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Things to consider when buying an existing mineral water plant

The bottled mineral water industry in India has drastically grew over the years. This makes the mineral water business the hottest trend today. If you are planning to open and run your own mineral water plant, you need to decide whether you will start from scratch or you will look for and buy an existing bottled water company. Are you interested in running your own mineral water plant? If so, then you also need to decide whether you will start from scratch or you will look for and buy an existing bottled water company.

Before making the final decision, it makes sense to do some research first regarding these two options. You can consult some manufacturers in India like Indian Ion Exchange & Chemicals Limited that offers water purification plants, R.O. plants, water treatments, and mineral water plants to know more information about opening and running a water plant. Let us say you have decided to buy an existing water plant, here are a few important things that you need to consider.

Location First and foremost, you need to check the location. The water plant must be situated in an area where there is a high demand for bottled drinking water. For instance, the area with limited access to clean water can be considered as a suitable place for any mineral water company. Since access to clean water is quite limited, there will likely be a steady demand for bottled drinking water in such area.


Also, make sure that the area is easily accessible and is suitable for such kind of business. It has to be situated far from areas like the waste disposal site or cemetery.

Company reputation The reputation of the drinking water plant or the company also matters. It is important that you know what the public feel and think about the company you are going to purchase. If most of the public’s feedbacks are negative, it is better not to pursue with the deal unless otherwise, you are willing to spend a considerable amount of money in establishing a new management or organizational structure and on re-branding.

Water source You will be running a business with water as the primary raw material. It is only fair enough to know where the water is coming from. Regardless of whether the water is coming from a local supplier or from the borehole in the water plant created by the previous plant owner, you need to make sure that it is safe and clean enough for production.

Water analysis You should perform your own water analysis to make sure of the quality of the water supply. Aside from that, the plant should have a good treatment facility which you can use to treat and clean the water before it goes to the production facility.

Licenses and government approval You can not run a mineral water project without the required licenses and approval from the local government. Make sure that the company has all the necessary licenses and government approval.

Cost


When it comes to starting a new water plant or buying an existing bottling water plant or company, the cost is always a huge factor. Before you decide whether to start from scratch or to buy an old plant, try to perform a feasibility study first. You need to highlight important things like competition, ROI, cost-effectiveness, profitability, and current market cost of the existing plant and the available equipment and facilities, to name a few. Surely, you do not want to invest a lot of money on a business that won’t allow you to earn something back or even to get your return on investment.

Things to consider when buying an existing mineral water plant  

The bottled mineral water industry in India has drastically grew over the years. This makes the mineral water business the hottest trend tod...

Things to consider when buying an existing mineral water plant  

The bottled mineral water industry in India has drastically grew over the years. This makes the mineral water business the hottest trend tod...

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