- Country: India
- Industry: Manufacturing
- Stage: Start-up
- Investment size: $100,000 / min. $50,000
We need $100000 to invest in real estate in India in order to acquire a L/C from a bank.
We are involved in imports of raw hides and skins, which we are marketing to Indian tanners. Step by step we will start exporting.
We have well experience behind us and we are well known in this filed. We have also worked in the technical advisery and other fields.
We can provide cash payback of 30 to 40% with some profit every year.
Nowadays there is quite a high demand for raw materials in the leather tanning industry. Moreover, there is shortage of raw hides in the Indian slaughter houses.
During the past 10 years we got to know a lot of tanners in the Indian market. We have worked with Indian tanneries, as well as with tanneries abroad.
At the moment we are in discussion with African buyers, who are willing to export these goods against L/C.
We are planning to buy a property in India at the amount of $100000 and we are going to get a L/C against this property of ours. We will send the L/C to the African buyer, with in $50000. The next month will send another L/C for the balance amount of $50000. In meantime we are to sell the first invoice. This amount we will rotate to continue our business.
On the one hand we will get a profit from the real estate investment, and on the other hand we will get a business profit. As result, we will be able to provide a return with good margin on yearly basis.
The opportunity stems from the great demand for raw hides and skins in the Indian leather industry. Since the small tanners are not willing to import in bulk value, they are our target group. A lot of big tanneries import directly but they also buy from the local market .
At some point we are to start exporting to European and Asian markets.
We are selling and operating in our own brand name.
Use of financing
We need the investment to purchase the property and receive the L/C, which will enable us to enter into the export deal.
The cash payback will be 30 to 40% every year.
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