Start an Elevator Business with Expert Guidance

Starting an elevator business is a challenging task. You need to have a good understanding of the industry along with the necessary resources to get started.

 

The basic requirements for starting an elevator business are:

 

• Business Registration Certificate
• Minimum Investment - Rs. 1 Crore
• NOC (No-Objection Certificate)
• Building permit for the elevator
• A licensed electrician to install the wiring and power panel
• An elevator contractor to get all of the necessary approvals from building inspectors
• A licensed mechanic to maintain the equipment.

 

Steps to Start an Elevator Business in India

 

1. Conduct a market research
2. Make a business plan
3. Register your business
4. Apply for necessary licenses
5. Find your target locations and buildings
6. Purchase installation equipment
7. Hire contractors who will install elevators 

 

Step 1 - Conduct a Market Research

 

Conducting market research is the first step to starting an elevator company in India.

 

There are many factors that need to be taken into consideration before starting an elevator company in India. 

 

It is important to conduct a market research study so that the company can know what type of products they should offer, who their target audience will be, and how much money should be invested in setting up the business.

 

Accordingly, for conducting market research you need the following:

 

• A list of potential customers and their contact information
• A list of potential competitors
• The type of elevator that you would like to offer your customers
• The location for your business establishment.

 

How Much Money Does it Take to Start an Elevator Company?

 

The cost of starting an elevator company in India ranges from Rs.1.5 crores to Rs.2 crores and the investment can go up by another 50% if you want to set up a factory for manufacturing the elevators within the country. 

 

The cost of starting an elevator company in India includes the following: -

 

• Fixed assets (building, land, machinery, office equipment) 
• Working capital (cash required for day-to-day operations)
• Cost of labor (salaries and benefits) 
• Cost of raw materials (steel, copper wire, aluminum sheeting) - Depreciation on fixed assets 
• Business Insurance
• Cost of leasing the building

 

Step 2 - Make a business plan

 

A business plan helps entrepreneurs to evaluate their proposed venture in terms of its potential for success. It also helps them identify any potential risks or weaknesses that might cause problems for the company in the future.

 

The following are some important points to consider when making a business plan:

 

• What is your elevator pitch? 
• Who are your target customers? 
• What are your elevator's unique features?

 

A successful business plan should be detailed and easy to read. It should include the following: 

 

• A summary of the company's mission, goals, and objectives 
• The market analysis 
• The company's strategy 
• The financial projections  
• The company's management team
• Product development and marketing plan
• Risks, opportunities, and challenges

 

Step 3 - Register your business

 

Registering your elevator company in India is mandatory. 

 

Also, it requires you to have all the necessary documents and information about your company. 

 

You will also need to get an elevator license from the Government of India, which can be obtained only after you register the company.

 

For this purpose, you can register your elevator business as any of the following legal entities:

 

• Private Limited Company Registration Online
• One Person Company
• Limited Liability Partnership 

 

Documents Required 

 

• Rent agreement – NOC
• Electricity bill
• Photos of directors
• Aadhar card
• Pan card
• Specimen signature
• Self-declaration about the directorship

 

Step 4 - Apply for necessary licenses

 

To start an elevator company in India, one must apply for necessary licenses from the government. 

 

It is to ensure that the company does not violate any regulations and operates smoothly.

 

The next step is obtaining a certificate of registration from the Indian Bureau of Standards (BIS). 

 

The owner or managing director should have a valid trade license issued by their respective state’s commercial taxes department.

 

Also, you will require the following common licenses for business:

 

• GST Registration
• Shop and Establishment Act Registration

 

Step 5 - Find your target locations and buildings

 

There are many factors to consider before starting a business in India. The first thing to do is to find the right location for your business. 

 

The next step is to find a suitable building for your elevator company.

 

The most important factor when it comes to finding the right location is the proximity of residential areas. 

 

You want people who live in that area to be able to use your elevators, so they will be more likely to buy them from you.

 

When looking for a building, you need one that has enough space for offices, workshops and showrooms. 

 

You also need it to have enough space for an outdoor demonstration area and parking spaces if possible.

 

As an elevator company, you would want to look in Mumbai, Delhi, Kolkata, Chennai or any other major city in India.

 

Step 6 - Purchase installation equipment

 

It is important to understand what you will need before you start your business because it can be difficult to change the type of equipment later on. 

 

There are many different types of installation equipment for an elevator company, including: 

 

• Elevator motors 
• Elevator carriages 
• Elevator cabs 
• Elevator doors 
• Elevator door openers 
• Elevator safety barriers

 

There are a number of factors that need to be considered before purchasing installation equipment for an elevator company in India. 

 

These factors include the size and type of elevators, location, and budget.

 

Step 7 - Hire contractors who will install elevators 

 

Elevator companies need to hire contractors who can install elevators quickly and efficiently. 

 

It is important for them to have the right skill sets and experience in order to be able to provide quality services.

 

You can find them on the internet by searching for “Elevator Installation Contractor” or “Elevator Installation Company” on Google and then from there, narrow down your search by location, experience, etc.