The nut and bolt manufacturing business has gained popularity due to the rapid Industrialization and introduction of the Capital Intensive Techniques in the Industries that are used as the Industrial fasteners to connect various machines and structures.
The nut is used as a fastener consisting of a threaded hole used in concomitance with the mating bolt to fasten together multiple parts. While a bolt is described as a threaded fastener that consists of an external male threads that needs a female thread like a nut. Both nut and bolt when used in concomitance, place two objects together and in use. Nut and bolt are complementary to each other having different uses but they are used together in manufacturing the finished products, manufacturing of furniture, and are essential for making the final products that can be used for consumption.
The Nut and bolt making business is a highly shivering industry in the Global market consisting of huge players like the USA, China, Germany, India, and Japan that are contributing greatly to the production and marketing of the nut and bolt making business. With the expansion of the nut and bolt making business globally, the nut and bolt market is expected to rise by $7706 Billion by the year 2023.
With the evolution of the automobile industry, the demand for the nut and bolt is also expected to rise at a rapid rate by the Developed economies. Not only the Automobile Industry, the manufacturing, and construction business has emerged as a huge market base for the demand of the nut and bolt all across the world. India, on the other hand, is geared up to take advantage of this booming opportunity by expanding and encouraging the nut and bolt Making Business in India.
The rapid growth of the global industrial manufacturing industries has caused a rising demand for fasteners in both automotive and construction businesses, which has led to the expansion of the nut and bolt manufacturing business across the world. India has established various fastener manufacturing units manufacturing various range and varieties of the fasteners. With the introduction of the globalized policies by the Indian government, the Indian nut and bolt manufacturers can reach a global market easily while it has also attracted the global market to enter into the Indian markets. The nut and bolt business in India is expected to rise to about INR 460 Billion by 2023. The significant growth of the automobile industry in India has been contributing to the automobile specific nut and bolt making business.
The mounting demands of the automobiles and the construction industries are expected to expand the global nut and bolt making business by 5.5 percent by the year 2026. The versatile nature of the nuts and bolts almost used in every industry including domestic use has fueled the growth of the nut and bolt making business in India. Asia alone is expected to give a major boom to the nut and bolt businesses in the coming 4-5 years adding up about $7.5 Billion to the fastener manufacturing industry.
The growth of the nut and bolt making business is dependent on many other industries like the electrical industry, transportation industries, construction industries, etc. Therefore, the growth of other industries will have a positive impact on the growth of the nut and bolt manufacturing business. Many Indian nut and bolt manufacturers have managed to influence and put their mark on the global platform due to the high market potential of the nut and bolt making business.
Following are the license that a person needs to acquire before starting his Nut and Bolt Manufacturing Business in India-
1- He must acquire a Trade License from the Local Municipal Authorities.
2- He must obtain a Factory License.
3- He must register the nut and bolt making business with the MSME or SSI to obtain the Government subsidies.
4- He must obtain a Pollution Control Certificate.
5- GST Registration is a must. Therefore, the GST number must be acquired by him.
If any person intends to start a nut and bolt manufacturing business in India, he must register his firm in case of a small and medium partnership or proprietorship.
For establishing an operation in partnership, such nut and bolt manufacturing business must be registered with the Registrar of Companies (ROC) as a Limited Liability Partnership (LLP) or a Private Limited Company.
If you want to start a nut and bolt manufacturing business, you must select a suitable location and area to ensure the easy accessibility of the raw materials and market availability. One has to make sure that the area or the location you choose, must possess the essential facilities including a drainage system, adequate water supply, and electricity availability. A person willing to start a Nut and Bolt Manufacturing Business must also make sure that he selects an Industrial area; it must not be a residential area. A minimum requirement for setting up this business is about 1000 square feet area.
The raw materials that are required for starting a nut and bolt manufacturing business are given below-
Following are the types of machinery that are required to establish a Nut and Bolt Manufacturing Business-
The nut and bolt business requires the manpower together with the proper training of the machine usage, how to handle the equipment, and training how to handle them with proper care and precautions.
Following are the manpower that is required to start a nut and bolt manufacturing business-
Before establishing your nut and bolt manufacturing business, the person must keep the following variants in mind and make a business plan for the growth and expansion of his Business-
Before starting a nut and bolt manufacturing business, a person must make sure that he arranges a Fixed Capital Investment of Rupees 20 lakh and a Working Capital Investment of Rupees 5 Lakh. The Investment required for starting a business can also be availed by the banks through loans or our Organization Aatmnirbhar Sena.
The Aatmnirbhar Sena is also providing financial assistance to the budding and young entrepreneurs who are willing to establish their nut and bolt manufacturing business and helping the Indian Government in making India Self-reliant.
The net profit that can be obtained from starting the nut and bolt making business is about Rupees 7 lakh per year while the investment return on the business is more than 21 percent.
One of the major reasons for the expansion of this form of Business is the versatile nature of the nuts and bolts as they are the intermediary products that to a greater extent ensure their applications in almost every industry in India.
Following steps are involved in the nut and bolt manufacturing business-
Step 1- The Cold Heading
Step 2- The Thread Rolling
Step 3- Packaging of Nuts and Bolts
The consumer market base for starting a nut and bolt manufacturing business in India is affected by the Capital Intensive technique that is widespread all over the Indian market.
The customers to be targeted by the nut and bolt making business are as following-
The nut and bolt manufacturing business is a huge market and according to the CAGR global report, the nuts and bolt industry is expected to witness a growth rate of 6.5 percent since the year 2018. While the nut and bolt making business of India have expanded at a CAGR rate of 9.6 percent from the year 2018 adding a value of Rupees 460 Billion to the Nut and Bolt market by the year 2023. The increased demand for the nuts and bolt in India has made the country to be technologically independent and self-reliant and fulfilling the vision of our Prime Minister Shri Narendra Modi.
The Indian Government’s ‘’Make in India’’ and ‘’Vocal for Local’’ initiatives have also positively affected the growth and expansion of the nut and bolt making business in India. Owing to the ‘’Make in India’’ initiative of the government, a wide range of nuts and bolts are now manufactured in India providing a wide market base for the exhaust bolts, socket head caps, weld nuts, square nuts, hexagon nuts, and many others.
These Governmental Initiatives have been successful in encouraging and motivating all the MSME’s and businessmen to set up their own business. This in turn will help in the economic development of the nation as these initiatives are helping to absorb the unemployed young minds and diverting their capabilities in the right direction thus, creating Sustainable growth and removing poverty in India. Since the nut and bolt manufacturing business involves a low investment with higher turnover thus, it is an opportunity for the young and aspiring businessmen to dive into this business and create a mark and fulfill their dreams.
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