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Dairy Products Business Seeking Loan in Theni Allinagaram, India

Dairy-products manufacturer with 2.25 lakh liters daily capacity seeking business loan to launch own brand.
This Business is on a Premium Plan
Established 5-10 year(s)
Employees 100 - 500
Legal Entity Sole Proprietorship/Sole Trader
Reported Sales USD 14.3 million
Run Rate Sales USD 28 million
EBITDA Margin 4 %
Industries Dairy Products
Locations  Theni Allinagaram
Local Time 2:13 AM Asia / Kolkata
Listed By Business Owner / Director
Status Moderately Active
Overall Rating
Seeking Loan
USD 1.75 million for 12.0% annual interest, 15 years (Native Currency: INR 150,000,000)
Reason: We are seeking this funding to launch our own brand and sell products such as pouch milk, butter pan... View More
Collateral Available: USD 730 thousand
Includes physical assets worth USD 2.34 million
Interested to connect with advisors
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Business Overview
- The business is a dairy products manufacturer based out of Andippatti, Tamil Nadu.
- Business was started by the promoter's father 35 years ago with a collection capacity of 2,000 liters per day and now the promoter registered the company 7 years ago and has increased the production collection to 2.25 lakh liters per day.
- The company directly collects the milk from the farmers through its 42 collection centers located across 4 districts.
- We sell our products to 19 wholesalers across Kerala, Tamil Nadu, and Andhra Pradesh.
- We want to start our own brand and sell our products as the profit per liter in wholesaling is INR 4 per liter however when we sell through our own brand we can make over INR 35 to 40.
- We can start the brand immediately after receiving the funding as the product design is already ready.
- The loan repayment can start a month after receiving the funds.
- We have seen an increase in sales as we have doubled the milk collection centers from 20 to 42 and we also have 10 local traders who supply milk to us.
- The company is registered with an FSSAI license and a pollution license.
Products & Services Overview
The business's top-selling products include:
- Milk.
- Dairy byproducts such as butter and ghee.
We sell our products to wholesalers.
Assets Overview
Tangible assets: plant machinery and equipment worth INR 7 crore, land and the factory worth INR 13 crore.
The above-mentioned assets are crucial for our day-to-day operations which is why we cannot liquidate these assets and need external funding.
Intangible assets: loans and advances given to farmers of amount INR 15 Crore.
The promoter is willing to provide land that he owns as collateral.
Facilities Overview
We operate from our own office and manufacturing plant all built on 2 acres of land in Andipatti, Theni District, Tamil Nadu.
The plant has a built-up area of 10,000 sq ft.
Capitalization Overview
The business has an OD available for INR 7.2 crore in Bank of India. The company is a sole proprietorship.
Recent Activity
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1 Investor contacted this Business this month. Register below to connect now!
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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