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School of Management

Jamia Hamdard, Delhi

Business Plan
Handmade Soap Bar
Nature’s Lap

Submitted By: Submitted to:


Nida Zehra Zaidi Dr.Nudratmoini
MBA- 2nd Semester Rahman
Table of Content

1) Executive Summary…………………………………1-2
2) Industry Analysis……………………………………2-3
3) Market Analysis…………………………………….3-6
4) Marketing Plan……………………………………..6-8
5) Management and company structure……………….8
6) Operation Plan……………………………………...8-
10
7) Product Design and development………………….10-
11
8) Financing………………………………………….11-13
Business Plan
Homemade soaps bars
Name: Nature’s lap
1) Executive Summary
Business Type : Sole Proprietorship Online Firm
Coverage : PAN India
Location : Meerut, Uttar Pradesh, India
Key Objectives:
 To provide the natural skin care products without harsh
chemicals
 To nourish the texture and hydrate the skin
 Solution to all skin problems
 Transparency of ingredients for customer’s satisfaction
 Making the product available at best price targeting the
medium income groups as well as
 Targeting the Higher income group through product’s
100 % natural ingredients
 Simple method of production
 Local women empowerment
 Medium of advertisement through public influencers and
social media marketing
 Simple and classy packaging for giving our customer a
lavish touch
 Key Ingredients : Glycerin, Neem, Aloe Vera, Rose,
Hibiscus, Powdered milk, Coffee and Green tea, Leamon
grass, fenugreek seeds, Olive oil, Vitamin C and E

Mission: To give our customer’s skin care into nature’s


lap and let them feel the love of Ayurveda.

2) Industry Analysis
Handmade soaps and shampoos are generally made from
plant-based ingredients like natural oils & pure herbs of
different flavors. They are produced by using traditional
methods in small batches. Handmade soaps and shampoos
contain glycerin which softens and moisturize the skin and
hair. These soaps are organic in nature and free of chemical
additives such as parabens, SLS, and other petrochemicals
products.
Soap Industry
The global soap market size was USD 34.09 billion in 2019
and is projected to reach USD 55.29 billion by 2027,
exhibiting a CAGR of 5.0% during the forecast period.
Bathing bars with attractive colours and fragrance are gaining
more popularity these days by the end users
2.1) Scope of Handmade Soap in India:
Soaps come under the category of ‘Organic and natural
products’, that is only if you manufacture a soap without any
added chemicals and in a natural way.
Over the years, people have realized the importance of using
natural and homemade products that are beneficial for their
health and skin. Hence, Organic or natural, homemade soaps
already has a huge market to be explored, especially in India.
3) Marketing Analysis of Soap Making Business
The soap making industry is highly lucrative and competitive
at the same time. With the industry stable and growing,
growth rates of over 4% have been witnessed since 1998. The
soap making industry is quite fragmented and in the past, big
brands commanded a huge market share. However, this has
changed a lot with the entry of small soap making businesses.
Given the fact soap is practically used everywhere, the
demand keeps increasing. In this soap making business plan,
the business has identified the opportunities it can tap into to
generate revenue.
3.1) Market Segment
In order to effectively meet the market needs, Nature’s lap
plans to sell different types of soap products catering to
different need of customers for instace
The Nature’s lap bar comes under different varients:
1. Hydrating bar
2. De-tan bar
3. Anti-pollution Bar
4. Anti-acne and scars Bar
5. Anti-pigmentation Bar

3.2) Targeted Market


1) Households
Households constitute a large percentage of customers the
business plans to reach out to. With the changing time people
are becoming more aware about the harmful effect of
chemicals being used in bars offered by big companies like
P&G, ITC, HUL etc. The demand of botanically produced
bars is gaining a pace.
The nature’s lap gives the customer complete genuine
ingredients list used in the production of our bars.
2) Retailers: Retailers deal with most of the FMCG
products. Their stores have most of the products that
belong to the category of FMCG. Soaps being one of
them can become beneficial for you to approach them. 
3) C. Supermarkets: With such a huge variety of products
that are displayed in supermarket, they have stocks of
many soaps from different brands and different types,
getting in business with them can grant you good
orders.  
4) D. Online Retail Stores: When we talk about Online
stores, the best way to profit through them is to display
your product at a very competitive rate that would be
lower than your competition. 
5) F. Hotels: Hotels are in frequent need of soaps for their
guests that stay there. Once you make a tie-up with a
hotel, you are sure to get orders in bulk for a lifetime,
however, the quality of your product will also matter.  

3.3) Product Pricing


In order for Nature’s lap to penetrate the market, the business
has adopted a low cost strategy to make its place in the market
and to stand against the brands like Mama & co, Mamaearth,
Good vibes, Khadi etc. This soap making business
plan outline also recommends offering discounted prices on
products especially when the business has just began
operating.
In order to kick start, a small sample will also be provided to
the local residents at no cost.

3.4) Competitive Analysis


When starting a soap making business, there is need to
analyze the market in order to come up with an idea model
that will sustain business operations. There are numerous soap
making businesses in India serving the customers with organic
bars some of them are
 MamaEarth
 Mama & co
 Veda
 Good vibes
 Khaadi
 Alps Goodness
 Biotique
USP of Nature’s lap that could give it a advantage is 100%
ingredients revelation and in addition the product does what it
claims.
4) Marketing Plan
4.1) For marketing and selling the Nature’s Lap will
collaborate with nyka and purple for selling the product and
making the customer aware across the country.

4.2) The brand will also use amazon platform to sell and
market the product
4.3) Instagram will be used to reach the create an elite client
base, vigorous marketing will take place on instagram.
4.4) Free samples to instagram influencers for having their
reviews and testimonial of the brand

5) Management team and company structure:


As the business is sole proprietor the management would not
be so complex the hierarchy will be as shown below:

owner

Instructor

Labour Labour Labour


5) Operation plan:
5.1)License Required for Soap Making Business 
o SSI Registration 
o FDA Approval
o Government Clearances 
o Weight and Measurement Board 
o Current Bank Account 
o Trade Mark 
o GST Registration 
o Trade License 
o Drug Control Board 
o NOC from Pollution Control Board 

5.2) Obtaining Raw material 


 Just like any other business, you’d require some raw
materials, that would act as a base for your product quality.
The following are the various types of raw materials that are
required for the Soap Making business. 
 Olive Oil 
 Castor Oil 
  Fragrances 
  Lye 
 Packaging Materials 
 Some amount of water 
 cream for cream-based soaps 
 Glycerine for glycerine-based soaps 
 Rose petals for Rose petal- based soaps  

 5.3) Equipment Required 


 Along with raw materials, you would also require various
equipment that would help you to process the Soaps further at
each stage. The Equipment ranges from various start to end
processes. 
o Double Boiler or, 
o  A microwave 
o Soap moulds 
o  Container for pouring soaps 
o Weighing scale 
o Gloves 
o Miscellaneous equipment 
o Eye protection equipment  
o Wrapping sheets 
o Plastic wraps 
o Printer  

5.4) Manpower Required 


 The manufacturing process of soap is simple once you
understand the formula and get used to it. In this case it is not
necessary to have a skilled worker, however, it is better to
have them instead of the ones who are not skilled, for that
may disturb the quality of your soap. 
 The skilled workers that you would require to set up
a small scale-based or a home-based Soap
making business would be around; 2 to 4. 
 In the same manner, the total number of manpower
required for a medium-scale Soap making business
would be; 5 to 7 workers at the most.  
6) Product Design and developments
6.1) product Design:

Soaps that speaks for itself: Nature’s lap design soaps that
outshine the prime ingredients through its shape and colour or
either one.
The Aloe vera soap comes in the shape of a plant’s leaf, with
a key active element at aloe vera and honey
freshness of user alive come in the colour assoiciated with
watermelon and watermelon extract and mint extract as key
active ingredients
Coconut oil is used to create the soap base and then the
additional ingredients are mixed.
6.2) Product Development

Introduction of baby soaps, 4 layer soaps, and crystal soaps to


attract more user.
Crystal soaps Comes with one active ingredients which
decide its colour for instance the charcoal soap comes in black
with crystal texture, green tea bar comes in green and likewise
the others
Three Layer Soap Three colours are used to reflect the 3
different benefit customer can experience on using these bars.
The baby soap The attractive packaging is done to attract the
kid’s attention. Mild ingredients are used in these soap
concerning the safety and health of kid’s skin.

7) Financial Projections
6.1) Fund REquirement
 Thetotal investment that would be required for starting the
Handmade Soap Making Business in India is as follows.
 
CONTENT  AMOUNT 
Small Scale   1 to 3 lakhs 
Medium
5 to 10 lakhs 
Scale  

Particulars Amount
Application form 31 3500
Government and Inspection 5000
fee
Estimated labour Cost P.M 418*4 = 1672
According to labour law
Estimated Raw material cost 50,000
Estimated Fixed cost 2 Lakh

Cost of free sample 10000


distributed
Promotion 15000

6.2) Funding source


Bank loan can be obtained for soap manufacturing from
various banks in India. Since, the amount of investment
required would be less than Rs.1 crore, loan can be obtained
under the CGTMSE scheme without any collateral.

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