieties as they give an extremely natural fragrance after being lit. They release negative ions into the surroundings and cleanse the ambience.
Key Considerations in Setting up a Candle Making Business at Home
Analyse Competition by Conducting Research
At the onset, you need to understand the market scenario, the varying demands of the people, the scope of business in that region and the probability of growth and expansion. It would involve:
- Understanding the outlets to whom you will provide your handmade candles
- A detailed list of all the existing competition
- The categories of handmade candles are in demand.
Also Read: 50 Low Investment And Profitable Handicraft Business Ideas
Finances and Investments
You have to chart out a business plan per the finances you have on hand.
You will have to make practical budgeting for the following:
- The type of wax or varieties of wax you intend to use. The different varieties include soy, beeswax, gel-based wax, palm, granulated and paraffin wax
- The various moulds you intend to use and the total number of moulds you require
- The usage of the candles – will they be used as interior décor, as gift items, aromatherapy sessions or in lighting
It will give you an idea of the total investment you have to make. Most candle businesses operated from home require a minimum investment of at least ₹1.5 lakhs, and it could extend up to ₹1.10 lakhs depending upon your business plan.
Permissions and Licences
You would require the following licences:
- Trade licence
- GST registration
- Ministry of Micro, Small & Medium Enterprises (MSME) registration
- A No Objection Certificate (NOC) by the Board of State Pollution Control
- You will also have to get your business registered under the brand name which you decide upon.
- Legal advice and assistance – your family lawyer and chartered accountant could furnish you with assistance in all necessary matters.
- Ensure purchasing business insurance
- Make sure that you hold the requisite number of permissions to help you promote and sell your candles.
Focused Selling Outlets
Individual entrepreneurs in this industry who are keen to promote and expand their scope of business need to have clarity on the points of sale, namely the various outlets.
Some of the most prominent outlets include:
- Interior decor outlets – These outlets are known to promote such items that enhance interiors' overall look.
- Retail outlets dealing in beauty products – Several individuals are habituated to indulge in aromatic candle fragrances while bathing. Such commercial spaces would be helpful to spread the word faster.
- Commercial outlets which deal in objects of art and collector’s items – These retail stores sell high-end lighting items like chandeliers and centralised lamps, which require candles to enhance the aesthetics.
- Stores that sell aromatherapy products have their in-house centres, which offer various therapy massages and other services for which they require candles.
- Religious places – Candles are part and parcel of most religious centres. Many individuals make offerings of candles in bulk, even if the candles are of premium quality. These places can be ideal for promoting your candle selling business in a big way as people prefer to buy from such outlets for personal reasons.
- Online influencers – These individuals can help in aggressive marketing and brand promotion of your homemade candles.
- Households and retail outlets – Most households like stocking various types of candles. Some use them on special occasions like candle-light dinners, get-togethers, birthday celebrations, anniversary celebrations, while others like to enhance the aesthetic appearance of their interiors.
- Tapping of rural regions – This segment of society is in constant need of the humble candle as they face many issues in the supply of electricity. You could employ someone to deliver these areas with a consistent supply of your homemade candles.
Premises
The minimum requirement for candle making business at home is about 500 sq ft. If you plan to establish your business on a larger scale, you would require premises of at least 1000 sq ft.
Understanding of Requisite Raw Materials
The different types of raw materials include – containers like jars, tins, bottles or other antique moulds, colouring agents, different types of wax, essential oils, appropriate packaging materials, different sizes of labels and coloured strings or decorative embellishments.
- Equipment – This includes the different types of machines:
- Grinder or mixer
- Moulding
- Thread-cutting
- Semi and Fully automated machines for making the candles
- Machine to create the candles manually
- Distinct machine to heat the wax
Also Read: Get your Home Made Business started
Staff
Even if it is operational from the premises of a household, every business requires a minimum number of helpers. For candle selling business from home, you will require:
- A minimum of two personnel should have the know-how to a certain extent.
- One person for deliveries and purchase activities.
- You will have to train them in the proper usage of the equipment, as well as to manage the processes like heating the wax etc.
Conclusion
The details of this article give you an insight into how candle businesses require a well-thought strategy to establish their commercial business.The right amount of research and understanding of the market scenario helps entrepreneurs chart out an annual and bi-annual business plan.
Follow Khatabook for the latest updates, news blogs and articles related to micro, small and medium businesses(MSMEs), business tips, income tax, GST, salary and accounting.
