How to Start a Notebook Manufacturing Company?

. 7 min read
How to Start a Notebook Manufacturing Company?

With a total student population of 31.5 crores and counting, India is a huge market for notebooks and textbooks. The demand for Indian stationery is at its peak currently because of the ever-increasing student population and continuous development of new colleges and schools. Though the competition in this business is really high, the fragmentation of this industry allows newcomers to enter.

A book manufacturing business produces both office stationery and student stationery. A notebook manufacturing business is a part of the book manufacturing business, which specifically targets the student population. This business has a very high potential for growth in the Indian market.

Why Should You Start a Notebook Manufacturing Business?

The following are the important reasons for considering starting a note book manufacturing company, especially in India:

  • A continuously improving literacy rate compared to previous years.
  • Increasing numbers of students are getting access to educational facilities through different government schemes and community awareness.
  • The standard of living in India has increased as compared to previous years, so students demand the best stationery for studying.
  • People have started realising the importance of education, so they have now started spending more on education.
  • India has a total student population of around 31.5 crores who always need stationery for educational purposes.
  • Continuous development of new colleges and schools means more demand for stationery.

Though the notebook manufacturing business is a high-growth business, there are multiple licenses and permissions required to start this business, specific manufacturing machines that are needed to print notebooks, and a specific process that has to be followed to run a note book manufacturing company.  This article will provide you with all the necessary details on 'how to start a notebook business'.

How to Start A Notebook Manufacturing Business?

Starting a notebook manufacturing business requires preliminary research, certain approvals from the government, and specific machines to produce good-quality paper. The following are the steps that must be followed to start a note book manufacturing company:

  • Preliminary research: It is nearly impossible to start a business without conducting proper preliminary research. Good preliminary research helps the business understand its strengths, weaknesses, opportunities, and threats. For a book manufacturing business, preliminary research should include a list of educational buildings around the manufacturing unit, demand for notebooks in the locality by approaching local stationery shops, the spending power of individuals in the locality, and the highest-selling notebook concerning the number of pages. This research will help you plan for the future of your manufacturing business.
  • Outer and inner cover: Once the preliminary research is completed, start finding creative themes and content for outer and back covers as students prefer buying notebooks with creative and funny content on outer covers. The inner side of the outer cover can be used to promote local businesses like restaurants, education centres, etc., in exchange for revenue.
  • Finalise the brand name, other details: The next step is to finalise the brand name, logo and the design of the notebooks. Also, finalise the paper to be used keeping in mind the quality and cost of paper used by other notebooks manufacturing companies.
  • Approvals and licenses required: There are certain approvals, permissions, and licenses that vary from state to state, but the general approvals required for starting a notebook manufacturing business are GST registration, trademark registration, an NOC from the state’s pollution control board, trade license from the government, tax registration, etc.
  • Machines required for notebook manufacturing: The type of machines depends upon the quality of notebooks to be manufactured. The basic machines that are required for notebook manufacturing are disc ruling machines to rule both the sides of the paper, a paper cutting machine to fasten the paper cutting process, book stitching and pressing machines, machines for the perforation process, manual paper press, and edge trimming machines to smoothen the edges of the paper.
  • Other steps: Other than the above-mentioned steps, there are steps that depend upon the scale and size of the manufacturing unit like the hiring of employees, distribution channels, and promotion activities.

Now that we know the procedure of how to start a notebook business, let us discuss other important details related to the notebook manufacturing business, such as the raw materials required, strategies for selling, etc.

Raw Materials Required for A Notebook Manufacturing Business

Following are the raw materials required for manufacturing notebooks:

  • High-quality white paper sheets
  • Cover sheet and cover pages
  • Ink for printing purposes
  • Industrial gum
  • Stitching and binding material
  • Boxes to transport notebooks

Strategies for Selling Notebooks

Promotion strategies are important for the growth of any business, and the notebook manufacturing business is no exception. Following are the promotion techniques that should be used by a notebook manufacturing company to sell notebooks:

  • Personal selling: Notebook manufacturing businesses who are new in the market should opt for this promotion technique where they should directly sell to distributors, wholesalers, retailers, etc.
  • Sales promotion: It is a promotional technique in which sales staff is hired to sell notebooks, and special offers are offered to customers to make purchases.
  • Advertisements: It is an expensive but highly effective promotion technique as it offers a mass reach for a company’s messages.

These are the basic steps to start a notebook manufacturing business. There may be more approvals and permissions required depending upon the state government and size of the manufacturing unit. It is preferable to thoroughly conduct preliminary research related to licenses before starting a notebook manufacturing company to protect yourself from any legal pitfalls. Try building long-term relationships with educational institutions, colleges, schools, etc., to get regular notebook orders.

Here are some frequently asked questions (FAQs) to answer queries related to the manufacturing of notebooks, the minimum capital investment required to start a notebook manufacturing business, etc.

Also Read:

1) How to Start a Small Restro-Cafe?
2) How to Become a Wholesale Distributor of Jewellery?
3) How to Sell a Product in a Highly Competitive Market?
4) OkCredit: All you need to know about OkCredit & how it works.

Stay updated with new business ideas & business tips with OkCredit blogs in English, Hindi, Malayalam, Marathi & more!
Download OkCredit now & get rid of your bookkeeping hassles.
OkCredit is 100% Made in India.

FAQs

Q. What is the minimum amount of capital investment required to start a small notebook manufacturing business in India?

Ans. Starting a notebook manufacturing business does not require high capital unless India-wide distribution is expected. A small notebook manufacturing business requires a capital investment of around 10 to 20 lakhs. This amount goes up depending upon the size of the manufacturing unit, and the distribution channels opted for.

Q. What is the manufacturing process for notebooks?

Ans. The manufacturing process of notebooks is straightforward. With the help of machines, the process has become more effective and faster.

  • Use a ruling machine to print rules on the white paper used in notebooks.
  • Fold the rules paper to the necessary size and make an orderly arrangement of the papers.
  • Start the process of perforating the paper.
  • Bind the set of papers with a creative cover page, inner page and labels.
  • Uniformly cut the paper to the required size and pack them in boxes for distribution.

Q. What is the average financial performance of a notebook manufacturing company?

Ans. A notebook manufacturing company set up in a good locality with an investment of around 20 lakhs can easily earn around 60 lakhs per year. Keeping in mind the average expenditure incurred by a notebook manufacturing business, this business can easily earn a profit of around 15 lakhs a year.

Q. What are the different types of books produced by a book manufacturing business?

Ans. There are various types of books that are produced by book manufacturing businesses. A diversified syllabus for students requires different types of books. Some of the most popular books produced by book manufacturing companies are:

  • Notebooks
  • Diagram books
  • Text books
  • Graph books
  • Scrap books
  • Note pads
  • Drawing books
  • Science laboratory books
  • Exercise books
  • Reference books
  • Workbooks, etc.

Q. How much time does it take to set up a notebook manufacturing business?

Ans. Notebook manufacturing business can be in operation within 6 months from the time of conceptualisation of the business plan. You can start the unit within 3 months of loan disbursement by banks. All government formalities, NOCs, and registration require around 2 months for completion.