Soap manufacturing project feasibility study and the 13 most important steps

Starting a soap making project requires a number of elements to implement it, as the project requires a suitable location that can accommodate all the equipment.

You also need a number of workers trained in soap production, the supplies needed to make the soap, and the boxes in which your soap will be placed in preparation for marketing.

You also need to know the places where you will market your soap production, to know your expected profit. The project is suitable for many categories, as it suits women at home and also young people at the beginning of their careers. It can be a large project by establishing a factory with a production line.

Due to the spread of the coronavirus, soap consumption has increased, making it a more sought-after commodity. To ensure the project's success, we must prepare a sound soap-making feasibility study that provides detailed information on the costs we need to run the project and the project's expected profit margin.

 

Soap industry feasibility study

Conducting a soap industry feasibility study requires a suitable location for soap production. This location varies depending on the size of your project. It could be at home, a small business, or a factory with its own production line and brand. One of the most important requirements for starting a soap project is...

• The necessary business licenses must be obtained to start the project, so that the project owner does not face heavy fines.
• Some countries have a set of rules and standards for cosmetics, including soap, which is used for cleansing and skin care. Therefore, it is necessary to obtain a commercial registration, legal procedures, and a tax and insurance card to access the Chamber of Commerce.
• Determine the brand of your product so that it is distinctive and competitive among existing brands in the market. You should seek the help of designers specialized in this field to achieve a distinctive and technical look.

 

Requirements for a soap making project

Before renting a soap project location, the property must be in an area where the carbon monoxide needed for soap making can be obtained.

1. In addition, the site should facilitate the buying and selling process to facilitate access to customers who deal with you and wholesalers.
2. The manufacturing facility must be at least 100 square metres in area and be suitable for both manufacturing and storage.
3. Raw materials used in manufacturing must be available, such as caustic soda, glycerin, sulfonate, artificial colors, silicates, various aromatic fragrances, alcohol, olive oil, linseed oil, vinegar, and ammonia.
4. Providing packaging containers of different sizes with the product's brand.
5. Determine the distinctive mold that the soap will be made in and the base used in the design, such as shea butter, aloe vera, mango butter, and goat milk, as these are beneficial for the skin. There are other bases, such as essential oils with fruity and floral scents. The ingredients are poured into these bases and they take the shape of the mold with the name designed on it. The soap is then wrapped in a cover with the product information on it.
6. A soap production project requires a small number of workers. It requires 12 workers with experience in the soap industry and known for their good behavior, 4 workers for packaging, one employee for secretarial work, and another for public relations and advertising. The owner is responsible for managing the factory's operations and maintaining its supervision.
7. The manufacturing facility requires a variety of equipment, including an administrative department for management, secretarial work, and public relations, as well as offices, chairs, and air conditioning. A network of cameras is also needed to monitor production. A metal sign is also needed to advertise the factory's name, which should be equipped with lighting. The factory also needs ventilation fans for the safety of workers and to eliminate odors resulting from manufacturing processes.
8. Preparing a storage area to protect soap production from spoilage. The business also needs three computers for the operations manager, the secretary, and public relations. Wooden shelves are also provided to organize the product and help merchants easily see it on display.
9. The factory requires many tools and equipment such as special melting pots, which are used at boiling point.
10. A gas-fired furnace is required for use in pot smelting operations. A pot with a safety valve is required for filling.
11. Providing an adequate number of tables for the packaging workers to use in the packaging process by placing the product on them. A conveyor belt is needed to organize the soap and to organize and sort the soap.
12. It also requires several hand tools, in addition to the presence of protective and safety tools to maintain the health and safety of workers, from any effects resulting from the soap manufacturing process.
13. Calculating the expected cost of manufacturing processes, including raw materials, energy, labor, transportation, etc., and calculating the profit margin.

 

Advertising for the soap making project

Marketing a soap product requires choosing a larger size or making a smaller version, so that it suits all categories, offering periodic promotions, and constantly working to discover new scents and make the product have a better texture to increase demand and compete with other brands.

Creating a website to market your product requires choosing an easy-to-remember name for the page, which will be used to communicate with the public, display offers, and receive calls and requests from the public.

 

Soap industry feasibility study

So we need to prepare a good soap industry feasibility study that identifies a set of factors, which are:

1. The presence of a suitable place that accommodates all the soap-making equipment, and the monthly rental cost is low, and the project location does not require being in a vital location, a suitable location can be chosen.
2. Determine the cost of electrical appliances and equipment needed for soap making, and whether they will be purchased in installments and a monthly amount will be paid from the project's profits or not.
3. Determine the raw materials required for soap making and their cost.
4. The number of workers you will need to perform the tasks within the project, and the monthly salary of these workers.
5. The price and quantity of cartons you will need to pack the soap in.
6. You must determine the cost of all these things, especially those that will need to be deducted monthly from the project's profit.
7. Determine the projected profit and your expected shopping locations, after deducting expenses.
8. It is preferable to determine the locations where you will market your products and determine the purchase price of your project's products, in order to know the value of your expected profit.

At the end of this article on the soap industry feasibility study, we've learned how to conduct a feasibility study to maximize profit from the project. It's best to start the project by purchasing all the necessary supplies, so as not to put pressure on the project owner.