Concrete Manufacturing Business Plan - What Needs to Leave A Plus?
Business plan with concrete production.
A concrete manufacturing business plan should evaluate competition and shape pricing policies.
The main buyer of concrete is the construction business, which consumes 94% of all concrete on the market.
The coefficient of difference between the growth rate of construction and concrete production is 0.9. Moreover, the production of concrete mixtures has a limited geographic focus. On average, it is advantageous to carry them to about 50 km. Therefore, first, you need to assess the level of competition in your region.
As practice shows, it will not be possible to win in the competition due to lower material prices.
The sales level will depend on how actively construction is being carried out in your region.
Long-term relationships with consumers will help to withstand competition.
The business plan of the concrete business in the first place should provide for the registration of an enterprise as an LLC, because any enterprise will cooperate with a legal entity.
For sales of concrete mixtures, a significant problem is characteristic - transportation of goods to objects. It must be quickly delivered and unloaded before it hardens, and at the same time it has a low cost per unit mass. It is delivered to the object in special cars-concrete mixers, or concrete forms are prepared, which are frozen at the factory, and then delivered to the object.
4. Raw materials
The technology for preparing concrete mixtures in the classic version involves the use of the following components:
sand and gravel
It is important to find suppliers of these components that will guarantee quality, since cement crystallizes due to non-compliance with the moisture level or a long mating period, which then affects the quality of the concrete.