If you are interested in knowing more about the paint industry to start your own business in it. Here in this article, we are going to talk about Berger paints dealership which is an Indian-based paint company in India.
So you know Berger paints have almost 15% share in the Indian paint industry. And Asian paints remain in the top position with a 40% share in the market. There is tough competition for the second spot between Berger and Nerolac paints. Berger paints have its headquarters in Kolkata with 16 manufacturing units in India, 2 in Nepal, and 1 each in Poland and Russia.
Some of the manufacturing units are located in Howrah, Rishra, Naltoli, Goa, Devla, Puducherry, Jammu, Jejuri, and Uzagamnagar. Do you know they have an employee strength of about 3500 and a network of about 25,000+ dealers?
The company produces a wide range of paint products, it all started as Hadfield’s limited with one factory in Howrah. After it was acquired by British paints it became British paints limited. In 1983 the name of the company was changed to Berger paints India limited.
What is Berger Paints Dealership?
Berger paints introduce new products and spreads his network and dealers. It is one of the 2nd largest companies in India. It has a new production of paint and makes different varieties of paint. So if you want to start a business point then Berger paints dealership is for you.
It operates on 3 business models namely direct dealership, distributorship, and sub-dealership. In sub-dealership, you need to purchase the color mixing machine from the company and inventory you can purchase from any big Berger paints dealer in your region.
While in distributorship the company gives the distribution rights to some guy and he purchases the product in bulk and supplies it to the local area. This model is available only in a few remote areas where the company cannot supply its goods.
In direct dealerships, the dealer deals directly with the company, and the company supplies the material. And so they offer different schemes and bonuses to the dealer.
Requirements For Berger Paints Dealership:
Here are the requirements for the Berger paints dealership down below.
A good amount of space is required inside because an office has to be built inside of it. The minimum space required is about 600 – 800 sq. ft. However, if you are planning to sell other materials together with paint. Then you may require more space
Shop Space: 150-200 sq ft.
Godown: 450-600 sq ft.
- The applicants should be free from any criminal cases.
- Should Know about the Paint Business.
- Applicants should complete the age of 21 years.
- Applicant qualification should be 10th.
Shop agreement / Sale deed
Outlet Trade license
There are a few important documents required to start this franchise. There are
- Shop and Establishment Registration from Local Government
- Trade Licence from the local municipality
- Business Registration – Sole proprietorship/LLP/Pvt Ltd
- GST Certificate
- Authorization certificate from Berger paints
- Shop Agreements/Documents
- Previous six months’ bank statement.
- ID Proof: Aadhaar Card, PAN Card, Voter Card
- Address Proof: Electricity Bill/Ration Card
- Qualification Certificate
- Photograph, Email Id, Mobile Number
- Current A/C and cancel Cheque
At Least 1 – 2 workers are required to start this franchise.
You need to have an investment of about INR 10 – 15 lakhs to start this franchise. Moreover, it depends upon how much you want to scale your business.
Initial Stock Purchase 2.5 lakh to 3.5 lakhs
Colour mixing machine 70,000 to 85,000 rupees ( includes mixing machine, gyro shaker, and a UPS )
Shop Interior – 1 lakh to 1.5 lakh ( racks, furniture, interior, signage, etc. )
Computer system & printer 50,000 rupees
Miscellaneous – 20,000 rupees
Shop security deposit and 1st-month rent – Approximately 1 lakh rupees
Berger Paints Profit Margin:
Your profit margin depends upon how much you want to have total sales you have made. If you are eligible to make enough sales, then you can use bonus schemes. The schemes usually start after 6 – 12 months from the date you start your dealership. If you succeed in meeting these targets then you can expect good profits.
You can expect a profit margin of approximately 10% to 15% on Berger paints dealerships. These schemes include Cash discounts and RTBT discounts. The discount ranges from 3.5 to 5 % depending upon the market.
These schemes will be available only 5 months after your shop opens.
How to get a Berger Paints Dealership?
To get Berger paints dealership first you need to contact your area sales manager. You can get their phone number by calling their customer care toll-free. Berger paints customer care no. 1800 103 6030
The sales manager will get in touch with you. He may ask you about your shop location and your financial background.
The main fact you should remember is that the Berger paints shop should not be located within a 2 – 3 km radius. So that there should be enough footfall in your shop location.
You can visit Berger paints official website and click the contact us option. You can also contact them directly by calling their toll-free number 1800 103 6030.
Also, you can also visit them at their Kolkata Head office
Berger House, 129 Park Street, Kolkata 700017
Make sure there aren’t any Berger paints shop nearby, then the chances of you getting the dealership is very less. It is one of the most profitable businesses to start in the paint industry.
So far we have shared with you each requirement and details about this Berger paints dealership in this article. So share your thoughts after you have applied in the form. They will contact you with new franchises and opportunities.
I hope this guide to ‘Berger paints dealership’ will help you get started. If you have any additional suggestions, feel free to mention them in the comments section below.