Picture Credit: uniwinmachines.com
Investing in a new company is essential in bringing the goods and services close to consumers while also closing the demand gap of such commodities. If you are intends to invest in a nail manufacturing plant in Africa. The following gives a step-by-step guide on the processes involved in setting up a nail-making plant.
1. Company Registration
To set up a nail-making plant in Africa. Firstly, the company needs to look for a suitable legal entity. The legal entity has a significant influence on the company’s growth potential.
Because the improper legal entity may severely restrict a company, picking a legal entity is one of the most significant choices when establishing a new firm. Because the nail plant is set to be established in Africa, already there a wide range of legal entities at disposal.
Given that something wrong could happen with production equipment or workers, choosing the wrong legal entity would be costly. The decision on which legal entity to choose will be based on the characteristics that each legal entity possesses.
Some of the features that may make choosing a company structure simple include liability, simplicity of establishment, taxation structure, ownership, flexibility, and control.
Secondly, the company will seek legal documents necessary to operate the nail-making plant in Africa. When doing business in Africa or any other part of the world, the company must be licensed. In other words, some documents must be kept on hand to avoid legal difficulties with governments.
The management will look for the documents required to set up the nail plant. Having legal documents is also one certain strategy to ensure that the company does not break rules and retains its services.
Lastly, the company will look for the best insurance because many mishaps or breakdowns of equipment may occur during production. As a result, having insurance coverage in place is quite essential. Having insurance will make it much easier to deal with any catastrophe that may occur because the company will be transferring the risk to the insurance provider.
But before making this registration, the company should ensure that it contacts insurance professionals about the best insurance coverage for the nail plant.
The nail making plant also needs to seek trademarks, copyrights, and patents to safeguard its intellectual property. Also, the company will determine the appropriate brand, logo, and slogan. Because customer satisfaction and retention are heavily influenced by after-sales care, providing after-sale services will be essential in creating loyal consumers and raising the value of a brand.
2. Workshop Construction and Site Selection for the Nail Making Plant
In the process of setting up a company, one of the most critical decisions is to a strategic region in Africa to establish the nail-making plant. The location of a company may have a significant influence on the amount of money that the nail-making business will generate.
Thus it must be strategically positioned. There are two choices of acquiring the land or premises of the company as either leasing a facility or building the structures from scratch. If you plan on leasing a facility, the company must be certain that the environment complies with all applicable zoning laws and regulations.
It is also important that the company get the services of a real estate professional to assist in determining the site that would be most suitable for the nail plant.
Another consideration before the construction of the company will be evaluating whether to purchase a franchise or start the nail-making plant from scratch. It is necessary to understand the position of the company. These two selections are critical because they will influence how the nail-making plant will begin and what goals it aims to achieve at certain times.
But, Africa may not have franchise opportunities in the nail manufacturing sector, thus the only choice is to establish its operation from the beginning. It may, however, make things easier for the company by purchasing already established buildings if such opportunities exist since it will quicken the execution of activities.
3. Choose the Right Raw Material Supplier
Choosing the proper suppliers may help the nail-making plant get the best products and services at a reasonable price and on time. Throughout the production process, the raw material play a critical role. Thus we will work closely with the nail wire supplier to get the most from acquiring raw materials to helping scale up production. SAE1008 wire rods are the raw material used for making wire nails and the nail-making plant. The SAE1008 wire rod provides high-quality steel that is used in the manufacture of nails. This material is trusted with expertise needed for making high-quality nails.
Many SAE1008 steel wire suppliers are available locally in Kenya, South Africa, Nigeria or can also be imported from China, Turkey, Russia to have competitive price.
4. Choose the Right Nail Making Machine Supplier
The nail-making machine supplier will be Uniwin Industrial Co. Limited. They have the fully automatic nail making machines that help in manufacturing high-quality nails. Their machines are also essential in speeding up the production process.
It means that large stock of nails is a guarantee to the clients. Our high-speed nail-making machine is capable of producing up to 2000 nail pieces per minute. The machines are suitable for the manufacture of both coil and wire nails. Also, these machines are eco-friendly, efficient and energy-saving which helps in protecting the environment from pollution.
When choosing the suitable supplier, the factors that Installation, After-sales, and Accessories Purchase is a must to consider. Since Uniwin Machinery is professional nail machine manufacturer in China with more than 30 years experience, so they can offer professional guidance on the machine installation, the after sales service and offer the consuming parts in time.
The nail-making plant will ensure that all the machines are properly installed with appropriate maintenance schedules. Also, the right accessories will be purchased in stock to ensure that machines’ productivity is enhanced.
5. Purchasing Equipment for the iron nail making plant.
For nail manufacturing, the new nail plant will have to acquire equipment that includes wire drawing machines, nail making machines, nail polishing drums, and spare parts. The equipment will be sourced from Industrial Co. Limited that will also provide spare parts of the high-speed machines that include spare parts like nail cutter, nail die, and punch bar.
Since Uniwin Machinery has start export from year of 2004, and they deliver nail making machines to abroad every month, they have established long and good cooperation with many shipping companies like MSC, APL, COSCO etc, this will ensure the machines can be delivered to any port all over the world quickly. For example, it takes around 10 days from China to Vietnam, 40 days to Nigeria Onne or Lagos port, 30 days to Ethiopia etc.
To get the machines arrive the nail making plant in time and in safe is also very important.
6. Start Production, Worker Training
Before starting the production of nails, the plant shout determines its appropriate niche or area of specialization. There are many multiple kinds and sizes of nails with specific areas of applications, which implies that there are many different niches for the company.
So, before entering any specialization, the company must undertake an extensive investigation on the niche to ensure that it does not end up wasting resources if it enters a market segment that will not be successful in the future. Even though the nail plant may afford to diversify into a wide range of niche markets, it is crucial to look at whether it would be profitable to do so.
Also, the nail-making plant will need to be familiar with the major competitors in the industry. The best strategy for the company to gain a competitive advantage is to understand what the consumers want and specialize in the qualities on demand.
Therefore, the company should plan to maintain consistent quality, have a strong brand presence, or provide exceptional customer service. The nail-making plant will need to be well prepared to tackle other possible threats and challenges that may affect production. It will be done by first learning as much as possible about the risks surrounding the nail business.
This strategy implies that the company will be well prepared to meet its obstacles as they arise. However, all threats may not be simple to address. It would be best for the company to stay resilient.
Additionally, the nail-making plant will consider recruiting competent employees for technical and human resources needs. Other than machines which are among the most vital pieces of equipment, there must be services of skillful and talented workers who look after the digital machines and ensure that they work efficiently.
The services of a machine operator, machine maintenance, engineer, office manager, accountant, customer service representative, marketing representative, security guard, cleaner, and a driver, among others are essential to run a nail plant. Building a sound business structure is crucial for the company to ensure the sustainability of nail production in Africa.
In other words, the appropriate selection of employees will help the company to expand and reach its full potential. Therefore, it implies that the nail-making company will have to train workers in their specific areas of specialization to work for the company.
7. Market Sales of iron nails.
The nail-making plant will create marketing strategies before identifying dealers, retail hardware stores, contractors, and suppliers. The company will invest in excellent marketing packed with ideas and tactics to win many clients. The following are some marketing concepts and tactics that the company may use to promote the nail business.
- Importantly, Industrial Co. Limited needs to give its marketing executives the authority to promote the nail plant in-person to potential customers.
- The company will publish advertisements in local, national, and global newspapers, broadcast commercials, radio and television stations, and construction publications.
- Also, internet marketing, particularly social media sites such as Facebook, LinkedIn, Twitter, and Instagram may be used to promote the nail plant.
The company will work with the audited dealers and suppliers in countries of Africa and across the world. Also, retail hardware stores will be established in several countries in Africa to help in the distribution process.
There is a likelihood that pleased consumers will refer others clients to purchase the nails and, as a result, more income for the company. Therefore the company will offer after-sale services that include 12 months warranty, faster and free delivery for large purchases, flexible discounts, and prices of different types of nails.