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Commodity Chemicals Wholesale Company Seeking Loan in Vijayawada, India

Profitable chloroalkali trading business in Vijayawada with a proven growth record, seeks funding for expansion.

Established 1-5 year(s)
Employees 5 - 10
Legal Entity Private Limited Company
Reported Sales USD 490 thousand
Run Rate Sales USD 490 thousand
EBITDA Margin 0 - 10 %
Industries Commodity Chemicals Wholesale
Locations  Vijayawada
Local Time 9:59 PM Asia / Kolkata
Listed By Management Member
Status Moderately Active
Overall Rating
Seeking Loan
USD 550 thousand for 12.0% annual interest, 4 years (Native Currency: INR 50,000,000)
Reason: The loan is being sought for business expansion. Upon securing a ₹5 crore loan, the business antici... View More
Collateral Available: USD 0
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Business Overview
- We are a private limited company based in Vijayawada, specializing in the trading of chloro alkali products for the chemical industry.
- The company has carved a niche in the market, offering a range of over 15 chemicals, including caustic soda lye and caustic soda flakes, essential for various industrial applications.
- Established two years ago, company has demonstrated remarkable growth, with a turnover increasing from ₹55 lakhs in the first year to ₹4.5 crores in the second year.
- Operating with a total capital of ₹40 lakhs and no outstanding loans, the company maintains a healthy EBITDA margin of 10-12% on sales, ensuring financial stability.
- Company services a diverse customer base, which includes over 60 buyers, with notable clients such as Lakshmi Organic Industries.
- In terms of payment terms, the company requires advance payments from its top 10-12 suppliers, while offering 30 to 45 days credit lines to its customers.
- Currently, company is seeking an investment of ₹5 crores in working capital, offering potential investors a lucrative return of up to 12% interest per year and a 20% profit share.
- The company employs two full-time staff members and has three shareholders. As the business operates on a trading model, it does not require a larger workforce.
Products & Services Overview
Chloro alkali products including caustic soda lye and caustic soda flakes for chemical industry customers, used in various industrial applications.
Assets Overview
Intangible assets:
- Debtors worth INR 1.5cr.
- Incorporation certificate.
- GST certificate.
- Methanol trading certificate.
There are no tangible assets.
Facilities Overview
The business operates remotely from one of the director’s residences. The registered office is located in Vijayawada, for which a monthly rent of INR 7,000 is paid.
Capitalization Overview
The business is currently funded with a capital investment of ₹43 lakhs and has no outstanding loans or debts. The company has 2 directors and three shareholders with ownership split at 50%, 25%, and 25%
Recent Activity
  • Earlier than 15 days
    Independent Advisors, New Delhi, Financial Consultant connected with the Business
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Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
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