An Awesome Home Business Idea for Pakistani Entrepreneurs!

Well if you are looking for some really super easy, super lucrative home business idea you got to the right place!
nimco nimko business idea pakistan

I have already shared quite a number of home based business ideas for my Pakistani readers that you can just launch right from your home without much of an effort.

So first let me share with you guys all of that and then after that, I am going to share one more over here in this post.

Remember my home business ideas are gender neutral, so if you are girl/guy/women lol whatever all of you can easily pull it off, it’s easy, piece of cake!

So here is the first one, Super Lucrative Home Business Idea with little to no Investment, yep, if you have like 10 to 15 thousand rupees on you, you can do it.

Yeah, excited huh!! Ha ha!

I am not kidding, do check out that link and one more thing, you will earn around 65% in net income, how’s that baby!

Okay and here is one more (click on this link), If you want to earn like 50 to 150 thousand rupees in net income and that too from your own little home then you should go for this one, yep, it will require small investment of just 4 lakh.

Okay I guess that’s enough for this post, although I have shared over a hundred business ideas so if you want to look into more stuff then you should check out this link Business ideas In Pakistan.

The Story of Krich Krich!


Now let’s get back to our main point of this article!

How about starting your own little branded product, with all that branded bling bling, cool packaging, cool design and earning some serious return?!

I mean one of my friend is already earning some serious return (over 2 lakh per month!) and that too from his home, yeah you don’t believe me!

So hear me more than!

My friend had been in Dubai for years, was sick of his job, wanted to get back to his lovely country, Pakistan but wasn’t sure, but then he quit his job anyway.

And after a month or so, came straight to me, asking me to give him some kickass business idea he can work on, to make a comfortable, independent living.

That’s when I said how about Krich Krich!

And he was like, what you mean Kich Pich!

I said, you just need to invest around 10 lakh in a branded nimco and we will call that Krich Krich.

And here is the breakdown of what you need to launch a branded nimco aka Krich Krich!

1.      You need branded nimco aka Krich Krich packaging design
2.      You need around 190000 rupees to print that packaging
3.      You need a sachet packing machine to utilize the above mentioned packaging.
4.      To buy a sachet packing machine, you will need to invest 175000.
5.      You need high quality nimco pack in that packaging.
6.      To buy high quality nimco, it may cost you around 95 rupees per kilo.
7.      You need to print boxes to put in your sachets, one box will cost around 10 rupees
8.      You need to make a carton box to put in your sachet boxes, one carton will cost around 30 rupees.
9.      You need a supplying vehicle, preferably a Suzuki Carry Daba which will cost you around 6-7 lakh although you can use a motorbike with a big steel box tied behind but I think you should go for Carry Daba, that’s the best!
10.  You need money to purchase raw materials, to keep some money in market (as debt), because in Pakistan you don’t get to do business on cash, so you will need to have that big heart for debt/qarz.

And if all these things goes perfectly okay, you will earn around 30-35% in net profit for each rupee of total sales, which means if you make for instance one rupee in sales you will have earned 30 to 35 pisas in net profit in that one rupee!

Designing Krich Krich


So we went for designing and since I am quite hot in photoshop I sketched the whole design and we finalized it later on, it looked something like this:


Printing the Design:

To print the above design we, went after a guy in Peshawar who print this kind of stuff, that fellow told us that we were required to print at least 150 kilograms.

Why 150 kilograms ?!, well because printing less than that wasn’t feasible for the printing guy, so that’s the minimum we were required to print.

Per kg printing cost was 490 rupees and in one kilo you could print around 510 sachets, that means each Krich Krich sachet cost around one rupee if we add sachet wastage too, I mean when you use printed roll in packaging machine, you will definitely have wastage, that’s a must!
We also needed digital cylinders to make high quality print and since we were using four colors in our design, thus we were required to use four different digital cylinders each one costing 15000 thousand rupees.

Digital Cylinder Picture

Sachet Packing Machine


After designing and printing, which took us almost a month, we went for purchase of packing machine, this machine we bought, cost around 170000 rupees.
At first my friend felt a bit overwhelmed when he saw the machine and asked me how can he operate it at home, he thought it was difficult and I was like, its piece of cake and you will get used to it, don’t worry.

And yes, after a month or so, he was more than capable to handle that machine. And that is true for everyone reading this article, its easy to learn how to efficiently and effectively run this machine, don’t worry!

Its far more easy to operate, I mean if you can use smart phone then you can definitely learn how to run this machine, quite easy compared to using a smart phone!

Boxes & Carton

After purchasing machine, we went for designing box, we designed the box on the same theme as that of sachet, check the following box design picture.

We also written an offer on the box to increase our Krich Krich sales, that offer was, if you buy 12 boxes and return them to the wholesaler, the company will provide you one box absolutely free!



The reason behind doing that was
1.      To increase sales, which it did.
2.      To lower overall cost by re-utilizing the returned boxes, which we achieved too.
In a nutshell, it turned out to be quite a successful business strategy.

We made around a thousand carton boxes where each carton box cost us around 30 pkr, each carton box had capacity of 16 boxes, luckily we again applied the same above strategy in carton box too, where we gave a discount of 15 rupees to those who returned the carton box.

CARTON BOX PICTURE WITH OFFER
So not only we motivated the wholesaler to buy Krich Krich but also we motivated the retailer, which resulted in super high demand.

The sale began with 10-15 cartons each day, total cost on making on krich box was 62 rupees, its breakdown is as follow:
Item
Cost
Other Details
Single sachet
1 rupee
Includes wastage costs
32 gram nimco
3.2 rupees
95 rupees per kg nimco, also includes wastage costs
Krich Krich Empty Box
11 rupees
It’s a single box cost
Carton Box cost for each Krich Krich Box
1.875 rupees
If we divide 30 rupees which is our carton box cost on 16, which is the number of total nimco boxes that will be in that carton, we get 1.875 rupees

Item
Cost
Other Details
12 nimco filled sachets cost
50.4 rupees
If it cost one rupee per single empty sachet then 12 empty sachets will cost 12 rupees, now add to that cost of 32 gram nimco to fill those sachets which is 38.4 rupees and that’s how we get 50.4 rupees.
12 filled sachet plus Krich Krich box cost
61.4 rupees
Add the cost of box to the above 50.4 rupees and we get 50.4 + 11 = 61.4 rupees.
One Krich Krich box cost plus carton box cost or Total production cost
63.3 rupees
Here we included carton box cost (which 1.875 rupees) into the above mentioned cost which is 61.4 rupees.
Single Krich Krich carton box cost
1015 rupees
Here we added 16 boxes cost (63.3 X 16= 1012.80 rupees) plus 2.2 rupees to compensate for wastage etc.

Now let’s get to the breakdown of profit, net profit!
Instead of adding costs like labor, rent, electricity etc to our Krich Krich box, which is quite complicated, complex thing to do, we did a simple thing.

We set to calculate profit, details are as follow:
Market Segment
Selling Price
Profit
Details
Wholesale
84 rupees
20.56 rupees
As each carton box cost us 1015 rupees therefore a single Krich Krich box will cost us 1015/16 = 63.4375 rupees and if we sell it for  84 rupees to wholesale, we will earn 20.56 rupees in profit.
Retail
95-100 rupees
31.56 to 36.56 rupees
As each carton box cost us 1015 rupees therefore a single Krich Krich box will cost us 1015/16 = 63.4375 rupees and if we sell it for  95 to 100 rupees to wholesale, we will earn 31.56 to 36.56 rupees in profit.

After launching business successfully, it took almost a month for sales to really pick up momentum, my friend has been selling on average around 20 cartons a day every day since then, although sales do take a dip in winters as people mostly take nimcos with cold drinks but nonetheless sales are still reasonable.

Profit in selling 20 cartons daily in wholesale is 6580 rupees and it breakdown is as follow:
Item
Profit
Other details
Single carton
328.96 rupees
We get that by multiplying single Krich Krich box profit which is 20.56 rupees into 16, which is total number of Krich Krich boxes contained in a carton.
20 cartons
6579.2 rupees
We get that by multiplying total profit of single carton into 20.

He had hired 3 labor guys to do all the packing, he is paying them 7000 rupees a month in salary, while he himself manages all the accounts, supplies, recovery etc.

His electricity bill, he told me is around 3000 rupees plus 8000 in fuel per month, there is no rent on him, so his total monthly expenses is around 32000 rupees.

That means, since he is earning 6580 rupees daily in net profit, assuming that he works for 24 days only, that means he makes 157920 rupees in profit, now if we subtract 32000 monthly expenses, his monthly net income from this business is 125920 rupees!

In Dubai he was making double of that a month but apna mulk apna karobar toh apna hota he, so he says that his monthly net income from this business here in Pakistan is way better than what he had been earning in Dubai and I couldn’t agree more!

Supplying Vehicle & Target Market

This part of your business will require some serious investment; you may need to buy a second, good condition carry daba, to make supplies.

It’s easy, you can pack couple of days a week, packing machine can pack huge quantity, so couple of days of packing in a week and then selling that stuff for rest of the week or next two weeks in the target market, is what you may need to do.

Talking about target market, you will need to devise a daily sales route plan, that you will need to follow, for instance on Monday you target area one, on Tuesday you target area two so on and so forth, that’s how you can easily make sales for at least four-five days a week while packing for rest of the days.

It is likely that you may face competition, so you may need to offer a bit of discount, bonus etc.
You may also need to do a bit of debt with each and every dealer, that means keeping around 50 thousand to 1 lakh rupees in the market.

Raw material


You may need some money to purchase raw material like packaging material, nimco etc although you will have sufficient packaging material in the early days of your business but if it takes successful flight like how it did in case of my friend business, you will then need more investment to make more packaging material (sachets rolls, boxes, cartons etc).

Coming to nimco, I believe you should just keep just one hundred kilo in the early days of your business, make sure you keep it wrapped up in some plastic, so that moisture etc doesn’t harm it.

That’s it, if you want like more detailed article on how to manage each and every aspect of your business/startup efficiently and effectively then check out this article New to business: How to manage any business successfully! 

In that article I have thoroughly covered each and every key aspect of any business, it’s a bit long though, but it totally worth it, so do give it a read!

While if you looking on how to improve your business bottom line by beating competition, check out these practical articles, How to compete in business (Strategy 1), (Strategy2), (Strategy 3).

And if you are looking for one fit all, simple yet effective marketing plan for any type of small business then check out this article: Marketing Plan for Any Type of Small Business!


Finally if you are looking for some more similar practical product ideas, check out this article: New Product Development Process with 3 Practical Examples!

I guess that’s it, don’t forget to subscribe, to receive more similar, practical, no bs home based small business ideas, practical tips, insights!

And yeah don’t forget to share this article link with your Facebook, twitter friends, colleagues, that’s the least I hope from you guys!

Over to you guys!


About Publisher Arshad Amin

Certified SEO Professional, Small Business, Start-up, Marketing Expert with ton's of practical, actionable ideas, insights to share, Proud Founder and Owner of www.easymarketinga2z.com and www.topexpertsa2z.com

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