Needlecraft Business Specifics and Achieving SSI Registration
The Global Textile Industry had seen a rapid growth in business especially due to the increase in Stitching Business ventures. This in turn is helping the wholesalers as the supply level has augmented. It is seen that the production cost in many Asian countries like India, China, Cambodia etc.are much lower, thus accelerating the Stitching Business to a peak.
This is an era where becoming an entrepreneur by being self-employed and starting one's own business and being your own boss is the vogue. To have a successful Stitching business up and running fundamental understanding of Designing, Cutting and Tailoring is required. The exposure to the trends in market along with stitching them will be an add-on. Above all, learning how to price them and also most importantly getting an SSI Registration done for the business is important.
Let us review the important areas to focus on before starting a Stitching Business in India.
Crafting a Business Plan, Business Place and Tailoring Essentials
Creating a Business plan to start Stitching Business in India requires one to list out the following details
- Name of the Stitching Business
- Place Chosen to start the Business
- Primary cost involved initiating the Business
- Loan financing required
- Hiring Employees
- Preparing Market Analysis
- Achieve SSI Registration for the Business
Stitching and Tailoring can also be home based but to open a Boutique, it needs to be in a prime spot in a market or a place with heavy crowd moving around. Good space to fit 2-3 machines and to work at ease is all that is required. Basic 4 types of machines are required to start the business at a good level. They are
- Sewing Machine
- Pico Machine
- Interlock Machine
- Embroidery Machine
The other accessories needed are Inch Tape, Scissors, Babymere, Press, Needles and Threads, Tailoring Chalk.
Financial Characteristics of Stitching Business in India
To begin work a non-pedestrian sewing machine is a good enough choice, which wouldn’t cost anything more than a few thousands, but in a bigger level, it doesn’t stop with just buying machine and accessories. The cost of the shop chosen also will need to be included. A rough estimate of Rs. 5 Lakhs will be required to start at a large level in a market area.
In this business, expansion and income is directly proportional to the number of customers who visit the store. Income by opening a grand fancy Boutique will be a good option so as to increase the number of customers arriving at the shop.
Taking a Loan from a bank for primary investment is a good opportunity to go ahead without much hassle. Rental agreement, Power of Attorney if any and SSI Registration certificate are the most important documents to be submitted along with Address and ID proof of the Business owner. Certain banks also call in for education certificate for verification purpose. Maximum loan limit for a stitching business is Rs. 25 Lakhs.
Role of SSI Registration for Business in India
A home based business does not require a Business Registration but if it’s a Stitching Boutique then it is important to acquire a SSI Registration registering the company as a MSME enterprise or as a Startup. A SSI registration is obtained from the Ministry of Micro, Small and Medium Enterprise. Once achieved, the business becomes eligible for many schemes and subsidies launched by the Government aiding all small businesses. Directorate of Industries approved SSI Registration helps maintain data and provide enticements and support services to the company. Every state follows a set of standardized registration process as per MSME guidelines. Find out more about SSI Registration.
Every business enterprise whether in the field of manufacturing like tailoring and stitching or services has the eligibility to obtain the SSI Registration. Below are the eligibility criteria for manufacturing units below the mentioned financial level.
- Micro Enterprises: Investment of Rs.25 lakhs
- Small Enterprises: Investment of Rs.5 crores
- Medium Enterprises: Investment of Rs.10 crores
SSI Registration helps provide these subsequent benefits to small-scale business in India. Benefits such as bank loan interest rate reduction, excise exemption scheme, reservations due statutory support, etc.are a few to mention. Permanent SSI Registration has additional incentives such as Income-Tax exemption and Sales Tax exemption as per State Government Policy, Encouragements and concessions in electricity tariff as per State Government Policy, Cost and acquisition preference for goods manufactured and raw material availability depending on existing policy.
Stitching Business in India is one of the most beneficial and rewarding businesses. With the exponential increase in Fashion and style, demand for Stitching services is also growing. With the correct plan and marketing approach the business can become a huge success.