§1What this business is
The KVIC profile plans a small unit with a 50 kg stainless-steel kettle, a jacketed manufacturing tank, a storage tank and hand-operated tube filling and sealing. The cream must soak and soften the beard, form lather, keep well and smell pleasant. Individual users and salons buy it in large quantities.
Capacity: 3,00,000 tubes a year at ₹18 a tube; cost of production ₹52.78 L.
§2Is it right for you?
Who it is for
Someone who can supply salons and barbershops directly and build a local brand.
Who it is not for
Someone without access to a qualified chemist for the cosmetics licence.
Advantages
- Everyday grooming product
- Salons are bulk, repeat buyers
- Simple batch process
- Profile shows a healthy surplus at full capacity
Drawbacks
- Large working capital (₹12.90 L)
- Strong national brands
- Cosmetics licence and testing needed
- Gels and foams are taking share from creams
Skills you need
- Cosmetic formulation
- Tube filling and sealing
- Salon trade sales
- Regulatory paperwork
Why difficulty 3/5: Simple equipment, but licences and brand competition make selling hard.
§3Market
Who buys
- Individual users
- Salons in different locations (the profile notes their large use)
How it sells
- General and cosmetic stores
- Salon-supply distributors
Good to know
- The profile calls shaving cream an essential item with demand in India and abroad.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Equipment set: stainless-steel kettle 50 kg, SS manufacturing tank with jacket, hand-operated tube filling machine, storage tank, tube sealing machine, electrification, office equipment and furniture | 1 set | ₹5.00 lakh (whole set) |
From: KVIC Project Profile — Shaving Cream (PMEGP)
- Cream ingredients (the profile gives only the total)₹43.20 lakh a year
- Labels and packing material (tubes, cartons)₹75,000 a year
§5Licences & registration
- Cosmetics manufacturing licence from the State Drugs Controller
- Udyam registration and GST
- Legal Metrology registration for packed tubes
- Trademark for the brand
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
- Stand-Up IndiaCentralClosed₹10 lakh – ₹1 crore loan
PMEGP and MUDRA fit a ₹17.90 L unit; CGTMSE for a collateral-free loan; Stand-Up India for SC/ST or women founders.
§7Money
How the investment is worked out: KVIC profile ₹17.90 L = equipment ₹5.00 L + working capital ₹12.90 L. Land own; shed rented (no cost shown).
Working capital: Working capital ₹12.90 L; raw material ₹43.20 L a year.
Year not printed on the KVIC profile — check current machinery prices.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
Export council / board: CHEMEXCIL
- Exports must meet the importing country's cosmetic ingredient and labelling rules.
§9Risks — where people fail
- Skin irritation complaints
- Price competition
- Raw-material price rise
- Licence lapses
§1030 / 60 / 90-day plan
A general plan that applies to any business. A plan for this business will be added after research.
- Days 1–30: Visit a working shaving cream unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (Cosmetics manufacturing licence from the State Drugs Controller, Udyam registration and GST), a project report (DPR), and the scheme or loan file.
- Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.
§11Who to connect with
Associations, clusters and training institutes — the directory is being built. Connect
§12Watch
There is no episode on this business yet. Shows are coming soon on the Podcast page.
Want to start Shaving Cream?
DPR, loan file or registration — ask us on WhatsApp.
¶Sources
Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.